PANDEMIC HIT | Page 3 $113bn Tata empire faces tough decisions over airlines woes

Tuesday, December 8, 2020 Rabia II 23, 1442 AH PRODUCTION EFFICIENCY: Page 12 Intertec, Huawei GULF TIMES launch ‘IdeaHub’ offi ce master in BUSINESS Qatar market QLM to focus on digitisation

GWC has inked a pact with Bridgestone Aircraft Tire Europe to handle all the supply chain management requirements for the latter in Qatar for fi ve years and network GWC and Bridgestone in deal for movement of aircraft tyres in Qatar

Gulf Warehousing Company (GWC), the leading domestic presence of top off icials from both the companies. expansion in logistics provider, has inked a pact with Bridgestone Air- “We are very proud to sign with Bridgestone, and we thank craft Tire Europe, to handle all the supply chain manage- them for their trust and confidence in GWC to carry out this ment requirements for the latter in Qatar for five years. vital stage in the product life cycle,” said Menon. The agreement is expected to handle the movement of GWC is a leader in supply chain solutions including over 10,000 aircraft tyres a year as they work their way warehousing, freight forwarding, commercial, fine art, and through the entire supply chain, starting with freight, event logistics services, among others, and was recently customs clearance, transport, warehousing, and last mile announced as the first regional supporter and off icial logis- delivery, off ering door-to-door services. tics provider for the FIFA World Cup Qatar 2022. growth plan The signing ceremony was held virtually between Bridge- “With this agreement, we are sure to enhance the speed of stone Aircraft Tire Europe chief executive Michael Codron delivery and eff iciency of operations for both Bridgestone By Santhosh V Perumal and GWC Group chief executive Ranjeev Menon in the and our end customers in Qatar,” Codron said. Business Reporter

LM Life and Medical Insurance Company, which is seeking to Qraise QR659.4mn through its 60% initial public off ering (IPO), has Unesco, GECF sign landmark adopted a two-pronged strategy of in- vesting in IT platform to digitise member engagement and expanding its provider co-operation agreement network. “To off er maximum flexibility to our members, we will continue to embrace he United Nations Educa- “The mobilisation of science and insights are championed at the digitisation, evaluate options and adjust tional, Scientifi c and Cultur- for the benefi t of society and the GECF, said Sentyurin, who empha- our operating models to bring in en- Tal Organisation (Unesco) and planet is now more urgent than sised that “technology is key” to hanced effi ciency in a constantly chang- the Gas Exporting Countries Forum ever. We need science and tech- the envisaged energy transition and ing landscape,” Salem Khalaf al-Mannai, (GECF) signed yesterday a memo- nology, we need access to science climate action such as greenhouse group chief executive of Qatar Insurance randum of understanding (MoU) to and technology, we need to be able gasses (GHGs) emissions mitiga- Group, which is the parent of QLM, said bring the benefi ts of collaboration to reduce the knowledge gap be- tion. ahead of its IPO later this week. to the world at large, marking a vic- tween diff erent countries across Sentyurin added: “Education QLM’s provider network has expand- tory for science and education. the world, and therefore this part- and science-oriented exercises ed and is considered to be the largest in The agreement, taking stock nership with the GECF is really play a great role in environmen- Qatar and the wider Gulf Co-operation of two years of co-operation, was a beacon of hope and light,” said tal protection with a view to raise Council (GCC), with over 75,000 health- signed by Shamila Nair-Bedouelle, Nair-Bedouelle following the vir- awareness and cultivate a culture care centres spanning 103 countries, assistant director-general for Nat- tual signing ceremony. of energy responsible behaviour or across six continents. ural Sciences at Unesco and Yury She added: “GECF serves as a energy scholarship.” The company, which has an industry Sentyurin, secretary general of the platform for the science policy “The GECF is developing tech- leading IT platform that comprehen- 20-member coalition of the lead- interface, underpinning the im- nologies, including ones in rela- sively addresses its operational require- Al-Mannai: Looking to enhance eff iciency in a constantly changing landscape. ing gas exporting countries of the portance of the exchange of sci- tion to reduction of GHGs emis- ments, has ensured seamless online IPO world. entifi c knowledge, experience, sions through the GECF Gas subscriptions at most of the receiving shares, is off ering 60% or 210mn or- which includes a premium of QR2.14 and The MoU will serve as a gate- and dissemination of information Research Institute, recently es- banks. dinary shares (of QR1 face value) to the listing fees of QR0.01, corresponding to way of opportunities between the through research and production of tablished in Algeria, and fully Investors can subscribe to the QLM public through the maiden off er, which a total market capitalisation of QR1.1bn. two entities in the areas of strug- global outlooks and statistical bul- dedicated to discovering new IPO online by logging into the online will be on tap from December 10 to 23. Established in 2011 as the fi rst stan- gle against climate change, natu- letins. technologies and innovations to banking websites or mobile applications Eligible investors include Qatari citizens dalone life and medical insurance com- ral resources management, and “We at Unesco are therefore achieve the ambitious sustainable of the receiving banks; namely, QNB, and legal entities incorporated in Qatar. pany in Qatar, QLM has steadily grown to positive developments across the confi dent that this partnership will development goals in front of us,” Commercial Bank, Al Khaliji, Ahli Bank In the fi rst tranche, as much as 45% or become the market leader in Qatar. The globe, particularly in the Africa re- further harness the potential of said Sentyurin. and Doha Bank. 157.5mn shares are off ered to individu- company has a dominant market share gion. The partnership will further science and technological co-oper- “The GECF’s ambition to stew- This facility is available to investors als and corporates, and in the second in Qatar for the group medical and group allow the sides to focus on capac- ation to address global challenges, ard the gas industry into playing a who already have their bank account/s tranche, the remaining 15% or 52.5mn life lines of businesses and is also leading ity building, technical support, and through advocacy and awareness greater role in environmental pro- with any of the above receiving banks. share are off ered to anchor investors such insurer in the Gulf region. shared expertise. raising at all levels of society and tection manifests in our Environ- Nevertheless, paper-based subscrip- as General Retirement and Social Insur- After the maiden off er, Qatar Insur- Both signatories commended the economic sectors towards achiev- mental Knowledge and Solutions tions are available at certain branches of ance Authority, Mwani Qatar and Doha ance Group will retain 25% stake and the Unesco Cluster Offi ce for the GCC ing the sustainable goals of the initiative. This 12-point agenda Al Khaliji and Ahli Bank. Insurance Group. other 15% will be retained by other pre- and Yemen (accredited to Doha) for 2030 Agenda and beyond.” focuses on many aspects of our ac- QLM, whose capital base is 350mn The IPO is being off ered at QR3.15, IPO investors or founders. facilitating the agreement. Scientifi cally-grounded data tivities,” he added. Page 12 Qatar economic recovery to gain traction in 2021, says Seetharaman

Qatar is expected to gain economic traction he said the private sector is expected to a compromise deal to gradually taper next year, supported by robust economic leverage this new law. In October 2020, Qatar production cuts this month. reforms, reflecting the improved optimism allowed foreigners to own property. Fahd Iqbal, head of ME research, Credit in the local bourse, according to Doha Bank Qatar’s stock market has surged by close Suisse, gave insight on the fastest correction chief executive Dr R Seetharaman. to 2% year-to-date and has crossed 10,000 and the quickest equity rally this year, “Qatar and other regional economies had levels. highlighting that households are savings witnessed economic reforms to recover Global growth is projected at 5.2% in 2021. more due to the Covid-19. from the Covid-19 as oil fell this year,” he The advanced economies’ growth is projected Finding that the market rebalancing said, projecting 2.5% growth for the Qatari to strengthen to 3.9%, while emerging and continues in the oil market; he said demand economy in 2021 compared to 4.5% expected developing economies are expected to for gas has been improving, hence expecting contraction this year. recover by 6% in 2021, Seetharaman said, to be bullish on natural gas prices. He was speaking at a webinar “2021 Economic quoting the projections of the International Brahim Razgallah, head of EEMA economics, Outlook”, hosted by Doha Bank. Monetary Fund. Barclays Bank, said there is a paradigm shift The Qatar Central Bank has introduced with “The global markets have surged in recent on Gulf’s oil policy and the oil market balance. various procedures to combat the risk of times after fall in April 2020 due to hopes of Seetharaman said 2020 has been a historic coronavirus pandemic, he said, adding this vaccine, cheering Joe Biden’s winning in the year for gold and silver as unprecedented includes the guarantees for local banks and US election,” he said. stimulus measures around the world were national guarantee programme to support The prospects for China are much stronger unleashed on financial markets. the private sector. than for most other countries in this group, The dollar index is at 90 levels and is Highlighting that in May 2020, the public he said, adding oil extended gains toward $50 expected to fall further as fed continues its private partnership (PPP) law was introduced; a barrel after the Opec+ members reached monetary easing, he said. Dr Seetharaman along with other panellists at the webinar hosted by Doha Bank. Gulf Times 2 Tuesday, December 8, 2020 BUSINESS

Bloomberg QuickTake Q&A How a third cousin could give away your DNA secrets

By Kristen V Brown against using consumer tests, in part because 3. How are other governments that is, stripped of information such as your 6. Can the data be used to New York a result showing a marker for disease could using DNA data? name and contact details. In the US, results of discriminate against? both be inaccurate and stymie a career. Your tests taken in a medical setting can be shared if genetic data could reveal information you might Seventy countries report that they maintain they’re anonymised. Commercial DNA testing There are some legal restrictions. In the US, Relatively simple tests that can analyse an not want public, such as an unacknowledged a national DNA database, which can help companies in the US are bound primarily by a 2008 law called the Genetic Information individual’s DNA have proved a boon in the parental connection. For a lawbreaker, or so identify crime suspects and convict or clear their own terms of service. Generally, these Nondiscrimination Act (GINA) aims to protect fields of medicine and criminal justice, not to much as distantly related to one, there’s the fact them of charges. In recent years, police in the companies share anonymised individual data against discrimination by employers and some mention genealogy. They can identify genetic that law enforcement agencies increasingly rely US have gone beyond their own databases with contractors that help process it and, if you insurers on the basis of genetic data. But gaps in disorders, implicate or clear criminal suspects, on DNA data to solve diff icult cases. Also, the to solve crimes based on consumer DNA provide additional consent, with academic and GINA mean that providers of life, disability and and help people fill in their family trees. In tests can reveal a person’s ethnicity, which can test results. They’ve taken DNA from a crime drug company researchers. They also often long-term care insurance legally can compel recent years, however, it’s become clear be dangerous in some contexts. scene, compared it to the DNA of people in a share aggregated data. you to share findings about your DNA. And they that DNA data can be used in ways we never 2. How so? commercial database, then identified a suspect 5. Doesn’t anonymising data can make decisions based on the data, though expected or desired. As a result, more people among their relatives. Most commercial testing protect the identity? there’s no evidence this has happened. have begun to worry about what might happen In China, the government has taken DNA companies say they require a warrant to let 7. How can I keep my DNA data to their most intimate personal information. samples from citizens for free medical exams police access customer data. But in 2019, a Not necessarily. Your DNA is inherently private? 1. Why should a person be and built a genomic database of some 100mn Florida judge granted a warrant giving police identifying; it’s a code that’s unique to you. And concerned? profiles, according to the quasi-governmental access to the entire database of GEDmatch, it doesn’t have to be stored with your name to It may be too late for that. A bunch of other Australian Strategic Policy Institute. It says data a free service that lets genealogy hobbyists be connected to it. Research has shown that it’s people have DNA that’s almost identical to It’s diff icult enough to know how your DNA data were collected from nearly every resident of upload their data from other companies to find possible to discover the identities of anonymous yours. So if a third cousin you’ve never heard of might be used now, let alone in the future. And the province of Xinjiang, where China says it’s more relatives. people who participate in genetic research puts his DNA out in the wild, yours is out there unlike a bank account number or a password fighting extremism among Uighurs, a Muslim 4. Who else can access DNA data? by cross-referencing their birth date, sex and too. One study suggested that just 2% of people that can be changed, once it’s out there, it’s ethnic group. When off icials in Hong Kong postal code, for instance, with publicly available need to share their genetic information for out there for good. There are obvious reasons off ered coronavirus testing to the city’s entire In the European Union, in some cases your information. Also, databases can be hacked. virtually everyone to be identifiable. Since there for companies such as insurance providers population in September, suspicions were data can be shared without your consent if Testing company Veritas suff ered a breach in is little hope in keeping our genetic information to take an interest in your physical makeup. raised that DNA data would be harvested from the purpose is scientific research that’s in the 2019 exposing customer information, though private, experts have begun calling for more The US military in 2020 advised its personnel samples; authorities denied it. public interest and the data are anonymised, not genetic data, it said. regulations to ensure the data are not abused.

Iran prepares Oil from US-sanctioned sellers to raise oil production becoming less taboo in Asia as Biden

Bloomberg Mumbai presidency

sia’s biggest oil importers are nears testing the waters in the hope Athat the incoming administra- tion of US President-elect Joe Biden Bloomberg will set the stage for a resumption Tehran in crude exports from Iran and Ven- ezuela. Indian Oil Minister Dharmendra ran is preparing to raise oil exports in a Pradhan said last week the country sign the Islamic Republic expects the would like to buy from more pro- IUS to ease some sanctions under a Joe ducers when asked if he would like Biden presidency. to see an easing of White House Tehran will take measures “to pre- sanctions on Iran and Venezuela. pare resources and oil-industry equip- Tehran, meanwhile, is preparing ment for the production and export of to raise oil exports, according to oil in line with current capacity within President Hassan Rouhani’s official the next three months,” according to website. President Hassan Rouhani’s official There has also been an increase website. in inquiries from Chinese buyers Rouhani said that after a 2015 nuclear about purchasing a sludgy type of deal with the US and European powers, oil known as bitumen-mix, which Iran was able to lift overseas sales to 2mn is thought to be Venezuelan crude barrels a day. “We’re ready to quickly passed off as another grade, accord- raise oil production,” he said. ing to traders. Biden, who is scheduled to be sworn in Under President Donald Trump, as president on January 20, has signalled the US pursued an aggressive for- he wants to bring Iran back into the ac- eign policy, reinstating sanctions cord that was brokered when he was vice on the Islamic Republic in 2018 and president under Barack Obama. then taking steps to limit Venezue- JPMorgan Chase & Co said Iran could lan crude exports the following year. raise crude exports by as much as 1.2mn Shipments from both nations have barrels a day next year if it strikes a new since slowed to just a trickle, forcing deal with Washington. A production Asian refi ners to look for alternatives boost of that magnitude would cause to the medium-heavy sour crudes problems for Opec+, which is trying to from the two countries. keep output down and bolster prices in “As a buyer, I would like to have the face of the coronavirus pandemic. more buying places,” Pradhan said at While Iran is an Opec+ member, the a webinar last Wednesday, adding the group has exempted it from production country intends to move ahead with a cuts due to the sanctions and its econom- plan to increase the size of its strate- ic strife. gic petroleum reserves. American sanctions have crippled While Trump is stepping up foreign A Bharat Petroleum Corp refinery stands in the Mahul area of Mumbai (file). Indian Oil Minister Dharmendra Pradhan has said the country would like to buy from Iran’s oil industry and caused its exports sanctions as his term winds down, more producers when asked if he would like to see an easing of White House sanctions on Iran and Venezuela. to drop from 2.6mn barrels a day in 2017 the hope among Asian buyers is that to just 133,000 in November, according to Biden will seek to restart the Iranian sanctions by February. That will give from Canada and Iraq might wane, plier, in mid-2019 after the expiration months of this year, or 72,000 barrels data compiled by Bloomberg. Almost all nuclear deal and also take a softer line the Biden team just weeks to make a according to Asian traders. Tehran of US exemptions. The nation im- a day, down 77% from the same pe- Iran’s shipments go to China. on Venezuela when he takes offi ce diplomatic breakthrough. will take measures “to prepare re- ported 7.65mn tonnes of Venezuelan riod in 2019. US President Donald Trump walked next month. If a Biden presidency does lead to sources and oil-industry equipment crude from January to October this Chinese crude imports from Ma- away from the nuclear deal in 2018. Since However, Biden’s task looks to have a resumption in Iranian and Ven- for the production and export of oil year, compared with 15.9mn tonnes laysia, meanwhile, have been a lot then Iran’s overall oil production has al- become more diffi cult after Iran’s top ezuelan oil exports, the new supply in line with current capacity within in 2019. higher than usual since the start of most halved to 1.9mn barrels a day. political chamber gave fi nal approval will likely cause a further headache the next three months,” according to China last imported Venezue- 2019. Much of those volumes may Iran’s Oil Ministry has not offi cially to a bill forcing President Hassan for the Opec+ alliance and would President Rouhani’s website. lan oil in September 2019, customs have come from ship-to-ship trans- commented on or addressed oil produc- Rouhani to end international nuclear also reshape crude fl ows to Asia. The India halted imports from Iran, data show. It purchased around fers in Malacca Strait, a tactic to mask tion and export fi gures since Trump an- inspections unless the US lifts key popularity of similar-quality grades previously its third-largest oil sup- 3mn tonnes of Iranian oil in fi rst 10 the origin of cargoes. nounced he was reimposing sanctions.

