The year-over-year improvement included a one-time investment gain and a lower legal reserve
ENPNewswire-August 19, 2019--AM Best Affirms Credit Ratings of Fidelity Life Association, a Legal Reserve
Life Insurance Company
The initiative has also demanded the use of fiscal policy as a tool for reduction of economic turmoil that arise from aggregate demand volatility such as the open market operations, limitation of liquidity ratio, legal reserve
ratio and the required ratio margin.
The issuance will increase the bank's capital to Dh3.63 billion from Dh3.168 billion, with another Dh538 million to be allocated to ADIB's legal reserve
This may translate to higher past due ratios and inability to meet the legal reserve
requirements,' it added.
The company clarified that the increase of the capital will be financed by the company's reserves; LE 500 million from its legal reserve
which amounts to LE 693.1 million, and about LE 250 million from other reserves that are worth LE 927.8 million.
While Boston Scientific declined an interview with 60 Minutes, the company did say that "Any allegations continuing to question the integrity or legitimacy of our [plastic] resin are false and irresponsible." MESH ISSUES 'LIKELY OVERSTATED: In a research note to investors commenting on the 60 Minutes report, Stifel's Wise called the story "unsettling...but likely overstated." The analyst pointed out that the company has reached or is near settlement on 47,500 of the known 49,500 mesh legal claims, has a $1.5B legal reserve
for the matter and said it expects the majority of the remaining mesh claims to be resolved in 2018.
The capital account liabilities amounted to QR142.7bn, of which QR57.48bn was legal reserve
; QR37.93bn paid up capital; QR29.85bn retained earnings; and QR16.56bn risk reserve.
Without the effect of the legal reserve
and the DTA remeasurement, net income would have been $2.9 million for the fourth quarter, a 4.8% decrease as compared to third quarter 2017 earnings, and $12.4 million for the year, a 52.9% increase as compared to the same period in 2016.
Lenders are supporting Banque du Liban's balance sheet through legal reserve
requirements, the purchase of fixed income securities issued by the central bank and through voluntary deposits.
Excluding a $9 million legal reserve
charge in the fiscal 2018 span and the aforementioned $9 million supply agreement termination fee, however, operating earnings climbed 16.8% to $132 million on an adjusted basis.
The mandatory or legal reserve
ratio is one of the tools used by the CBE to influence the bank liquidity ratio, inflation rate, credit granting rates, and so on.