Financial Information

OVERVIEW
REPORT OF THE BOARD OF DIRECTORS TO THE SHAREHOLDERS
for the year ended 31 December 2010

The Board of Directors is pleased to present the 32nd Annual report since the formation of the company, highlighting the activities and results of the year ended December 31, 2010.

Despite the continued effect of the global financial crisis on some industries during the year, the management of Crowne Plaza Bahrain which is owned by Bahrain Tourism Company managed to maintain the level of its activities with improvements compared to previous year.

The Indian Restaurant (Spices) in the hotel was a successful Investment, which prompted Board of Directors to add another facility, the New Car park building which is under construction is expected to be completed and utilized from August 2011. This facility will add another feature to the Hotel business.

Net profit of the Company for the year 2010 amounts to BD 3,614,201, as compared to BD. 3,159,643 , with an increase of BD. 454,558 (14.39%) and equity of shareholders increased by 8.62% reaching to BD.30,521,614

The Board of Directors proposes the following distribution and remuneration:

BAHRAINI DINAR
Cash Dividend (20 percent) 1,313,453
Donations to charity 15,000
Capital and Development Reserve 7,386,605
Retained earnings after appropriations 4,000,000

The Board of Directors also proposed directors’ remuneration of BD 64,000.

The Board of Directors would like to express its deep gratitude and sincere appreciation to His Majesty King Hamad Bin Isa Al Khalifa, King of the Kingdom of Bahrain, to HRH Prince Khalifa Bin Salman Al Khalifa, the Prime Minister and to HRH Prince Salman Bin Hamad Al Khalifa, the Crown Prince and Deputy Supreme Commander of the Bahrain Defence Force, and to the Ministers of the Kingdom of Bahrain for their continuing support and encouragement.

We also wish to reiterate our gratitude and appreciation to our respected clients for their support and finally, we are pleased to convey our appreciation and thanks to the company’s Chief Executive Officer and all employees for their sincere efforts towards developing the business of the Company.

Qassim Mohamed Yousif Fakhroo
Chairman

Date: 24 February 2011