Annual report eng.2018

N otes To The Consolidated Financial Statements AL MAZAYA HOLDING K.S.C.P. AND ITS SUBSIDIARIES As At 31 December 2018 96 ANNUAL REPORT 2018 (All amounts are in Kuwaiti Dinars) b) Basis of consolidation: The consolidated financial statements incorporate the financial statements of the Parent Company and the following subsidiaries (together the “Group”): During the financial year ended December 31, 2018 the Parent Company incorporated Mazaya Al Ghad – S.P.C. Company, and waived shares of Its ownership in Al Mazaya Real Estate FZ - L.L.C, Al Mazaya Emirates Real Estate Development Company S.P.C, Advantage General Trading Company L.L.C., Al Murooj Al Khadra Real Estate L.L.C., and Al Telal Al Khadraa Real Estate L.L.C. at their carrying value in the Parent Company’s books at the date of transfer, and there was no effect for this waiver on the statement of equity of the Parent Company. Prior year adjustments represent the effect of the change in the Parent Company’s non – controlling interest in First Dubai Real Estate Development Company – K.S.C.P and Al Mazaya Real Estate Development Company – K.S.C. (Closed). The effect of this change resulted in decreasing in retained earnings by KD 1,942,826 and increase in non – controlling interest by KD 1,942,826. Subsidiaries are those enterprises controlled by the Parent Company. Control is achieved when the Parent Company: • Has power over the investee. • Is exposed, or has rights to variable returns from its involvement with the investee. • Has the ability to use its power to affect its returns. The Parent Company reassess whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control listed above. Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate Real estate 97.98% 96% 98% 89.91% 99% 98% 100% 90% 100% 99.85% 99% 100% 100% - - - - - 97.98% 96% 98% 89.91% 99% 98% 100% 90% 100% 99.85% 99% 100% - 100% 100% 100% 100% 100% Principal activities Percentage of holding % Al Mazaya Real Estate Development Company K.S.C (Closed) Seven Zones Real Estate Company - K.S.C. (Closed) GulfTurkey for GeneralTrading and Contracting CompanyW.L.L First Dubai Real Estate Development Company – K.S.C.P Mezzan Combined For GeneralTrading Company –W.L.L First Kuwait for Projects Management CompanyW.L.L AlYammar Kuwaiti Agriculture Company S.P.C. Mazaya Ritim Istanbul Insaat Anonim Sirketi Mazaya Real EstateTurkey GayrimenkulYatirimlari Anonim Sirketi Al Mazaya Lebanon Company- S.A.L (Holding) Grand Mazaya Real Estate CompanyW.L.L Al Mazaya Real Estate Development Company L.L.C Mazaya Al Ghad – S.P.C. Al Mazaya Real Estate FZ - L.L.C Al Mazaya Emirates Real Estate Development Company S.P.C Advantage GeneralTrading Company L.L.C. Al Murooj Al Khadra Real Estate L.L.C. AlTelal Al Khadraa Real Estate L.L.C. 2018 2017 Country of incorporation Name of subsidiary Kuwait Kuwait Kuwait Kuwait Kuwait Kuwait Kuwait Turkey Turkey Lebanon KSA Oman UAE UAE UAE UAE UAE UAE