Albilad Announces Results of 6th. Extraordinary General Assembly

Dr. Al-Humaid: “SR 200 million profits for shareholders, a free share for each 4 shares and raising the bank capital to SR 5 billion”

The goal of the capital increase is to enhance the Bank's financial solvency and retention of resources in operational activities.

Riyadh, 15th of April 2015: Bank Albilad has announced the approved results of its 6th extraordinary general assembly held last Tuesday the 14th of April 2015. Presided by Dr. Abdulrahman bin Ibrahim Al-Humaid Chairman of the Board of Directors, the general assembly declared the voting results.

Dr. Abdulrahman bin Ibrahim Al-Humaid has affirmed that the assembly approved, for the first time, the board of directors’ recommendation to distribute cash profits amounting to SR 200 million to shareholders, SR 0.50 per each share, which equals 5% of the share’s nominal value, for the end of the previous fiscal year ending in 31/12/2014. He added that the assembly approved the board’s recommendation on increasing the bank’s capital by 25% (from SR 4 billion to SR 5 billion). The recommendation capitalizes SR 995,557,000 from the bank’s retained earnings and SR 4,443,000 from the statutory reserve, offering 1 free share for each 4 shares, therefore raising the number of shares from 400 million shares to 500 million shares. The assembly also approved the amendment to article (7) of the statute of the bank which relates to capital and number of shares.

Al-Humaid added that the assembly also approved the board of directors and auditors' reports, the statement of financial position and the rest of the bank’s financial statements for the previous fiscal year ending in 31/12/2014, approval of financial statements as of 2014 fiscal year, approval to discharge the board of directors from liability for the fiscal period ending in 31/12/2014, approval to select Ernst & Young and Price Waterhouse Office as accounts auditors from the auditing committee’s candidates to audit the financial statements of 2015 fiscal year as well as examining the quarterly financial statements and determining their fees.

The assembly also approved the remuneration and compensation paid to the members of the board of directors in return of their  membership and management as contained in the report of the board of directors for the period from 1 January 2014 to 31 December 2014. The chairman of the board explained that the eligibility of profits shall be for the shareholders registered in the records of the bank by the end of the sixth extraordinary general assembly deliberation held on 25 Jumada Al-Thani 1436 corresponding to 14 July 2015. The distribution of the profits to shareholders shall start as of Thursday 11 Rajab 1436 corresponding to 30 April 2015, knowing that the cash dividends distributed do not include the bonus shares and explained that the fractions of shares resulting from the capital increase will be grouped up in one portfolio for all shareholders and sold at market price and then the proceeds of such fractions of shares shall be distributed to eligible shareholders at the date of eligibility each as per his/her share based on the average share selling price during a period not longer than thirty (30) days staring from the date of correct shares distribution to eligible shareholders according to rules. Dr. Al-Humaid also stated that the goal of capital increase is to enhance the bank's financial solvency and retention of resources in operational activities.