Thursday,24 March 2011
By : Jameel W. Karaki
KUWAIT: Deputy Chairman of the Board of Directors of the Commercial Bank of Kuwait (CBK), Ali Al-Awadhi announced 40,500 million Kuwaiti dinars as net profit for the financial year 2010 at the general assembly held yesterday (Wednesday) at the bank's headquarters.
Al- Awadhi went on to say that the bank has used KD 51 million provisions mainly to cover bad debts which decreased from 17 percent for the fiscal year of 2009 to 15 percent during 2010. This indicates an improvement according to Al-Awadhi.
The general assembly witnessed the distribution of 15 percent cash dividends to share holders.
Al-Awadhi stated that the bank's profit before provisions touched KD 93.6 million, and after provisions against loan and investment portfolios, the net profit amounted to KD 40.5 million with earnings per share (EPS) of 31.8 Kuwaiti fils. In addition, total assets stood at KD 3.6 billion and total shareholder funds were KD 465.9 million at the end of 2010.
He emphasized that the bank also has a strong capital base with a capital adequacy ratio of 19.96 percent which exceeds the minimum 12 percent requirement of the Central Bank of Kuwait.
The general assembly also witnessed the election of two new board members, namely Salam Al- Ali and Majed Awad while Ali Al-Mousa and Rasha Al-Awadhi were additional members.
Al Awadi announced during the press conference held on the side of the general assembly that the bank had facilitated financing the Al Zour power station project the costs of which amounted to KD 1.2 billion. According to him, the project is to last for 10 years where the first three years covers is for developing and establishing the power station and the other seven years are for maintenance.
Al-Awadhi told the press that two local banks had participated with the Commercial Bank of Kuwait in financing this project which were Burgan Bank and Al-Ahli Bank of Kuwait with 25 percent of financing facilities for each leaving 10 percent for each of Mashreq Bank and Arab Banking Corporation (ABC) Bahrain while the lion's share went to CBK with 30 percent, placing the bank in a leading position.
Al Awadhi explained that the need for partners in financing such a huge project are in line with regulations set by the Central Bank of Kuwait which restricts only one bank in financing such a project alone. Furthermore, he revealed his hopes for notching reputable profits from this project. Regarding Boubyan Bank shares owned by The Investment Dar (TID), Al-Awadhi said that the bank will appeal before the court to solve the conflict between both parties.
By : Jameel W. Karaki
KUWAIT: Deputy Chairman of the Board of Directors of the Commercial Bank of Kuwait (CBK), Ali Al-Awadhi announced 40,500 million Kuwaiti dinars as net profit for the financial year 2010 at the general assembly held yesterday (Wednesday) at the bank's headquarters.
Al- Awadhi went on to say that the bank has used KD 51 million provisions mainly to cover bad debts which decreased from 17 percent for the fiscal year of 2009 to 15 percent during 2010. This indicates an improvement according to Al-Awadhi.
The general assembly witnessed the distribution of 15 percent cash dividends to share holders.
Al-Awadhi stated that the bank's profit before provisions touched KD 93.6 million, and after provisions against loan and investment portfolios, the net profit amounted to KD 40.5 million with earnings per share (EPS) of 31.8 Kuwaiti fils. In addition, total assets stood at KD 3.6 billion and total shareholder funds were KD 465.9 million at the end of 2010.
He emphasized that the bank also has a strong capital base with a capital adequacy ratio of 19.96 percent which exceeds the minimum 12 percent requirement of the Central Bank of Kuwait.
The general assembly also witnessed the election of two new board members, namely Salam Al- Ali and Majed Awad while Ali Al-Mousa and Rasha Al-Awadhi were additional members.
Al Awadi announced during the press conference held on the side of the general assembly that the bank had facilitated financing the Al Zour power station project the costs of which amounted to KD 1.2 billion. According to him, the project is to last for 10 years where the first three years covers is for developing and establishing the power station and the other seven years are for maintenance.
Al-Awadhi told the press that two local banks had participated with the Commercial Bank of Kuwait in financing this project which were Burgan Bank and Al-Ahli Bank of Kuwait with 25 percent of financing facilities for each leaving 10 percent for each of Mashreq Bank and Arab Banking Corporation (ABC) Bahrain while the lion's share went to CBK with 30 percent, placing the bank in a leading position.
Al Awadhi explained that the need for partners in financing such a huge project are in line with regulations set by the Central Bank of Kuwait which restricts only one bank in financing such a project alone. Furthermore, he revealed his hopes for notching reputable profits from this project. Regarding Boubyan Bank shares owned by The Investment Dar (TID), Al-Awadhi said that the bank will appeal before the court to solve the conflict between both parties.
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