US water futures to start trading amid growing fears of scarcity

Bloomberg water scarcity issues and pricing a hot topic Currently, if a farmer wants to know what New York for years to come,” said RBC Capital Markets water will cost in California six months managing director and analyst Deane Dray. from now, it’s kind of a “best guess,” Patrick “We are definitely going to watch how this Wolf, senior manager and head of product Water is joining gold, oil and other new water futures contract develops.” development at Nasdaq, said in an interview. commodities traded on Wall Street, Two billion people now live in nations plagued The futures will allow market participants to highlighting worries that the life-sustaining by water problems, and almost two-thirds see “what is everybody’s best guess,” he said. natural resource may become scarce across of the world could face water shortages in CME declined to identify potential market more of the world. just four years, Tim McCourt, global head participants, except to note that the exchange Farmers, hedge funds and municipalities of equity index and alternative investment has heard from California agriculture alike will be able to hedge against – or bet on products at CME, said in an interview. “The producers, public water agencies, utilities – potential water scarcity starting this week, idea of managing risks associated to water is as well as institutional investors like asset when CME Group Inc launches contracts certainly increased in importance.” managers and hedge funds. linked to the $1.1bn California spot water The futures will be financially settled, as Clay Landry, managing director at consulting market. According to Chicago-based CME, the opposed to requiring the actual physical firm WestWater Research, which provides the futures will help water users manage risk and delivery of water, and are based on the data used to calculate the water index, said in better align supply and demand. Nasdaq Veles California Water Index started addition to the likelihood of a “great deal of The contracts, a first of their kind in the US, two years ago. The index sets a weekly interest” from Wall Street, he expects the early were announced in September as heat and benchmark spot price of water rights in water futures adopters to be large and small wildfires ravaged the US West Coast. They California, underpinned by the volume- agriculture businesses. are meant to serve both as a hedge for weighted average of the transaction prices “Without this tool people have no way of California’s biggest water consumers against in the state’s five largest and most actively managing water supply risk,” Boise, Idaho- skyrocketing prices and a scarcity gauge for traded water markets. based Landry said in an interview. “This may investors worldwide. Contracts will include quarterly ones through not solve that problem entirely, but it will help A boat drives along Dutch Slough on Jersey Island, California (file). Water is joining gold, oil and other “Climate change, droughts, population 2022, with each representing 10 acre-feet of soften the financial blow that people will take commodities traded on Wall Street, highlighting worries that the life-sustaining natural resource may growth, and pollution are likely to make water, equal to roughly 3.26mn gallons. if their water supply is cut off .” become scarce across more of the world. Gulf Times Tuesday, December 8, 2020 3 BUSINESS

Bank-driven squeeze in funding The $113bn Tata empire faces markets emerges as tough decisions over airlines stocks rise Bloomberg London Bloomberg plan for India that worked, they said, Mumbai asking not to be identifi ed discussing sensitive information in public. Rising share prices are increas- Five-star hotels: In high-end res- ing year-end pressures in many atan Tata is no stranger to fl ying. taurants around Vistara’s headquarters corners of the funding markets As a 17-year-old, the patriarch near New Delhi, Singapore Airlines-ap- as swelling equities valuations Rof India’s biggest conglomerate pointees would regularly lunch together, push up banks’ need for capital. once landed a plane that had lost its sole creating a culture of exclusion, two of the The consequences of lenders engine mid-fl ight. He’s also piloted the people said. Singapore Airlines, and not dealing with a creep higher in supersonic F-16 fi ghter jet. Vistara, reviews the annual performance regulatory scores – which deter- That love of aviation hasn’t always of people appointed by the foreign air- mine the capital buff ers banks translated into business success, how- line and the so-called “Singapore Air- are required to hold – have rip- ever. Tata Group’s two airlines – AirA- lines secondees” also reside in fi ve-star pled through currency borrow- sia India and Vistara – were struggling hotels during their stint and send their ing markets, Federal Reserve before the coronavirus pandemic. Cov- children to the most-expensive schools swap lines and even European id-19 has put the sprawling Tata Sons as part of their compensation package, repurchase markets. The rally in Ltd, which owns a 51% stake in each, at the people said. Those benefi ts were not equities has increased the value a crossroads. Either go big, by buying given to people appointed by the Indian of banks’ stock holdings, which state-run Air India Ltd, for example, or group, they said. has likely put more upward bow out before spilling more red ink. At AirAsia India, local executives had pressure on regulatory scores – The Tatas “are caught between a rock to get Malaysia’s approval for every de- triggering lenders to seek ways and a hard place,” said Mukund Rajan, cision until the end of 2018, before Tata to counteract the rise. a former member of the group’s execu- Group intervened after a series of cor- Last week’s latest systemic tive council who’s now the chairman of ruption allegations tainted the brand’s risk reports showed most bank an investment advisory fi rm focused on image. India’s Central Bureau of In- regulatory scores were edging environment, social and governance is- vestigation, the equivalent of the FBI, higher in the third quarter, sues. “The only option to run a successful Grounded aircraft stand at Terminal 3 at the Indira Gandhi International Airport during a lockdown implemented due to the is investigating Fernandes and other “even before we factor in the airline is to seek scale. This would require coronavirus in New Delhi. Tata Group’s two airlines – AirAsia India and Vistara – were struggling before the coronavirus offi cials for allegedly paying bribes to post quarter-end equity price the Tatas to deploy signifi cantly more pandemic. Covid-19 has put the sprawling Tata Sons, which owns a 51% stake in each, at a crossroads. infl uence local policy. Both AirAsia moves,” according to a note by capital than they have done thus far. Ab- Group and AirAsia India have denied JPMorgan Chase & Co’s Henry sent ambition and scale, the prospects for Ratan Tata as the chairman but was cause of political opposition.“Airlines years,” he said. Vistara, started in 2015, any wrongdoing. St John. The MSCI AC World success are probably very remote.” later ousted in India’s most high-profi le are very competitive and capital in- pitched itself at the other end of the The lack of an aviation-in-charge Index is up about 12% since the India has been trying unsuccessfully boardroom coup, raised the alarm, say- tensive and running one is diffi cult,” spectrum – a carrier with a business- person at Tata Group was also a chal- end of September. to sell its unprofi table national airline ing in an October 2016 letter that his said Shriram Subramanian, founder class cabin on all planes off ering to yfl lenge and meant Vistara and AirAsia The pressures currently for years. Tata Group, although aviation pushback regarding a partnership with of proxy advisory fi rm InGovern Re- rich Indian businessmen to London and India ended up competing for the same bubbling up come as many Wall only accounts for a small share of its to- AirAsia Group was “futile.” Mistry was search Services. “Tata Group invested New York. Its stated goal: to redefi ne fl yers on key routes, the people said. Street firms predict that this tal revenue, is often pinpointed by local similarly displeased with the Vistara in two with two diff erent partners. It’s air travel in India with a “personalised The business model of market leader year-end won’t be marked by an media as the most likely suitor. Prime venture with Singapore Airlines Ltd. not clear what the group was trying to fl ying experience.” However if video- IndiGo, which is run by InterGlobe Avi- outsized funding shortfall, given Minister Narendra Modi’s administra- For the $113bn Tata Group, it’s also a achieve.” technology limited the need for corpo- ation Ltd and which has made money reasons including a likely decline tion has repeatedly sweetened the terms question of holding onto a rich heritage. Both AirAsia India and Vistara have rate travel, the coronavirus put an end year after year selling cheap tickets for in Treasury bill supply and an to woo buyers, but Tata Group, which Ratan Tata’s predecessor, the legendary their distinct issues. The fate of the to it. Vistara has deferred taking de- on-time fl ights, wasn’t seriously stud- increase in bank reserves. Some was previously evaluating the proposal, industrialist and philanthropist JRD Tata, former, a low-cost joint venture with livery of some new aircraft as demand ied or replicated, they said. analysts have noted that state- hasn’t said whether it will bid. was India’s fi rst licensed pilot and started Malaysian tycoon Tony Fernandes’s slumps, delaying its expansion plans. Other struggles: Airlines aren’t the ments in banks’ recent earnings Tata’s airline predicament isn’t Tata Airlines in 1932 as the nation’s fi rst AirAsia, hangs in the balance after the On Monday, Vistara and Singapore only sector in which the 152-year-old calls suggest regulatory scores unique. Warren Buff ett exited his po- carrier, fl ying mail between Karachi in Malaysian group halted any new fund- Airlines signed a commercial agree- conglomerate, which sells everything aren’t close to levels that would sitions in all airline stocks earlier this then-undivided, British-ruled India and ing. Launched in 2014, AirAsia India ment, extending an existing codeshare from cars to real estate, has struggled. require additional capital. year saying the pandemic may have Mumbai. (Tata Airlines was later nation- vowed to make money within four pact, on services between Singapore Tata Steel Ltd, which bought Corus Here’s a look at some of the fundamentally changed the business. alised and morphed into Air India around months and planned to lure passengers and India, as well as Southeast Asia, Group Plc for about $13bn in 2007, consequences in markets right And Richard Branson once famously the time of India’s independence.) from trains and buses with cheap pric- Australia and New Zealand. The agree- said recently that it’s reviewing its now from banks feeling pinched said, “If you want to be a millionaire, ‘Capital intensive’: When India be- es. But it faced cut-throat competition ment covers capacity planning, sales, options to make the UK business self- by regulatory pressures ahead start with a billion dollars and launch a gan to allow private airlines in the early in a crowded market where airfares go marketing and joint fare products, the sustaining. Tata Motors Ltd, which of year-end: new airline.” 1990s, Tata’s interest was piqued again. for as little as a few cents. two carriers said in a joint statement. bought Jaguar Land Rover in 2008 for Currency hedging: First up, First pilot: But what sets the Tata In 1994, the group came up with an am- In an interview on Monday on But even before Covid a culture that $2.3bn, has faced losses amid intense banks appear to be scaling back Group apart is its seemingly single- bitious plan to start an airline with 100 Bloomberg Television, Fernandes said saw both airlines run almost solely by competition, prompting Sanford C on lending US dollars in short- minded devotion towards making an planes in partnership with Singapore AirAsia is evaluating its airline venture the foreign partners was a key problem, Bernstein analysts to say BMW AG term currency markets. That airline work at any cost. Vistara and Airlines, but the government refused to with Tata Group, while the two compa- according to people familiar with the should buy the “severely challenged” has led to a spike in one-month AirAsia India have never made money allow a foreign entrant and project was nies expand their relationship in dig- inner workings of Tata Group’s aviation luxury carmaker. dollar premiums, relative to and have lost around $845mn com- quashed. In 2000, Tata again teamed up ital business. “At the right time we will business. The company’s telecommunications their three-month counterparts. bined through March this year, accord- with Singapore Air to bid for a stake in make the announcements, but defi - The top management at both Vistara business was also mired in a $1.2bn Banks are also said to be ing to estimates from the CAPA Centre Air India when the then-government nitely our strength is Southeast Asia and AirAsia India were appointed by ex- dispute with Japanese telecoms fi rm looking to reduce the amount for Aviation. sought to sell shares in the state-owned and that’s where most of our expansion ecutives in either Singapore or Malaysia NTT Docomo Inc, a disagreement that of stocks held on their balance Even Cyrus Mistry, who succeeded carrier. The plan was later dropped be- is going to be over the next two to three and struggled to implement a business was settled in 2017. sheets – which would lower regulatory scores – by lending out positions through equity total-return swaps. Dollar swap lines: Swap line activity is particularly high via New CEO drives Wipro up 70% without stepping into offi ce the Swiss National Bank, which over the past eight days has seen $5.7bn borrowed at three- Bloomberg about 70% since his appointment, most displaced Wipro as the third-largest in ings. “In my Year One, we’ll acceler- Indian ethnicity, a shift that refl ects the month tenors. Paris among India’s four largest outsourcing the industry two years ago, grew 17%. ate growth; in Year Two, we’ll be at the industry’s transition. The decision to go through fi rms during that period. It’s a rare vic- Delaporte’s predecessor, Abidali Nee- growth level of our competitors; and in The business used to be simple, pay- Switzerland is purely economic. tory for Wipro, but one the veteran of muchwala, took over in 2016 with simi- Year Three, we will outdo.” by-the-hour labour arbitrage where The SNB off ers swap lines with no n the fi ve months since he took France’s Capgemini SE is determined lar ambitions. While the US is Wipro’s biggest mar- Indian fi rms could substitute their own haircuts for many securities. That over as chief executive offi cer of won’t be its last. He hopes to get Wipro He departed after a turbulent four ket now, Delaporte sees opportunity workers for more highly compensated compares with the Bank of Japan IWipro Ltd, Thierry Delaporte has back on track after years of tumult and years and falling well short of a target in Europe and Asia. He’s put together tech staff in the US and Europe. Now which lends dollars equivalent yet to visit the Indian outsourcer’s stagnating fi nancials. to build Wipro into a $15bn company by a new deals team – headed by a chief fi rms need to deliver innovation and to 98.6% of the value of 10-year Bengaluru headquarters once. Instead, “There’s a particular momentum 2020. (Its revenue for the year ended in growth offi cer – to go after big client strategic insights with global impact, government bond collateral or the 53-year-old has been on a virtual in the industry just now, and I want to March was $8.1bn.) contracts. In the last few weeks, Wipro helping their customers fi gure out new the European Central Bank which tour from his home in Paris, meeting drive that urgency to put Wipro back “Thierry seems to have the vision has landed orders from European clean ways to capitalise on cloud comput- off ers just 96% of the value of a with managers, workers and customers where it belongs,” said Delaporte, and the commitment, but he has an energy producers Fortum Oyj and E.On ing, data analytics and artifi cial in- comparable German bund. around the globe. speaking from Paris in his fi rst inter- absolutely daunting task,” said Vasu- SE. The company has also stepped up telligence. The challenge of that new General collateral: But, if an He’s trying to turn around the strug- view since assuming the CEO post. “I pradha Srinivasan, a senior analyst its acquisitions. He says he has signed mission is refl ected in industry growth investor doesn’t own the bonds gling business without letting the Cov- know I’m good at one thing – getting at Forrester Research. Wipro shares more deals in the past fi ve months than rates that were once regularly in double required to pledge as collateral id-19 pandemic slow him. Delaporte things done.” were little changed on Monday. De- in the previous fi ve years – and plans to digits and have since crashed. for dollars, they need to be bor- slashed the top ranks of leadership from Wipro needs more than enthusiasm. laporte, whose hobby is long-distance keep going. The coronavirus hammered the busi- rowed and that’s hitting the 25 people to four. The fi rm, majority owned by billion- running, is realistic that any turna- “I am confi dent you will see a bold- ness this year. Lockdowns forced com- repo market. He stepped up acquisitions, with aire Azim Premji, has lagged its peers round will take time. But, he argues, er and a more ambitious Wipro as we panies to schlep computers and backup The cost to borrow German more on the way. Mostly, he focused his for years. In the fi scal year ended in the business is actually simple: Ob- move ahead,” said Rishad Premji, the batteries to workers’ homes. and French bonds for one- attention on customers, meeting with March, revenues rose 3.9% in constant sess over helping your clients and the company’s chairman. Yet the pandemic could prove to be a month – known as the general 130 over video conference and helping currency terms, compared with 9.8% at rest will follow. Picked from a crowded fi eld of candi- boon. Companies are stepping up their collateral rate – has surged, hit- to land new multi-year contracts with Infosys Ltd and 7.1% at Tata Consultan- “We know what we need to do to dates, Delaporte was a surprise choice. spending on technology and the larg- ting the most negative in two- clients in the US and Europe. cy Services Ltd – even though both are make it work,” he said, from an offi ce The Frenchman is the fi rst CEO of an est outsourcers are reporting a faster- and three- years respectively. The company’s stock has rallied far larger. HCL Technologies Ltd, which whose walls are adorned with paint- India-based outsourcer who’s not of than-expected recovery. HSBC swept into HK turmoil as ex-lawmaker’s account frozen

Bloomberg measures has eroded faith in the city’s of its revenue from Hong Kong, into a Foreign governments led by the US Hong Kong banking system, he wrote. precarious balancing act as its seeks to and UK have criticised the sweeping new On Monday afternoon, Senior Super- avoid drawing the ire of clients in the city security measures, which target political intendent Steve Li Kwai-wah of the Hong and politicians on both sides. crimes in addition to terrorism, for eroding HSBC Holdings Plc has once again found Kong Police Force’s National Security The lender is also in the midst of a the unique freedoms Beijing promised to itself in the middle of the debate over Hong Department said the request to block massive restructuring, making a pivot to protect when the city returned to Chinese Kong’s political future after a former pro- accounts was based on a probe into Hui’s mainland China and Asia, away from un- rule in 1997. democracy lawmaker, who has fled into previous crowd-funding eff orts. In an profitable markets in Europe and the US. “I think the incident is extremely seri- self-imposed exile, criticised the bank for earlier statement that didn’t name Hui, The bank’s shares slid 1.9% to HK$42.90 ous. It reflects that banks can arbitrarily freezing accounts he and his family held. the police said accounts related to a case in Hong Kong and are down about 30% freeze citizens’ assets due to political Former lawmaker Ted Hui, who has fled were frozen as part of an investigation into this year. pressure under the National Security Law, to the UK amid a police investigation in money laundering and suspected viola- The lender has previously been severely impacting the credibility of Hong Hong Kong, said over the weekend that tions of the city’s national security law, criticised as the city was engulfed by Kong’s banking and financial system,” Hui the British bank and other local lenders including “collusion” with foreign forces. sometimes-violent protests in 2019. It wrote. He urged local and international had frozen his and his family’s accounts in “We have to abide by the laws of the became a target of protesters’ anger after regulatory agencies to investigate the the Asian financial hub. His family was able jurisdiction in which we operate,” a Hong closing an account linked to the city’s pro- incident and “severely punish law enforce- to transfer out their savings after the ac- Kong-based spokesperson for HSBC said. democracy movement. ment off icers and bank managers who counts were “suddenly unfrozen,” he said “While we are unable to comment on mat- Two historic bronze lions outside of abuse their power.” in a Facebook post later. Local media re- ters concerning specific account activity, Former lawmaker from Hong Kong’s pro-democracy opposition Ted Hui speaks to the bank’s main towering Hong Kong Five accounts belonging to Hui, his ported on Monday that police had ordered we are disappointed to see the circum- the media as he leaves the Western Police Station in Hong Kong (file). Hui, who has headquarters were defaced as part of wife and parents had been inacces- HSBC to again block accounts belonging stances being misrepresented.” fled to the UK amid a police investigation in Hong Kong, said that HSBC and other the protests. HSBC was also rebuked by sible since Saturday, he had said in an to Hui, his parents and his wife. It’s the latest Hong Kong development local lenders had frozen his and his family’s accounts in the Asian financial hub. British and US politicians after the bank’s interview with the SCMP. Hui said he Hui called the incident “extremely to embroil HSBC in the complicated geo- Asia chief Peter Wong signed a petition discovered the problem when he logged serious” in one of his posts, as it impacted politics of the former British colony, where crackdown on the political opposition. at a time when they have big expansion in support of the controversial China- into his online bank accounts, which not just his family but the confidence of local pro-democracy politicians have been China’s actions have also drawn a slate of plans for Asia’s largest economy. drafted national security law that was weren’t functioning, the Post reported. HSBC’s customers everywhere. China’s disqualified, charged, arrested and fled sanctions from Washington, dragging glo- The tensions have forced London-based imposed by Beijing on Hong Kong over The accounts contain his family’s “life imposition of controversial new security into exile amid a broader China-backed bal banks into the political back-and-forth HSBC, which derives more than a third the summer. savings,” Hui said in the interview. Gulf Times 4 Tuesday, December 8, 2020 BUSINESS Asian bourses mixed as traders prepare for big week

