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Al Khaliji’s 10 years mark continuous Ahlibank posts profi t growth, strong financial indicators

Al Khalij Commercial Bank (Al Khaliji) is “continuing to push forward its vision” of converging human capital, technology and business to unlock future opportuni- ties, even as the bank is marking its tenth year in busi- of QR631.7mn in 2016 ness this month. Al Khaliji, which is “Qatar’s next generation bank,” hlibank posted a net profi t of growth in customer deposits outpaced sify our funding base and increase has achieved continuous growth and its overall key QR631.7mn in 2016 even as the a loan growth of 11.7%. our visibility in international mar- financial indicators remained strong. Further, the bank Abank saw its balance sheet grow Ahlibank’s cost-to-income ratio for ket. Middle East investors took up continues to push forward its vision of converging hu- by 18.2% to QR38bn last year. 2016 remained steady at 30.7%, re- the largest share (55%), followed by man capital, technology and business to unlock future Last year’s net profi t is only margin- fl ecting effi cient management of op- Asia (20%), UK (15%), Europe (6%) opportunities. ally lower than the QR647.7mn earned erating expenses. and others (4%). We have further Over the years, Al Khaliji’s achievements included in 2015, which the bank said was “a re- Return on average assets (ROAA) improved the stability of our funding releasing a new Internet banking upgrade, off ering sult of adopting prudence over growth and return on average equity (ROAE) structure as well as positioning our- subscribers advanced online banking, with continuous in navigating various economic and stood solid at 1.84% and 13.6% re- selves with Basel III requirements to enhancements and functions at the fingertips of clients regulatory challenges the banking spectively, despite an increase in bal- begin the next phase of our growth who prefer the speed, eff iciency and convenience of sector is experiencing exacerbated by ance sheet size and equity base. story. online banking. a decline in world oil and gas prices.” Non-performing loans ratio (NPL) “Another milestone in the bank’s Moreover, the bank has sponsored and actively par- “The balance sheet growth was improved to 0.82% as of December history is Moody’s assignment of A2/ ticipated in some of the banking and finance sector’s driven mainly by growth in loans and 2016 from 1.24% in December 2015, Prime-1 debut credit ratings to it with leading conferences and forums in both Qatar and the advances to fund our customers’ busi- “refl ecting strong asset quality.” Pro- stable outlook in February 2016. region, such as Private Banking Middle East Confer- ness activities in Qatar,” Ahlibank said. vision coverage grew stronger to 151% The major drivers supporting this ence; Bonds/Loans & Sukuk Middle East Conference; Liquid assets as a percentage to to- from 126% in December 2015, Ahl- rating include Qatar’s solid macro the 5th Annual Investor Relations Conference; the 2nd tal assets stood at 27.8% in December ibank said. profi le, strong asset quality, which Middle East SME Forum; the Capital Markets Confer- 2016 compared with 23.7% in Decem- On the full-year results of 2016, compares favourably against global ence; Qatar University’s 10th Career Forum, and Qatar ber 2015, despite “tight liquidity” in Ahlibank chairman and managing peers, improved funding mix, as well Central Bank’s Annual Information Security Conference. the region. director Sheikh Faisal bin Abdul- as sound capital and profi tability met- Al Khaliji’s solid performance and remarkable achieve- Total core funding expanded by Aziz bin Jassim al-Thani said, “We rics. Ahlibank’s ratings also factor in ments over the last decade are translated into a slew 28.8% to reach QR31.1bn last year invested in building our brand with the support from Qatari authorities of awards and accolades. They include winning ‘Best compared with QR24.1bn in 2015. The improved market visibility, and have to all banks in the country in case of Premium Bank Service’ by the ‘Banker Middle East’ four funding growth was primarily driven created a solid platform to expand need.” times; claiming the coveted title of ‘Best Private Bank in by a 22.7% growth in customer depos- our product range. Earlier in the year, Sheikh Faisal added, “The 2022 FIFA Qatar’ twice by ‘Global Finance’ magazine, earning the its to QR25bn and a 73% growth in sta- the Junior Savings Account product World Cup in Qatar is our compass for ‘Qatar Bank of the Year’ award by ‘Arabian Business’, ble medium-term funding to QR3.8bn was launched to build longer-term future direction. Forthcoming infra- and Qatar’s ‘Best Bank - Investor Relations’ by ‘Global in December 2016. savings, to meet the needs of the structure development will determine Financial Market’, in addition to the ‘Best Corporate Stable funding as a percentage to emerging youth market, which we the pace of change. Accordingly, we Bank’ award by ‘Banker Middle East’. total liabilities improved to 11.6% in see as currently underserved in the will be rolling out plans to upgrade and Backed by a Fitch rating of A+ and an A3 by Moody’s December last year vis-à-vis 8.1% in Qatar market. In April, the bank suc- overhaul our technology with the view rating with stable outlook, Al Khaliji off ers clients a full December 2015, Ahlibank said. cessfully completed its $500mn de- to minimising obsolescence as well as range of conventional banking products and services Loan-to-deposit ratio improved to but fundraising in the international automating our operational processes. to premium, private, corporate and treasury customers 107% as of December 2016 compared debt capital markets – which was We will invest in human capital for in Qatar, UAE and France. to 118% in December 2015 as a 22.7% 2.4 times oversubscribed 0 to diver- sustained performance.” Al Khaliji’s “award-winning” products and level of service reflect the bank’s belief that to be a “successful” financial institution, the bank must meet the needs of “We invested in building our brand with improved market both this generation and future generations of employ- visibility, and have created a solid platform to expand our ees, customers, investors and business partners. product range,” says Ahlibank chairman and managing Ahlibank’s director Sheikh Faisal bin Abdul-Aziz bin Jassim al-Thani. cost-to-income ratio for 2016 remained Ahlibank proposes 10% cash dividend steady at 30.7%, refl ecting Ahlibank’s board of directors has proposed a cash dividend of effi cient 10%, which translates into QR1 per share and a bonus dividend management of 5% (five new shares for every 100 shares held) as the dividend of operating distribution for the year 2016. expenses The proposal intends to maximise shareholders’ wealth, as well the bank’s internal capital requirements and expansion plans, Ahlibank said yesterday. Al Khaliji is “Qatar’s next generation bank”

Qatar PPI edges up in November ’16

By Santhosh V Perumal However, the manufacturing sector, which Qatar SMEs urged to utilise Business Reporter has a weight of 26.8% in the PPI basket, witnessed a 3.5% jump in its index month-on- month in November 2016 because of a 5.1% Notwithstanding the decline in hydrocarbon increase in the price of refined petroleum prices, Qatar’s producer price index (PPI) products, 2.8% in basic chemicals, 1.9% in social media, e-commerce grew 0.4% in November 2016 against the other chemical products and fibres, 1.7% in previous month mainly on higher prices for juices, 1.2% in rubber and plastic products, manufacturing and electricity, according to 0.5% in cement and other non-metallic By Peter Alagos ing exercise because it is the public off icial data. products and 0.3% in beverages. Business Reporter that does it for the company,” he The PPI for the industrial sector – a measure Nevertheless, there was a 1.8% shrinkage explained. of the average selling prices received by in the price of dairy products, 1.6% in basic Also speaking at the panel, the domestic producers for their output metals and 0.1% in grain mill and other aximising the use of so- Doha Bank CEO Dr R Seetharaman – however reported a 5.3% decline year-on- products. cial media platforms and stressed that “e-Solutions are not year in November 2016 primarily on lower The manufacturing sector PPI saw a 3.8% Mdigital technology will options…every country has to rec- prices of crude and natural gas, basic metals, slump year-on-year in November 2016 on not only help Qatar’s small and ognise that digital divide is going to basic chemicals and electricity, according account of an 11.7% plunge in the price of medium-sized enterprises (SMEs) make or break the sustainability of to the figures released by the Ministry of basic chemicals, 10.7% in basic metals, 1.1% in reach a wide range of clients but the economy.” Development Planning and Statistics (MDPS). cement and other non-metallic products and it will also promote growth in the Citing recommendations from MDPS had released a new PPI series in late 0.3% in refined petroleum products. country’s non-hydrocarbon sector, a G20 Summit, Seetharaman said 2015. With a base year of 2013, it draws on an However, prices of other chemical products according to industry sources. to attain sustainable economics, updated sampling frame and new weights. and fibres soared 18.2%, followed by juices Citing global statistics, Amro SMEs “are the single most solu- The previous sampling frame dates from (14%), rubber and plastic products (10.4%), Ahmed, commercial excellence Ahmed and Seetharaman: Digitising the economy. PICTURE: Noushad tion” for sustainable development 2006, when the Qatari economy was much beverages (2.1%), dairy products (1.8%) and manager LC SME at Qatar Shell, Thekkayil in growing economies, “whether it smaller and the range of products made grain mill and other products (0.8%). Paper said the average person spends at is growth, employment, or innova- domestically much narrower. and paper products prices were unchanged least one to two hours daily on his left behind,” Ahmed said in a panel goods and services. He noted that tion.” The PPI for mining, which carries the both month-on-month and year-on-year in or her mobile phone. discussion at a recently held con- Qatar Shell’s suppliers are encour- “E-commerce will be the way to maximum weight of 72.7%, saw its group November 2016. He said this is “a great indicator” ference on SMEs. aged to upload their products on- promote Qatar’s SME sector,” said index shrink 1.1% month-on-month in The utilities group, which has a mere 0.5% for investors, entrepreneurs, and He said the practice by “old line or to create an app and market Seetharaman, adding that Qatar November 2016 on the back of a 1.1% weightage in the PPI basket, saw its index SMEs, as well as suppliers to utilise school businessmen” of post- their company to a larger client has already embarked on putting in decrease in the price of crude and natural soar 1.3% in November 2016 against that in social media and smartphones as a ing their products on traditional network. place the right infrastructure, tel- gas, even as stone, sand and clay prices were October 2016 mainly on a 3.9% increase in tool to reach clients and to promote websites “is dying,” and stressed “For some small-sized compa- ecommunications, and technology, up 0.1%. the price of electricity, while there was 1.6% and access products online. that there are “newer social me- nies outside the oil and gas indus- as well as access to fi nance. The PPI for mining witnessed the maximum fall in water prices. “Electronic trading, e-Com- dia platforms that are more ef- try like those in cosmetics or in He added, “We have to use digital plunge of 6% year-on-year in November 2016 However, the index fell 3.1% year-on-year in merce, and social media are very fective and efficient for busi- the mobile accessories business, transformation and digital trade, as as there was a 6.1% decline in the price of November 2016 as there was a 7.4% decline powerful and eff ective tools that ness.” what they do is upload photos of well as breaking barriers and auto- crude petroleum and natural gas; although in the electricity price but there was a 2.7% we cannot ignore. Either we move Ahmed said Qatar Shell has in- their products on Instragram or mating every possible documen- stone, sand and clay prices gained 1.2%. surge in the price of water. with technology or utilise it in a vested in digitising its operations, any tool so people can view, rate, tation and direct access to global very practical way or else we will be particularly in procurement of or comment. That is a free market- markets.”

