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17 April 2017

Aamal Company Q.P.S.C.” (Aamal), one of the GCC’s fastest growing diversified conglomerates, held its Annual Ordinary General Assembly Meeting, after the quorum was achieved.

H.E. Sheikh Faisal Bin Qassim Al Thani - Chairman of Aamal Company – welcomed the attendees, and then the AGM commenced according to the Agenda.

 

1. To hear and approve the Chairman’s report on the Company’s activities and the financial position for the financial year ended December 31, 2016, and to hear about the Company’s future business plan:

The Board of Directors’ Report on the Company’s activities, its financial position for the fiscal year ended December 31, 2016, and its future business plan was presented, discussed and approved.

Sheikh Mohamed Bin Faisal Al Thani, Vice Chairman and Managing Director, delivered the Chairman’s report, as follows:

Dear guests; thank you for attending The Annual Ordinary General Assembly Meeting of Aamal Company Q.P.S.C.

On behalf of the Board of Directors, I am pleased to present the Annual Report of Aamal Company QPSC for the year ended 31 December 2016.

Aamal Company has performed admirably well over the past twelve months with underlying profits before fair value gains on investment properties having increased by 7.3%; this has been driven by expansion in the overall margin despite the subdued oil price and the associated retrenchment in customer spending.

This is testament to the inherent qualities of our business model: first, the market leading positions that we currently occupy which lends us natural competitive advantages; and secondly, the offering of strength through diversity, so when one area of the business may experience a tightening in general business conditions, there will be others that should be able to more than compensate.

Aamal continues to achieve sustainable growth through optimization of its current business activities, including capitalizing on operational synergies, whilst looking for new opportunities to create new and profitable revenue streams.

Aamal is not only positioned to profit directly from Qatar’s growing economy, but also to contribute directly to its further development and diversification; this helps to create a virtuous circle that is to the mutual benefit of a wide range of stakeholders.

We will continue to track Qatar’s rapid economic development to identify sectors that offer investment opportunities for sustainable growth and returns by meeting the increasingly sophisticated needs of the local market: from industrial manufacturing, to trading, to business services, to property.

We believe in building strength through careful diversification and have established an enviable and successful track record of delivery against this strategy, often in collaboration with world class partners in their respective markets. I would like to highlight the important role that the Government of the State of Qatar continues to play in helping to nurture an environment that is conducive to greater private sector involvement in the overall economy.

The Government has introduced a number of initiatives to enhance the cooperation between the public and private sectors, which is considered a critical component to achieving its national vision.

Alongside having a benign economic outlook, Qatar also offers social and political stability, all of which are key to building up and retaining investors’ trust and confidence.

Finally, I would like to extend my sincere thanks to His Highness Sheikh Tamim bin Hamad Al Thani, Emir of the State of Qatar, may God protect him, who together with the Government has continued to provide steadfast support and encouragement of the private sector recognizing the important role it plays in the country’s development and prosperity.

We would also like to extend our thanks and appreciation to our valued shareholders and partners for their trust and support in us as well as to our employees for their efforts.

We ask God Almighty that He gives us the ability to continue to work in the best interests of us all.”

2. To hear and approve the external auditor’s report on the Company’s Financial Statements for the year ended December 31st, 2016:

  • The External Auditor’s Report on the Company’s Financial Statements for the year ended December 31, 2016 was presented, discussed and approved.

     

3. To discuss and approve the Company’s Financial Statements, losses and profits for the financial year ended December 31st, 2016:

  • The Company’s Financial Statements, including its profits and losses for the financial year ended December 31, 2016, were presented, discussed and approved.
  • Net profit before fair value gains on investment properties (“underlying net profit”) increased 7.3% to QAR 559.3m (2015: QAR 521.3m).
  • Group revenue marginally down, by 1.8%, to QAR 2,829.1m (2015: QAR 2,882.0m).
  • Reported earnings per share decreased 23.1% to QAR 0.73 (2015: QAR 0.95).
  • Financial gearing3 fell to 2.3% (31 December 2015: 3.6%).

     

 

4. To discuss and approve the proposal of the Board of Directors to distribute dividends to the current shareholders the sum of 6% (QR 0.6 for each share) of the nominal value of each share of the Company that they own (i.e. QR 0.6 per share).

  • The recommendation of the Board of Directors to distribute 6% cash dividends on the nominal value of the Company’s shares to the shareholders holding the Company’s shares on the date of the Ordinary General Assembly Meeting (at a rate of QAR 0.6 per share) and to ratify the same was discussed and approved.

 

5. To discharge members of the Board of Directors from their directorship responsibilities for the financial year ended December 31, 2016 and determine their bonus.

  • The Board of Directors approved to absolve the members of the Board of Directors from any liability with respect to their directorship responsibilities for the financial year ended December 31, 2016.  It was also resolved to set the remuneration of the Board of Directors for the financial year ended December 31, 2016 at (QAR 1,200,000) in total.

 

6. To discuss and approve the Company’s Corporate Governance Report for the year 2016.

  • The Company’s Corporate Governance Report was presented, discussed and approved.

 

7. Appointing the External Auditors for the Financial Year 2016, and determine its fees.

  • The Company appointed Price Water House Coopers as the Company’s External Auditor for the financial year ended December 31, 2017, and determined the External Auditor’s professional fees as (QAR 600,000) for said financial year.