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COVER #6:Layout 1 BY DESIGN chaosA Zain Magazine | April 2009 Issue 06 I WANA GO! JOINT VENTURE TAKES ZAIN INTO MOROCCO BANKING MADE EASIER WITH ZAP DIGITAL FUN WITH ZAIN CREATE FLAGSHIP STORE OPENS IN BAHRAIN More Than a Network... More Like a Family! I‘m One of the 5 Million. At Zain, our desired dream has always been for a big and extended family; now we are proud to be a family of more than 5 million happy members and still growing. We thank you for being an integral part of this family, happily staying in touch in this wonderful world of Zain. First Choice of more than 5 million subscribers in Sudan. LETTER FROM THE CEO Expanding, innovating and touching lives elcome to our 6th issue of Chaos by Uganda and Nigeria, has redefined mobile Design, and bienvenue to our banking on the continent and will play a major Wfrancophone readers who can now role in improving lives for our customers, while enjoy Chaos by Design in French. our presence in Lebanon has been extended for at least another year thanks to the efforts of the There was never any doubt that 2009 would be ‘mtc touch’ team in successfully winning the a challenging year, not only for Zain, but for the tender. We can now look forward to the planned telecom industry as a whole, and this is why I privatization process in which we can secure a am delighted that we have started off with so longer-term presence. many positives. Recently, Zain’s first state-of-the-art flagship store Our first foray into North Africa saw us acquire a was unveiled to an eager Bahraini public. This strategic stake in Wana, one of Morocco’s leading exciting milestone, has set new standards in operations, taking our corporate presence to 23 mobile telecom retail and will eventually be rolled- countries across the Middle East and Africa. It was out across all operations, allowing all our the perfect follow-up to our excellent results for customers access to the very latest in mobile 2008, a year that saw 50% customer growth across phone products and services. In the same week, in two continents. Today, Zain is proud to declare partnership with Rotana, we also launched ‘Zain that it has over 63.5 million active customers Create’ in Kuwait. The service will eventually allow across all operations. all Zain’s Middle East customers to access the latest in digital entertainment. On the fiscal front, our revenues exceeded $7.44 billion, while we showed a net profit of $1.2 billion - Finally, our CSR and sponsorship programs increases of 26% and 6%, respectively. These continue to bring us closer to the communities we figures, and the many prestigious industry awards serve. Most recently, we were closely involved in won in recent months, are a testament to the Burkina Faso’s FESPACO, the biggest cultural dedication of all the 15,000-plus incredible people festival in Africa, while in Saudi Arabia, we are that make up the body and soul of Zain. training less-advantaged women to sell Zain products and services from home to support their Congratulations must go to our Ghanaian and families. Both these initiatives – and others across Saudi Arabian colleagues for attaining 270,000 two continents, all covered in this issue – have and 2 million customers, respectively, so soon dramatically changed lives for hundreds, and after launching operations. These encouraging hopefully later thousands, of people. early numbers not only indicate the crucial role both countries will play in Zain achieving its I recall the words of management author Jack 2011 target of becoming a top ten global Welch who urged us to “change before you have telecom company, but they validate the to.” At Zain, we have initiated change now, to build executive management’s original decision to go ‘A wonderful world’ for tomorrow. after these licenses. Happy reading! Elsewhere, the launch of Zap, our comprehensive mobile commerce service across our East Africa Dr Saad Al Barrak operations, namely Kenya, Tanzania and, soon, CEO, Zain Group 3 CHAOS APRIL 2009 CONTENTS 26 Honoring African cinema Sponsoring the 21 FESPACO in Ougadougou 30 Because they care Rallying to help the people of Gaza 32 More than 5 million reasons to be cheerful Zain in Sudan’s customer base grows by 150% 34 Big MAMAs Supporting the best in African music 3 Letter from the CEO 38 Pilgrims’ progress REACHING THE TOP Staying in touch with families 6 Nicolas Hayek during the annual Hajj Watch guru 7 Yasser Al Qahtani 40 Rewarding an African role Saudi soccer superstar model Malawi’s Hazel Warren is a shining MY CITY example to all 8 Libreville: An island of tranquility 42 A king’s reward One of Africa’s most friendly Zain in Jordan receives royal capitals recognition REAL LIVES 44 Reaching out in partnership 12 Noble hunters in the sky Village phones improve lives in Explaining the ancient and noble Madagascar sport of falconry 46 Taking the expressway CORPORATE SPIRIT Creating a pool of new