Bahri Annual Report-2008

Board of Directors Report

26

Money and Ships Conference - Middle East Fourth Gulf Forum for Ship Financing Indian Shipping Conference - Mumbai First Saudi Exhibition on Minerals Sponsoring the National Sales Forum in America Participation in various investment forums NSCSA has been awarded the (SCATA) "Company of the Year in Maritime Transport" prize for 2008 duly organized by "ITP Business". The award is given to the company for record performance in its field of activity. NSCSA was chosen on the merit of many inputs of outstanding performance in all areas in which it operates, especially in the transportation of oil and gas, chemicals and general cargo. due to fulfillment of its commitments under the agreements concluded with these institutions rendering the company to have a sound financial position. The company has worked over the past three years with these financial institutions to secureShariah compliant financing facilities and succeeded in raising the proportion of Shariah compliant funding to 77% at the end of 2008. NSCSA endeavors diligently to have 100% Shariah compliant funding upon termination of the existing commercial loans.

clients, without adversely affecting the revenues of the company while working at the same time to upgrade the level of services provided to these clients. In line with NSCSA’s endeavors to foster its relationship with areas concerned with the maritime transport industry and to create a distinct presence in this arena, NSCSA participated in many activities and events. Highlights of NSCSA participation in such activities during the year 2008 are summed up in the following: World Maritime Day 2008 Exhibition and Conference Oil and Gas The 11th GCC industrialists Conference Lloyd's List (Best Oil Shipping Company in 2008) First Saudi International Forum on Ports and MaritimeTransport

Investment and Financing During the past four years, NSCSA procured to have its investments compliant with the precepts of Islamic Shariah, and achieved this goal rendering its current investments Shariah compliant. The company also obtained over the past two decades a package of commercial loans and Murabaha financing facilities from several major local and international financial institutions, to finance its ambitious strategic projects which are expanding year after year. The company currently enjoys the confidence of financial institutions

Financing During 2008*

Loan balance at the beginning of

Change during the year

Loan balance at year end

Company

the year 1.234.328 1.176.461 23.351 2.434.140

NSCSA NCC Mideast Ship Management Ltd. Total

607.035 965.378 - 1.572.413

1.841.363 2.141.839 23.351 4.006.553

*SAR (000)

Financing Details as at 31 December 2008*

Financing

NSCSA 1.359.167 294.797 210.750 1.864.714

Affiliates

Total

%

%

%

Murabaha Financing Commercial Loans PIF Loans Total

73% 16% 11% 100%

1.706.089 - 435.750 2.141.839

80% - 20% 100%

3.065.256 294.797 646.500 4.006.553

77% 7% 16% 100%

*SAR (000)

NSCSA does not have any absolute debt instruments or debt instruments that are convertible into shares, option rights, subscription or similar rights issued or granted by the company during the current financial year.

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