Bahri Annual Report-2011

The National Shipping Company of Saudi Arabia

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Break down of Murabaha and long-term finances is listed below at December 31:

2011

Financing:

Parent Co.

% Subsidiaries

%

Total

%

Murabaha Finance

980,124

44% 2,119,773

85% 3,099,897

65%

Commercial Finances

121,585

5%

-

-

121,585

3%

Public Investment Fund “Murabaha Finance”

1,050,000

47%

-

-

1,050,000

22%

Public Investment Fund finance “conventional”

98,250

4%

381,281

15%

479,531

10%

TOTAL

2,249,959 100% 2,501,054

100% 4,751,013

100%

2010

Financing:

Parent Co.

% Subsidiaries

%

Total

%

Murabaha Finance

907,016

39% 1,411,831

77% 2,318,847

56%

Commercial Finances

220,997

10%

---

---

220,997

5%

Public Investment Fund “Murabaha Finance”

1,050,000

45%

---

---

1,050,000

26%

Public Investment Fund finance “conventional”

135,750

6%

417,594

23%

553,344

13%

TOTAL

2,313,763 100% 1,829,425

100% 4,143,188

100%

The cost of financing is calculated as per the respective financing agreements. The aggregate maturities of the outstanding financing under the Murabaha financing and loan agreements at December 31, 2011, are as follows:

Total financing charges on Murabaha financing and long-term loans amounted to SR 61.7 million for the year 2011 (2010: SR 62.54 million), out of which SR 26.68 million related to the subsidiary (NCC) loans (2010: SR 24.31 million) and SR 1.1 million related to the subsidiary, Mideast Ship Management Ltd., finance (2010: SR 1.2 million). Financing charges related to financing of VLCCs, petrochemical carriers and new office for a sum of SR 9.71 million (2010: SR 12.36 million) were capitalized (see Note 12).

The Murabaha financing and long-term loans agreements contain covenants related to liquidity, indebtedness and other conditions. Moreover, the financed carriers and vessels are mortgaged in favor of the lending banks. The total finance facilities of the Company and its subsidiaries amounted to SR 4.75 billion out of which SR 0.35 billion remained unutilized at December 31, 2011 relating to NCC. Finances granted to the subsidiaries are for the purpose of refinancing of certain loans, construction of new carriers and the Company’s office in Dubai.

2012

456,045

2013

491,521

2014

531,922

2015

503,885

2016

521,983

Thereafter

2,245,657

4,751,013

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