| Element List | Explanation |
|---|---|
| Introduction | Raydan Food Company announces that it has reached its cumulative loss as on June 30, 2021 AD, according to the financial statements for the second quarter of 2021, at a rate of 36.08%, with an amount of 81,178,340 SAR from the company’s capital, which amounts to 225,000,000 SAR |
| Date of Realization of the Loss | 2021-06-30 Corresponding to 1442-11-20 |
| Amount of the Accumulated Losses | 81,178,340 |
| Percentage of the Accumulated Losses out of the Capital (%) | 36.08 % |
| Major Reasons Leading to the Losses | There are accumulated losses as on December 31, 2020 amounting to 68,159,301 SAR in addition to losses for the current period amounting to 13,019,039 SAR as a result of a decrease in revenues and an increase in the cost of sales (as a result of the Corona pandemic), closing some branches temporarily and permanently, and recording capital losses as a result of the decline in the value of assets and the sale of assets. |
| Measures to be Taken by the Company in Regard to Such Losses | Working to reduce capital losses by granting commercial franchises, finding less costly operational solutions, and benefiting from the company's capital increase to improve future operational and marketing performance. |
| Application of the Procedures and Instructions | Procedures and Instructions Applicable on Companies Listed in Saudi Capital Market Whose Accumulated Losses Reach 20% or more out of the Capital Thereof will be Applied |
| Reference to additional procedures or instructions | The procedures and instructions for companies listed in the Saudi Stock Exchange whose accumulated losses amounted to 35% or more of their capital will be applied. |
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