AFP in US stimulus talks and hopes for the “Fox News Sunday”. Pelosi has agreed vaccine rally largely priced into stock and Wellington. Sentiment was talks said discussions were slow and Hong Kong vaccine. to make the proposal the basis for prices, gains would now likely be driven given a jolt by reports that the US is expectations low. Optimism US lawmakers will agree a negotiations on a final text. by “the pace of vaccinations versus the considering fresh sanctions on several An EU summit will be held Thursday, rescue package was boosted Friday Traders are also keeping tabs on the Covid resurgence speed, similar to how Chinese off icials over their roles in the when the outline of any deal — or an Equity markets were mixed on Monday with data showing the world’s top deployment of vaccines around the shifts in mobility drove equities through disqualification of lawmakers in Hong admission of the failure to find one — following last week’s rally as investors economy created far fewer jobs than world, with Britain in line to start giving the spring and summer”. Kong, as Donald Trump presses ahead will be put to the bloc’s 27 leaders. prepare for a big week that could see forecast in November as the country is jabs this week, while US approval of its “As the market takes out new highs, with his fight against Beijing before A source close to the talks said the the vaccine rollout begin in earnest and battered by a jump in infections that is first drug could come as soon as Friday. investors sitting on the fence may be leaving off ice. situation was “very diff icult” and that US lawmakers agree a new stimulus, forcing leaders to impose containment Belgium, France and Spain have said forced to react, not wanting to miss out Sterling sank against the dollar and negotiations were in their “last useful while post-Brexit trade talks remain on measures. jabs will begin in January for the most on the pot of gold that lies at the other euro as Britain and the European Union days”. “We are on a very narrow path a knife-edge. Senate Republican Leader Mitch vulnerable. end of the vaccine reopening rainbow”. continue with talks on a trade deal for and it is impossible to predict the But while the general consensus is for McConnell and Democratic House The expected vaccine rollout is Still, markets struggled to push ahead when Britain leaves the customs union outcome,” the source explained. a strong recovery in 2021 as billions Speaker Nancy Pelosi have revived “continuing to help share markets look in Asia on Monday. on December 31. London opened higher thanks to are inoculated, the surge in virus cases eff orts to hash out a deal for more through the current problems with the Hong Kong fell more than 1% and EU lead negotiator Michel Barnier and the weaker pound, while Paris and around the world and ongoing China- aid, with both recognising the need virus and its economic impact”, said Shanghai sank 0.8%, with traders his UK counterpart David Frost worked Frankfurt fell. US tensions continue to keep a lid on for help for Americans as Christmas Shane Oliver, at AMP Capital Investors. unmoved by data showing Chinese late into Sunday in Brussels, scrambling In Tokyo, the Nikkei 225 closed down sentiment. approaches. The World Health Organisation said 51 exports expanded in November at their to close out a deal after eight months of 0.8% to 26,547.44 points; Hong Regional traders struggled to build on Senators and their teams worked all candidate vaccines are currently being fastest pace in almost three years. fraught talks. Kong — Hang Seng ended down 1.2% last week’s advances, despite all three weekend on a detailed bill, which “will tested on humans, with 13 reaching Tokyo slipped 0.8%. But there were Ireland’s Prime Minister Micheal Martin to 26,506.85 points and Shanghai Wall Street indexes chalking up records probably come out early this week”, final-stage mass testing. gains in Seoul, Sydney, Mumbai, warned the chances for a deal were — Composite closed down 0.8% to Friday thanks to signs of movement Republican senator Bill Cassidy told Stephen Innes of Axi said with the Taipei, Singapore, Manila, Jakarta only “50-50”, while sources close to the 3,416.80 points on Monday.

Most emerging market currencies weaken

Reuters over a Hong Kong crackdown. London China said it fi rmly opposes US interference in its domes- tic aff airs, if the media report is ost emerging market true. Heavyweight stock mar- currencies weakened kets of Shanghai and Hong Kong Mon Monday as the dol- fell almost 1%, dragging down lar broke a losing run, while the MSCI’s EM equities index fresh US-China tensions and from a fresh 2018 peak hit earlier worries over potential sanctions in the session. against Turkey also dampened “Markets are right in the the mood. “sweet spot” of Goldilocks ral- Turkish markets suff ered lies that are seduced by the most losses in London morning promise of more stimulus in- trade, with the lira down 0.6% tersecting with vaccine hopes,” and banking stocks dropping analysts at Mizuho Bank said in 1%. Germany said that European a note. fi nance ministers will discuss “But the US and global econo- measures against Turkey at their my are far from out of the woods. meeting on Monday as there has If anything, record high new been no de-escalation in the infections and US jobs disap- confl ict in the eastern Mediter- pointment point to the risks of ranean in the past months. air pockets interrupting this re- Elevators travel next to electronic boards displaying stock figures at the National Stock Exchange of India building in Mumbai. The Sensex closed up 347.42 points to 45,426.97 That followed US lawmakers covery.” Russian stocks slipped while the broader NSE Nifty rose 97.20 points to 13,355.75 on Monday. including mandatory Turkish as oil prices fell after a continued sanctions in a defence spending surge in coronavirus cases glo- bill on Friday, adding pressure on bally forced a series of renewed a currency that has failed to catch lockdowns. up with its peers on the back of Europe’s emerging markets Covid-19 vaccine optimism. also traded lower, with bourses Meanwhile, the dollar index’s in Budapest, Bucharest and rebound from 2018 lows kept Prague down between 0.3% and Sensex climbs amid signs Russia’s rouble, South Africa’s 0.8%. The Hungarian forint, the rand and the Hungarian forint Polish zloty and the Czech crown under pressure. all weakened against the euro Risk aversion hit global mar- heading into a make-or-break kets after Reuters reported that week for the European Union’s Washington is preparing new 1.8tn euro ($2.2tn) budget and of sustained buying by sanctions on Chinese offi cials coronavirus recovery fund. foreigners; rupee falls

Bloomberg, Reuters continues to drive the market higher, by BSE Ltd rose, led by a gauge of tel- gauges the greenback’s strength against Mumbai and there are no negative triggers to stall ecom companies. Housing Development a basket of six currencies, rose 0.48% to the rally,” said Umesh Mehta, head of re- Finance Corp Ltd contributed the most 91.13. search at Mumbai-based Samco Securi- to the Sensex advance, increasing 2.5%, The US dollar rose on Monday after ndia stocks rose as foreign infl ows ties Ltd. while Hindustan Unilever Ltd had the hitting a two-and-a-half years low last continued to sustain gains and hopes The Serum Institute of India and Pfi zer largest gain, rising 3.1%. week as investors cut bets on riskier as- Igrew for a coronavirus vaccine. India have applied to the nation’s drug Meanwhile the rupee dropped by 10 sets due to fresh concerns over Brexit and The S&P BSE Sensex climbed 0.8% to regulator seeking an emergency-use au- paise to settle at 73.90 (provisional) US-China trade relations. 45,426.97 points in Mumbai, while the thorisation for their respective Covid-19 against the US currency on Monday On the domestic equity market front, NSE Nifty 50 Index advanced 0.7%. vaccines, the Press Trust of India report- due to a stronger dollar in overseas the BSE Sensex ended 347.42 points or Both gauges closed at new highs af- ed over the weekend. markets. 0.77% higher at 45,426.97 while the ter Friday saw them notch their longest The UK will become the fi rst western At the interbank forex market, the do- broader NSE Nifty rose 97.20 points or stretch of weekly gains since July. country to deploy a Covid-19 vaccine af- mestic unit witnessed a volatile trading 0.73% to 13,355.75. Foreign net equity purchases of ter regulators approved the Pfi zer-BioN- session. It opened at 73.79 and rose to an Foreign institutional investors were $17.1bn this year through Dec. 3 are the Tech shot last week. intra-day high of 73.70 and dropped to a net buyers in the capital market as they most since 2013 as global funds chase The rupee weakened 0.1% 73.9025 per low of 73.96. purchased shares worth Rs2,969.59 crore gains on the back of strong corporate US dollar, while the yield on 10-year gov- It fi nally closed at 73.90 a dollar, regis- on a net basis on Friday, according to profits and optimism over an economic ernment bonds rose three basis points to tering a decline of 10 paise over its previ- provisional exchange data. Brent crude recovery. 5.93%. ous close of 73.80. futures, the global oil benchmark, fell “The momentum in foreign buying Sixteen of 19 sector indexes compiled Meanwhile, the dollar index, which 0.79% to $48.86 per barrel. Hedge funds red hot in Brazil and salaries are skyrocketing

Bloomberg hauling in as much as 100mn reais “Low interest rates are fuelling growth through returns that trailed benchmark Brasilia in total compensation, according to dreams for asset managers,” said indexes. people familiar with industry pay Patrick O’Grady, chief executive off icer In Brazil, firms such as Genoa Capital levels. Bank executives running an at Vitreo, an investment firm and Gestora de Recursos are reaping the As hedge funds around the world asset-management unit or proprietary- broker-dealer with 7bn reais under rewards. Launched in June, the firm’s shrink because of low returns and high trading desk rarely make more than management. hedge fund amassed almost 7bn reais fees, one country is bucking the trend: 15mn reais, the people said, asking That’s held true even through the for its flagship investment vehicle Brazil, where traders are quitting their not to be identified discussing private pandemic, as the central bank kept within two months of its inception, and bank jobs in droves to try their luck at compensation policies. liquidity flowing by injecting more than is now closed for new investments. potential multimillion-dollar payoff s. Hedge funds have other advantages, 1.1tn reais into the financial system. Founded by Andre Raduan, Mariano “New asset-management firms are too. Hedge funds posted record inflows of Steinert and Emerson Codogno, veteran raising money and posting fast profits, “When you’re a partner at your hedge 88.8bn reais this year through October traders at Itau’s asset-management so they have a lot to spend on traders’ fund, you don’t have a compensation in Brazil, after raising 77.3bn reais last unit, the fund charges 1.9% to 2.5% compensation,” Leon Goldberg, a cap as you do in a bank,” said Ricardo year, according to Anbima, the nation’s in management fees and 20% in partner at XP Inc, Brazil’s biggest Amatto, a partner at executive search capital-markets association. performance fees. brokerage, said in an interview. “Many firm Heidrick & Struggles in Brazil. “Also, “There are still about 7tn reais invested Industry pioneers are also grabbing of them are taking talent away from almost all banks defer bonuses and in fixed-income products in Brazil, with a slice. Andre Jakurski’s JGP Asset competitors.” other payments linked to performance negative real returns, so the migration Management, which has more than Senior executives in Brazil are for three to four years, while in a hedge to riskier assets such as stocks should 27.5bn reais under management, abandoning long careers at major fund you get all your money at once.” continue,” said Sara Delfim, who helped posted inflows in recent years, as banks including JPMorgan Chase There’s more. Partners at a hedge fund found Dahlia Capital in 2018 after nine did Luis Stuhlberger’s Verde Asset & Co, Credit Suisse Group AG and firm receive most of their compensation years at Bank of America Corp. “The Management, with over 46bn reais in Itau Unibanco Holding SA to create through dividends, Amatto said, and outlook for the local fund industry assets. Though new shops are opening their own hedge funds and equity those payments are tax-free in Brazil. At his own hedge fund. Jorge Oliveira, a funds mostly in plain-vanilla products. remains positive.” at a breakneck pace, their profitability funds, lured by the chance for more a bank, compensation is taxed at 27.5%. former JPMorgan executive, joined That was good enough when returns It’s a stark contrast to what’s happening and survival is hardly guaranteed. independence and fatter paychecks. “So you can see why so many senior a hedge fund founded by JPMorgan hovered around 14% four years ago. globally. Worldwide, hedge funds this “Asset management is a scale Several firms are poaching each other’s people left banks to become fund veteran Giovani Silva – replacing an Now that the nation’s benchmark rate year posted almost $55bn in outflows business,” Amatto, the executive ranks as the fight for talent intensifies. entrepreneurs,” Amatto said. executive who left to create his own firm. has tumbled to just 2%, below inflation, through October, after losing $102bn recruiter, said. “You need to grow to A top hedge fund trader can earn Among the major departures: Sylvio Brazil’s $1.1tn local asset-management investors are more than willing to pay in 2019, according to data compiled be profitable and to perform. So I see more than 25mn reais ($4.8mn) a Castro, Credit Suisse’s former chief industry is the biggest in Latin America, as much as 2.5% a year in management by eVestment. Investors have dumped many people who start with costs too year in Brazil, with a handful of the investment off icer for the private- and it’s historically been controlled by fees, plus 20% in performance fees, to them in favour of cheaper, passive high, underestimating the risks and the biggest asset-management stars banking unit in Brazil, who left to create big banks that invested customers’ try for higher returns at a hedge fund. products after years of suff ering competition.” Gulf Times Tuesday, December 8, 2020 5 BUSINESS

Japan’s Suga set to unveil $707bn stimulus package

Bloomberg while adapting it in a flexible Tokyo and appropriate way. It also set out a continuation of a boosted furlough programme, Yoshihide Suga is set to unveil additional spending on health his first stimulus package as care, cash handouts to some Japan’s prime minister on single-parent families and Tuesday amid an increase support for firms adapting in virus cases and a dip in their business models to the support for his cabinet that are coronavirus era. an early test of his leadership. The latest draft shows The measures put together by additional budgeted spending Suga’s government will have of ¥1.35tn on the travel an overall value of ¥73.6tn programme. ($707bn), according to a final The latest measures are draft of the package obtained smaller in scale than the The Kota Cepat vessel loaded with shipping containers approaches the Yangshan Deepwater Port in an aerial photograph taken in Shanghai. China’s exports jumped in by Bloomberg. funding seen in two extra November by the most since early 2018, pushing its trade surplus to a monthly record high and underlining how global demand for pandemic-related goods is supporting a The package will include budgets so far this year. Those growth rebound in the world’s second-largest economy. around ¥40tn in fiscal budgets added ¥58tn of measures, such as loans, additional spending equivalent investment and direct to around 11.3% of the size of expenditure. The spending will the economy. be partly financed by ¥19.2tn Overall, the measures unveiled from a third extra budget. by Suga’s predecessor Shinzo While revised growth figures Abe came to ¥234tn after out Tuesday morning are likely including loans, investment to confirm that the economy and private sector initiatives. China’s exports surge surged back in the third Suga’s Liberal Democratic quarter at the fastest pace Party had called for a fresh in 50 years, record infection package this time to help fill a numbers in recent weeks are ¥34tn shortfall of demand in likely to cool the consumer the economy. spending that helped drive the The breakdown for the ¥40tn recovery in the summer. of fiscal measures shows the in year-end rush as If voluntary restrictions following: on movement and activity Around ¥5.9tn for virus continue to re-emerge in containment measures. Japanese cities, the effect on Around ¥18.4tn to support spending could deepen. structural changes toward a Suga faces the challenge post-corona economy. of showing he can Around ¥5.6tn for disaster successfully maintain the management, reduction virus fuels demand economy’s momentum while measures. simultaneously containing Around ¥5tn of reserve funds Bloomberg head in China who is now a senior fellow the virus until vaccine options will be used as needed in the Beijing at the Carnegie Endowment for Interna- become readily available. year ending March 2021. tional Peace’s Asia Program. Failure to do so will likely Another ¥5tn of spending will “China does not want to rub it in and consign him to a long list of draw on reserve funds to be hina’s exports jumped in No- that’s why it’s been willing to let the ren- stop-gap premiers in Japan allocated in next fiscal year’s vember by the most since early minbi appreciate.” who couldn’t maintain enough annual budget. C2018, pushing its trade surplus to As a result of changing patterns of support in their own party to Including funding from special a monthly record high and underlining trade due to the pandemic, China’s stay in power beyond a year. accounts, the extra budget how global demand for pandemic-relat- trade surplus with the US reached a new Boosting consumer spending spending on measures is ed goods is supporting a growth rebound monthly record of $37.4bn in November. will be tricky. A popular travel worth ¥20.1tn. in the world’s second-largest economy. That’s despite Beijing promising a steep subsidy programme that Suga Suga said on Friday that Chinese companies shipped $268bn increase in imports from the US this year has strongly defended as one a new fund worth around in goods in November, the most for any as part of a phase-one trade deal aimed at of his most effective stimulus ¥2tn ($19.2bn) to fund green single month and more than 21% higher halting trade disputes with Washington. policies has come under fire technologies would also than the same month last year. Import The latest data showed China is no- for potentially worsening the feature in the package, as well growth eased to 4.5%, leaving a trade where near meeting its targets under spread of the virus. as support for digitalisation. surplus of $75.4bn – the largest on record that deal. US President-elect Joe Biden A document seen last week The prime minister has made in data going back to 1990. recently said that he wouldn’t quickly by Bloomberg indicated that the upgrading of digital “The export boom is one of the biggest remove tariff s imposed by the Trump the government intends infrastructure and a 2050 economic surprises this year regarding administration and will consult allies be- to extend the Go To Travel carbon emissions goal central China’s outlook,” with the country ben- China’s factories,” said Iris Pang, Greater Lam, Greater China economist at Societe fore developing a China strategy. programme through June parts of his policy platform. efi ting from eff ective containment of the China chief economist at ING Group NV Generale SA in Hong Kong. China’s imports tend to be driven by virus and strong Christmas orders, said in Hong Kong. “Looking ahead, outbound shipments demand for raw inputs for investment Zhou Hao, an economist at Commerz- Virus restrictions: Global demand may slow in December due to a higher and agricultural commodities, rather bank AG in Singapore. had started recovering before a resur- year-earlier base. But we expect a strong than consumer goods. Imports of iron ore Strengthened by the seasonal surge gence in virus cases in some of China’s rebound in the pace of increases in 1Q in the fi rst 11 months of this year rose al- ahead of the year-end holidays, the fi g- biggest export markets, including the US 2021, given the low base in 1Q 2020 when most 10.9% from the same period in 2019, ures illustrate how the pandemic has and Europe – a development which could the coronavirus slammed China’s eco- while soybean purchases from overseas complimented China’s manufacturing further fuel demand for Chinese-made nomic activity”, says David Qu, China climbed 17.5%. “Imports are slightly strengths, as consumers worldwide re- personal protective gear and work-from- economist at Bloomberg. weaker than expected, which shows that duced spending on services due to coro- home devices. Exports of medical equip- The widening trade surplus could put the infrastructure spending might need navirus closures. Combined with a pick- ment in the January-November period further upward pressure on the yuan, to take a break as winter is approaching,” up in China’s domestic consumption and jumped 42.5% in dollar terms from a year which has already appreciated more than said Commerzbank’s Zhou. investment, they also suggest that the ago, while shipments of electronics in 6% against the dollar this year, one of the Leading indicators of trade, such as country’s economic rebound remained November were up 25% compared to the best performers in Asia. Beijing has pre- freight shipping costs and export orders on track in November. same month last year. viously come under attack by the US and in Chinese purchasing managers surveys “Importers from various locations “Demand for pandemic-related and Europe because of its currency interven- have remained strong, suggesting the outside China worried that their loca- electronics goods was pretty much unaf- tion to weaken the yuan. solid export performance can be sus- tions would be under lockdown dur- fected by the newly imposed social-dis- “The fact that China’s trade surplus is tained into the new year. South Korea’s ing Thanksgiving and Christmas, and tancing measures, which aff ect services growing will make everyone unhappy,” exports, a bellwether for global trade, Japanese Prime Minister Yoshihide Suga. therefore request urgent deliveries from more than goods trade,” said Michelle said Yukon Huang, a former World Bank strengthened in November. Jet Airways plans to resume services by summer 2021 BoJ becomes biggest Japan stock

