Saudi Industrial Investment Group SIIG announces the capital reduction of its jointly managed companies

ELEMENT LISTEXPLANATION
Announcement DetailSaudi Industrial Investment Group announces the capital reduction of its jointly managed companies (Saudi Chevron Phillips (“SCP”) and Jubail Chevron Phillips (“JCP”)), which are owned 50% by SIIG. It was determined that the share capital could be reduced since the two companies have sufficient financial reserves, no debt, and the ability to borrow if needed. The share capital of SCP has been reduced from SR (655) Million to SR (244) Million, and the share capital of JCP has been reduced from SR (1,478) Million to SR (484) Million. This reduction will be returned to the JVs’ owners in stages according to the JVs’ financial capabilities during the upcoming years. SIIG’s share of that reduction is SR (703) Million.An additional benefit of reducing the capital will be the reduction in provisions for statutory reserve required and limiting the creation of any additional provisions for SCP and JCP.