Gulf Times 4 Tuesday, January 24, 2017 BUSINESS

QSE edges down despite strong buy interest from local institutions

By Santhosh V Perumal International Investment were among Business Reporter the gainers. Non-Qatari institutions’ net profit-booking increased substantially to QR16.22mn compared The Qatar Stock Exchange yesterday to QR1.99mn on Sunday. declined nine points despite GCC (Gulf Cooperation Council) substantially stronger buying interest of institutions’ net buying plunged to domestic institutions. QR2.72mn against QR32.07mn on Foreign institutions’ increased net January 22. selling and considerably lower buying GCC retail investors turned net sellers support from their Gulf counterparts to the tune of QR3.18mn compared with led the 20-stock Qatar Share Index net buyers of QR0.74mn the previous to fall 0.09% to 10,950.34 points as day. global oil prices weakened on rising US Non-Qatari individual investors were production. also net profit-takers to the extent The industrials, telecom and realty of QR1.14mn against net buyers of counters witnessed higher than QR5.24mn on Sunday. average selling in the bourse, whose However, domestic institutions’ net year-to-date gains stood at 4.92%. buying strengthened considerably to Selling was seen predominantly among QR40.65mn compared to QR2.2mn on small and large cap scrips in the market, January 22. where Gulf individual investors turned Local retail investors’ net profit-booking net profit-takers. declined perceptibly to QR22.84mn Trade turnover and volumes were on against QR38.24mn the previous day. A Saudi investor monitors shares at the Saudi Stock Exchange (Tadawul) on December 14, 2016 in the capital Riyadh. The Saudi index yesterday rose 1.7% in the the decline in the bourse, where the real Total trade volume fell 43% to highest trading volume since January 2. estate and banking sectors together 7.25mn shares and value by 22% to accounted for about 71% of the total QR242.42mn, while deals were up 5% volumes. to 3,337. Market capitalisation shrank QR69mn, There was an 83% plunge in the telecom or 0.12%, to QR587.7bn with small and sector’s trade volume to 0.55mn large cap equities losing 0.36% and equities and 61% in value to QR12.96mn 0.14%, but micro and midcaps gained but on doubled-transactions to 344. 0.26% and 0.25% respectively. The transport sector’s trade volume The Total Return Index was down 0.09% plummeted 58% to 0.11mn stocks, value Saudi outperforms to 17,716.92 points, the All Share Index by 41% to QR4.77mn and deals by 15% by 0.09% to 2,999.96 points and the to 103. Al Rayan Islamic Index by 0.08% to The real estate sector reported a 50% 4,079.57 points. shrinkage in trade volume to 2.82mn The industrials sector saw its index shares and 41% in value to QR58.26mn decline 0.53%, followed by telecom but on a 1% rise in transactions to 845. (0.53%) and realty (0.24%); whereas The industrials sector’s trade volume other Gulf markets insurance gained 0.54%, consumer declined 7% to 0.66mn equities, value goods 0.31%, banks and financial by 4% to QR27.41mn and deals by 1% Reuters The company’s earnings were the biggest bank, climbed 2.9%; it Trading volume in the stock was services 0.07% and transport rose to 473. Dubai squeezed in part by tough price compe- extended its gains in the fi nal minutes the highest since last September. 0.07%. The market witnessed a 3% fall in the tition in a slowing Saudi economy, but of trade after posting a 40% rise in Abu Dhabi dropped 0.9% as banks More than 51% of the stocks were in consumer goods sector’s trade volume the stock’s rebound suggested many fourth-quarter net profi t to 75.9mn slipped. the red with major losers being Mazaya to 0.71mm stocks, 22% in value to audi Arabia outperformed other investors were looking forward to a dinars ($248.9mn). EFG Hermes had Egypt’s share market index re- Qatar, Aamal Company, Qatar Electricity QR39.34mn and 14% in transactions to Gulf stock markets yesterday as stronger non-oil economy this year as forecast a profi t of 69.2mn dinars. bounded 2.2% after dropping 4.6% and Water, Qatar National Cement, 384. Sseveral major stocks bounced Riyadh delays new austerity steps. Logistics giant Agility, which has in the two previous days, after Reu- Ezdan, Vodafone Qatar, Ooredoo, However, the banks and financial after poor earnings earlier this week, Banks also gained after some yet to report quarterly earnings, ters reported authorities were con- Nakilat, QNB, Qatar Islamic Bank, Al services sector’s trade volume shot up while a bull run in Kuwait slowed and dropped last week on disappointing surged 5.8%. sidering temporarily reintroducing a Khaliji and Qatari German Company for 17% to 2.3mn shares, value by 8% to Egypt rebounded sharply from a slide fourth-quarter earnings. Eight of the 10 most heavily traded stamp duty charge on stock market Medical Devices. QR93.24mn and deals by 6% to 1,125. triggered by tax fears. Saudi British Bank surged 6.5%. Kuwaiti stocks fell and none rose, transactions. Nevertheless, Qatar Insurance, The insurance sector witnessed a The Saudi index rose 1.7% in the The Kuwaiti index, which rose however, a sign of increasing profi t- Commercial International Bank, Masraf Al Rayan, Barwa, Milaha, 14% surge in trade volume to 0.08mn highest trading volume since Janu- 15.6% between the end of last year taking pressure that could conceiv- the largest bank, climbed 3.5%. Gulf Warehousing, Mesaieed equities and 53% in value to QR6.43mn ary 2. Food maker Savola, which had and Sunday, added a further 0.6% ably bring the bull run to an end. Elsewhere in the Gulf, Oman’s in- Petrochemical Holding, Gulf but on 17% slump in transactions to 63. dropped 2.0% on Sunday after re- yesterday in the highest trading vol- In Dubai, the index fell 0.3% as Sh- dex rose 0.3% to 5,770 points, while International Services, Doha Bank, In the debt market, there was no trading porting a shock fourth-quarter loss, ume since mid-2013. uaa Capital pulled back 9.8% after a Bahrain’s index gained 1.2% to 1,274 Commercial Bank and Salam of treasury bills and government bonds. jumped 5.4%. National Bank of Kuwait (NBK), two-week rally. points. Gulf Times Tuesday, January 24, 2017 5 BUSINESS Profi tability hit on GCC banks seen lingering into ’18

By Santhosh V Perumal tween National Bank of Abu Dhabi and Assuming oil prices to stabilise at ments of the retail sector would drive S&P said it is likely to decline as the quidity remains good by global stand- Business Reporter First Gulf Bank, it, however, do not ex- $50 per barrel in 2017 and 2018, S&P the trend. Finding that GCC banks re- government’s policy response to lower ards, S&P viewed that banks tend to pect a “signifi cant” mergers to occur in forecast that the un-weighted average main well entrenched in their real econ- oil prices continues through spending keep “sizeable” cash and money market the next two years. economic growth for the GCC coun- omies, it said the less-supportive eco- cuts and the postponement of infra- instruments on their balance sheets he “deterioration” in the profi t- Highlighting that growth opportu- tries at 2.2% in 2017 and 2.5% in 2018. nomic environment has led to a falling structure projects. (around 18% of total assets at Septem- ability of the Gulf Cooperation nities will become increasingly scarce As the US Federal Reserve increases trend in asset quality and “we foresee “We expect private sector lending ber 30, 2016 against 22% in 2014). TCouncil (GCC) banks is likely to as the GCC governments cut their ex- its interest rates in 2017, there are ex- deterioration in 2017-18 and expect the growth to reach 5%-7% on average for Customer deposits are set to con- linger this year and in 2018, strength- penses to cope with the lower oil pric- pectations of 50 basis points (bps) in- downward trend to last for at least two the banking systems of the GCC coun- tinue their slow pace this year and in ening the prospects of consolidation es, it said banks would become more crease after a 25 bps hike in December years, barring any unexpected increase tries for 2017-18”, supported by strate- 2018 as governments and their related in the sector, according to global credit selective and prioritise quality and risk 2016, which might tempt depositors to in hydrocarbons prices.” gic initiatives such as the Dubai Expo entities – whose deposits depend on rating agency Standard & Poor’s (S&P). profi le over quantity and profi tability. switch from noninterest-bearing de- With revenue growth slated to de- 2020, the World Cup 2022 in Qatar, oil prices – contributed 12% to 35% of “After a slight decline in the fi rst The end of the commodities “super- posits to other remunerated accounts, celerate, banks would focus on im- and the ongoing sovereign spending in the total deposits of the GCC banks at nine months of 2016, we anticipate cycle” has resulted in a signifi cant decline “exacerbating” the pressure on banks’ proving their cost bases (by closing Kuwait, it added. September 30, 2016. that GCC banks’ profi tability will con- in the economic prospects of the GCC net interest margins, S&P said. branches and reducing staff ) to miti- Expecting non-performing loans to The GCC banks’ loan-to-deposit tinue to deteriorate in 2017 and 2018,” region, implying lower growth opportu- Foreseeing higher credit losses on gate the impact, it said, adding GCC increase to 4%-5% and credit losses ratio averaged 91% at September 30, S&P said in a report. nities for banking and deteriorating li- less-supportive economic environ- banks continue to benefi t from a low to double in the next two years, it also 2016 compared to 88.8% at year-end Although the profi tability decline quidity, it said, adding the cost of funding ment, it said banks with exposure to cost base, which could change if the said the adoption of IFRS9 may elevate 2015, ranging from a high 116.9% for might encourage consolidation, as would also increase on lower liquidity, a contractors, subcontractors, small and governments start to introduce taxes. the GCC banks’ cost of risk in 2017-18. Qatar to a low 54.2% for Bahraini retail shown by the upcoming merger be- direct consequence of the low oil prices. medium enterprises and some seg- On lending prospects for 2017-18, Stressing that the GCC banks’ li- banks.

