Further to the company announcement published on Tadawul website on 04/05/1438H (corresponding to 01/02/2017G), Saudi Arabian Mining Company (Maaden) announces the impact on its financial statements as a result of the IFRS transitioning process.
As previously disclosed, the Company expects the most significant impact on its financial statements as a result of the transition to IFRS will be as a result of applying the impairment testing methodology required under IFRS to its assets; this methodology is more conservative than the impairment testing required under the SOCPA standards. As a result the Company expects to recognize total impairments of SAR2.9BN in respect of its aluminium rolling business, and in respect of its investment in the jointly controlled entity Sahara Maaden Petrochemical Company (SAMAPCO). These impairments will impact the Company retained earnings as at January 1, 2016 and the full year 2016 IFRS compliant financial statements.
The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.