Bloomberg Delhi, Mumbai, and Bengaluru. the statement. Once, India’s owner with $434bn hoard Mumbai Jet Airways will operate all largest carrier by number of its historic domestic slots in passengers, Jet Airways went India and restart international into bankruptcy in 2019 after Bloomberg to NLI Research’s Ide, especially Bankrupt carrier Jet Airways operations after it receives it failed to repay mounting Tokyo if share prices continue to rise. India Ltd, once the nation’s approval from Indian regulators debt. Jet Airways has almost Amid a global rebound on the biggest airline by market value, and a bankruptcy tribunal, 21,000 creditors seeking back of Covid-19 vaccine devel- is planning to restart operations according to a statement on claims of around $6bn and he Bank of Japan has opments, the benchmark Topix as a full-service carrier by the Monday. has had most of its landing taken over as the biggest climbed 11% in November while summer of 2021, its new owners “Jet Airways has been a brand slots confiscated. Towner of the nation’s the Nikkei 225 Stock Average announced. with a glorious history of over The consortium had evaluated stocks, with the total value of surged 15% in its best month A consortium led by 25 years, and it is the vision the option of starting a new its holdings climbing well above since 1994. entrepreneur Murari Lal Jalan of the consortium to put Jet airline but Jet Airways’ optimal $400bn. That pushed unrealised gains and Kalrock Capital has set a Airways back in the skies flight slots, brand value and Massive exchange-traded on the BoJ’s stock purchases to revival plan for Jet Airways, at the earliest opportunity,” reputation for in-flight service fund purchases by the BoJ to over ¥10tn at one point in No- which includes a dedicated Manoj Narender Madnani, and safety will give the support the market amid the vember, according to Ide. The freighter service and hubs board member of the Jalan carrier “an edge over others,” pandemic this year combined Topix fell 0.9% on Monday after in small Indian cities beyond Kalrock consortium, said in according to the statement. with subsequent valuation capping its fi rst weekly decline gains pushed its Japanese equity since October. portfolio to ¥45.1tn ($434bn) in “The BoJ has never taken November, according to esti- profi ts on its holdings and only mates by Shingo Ide, chief eq- country’s representative public at revitalising the economy. The continues to build its hold- uity strategist at NLI Research pension fund, the GPIF, buy- BoJ ramped up its support pro- ings in ETFs,” said Takashi Ito, Institute. ing up local equities feels dis- gramme even further this year an equity market strategist at That marks the fi rst time that torted,” said Satoshi Okumoto, as the coronavirus outbreak Nomura Securities Co. The the central bank’s holdings have chief executive offi cer at Fukoku sent equity markets tumbling, GPIF, meanwhile, “has to sell eclipsed those of the Govern- Capital Management Inc. saying in March it could po- equities when prices are high to ment Pension Investment Fund, The GPIF, the world’s larg- tentially purchase ¥12tn worth adjust the weight of stock hold- which Ide estimates stood at est pension fund, increased its of Japan ETFs this year, double ings within its portfolio.” ¥44.8tn last month, based on equity market presence in 2014 its annual target. After a few NLI Research’s Ide says the gains on top of its holdings as of when it doubled its allocation months of heavy buying the BoJ “could face more scrutiny” end-September. target for local stocks to 25% as pace has slowed back down, and over whether it needs to con- Regardless of which whale is part of an eff ort to increase re- it’s likely the total for 2020 will tinue buying equities when larger, the dominant presence turns through a shift into riskier fall far short of the new theo- prices are elevated like they are of these two public entities has assets. The BoJ’s ETF purchases retical limit. presently. BoJ governor Kuroda A Jet Airways India aircraft prepares to land at Chhatrapati Shivaji International Airport in Mumbai raised concerns over their in- started in 2010 and acceler- Even at the current pace, has repeatedly said that the ETF (file). The bankrupt carrier, once the nation’s biggest airline by market value, is planning to restart fl uence on market prices. The ated later as part of Governor however, “the gap between the purchases are needed as part of operations as a full-service carrier by the summer of 2021, its new owners announced. combination of “a state-run Haruhiko Kuroda’s unprece- BoJ and GPIF’s stock holdings monetary stimulus to reach the institution, the BoJ, and the dented stimulus package aimed will widen further,” according BoJ’s infl ation target. Gulf Times 6 Tuesday, December 8, 2020 BUSINESS

KUWAIT KUWAIT OMAN

Company Name Lt Price % Chg Volume Company Name Lt Price % Chg Volume Company Name Lt Price % Chg Volume

Advanced Technology Co 570.00 0.00 - Oman Packaging 0.31 0.00 - Al-Madar Finance & Invt Co 87.00 0.58 258,750 Ekttitab Holding Co Sak 15.20 0.00 - Oman Oil Marketing Company 0.80 0.00 - Gulf Petroleum Investment 19.30 0.00 1,689,100 Real Estate Trade Centers Co 29.50 0.00 5,090 Oman National Engineering An 0.10 0.00 - Mabanee Co Kpsc 674.00 1.66 2,012,284 Acico Industries Co Kscc 91.00 -0.98 82,372 Oman Investment & Finance 0.09 -1.11 29,953 Inovest Co Bsc 69.00 -1.15 51,375 Kipco Asset Management Co 73.30 -2.14 421,079 Oman Intl Marketing 0.52 0.00 - Al-Deera Holding Co 16.00 0.00 - National Petroleum Services 1,055.00 -4.95 1,378 Oman Flour Mills 0.72 0.00 - Mena Real Estate Co 28.00 1.45 9,105 Alimtiaz Investment Group 105.00 3.96 10,316,607 Oman Fisheries Co 0.09 0.00 122,586 Amar Finance & Leasing Co 55.00 0.00 - Ras Al Khaimah White Cement 65.00 0.00 - Oman Europe Foods Industries 1.00 0.00 - United Projects For Aviation 370.00 0.82 20 Kuwait Reinsurance Co Ksc 220.00 0.00 - Oman Education & Training In 0.25 0.00 - National Consumer Holding Co 48.00 0.00 - Kuwait & Gulf Link Transport 52.20 0.38 88,298 Oman Chromite 3.64 0.00 - QATAR Amwal International Investme 33.80 0.00 - Humansoft Holding Co Ksc 3,798.00 2.65 407,016 Oman Chlorine 0.28 0.00 - Equipment Holding Co K.S.C.C 26.10 0.00 51,409 Automated Systems Co Kscc 68.60 -0.58 50,000 Oman Ceramic Company 0.42 0.00 - Company Name Lt Price % Chg Volume Arkan Al Kuwait Real Estate 82.50 0.61 40,000 Metal & Recycling Co 40.00 0.00 - Oman Cement Co 0.24 3.00 5,500 Gfh Financial Group Bsc 47.40 2.60 2,605,406 Gulf Franchising Holding Co 59.20 0.00 - Oman Cables Industry 0.44 0.00 5,763 Zad Holding Co 15.08 0.20 4,000 Energy House Holding Co Kscp 23.60 -2.48 1,550,487 Al-Enma’a Real Estate Co 49.50 5.32 4,758,116 Oman Arab Bank Saog 0.20 0.00 - Widam Food Co 6.33 -1.60 918,066 Kuwait Co For Process Plant 350.00 1.16 232,618 National Mobile Telecommuni 622.00 0.16 1,775 Oman & Emirates Inv(Om)50% 0.04 10.00 8,000 Vodafone Qatar 1.34 0.07 4,507,345 Al Maidan Dental Clinic Co K 1,220.00 0.00 - Al Bareeq Holding 14.10 0.00 - Natl Aluminium Products 0.09 0.00 90,722 United Development Co 1.75 -0.40 14,311,578 National Shooting Company 18.50 0.00 415,173 Unicap Investment And Financ 41.00 0.00 - National Real Estate Develop 5.00 0.00 - Salam International Investme 0.66 -2.92 32,291,214 Al-Ahleia Insurance Co Sakp 440.00 0.00 143,271 Al Salam Group Holding Co 26.50 -1.49 2,810,300 National Mineral Water 0.09 0.00 - Qatar & Oman Investment Co 0.94 1.40 19,582,967 Wethaq Takaful Insurance Co 19.60 0.00 40,010 Mashaer Holding Co Ksc 58.90 0.00 - National Life & General Insu 0.34 0.00 - Qatar Navigation 6.95 1.46 1,569,741 Salbookh Trading Co Kscp 32.20 -5.29 70,000 Manazel Holding 31.70 0.00 474,590 National Gas Co 0.15 0.00 88,786 Qatar National Cement Co 4.09 -0.17 229,039 Aqar Real Estate Investments 58.50 0.00 - Tijara And Real Estate Inves 46.20 0.00 - National Finance Co 0.13 0.00 - Qatar National Bank 18.53 0.16 2,494,743 Hayat Communications 46.50 -4.91 306,813 Jazeera Airways Co Ksc 705.00 3.37 2,399,266 National Detergent Co Saog 0.63 0.00 2,498 Qatar Islamic Insurance Grou 6.70 0.00 2,835 Soor Fuel Marketing Co Ksc 123.00 0.00 6,733 Commercial Real Estate Co 106.00 -1.85 115,178 National Biscuit Industries 3.92 0.00 - Qatar Industrial Manufactur 3.30 0.00 15,464 Tamkeen Holding Co 5.20 0.00 - National International Co 72.00 4.35 1,228,788 National Bank Of Oman Saog 0.16 -0.63 44,794 Qatar International Islamic 9.01 -2.22 1,029,037 Alargan International Real 110.00 0.00 - Taameer Real Estate Invest C 22.60 3.67 11,773,364 Muscat Thread Mills Co 0.07 0.00 - Qatari Investors Group 1.88 -1.16 1,599,200 Burgan Co For Well Drilling 109.00 -2.68 167,310 Gulf Cement Co 29.30 -4.87 154 Muscat Insurance Co Saog 0.35 0.00 - Qatar Islamic Bank 16.98 0.06 1,244,492 Kuwait Resorts Co Kscc 57.30 -1.04 716,251 Heavy Engineering And Ship B 387.00 -0.26 2,562,634 Muscat Gases Company Saog 0.21 0.00 - Qatar Gas Transport(Nakilat) 3.21 -0.09 4,710,638 Oula Fuel Marketing Co 121.00 0.00 8,615 National Real Estate Co 76.30 0.53 5,776,454 Muscat Finance 0.04 0.00 7,100 Qatar General Insurance & Re 2.38 -0.42 120,346 Palms Agro Production Co 68.00 -9.33 22,200 Al Safat Energy Holding Comp 19.20 1.05 311,039 Muscat City Desalination Co 0.10 0.00 - Qatar German Co For Medical 2.15 -0.88 18,255,050 Mubarrad Holding Co Ksc 58.90 0.00 230,163 Kuwait National Cinema Co 730.00 -2.67 100 Musandam Power Co 0.33 0.00 - Qatar Fuel Qsc 18.70 -1.11 437,162 Shuaiba Industrial Co 176.00 0.00 - Danah Alsafat Foodstuff Co 11.80 0.00 - Majan Glass Company 0.18 0.00 - Qatar First Bank 1.74 -0.11 4,762,719 Aan Digital Services Co 12.30 0.82 258,946 Independent Petroleum Group 470.00 0.00 101,490 Majan College 0.16 0.00 21,677 Qatar Electricity & Water Co 18.80 -0.37 401,805 First Takaful Insurance Co 39.50 16.18 5,500 Kuwait Real Estate Co Ksc 99.10 -0.20 471,010 Hsbc Bank Oman 0.09 0.00 1,000 Qatar Exchange Index Etf 10.24 0.00 - Kuwaiti Syrian Holding Co 33.70 14.63 485,898 Salhia Real Estate Co Ksc 473.00 9.74 912,932 Hotels Management Co Interna 1.25 0.00 - Qatar Cinema & Film Distrib 3.85 -3.68 15,188 National Cleaning Company 51.00 -1.92 30,500 Gulf Cable & Electrical Ind 769.00 2.67 1,350,716 Gulf Stone 0.12 0.00 - Al Rayan Qatar Etf 2.41 -0.74 78,554 United Real Estate Company 46.10 0.00 - Kuwait Finance House 683.00 0.00 6,713,643 Gulf Mushroom Company 0.31 0.00 - Qatar Insurance Co 2.63 -0.49 1,014,187 Agility 679.00 0.44 2,112,573 Gulf North Africa Holding Co 58.00 0.00 1,500 Gulf Investments Services 0.08 5.48 523,874 Qatar Aluminum Manufacturing 1.02 -0.88 16,600,428 Kuwait & Middle East Fin Inv 119.00 0.85 16,050 Hilal Cement Co 104.00 0.00 - Gulf Invest. Serv. Pref-Shar 0.32 0.00 - Ooredoo Qpsc 7.10 1.43 4,045,068 Fujairah Cement Industries 33.00 0.00 - Osoul Investment Kscc 79.00 0.00 - Gulf International Chemicals 0.10 0.00 - Alijarah Holding Company Qps 1.24 -0.88 13,176,320 Livestock Transport & Tradng 180.00 1.69 25,897 Gulf Insurance Group Ksc 580.00 0.69 15,150 Gulf Hotels (Oman) Co Ltd 3.88 0.00 - Mazaya Real Estate Developme 1.23 -2.46 15,043,227 National Industries Grp Hold 187.00 2.19 4,176,959 Umm Al Qaiwain General Inves 66.70 0.00 - Global Fin Investment 0.06 0.00 - Mesaieed Petrochemical Holdi 2.10 0.00 2,065,756 Warba Insurance Co 79.00 -2.23 15,030 Aayan Leasing & Investment 95.40 1.06 5,307,054 Galfar Engineering&Contract 0.04 0.00 148,590 Al Meera Consumer Goods Co 20.77 -1.28 72,434 First Dubai Real Estate Deve 39.20 -0.76 230,067 Alrai Media Group Co Ksc 46.00 -4.17 678 Galfar Engineering -Prefer 0.39 0.00 - Medicare Group 8.85 -1.14 79,838 Al Arabi Group Holding Co 198.00 0.00 - National Investments Co 130.00 0.78 1,257,161 Financial Services Co. 0.18 0.00 - Mannai Corporation Qsc 3.02 -0.53 63,793 Kuwait Hotels Sak 59.00 0.00 - Commercial Facilities Co 176.00 -1.68 13,310 Financial Corp/The 0.08 0.00 - Masraf Al Rayan 4.46 0.41 5,681,481 Mobile Telecommunications Co 613.00 0.16 3,376,155 Yiaco Medical Co. K.S.C.C 480.00 -2.04 40 Dhofar Tourism 0.49 0.00 - Al Khalij Commercial Bank 1.86 -0.96 1,257,540 Eff ect Real Estate Co 20.50 0.00 - Dulaqan Real Estate Co 318.00 0.00 - Dhofar Poultry 0.18 0.00 - Industries Qatar 11.30 0.00 758,795 Tamdeen Real Estate Co Ksc 261.00 0.00 - Real Estate Asset Management 90.20 0.00 - Dhofar Intl Development 0.26 0.00 - Inma Holding Company 5.68 9.99 7,310,956 Al Mudon Intl Real Estate Co 18.00 0.00 - Munshaat Real Estate Project 70.40 0.00 - Dhofar Insurance 0.17 0.00 - Investment Holding Group 0.61 -2.71 63,191,923 Kuwait Cement Co Ksc 227.00 0.00 130,021 Noor Financial Investment Co 175.00 1.16 69,937 Dhofar Generating Co Saoc 0.19 0.00 - Gulf Warehousing Company 5.14 -0.96 866,158 Sharjah Cement & Indus Devel 42.20 0.00 - Al Tamdeen Investment Co 290.00 0.00 - Dhofar Fisheries & Food Indu 1.28 0.00 - Gulf International Services 1.56 -1.27 2,087,149 Kuwait Portland Cement Co 768.00 0.00 20,560 Dhofar Cattlefeed 0.11 2.91 30,978 Ezdan Holding Group 1.84 -0.65 32,019,840 Educational Holding Group 338.00 -0.29 3,851 Dhofar Beverages Co 0.26 0.00 - Doha Insurance Co 1.35 -0.59 212,866 Bahrain Kuwait Insurance 200.00 0.00 - Construction Materials Ind 0.03 0.00 - Doha Bank Qpsc 2.42 0.46 1,896,137 Asiya Capital Investments Co 32.70 0.93 11,679 Computer Stationery Inds 0.26 0.00 - Dlala Holding 2.00 -0.84 2,658,961 Kuwait Investment Co 119.00 -0.83 2,040,016 OMAN Bankmuscat Saog 0.40 0.51 2,643,846 Commercial Bank Psqc 4.36 -1.22 1,482,795 Burgan Bank 208.00 0.00 2,387,618 Bank Nizwa 0.10 1.03 178,785 Barwa Real Estate Co 3.45 -0.52 2,175,219 Company Name Lt Price % Chg Volume Kuwait Projects Co Holdings 152.00 0.00 1,188,453 Bank Dhofar Saog 0.10 -1.00 180,000 Baladna 1.93 -1.23 4,036,235 Al Madina For Finance And In 15.40 0.00 - Arabia Falcon Insurance Co 0.08 0.00 2,921 Al Khaleej Takaful Group 1.96 -0.51 2,407,240 Voltamp Energy Saog 0.14 0.00 - Kuwait Insurance Co 380.00 0.00 100 Aman Real Estate Inve Reit 0.10 0.00 - Aamal Co 0.89 -1.54 5,211,489 Vision Insurance Saoc 0.09 0.00 - Al Masaken Intl Real Estate 23.40 1.30 570,961 Aloula Co 0.08 0.00 - Al Ahli Bank 3.25 0.00 - United Power/Energy Co- Pref 0.90 0.00 - Intl Financial Advisors 51.50 0.98 13,265 Al-Omaniya Financial Service 0.07 0.00 5,000 United Power Co Saog 1.10 0.00 - First Investment Co Kscc 36.00 0.84 7,904,877 Al-Hassan Engineering Co 0.01 0.00 - United Finance Co 0.04 5.13 1,028,107 KUWAIT Al Mal Investment Company 5.90 0.00 - Al-Fajar Al-Alamia Co 0.70 0.00 - Ubar Hotels & Resorts 0.13 0.00 - Bayan Investment Co Kscc 38.70 0.00 - Al-Anwar Ceramic Tiles Co 0.22 2.38 1,012,020 Takaful Oman 0.10 0.00 28,280 Company Name Lt Price % Chg Volume Egypt Kuwait Holding Co Sae 341.00 0.00 - Al Suwadi Power 0.05 -1.89 27,933 Taageer Finance 0.09 0.00 - Coast Investment Development 46.30 0.43 2,516,723 Al Sharqiya Invest Holding 0.07 1.47 60,000 Sultan Center Food Products 90.60 0.67 6,325 Sweets Of Oman 0.55 0.00 - Privatization Holding Compan 41.80 1.95 10,200 Al Maha Petroleum Products M 0.63 0.00 10,748 Kuwait Foundry Co Sak 264.00 0.00 - Sohar Power Co 0.05 0.00 - Injazzat Real State Company 86.90 0.00 - Al Maha Ceramics Co Saoc 0.21 0.48 45,000 Kuwait Financial Centre Sak 82.10 0.12 22,252 Sohar International Bank 0.09 -1.05 55,600 Kuwait Cable Vision Sak 14.00 0.00 - Al Madina Takaful Co Saoc 0.07 0.00 64,586 Ajial Real Estate Entmt 165.00 0.61 18,950 Smn Power Holding Saog 0.08 0.00 - Sanam Real Estate Co Kscc 30.00 0.00 8,774 Al Madina Investment Co 0.02 0.00 - Kuwait Finance & Investment 41.90 0.48 50,000 Shell Oman Marketing - Pref 1.05 0.00 - Aviation Lease And Finance C 187.00 5.65 11,949,732 Al Kamil Power Co 0.32 0.00 - National Industries Co Ksc 154.00 0.00 - Shell Oman Marketing 1.00 0.00 - Arzan Financial Group For Fi 56.60 0.00 1,181,604 Al Jazerah Services -Pfd 0.55 0.00 - Kuwait Real Estate Holding C 25.00 0.00 - Sharqiyah Desalination Co Sa 0.20 0.00 - Ajwan Gulf Real Estate Co 10.70 0.00 - Al Jazeera Steel Products Co 0.14 6.15 950,669 Securities House/The 43.70 1.16 1,231,450 Sembcorp Salalah Power & Wat 0.11 0.00 - Kuwait Business Town Real Es 39.00 1.30 779,044 Al Jazeera Services 0.20 1.51 933,938 Boubyan Petrochemicals Co 611.00 5.16 1,532,022 Salalah Port Services 0.60 0.00 - Future Kid Entertainment And 84.00 6.33 3,000 Al Buraimi Hotel 0.88 0.00 - Al Ahli Bank Of Kuwait 214.00 0.00 519,672 Salalah Mills Co 0.55 0.00 - Specialities Group Holding C 72.70 4.45 2,251,734 Al Batinah Power 0.05 0.00 149,073 Ahli United Bank (Almutahed) 284.00 1.07 380,718 Salalah Beach Resort Saog 1.38 0.00 - Abyaar Real Eastate Developm 7.30 0.00 - Al Batinah Hotels 1.13 0.00 - National Bank Of Kuwait 844.00 1.20 4,108,929 Sahara Hospitality 3.12 0.00 - Dar Al Thuraya Real Estate C 63.80 0.00 - Al Batinah Dev & Inv 0.07 0.00 - Commercial Bank Of Kuwait 501.00 0.00 - Renaissance Services Saog 0.34 1.18 388,902 Kgl Logistics Company Kscc 28.70 0.00 964,230 Al Anwar Holdings Saog 0.06 3.23 163,388 Kuwait International Bank 209.00 0.48 2,097,169 Raysut Cement Co 0.32 3.90 165,385 Combined Group Contracting 189.00 2.16 1,042,537 Al Ahlia Insurance Co Saoc 0.37 0.00 - Gulf Bank 220.00 -0.90 5,463,482 Phoenix Power Co Saoc 0.05 0.00 518,492 Jiyad Holding Co Ksc 45.00 0.00 - Ahli Bank 0.13 0.00 144 Al-Massaleh Real Estate Co 33.10 -9.32 119,260 Packaging Co Ltd 2.21 0.00 - Warba Capital Holding Co 49.00 4.26 20,080 Acwa Power Barka Saog 0.48 0.00 - Al Arabiya Real Estate Co 25.40 0.79 501,374 Ooredoo 0.39 -1.02 459,102 Gulf Investment House Ksc 85.00 0.24 489,135 Abrasives Manufacturing Co S 0.05 0.00 - Kuwait Remal Real Estate Co 21.20 4.95 1,341,627 Ominvest 0.33 0.00 4,000 Boubyan Bank K.S.C 581.00 0.35 2,333,175 A’saff a Foods Saog 0.55 0.00 - Alkout Industrial Projects C 628.00 0.00 - Oman United Insurance Co 0.40 0.00 278,863 Ahli United Bank B.S.C 245.00 0.41 4,061,044 0Man Oil Marketing Co-Pref 0.25 0.00 - Oman Telecommunications Co 0.69 -0.58 304,777 A’ayan Real Estate Co Sak 57.00 -1.38 58,500 Osos Holding Group Co 89.00 0.00 - Oman Refreshment Co 0.96 0.00 488 Investors Holding Group Co.K 18.20 1.11 6,715,690 Al-Eid Food Ksc 73.70 0.27 865,716 Oman Qatar Insurance Co 0.10 0.00 - Al-Mazaya Holding Co 54.50 2.06 1,191,558 Qurain Petrochemical Industr 335.00 6.35 4,471,778 LATEST MARKET CLOSING FIGURES

