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AL MAZAYA HOLDING COMPANY
K.S.C.
(CLOSED) AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 2007
(All amounts are in Kuwaiti Dinars)
Minority interests in the net assets of consolidated subsidiaries are identified separately from the
Group's equity therein. Minority interests consist of the amount of those interests at the date of the
original business combination and the minority's share of changes in equity since the date of the
combination. Losses applicable to the minority in excess of the minority's interest in the subsidiary's
equity are allocated against the interests of the Group except to the extent that the minority has a
binding obligation and is able to make an additional investment to cover the losses.
The consolidated financial statements include the financial statements of AI Mazaya Holding Company -
K.S.C. (Closed) (the Parent Company) and the following subsidiaries:
Percentage of holding
Country of
2007
2006
Subsidiaries
incor~oration
%
%
1) AI Mazaya Real Estate Development Company - K.S.C. (Closed)
Kuwait
100
100
2) AI Mazaya Real Estate FZlLLC and its subsidiaries:
U.A.E.
100
100
a) AI Dana Real Estate Limited
UAE
100
100
b) AI Rayhan Real Estate Limited
UAE
100
100
c) Advantage General Trading Co. - W.L.L.
UAE
100
3) AI Mazaya AI Khalijia General Trading and Contracting Company -
Khalid S. Esbaitah and Partners - WL.L.
Kuwait
100
100
4) AI Mazaya Arabian Real Estate Company - Khalid S. Esbaitah and
Partners - W.L.L.
Kuwait
100
100
5) AI Mazaya International
Project Management Company- Khalid S.
Esbaitah and Partners - WL.L.
Kuwait
100
100
6) Mazaya Lebanon Holding - SAL. (Holding) and its subsidiary:
Lebanon
100
100
a) Mazaya Lamartien - SAL.
Lebanon
100
100
7) First Dubai for Real Estate Development Company - K.S.C. (Closed)
Kuwait
81.78
89.78
During the year, the Parent Company acquired additional 1.92% interest in the equity of First Dubai for
Real Estate Development Company - K.S.C. (Closed) for an amount of KD 714,934. The goodwill
resulting from the additional acquisition of this subsidiary is as follows:
Consideration paid
Value of shares issued
Less: The group's share of fair value of identifiable assets and liabilities at the
date of the acquisition
Goodwill
122,484
592,450
(513,936)
200,998
Also, the Parent Company sold a portion of its interest in the equity of First Dubai for Real Estate
Development Company - K.S.C. (Closed) representing 9.92% resulting in a gain of KD 2,334,208. The
decrease in the goodwill related to the sale transaction amounted to KD 115,167.
As of December 31, 2007, the balances in the consolidated financial statements of the Group include
the following assets and revenue of Advantage General Trading Co. - W.L.L. located in UAE while
the comparative figures for December 31, 2006 do not include such information:
Balance Sheet:
Cash and cash equivalents
Amount
22,344
Income Statement:
Gain from sale of investment properties
5,834,835
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