Imposition of a penalty

The Capital Market Authority announces the issuance of a CMA Board resolution to impose a penalty of SR 100,000 (One Hundred Thousand Saudi Riyals) on the Saudi Chemical Company due to its violation of clause (c) of Article (45) of the Capital Market Law. The news that the board recommended the distribution of profits (1.5) Saudi Riyals for every share was leaked to an electronic website on 30-4-2012 before notifying CMA and publicly announcing it on the website of the Saudi Stock Exchange (Tadawul). The company later announced the news on 8-5-2012, a week after it had been leaked to the electronic website.