Stock-market euphoria threatens $170bn takeover wave

Bloomberg or competing offer. The coronavirus Massimo Stabilini, a former Paulson Plc, the subject of a $2.4bn buyout the continued significant stock mar- the UK developer has a “unique posi- London crisis is “blurring the lines between & Co executive who runs hedge fund proposal from its biggest shareholder. ket appreciation relative to the deal tion in the market” and there’s a risk consolidation and opportunism,” said Sinclair Capital, said last week. A group of opposing investors led by they signed at the time,” said Brett shareholders reject the deal given the Josh Rosen, a special situations ana- The private equity firm’s original Maxim Vorobyev, who own 3.6% of Buckley, an event-driven strategist at “lack of a material control premium.” he global market euphoria is lyst at United First Partners. proposal of 115 pence per share repre- the company, said the bid is trying to WallachBeth Capital LLC. Representatives for KAZ and Code- threatening to unravel some of “The tide is coming in for acquirers sented an above-average 39% premi- “take advantage” of declines in KAZ’s Take-Two Interactive Software Inc, masters declined to comment, while Tthe recent flurry of dealmak- who launched mediocre offers mid- um to McCarthy & Stone’s last close stock due to Covid-19 and doesn’t re- the maker of “Grand Theft Auto,” has a spokesperson for Take Two didn’t ing. pandemic,” Rosen said. “Why should at the time it was announced. That flect its growth potential. also faced opposition to its roughly immediately respond to a request for More than $170bn of listed com- target shareholders acquiesce to un- spread was quickly erased: the stock James Johnstone, a fund man- $1bn bid for British game studio Co- comment. pany takeovers were agreed world- adjusted equity valuations, modelled has been trading slightly above the ager at fellow dissident shareholder demasters Group Holdings Plc. The Still, the risk of a deal successfully wide in the month leading up to Pfizer in the midst of the worst pandemic in proposal and ended Friday at 115.80 RWC Partners Ltd, said that vac- cash and stock proposal’s value has being blocked is lower as merger ar- Inc’s November 9 announcement of living memory?” pence. cine developments and the election fluctuated over time, and as of Fri- bitrage funds don’t have the will to its successful vaccine trials, accord- Lone Star Funds raised its bid for Lone Star has now increased the of Joe Biden to the US presidency day’s close it translated into more pursue those strategies after such ing to data compiled by Bloomberg. British retirement community de- offer to 120 pence per share, and the “have materially boosted global as- than a 2% discount to Codemasters’s a stressful year, said Andrew Ross, The subsequent stock rally has made veloper McCarthy & Stone Plc to shareholder meeting will be held set prices” since the offer came out. share price. a managing member of Confluence many of the deals just struck look £647mn pounds ($860mn) on Mon- Monday afternoon as planned, it said KAZ shares closed Friday at 661.80 Columbia Threadneedle Invest- Global Capital. suddenly less generous. day, giving in to investor opposition in a statement. pence, or 3.4% above the offer of ments has argued the takeover “I don’t think arbs are going to Targets in $23bn of those deals are just hours before they vote on the Other targets trading above pend- 640 pence per share. doesn’t value Codemasters as high as mess with fate at this point,” Ross now trading above their bids, indi- deal. The initial offer looked “too ing takeover offers include London- “Boards of companies in definitive its listed peers. Katie Cousins, an an- said. “You are not going to gain the cating investors may expect a bump cheap” after a re-rating of the sector, listed copper miner KAZ Minerals deals to be acquired do have to weigh alyst at Shore Capital Group Ltd, said critical mass to vote down a deal.” Gulf Times Tuesday, December 8, 2020 7 BUSINESS