Emirates airline embarks on ‘modest restructuring’ Embraer banking on as growth slows Reuters Dubai

Emirates, the world’s biggest long-haul airline, said yesterday Trump to clear way for it was in the process of only a “modest restructuring,” two months after it reported a 75% decline in half-year profits due to slower growth and increased competition. Gulf carriers who spent years rapidly expanding into markets from South America Iran regional jet sale to Africa are under pressure to adapt to weaker markets, overca- Bloomberg Embraer is aiming to meet pacity and a stronger dollar. Davos Iran’s requirement for jets with The restructuring at Dubai- 130 seats or fewer after Airbus based Emirates involves won orders for 98 bigger aircraft moving employees into new razilian planemaker Em- and Boeing secured a deal for positions that has seen staff braer, the world’s big- 80. The Mideast country is ini- both promoted and demoted, a Bgest maker of regional tially looking to take at least 20 spokeswoman said, adding that jets, said it’s optimistic that a E195 jets worth more than $1bn a “very small number” of staff US government led by Don- at list prices, senior Brazilian of- had been aff ected. ald Trump will still grant it the fi cials said last year. Silva didn’t “Where roles were impacted, clearances needed to sell aircraft specify how many orders his full support has been given to to Iran. company is targeting. explore redeployment opportu- While Airbus Group and Boe- Development of Embraer’s E2 nities within the organisation,” ing Co have already sealed deals second-generation regional jets the spokeswoman said in an to supply a range of jetliners and the KC-390 military trans- e-mailed statement. to Iran after obtaining licences port is “100% on time,” Silva Sources familiar with the matter under the Barack Obama ad- said. The fi nal 190-E2 test plane told Reuters in December Emir- ministration, Embraer is in the is due to fl y next month and both ates had off ered redundancies fi nal stages of order talks, chief it and the KC-390, designed to to staff working in its head-of- executive offi cer Paulo Cesar de replace Lockheed Martin Corp’s fice in Dubai as part of a review Souza e Silva said in an inter- C130 Hercules, should win cer- of its workforce. view. tifi cation this year. Around 1,000 employees have “There is a lot of uncertainty Silva said Embraer’s deci- left Emirates in the past three now regarding this new admin- sion last week to start a road months “for various reasons istration,’’ Silva said last week at show ahead of the possible sale and largely through natural at- the World Economic Forum in of 10-year, dollar-denominated trition,” the spokeswoman said Davos. “But I believe in general bonds refl ects a “window of op- in a separate statement. terms Mr Trump is a business- portunity” presented by a “very “This is no diff erent from previ- man. He is very pragmatic and liquid” market, while declining ous years. Role and structure he is for business. So we hope to provide further details of the reviews in some areas impacted things won’t change too much.’’ sale. less than 40 staff during this The US is able to block plane The worst may also be over same period, and a number of exports to Iran from foreign for Brazil’s wider economy fol- these were on a voluntary basis,” manufacturers even after the lowing an 8% contraction in the the spokeswoman said, adding easing of international sanc- past 2 1/2 years, Silva said. Pres- the company continues to hire tions because of the high Amer- ident Michel Temer, who took new staff . Emirates, including ican content of most aircraft. over after Dilma Rousseff ’s im- associated companies under Embraer’s current models use peachment, is “taking the right the Emirates Group, employs General Electric Co engines, steps,” with lower infl ation and 103,000 staff , which means the while Pratt & Whitney power- a drop in interest rates suggest- An attendee walks past an Embraer Legacy 500 jet on display at the Singapore Airshow held at the Changi Exhibition Centre on February 16, 1,000 jobs gone represent about plants will feature on new ver- ing the recovery process is “go- 2016. Brazilian planemaker Embraer, the world’s biggest maker of regional jets, said it’s optimistic that a US government led by Donald Trump 1% of its workforce. sions. ing forward,” he added. will still grant it the clearances needed to sell aircraft to Iran. Egypt risks no interest Turkish lira seen going from worst to best performer in gold tender as Centamin won’t bid

Bloomberg nai and Eastern Desert by April for production sharing with the Cairo 20. The government had all but government, while the company abandoned mining after its Brit- has to carry the full expense of ish rulers left in 1952. More in- exploration, Hall said. “Egypt gypt is at risk of getting vestment would help the nation has an excellent geological po- no participation in its generate foreign reserves. tential, and this potential could Efi rst exploration tender in “I would be very surprised if create a very serious mining in- gold since 2009 after Centamin, anyone participated in this bid dustry which could benefi t the which operates the nation’s only round with the current terms,” country and generate jobs and active gold mine, Sukari, and two David Hall, chief executive offi cer foreign currency. But a change is other companies in the country of Virgin Islands-based Thani needed.’’ said they won’t bid. Stratex Resources Ltd, which Centamin would consider in- Terms being offered “result is exploring for gold in Egypt’s vesting more in Egypt if it moved in an effective tax rate that is by Eastern Desert area. Aton Re- toward a tax, royalty and rent far one of the highest for mining sources Inc, based in Vancouver, mining law which currently ex- globally,” Centamin chairman would rather focus on existing ists in countries such as Australia Josef El-Raghy said yesterday by projects it has in Egypt, chief and Canada, El-Raghy said. e-mail after a request for com- executive offi cer Mark Campbell Unlike a royalty and tax system ment on the proposed tender. said. applied in most countries, Egypt “With the exception of Sukari, Some companies have ex- off ers investors a production- Egypt’s mineral wealth remains pressed an interest in participat- sharing agreement similar to its under-explored and undevel- ing in the tender, Omar Taima, oil and gas deals. oped and this will continue to chairman of the Egyptian Mineral “This can only work for oil in- be an unfortunate lost opportu- Resources Authority, said in an vestors, because they can recover nity for the people of Egypt un- interview, declining to identify their costs in a much shorter til there is reform to the mining them. “What I need are produc- timeframe,” Hall said. “In the The worst-performing emerging-market currency so far this year will advance the most by the end of June, based on forecasts law.” tive companies generating rev- case of gold, this doesn’t simply compiled by Bloomberg. Turkey’s lira, which has slumped more than 7% in 2017, will strengthen to 3.6100 per dollar, according Egypt on January 15 invited enues in the country,” he said. work: high operational cost com- to the median of the estimates. The nation’s central bank meets today, with 16 of 18 economists calling for an increase in the gold miners to bid for explora- Thani won’t be bidding for the bined with a high mineral explo- benchmark overnight lending rate. tion rights in fi ve areas of the Si- new tender because terms call ration risk.” Gulf Times 6 Tuesday, January 24, 2017 BUSINESS Arctic-drilling fever roars back as Republicans target preserve

Bloomberg it in a world awash in cheap oil, from Texas While it may take a decade for ANWR Alaska, stretching from the mountains of politically fraught parts of the globe. But biggest oil producer, agrees, spokeswom- New York shale to off shore Africa. While the govern- to start producing oil, the new supply the Brooks Range and boreal forests to a only one well has been sunk in the refuge, an Natalie Low said in an e-mail. ment estimates the area could hold 12bn would go a long way toward ensuring the vast, snowy coastal plain that slides into an exploratory project by BP and Chevron “If ANWR were to be opened, we’d con- barrels of crude, making it one of the big- survival of the pipeline and the jobs that the Arctic Ocean. Yet from the moment it Corp in 1985. The results, deemed propri- sider it within our opportunities,” she said. Far above the Arctic Circle, one of the gest untapped reserves in the US, no one’s go with it, according to US senators Lisa was created, ANWR has been coveted for etary, were never made public. BP, when The area “would have to compete with longest-running controversies in US oil sunk a well there since the 1980s. Murkowski and Dan Sullivan. The two its untapped oil. The refuge was set aside reached for comment, referred questions other regions for our exploration dollars.” drilling is about to reignite. “Its value is hard to gauge because it’s Alaska Republicans introduced legislation even as the US ramped up production in to Chevron, which did not respond. Even if oil prices rise significantly, myriad Bouyed by Donald Trump’s election, Re- always been a bit theoretical,” said Andrew this month to allow development of as the North Slope, in response to the shock Given the extreme conditions in Alaska, oil questions remain. Are the ANWR reserves publicans are pushing to allow oil explora- Slaughter, executive director of the Deloitte many as 2,000 acres in the refuge. of oil embargoes in the 1970s. would have to sell at about $70 a barrel to concentrated or spread out? Mixed with tion in the Arctic National Wildlife Refuge, Center for Energy Solutions in Houston. “For nearly 40 years, Alaskans have Just how rich the prize is remains to be make most of it economical to recover. To- natural gas? At today’s prices, though, the frigid wilderness in northern Alaska “No administration has really wanted to proven that we can responsibly develop seen. A 2005 review by the US Geologi- day, prices hover around $55. The subzero such questions are moot, said Imran Khan, that’s been a political battleground for take on the challenge of going for ANWR.” our natural resources while protecting the cal Survey, based on decades-old data, weather and remote distances mean drill- a senior research manager in Houston drillers and conservationists for decades. That may be about to change. The ageing environment,” Murkowski said in a Janu- said ANWR may hold as many as 11.8bn ing in Alaska typically costs three times at Wood MacKenzie Ltd, an industry The prospects for industry look better Trans Alaska Pipeline, once the symbol of ary 5 statement. State residents, moreo- barrels of crude. If that were proven true, as much as in the Lower 48, according to consultant. than they have in years, with Republicans energy independence for an oil-strapped ver, “overwhelmingly support responsible it would rival the mammoth Prudhoe Bay industry researcher IHS Markit Inc. “There are a lot of other, cheaper areas in control of Congress and Trump vowing nation, is now on the verge of obsoles- development” of the refuge. field that sparked the Alaskan oil rush 40 Exxon Mobil referred questions to the that are currently open to exploration that to boost US energy production. cence. The 800-mile system links north- Created by Congress in 1980, the refuge years ago, the kind of elephant-sized find American Petroleum Institute, the indus- big companies can attack,” he said. If not There’s just one catch. No one really knows ern Alaska to the rest of the world, but its provides a critical habitat and breeding that would generate income for decades. try’s Washington lobbying group. The in- for the change of power in Washington, how much oil actually lies beneath the output has been falling as fields outside ground for polar bears, wolves, migratory That could appeal to companies looking stitute said in a statement that it believes “I don’t think anybody would be talking refuge, or how much producers like Exxon the refuge fade out and supplies from birds and caribou, among other species. to balance the short lifespans of shale the refuge can be developed in a “safe and about it right now, because I don’t think it Mobil Corp and ConocoPhillips care about shale oil in the lower states grow. It covers 19mn acres in north-eastern fields and the risks of operating in more responsible” way. ConocoPhillips, Alaska’s can work.”

