AL-KHODARI RENEWS ISLAMIC FACILITY AGREEMENT

Abdullah A. M. Al-Khodari Sons Company announces the signing of the renewal of existing Islamic Facilities Agreement with Riyad Bank on 28/Nov/2013 in the amount of SAR 824,299,000 (Eight Hundred Twenty Four Million Two Hundred Ninety Nine Thousand Riyals). 
The purpose of these credit facilities is to provide bonding commitments and to fund capital requirements and working capital needs for the company's specific projects and general businesses. The modes of utilization are tawarroq, progress payment, multi bonds, documentary credit and murabaha financing.
The credit facilities renewed by Riyad Bank are comprising of 45 % tawarroq and murabaha and 55 % multi bonds and documentary credit.
The facilities are secured by promissory note and assignment of the contract proceeds of the financed projects. The credit facilities agreement is renewable at its expiry date of 17/09/2016, however, the credit limits extended by the bank will mature over the life of the respective financed projects which ranges between 2 to 5 years.