DJIA WORLD INDICES Company Name Lt Price % Chg Volume Indices Lt Price Change Dow Jones Indus. Avg 30,081.65 -136.61 Apple Inc 123.85 1.31 7,020,937 S&P 500 Index 3,694.98 -4.14 Amgen Inc 226.90 -1.01 149,444 Nasdaq Composite Index 12,528.81 +64.58 American Express Co 123.15 -1.51 219,786 S&P/Tsx Composite Index 17,572.74 +51.77 Boeing Co/The 240.83 3.49 997,072 Mexico Bolsa Index 43,258.39 -387.64 Caterpillar Inc 177.26 -2.72 195,305 Brazil Bovespa Stock Idx 114,412.00 +661.80 Salesforce.Com Inc 228.35 1.10 710,343 Ftse 100 Index 6,553.42 +3.19 Cisco Systems Inc 44.31 -0.16 1,184,730 Cac 40 Index 5,565.10 -44.05 Chevron Corp 91.25 -2.18 489,466 Dax Index 13,261.98 -36.98 Walt Disney Co/The 153.59 -0.36 261,346 Ibex 35 Tr 8,279.50 -43.40 Dow Inc 54.16 -1.62 135,898 Nikkei 225 26,547.44 -203.80 Goldman Sachs Group Inc 238.74 -0.35 100,914 Japan Topix 1,760.75 -15.19 Home Depot Inc 261.75 -0.85 366,157 Hang Seng Index 26,506.85 -329.07 Honeywell International Inc 210.87 -0.85 192,471 All Ordinaries Indx 6,908.91 +43.62 Intl Business Machines Corp 126.31 -0.70 284,804 Nzx All Index 2,081.46 +4.22 Intel Corp 49.97 -3.88 3,870,205 Bse Sensex 30 Index 45,426.97 +347.42 Johnson & Johnson 149.03 -0.83 438,856 Nse S&P Cnx Nifty Index 13,355.75 +97.20 Jpmorgan Chase & Co 121.39 -0.78 418,136 Straits Times Index 2,825.51 -14.38 Coca-Cola Co/The 52.78 -1.99 734,539 Karachi All Share Index 29,482.48 -66.93 Mcdonald’s Corp 208.44 -1.09 246,085 Jakarta Composite Index 5,930.76 +120.28 3M Co 171.24 -0.71 98,657 Merck & Co. Inc. 82.94 1.22 516,910 Microsoft Corp 213.94 -0.20 1,902,274 Nike Inc -Cl B 138.22 0.75 282,038 TOKYO Procter & Gamble Co/The 136.67 -0.58 285,454 Travelers Cos Inc/The 134.79 -1.01 38,553 Company Name Lt Price % Chg Volume Unitedhealth Group Inc 346.37 -1.01 159,325 Japan Post Holdings Co Ltd 778.90 -0.69 4,807,500 Visa Inc-Class A Shares 213.22 0.25 348,695 Toyota Motor Corp 7,204.00 0.32 4,520,800 Verizon Communications Inc 61.30 -0.41 622,980 Kddi Corp 2,969.00 -0.72 4,901,400 Walgreens Boots Alliance Inc 42.84 -1.31 480,397 Kyocera Corp 6,199.00 -1.37 586,200 Walmart Inc 147.26 -1.11 371,843 Nissan Motor Co Ltd 532.60 -1.64 28,458,000 Sumitomo Corp 1,343.50 1.28 2,757,500 Canon Inc 1,962.50 -2.27 5,081,400 FTSE 100 Nintendo Co Ltd 57,770.00 1.48 1,109,300 Eisai Co Ltd 7,615.00 -0.81 819,200 Company Name Lt Price % Chg Volume Unicharm Corp 4,647.00 -2.39 1,181,200 Shin-Etsu Chemical Co Ltd 17,300.00 -2.62 1,470,000 Anglo American Plc 2,557.50 0.89 1,776,711 Smc Corp 64,510.00 -0.49 102,400 Associated British Foods Plc 2,310.00 -2.12 732,614 Mitsubishi Corp 2,516.00 0.32 3,329,500 Admiral Group Plc 2,796.00 -1.38 285,034 Asahi Group Holdings Ltd 4,438.00 -2.46 2,387,500 Ashtead Group Plc 3,223.00 0.12 460,325 Keyence Corp 51,850.00 -0.86 472,800 Antofagasta Plc 1,428.50 1.20 682,407 Nidec Corp 12,790.00 -2.22 1,618,600 Auto Trader Group Plc 554.60 -0.47 947,329 Japan Exchange Group Inc 2,594.00 -0.56 1,260,600 Aviva Plc 332.80 -1.60 7,984,244 Nomura Holdings Inc 552.60 -1.41 11,037,600 Avast Plc 477.60 -1.89 687,621 Daiichi Sankyo Co Ltd 3,484.00 0.72 2,533,800 Aveva Group Plc 3,264.00 1.46 236,299 Subaru Corp 2,122.00 -0.24 2,089,000 Astrazeneca Plc 8,067.00 1.37 1,076,412 Sumitomo Realty & Developmen 3,548.00 -1.14 812,000 Bae Systems Plc 517.80 -0.73 2,528,082 Sumitomo Metal Mining Co Ltd 4,180.00 -1.55 1,232,500 Barclays Plc 146.24 -1.60 184,529,561 Orix Corp 1,609.50 -0.59 5,242,500 British American Tobacco Plc 2,835.00 4.19 2,097,266 Daiwa Securities Group Inc 469.50 0.82 4,941,400 Barratt Developments Plc 630.20 -3.58 2,331,675 Softbank Group Corp 7,123.00 -1.89 10,179,500 Bhp Group Plc 1,933.20 0.15 3,091,641 Mizuho Financial Group Inc 1,332.50 -0.49 6,063,300 Berkeley Group Holdings/The 4,427.00 -7.07 386,634 Hoya Corp 12,735.00 -1.62 585,800 British Land Co Plc 500.20 -1.92 1,918,269 Sumitomo Mitsui Trust Holdin 3,176.00 -0.06 929,100 B&M European Value Retail Sa 469.50 -0.84 1,497,111 Japan Tobacco Inc 2,140.00 -0.14 3,738,800 Bunzl Plc 2,357.00 0.94 307,498 Z Holdings Corp 612.80 -2.50 15,221,600 Bp Plc 274.10 -1.03 31,560,497 Sumitomo Electric Industries 1,252.50 -0.87 1,677,200 Burberry Group Plc 1,805.00 0.22 318,585 Ajinomoto Co Inc 2,244.50 0.29 1,097,700 Bt Group Plc 132.15 -2.04 13,098,226 Daikin Industries Ltd 23,220.00 -0.51 448,900 Coca-Cola Hbc Ag-Di 2,328.00 1.22 231,615 Mitsui Fudosan Co Ltd 2,240.00 -1.37 2,574,700 Compass Group Plc 1,496.50 2.32 1,028,088 Ono Pharmaceutical Co Ltd 3,183.00 -2.36 957,800 Croda International Plc 6,084.00 -0.91 168,991 Toray Industries Inc 616.70 -2.24 10,285,500 Crh Plc 3,082.00 -0.68 475,977 Astellas Pharma Inc 1,507.50 0.87 6,297,100 Dcc Plc 5,462.00 -5.27 122,607 Bridgestone Corp 3,711.00 -1.54 1,644,700 Diageo Plc 2,976.50 1.50 1,744,235 A British one pound sterling coin is arranged for a photograph in front of a Union flag in London (file). The pound slumped Sony Corp 9,675.00 -0.84 3,313,900 Evraz Plc 424.80 -0.59 967,563 Eneos Holdings Inc 359.40 0.25 15,833,000 around 1% against the dollar and euro on Monday as post-Brexit trade talks between Britain and the European Union hung Experian Plc 2,681.00 0.75 514,945 Nippon Steel Corp 1,332.00 -4.28 6,962,600 in the balance. Ferguson Plc 8,476.00 -0.75 118,754 Suzuki Motor Corp 5,511.00 -1.59 994,100 Flutter Entertainment Plc 15,035.00 1.59 272,220 Nippon Telegraph & Telephone 2,533.50 -0.86 7,980,200 Fresnillo Plc 1,147.00 1.01 464,814 Sompo Holdings Inc 4,119.00 -1.34 693,100 Glencore Plc 240.00 0.99 18,106,153 Daiwa House Industry Co Ltd 3,324.00 1.40 1,512,000 Glaxosmithkline Plc 1,394.40 0.61 3,570,594 Komatsu Ltd 2,702.00 1.12 3,703,000 Gvc Holdings Plc 1,033.00 1.72 981,168 West Japan Railway Co 5,385.00 1.28 1,669,000 Hikma Pharmaceuticals Plc 2,533.00 -0.55 150,845 Murata Manufacturing Co Ltd 8,848.00 -1.45 2,197,300 Hargreaves Lansdown Plc 1,453.50 1.04 523,412 Brexit fears weigh on Kansai Electric Power Co Inc 925.30 -4.07 9,336,700 Halma Plc 2,272.00 0.40 269,142 Denso Corp 5,795.00 1.08 3,433,500 Hsbc Holdings Plc 410.90 -2.78 13,083,319 Dai-Ichi Life Holdings Inc 1,660.00 0.18 3,264,300 Homeserve Plc 1,079.00 0.94 250,635 M3 Inc 8,450.00 -4.66 4,413,700 Intl Consolidated Airline-Di 168.85 -0.41 23,586,630 Central Japan Railway Co 14,300.00 -0.52 493,200 Intermediate Capital Group 1,679.00 -1.24 162,842 Nitori Holdings Co Ltd 20,815.00 -1.84 266,400 Intercontinental Hotels Grou 4,964.00 -0.28 280,828 pound, and most equities Mitsui & Co Ltd 1,910.00 2.39 6,150,800 3I Group Plc 1,131.50 0.71 594,432 Kao Corp 7,767.00 -1.18 977,200 Imperial Brands Plc 1,513.50 3.17 1,887,215 Otsuka Holdings Co Ltd 4,397.00 0.66 459,200 the European Union, falling by more from EU member states at a pre-dawn Informa Plc 574.80 0.28 831,559 AFP Oriental Land Co Ltd 17,875.00 -0.67 636,700 than 1.0% at one point. crisis meeting, warning that divisions Intertek Group Plc 5,698.00 0.71 111,419 London Secom Co Ltd 9,760.00 -0.73 406,000 Jd Sports Fashion Plc 789.00 -3.38 509,751 Johnson was due to speak with EU were still stark after talks with his UK Sekisui House Ltd 1,958.50 0.51 1,821,000 Just Eat Takeaway 7,656.00 -0.52 166,486 Commission chief Ursula von der Ley- counterpart David Frost broke up over- Aeon Co Ltd 3,018.00 -0.53 873,900 Johnson Matthey Plc 2,329.00 -0.13 222,606 he pound slumped around 1% en later in the day. night. Tokio Marine Holdings Inc 5,273.00 -1.27 1,899,500 Kingfisher Plc 264.40 -1.64 2,718,838 Bandai Namco Holdings Inc 9,384.00 -0.49 765,000 against the dollar and euro on While Britain made one concession Market focus was also fi rmly on Land Securities Group Plc 708.30 -2.38 1,317,162 Hitachi Ltd 4,065.00 -0.83 3,126,700 Monday as post-Brexit trade on Monday, it ruled out extending talks Covid-19 vaccine developments as the Legal & General Group Plc 254.80 -2.60 12,320,305 T Shiseido Co Ltd 7,400.00 -1.18 1,377,800 talks between Britain and the European into 2021, and hopes were not high for new trading week got under way. Lloyds Banking Group Plc 37.28 -4.47 210,317,706 Shionogi & Co Ltd 5,655.00 0.80 549,500 Traders are keeping tabs on the London Stock Exchange Group 8,718.00 0.97 192,737 Union hung in the balance. an imminent breakthrough as time Terumo Corp 4,154.00 -1.33 1,154,900 Mondi Plc 1,701.00 1.07 396,334 Major European stock markets runs out to strike a deal before Britain deployment of vaccines around the Sysmex Corp 11,245.00 -4.26 608,000 M&G Plc 193.25 -1.20 5,007,491 dropped except for London, as the leaves the EU single market on Decem- world, with Britain in line to start of- Tokyo Gas Co Ltd 2,218.00 -1.47 1,554,000 Melrose Industries Plc 161.90 -1.28 5,354,977 sliding pound helped boost share ber 31. fering jabs this week. Tokyo Electron Ltd 36,890.00 1.40 842,100 Wm Morrison Supermarkets 173.50 -0.74 3,507,502 Panasonic Corp 1,143.00 -0.82 4,714,400 prices of multinationals trading on the “The British pound declined against US approval of its fi rst drug could National Grid Plc 860.00 0.82 3,475,688 Fujitsu Ltd 13,575.00 -2.62 528,500 benchmark FTSE 100 index. all of its major trading partners as in- come as soon as Friday. Natwest Group Plc 165.85 -2.84 13,123,289 East Japan Railway Co 6,911.00 -0.85 1,207,100 Around 1630 GMT, the pound was vestors placed bearish hedging posi- Belgium, France and Spain have said Next Plc 6,650.00 -1.86 211,587 Itochu Corp 2,902.50 1.42 5,334,300 Ocado Group Plc 2,182.00 -1.40 381,234 down by 0.7% against the dollar, re- tions and some doubted that a deal jabs will begin in January for the most Fujifilm Holdings Corp 5,695.00 -1.96 1,656,000 Phoenix Group Holdings Plc 724.60 0.44 1,303,898 covering part of its losses. would be made by Wednesday’s ar- vulnerable. Chubu Electric Power Co Inc 1,241.50 -0.96 1,998,500 Pennon Group Plc 959.60 0.02 727,337 Meanwhile the euro jumped by 0.8% tifi cial deadline,” said market analyst There is optimism also that US law- Mitsubishi Estate Co Ltd 1,778.00 -1.22 2,366,700 Polymetal International Plc 1,662.50 1.68 618,922 versus the British currency. Edward Moya at currency trading plat- makers will fi nally agree on a long- Mitsubishi Heavy Industries 2,580.50 -0.33 1,355,500 Prudential Plc 1,266.50 1.65 2,396,646 Recruit Holdings Co Ltd 4,056.00 -0.52 14,272,200 Across Europe, London’s FTSE 100 form Oanda. awaited stimulus package. Persimmon Plc 2,717.00 -5.26 880,869 Softbank Corp 1,263.50 -0.04 9,500,200 rose less than 0.1% to close at 6,555.39 “Sand is running out of the Brexit Senators and their teams worked all Pearson Plc 670.60 -1.18 707,027 #N/A Invalid Security 0.00 0.00 - points; Frankfurt’s DAX 30 was down hourglass as the UK seems to have weekend on a detailed bill, which “will Reckitt Benckiser Group Plc 6,354.00 -1.27 552,760 Royal Dutch Shell Plc-A Shs 1,408.40 0.43 2,780,008 0.2% at 13,271.00, while Paris’ CAC 40 ruled out extending the Brexit transi- probably come out early this week”, Royal Dutch Shell Plc-B Shs 1,362.40 0.81 3,867,751 was down 0.6% at 5,573.38. tion period,” Moya added, putting the Republican senator Bill Cassidy told Relx Plc 1,789.50 2.08 1,248,448 SENSEX Down by around half-a-percent, real deadline for a deal at the end of the “Fox News Sunday”. Rio Tinto Plc 5,476.00 0.48 1,176,215 sterling’s losses widened sharply after week. Wall Street traded mixed with the Rightmove Plc 619.00 -0.96 859,866 Company Name Lt Price % Chg Volume Britain’s Sun newspaper said Prime The threat of a wrenching “no-deal” Dow slipping by 0.4% in late morning Rolls-Royce Holdings Plc 131.40 0.88 38,161,060 Adani Ports And Special Econ 471.50 3.92 16,140,936 Minister Boris Johnson was willing to comes after Brussels’ chief negotiator trading, after the three major indices Rsa Insurance Group Plc 675.80 0.00 1,679,583 Asian Paints Ltd 2,472.55 1.39 1,762,501 all posted record highs on Friday. Rentokil Initial Plc 496.00 0.18 989,018 abandon post-Brexit trade talks with Michel Barnier briefed ambassadors Axis Bank Ltd 619.25 0.77 24,658,169 Sainsbury (J) Plc 212.10 -0.66 3,310,986 Bajaj Finance Ltd 4,829.45 -0.94 3,115,124 Schroders Plc 3,272.00 -0.82 78,279 Bharti Airtel Ltd 508.95 3.08 22,125,752 Sage Group Plc/The 571.80 -0.35 2,539,253 Bajaj Auto Ltd 3,319.55 0.25 481,597 HONG KONG HONG KONG Segro Plc 900.00 -0.51 781,128 Bajaj Finserv Ltd 9,051.95 -0.01 707,405 Smurfit Kappa Group Plc 3,366.00 2.81 398,595 Bharat Petroleum Corp Ltd 395.00 0.69 10,092,651 Company Name Lt Price % Chg Volume Company Name Lt Price % Chg Volume Standard Life Aberdeen Plc 286.30 -1.11 2,761,125 Britannia Industries Ltd 3,628.95 -0.53 492,080 Ds Smith Plc 348.90 2.17 2,291,916 -1.32 Cipla Ltd 773.15 0.81 6,779,545 Ck Hutchison Holdings Ltd 56.00 7,460,131 Hong Kong & China Gas 11.76 -1.01 22,137,806 Smiths Group Plc 1,547.00 -1.68 272,292 0.53 Coal India Ltd 136.80 2.63 14,127,211 Hang Lung Properties Ltd 19.00 3,263,500 Bank Of Communications Co-H 4.18 -1.88 26,875,319 Scottish Mortgage Inv Tr Plc 1,119.00 1.63 2,384,269 -1.74 Divi’s Laboratories Ltd 3,717.55 0.15 1,086,712 Ck Infrastructure Holdings L 39.50 1,299,787 China Petroleum & Chemical-H 3.57 0.85 100,063,382 Smith & Nephew Plc 1,536.50 0.92 650,422 -1.98 Dr. Reddy’s Laboratories 5,029.10 2.46 2,405,904 Hengan Intl Group Co Ltd 54.50 1,973,865 Hong Kong Exchanges & Clear 384.40 -1.94 4,167,750 Spirax-Sarco Engineering Plc 10,925.00 0.18 47,403 -0.90 Eicher Motors Ltd 2,561.15 0.30 723,083 Cspc Pharmaceutical Group Lt 7.73 68,302,947 Bank Of China Ltd-H 2.70 -0.74 380,043,501 Sse Plc 1,368.50 -1.30 937,315 0.59 Gail India Ltd 122.40 2.17 26,548,695 Hang Seng Bank Ltd 137.10 2,095,718 Hsbc Holdings Plc 42.90 -1.94 38,403,366 Standard Chartered Plc 477.90 -2.45 3,237,927 -3.05 Grasim Industries Ltd 937.70 0.67 3,193,047 China Resources Land Ltd 31.80 18,454,413 Power Assets Holdings Ltd 40.50 -1.82 4,880,727 St James’s Place Plc 1,087.50 -0.37 284,503 -1.74 Hcl Technologies Ltd 855.30 -0.37 5,314,265 Ck Asset Holdings Ltd 42.35 6,917,912 Mtr Corp 42.25 -1.29 2,033,613 Severn Trent Plc 2,320.00 1.22 273,641 4.63 Housing Development Finance 2,303.80 2.58 4,910,736 Sino Biopharmaceutical 7.00 266,892,314 Techtronic Industries Co Ltd 96.70 0.16 3,429,889 Tesco Plc 224.20 -1.02 8,271,083 0.64 Hdfc Bank Limited 1,372.25 -0.96 12,158,159 Henderson Land Development 31.55 3,061,009 China Overseas Land & Invest 18.54 -0.32 27,133,905 Taylor Wimpey Plc 157.65 -2.14 13,801,565 -1.18 Hdfc Life Insurance Co Ltd 649.55 0.98 4,644,396 Aia Group Ltd 87.95 14,362,943 Tencent Holdings Ltd 583.50 -0.85 12,133,321 Unilever Plc 4,306.00 -0.46 2,580,782 -2.40 Hero Motocorp Ltd 3,174.05 -0.20 991,744 Ind & Comm Bk Of China-H 4.87 312,065,060 China Unicom Hong Kong Ltd 4.54 -0.66 35,981,044 United Utilities Group Plc 930.40 2.56 1,237,973 0.29 Hindalco Industries Ltd 251.25 -0.57 17,202,162 Sun Hung Kai Properties 103.50 1,935,277 Link Reit 69.45 -1.91 7,940,313 Vodafone Group Plc 132.04 1.44 31,338,348 1.62 Hindustan Unilever Ltd 2,256.15 3.29 4,147,649 New World Development 37.60 7,905,437 Petrochina Co Ltd-H 2.40 -2.04 143,670,833 Wpp Plc 771.80 -1.63 1,710,536 -0.95 Icici Bank Ltd 510.45 1.67 37,778,332 Geely Automobile Holdings Lt 20.85 53,522,773 Cnooc Ltd 7.17 -3.11 393,365,034 Whitbread Plc 3,174.00 -3.96 470,279 -0.79 Indusind Bank Ltd 935.15 2.35 15,479,752 Xiaomi Corp-Class B 25.15 134,822,878 China Construction Bank-H 5.97 -1.97 330,839,457 -0.55 Infosys Ltd 1,143.50 0.78 7,792,141 Swire Pacific Ltd - Cl A 44.85 4,864,297 China Mobile Ltd 46.35 -0.86 31,399,181 0.00 Indian Oil Corp Ltd 91.70 1.44 21,338,652 Sands China Ltd 34.70 12,133,228 Alibaba Group Holding Ltd 258.00 -2.27 16,021,766 2.99 Itc Ltd 203.15 2.50 35,693,450 Wharf Real Estate Investment 39.55 14,660,062 0.28 TOKYO Jsw Steel Ltd 365.00 -1.46 6,085,158 Clp Holdings Ltd 71.70 5,116,038 -1.11 Kotak Mahindra Bank Ltd 1,820.55 -1.39 6,032,173 Country Garden Holdings Co 9.84 20,052,712 -2.39 Company Name Lt Price % Chg Volume Larsen & Toubro Ltd 1,169.70 1.76 5,484,461 Aac Technologies Holdings In 42.85 10,103,749 2.40 Mahindra & Mahindra Ltd 752.30 0.23 3,525,945 Wuxi Biologics Cayman Inc 80.95 9,279,774 GCC INDICES Marubeni Corp 638.50 2.34 8,954,200 -2.47 Maruti Suzuki India Ltd 7,743.40 -0.77 1,037,296 Shenzhou International Group 130.40 2,847,996 Indices Lt Price Change Mitsubishi Ufj Financial Gro 448.50 -0.44 43,143,000 -1.33 Nestle India Ltd 17,562.55 -1.49 126,030 Ping An Insurance Group Co-H 96.55 42,202,274 Mitsubishi Chemical Holdings 645.30 1.41 7,877,600 China Mengniu Dairy Co 42.20 -2.20 12,255,794 Ntpc Ltd 99.75 1.22 27,049,393 Doha Securities Market 10,603.54 -18.72 Fanuc Corp 25,865.00 -0.44 573,700 0.14 Oil & Natural Gas Corp Ltd 91.55 1.89 46,638,129 Sunny Optical Tech 148.10 6,102,735 Resona Holdings Inc 377.10 -0.03 7,086,100 Boc Hong Kong Holdings Ltd 24.60 -1.20 5,991,343 Power Grid Corp Of India Ltd 193.50 -0.44 12,418,943 Kuwait Stocks Exchange 4,432.29 +22.72 Asahi Kasei Corp 1,049.00 0.96 3,577,900 -1.01 Reliance Industries Ltd 1,958.20 0.59 8,418,767 China Life Insurance Co-H 17.60 43,427,154 Kirin Holdings Co Ltd 2,421.50 -0.68 1,629,800 Citic Ltd 5.60 -1.23 36,109,554 Sbi Life Insurance Co Ltd 851.75 -1.30 2,151,322 Oman Stock Market 3,654.43 +3.64 Fast Retailing Co Ltd 85,270.00 -1.33 429,800 -1.37 State Bank Of India 269.60 2.31 76,053,084 Galaxy Entertainment Group L 61.25 3,551,215 Ms&Ad Insurance Group Holdin 3,161.00 1.18 1,385,300 Wh Group Ltd 6.75 -0.30 22,940,395 Kubota Corp 2,155.50 -0.19 2,139,600 Shree Cement Ltd 24,954.15 0.17 39,743 Seven & I Holdings Co Ltd 3,503.00 -0.37 1,734,400 Sun Pharmaceutical Indus 582.30 2.33 21,232,768 Takeda Pharmaceutical Co Ltd 3,870.00 -0.74 4,251,900 Tata Steel Ltd 614.55 -1.31 15,588,321 Chugai Pharmaceutical Co Ltd 5,038.00 2.17 1,864,000 Tata Consultancy Svcs Ltd 2,737.70 0.37 1,996,400 Ana Holdings Inc 2,357.00 -5.21 9,222,700 Tech Mahindra Ltd 944.30 2.30 3,973,325 “Information contained herein is believed to be reliable and had been obtained from sources believed to be reliable. The Mitsubishi Electric Corp 1,533.00 -1.13 3,546,600 Titan Co Ltd 1,425.30 -0.82 1,430,365 accuracy and completeness cannot be guaranteed. This publication is for providing information only and is not intended Sumitomo Mitsui Financial Gr 3,082.00 -0.90 5,463,800 Tata Motors Ltd 183.55 -0.33 29,802,472 as an off er or solicitation for a purchase or sale of any of the financial instruments mentioned. Gulf Times and Doha Bank Olympus Corp 2,242.00 -5.32 2,860,900 Upl Ltd 475.95 4.44 11,443,788 or any of their employees shall not be held accountable and will not accept any losses or liabilities for actions based on Shimano Inc 24,400.00 0.02 119,700 Ultratech Cement Ltd 5,056.50 -0.69 910,850 this data.” Honda Motor Co Ltd 3,118.00 -0.38 3,371,200 Wipro Ltd 358.45 -0.65 8,392,383 Gulf Times 10 Tuesday, December 8, 2020 BUSINESS Apple preps next Mac chips with aim to outclass top-end PCs

Bloomberg the MacBook Air range. The company’s better-performing computers. It could and outsources their production to For higher-end desktop computers, lower-end systems with less memory San Francisco next series of chips, planned for release accelerate a shakeup in an industry Taiwan Semiconductor Manufacturing planned for later in 2021 and a new and fewer ports. The company still as early as the spring and later in the that has long been dependent on Intel’s Co, which has taken the lead from Intel half-sized Mac Pro planned to launch sells higher-end, Intel-based versions fall, are destined to be placed across pace of innovation. For Apple, the in chip manufacturing. by 2022, Apple is testing a chip design of some of the lines that received M1 Apple Inc is planning a series of new upgraded versions of the MacBook move sheds that dependency, deepens The current M1 chip inherits a mobile- with as many as 32 high-performance updates. The M1 chip is a variation of Mac processors for introduction Pro, both entry-level and high-end iMac its distinction from the rest of the PC centric design built around four cores. a new iPad processor destined to be as early as 2021 that are aimed at desktops, and later a new Mac Pro market and gives it a chance to add to high-performance processing cores With today’s Intel systems, Apple’s included in a new iPad Pro arriving next outperforming Intel Corp.’s fastest. workstation, the people said. its small, but growing share in PCs. to accelerate tasks like video editing highest-end laptops off er a maximum year. Chip engineers at the Cupertino, The road map indicates Apple’s An Apple spokesman declined to and four power-saving cores that can of eight cores, a high-end iMac Pro is Apple engineers are also developing California-based technology giant are confidence that it can diff erentiate its comment. Chip development and handle less intensive jobs like web available with as many as 18 and the more ambitious graphics processors. working on several successors to the products on the strength of its own production is complex with changes browsing. For its next generation priciest Mac Pro desktop features as Today’s M1 processors are off ered with M1 custom chip, Apple’s first Mac main engineering and is taking decisive steps being common throughout the chip targeting MacBook Pro and iMac much as a 28-core system. Though a custom Apple graphics engine that processor that debuted in November. to design Intel components out of its development process. Apple could models, Apple is working on designs architecturally diff erent, Apple and comes in either 7- or 8-core variations. If they live up to expectations, they will devices. The next two lines of Apple still choose to hold back these chips with as many as 16 power cores and Intel’s chips rely on the segmentation of For its future high-end laptops and mid- significantly outpace the performance chips are also planned to be more in favour of lesser versions for next four eff iciency cores, the people said. workloads into smaller, serialised tasks range desktops, Apple is testing 16-core of the latest machines running Intel ambitious than some industry watchers year’s Macs, the people said, but the While that component is in that several processing cores can work and 32-core graphics parts. chips, according to people familiar with expected for next year. The company plans nonetheless indicate Apple’s vast development, Apple could choose to on at once. For later in 2021 or potentially 2022, the matter who asked not to be named said it expects to finish the transition ambitions. first release variations with only eight Advanced Micro Devices Inc, which has Apple is working on pricier graphics because the plans aren’t yet public. away from Intel and to its own silicon Apple’s Mac chips, like those in its or 12 of the high-performance cores been gaining market share at Intel’s upgrades with 64 and 128 dedicated Intel’s shares slid 1.7% in early trading in 2022. iPhone, iPad and Apple Watch, use enabled depending on production, expense, off ers standard desktop parts cores aimed at its highest-end in New York yesterday after the news. While Intel gets less than 10% of its technology licensed from Arm Ltd, they said. Chipmakers are often forced with as many as 16 cores, with some of machines, the people said. Those Apple shares were little changed. revenue from furnishing Apple with the chip design firm whose blueprints to off er some models with lower its high-end chips for gaming PCs going graphics chips would be several Apple’s M1 chip was unveiled in a new Mac chips, the rest of its PC business is underpin much of the mobile industry specifications than they originally as high as 64 cores. times faster than the current graphics entry-level MacBook Pro laptop, a liable to face turbulence if the iPhone and which Nvidia Corp is in the process intended because of problems that While the M1 silicon has been well modules Apple uses from Nvidia and refreshed Mac mini desktop and across maker is able to deliver demonstrably of acquiring. Apple designs the chips emerge during fabrication. received, the Macs using it are Apple’s AMD in its Intel-powered hardware.