China fuel Too much ain’t enough as exports cap record year amid investors bet on oil markets slower, Bloomberg New York cleaner edge funds are showing they have some faith in Opec. demand H Their bets on rising West Texas Intermediate crude prices reached the highest since June 2014 Bloomberg as the Organization of Petroleum Ex- Beijing porting Countries and other produc- ers reduce output to balance the mar- ket. Saudi Arabia, Algeria and Kuwait hina capped a record have already made deeper cuts than year of diesel and gaso- required, while Russia has been able Cline exports as refi ners to reduce supply faster than expected, shipped out more oil products ministers from the countries said over amid slower domestic demand the weekend in Vienna as they gathered growth and a shift toward for the fi rst meeting to monitor adher- cleaner fuels. ence to their output-cut accord. The world’s largest ener- Funds increased their net-long posi- gy consumer shipped 15.4mn tion, or the diff erence between wagers tonnes, or about 314,000 bpd on a price increase and bets on a de- of diesel overseas and 9.69mn cline, by 14% in the week ended Janu- tonnes, or 221,000 bpd of ary 17, US Commodity Futures Trading gasoline in 2016, according to Commission data show. Bloomberg calculations based on “Money mangers are buying oil, as data posted on the General Ad- they say in Texas, like too much ain’t ministration of Customs website enough,” Tim Evans, an energy analyst on Saturday. The annual growth at Citi Futures Perspective in New York, rate was 115% and 65%, respec- said by phone. “They are trading based tively. on confi dence that Opec and non-Opec “China’s oil demand growth producers will reduce output enough to touched low points in 2015 and send prices higher.” 2016, hence the trend of con- WTI climbed to an 18-month high sistent export records,” Zhang after Opec and 11 non-members agreed Bin, an analyst with Shan- on December 10 to end two years of dong-based SCI International, unfettered production. Prices have said before the data were re- dropped about 3% from the highs as leased. traders await evidence that the cuts are To tackle pollution, China being adhered to. has imposed new curbs on the Opec’s production fell by 220,900 amount of sulphur in vehicle bpd to 33.085mn a day in December, fuels starting this year, cutting according to secondary sources data in it to about a fi fth of the previ- the group’s monthly report published ous standard and putting it on January 18. The declines still leave out- par with Europe, which has the put about 1.8mn bpd higher than the A general view of Tesoro’s oil refinery in Los Angeles, California. WTI climbed to an 18-month high after Opec and 11 non-members agreed on December 10 to end two world’s strictest emissions con- average of 31.3mn the group is targeting years of unfettered production. trols. in the fi rst half of the year, underscor- China’s oil refi neries boosted ing a need to press on with cuts. zouk, who chairs the supply-cut moni- tal, a New York-based hedge fund ish wagers on ultra low sulphur diesel US raised its domestic output forecast processing to a record last month The fi rst two weeks of January saw toring committee, emerged smiling that focuses on energy, said by phone. by 6.3% to 34,539 contracts as futures for 2017 to 9mn bpd from 8.78mn pro- before the new standards went “very strong” compliance and the ma- from the meeting in Vienna with a mes- “There’s a lot of commentary out there climbed 2.3%. jected in December, according to the into eff ect this year. jority of producers are already exceed- sage of success: The producers were in that points to a tightening market,” Producers are erring on the side of Energy Information Administration’s The clean fuel rules may ing their pledged cuts, Saudi Arabia’s “total agreement” on the monitoring Money managers’ net-long position in caution. US oil companies are using monthly Short-Term Energy Outlook sustain exports from refi ners Minister of Energy and Industry Khalid mechanism and wouldn’t accept any- WTI rose by 43,601 futures and options the rally to hedge their price risk for released last Tuesday. that either can’t meet the new al-Falih said at the World Economic Fo- thing less than 100% compliance with to 349,510. Longs rose 14% to a record the next two years. Producers’ short “This is exactly what we saw before specifi cations and are looking to rum in Davos, Switzerland, on Thursday. the cuts. They intended to prove Opec 406,723, while shorts climbed 11%. positions, protecting against a drop in prices fell off a cliff in 2014, with man- countries in Southeast Asia that About 1.5mn bpd of output has been is serious about eliminating a global In fuel markets, net-bullish bets on prices, increased to 677,479 contracts, aged money length at a record,” Kilduff still use dirtier fuel, or those that withdrawn from the market, he told Al glut and dispel scepticism stemming gasoline rose 0.4% to 63,678 contracts, the most since 2007. said. “Producers are locking in cash have upgraded their equipment Arabiya television on Friday, reiterating from previous unfulfi lled promises. the highest since July 2014, as futures Drillers added 29 oil rigs in the US fl ows now. They’re profi table at this and can now sell both in China the number to reporters in Vienna. “This market has a bullish cast,” advanced 3.5% in the report week. last week, the biggest gain since April level and want protection in case prices as well as in higher-quality fuel Kuwaiti Oil Minister Essam al-Mar- John Kilduff , a partner at Again Capi- Money managers increased net-bull- 2013, Baker Hughes data show. The crash again.” markets. Opec shrugs off threat Trump’s America will cut oil imports

Bloomberg on Friday, Trump said he was down any concern that his US,” Noureddine Boutarfa said London “committed to achieving energy country’s shipments to the US on Saturday in an interview in independence from Opec might dwindle under a Trump Vienna. “The price recovery is and any nations hostile to our administration. “The export helping US companies, the US Opec’s two biggest suppliers interests,” by exploiting “vast volumes will be maintained,” industry, the US economy.” to the US shrugged off a vow untapped domestic energy he said. “There is a lot of Crude prices rose to an 18-month by President Donald Trump to reserves”, according to a plan interdependence in the world of high of more than $58 a barrel end dependence on the group’s posted on the White House energy. It’s good to maintain it for after Opec and several non- oil, saying the world’s biggest website. The US imported about everyone’s good.” members agreed to end two economy would continue to need 3mn bpd from the organisation Saudi Arabia exported an years of unlimited production crude from abroad. last year, with Saudi Arabia and average of 1.08mn bpd of and instead cut output. Prices The US is “closely integrated in Venezuela accounting for 1.81mn, crude to the US in 2016, while have since slipped about 5% from the global energy market,” Saudi according to data compiled by Venezuela shipped about that peak as traders await proof Arabia’s Energy and Industry Bloomberg. 733,000 bpd and Iraq some that the producers will follow Minister Khalid al-Falih said, This isn’t the first time a US 400,000 bpd, according to data through. while his Venezuelan counterpart president promises to end the compiled by Bloomberg. Even as Trump commits to Nelson Martinez said he expects country’s reliance on supplies Opec is waiting for a new US ending US reliance on Opec’s oil, his country’s crude exports to the from the Organization of energy secretary to take off ice to the new administration said it world’s top consumer to remain Petroleum Exporting Countries. learn more about Trump’s energy would “work with our Gulf allies stable. Former president George W Bush policies, Mohammad Barkindo, to develop a positive energy “The positions that the US and promised to cut imports from the group’s secretary-general, relationship as part of our anti- Saudi Arabia take in global the Middle East when he said in said on Sunday in the Austrian terrorism strategy.” energy are very important for 2006 the nation was “addicted to capital. Al-Falih suggested Saudi global economic stability,” al- oil.” Shipments from Opec rose The US is benefiting from the Arabia could always export its Falih said on Sunday at a meeting 10% during Bush’s time in off ice. price increase following Opec’s oil somewhere else, if the US of producing countries in Vienna. Every US president going back December agreement with stopped buying. He added that Saudi Arabia was to Richard Nixon has pledged to other producers to reduce oil “Oil is fungible, so it flows around A tanker (left) sails out of the Port of Corpus Christi after discharging crude oil at the Citgo refinery looking forward to working with reduce the country’s reliance on output, according to Algeria, - what doesn’t get sold in one in Corpus Christi, Texas, US (file). Saudi Arabia exported an average of 1.08mn bpd of crude to the US the Trump administration. foreign oil. another member of the group. market can be sold in another,” in 2016, while Venezuela shipped about 733,000 bpd and Iraq some 400,000 bpd, according to data Just after his inauguration Venezuela’s Martinez played “Opec is currently helping the he said. compiled by Bloomberg. Gulf Times Tuesday, January 24, 2017 7 BUSINESS

‘Japan Inc believes Abe, Trump don’t want to see excessive yen weakness’ China and Philippines

