1999 News Story

New Services Company Holds First Board Meeting

The four constituent member corporations of the newly-established Jubail and Yanbu Services Company today held their first board meeting. Representatives from the Royal Commission for Jubail and Yanbu, the Public Investments Fund, Saudi Aramco, and the Saudi Arabian Basic Industries Corporation (SABIC) reviewed the steps taken by the Royal Commission preparatory to the cabinet decision last week to privatize the services sector at the two industrial cities. Task teams were formed to finalize the basic statute, the articles of incorporation, and the financial and administrative bylaws of the new company. Its capital stands at SR 2 billion (U.S. $0.53 billion), exclusive of the lease value of existing utilities. Chairman of the Royal Commission Prince Saud Ibn Abdullah Ibn Thinayan has stated that its activities would not conflict with those of any existing company, but would give great assistance to SABIC in particular and industry in general, and enhance the Kingdom's position for joining the World Trade Organization (WTO).