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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)
ab) Contingencies
Contingent liabilities are not recognized but disclosed in the consolidated financial statements except
when the possibility of an outflow of resources embodying economic benefits is remote.
A contingent asset is not recognized in the consolidated financial statements but disclosed when an
inflow of economic benefits is probable.
ac) Segment reporting
A segment is a distinguishable component of the Group that is engaged either in providing products or
services (business segment), or in providing products and services within a particular economic
environment (geographical segment), which is subject to risks and returns that are different from those
of other segments.
3.
Cash and cash equivalents
Cash on hand and at banks
Short term bank deposits
Cash in investment portfolios
2008
39,772,935
8,982,942
980
2007
15,956,840
11,500,000
43,703
48,756,857
27,500,543
The effective interest rate on short term bank deposits was 6% (2007 - 7.08%) per annum. These deposits
have an average maturity of 25 days (2007 - 48 days).
Cash on hand and at banks include an amount of KD 26,309,343 representing restricted cash to be used
only against construction work.
4.
Investments at fair value through income statement
Balance at the beginning of the year
Additions
Disposals
Unrealized gain from changes in fair value of investments at
fair value through income statement (Note 26)
Reclassified to investments available for sale (Note 7)
Balance at the end of the year
2008
2007
17,171,474
21,815,983
13,152,984
1,796,469
(29,787,382)
(6,766,055)
310,134
325,077
(845,875)
1,335
17,171,474
26