Financial Information

OVERVIEW
REPORT OF THE BOARD OF DIRECTORS TO THE SHAREHOLDERS
for the year ended 31 December 2012

The Board of Directors is pleased to present the 34th Annual report since the formation of the company, highlighting the activities and results of the year ended December 31, 2012.

The New Car Park Project has proved very positive Investment for the Company and the Hotel.

The Board continues to study other projects as future initiatives, including the construction of a new five stars hotel within the vicinity of the existing hotel. In addition to appointing the Project Manager last year, cost consultants have completed their study and feasibility study is currently in progress. Board of Directors also approved the renovation of 50% of Crowne Plaza Bahrain rooms during 2013.

Net profit of the Company for the year 2012 amounted to BD 1,257,918 as compared to BD 932,154 in 2011 with an increase of BD 325,764. Equity of the shareholders amounted to BD 30,535,257 as compared to BD 29,901,242 as a result of the reasons set out above..

The Board of Directors proposes the following appropriations:

BAHRAINI DINAR
Cash Dividend of 15 percent (15 fils per share for shares traded ) 985,090
Donations to charity 15,000
Retained earnings after appropriations 257,828

The Board of Directors also proposes directors’ remuneration of BD 60,000.

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: 20 February 2013