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An Announcement Regarding the Listed Companies with Accumulated Losses reaching %50 or more of its Capital

As part of the CMA’s efforts to develop the capital market and  its procedures to reduce risks related to securities transactions as well as enhance the protection of investors, and in reference to the Instructions and Procedures Related to Listed Companies with Accumulated Losses reaching %50 or more of its Capital issued by  CMA’s Board resolution Number (4-48-2013) Dated 15/1/1435H corresponding to 18/11/2013 and based on the Capital Market Law issued by Royal Decree Number (M/30) Dated 2/6/1424 H.
CMA’s Board issued a resolution dated 25/8/1435H corresponding to 23/6/2014 which included the following:

1) The listed company’s shares should be suspended from trading for two hours when the market opens after the announcement that its accumulated losses reached %50 or more and less than %75 of its capital according to clause (A) of Article (3) of the Instructions and Procedures Related to Listed Companies with Accumulates Losses reaching %50 or more of its Capital.

2) The listed company’s shares should be suspended from trading for two hours when the market opens after the announcement that its accumulated losses decreased to less than %50 of its capital according to clause (D) of Article (3) of the Instructions and Procedures Related to Listed Companies with Accumulates Losses reaching %50 or more of its Capital.

3) The listed company’s shares should be suspended from trading in the market when the company does not comply to announce in a separate announcement that its accumulated losses reached %50 or more of its capital according to clause (A) of Article (3) and clause (A) of Article (4) and clause (A) of Article (5) of the Instructions and Procedures Related to Listed Companies with Accumulates Losses reaching %50 or more of its Capital.

4) The listed company’s shares should be suspended from trading  in the market when the company does not comply to announce in a separate announcement that its accumulated losses decreased to less than   %50 of its capital according to clause (D) of Article (3) of the Instructions and Procedures Related to Listed Companies with Accumulates Losses reaching %50 or more of its Capital.