| Summarized Results of Operation and Financial Position for AMAK |
The summarized results of operation and financial position for AMAK are as follows:
Results of Operations
| |
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
| |
|
2016
(restated)
|
|
|
2015 |
|
|
2016
(restated)
|
|
|
2015 |
|
| |
|
(Thousands of Dollars) |
|
Sales |
|
$ |
318 |
|
|
$ |
19,874 |
|
|
$ |
9,921 |
|
|
$ |
38,458 |
|
Gross profit (loss) |
|
|
(4,747 |
) |
|
|
(2,711 |
) |
|
|
(7,556 |
) |
|
|
35 |
|
General, administrative and other expenses |
|
|
2,463 |
|
|
|
4,067 |
|
|
|
6,986 |
|
|
|
9,605 |
|
Loss from operations |
|
$ |
(7,210 |
) |
|
$ |
(6,778 |
) |
|
$ |
(14,542 |
) |
|
$ |
(9,570 |
) |
Gain on settlement with former operator |
|
|
- |
|
|
|
- |
|
|
|
17,440 |
|
|
|
- |
|
Net income (loss) |
|
$ |
(7,210 |
) |
|
$ |
(6,778 |
) |
|
$ |
2,898 |
|
|
$ |
(9,570 |
) |
|
| Equity in Income or Loss of AMAK Reflected on Consolidated Statements of Operation |
Therefore, net income (loss) before depreciation and amortization was as follows:
| |
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
| |
|
2016
(restated)
|
|
|
2015 |
|
|
2016
(restated)
|
|
|
2015 |
|
| |
|
(Thousands of Dollars) |
|
Net income (loss) before depreciation and amortization |
|
$ |
(4,021 |
) |
|
$ |
(2,543 |
) |
|
$ |
11,504 |
|
|
$ |
5,680 |
|
Financial Position
| |
|
September 30, |
|
|
December 31, |
|
| |
|
2016
(restated)
|
|
|
2015 |
|
| |
|
(Thousands of Dollars) |
|
Current assets |
|
$ |
27,159 |
|
|
$ |
26,078 |
|
Noncurrent assets |
|
|
260,142 |
|
|
|
259,527 |
|
Total assets |
|
$ |
287,301 |
|
|
$ |
285,605 |
|
| |
|
|
|
|
|
|
|
|
Current liabilities |
|
$ |
2,883 |
|
|
$ |
22,740 |
|
Long term liabilities |
|
|
87,994 |
|
|
|
89,364 |
|
Shareholders' equity |
|
|
196,424 |
|
|
|
173,501 |
|
| |
|
$ |
287,301 |
|
|
$ |
285,605 |
|
The equity in the income or loss of AMAK reflected on the consolidated statements of income for the three and nine months ended September 30, 2016, and 2015, is comprised of the following:
| |
|
Three months ended
September 30,
|
|
|
Nine months ended
September 30,
|
|
| |
|
2016 |
|
|
2015 |
|
|
2016
(restated)
|
|
|
2015 |
|
| |
|
(Thousands of Dollars) |
|
| AMAK Net Income (Loss) |
|
$ |
(7,210 |
) |
|
$ |
(6,778 |
) |
|
$ |
2,898 |
|
|
$ |
(9,570 |
) |
| Zakat tax applicable to Saudi Arabian shareholders only |
|
|
- |
|
|
|
- |
|
|
|
320 |
|
|
|
- |
|
| AMAK Net Income (Loss) before Saudi Arabian shareholders' portion of Zakat |
|
$ |
(7,210 |
) |
|
$ |
(6,778 |
) |
|
$ |
3,218 |
|
|
$ |
(9,570 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company’s share of income (loss) reported by AMAK |
|
$ |
(2,426 |
) |
|
$ |
(2,391 |
) |
|
$ |
1,250 |
|
|
$ |
(3,375 |
) |
Amortization of difference between Company’s investment in AMAK and Company’s share of net assets of AMAK |
|
|
337 |
|
|
|
337 |
|
|
|
1,011 |
|
|
|
1,011 |
|
Equity in earnings (loss) of AMAK |
|
$ |
(2,089 |
) |
|
$ |
(2,054 |
) |
|
$ |
2,261 |
|
|
$ |
(2,364 |
) |
|