These special purpose financial statements have been prepared for the purpose of submission to the Department of Zakat and Income Tax (the DZIT) as required under Ministerial Resolution No 1005 dated 28/04/1428 A.H (corresponding to 15/05/2007), which requires the holding company to submit consolidated financial statements in which the financial statements of wholly owned subsidiaries whether domiciled in the Kingdom of Saudi Arabia or out of the Kingdom of Saudi Arabia are consolidated, whereas the results and the financial position of the subsidiaries that are not wholly owned is accounted for using equity method of accounting. The Company also prepares statutory consolidated financial statements, in which other subsidiaries, which are not wholly owned, are consolidated. The Company and its subsidiaries have identical reporting periods.