managers in 16 Wana go to Morocco? Nigeria Zain’s $324 million joint venture with Al Ajial 48 New entrepreneurs Women in KSA learn to sell from 18 Mobile retail therapy home and be independent Zain’s flagship store opens in Bahrain 50 An overdue facelift Helping renovate a Zambian school 22 Zapping into the future Mobile banking for the African 52 Circus maximus continent Showing off talent in the ring 4 CHAOS APRIL 2009 Cover picture: A sketch from designs for the Zain flagship store, which opened in Bahrain on March 19 (see page 18) Contributors: Megan Bainbridge, Abigail Fielding-Smith, Nicholas Lowry, Anne Renahan, Norbert Schiller Photography: Norbert Schiller private collection, Focus Mideast, Zain Group, Reuters Editing: 54 Still touching lives Vinehouse Media Re-acquiring the management of the Lebanese network Color Separation and Printing: 55 Offering a chance www.raidy.com Boosting job opportunities in Jordan Produced by: Zain Group Communication 56 Investing in the future and Investor Relations Sponsoring NUKS USA in D.C. Department with Vinehouse Media 58 Texting for an icon Birthday SMSs raise money for Mandela Foundation 60 Singing for development Youssou N’Dour helps micro- credit initiative 82 A home from home Re-opening the Zain House in 62 New kid on the block Barcelona Talking to Zain in Kenya MD Rene Meza MOBILE LIFE 86 Embracing the future 66 Filling the trophy cabinet Mobile phone cameras take Head Office Bldg 2008 saw a chestful of awards control Bldg 401, Road 2806 90 Functions for life Block 428, Al Seef District 72 A world of digital What the mobile phone really does P.O. Box 5808 entertainment for us Manama ‘Zain Create’ arrives in Kuwait 94 Tone of the time Kingdom of Bahrain Exploring the multibillion-dollar Tel.: +973 13 605000 74 Rocking into Ghana ringtone industry www.zain.com New opco takes ‘One Network’ to [email protected] 17 countries 98 Trivia to inspire 5 CHAOS APRIL 2009 REACHING THE TOP Hayek, who has a remarkable knack for marketing, hasn’t just revived the fortunes of various companies, he has also played a large part in creating new jobs and production centers in Switzerland, and for this he was awarded the title of doctor honoris causa of the Faculty of Beni Culturali at the University of Bologna in Italy, in June 1998, and was also awarded doctor honoris causa of Law and Economics of the University of Neuchatel in Switzerland, in 1996. In 1995, the former German Chancellor Helmut Kohl appointed Hayek a member of his Council for Research, Technology and Innovation for the Nicolas Hayek future of Germany and Europe. Hayek, who is known for his astonishing attention to detail, was the only ated the world’s 296th richest Indeed, so successful were Hayek’s foreigner among 17 members. person in 2008, with an strategies with Swatch that they Restimated wealth of $3.6 billion, spilled over into the rest of the Swiss He was also nominated as president Nicolas Hayek is known as something watch industry, helping to revive its of an innovation council for the future of a miracle worker and is the man flagging fortunes that had come economic strategies of France in credited with transforming the about, in part, as the result of cheaper 1996, and is a consultant to many fortunes of the struggling Swiss watch Japanese imports. Hayek used European governments and a industry in the 1980s, when he engineering blueprints developed by member of an EU workshop. He has merged two Swiss watch companies, another of his companies, Hayek even been nominated to be part of a ASUAG and SSIH, to form the Engineering AG, to reduce body charged with restructuring the dynamic Swatch company. conventional production costs by Olympics. some 80% by fully automating Hayek’s new company transformed the assembly lines and reducing the This self-made Lebanese businessman image of watches worldwide from number of components in his watches has also been credited with playing an functional to funky and fashionable, compared to others. He also supplied important role in the creation of the turning Swatch into an instantly watch movements and components to Smart Car, which was conceived of as a recognizable brand. Known for being the entire Swiss watch industry. super-compact car for city use by low-cost, high-tech and very trendy, Mercedes-Benz. the company is now the largest While Hayek, who was born in Beirut manufacturer of finished watches in in 1928, has stepped down as CEO, Not just a canny businessman, Hayek the world, with responsibility for more turning over the position to his son has also become known as an active than 20 brands, some 20,000 Nick Jr., he remains chairman of the campaigner for environmental employees, 156 factories and annual board of directors and retains an concerns, and has been quoted as profits surpassing $1 billion for the first important role in developing saying that Switzerland could become time in early 2008.
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