KUWAIT CITY, March 30: The Kuwait Projects Company Holdings (KIPCO) held an open investor forum (Shafafiyah) and Annual General Meeting (AGM) Wednesday in the auditorium of the of the KIPCO Asset Management Company (KAMCO) building in Sharq to review company operations and reveal the profits for 2010 as well as decide with shareholders what the quantum of dividend should be, among other matters.
The outlook for 2011 was also discussed. The event was attended by shareholders, invited guests, as well as company executives led by Mr. Faisal Al Ayyar, Vice Chairman and Mazen Hawa, Group Vice President.
In his speech at the event, Faisal Ayyar said the company’s net profit stood at KD 45 million as of December 31, 2010, compared to KD 36.8 million in 2009, representing a 22% increase. Profitability of the 2010 operations also made that year the nineteenth consecutive one of KIPCO’s profitable operations and ninth dividend payment to shareholders.
He further revealed that as a result of the 22% rise in profit, the Board of Directors is recommending a cash dividend of 20% (20 Fils per share) and a 5 per cent stock dividend for 2010, subject to approval by the company’s General Assembly and regulatory authorities. This compares to a 25 per cent (25 fils per share) cash dividend and 5 per cent stock dividend distributed to shareholders in 2009.
With the company ending the year with KD 285 million in liquidity and low leverage at parent level, the Board announced at the forum it had unanimously decided to extend its debt maturity profile to 2020.
Mazen Hawa on his part also said that while KIPCO is positioned to benefit from Kuwait’s KD 30 billion Development Plan with its comfortable liquidity position, there are mechanisms in place to raise the liquidity ratio to 35.5% against the required 25%.
At its annual Investor’s Forum, KIPCO - the Kuwait Projects Company - announced that it expected 2011 to be its twentieth consecutive year of profitability and tenth consecutive year of dividend payment to shareholders.

The announcement was made at the company’s annual Shafafiyah (transparency) Investor’s Forum where KIPCO presented a review of 2010 and guidance for 2011 to an audience of shareholders, partners, financial analysts and institutional investors.
The Investor’s Forum followed the company’s General Assembly meeting where KIPCO shareholders approved a proposed dividend of 20 per cent (20 fils per share) and a stock dividend of 5 per cent.
At the Forum, KIPCO outlined its plans and expectations for 2011. KIPCO said recent results from Burgan Bank indicated that the worst of the financial crisis may now be over, and as a result, the bank expects sustained growth in 2011. KIPCO also said that its satellite broadcast company - OSN - will increase its subscriber base and market share and maintain content supremacy during the year. KIPCO also expects its insurance operations to increase their share of the regional market in 2011.
KIPCO also believes that its operations will benefit significantly from the implementation of the Kuwait government’s KD 30 billion (US$ 107 billion) development plan.
Commenting on the outlook for 2011, KIPCO’s Group Chief Operating Officer, Mr Samer Khanachet, said:
“2010 was KIPCO’s nineteenth consecutive year of profitability and the ninth consecutive year we have paid shareholders a dividend. We expect to maintain this outstanding track record in 2011 by delivering our twentieth consecutive year of profitability and our tenth consecutive year of paying shareholders a dividend. Our track record is based upon a clear strategy of seizing opportunities to create shareholder value, while maintaining strict financial discipline.”

Also:
KUWAIT: Kuwait Projects Co (KIPCO) has agreed to raise the company capital to 127 million dinars ($457.5 million) from 121 million dinars, the company said on Wednesday.
This will be done through a 5 percent bonus share distribution to shareholders, it said during its annual general meeting in Kuwait.