NIG Prospectus - London Stock Exchange

Level: 8 – From: 8 – Thursday, August 9, 2007 – 2:20 pm – mac5 – 3776 Section 10c : 3776 Section 10c29 Cash and cash equivalents200511112200411112KD ‘000 KD ‘000Short-term deposits .................................................................................... 34,993 14,007Bank balance and cash .............................................................................. 8,712 4,686Due to banks .............................................................................................. (17,127)11112(11,773)1111226,578 111126,92011112Due to banks amounting to KD622 thousand (2004: KD1,148 thousand) along with the short-termSterling loan of KD504 thousand (2004: KD889 thousand) (see note 28) are secured againstproperty, plant and equipment with a book value of KD143 thousand (2004: KD1,774 thousand) andinventories and debtors with book values totalling to KD1,182 thousand (2004: KD262 thousand).30 Proposed dividendSubject to the requisite consent of the relevant authorities and approval from the generalassembly, the board of directors have proposed to distribute the following dividends for the yearended 31 December 2005 to the shareholders of record as of the date of the general assembly:– cash dividend of 60 Fils per share (2004: 30 Fils per share);– bonus shares of 10% (2004 : 5%) of paid-up share capital;– one share of the subsidiary, National Industries Company for Building Materials – SAK(Closed) for every 10 shares held in the parent company.The proposed cash dividend of 30 Fils per share and the proposed bonus shares of 5% for theyear ended 31 December 2004 were approved by the annual general assembly held on 4 May2005. Subsequently the proposed cash dividend was paid and bonus shares were issued.31 Defined benefit pensions schemesThe group has defined benefit pension schemes for the employees of certain subsidiaries in theUnited Kingdom. The following disclosures cover all the schemes on an aggregated basis. Actuarialcalculations have been made in order to determine pension liabilities and pension expenses inconnection with the group’s defined benefit pension schemes. The following assumptions havebeen used in calculating the liabilities and expenses incurred:200511112200411112Discount rate at 31 December.................................................................... 4.90% 5.30%Expected return on plan assets .................................................................. 5.70% 6.30%Future salary increases .............................................................................. N/A N/AFuture pension increases ............................................................................ 2.70% 2.70%Consolidated statement of income200511112200411112KD ‘000 KD ‘000Current service cost.................................................................................... – 111Interest cost................................................................................................ 1,613 1,732Expected return on assets.......................................................................... (1,453) (1,585)Actuarial loss .............................................................................................. 510 347Loss on curtailments and settlements ...................................................... 9721111235311112Net annual charge included in general and administrative expenses ........ 1,642 1111295811112F-75