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AL MAZAYA HOLDING COMPANY K.S.C. (CLOSED) AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 2008
(All amounts are in Kuwaiti Dinars)
The consolidated financial statements include the financial statements of AI Mazaya Holding Company -
K.S.C. (Closed) (the Parent Company) and the following subsidiaries:
Ownership percentage
Country of
2008
2007
Subsidiaries
incorporation
%
%
AI Mazaya Real Estate Development Company - K.S.C. (Closed)
Kuwait
100
100
AI Mazaya Real Estate FZlLLC and its subsidiaries:
U.A.E
100
100
AI Dana Real Estate Limited
U.A.E
100
100
AI Rayhan Real Estate Limited
U.A.E
100
100
Advantage General Trading Co. W.L.L.
UAE
100
100
AI Mazaya AI Khalijia for General
Trading and Contracting -
Khalid S. Esbaitah and Partners - W.L.L.
Kuwait
100
100
AI Mazaya Arabian Real Estate Company - Khalid S. Esbaitah
and Partners - W.L.L.
Kuwait
100
100
AI Mazaya International
tor Projects Management Company -
Khalid S. Esbaitah and Partners - W.L.L.
Kuwait
100
100
Mazaya Lebanon Company - SAL.
(Holding) and its subsidiary:
Lebanon
100
100
Mazaya Lamartien - SAL.
Lebanon
100
100
Seven Zones Real Estate Company K.S.C. (Closed)
Kuwait
100
First Dubai Real Estate Development
Company - K.S.C. (Closed)
and its subsidiary:
Kuwait
66.88
81.78
Future International
Project Management
- W.L.L. and its
subsidiary:
Kuwait
85.16
Waterfront Real Estate Company K.S.C. (Closed)
Kuwait
91.97
During the year, the Parent Company acquired additional 4.5% interest in the equity of First Dubai for
Real Estate Development Company - K.S.C. (Closed) for an amount of KD 4,581,355. The goodwill
resulting from the additional acquisition of this subsidiary is as follows:
Balance at the beginning of the year
Related to additions
Less: The group's share of fair value of identifiable assets and liabilities at
the date of the acquisition
Net goodwill
Related to disposals
Balance at the end of the year
2008
1,005,927
4,581,355
(1,836,173)
3,751,109
(491,502)
3,259,607
During the year, First Dubai Real Estate Development Company K.S.C.(Closed) - subsidiary - increased
its authorized capital to 1 billion shares. The Parent Company sold a portion of its waiver of subscription
in the subsidiary's capital increase. This resulted in a dilution loss amounting to KD 2,893,829 and
reduction in the percentage of ownership by 11.17%.
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 3.73% resulting in a gain of KD 4,448,623. The
decrease in the goodwill related to the sale transaction amounted to KD 491,502.
Investment in subsidiary - First Dubai Real Estate Development Company K.S.C.C. with a fair market
value of KD 10,000,000 is pledged against a term loan (Note 15).
During the year, a subsidiary to the Group (First Dubai Real Estate Development Company K.S.C.C.)
acquired 85.16% in equity of Future Intemational Project Management - W.L.L. which in tum owns
91.97% in equity of Waterfront Real Estate Company K.S.C.C. Accordingly, the balances in the
consolidated financial statements of the Group include the following assets and liabilities for this
subsidiary, while the comparative figures for the year ended December 31, 2007 do not include such
information:
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