Asharqiyah Announces the Full Amortization of Accumulated Losses

14/05/2017 09:48 AST

With reference to the Company announcement on 20/04/2017 regarding the implementation of procedures and instructions issued by the Capital Market Authority for listed companies whose accumulated losses amounted to 20% and more of its capital in accordance to The Board of the Capital Market Authority No. 1-130-2016 dated 24/10/2016, where the accumulated losses of the Company by the end of 31/12/2016 amounted SR 29.103 million equivalent to 38.8% of its paid-up capital.Therefore and with reference to the Company announcement of its preliminary financial results for the period ending 31/3/2017 (three months) on 11/05/2017 Asharqiyah announces the adjustment of its position and the amortization of all its previously reported accumulated losses. The adjustment was captured through the implementation of the International Financial Reporting Standards (IFRS) instead of the traditional accounting standards where the Company recorded the value of the government grant reclaimed land that have not been previously assessed nor recorded in the Companys financials. With that the previously recorded accumulated losses have been converted into net retained earnings of SR 154.142 million.

Tadawul