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AL MAZA YA HOLDING COMPANY K.S.C. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the year ended 31 December 2011
MlllAYA
AIM TO lfAD
1.
FORMATION AND PRINCIP AL ACTIVITIES
Al Mazaya Holding Company - K.S.C. (Holding) was incorporated on 7 November 1998 under the
Commercial Companies Law No. 15 of 1960 and amendments thereto.
The Parent Company is engaged in investment in local and foreign companies, real estate properties and
consultancy services. The registered Head Office of the Parent Company is at Salhiya complex, Fahed Al
Salem Street, P.O. Box 3546, Safat 13036, Kuwait.
The consolidated financial statements were approved for issue by the Board of Directors on 28 March 2012.
The shareholders'
General Assembly has the power to amend these consolidated financial statements after
issuance.
2.
APPLICATION OF NEW AND REVISED INTERNATIONAL FINANCIAL REPORTING
STANDARDS
Standards, Interpretations and amendments effective in the current year
The accounting policies used in the preparation of these consolidated financial statements are consistent with
those used in the prior year except for the adoption of the new standards and amendments adopted in the
current year.
During the current year, the Group has applied all of the new and revised standards,
interpretations and amendments issued by the International Accounting Standards Board ("IASB") and the
International Financial Reporting Interpretations Committee ("IFRIC") of the IASB that are relevant to its
operations and effective for accounting periods beginning on or after 1 January 2011. Significant
amendments relevant to the Group are described as follows:
Amendments to lAS 1 Presentation of Financial Statements
The amendments to lAS 1 clarify that an entity may choose to disclose an analysis of other comprehensive
income by item in the statement of changes in equity or in the notes to the financial statements. In the current
year, for each component of equity, the Group has chosen to continue the presentation of such an analysis in
the consolidated statement of comprehensive income.
lAS 24 Related Party Disclosures (as revised in 2009)
lAS 24 (as revised in 2009) has been revised on the following two aspects: (a) lAS 24 (as revised in 2009)
has changed the definition of a related party and (b) lAS 24 (as revised in 2009) introduces a partial
exemption from the disclosure requirements for government-related entities.
The Parent Company and its subsidiaries are not government-related entities. The application of the revised
definition of related party set out in lAS 24 (as revised in 2009) in the current year did not have material
impact on the financial statements.
Amendments to IFRS 3 Business Combinations
As part of Improvements to IFRSs issued in 2010, IFRS 3 was amended to clarify that the measurement
choice regarding non-controlling interests at the date of acquisition is only available in respect of non-
controlling interests that are present ownership interests and that entitle their holders to a proportionate share
of the entity's net assets in the event of liquidation. All other types of non-controlling interests are measured
at their acquisition-date fair value, unless another measurement basis is required by other Standards. In
addition, IFRS 3 was amended to provide more guidance regarding the accounting for share-based payment
awards held by the acquiree's employees.
The application of amendments to IFRS 3 has had no material effect on the presentation and disclosures in
the fmancial statements of the Group for the current year and prior years but may affect the accounting for
future transactions or arrangements.
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