Jazeera Airways Group (the “Ultimate Parent Company”) is a unique business model was incorporated by Amiri Decree on 3 March 2004 as a Kuwaiti Public Shareholding Company under the laws of Kuwait and is engaged in the business of air transportation and commercial passenger services under a license from the Directorate General of Civil Aviation.

“The opportunity at home”, Jazeera Airways addressed its 2013 annual report. To display and download “Annual Report 2013 in English” on (PDF) Form – 50 pages, Access following web page at:

http://www.jazeeraairways.com/AdminControl/J9WebsiteDataFiles/Data/InternalWebPage/InvestorFiles/Jazeera%20Annual-Report_English.pdf

(Or you can copy and paste the above address)

Instructions:

As financial analysts, and in no more than 500 words, write a report about JAZEERA AIRWAYS GROUP, by using its 2013 annual report to answer the following questions.

In Part A, you are expected to write your answers in an essay format: introduction, body paragraph(s) and a conclusion. Failing to do so could result in the deduction of up to 4 marks from your total TMA mark.

1. “JAZEERA” Group is Parent company for which companies (subsidiaries)? What its main function and industry? And its financial statements are prepared in conformity with which standards?

1. In page 5, “2013 Financial and operational highlights” were: Operating Revenue – Operating Profit – Net Profit – Debt to equity ratio;
   1. Explain how each was calculated and/or was taken from which statement; support your answer with suitable figures from annual report.
      1. Make a search and compare “JAZEERA” highlights with competitor Airways Company from the same industry; support your answer with suitable figures.
      2. Comment briefly in your findings whether “JAZEERA” better, worse or same as its competitor.

1. In page 8, “Our strategy” Jazeera Group states that its aim during the period from 2012 to 2014 “is to focus on maximizing profitability without major network expansion”; analyze this sentence by answering the following:
   1. Identify Revenues for the year ended 31 December 2013. How much did Revenues increase or decrease from 2012 to 2013? How much net income or net loss did “JAZEERA” earn for 2013 and for 2012? Based on net income, was 2013 better or worse than 2012? (support your answer with suitable figures from annual report)
      1. Refer to page 36 “Property and Equipment” schedule; and compare the “additions” in “Aircraft and engines” between 2012 and 2013? Whether its increase or decrease? (support your answer with suitable figures from annual report)
      2. Comment briefly in your findings whether “JAZEERA” did achieve its 2012 and 2013 strategy, or not?
      3. 
         

Answer rating: 100% (QA)

1 The consolidated financial statements of Jazeera Airways KSCP the Ultimate Parent Company and its ... View the full answer