Union Coop’s Thirty Sixth General Assembly Meeting for Financial Year 2017
Prepared By: Benoi Nair
Photographer : Sultan Almarzooqi
March 20th, 2018 | Dubai, UAE
The General Assembly of Union Coop – the largest Consumer Cooperative in the UAE, distributed bonus shares at 24 percent and 10 percent return on shareholders purchases. The distribution of profits was decided during the Thirty-Sixth ‘General Assembly Meeting’ that was held at The Cultural & Scientific Association -Al Mamzar, Dubai.
HE Majid Hamad Rahmah Al Shamsi said – “The total profit distributed to the shareholders for the year 2017 amounted to AED 394 Million, which represents 73 percent of the Net Profit amounted to AED 539 Million.”
“Union Coop together as a unit works tirelessly to introduce the new and better trends in the world of retail, by applying the best industry practices and standards. We strive to realize the vision set by our great leaders, represented by H.H. Sheikh Khalifa bin Zayed Al Nahyan the President of the UAE, and H.H. Sheikh Mohammed bin Rashid Al Maktoum, the Vice President and Prime Minister of the UAE, and ruler of Dubai,” said Al- Shamsi.
He further adds, “2017 was a year of challenges and yet, we maintained our success compared to previous year. We expect 2018 to be a challenging year as well, which is why we expect to do even better in terms of sales, profits and overall financial outcomes.”
2017 Total Sales – AED 2,458.4 Billion
HE Khalid Humaid Bin Diban Al Falasi, CEO of Union Coop said – “Union Coop’s total sales amounted to AED 2,458.4 billion in 2017, we have done this by following and implementing the best global retail practices to be the leading consumer cooperative in the UAE.”
“The future objectives of Union Coop is to maintain the successful development and achievement pattern from the previous year while taking into consideration the current social and economic development. We continue on leading by example and doing the very best for the next period as well.”
“Union Coop is working towards the implementation of a new Marketing Plans that will further strengthen its position in the market as an entity that supports economic development. Primary plans include price stability, quality of goods and improving the home delivery services with the help of new five contracts with leading online marketing companies. This move will not only save the consumer’s time and money but support our efforts of covering more than 26 districts in the Emirates of Dubai. “
30, 000 shareholders
As per Falasi, by the end of 2017, Union Coop’s Shareholders increased to 30, 923, at a growth rate of 10.1 percent. It is also important to note that the shareholders’ equity before profit distribution rose from AED 2,105 billion in 2016 to AED 2,511 billion in 2017 i.e. a growth rate of 19.3 percent, which enhances Union Coop’s financial position and its ability to expand further.
11 new projects
Talking about the upcoming projects, HE Khalid Humaid Bin Diban Al Falasi announced – “Our efforts are directed towards continuous expansion based on market needs and population density, with AED 2 billion allocated to new 11 projects. The list includes Abu Hail branch, which was inaugurated late 2017 at a total cost of AED 68,800 million. Furthermore, the future projects include Al Warqaa community center with an estimated cost of AED 256 million, Al Khawaneej center with an estimated cost of AED 696 million, Jumeirah commercial center with an estimated cost of AED 282 million, Jumeirah First Branch with an estimated cost of AED 45 million, and a Commercial Building project in the Al Quoz at an estimated cost of 44 million. Building at Nad Al Hammar gardens at an estimated cost of 170 million dirhams, the project of the Al Tayy Warehouse at an estimated cost of AED 65 million, the Hypermarket project at the Nad al-Hammar Gardens area at an estimated cost of AED 65 million, plus a supermarket project in Nad Al Sheba 2 region, and finally the Coop-The Point Project-Palm Jumeirah.”
He further stated “In order to achieve one of the important strategic objectives of Union Coop, of continuous expansion in highly populated areas, Union Coop purchased four plots in areas of – Barsha, Mohammed bin Rashid City (Meydan) and Motor City. Showrooms are rented for the construction of hypermarket in both Nad Al Sheba Mall and Al Khail avenue, in addition to signing a memorandum of understanding and contracts for the management and operation of the Umm Al Quwain cooperative.”
AED 35.1 million in Community contributions
On Union Coop’s role in Community Contribution and Social Service, Mr Suhail Al Bastaki, Director of Happiness and Marketing Department said, “Despite the economic challenges faced by Union Coop, during 2017. It has spent an amount of AED 35.1 million on community contributions, of which AED 24.3 million was invested to improve the area’s developments and about AED 10.8 million on Emiratization”
He adds, “With regard to social awareness, Union Coop supported more than 27 state-level government organizations. Social awareness is one of the foundations of a constructive culture that in-turn contribute to the building of a solid and cohesive society. ”
Explaining Union Coop’s emphasis on Emiratization, Director of Human Resources and Emiratization, Mr Ahmed Salem Bin Kenaid said – “During the year 2017, the number of Emiratis working in Union Coop was 356. The percentage of Emirati employees in Union Coop is one of the highest in the private sector, and we aim to develop our recruitment strategies through the constant development of new training modules for our staff and officials, to improve their performance and productivity at work. In the past year, more than 440 staff training courses were conducted.”