THE SAUDI BRITISH BANK Table of Contents 7 Board of Directors 9 Financial Highlights 10 Chairman’s Statement 12 Directors’ Report 28 Auditors’ Report 3030 Consolidated Balance Sheet 31 Consolidated Statement of Income 32 Consolidated Statement of Changes in Shareholders’ Equity 33 Consolidated Statement of Cash Flows 34 Notes to the Financial Statements 75 Basel II – Pillar 3 Annual Disclosures 88 Pillar 3 Annual Disclosures – Tables 102 Addresses and Contact Numbers This report is issued by SABB (The Saudi British Bank) To receive a copy of this report, please contact: Corporate Communications SABB Head Office: P.O. Box 9084 Riyadh 11413 Kingdom of Saudi Arabia Tel: +966 (1) 276 4779 Fax: +966 (1) 276 4809 Email:
[email protected] or visit our website at: www.sabb.com Custodian of The Two Holy Mosques King Abdullah Bin Abdulaziz Al Saud His Royal Highness Prince Sultan Bin Abdulaziz Al Saud The Crown Prince, Deputy Premier, Minister of Defence and Aviation and Inspector General THE SAUDI BRITISH BANK Board of Directors Chairman Abdullah Mohammad Al Hugail Managing Director Khaled Suliman Olayan Fouad Abdulwahab Bahrawi John Edward Coverdale Khalid Abdullah Al Molhem DavidYoussef Howard Assad Hodgkinson Nasr Richard W L Groves Sulaiman Abdulkader Ahmed Sulaiman Banaja Mukhtar Malik Hussain Al Muhaidib 7 8 THE SAUDI BRITISH BANK Financial Highlights Year Saudi Riyal (millions) 2008 2007 2006 2005 2004 Customer Deposits 92,678 71,848 59,258 48,534 44,666 Shareholders’ Equity 11,634 10,425 9,405 7,493 5,917 Investments, net 29,604 14,859 21,702 16,373 14,676 Loans and Advances, net 80,237 62,001 42,450 40,847 31,627 Total Assets 131,661 98,213 77,189 65,928 57,938 Net Income 2,920 2,607 3,040 2,504 1,646 Gross Dividend 660 1,500 1,500 813 990 Net income 3500 3000 3,040 2500 2,920 2,607 2,504 2000 1500 1,646 1000 Saudi Riyal (millions) Riyal Saudi 500 0 2008 2007 2006 2005 2004 Year 9 THE SAUDI BRITISH BANK Chairman’s Statement On behalf of the Board of Directors I am pleased to present the Annual Report of SABB for the financial year ending 31 December 2008.