Bahri Annual Report-2011

Board of Directors Report 2011

Abdullah Sulaiman Al Rubaian Chairman

Chairman’s Message

vessels in the spot market to lower levels. Nevertheless, with the grace of The God and the policy of the Company to diversify the sources of income, Bahri has realized lucrative profits under these circumstances. In spite of the current situation in the region and challenges of the global economy, the Company is moving vigorously towards achieving its stated goals and aspirations for the future. Concluded a contract for building (6) General Cargo (ROCON) vessels equipped with cranes, capable of loading and discharging (360) intermodal shipping containers (TEUs); in addition, loading goods and other break bulk project equipment that are placed inside the hull of the vessel which consists of four decks dedicated to the carriage of bulk goods and cars. During the year 2011, many programs and projects were implemented, including:

Dear Shareholders,

On behalf of the Board of Directors of The National Shipping Company of Saudi Arabia (Bahri) and myself, I am pleased to present to you the annual report for the fiscal year 2011. It includes the Board of Directors report on the various results, the activities of the Company and its programs as well as projects that have been implemented during 2011 in addition to the consolidated financial statements for the year ended 31/12/2011 presenting the financial position of the Company and a net profit of SAR 287,768,000 achieved during the fiscal year 2011. The year 2011 was one of the most difficult years experienced by the shipping industry due to the significant impact in the global economic growth, combined with the continued entry of record tonnage capacity from the vessels contracted during previous years. The Crude oil segment is the largest segment of the Company and the highest contributor to its profitability in recent years; it was one of the most affected sectors in the industry, rendering the average daily time-charter equivalent (TCE) rates for

The delivery of (6) chemical carriers during the year and (5) other chemical carriers are

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