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AL MAlAYA HOLDING COMPANY K.S.C. (CLOSED) AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 2008
(All amounts are in Kuwaiti Dinars)
Balance sheet:
Cash and cash equivalents
Accounts receivable and other debit balances
Investments available for sale
Properties under development
Fixed assets
Accounts payable and other credit balances
Minority interest
Amount
6,252,093
345,801
12,269,180
16,561,266
1,686
10,869,681
5,072,110
The goodwill resulting from the acquisition of this subsidiary is as follows:
Consideration paid
Less: Fair value of identifiable assets and liabilities at the date
of the acquisition
58,248,950
(39,435,700)
18,813,250
Total goodwill
Related to First Dubai Real Estate Development K.S.C. (Closed)
Related to Future International Project Management - WL.L.
Impairment loss
3,259,607
18,813,250
(18,813,250)
3,259,607
The Group tested goodwill for impairment as of December 31, 2008 and was considered to be partially
impaired due to the major decline in value of asset related to a newly acquired subsidiary and this
resulted in an impairment loss amounting to KD 18,813,250 (Note 27).
~ Cash and cash equivalents
Cash and cash equivalents include cash in hand and deposits held at call with banks with original
maturities of three months or less that are readily convertible to a known amount of cash and are
subject to an insignificant risk of changes in value.
g) Investments
The Group classifies its investments in the following categories: investments at fair value through
income statement and investments available for sale. The classification depends on the purpose for
which the investments were acquired and is determined at initial recognition by the management.
(i)
Investments at fair value through income statement
This category has two sub-categories: investments held for trading, and those designated at fair value
through statement of income at inception.
An investment is classified as held for trading if acquired principally for the purpose of selling in the
short term or if it forms part of an identified portfolio of investments that are managed together and
has a recent actual pattern of short-term profit making or it is a derivative that is not designated and
effective as a hedging instrument.
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