12/04/2008 – The General Assembly of Arab Petroleum Investments Corporation (APICORP) – an Inter-Arab financial institution affiliated to the Organisation of Arab Petroleum Exporting Countries (OAPEC) – held its 32nd Ordinary Meeting on Saturday 12th April 2008 in the city of Manama, Kingdom of Bahrain.
The meeting was chaired by Mr. Abdullah Al-Zaid, representative of the government of the Kingdom of Saudi Arabia, and it was attended by representatives from other member states namely: Arab Republic of Egypt, Syrian Arab Republic, United Arab Emirates, Kingdom of Bahrain, Democratic and Popular Republic of Algeria, Republic of Iraq, State of Qatar, State of Kuwait and the Socialist People’s Libyan Arab Jamahiriya, the meeting was also attended by Mr. Ahmad Bin Hamad Al-Nuaimi, Chief Executive and General Manager of (APICORP).
Mr. Ahmad Al-Nuaimi stated that the General Assembly approved the 32nd Annual Report and the Audited Financial Statements of the Corporation for the year ended 31 December 2007. As disclosed by the Financial Statements, the company operations for 2007 achieved a net profit of US$79.7 million, compared to US$51.0 million for 2006, or a 56% increase. This impressive increase in the net profit was achieved through the excellent performance of the Corporation’s core business activities as a whole.
Total assets jumped by 37% to reach US$3.57 billion, compared to US$2.6 billion in 2006; while total shareholders equity also rose to US$1,020 million, compared to US$897 million in 2006, or a 13.7% increase.
In accordance with the Statute of the Corporation, 10% of the Corporation’s net profit was transferred to the legal reserve, and the General Assembly endorsed the Board of Directors recommendation for the distribution of just US$20 million, and as a gesture of support from member states, the remaining profits will be retained for reinvestment to boost the capital leverage and to strengthen the growth ratios of the Corporation’s assets.
By year-end 2007, the fair value of the Corporation’s direct equity investments portfolio jumped to US$343 million, or a 33% increase over its 2006 level of around US$257 million.
Mr. Al-Nuaimi added that, the Board of Directors held its 1st meeting for 2008 on Friday 11th April. It considered matters on its agenda related to the Corporation’s investment and financing activities. On that connection, the project and trade finance sector was robust during 2007, where APICORP played leading and major roles in the 28 financing facilities concluded during the year, with APICORP’s underwriting and commitment aggregating US$1.9 billion, compared to 20 transaction and a total of US$1.3 for the year 2006.
The Board of Directors (in its new formation) held its 2nd meeting for 2008 on Saturday 12th April, it re-elected Mr. Abdullah Al-Zaid, representative of the government of the Kingdom of Saudi Arabia as Chairman and Mr. Mohamed Ali Al-Huweij, representative of the Libyan Arab Jamahiriya as Deputy Chairman, while Sheikh Talal Naser Al-Subah, has been nominated as the new representative of the government of Kuwait.
At the close of its session, members of the Board of Directors expressed their thanks and gratitude to the shareholder governments for their continued support and assistance, as well as and their everlasting encouragement to the Corporation since its inception in 1975.
The Board of Directors also commended the special care the Corporation receives from the government of the Custodian of the Two Holy Mosques, Kingdom of Saudi Arabia, which has been conducive in the achievement of its objectives.
Members of the General Assembly, Chairman and members of the Board of Directors and the General Manager expressed their thanks and appreciations to the Kingdom of Bahrain for the cordial reception and generous hospitality extended to them during the term of their stay in the Kingdom of Bahrain.