Reuters The dollar surged at the end Tokyo of last year on expectations that fiscal stimulus proposed by Trump would boost growth Japanese companies believe and inflation and lead to that neither US President accelerated US interest rate to team up for 30 Donald Trump nor Japan Prime hikes. But the greenback Minister Shinzo Abe want to see fell to six-week lows against the yen weaken significantly, major currencies last week a Reuters poll showed, a after Trump complained development they worry could about dollar strength. He has spark an unwelcome political criticised Japan as well as backlash. China and Mexico for running projects worth $3.7bn The Reuters Corporate Survey, trade surpluses with the United conducted January 4-17, also States. Reuters found that Japanese firms “Given the irregularity of Beijing want Abe to push Trump hard Trump’s remarks, many on trade issues, while nearly companies seem to worry a third cited national security about when a weaker yen hina has agreed to cooperate with concerns as the most pressing becomes the target of his the Philippines on 30 projects issue Abe should bring up with criticism,” said Hidenobu Cworth $3.7bn focusing on poverty the new president. Tokuda, senior economist at reduction, the two countries said after a The latest survey highlights Mizuho Research Institute, who meeting in Beijing yesterday. caution over how US policy reviewed the survey results. Chinese Commerce Minister Gao will develop under Trump, who A weaker yen helps Japan’s Hucheng announced the deals without was sworn in as president on exporters because it boosts giving details, saying it was an “initial Friday, with his protectionist repatriated income from batch” of projects that still needed to be agenda casting a cloud over abroad. But it also lifts prices fi nalised and paperwork still needed to be the outlook on global trade. of imports such as oil and food processed by the banks involved. Trump has complained that that can hurt households. Philippine Finance Secretary Carlos the dollar’s strength is hurting Bank of Japan Governor Dominguez said he had a “very produc- trade relations with China. Haruhiko Kuroda warned of tive” meeting with Gao and they had He has also vowed to make a potential hit to households discussed large projects in rural areas, as sweeping changes to US trade when the dollar rose to around well as some smaller projects. policy and protect American ¥125 in mid-2015. The deal is the fi rst announcement jobs, threatening to levy That has led markets to believe from a two-day visit by a Philippine cab- punitive tariff s on Chinese Tokyo won’t tolerate a dollar inet delegation to China that comes three imports and renegotiate the rise above that level, known as months after President Rodrigo Duterte North American Free Trade the “Kuroda line”. The survey visited Beijing to pave the way for new Agreement with Mexico and showed that 31% of firms commercial alliances. Canada. want Abe to press Trump on China has welcomed Duterte’s foreign The monthly poll of 531 big and multilateral trade pacts such as policy shift away from traditional ally the mid-sized companies found the Trans-Pacific Partnership United States and towards doing more that 73% said that Trump would (TPP) and Nafta in order to regional deals for loans and business un- not tolerate the dollar rising avert protectionism. der his “pro-Filipino” policy. beyond ¥120, and 90% saw Another 31% urged Abe to push Relations between the Philippines and Philippine Finance Secretary Carlos Dominguez and China’s Commerce Minister Gao Hucheng address reporters after their ¥125 as a red line. Trump to maintain the US-Japan China “fully recovered” after Duterte’s meeting in Beijing yesterday. The two countries will also discuss the Philippines’ chairmanship of the 10-member Association of “I think the US will try to arrest security ties amid concerns over visit, and “China supports president Du- South East Asian Nations (Asean) this year. excessive strength in the Trump’s criticism of Japan for terte to lead the Philippines people in de- dollar in order to promote being a free rider on the bilateral veloping their economy,” Chinese foreign Wang added. Chinese offi cials pledged policies, but I believe that the reorienta- nomic, public works and transport sec- protectionism,” wrote a alliance. Thirteen per cent called ministry spokeswoman Hua Chunying $15bn of investment to the Philippines tion of our president to our neighbours retaries. manager at a machinery for eff orts to keep China in check. told a regular news briefi ng yesterday. during Duterte’s visit in October, accord- really was very smart,” Dominguez told The two sides will also discuss the Phil- company. Managers answered “TPP and the free trade Chinese Vice Premier Wang Yang told ing to the Philippine fi nance department. reporters. ippines’ chairmanship of the 10-member on condition of anonymity framework are vital,” said an the Philippines’ delegation that the two Asked whether US President Donald The Philippine delegation is due to Association of South East Asian Nations in the survey, which was off icial at an electrical machinery countries were friends and there was enor- Trump’s economic policies would aff ect meet Vice Premier Wang Yang at Zhong- (Asean) this year. Foreign Aff airs Sec- conducted for Reuters by firm,” but our utmost concern mous potential to develop trade and busi- commercial ties between China and the nanhai, the Beijing complex that houses retary Perfecto Yasay said on January 11 Nikkei Research. Around 240 is geopolitical risks when ness ties, state news agency Xinhua said. Philippines, Dominguez said: “It’s bet- China’s central government, later yes- he was confi dent a code of conduct in answered questions on Trump. promoting trade.” Both countries should continue to push ter to be with good friends.” “I’m not sure terday. The Philippine team on the trip the South China Sea between Asean and for the healthy development of relations, at this moment exactly what the new US includes Duterte’s fi nance, budget, eco- China could be fi nished by mid-2017. Siam Commercial Bank seeks Trump set for ‘antagonistic’ China relations: Citigroup bids for insurance business China has options to react, including bring- Bloomberg Singapore ing cases to the World Trade Organisation, Reuters receives and who they are from, the try, following liberalisation of the attracted by relatively faster growth using countervailing measures and possibly Singapore people said. country’s non-life insurance sector rates of life premiums and the re- banning exports of strategically important First round bids are expected to in recent years. gion’s low insurance penetration. onald Trump’s administration may be commodities such as rare earths, it said. be submitted by early February, SCB’s deal is expected to include The Thai Life Assurance Associa- on course for a fraught relationship Trump has nominated billionaire inves- iam Commercial Bank Pcl they added. rights for a buyer to sell insurance tion said this month that total pre- Dwith China amid disputes over trade tor Wilbur Ross for commerce secretary. In (SCB) has begun to formally The sources for this story de- products through the bank’s 1,200 mium income in the country grew policy, according to Citigroup Inc, which testimony on Wednesday in Washington Sseek bids for its life insurance clined to be identifi ed as they were branch network. 5.4% from January to November warned the new US government could intro- before the Senate Commerce Committee, business in a sale that could raise not authorised to speak to the me- The so-called bancassurance 2016, to 508bn baht ($14.4bn). Ana- duce protectionist measures against manu- Ross called China the most protectionist of about $3bn for Thailand’s third- dia. SCB’s CEO Arthid Nantha- model is lucrative for banks as glo- lysts expect strong growth. factured goods from Asia’s top economy. the world’s major economies and vowed to biggest lender, said people with withaya declined to comment. bal insurers are willing to pay hefty “The Thai economy is expected to “There are growing signs that the Trump level the playing fi eld with the Chinese on knowledge of the process. Prudential, AIA and Manulife de- fees for access to lenders’ branch grow and there’s more savings com- administration is heading for antagonis- trade, especially in reducing overcapacity in Prudential PLC, AIA Group and clined comment. networks and for exposure to a rap- ing out as well, so things are look- tic relations with China,” the bank said in its steel industry. Manulife Financial Corp are among Thailand caps foreign compa- idly growing middle class in devel- ing better than before,” said Rajnish a report that examined how commodities Trump has pledged to use “every law- insurers weighing a bid for SCB Life nies’ stakes in domestic insurance oping markets, such as Thailand. Juta, who looks after Southeast Asia including metals and farm goods may fare ful presidential power to remedy trade Assurance, the people said. ventures at 49%, but lawyers said SCB Life is ranked fourth in Thai- insurance services at Deloitte & in the upcoming lunar year. While the bank disputes” with China, including tariff s. SCB was looking to sell a 49% Thailand recently amended its rules land’s life insurance market, with Touche. stuck with its view that a trade war could be He once broached a tax of 45% on Chinese stake in the unit last year, but the to allow foreign insurers to seek Muang Thai Life Assurance Public “I would look at Thailand and In- avoided, it did anticipate “increasing trade imports, then denied bringing it up. Still, process was delayed due to expect- government permission to own Co the market leader. donesia as the ones where compa- frictions” between the two. the president has already walked back from ed changes in foreign shareholder more than 49% or up to a 100% Other major players are AIA, nies will be looking for growth. Trump made trade relations a central some criticisms and so far hasn’t followed rules governing the sector, accord- shareholding in a Thai insurer. France’s AXA, which has a deal with But the reason why they might theme of his election campaign, maintain- up on a pledge to label China a currency ma- ing to separate sources aware of the Bangkok-based law fi rm Tilleke Krung Thai Bank, and Thai Life In- chose Thailand is because it’s much ing that the US was getting a raw deal from nipulator on his fi rst day in offi ce. process. & Gibbins said in a note last week surance. more stable than Indonesia. agreements ranging from Nafta to the pu- There have been mixed signals from Chi- Whether it sells all or only part of that the move is a signifi cant reform Southeast Asia is seen as a growth It’s easier to do business in Thai- tative Trans-Pacifi c Partnership. The new na’s media. After the inauguration, the Glo- the business depends on the off ers it for Thailand’s life insurance indus- region for foreign insurers, who are land,” he said. president hammered on an “America First” bal Times, a Chinese newspaper run by the message in his inauguration speech, and his Communist Party, said the speech signalled administration immediately vowed to with- a “high possibility” of trade frictions. Still, draw from the Pacifi c deal. the offi cial Xinhua News Agency congratu- “We are more likely to see the US aggres- lated Trump on his inauguration and said it sively targeting China in sectors where the hoped for “win-win” cooperation between US runs a large defi cit with China or with the two nations, and an editorial run by signifi cant SOE presence,” Citigroup said, state-backed newspaper China Daily took a using initials for state-owned enterprises. similar tone.