Germany, France and 11 other EU countries team up for investing Moncler buys Stone Island in processor technologies

Reuters sportswear brand for $1.4bn Brussels Germany, France, Spain and ten Bloomberg other EU countries have joined London forces to invest in processors and semiconductor technolo- gies, key to Internet-connected oncler SpA agreed to buy devices and data processing, Stone Island, a rival maker in a push to catch up with the Mof high-end sportswear, for United States and Asia. €1.15bn ($1.4bn) in cash and shares, Europe’s share of the €440bn investing in a new platform for growth ($533bn) global semiconductor as the pandemic erodes demand for market is around 10%, with the luxury. EU currently relying on chips Moncler said yesterday it will pur- made abroad. chase 70% of Stone Island’s parent Such dependence on foreign company SPW from chief executive of- chips and other products has fi cer Carlo Rivetti and other members come under the spotlight dur- of his family. ing the Covid-19 pandemic. The skiwear maker will then buy the Security concerns regarding remaining 30% from Singapore’s state some foreign governments investor Temasek. have also added to worries Moncler shares rose as much as about relying on foreign chips 6.5%. With Stone Island, Moncler is di- used in cars, medical equip- versifying with a more technical brand ment, mobile phones and after a streak of double-digit sales networks, as well as for environ- growth ended. mental monitoring. The purchase also gives the Italian The European Union earlier this company, known for expensive winter year agreed to allocate €145bn, jackets, a bigger presence in its home equal to a fifth of its virus eco- territory and a sportswear brand that nomic recovery fund, for digital appeals to younger customers after a projects. takeover approach by French fashion The 13 countries said they company Kering SA last year. would work together to bolster The brand, founded in 1982, is known Europe’s electronics and em- for colourful edgy sport jackets, which bedded systems value chain. can cost more than $1,000. “This will require a collective It also specialises in high-tech fab- eff ort to pool investment and rics and has made garments that change to co-ordinate actions, by both colours depending on temperature. public and private stakeholders”, Most European countries besides they said in a joint statement. Switzerland have ordered ski resorts The group will reach out to to shut down, undercutting one of the companies to form indus- markets Moncler depends on. trial alliances for research and Chairman Remo Ruffi ni, 59, said that investment into designing and while the deal comes at a challenging making processors and look moment, he sees potential in expand- into funding for such projects. ing Stone Island’s reach. It will also come up with a “I can see Stone Island growing in European-wide scheme known essential markets, such as Asia and Pedestrians walk by a Moncler luxury fashion store in London. Moncler said yesterday it will purchase 70% of Stone Island’s parent company SPW from CEO Carlo Rivetti as an Important Project of Com- the Americas, still unexplored by and other members of his family. mon European Interest which them, which we know well,” he said allows for funding under looser on a conference call.“It is precisely in lockdowns, Bain & Co said in a report The deal is the latest in the luxury Island improve its distribution. The ac- accentuated by the switch to working EU state aid rules. these moments that we need new en- last month. industry this year after LVMH salvaged quirer gets 77% of its revenue through from home. The group will seek to set up ergy and new inspiration to build our The deal values Stone Island at 16.6 plans to buy Tiff any & Co in a record its own network of 218 stores, while McKinsey and Business of Fashion common standards and certifi- tomorrow.” times 2020 expected earnings before $16bn acquisition. Stone Island only has 24 shops and gets forecast a strong market for the seg- cation for electronics. Covid-19 has accelerated the luxury interest, taxes, depreciation and amor- Luxury-goods makers are betting three-quarters of sales from wholesale ment in 2021 in a report published last The signatories include Bel- industry’s dependence on e-commerce tisation of 68mn euros. that demand for high-end products partners. week. gium, Croatia, Estonia, Finland, and underlines the importance of The Rivetti family plans to reinvest will rebound as consumers cut back on Moncler and Stone Island have ben- Citigroup and Cornelli Gabelli ad- Greece, Italy, Malta, the Nether- younger shoppers from Generation Z, part of the proceeds to become a share- travel spending during the pandemic. efi ted from growing demand for so- vised Moncler, while Rothschild ad- lands, Portugal and Slovenia. who were fi rst to return to stores after holder in Moncler. Moncler may be able to help Stone called “athleisure” wear, which may be vised Stone Island. Citi’s fight to reclaim $900mn paid to creditors by error

Bloomberg Eric Talley, a professor of corporate law expose banks that facilitate wire transfers entitled to the early full payment Citibank New York at Columbia Law School, but it’s “not so and serve as administrative agents to sent on August 11. And the creditors alleged crystal clear that it doesn’t involve a little unnecessary risk. The Loan Syndications in their suit that Revlon was insolvent, mean- bit of risk.” The outcome will likely hinge and Trading Association, whose more than ing they knew it didn’t have the money to The market had just opened in New York on the creditors’ contention that they got 500 members include Citi as well as most make the payments, Citi argues. when Arokia Raj knew he had a problem. what they were entitled to, he said. of the creditors involved in the case, said “They should at least have suspected a A contractor in India for Citigroup Inc’s If they prevail, Talley said, it could be “a that “mistakes do happen” and that partici- mistake when they received payments Citibank retail business, Raj had been the shot across the bow” of the big commer- pants routinely return incorrect payments, totalling the amount of principal outstand- “checker” on a periodic interest payment cial banks, signalling that they won’t be as many of the Revlon creditors have. ing,” the bank contends. to a group of Revlon Inc creditors, with the able to get courts “to ride to the rescue A ruling for the defendants would “under- The defendants argue that they accepted bank acting as administrative agent on to salvage an error that you committed mine the smooth functioning of syndi- the money in good faith and didn’t receive the loan. Suddenly he realised that Citi had because of poor internal controls.” cated lending” and promote “the kind of notice of the error until almost 20 hours instead sent some of those creditors the Meanwhile Citi, which has had to explain non-co-operative opportunistic behaviour after the transfers were completed. They full remaining principal. the embarrassing error to the Off ice of that destabilises any market dependent on say they had ample reason to believe “Bad news,” his supervisor told the head the Comptroller of the Currency and the trust and transparency,” the group said. Revlon intended to pay off the loan. For of North American loan operations by chat Federal Reserve, already has “a little bit of At the trial, which begins on Wednesday, instance, if Revlon hadn’t repaid the debt on August 12. It was, in fact, $900mn of a black eye,” Talley said. Even if the bank Citibank plans to present testimony from or repurchased enough of it, the company bad news. wins, he said, “it would be an overshoot for witnesses like Raj who can explain the probably would have defaulted and Raj will testify this week by video confer- A signage is displayed outside a Citibank branch in Los Angeles. Financial Citibank to pop the champagne corks and processing errors that led to the payments, “almost certainly” would have filed for ence in federal court in Manhattan as services trade groups have stuck up for Citibank in court filings, arguing that a say we’re vindicated after all.” as well as internal communications show- bankruptcy, they argue. Citibank goes to trial to recover the more win for the creditors would expose banks that facilitate wire transfers and serve Citigroup said it would do better. ing that Revlon intended only to have the They note that Revlon paid off debt at than $500mn it still hasn’t gotten back as administrative agents to unnecessary risk. “As previously stated, we take pride in the bank send interest. Revlon was allowed to face value at least five times in connection from the defendants, asset managers in- role that we play as a global leader in finan- pay the loans off early only if it notified the with the restructuring in May and twice cluding Brigade Capital Management, HPS impact on the industry. Representatives ferred in error, they must be returned. cial services and recognise that an opera- creditors three days in advance, Citi argues more over the summer. They also note Investment Partners and Symphony Asset for Brigade and Symphony declined to To Revlon creditors already locked in a tional error of this nature is unacceptable,” in court filings, and the balance wasn’t set that Revlon gave creditors that consented Management. Unless there’s a last-minute comment on the case. A representative for bitter fight with the cosmetics giant over the company said in a statement. “We look to mature for another three years. to the restructuring the right to force the settlement, the trial — over one of the HPS didn’t immediately provide comment its restructuring earlier in the year, the forward to presenting our case in court.” In addition, the bank says, a lawsuit the cred- company to buy back its loans under the biggest banking errors in recent memory outside of business hours. money satisfied a debt, and they should Financial services trade groups have itors filed just one day after the transfers, amended credit agreement. As a result, — will be closely watched on Wall Street, Citibank argues that because the funds be allowed to keep it. stuck up for Citibank in court filings, demanding that Revlon accelerate payment once they received the wire transfers, they and its outcome could have a significant were its own, not Revlon’s, and were trans- Citibank has “a pretty strong case,” said arguing that a win for the creditors would of the debt, shows they knew they weren’t considered the loans paid off . Gulf Times Tuesday, December 8, 2020 11 BUSINESS Vaccine airlift delivers shot in the arm for airlines

Reuters ing base camp at Everest”, according to collapse can leverage their vast connect- more red ink. Cargo’s share of revenue will market,” United Airlines cargo chief Chris- port chief Pablo Panadero, who still sees Paris/Chicago/Sydney World Health Organisation vaccines direc- ing hubs. triple to 36% this year as prices or yields topher Busch told Reuters.”So we need prices as high as twice pre-crisis levels. tor Kate O’Brien. Turkish Airlines has begun flying China’s rise 30%, airline body IATA projects. to balance not only what vaccines are “Of course we as Unicef are making them “The delivery of these vaccines, the confi- Sinovac vaccine to Brazil and, like many “The profit margins of all the cargo opera- coming, but how we continue to move the aware of the humanitarian and even Airlines battered by Covid-19 are prepping dence in communities, the acceptance of peers, is increasing its cold chain capacity tions will be very strong in 2020 as a result product that was moving before.” societal importance of these undertakings for key roles in the mass vaccine rollout vaccines and ensuring that people are in and storage. of the extraordinary circumstances, and IATA, representing 290 airlines, warns that — this is getting their own industry back in that promises to unlock an immediate fact immunised with the right number of While the earnings windfall is “diff icult to will be sustained at that level in 2021 as a vaccine rollout could be “compromised” business,” he said. boost for the sector — and beyond that, its doses — (this) is what it’s going to take to quantify”, Cathay commercial chief Ronald result of the vaccine distribution,” HSBC without an easing of the travel curbs and Cargo carriers may face reputational risk own recovery and survival. scale the peak,” she said recently. Lam told analysts recently, “there will be analyst Andrew Lobbenberg said. quarantines it has lobbied against. if they use the full clout of their current Big challenges await carriers leading the Britain is about to become the first coun- a positive impact either directly through Carriers joining the airlift can expect “There are parts of the world that have no pricing power, observers warn. airlift, as well as the drug makers, logistics try to begin administering the Pfizer-Bi- vaccine transportation or the surge in “a very significant impact on the cargo cargo operations once the passenger net- “It’s not a good look to be seen to be prof- firms, governments and international oNTech jab, which requires storage below overall cargo demand.” economics”, he said in a note. works are grounded,” IATA head of cargo iteering,” said Frederic Horst, managing agencies planning the deployment across minus 70 Celsius. Freight is already a bright spot. Flying one dose to every human would fill Glyn Hughes said. director of Cargo Facts Consulting. networks blighted by the pandemic. Moderna’s shot, stored at -20C, is close Many airlines are making unprecedented 8,000 747s, IATA estimates. But Unicef, whose polio and other im- But Horst expects no repeat of the The gargantuan eff ort should nonetheless behind. cargo profits in 2020 even while chalking While a minority of vaccine deployments munisation campaigns were initially hit scramble for masks and medical equip- help airlines involved to trim their crisis In line for major roles are freight special- up record losses overall. may not need air transport, many require by lockdowns, believes lessons have been ment earlier in the pandemic, when “a lot losses, experts say, while bringing addi- ists and airlines with large cargo arms — Before the crisis, half the world’s air cargo two shots per person. learned and is now focused on resisting of government-organised charters were tional benefits to the broader sector, from such as Germany’s Lufthansa, Air France- travelled on some 2,000 freighters, and Some freight operators are already see- cargo price hikes, as it sources Covid-19 bringing this stuff in, and they were just supporting cargo pricing and revenue to KLM and Hong Kong-based Cathay Pacific the rest on passenger jets. ing other goods bumped off flights by vaccines for 92 poorer countries. overpaying.” restoring routes. — often under contract for forwarders and So as lockdowns grounded flights, cargo vaccines, trade newsletter The Loadstar The UN children’s agency is having an This time the airlift will be run by logistics Developing vaccines in record time was integrators like UPS, Fedex and DHL. rates soared, helping carriers keep remain- reported. “early conversation” with airlines to plan firms who make smarter customers, he the easy part, or “the equivalent of build- Carriers slammed by the long-haul travel ing passenger routes open and avoid “There’s a lot less air capacity in the capacity and keep rates down, said trans- said.

Cybercrime costs to top $1tn UK says ready to revise Brexit this year, say researchers

AFP legislation after EU protests Washington

AFP, Reuters Cybercrime is expected to cost the London global economy more than $1tn this year, up more than 50% since 2018, a research report said yesterday. ritain’s government said yes- The report by McAfee Corp with the terday it was ready to revoke Center for Strategic and International Bclauses in Brexit legislation Studies (CSIS) concluded that the cost that have provoked legal action by the of online criminal activity is more than EU in the fraught end-game of talks 1% of global economic output, and also on a future trade deal. had significant non-monetary impacts. In parallel to the trade talks, senior The researchers noted a surge minister Michael Gove and European in a range of attacks including Commission vice president Maros ransomware, phishing, business Sefcovic have been meeting “con- e-mail takeovers, spyware and structively” on implementing the ex- cryptocurrency theft. isting UK-EU divorce treaty, the UK Some of the increase can be attributed government said. to weaker security with more people “Discussions continue to progress working remotely outside their and fi nal decisions are expected in workplace. the coming days,” it said, as Gove and “The severity and frequency of Sefcovic held another round of talks cyberattacks on businesses continues in Brussels. to rise as techniques evolve, new “If the solutions being considered technologies broaden the threat in those discussions are agreed,” the surface, and the nature of work government said it was prepared to expands into home and remote remove three clauses from the Inter- environments,” said Steve Grobman, nal Market Bill that have provoked an chief technical off icer at McAfee. EU court process because they would “While industry and government are rewrite the divorce treaty. aware of the financial and national The government also planned this security implications of cyberattacks, week to introduce another treaty- unplanned downtime, the cost of breaching bill, to strip Brussels of investigating breaches and disruption any oversight over which goods are to productivity represent less “at risk” of entering its single market appreciated high impact costs.” via Northern Ireland from mainland The report was based on a survey Britain. But it said the joint commit- of 1,500 technology professionals in tee chaired by Gove and Sefcovic was government and business in the US, making “good progress” on that front Canada, Britain, France, Germany, as well. “In the light of those discus- Japan and Australia. sions, the government will keep un- The impact of cybercrime included der review the content of the forth- the loss of intellectual property and coming Taxation Bill,” it said. monetary assets, but also system British and European Union nego- Michael Gove, UK’s Chancellor of the Duchy of Lancaster, arrives for a weekly meeting of cabinet ministers in London. In parallel to Brexit trade talks, Gove downtime and damage to an tiators made a last-ditch eff ort yes- and European Commission vice president Maros Sefcovic have been meeting “constructively” on implementing the existing UK-EU divorce treaty, the UK organisation’s reputation, according to terday to bridge stubborn diff erences government said yesterday. the report. standing in the way of a post-Brexit “It is no secret that cybercrime trade deal, but they had at best 48 Irish Prime Minister Micheal Mar- and the fi re can burn everybody and 1973, formally left the bloc on Janu- $1.327, a U-turn in market sentiment can harm public safety, undermine hours to avoid a disorderly parting of tin, whose country would be the that’s something we should all try to ary 31 but has been in a transition from Friday when it had risen above national security, and damage ways at the end of this month. hardest hit of the 27 EU states if there avoid,” said Mairead McGuinness, period since then under which rules $1.35 for the fi rst time this year. economies,” the researchers wrote. “EU-UK negotiations have entered is no trade accord, put the chances of Ireland’s commissioner in the EU ex- on trade, travel and business remain With just days left for a deal to be “What is less well known are the the endgame, time is running out a deal at 50-50. ecutive. unchanged. agreed, EU diplomats said it was a hidden costs that organisations quickly,” said an EU diplomat after Investment bank JPMorgan said However, the Sun newspaper re- For weeks, the two sides have been decisive moment for both the United may not be aware of, such as lost the bloc’s chief negotiator, Michel its odds on a no-deal had risen to one ported that Johnson, a fi gurehead for haggling — as yet without a result — Kingdom and the bloc which built the opportunities, wasted resources, and Barnier, gave member states’ envoys third from 20%. The British pound Britain’s campaign that led to a “vote over fi shing rights in British waters, ruined nations of Europe into a global damaged staff morale.” to Brussels a downbeat assessment of tumbled on concerns that there leave” victory in a 2016 referendum, ensuring fair competition for com- power after the devastation of World One worrisome point, the researchers the state of play. “It is for the UK to would be no agreement covering an- was ready to pull out of the talks panies and ways to solve future dis- War Two. said, is that only 44% of the companies chose between... a positive outcome nual trade worth nearly $1tn. within hours unless Brussels changed putes. Britain said it could remove clauses surveyed said they have plans in or a no-deal outcome.” Barnier told members of the Euro- its demands. Failure to secure a deal would clog in legislation that would breach its place to both prevent and respond to With growing fears of no-deal pean Parliament in a separate briefi ng In London, a lawmaker in John- borders, upset fi nancial markets and Brexit deal with the EU and would security incidents. chaos after London fi nally leaves the that negotiations could go on until son’s governing Conservative Party disrupt delicate supply chains across review provisions in another bill if The report comes amid a wave of EU’s orbit on December 31, talks re- tomorrow, but no further, Ireland’s said France would have to make con- Europe and beyond as the world tries talks on the Withdrawal Agreement attacks which have targeted health sumed before British Prime Minister RTE news said. cessions on fi shing, and the EU would to cope with the vast economic cost progress. care organisations during the global Boris Johnson and European Com- EU diplomats said the ball was now have to drop what he said were new of the Covid-19 pandemic. Britain admits the clauses breach coronavirus pandemic and news mission President Ursula von der in Johnson’s court. demands on fair competition known Sterling fell by more than 1% to international law but says they are an that hackers have been targeting the Leyen review the situation in a call at “People need to understand that as the level playing fi eld. six-week lows versus the euro and essential safety net that would ensure Covid-19 vaccine supply chain. 1600 GMT. the British are playing with fi re here Britain, which joined the EU in also dropped against the dollar to the integrity of the United Kingdom. France’s SocGen to close 600 bank branches in profitability push

