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Unconsolidated and Consolidated Financial Statements

2018 2017
1.10 Profit / Return Earned on Financing, Investments and Placement -------- (Rupees in '000) --------

Profit earned on:

Financing 1,449,673 589,516
Investments 1,819,915 1,217,266
Placements 961,726 839,348
Rental Income from Ijarah 219,619 239,362
4,450,933 2,885,492

1.11 Profit on Deposits and other Dues Expensed

Deposits and other accounts 2,182,712 1,693,806

Due to Financial Institutions 11,247 63,836
2,193,959 1,757,642

1.12 Disclosures for profit and loss distribution and pool management

UBL Ameen (the Mudarib) maintains following pools which accept deposits on the basis of Mudaraba from depositors
(Rabbulmaal). Pool funds are invested in Islamic modes of financing and investments. The profit earned on the pool is
therefore susceptible to the same market and credit risks as discussed in note 48 to the unconsolidated financial
statements.

Ameen Daily Munafa Account (ADMA) Pool

The ADMA pool consists of deposits for the ADMA product. The net return on the pool is arrived at after deduction of direct
costs from the gross return earned on the pool. From the net return, profit is paid to the Mudarib in the ratio of the
Mudarib’s equity in the pool to the total pool. The balance represents the distributable profit.

Special Pool(s)

Separate pool(s) are created where the customers desire to invest in high yield assets. These pool(s) rates are higher than
the general pool depending on the assets. In case of loss in special pool, the loss will be borne by the special pool
members. The net return on the pool is arrived at after deduction of direct costs from the gross return earned on the pool.
From the net return, profit is paid to the Mudarib in the ratio of the Mudarib’s equity in the pool to the total pool. The
balance represents the distributable profit.

Islamic Export Refinance Pool(s)

Specific pools are operated for funds acquired / accepted from the State Bank of Pakistan for Islamic Export Refinance to
the Bank's customers and liquidity management respectively under the Musharakah / Modaraba modes.

Treasury Pool(s)

Treasury Pools are managed on the basis of Musharakah, Mudarabah and Wakalah, wherein UBL Ameen and FI share
actual return earned by the pool according to pre-defined profit sharing ratio and Wakalah fee.

General Pool

The General pool consists of all other remunerative deposits. UBL Ameen (the Mudarib) accept deposits on the basis of
Mudaraba from depositors (Rabbulmaal). The net return on the pool is arrived at after deduction of direct costs from the
gross return earned on the pool. The entire net return after paying equity share to Mudarib is considered as distributable
profit of the pool.

For all pools, the Mudarib’s share is deducted from the distributable profit to calculate the profit to be allocated to
depositors. The allocation of the profit to various deposit categories is determined by the amount invested in that category
relative to the total pool, as well as by the weightage assigned to the various deposit categories.

156 United Bank Limited