Unilever unit sees impact of Modi’s cash ban fading

Bloomberg liquidity conditions,” Manwani said in the Mumbai accompanying statement, adding that there were early signs of “normalisation.” The government’s measure to ban two high- Hindustan Unilever reported quarterly denomination notes in November created a profit that beat estimates as chairman Harish cash crunch among consumers in Asia’s third- Manwani of India’s largest consumer goods largest economy. The Indian unit of the Dutch- company said there are early signs the impact British Unilever has said it sees demonetisa- of Prime Minister Narendra Modi crackdown tion as a positive policy event, while expecting on cash is fading. market growth to be adversely impacted for a Net income of the maker of Lux sops and few months. Bru coff ee rose 7% to Rs10.4bn ($153mn) in the “I won’t look too much into the third- three months ended December, the Mumbai- quarter numbers as demonetisation did have based company said in a statement yesterday. a marginal impact on purchasing power and That compares with the Rs9.73bn average of consumption,” Purvesh Shelatkar, senior 24 analyst estimates compiled by Bloomberg. vice president of institutional sales, Centrum Sales volume declined for a second straight Broking Ltd. “I would give it a couple of more quarter and revenue fell 0.7% to Rs83.2bn, quarters as cash transactions were certainly against the Rs74bn average of 18 estimates. impacted. If the stock were to fall on this, I will A man uses an ATM machine at the Siam Commercial Bank branch in central Bangkok. SCB was looking to sell a 49% stake in its life insurance business last The market has been impacted by “adverse certainly buy.” year, but the process was delayed due to expected changes in foreign shareholder rules governing the sector, according to sources aware of the process. Gulf Times 8 Tuesday, January 24, 2017 BUSINESS

Australia forms infrastructure Blackstone readies agency to oversee sensitive assets new Asian realty Reuters Group by a consortium led by Sydney Hong Kong’s Cheung Kong In- frastructure Holdings (CKI). DUET’s assets include the he Australian government Dampier-to-Bunbury gas pipe- announced a new infra- line in Western Australia, which Tstructure body yesterday transports fuel for half of the fund of at least $5bn that will, among other functions, power generation in the coun- check whether foreign-led bids try’s biggest export state. Reuters for key assets, including power It also owns electricity dis- Hong Kong grids and ports, pose any nation- tributors in the state of Victoria. al security risks. “I would see DUET’s sale as The Critical Infrastructure being something you would ex- lackstone Group LP is readying a Centre will assess risks, advise pect this centre to look at very new Asia-focused real estate fund on transactions and help prevent closely,” Jennings said. Bthat aims to raise a record $5bn sabotage, espionage and coer- A source involved with the or more, betting on strong returns from cion, the government said in a DUET transaction, who was not property investments in the region, peo- statement. authorised to speak publicly, said ple familiar with the plans told Reuters. The centre, which will also it was unclear if the creation of The world’s biggest alternative asset draw up a list of key assets, is the new government body would manager will likely launch the fund in the meant to improve coordination put the deal at risk. next 12-16 months, the people said. between the various agencies DUET shares fell 0.7% yester- It has invested more than 70% of the that might have concerns over day in line with a broader decline $5.08bn it raised in its fi rst Asia-focused asset sales. Its creation follows a in the Australian market and are property fund, a threshold when buyout series of controversial foreign in- trading 5.7% below the CKI off er fi rms typically start considering and pre- vestment rulings last year, when price. paring for follow-up capital raising. the government blocked Hong CKI did not respond immedi- New York-based Blackstone intends Kong and Chinese fi rms bidding ately to a request for comment. to boost investments in assets such as for Ausgrid, the biggest power Greg Austin, a professor spe- warehouses and shopping malls in China, grid in the nation’s most popu- cialising in cyber security at the India, Southeast Asia and Australia, one lous state, New South Wales, on University of New South Wales, of the people said. national security grounds. said the new centre would be in Global investors have shown robust The Chinese government line with similar bodies set up appetite for shopping malls, warehouses subsequently labelled Australia by other nations, like the United and other property assets in Asia as they “protectionist”. States and United Kingdom. have sought the relative safety and stable Australia has since imposed “Everyone is alert to the threat returns of real estate, buoyed by grow- foreign investment restrictions of terrorism against aviation as- ing urbanisation and rising incomes in on the sales process for a smaller sets – that alertness is part of the its two most populous countries of China power grid, Endeavour Energy. defence,” he said. “Now the gov- and India. In a statement yesterday, the ernment is saying, like the Brit- Underscoring this trend, 22 Asia- Australian government said for- ish and Americans have, we need focused property funds raised a total of eign investment in critical assets to have similar levels of alertness $10.6bn in 2016, data provider Preqin would be assessed on a “case- to other threats, especially cyber said. There’s already $33bn of unused The ticker and trading information for Blackstone Group is displayed at the post where it is traded on the floor of the New York by-case basis”. threats.” capital, or dry powder, in such Asia-fo- Stock Exchange. The world’s biggest alternative asset manager will likely launch $5bn or more fund in the next 12-16 months, Peter Jennings, the executive Last September, the British cused real estate funds, it said. sources said yesterday. director of the Australian Strate- government approved a £18.1bn Blackstone declined to comment on gic Policy Institute, said signifi - ($22.49bn) nuclear power plant plans for a new Asia-focused real estate cause details of the new Asia fund aren’t Japanese residential real estate, offi ce Blackstone is also one of the largest cant parts of Australia’s critical project backed by Chinese cash fund. yet public. space in Australia and Chinese shopping owners of offi ce space in India. infrastructure were owned by despite having put in place more But when commenting on the fun- Blackstone’s fi rst Asia-focused prop- malls, posting an internal rate of return Embassy Offi ce Park REIT, which foreign entities and he expected stringent oversight of critical draising outlook for 2017 in the com- erty fund, the $5.08bn Blackstone Real of 17% through September 2016, accord- Blackstone co-owns with local developer the new body would look at the infrastructure. Leigh Duthie, a pany’s third quarter earnings conference Estate Partners (BREP) Asia that closed ing to Blackstone’s most recent earnings Embassy Group, is awaiting approval aggregate eff ects. Brisbane-based partner at law call, Blackstone’s chief fi nancial offi cer in 2014, is the biggest such fund to focus report. In China, the company has a joint from authorities to launch the country’s Currently, the Foreign In- fi rm Baker & McKenzie, said the Michael Chae said there were “signifi - wholly on Asia, Preqin data shows. venture with developer China Vanke Co fi rst ever real estate investment trust vestment Review Board is con- new body would give investors cant” fundraises coming up next year, The new fund could exceed the fi rst Ltd for logistics investments. (REIT), which Thomson Reuters publica- sidering whether to approve more clarity about which assets including a possible new Asia fund. one in size. Blackstone sold $1.9bn of commercial tion IFR reported could raise $500mn- the $5.5bn acquisition of DUET Australia considered sensitive. The people declined to be named be- The fi rst Blackstone fund invested in property to Vanke last year. $1bn in a 2017 initial public off ering. Xiaomi’s Barra quits China for Silicon Valley Japan’s JX, Petronas start Malaysia LNG train AFP The fi rm, created in 2010, was lit- Beijing tle known outside China when it re- cruited Barra to run its international Reuters pan’s biggest oil refi ner JX activities. Tokyo Holdings, last June bought a ugo Barra, who caused a The highly publicised recruitment 10% equity stake in a Petronas sensation in 2013 by leav- marked the beginning of its dramatic subsidiary that was develop- Hing Google to become a vice transformation into an industrial gi- X Nippon Oil & Energy Corp ing the ninth train in Malaysia’s president of Chinese smartphone ant. said its venture with Malay- Sarawak state. maker Xiaomi, announced yesterday It briefl y held the top slot for Jsian state oil fi rm Petronas With the launch of the ninth he was returning to the United States smartphone sales in China, far ahead has started commercial opera- train, the Petronas LNG complex for health reasons. of Apple and South Korea’s Samsung. tions at the ninth liquefaction now has the capacity to produce Barra, under whom Xiaomi was for At Barra’s instigation, Xiaomi also train at the Petronas LNG com- about 30mn tonnes per year, JX a time China’s best-selling brand, made some overseas breakthroughs, plex in Bintulu, Sarawak. said in a statement. described his experience as a “spec- notably in Southeast Asia, Rus- The train, with a production Malaysian shipper MISC took tacular” journey but said it was time sia, and especially India – where he capacity of 3.6mn tonnes of LNG delivery of its latest 150,200 cu- to return home for a “new adventure”. achieved $1bn in annual revenue. per year, started on January 1. bic metre LNG gas tanker, Seri He did not elaborate. Despite his eff orts, Xiaomi still de- The launch of the ninth train Cenderawasih, last Friday. “But what I’ve realised is that the pends on the Chinese market for the comes at a time when US LNG The ship, built by South Ko- last few years of living in such a sin- overwhelming majority of its sales. exporters are sending tankers to rea’s Hyundai Heavy Industries, gular environment have taken a huge But it faces strong domestic com- Asia to fi ll a gap in the region’s is on long term charter to Petro- toll on my life and started aff ecting petition – including newcomers demand as markets have tight- nas to transport LNG from Bin- my health,” he said in a message on Oppo and Vivo – in the low-cost ened more-than-expected on tulu. Facebook, without giving details. smartphone niche, and its market surging consumption in China The ship, the second in a se- Beijing and other Chinese cities are share continues to decline. and Pakistan, and because of ries of fi ve similar vessels built notorious for dangerous air pollution. In the third quarter of 2016, Xiaomi Australia’s struggles to ramp up as part MISC’s long-term fl eet “My friends, what I consider to be was fourth with 8.7% of the Chinese production. expansion programme to sup- my home, and my life are back in Sili- market compared to 16% a year ear- But still, the LNG market re- port the energy transportation con Valley, which is also much closer lier. mains well supplied, with avail- needs of Petronas, is due to ar- Xiaomi’s vice president Hugo Barra looks on in front of the company’s logo during a group to my family,” he said. This was far behind Oppo and Vivo able LNG capacity standing 45% rive at Bintulu on January 27 to interview after the launching ceremony of Redmi Note 3 in Hong Kong. Barra, who caused Barra said Xiaomi was now well (about 17% each) and China’s Huawei above demand last year, accord- load its fi rst cargo, ship tracking a sensation in 2013 by leaving Google to become a vice president of Chinese smartphone placed to continue its international (15.7%), but just ahead of Apple and ing to Reuters Eikon data. data on the Reuters Eikon termi- maker Xiaomi, announced yesterday he was returning to the US for health reasons. expansion. Samsung, according to IDC. JX Nippon Oil, a unit of Ja- nal showed yesterday. China’s crude oil futures dilemma – control or success?