SocGen to merge retail banking “The amount of synergies forecast strengthen its Boursorama online networks; merger to result in 600 by management are in line with our operation. The bank said Boursorama is branch closures by 2025; expects and consensus expectations but targeting 4.5mn clients in 2025, up from €450mn of cost savings in 2025; restructuring costs are larger than we 2.5mn this year. online arm Boursorama targets anticipated,” UBS analysts said in a note. Boursorama is expected to register 4.5mn clients in 2025 SocGen shares were down 1.2% at 0959 cumulative losses of about €230mn by GMT. 2023 with net income of €100mn that Reuters European lenders have been cutting year, rising to €200mn in 2025. Paris branch numbers for years, but As part of profitability initiatives, chief opposition from unions and politicians executive Frederic Oudea placed over banking access meant many were SocGen’s equity and credit structured France’s Societe Generale yesterday unable to cut as many as they wanted. products businesses under review accelerated plans to boost profitability The number of bank branches in this year after overall operations were by merging its two retail banking the European Union fell from about hit by market volatility and dividend networks, resulting in the closure of 600 238,000 in 2008 to 174,000 at the end cancellations in the wake of the Covid-19 of its nearly 2,100 branches by 2025. of 2018, European Banking Federation crisis. With low interest rates continuing figures show. In recent years the bank has also exited to crimp lending income and retail In Germany, Deutsche Bank and areas where it lacked scale, selling units banking margins, France’s third-biggest Commerzbank have both announced and activities in eastern and central listed lender said the merging of the significant cuts to their branch networks European countries such as Poland, two networks would save more than this year, with Deutsche Bank set to Bulgaria and Albania. €350mn ($424mn) in costs in 2024 and close about a fifth of its outposts. Sources told Reuters that the lender nearly €450mn in 2025. With the Covid-19 pandemic having is also planning to sell its asset The Societe Generale logo is seen outside its headquarters, at the La Defense business district in Paris. With low interest SocGen said the plan will cost between accelerated the shift to online banking management arm Lyxor. SocGen rates continuing to crimp lending income and retail banking margins, Societe Generale said the merging of the two €700mn and €800mn. across Europe, SocGen also aims to declined to comment on the matter. networks would save more than €350mn ($424mn) in costs in 2024 and nearly €450mn in 2025. Tuesday, December 8, 2020 GULF TIMES BUSINESS Provisioning grows faster than credit in Qatar banks in Oct: QCB

By Santhosh V Perumal Bank. Total credit by the commercial rating agency Moody’s expects that Senior Credit Off icer at Moody’s, had year to QR14.37bn or 45% of the total expected foreign credit loss shrank Business Reporter banks witnessed a 12.02% year-on-year the Qatari banks to see a “manageable” said. provisioning in October this year. 7.79% to QR2.13bn. growth to QR1.12tn in October this year. increase in provisioning this year. The provisioning towards interest/ The provisioning towards domestic The provisioning towards specific Domestic credit was seen expanding The loan-loss provisioning costs income in suspense grew fastest special loans/finance was down 0.77% contingent liabilities plunged 56.06% Qatar’s banking sector saw provisioning 13.19% to QR1.05tn; while foreign credit increased in the first half of 2020, among the subgroups at 21.13% year- year-on-year to QR10.3bn; while that year-on-year to QR0.6bn in October grow faster year-on-year than the was down 2.11% to QR0.8tn in the consuming 26% of pre-provision on-year to QR4.07bn or 13% of the total towards overseas special loans/finance 2020. total credit this October, indicating the review period. income, driven by the coronavirus provisioning in October 2020. almost tripled to QR4.07bn in the The commercial banks reported as conservative approach of the industry However, total provisioning grew faster outbreak, the rating agency had said. The provisioning towards domestic review period. much as QR0.5bn provisioning towards amidst the Covid-19 pandemic. at 18.5% year-on-year to QR31.97bn “We expect provisions to rise further, interest/income in suspense rose The provisioning towards expected collective impairment in October 2020 The provisioning towards interest/ in October 2020. The provisioning reflecting problem loan formation 18.86% to QR8.53bn and that towards credit loss shot up 12.59% year-on- compared to no such provisioning in income from suspense and that towards domestic coverage expanded as weaker economic activity makes overseas interest/income in suspense year to QR10.03bn or 38% of the total the year-ago period. towards special loans/finance grew 10.84% to QR25.16bn and those toward it harder for borrowers to meet their by 38.46% to QR0.54bn in the review provisioning in October 2020. The banks’ provisioning towards other faster than that towards expected foreign coverage by 59.11% to QR6.81bn repayments, particularly in the real period. The provisioning towards expected investments stood at QR0.15bn in credit loss in the review period, said in the review period. estate, construction and contracting The provisioning towards special domestic credit loss swelled 18.14% October 2020, which is 50% year-on- the figures release by the Qatar Central A recent report from the global credit sectors,” Nitish Bhojnagarwala, VP- loans/finance soared 20.65% year-on- to QR10.03bn; whereas that towards year increase.

Over 130 Qatari businesswomen Intertec, Huawei launch to participate in offi ce productivity tool 5th ‘Merwad Expo’ More than 130 Qatari businesswomen will be participating in the fifth edition of the ‘Merwad Expo’ slated on January 1, 2021, sponsored by Qatar Chamber ‘IdeaHub’ series in Qatar and organised by Vogue Event Company. By Peter Alagos The exhibition, which Business Reporter will showcase products of prominent designers from Qatar, Kuwait, India, ntertec Group and its part- Oman, and Turkey, will ner, Huawei, has offi cially be inaugurated by Qatar Ilaunched the Huawei Idea- Chamber board member Hub series product in Qatar that and Qatari Businesswoman can create an all-scenario smart Forum chairperson Ibtihaj offi ce for the cloud era, and boost al-Ahmadani. production effi ciency for enter- Compared to previous Qatar Chamber board prises, and help businesses, gov- editions, al-Ahmadani said the member Ibtihaj al-Ahmadani. ernments and individuals. upcoming expo will display Huawei Technologies Qa- a variety of items that are providing commercial tar CEO Frank Fan and George innovative and high-quality. and legal advice, even as Thomas, CFO and adviser to the It is also expected to attract a she assured that Qatari chairman of Intertec Group, of- large turnout of visitors and in businesswomen “have proven fi cially announced the partner- the number of exhibitors. great success in business.” ship by signing the agreement She said Merwad has become Vogue Event Company at an event held recently in the “a landmark in the exhibition manager Tamader al-Marri presence of Huawei Technolo- industry,” especially in the expressed her appreciation to gies Qatar managing director field of women’s fashion Qatar Chamber for its support Roy Luo and Intertec Group di- and accessories, noting for businesswomen, which vision manager Asraf NK. that it presents a variety of indicates that the chamber’s Huawei IdeaHub, a produc- George Thomas, CFO and adviser to the chairman of Intertec Group, and Huawei Technologies Qatar CEO Frank Fan show the partner distinguished products of sponsorship of the expo tivity tool for the smart offi ce, agreement that was signed recently. abayas and fashion that are of confirms its constant interest bundles intelligent writing, high unique design. in promoting businesses of defi nition (HD) video confer- encing, and integrated Artifi cial plifi es the complex process of connected offi ce, and leverages connected offi ce, and leverages Al-Ahmadani further stressed Qatari businesswomen. encing, and wireless sharing. A Intelligence (AI) technology. cloud video conferencing. cloud capabilities to deliver a cloud capabilities to deliver a the continued support of She also said the participation ‘Red Dot Award 2020’ winner, Huawei IdeaHub integrates IdeaHub comes with AI fea- seamless, user-centric experi- seamless, user-centric experi- Qatar Chamber, through of 130 Qatari businesswomen IdeaHub is designed to suit any various communication devices, tures, such as sound pick up, ence, designed to enhance the ence, designed to enhance the its Qatari Businesswomen in the expo demonstrates the environment, and eff ortlessly such as a projector, whiteboard, virtual acoustic baffl e, auto way teams work together, wher- way teams work together, wher- Forum for the enterprises of “substantial development turns conference rooms, execu- microphone, speaker, tablet, frame, and speaker-tracking. ever they may be in the offi ce. ever they may be in the offi ce. businesswomen, underscores accomplished in businesses of tive offi ces, and open areas into PC, TV, and video conferenc- At the same time, IdeaHub has This is a key component of the This is a key component of the chamber’s concern to these entrepreneurs.” smart spaces. ing device, and incorporates intelligent features, such as ges- company’s new smart offi ce strat- new smart offi ce strategy, which develop this sector to enhance Al-Marri expressed her The new product off ers three everything needed in one smart tures, drag and selecting, zoom- egy, which will guide Huawei’s in- will guide Huawei’s innovation their positive contribution in gratitude to al-Ahmadani for unique features to users look- solution, while doing away with ing in and out, as well as erasing novation in the years to come as it in the years to come as it seeks to the national economy. her keenness to inaugurate ing for an ultra-modern smart complicated cable connections. the whiteboard, in addition to seeks to deliver superior products deliver superior products to cus- She also emphasised the the expo, and lauded the large workplace for diff erent scenari- Huawei IdeaHub supports whiteboard co-authoring capa- to our customers, enabling them tomers, enabling them to take role played by the Qatari turnout of businesswomen os: innovative and simple prod- Huawei Cloud Meeting and third bility, which can support remote to take full advantage of our in- full advantage of the increasing- Businesswomen Forum in and designers who are eager uct design instead of traditional party mainstream cloud video contract signature possible. creasingly digital world.” ly digital world. To fi nd out more strengthening communication to display their items in the complex hardware, an open eco- conferencing services and plat- Collaborative smart ecosys- Collaborative smart ecosys- about IdeaHub, call Intertec on with businesswomen and exhibition. system for cloud video confer- forms, which signifi cantly sim- tems are essential in a modern, tems are essential in a modern, 44322830.

Gas is a natural partner of the world in recovery, says GECF QSE stays above 10,600 Natural gas embodies all the attributes Most of the energy ministers speaking required to achieve the multidimensional at the day-long conference – from India challenges of environmental protection, to Qatar to Malaysia – pinpointed Asia energy access, and aff ordability in a world as the main demand node for natural stepping onto the road of recovery, said gas on the back of rising populations, levels despite individual Gas Exporting Countries Forum (GECF) environmental pledges, and phasing secretary-general Yury Sentyurin at the out of coal. Currently coal meets 47% of 7th IEF-IGU Ministerial Gas Forum hosted Asia’s energy consumption, while natural virtually by the Government of Malaysia. gas provides just 12% of primary energy “As the world reaches the end of consumption in the world’s largest the pandemic tunnel, it will need an region. traders’ bearish outlook energy partner that can help prevent According to the GECF Global Gas Model, environmental degradation, ensure Asean and East Asia countries’ energy a stable and uninterrupted supply of needs will account for around 60% of By Santhosh V Perumal sored QETF) valued together at Qatar, QIIB, Commercial Bank, takers to the extent of QR0.75mn energy, and bring aff ordable and reliable global energy demand increase between Business Reporter QR190,208 changed hands across Medicare Group, Widam Food, the previous day. energy for all. Natural gas is that partner,” today and 2050. This growth will account 12 deals; while in the debt market, Baladna, Al Meera, Qatari Investors Total trade volumes fell 48% to said Sentyurin. for 42% of the global gas increments there was no trading of sovereign Group, Aamal Company and Gulf 293.92mn shares, value by 39% to “GECF member countries are amongst within the outlook period, driven by he Qatar Stock Exchange bonds and treasury bills. International Services; whereas QR560.8mn and transactions by the lowest cost producers globally and China, India, emerging markets, such as yesterday witnessed profi t Trade turnover and volumes Inma Holding, Milaha, Ooredoo, 16% to 13,715. are able to weather the current storm Bangladesh, Pakistan, and a few others in Tbooking and its key index were on the decline on the bourse, Qatar Oman Investment and Doha The real estate sector reported 55% – or any other. We understand our duty South East Asian countries. lost 19 points, mainly on the bear- where the industrials, real estate Bank were among the gainers. plunge in trade volume to 63.55mn to the world and are committed to “Increasing Asia’s share of gas energy ish outlook of the Arab and foreign and banking sectors together ac- The Arab individuals were net equities, 55% in value to QR109.97mn strengthen global energy security as consumption to 20% would add the individuals; but overall it stood counted for about 74% of the total sellers to the tune of QR14.92mn and 28% in deals to 2,822. reliable suppliers of this important energy equivalent of more than 400mn tonnes above 10,600 levels. trading volume. compared with net buyers of The consumer goods and servic- source,” he said, while adding that natural of LNG to annual gas demand, almost The consumer goods, real es- QR3.7mn on December 6. es sector’s trade volume plummet- gas will become the leading source in doubling the size of the LNG market,” tate, insurance and industrials The consumer goods, The foreign individuals turned ed 54% to 56.17mn stocks, value by the global energy mix by mid-century, said Malaysian Prime Minister Tan Sri counters saw higher than average real estate, insurance and net sellers to the extent of 43% to QR85.94mn and transac- increasing its share from currently 23% Muhyiddin Yassin in his inaugural address. selling pressure as the 20-stock industrials counters saw QR4.26mn against net buyers of tions by 19% to 2,200. to 28%. Malaysia – a member of the GECF Qatar Index settled 0.18% lower higher than average selling QR1.85mn the previous day. There was 48% shrinkage in the HE the Minister of State for Energy Aff airs coalition – is the fifth largest exporter at 10,603.54 points, although it pressure as the 20-stock Qatar Foreign funds’ net buying de- insurance sector’s trade volume and Qatar Petroleum president and of LNG in the world, delivering over regained from an intraday low of Index settled 0.18% lower at creased substantially to QR7.85mn to 3.76mn shares, 53% in value to CEO Saad bin Sherida al-Kaabi struck a 11,000 cargoes since 1983. But now the 10,527 points. 10,603.54 points, although it compared to QR74.92mn on Sunday. QR7.92mn and 61% in deals to 157. positive chord by maintaining that the country is reimaging the role of natural Foreign institutions’ substan- regained from an intraday The Gulf institutions’ net buy- The transport sector’s trade vol- gas industry, particularly liquefied natural gas, according to Dato’ Sri Mustapa bin tially weakened net buying also had low of 10,527 points ing also eased considerably to ume tanked 47% to 7.15mn equities, gas (LNG), has several milestones yet to Mohamed, the minister in the Prime its role in dampening the senti- QR10.37mn against QR38.52mn on value by 50% to QR30.32mn and achieve. Minister’s Department (Economy). ments in the market, whose year- The Total Return Index fell 0.18% December 6. transactions by 16% to 913. “I believe the economic and “As a country that is both an exporter to-date gains were at 1.71%. to 20,384.96 points, All Share In- However, domestic funds turned The industrials sector saw 45% environmental realities of the post- and an importer of natural gas, Malaysia About 70% of the traded constit- dex by 0.18% to 3,253.12 points and net buyers to the tune of QR10.71mn contraction in trade volume to Covid-19 era will help to increase the is playing an active role in global gas uents were in the red on the bourse, Al Rayan Islamic Index (Price) by compared with net sellers of 92.16mn stocks, 48% in value to competitiveness of LNG, and I have no advocacy and participating in charting local retail investors continued to be 0.46% to 2,425.61 points. QR9.91mn the previous day. QR88.18mn and 34% in deals to doubt that the best for the LNG industry is its future direction. It is for this reason net sellers but with lesser intensity. The consumer goods and serv- Qatari individuals’ net sell- 2,310. The banks and fi nancial serv- yet to come,” said al-Kaabi. that Malaysia is part of the GECF… to The Islamic index was seen de- ices index shrank 1.1%, realty ing weakened signifi cantly to ices sector’s trade volume shrank The high-level gathering embraced the collaborate with energy associations clining faster than the other indices (0.61%), insurance (0.45%), in- QR12.84mn against QR104mn on 38% to 62.58mn shares and value exponential growth of natural gas since and other energy producers, engage in the market, whose capitalisa- dustrials (0.24%) and banks and Sunday. by 17% to QR203.91mn; while the first edition in 2008 and highlighted in meaningful dialogue and address tion saw QR91mn or 0.15% fall to fi nancial services (0.1%); while that The Gulf individuals were net transactions were up 7% to 4,433. the role of natural gas as it pertains the critical issues of energy poverty, QR613.82bn, mainly owing to mi- of the telecom gained 1.08% and buyers to the extent of QR3.14mn The market witnessed 15% dip in to strengthening energy security and whilst taking into serious consideration crocap segments. transport 0.4%. compared with net sellers of the telecom sector’s trade volume facilitating an orderly energy transition in global environmental concerns,” said A total of 78,544 exchange trad- Major losers included Salam In- QR4.35mn on December 6. to 8.55mn equities and 6% in value an increasingly carbon constrained world. Mohamed. ed funds (Masraf Al Rayan spon- ternational Investment, Invest- The Arab institutions had no to QR34.56mn but on 31% jump in sored QATR and Doha Bank spon- ment Holding Group, Mazaya major exposure against net profi t deals to 880.