By Clyde Russell with knowledge of the matter. a crude futures contract that would on The global benchmark futures contract trading window, known as the Market on the United States and Europe were the Launceston, Australia The main issues were concerns by paper tick all the right boxes, it would battle on Brent crude, operated by Intercontinent- Close. This system allows traders to buy predominant buyers, and physical traders international players about trading in yuan, to overcome the trust deficit that exists be- al Exchange and CME Group’s New York and sell various grades of Middle East were a cosy circle of insiders who preferred given issues surrounding convertibility tween the global financial community and Mercantile Exchange, don’t really reflect the crudes through the Platts system. to operate largely without regulation and The quiet demise of China’s plans to launch back to dollars, and also the risks associ- China. What international banks and trading reality of crude trading in Asia. While the various participants can see scrutiny. a new crude oil futures contract shows the ated with regulation in China. houses will want to see before they throw The most obvious problem is that Brent buyers and sellers, the data isn’t available It’s natural that China wants to flex its innate conflict of wanting the financial clout The authorities in Beijing have estab- their weight behind a new futures contract is a light crude oil, while most of Asia’s to the wider market, meaning it lacks muscles in global commodity trade, and it that comes with being the world’s biggest lished a track record of clamping down is evidence that Beijing won’t interfere in physical trade is in heavier grade crudes, the transparency of a deliverable futures also makes sense for Asia to have a crude commodity buyer, but also seeking to on commodity trading when they feel the the market to achieve outcomes in line with such as those pumped by Middle East contract and is of little use to non-physical oil benchmark directly related to the types control the market. market pricing is driven by speculation its policy goals. producers. crude traders. of crude it consumes. It has been a long-standing ambition and has become divorced from supply and It will be hard, but not impossible, to The Dubai Mercantile Exchange (DME) The Platts window is also vulnerable to It’s also logical that this contract should for a new global oil price benchmark to be demand fundamentals. guarantee this, with the most plausible operates a well-respected contract on undue influence by major traders, given be based in China, but in order to achieve established in Shanghai, a move that would On several occasions last year, the solution being the establishment of some Oman crude, but despite off ering a viable the limited number of cargoes each month success it will have to enjoy the confidence reflect China’s rise to vie with the United authorities took steps to crack down on sort of free trade zone in which the futures hedging tool and physical trading platform, and the ability of some major players to buy of all participants. States as the world’s largest importer of trading in then hot commodities such as contract could be legally housed. the contract has struggled to become a most of what is available. It will have to be liquid, convertible and the fuel. iron ore, steel and coal. But getting everybody to agree on the leading benchmark. While Platts has worked to address the stable from a regulation viewpoint. But it would seem that the plans are on While these measures did have some exact mechanisms of how this would work For example, the daily volume of con- issues by adding more grades of crude, the The INE’s proposed contract can’t really hold, at least for now, with the Shanghai success in cooling markets, they are gener- will be extremely challenging, and time tracts on the DME averaged 8,762 lots in current system is probably a long way short fulfil these requirements currently, and it International Energy Exchange (INE) failing ally anathema to international traders, who consuming. Overall, what this means is that 2016, while Brent futures on ICE averaged of ideal, and doesn’t reflect the importance may be some time before it can. to garner suff icient support from market prefer to accept the risk of rapid reversals in Asia, the world’s top crude-importing re- about 57,600 last year. of Asia in global crude markets. players for a new benchmark, Reuters order to enjoy the benefits of strong rallies. gion, will have to soldier on with its current For many oil traders in Asia the main There is little doubt that the current ways „ Clyde Russell is a Reuters columnist. reported on January 20, citing five sources It’s likely that while the INE could design imperfect ways of pricing crude oil. price discovery mechanism is the Platts of pricing crude belong to an era where The views expressed here are his own. Gulf Times Tuesday, January 24, 2017 9 BUSINESS

Russia locks in on what’s wrong LME’s pitch for share of with rouble during oil frenzy gold market faces hurdle

Bloomberg Reuters dustry, he said. LME brokers say the speci- Moscow London fi cations are restrictive and the contracts, though physically deliverable, appear to be designed for fi nance professionals and not Untethering the rouble helped Russia ride out the biggest oil down- ears of infl exibility and rising costs the physical market. turn in a generation. But it’s left the world’s biggest energy exporter are sapping enthusiasm for the Lon- A key criticism is the size of the con- vulnerable to greater volatility in crude prices as Opec pushes Fdon Metal Exchange’s new suite of tracts: 100 troy ounces for gold and 5,000 output cuts. gold contracts, potentially leaving the ex- ounces for silver. To address that, the Bank of Russia is preparing to wade back change reliant on the threat of an increas- On the over-the-counter (OTC) mar- into the currency market after an 18-month absence and soak up ing regulatory burden to drive uptake. ket gold and silver can be traded in any foreign revenue earned in excess of the $40 oil price assumed in London’s $5tn-a-year gold trade has, number of ounces. the budget. First Deputy Prime Minister Igor Shuvalov said in an along with the rest of the City of London, “What happens if our customers want interview last week that currency purchases are possible already at found itself under increased scrutiny since to trade 330 ounces of gold?” asked one current oil prices. The exchange rate needs to be more “predictable,” the Libor scandal, with US lawsuits alleg- gold trader. Finance Minister Anton Siluanov said on Saturday. ing rigging against the banks that set bul- The monthly contract structure mean- “At this stage of economic recovery, Russia would benefit from a lion prices. while undermines physical traders’ ability stable rouble rather than further potentially excessive appreciation, Regulatory pressure sparked the fall of to hedge specifi c dates beyond a month, which could undermine the competitiveness of Russian exporters the near century-old telephone-based said a source at a metals broker. at the time when the global trade pie seems to be shrinking,” said gold fi x, or benchmark pricing, which Martin said at least 30 fi rms had been Piotr Matys, an emerging-market currency strategist at Rabobank in was replaced by an electronic alternative consulted during the design process. London. The rouble’s gallop since touching a record low a year ago in 2015, and reform of the management The contracts allow combinations of has churned stomachs for the government, consumers and busi- structure of the London Bullion Market daily and monthly futures to hedge any nesses alike, prompting the surprise announcement that interven- Association. date, he said, while defi ned lot sizes allow tions may be imminent, with JPMorgan Chase & Co expecting them The LME, owned by Hong Kong Ex- easier netting, compensating for lost fl ex- in “weeks not months.” The operations would help keep the rouble changes and Clearing Ltd (HKEx), says its ibility. Most gold producers contacted by in check until the government implements a so- called budget rule contracts, which include spot, futures and Reuters said they would not use the LME from 2020, preventing it from spending surplus revenue above a options, would bring price-setting out of contracts to hedge, though one, Petropav- pre-set oil price. the back rooms of banks by creating a pub- lovsk, said it would consider doing so. The central bank has said any purchases would be in line with its lished forward pricing curve for gold and London Metal Exchange chief executive Garry Jones speaks during LME Week Asia Five banks, Goldman Sachs, ICBC free-float regime, in place since late 2014, and possible intervention sliver out to fi ve years. in Hong Kong. Fears of inflexibility and rising costs are sapping enthusiasm for the Standard Bank, Morgan Stanley, Natixis “for the purposes of budgetary, not monetary policy smooths the It also says the contracts’ central clear- exchange’s new suite of gold contracts, potentially leaving it reliant on the threat of an and Societe Generale, and proprietary impact of oil-price fluctuations on the real exchange rate.” ing would free the banks and brokers that increasing regulatory burden to drive uptake. trader OSTC have partnered with the LME At an average oil price of $50 a barrel, Russia will get an extra dominate London’s over-the-counter and committed to supply liquidity. 1tn roubles ($16.8bn) in revenue this year, the Finance Ministry esti- (OTC) gold market from increasingly on- The LME hasn’t detailed the fees for frastructure at the World Gold Council, an But two of biggest gold trading banks, mates. Interventions, if they start in February and continue through erous capital requirements, creating sav- trading and clearing using LME Clear, but industry body that worked with the LME JPMorgan and HSBC, have not. the rest of the year, would reach $1.45bn a month, according to ings that could be passed to others in the said it is “confi dent that fee levels will be to design the contracts. “We think we’ve got critical mass,” said Raiff eisenbank. The Bank of Russia bought about $10bn between industry. competitive”. He said he expected most of the volume Martin. mid-May and late July 2015. With the intervention off setting the But a source at a major gold trading bank Scepticism runs deep, however. Metal on the contracts to come from hedging be- Sources said the LME would struggle eff ect of higher crude prices, the rouble would eff ectively be priced said: “There’s a lot of caution and probably industry sources cite other failed attempts tween banks and brokers – which he said to gain a share of the market, particularly at an oil equivalent of about $43 a barrel, according to JPMorgan. outright scepticism from market partici- by the LME to establish new contracts in- accounts for up to 90% of trading in the given that Shanghai and New York already Benchmark Brent, which is usually trading at about a $3 premium to pants whether this will add anything but cluding those for cobalt, molybdenum, London market. off er well-established and liquid gold fu- Russia’s Urals blend, was near $55 in London yesterday. “The policy another cost to the bottom line.” plastics and aluminium premiums. These could continue to agree trades bi- tures. will enable higher inflation-targeting credibility and isolate the “In the OTC market there are no fees, “This set of contracts was never intend- laterally as under the OTC model, and then “Trading will always go to the place with economy from terms-of-trade shocks and Dutch disease problems,” you call somebody for a quote and you ed to replace or undermine the OTC mar- clear them on the exchange, enabling sav- the most liquidity,” a source at a major gold JPMorgan analysts including Anatoliy Shal said in a report on Friday. trade it,” a source at a metals broker said. ket.” said Robin Martin, head of market in- ings that would reduce costs for all the in- trading bank said. “A good share of the risk premium is driven by oil-price volatility and oil-price uncertainty.” A shale-industry revival in the US is the reason top oil execu- tives see volatility ahead. Higher prices after the Organisation of Petroleum Exporting Countries decided to cut output late last year are helping swell US production, which could put crude under downward pressure again. “And up and down,” International Energy Budgetary expectations lift Indian equities Agency executive director Fatih Birol said in Davos last week. The rouble has become less beholden to oil and more sensitive to shifts in capital flows and investor sentiment. It had its best-ever IANS at 26,990.93 points, closed at 27,117.34 buying activity managed to lift the equi- while IT stocks, which were on the back year in 2016, when it appreciated 20%, after losing half its value Mumbai points – up 82.84 points or 0.31% from the ties markets. foot last week, ahead of (Donald) Trump’s against the dollar in 2014-2015. The rouble climbed for the first time previous close at 27,034.50 points. “The top performing sector was met- speech, shed the cautionary stance and in four days yesterday, trading 0.6% stronger and extending its gain The Sensex touched a high of 27,167.79 als, which has given decent gains since last swung back too,” Anand James, chief mar- this year to more than 3% versus the US currency. opes of budgetary incentives and points and a low of 26,963.58 points dur- year, and we believe the correction and ket strategist at Geojit BNP Paribas Fi- “After the financial stress of 2014, society needs stability and healthy buying in metal, automo- ing the intra-day trade. The BSE market slowdown in commodities are over and nancial Services was quoted as saying in a predictability more than a strong rouble,” said Dmitry Postolenko, Hbile and oil and gas sectors lifted breadth was tilted in favour of the bulls – now we are witnessing a bull rally in com- statement. a money manager at Kapital Asset Management in Moscow. “The the Indian equities markets yesterday. with 1,579 advances and 1,129 declines. modity, which is helping metal sector to “However, a bit of volatility was also stable exchange rate allows economic agents and the government However, profi t-booking at higher In terms of the broader markets, the BSE perform,” Desai told IANS. seen as near month derivatives expire a to build plans with greater certainty.” levels and foreign fund outfl ows capped mid-cap index rose by 0.48%, while the “Earnings season so far is mixed with day early.” The Futures and Options (F&O) One-year implied volatility on the rouble versus the dollar gains. The equity markets started the BSE small-cap index was up 0.47%. large-cap giving dismissal earnings and expiry for the month of January has been yesterday headed for the lowest level since early November. Still, week’s trade session on a volatile note as On last Friday, the benchmark indi- many mid-cap companies posting better- preponed to Wednesday due to the Repub- the gauge of expected moves in the exchange rate over the next the India Volatility Index (VIX) rose to ces were dragged lower by disappointing than-expected results.” lic Day holiday on Thursday. 12 months shows the Russian currency will be among the 10 most 15.90 from 15.79 recorded on Friday. quarterly results and a weak rupee. Market observers pointed out that val- In contrast, the Indian rupee closed on volatile in the world, according to data compiled by Bloomberg. The wider 51-scrip Nifty of the National The NSE Nifty receded by 85.75 points ue buying resurfaced ahead of the Union a fl at-to-negative note at 68.20 against a For every 1 rouble of appreciation in the exchange rate, the Stock Exchange (NSE) rose by 42.15 points or 1.02%, to 8,349.35 points, while the BSE Budget, as it is widely expected to “bring US dollar from its previous close of 68.19 budget loses about 100bn roubles at an average Brent price of $55 or 0.50%, to 8,391.50 points. Sensex was down 274.10 points or 1.00%. in” economic sops to ease the impact of to a greenback. In addition, foreign funds per year, Sberbank CIB estimates. The barometer 30-scrip sensitive in- According to Dhruv Desai, director and demonetisation. “This optimism also al- off -loaded their stock holding in the In- dex (Sensex) of the BSE, which opened chief operating offi cer of Tradebulls, late lowed banks to shed asset quality worries, dian markets.

Fading dollar lifts emerging Dollar down as Trump takes market stocks, currencies over; most Asian markets up Reuters however, weakening as much as 0.5% as London investors showed nerves ahead of a central bank meeting today widely seen as a major AFP credibility test in the face of a tumbling cur- Hong Kong merging stocks gained and Mexico’s rency. peso led a currencies rally yesterday Fifteen out of 18 economists polled by Eas markets took a breather following Reuters expect the central bank to increase he dollar retreated against Donald Trump’s inauguration as US Presi- its benchmark repo rate, with nine of them most of its peers yesterday, dent, but Turkey’s lira remained under pres- forecasting an increase of 50 basis points. Twith warnings of wild vola- sure ahead of a crucial central bank meeting. “The lira has stabilised in the last few tility ahead as Donald Trump be- MSCI’s emerging markets index snapped days... There is a substantial risk that the gan his presidency promising to put a two-day losing streak to rise 0.6%, lifted central bank will not hike at all,” said Ham- America fi rst and hitting out at glo- by bourses in Asia and gains in South Africa. marlund. “The problem is: It will then just be bal trade deals. The gains came in the wake of the dollar a matter of time before there will be another While trading fl oors are ravaged sliding broadly to touch its weakest level in run on the lira.” Israel’s central bank is ex- by uncertainty over the tycoon’s six weeks after Trump struck a protection- pected to keep interest rates at a record low plans, shares in most Asian markets ist tone in his debut speech, sowing doubts of 0.1% for the 23rd month in a row when it rose following a positive lead from on the upbeat outlook for the US economy announces it decision later in the day. Wall Street, though Japan’s Nikkei which had been fuelled by his pledges of tax tanked as the greenback slipped cuts and stimulus. against the yen. “The pressure remains on the dollar, and Trump’s inauguration speech that is causing a general positive sentiment on Friday continued his campaign towards emerging markets... investors are rhetoric, saying “every decision on starting to doubt just how much he will de- trade, on taxes, on immigration, on liver,” said Per Hammarlund, chief emerging foreign aff airs will be made to bene- markets strategist at SEB. fi t American workers and American “It is just a temporary breather, it is un- families”. likely to last. As we have seen before, he may “Markets are now waiting for be quiet for a short time or shift his focus to more evidence that Donald Trump A woman walks past an electronic board showing stock prices outside a brokerage at a business district in Tokyo. something else, but... we will not see him will deliver on fi scal stimulus and The Nikkei ended 1.3% lower at 18,891.03 yesterday. backtrack on his suspicious attitude on deregulation,” Shane Oliver, Syd- trade with cheaper countries such as China ney-based global investment strat- concerns about Britain’s exit from yuan and claimed this was “killing” ing a losing streak to a sixth session. and Mexico.” egist at AMP Capital Investors, told the European Union. “I suspect the US economy. The stronger yen Sydney shed 0.8% but Hong Kong Mexico’s peso, which had born the brunt Bloomberg News. we’re entering extremely volatile dragged down exporters on Tokyo’s rose 0.1% while Shanghai closed up of investor angst over Trump’s policies, led “Shares remain vulnerable to a times for the dollar,” Stephen Innes, Nikkei, which ended 1.3% lower at 0.4%. Seoul was marginally higher the rally across currencies, gaining nearly further correction or consolidation senior trader at OANDA, said in a 18,891.03. Takata collapsed again, with Samsung surging more than 1% and trading at its strongest in 13-days. in the next month or so.” note. “There remains a high level of diving nearly 18% on fears of a 2% as it looked to put its explod- It had chalked up its biggest gains in more In afternoon trade yesterday it uncertainty about the new admin- drawn-out bankruptcy restructur- ing Galaxy Note 7 crisis behind it by than two months on Friday after Trump did bought 113.40 yen, well down from istration’s dollar policies, especially ing for the airbag maker at the cen- announcing the problem was down not mention the country directly in his inau- 114.60 yen on Friday and more than following President Trump’s recent tre of the biggest-ever auto safety to a faulty battery. Singapore added guration speech. South Africa’s rand nearly 4% down from the highs touched remarks on the strong dollar direct- recall. 0.3%. Taipei surged 1% ahead of a matched those gains while Russia’s rouble late in December. ed at China.” The embattled stock, which has week-long Lunar New Year holiday struggled 0.4% stronger despite oil prices It was also well down against the Trump last week said the green- lost more than half its market value in and there were also healthy gains in reversing their initial gains and falling 1%. euro and pound despite ongoing back was too strong against China’s a week, fell by its daily limit, extend- Manila and Bangkok. Turkey’s lira remained the exception Gulf Times 10 Tuesday, January 24, 2017 BUSINESS

SAUDI ARABIA KUWAIT OMAN

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

Saudi Re For Cooperative Rei 6.60 0.30 2,896,865 Boubyan Intl Industries Hold 31.00 -1.59 40,841,177 Dhofar Beverages Co 0.26 0.00 - Solidarity Saudi Takaful Co 8.77 1.27 1,434,606 Gulf Investment House Ksc 58.00 3.57 6,868,988 Construction Materials Ind 0.03 0.00 78,532 Amana Cooperative Insurance 8.79 4.64 2,635,781 Boubyan Bank K.S.C 415.00 0.00 2,720,486 Computer Stationery Inds 0.26 0.00 - Alabdullatif Industrial Inv 15.54 2.24 541,938 Ahli United Bank B.S.C 224.00 2.75 5,708,350 Bankmuscat Saog 0.47 0.00 768,071 Saudi Printing & Packaging C 18.74 0.32 998,301 Osos Holding Group Co 180.00 5.88 1,136,621 Bank Sohar 0.16 0.63 8,490 Sanad Cooperative Insurance 15.23 0.00 - Al-Eid Food Ksc 0.00 0.00 - Bank Nizwa 0.09 1.16 555,100 Saudi Paper Manufacturing Co 10.04 2.03 1,629,873 Qurain Petrochemical Industr 300.00 5.26 4,348,260 Bank Dhofar Saog 0.25 0.40 61,800 Alinma Bank 15.05 2.10 30,694,818 Advanced Technology Co 0.00 0.00 - Areej Vegetable Oils 4.05 0.00 - Almarai Co 68.36 0.18 207,544 Ekttitab Holding Co Sak 56.00 0.00 6,404,203 Aloula Co 0.53 0.00 - Falcom Saudi Equity Etf 27.10 1.12 91,149 Kout Food Group Ksc 0.00 0.00 - Al-Omaniya Financial Service 0.29 0.00 - QATAR United International Transpo 29.64 0.41 1,365,112 Real Estate Trade Centers Co 38.50 0.00 117,100 Al-Hassan Engineering Co 0.05 0.00 500 Hsbc Amanah Saudi 20 Etf 27.30 0.00 - Acico Industries Co Kscc 310.00 5.08 1,768,352 Al-Fajar Al-Alamia Co 0.75 0.00 - Company Name Lt Price % Chg Volume Saudi International Petroche 17.53 3.18 1,102,399 Kipco Asset Management Co 90.00 -2.17 774,270 Al-Anwar Ceramic Tiles Co 0.16 -2.47 129,688 Falcom Petrochemical Etf 26.20 0.00 - National Petroleum Services 890.00 2.30 2,500 Al Suwadi Power 0.18 0.00 520,067 Zad Holding Co 84.50 0.00 - Saudi United Cooperative Ins 27.09 1.96 1,310,422 Alimtiaz Investment Co Kscc 136.00 -4.23 13,749,186 Al Shurooq Inv Ser 1.04 0.00 - Widam Food Co 69.00 -0.72 7,730 Bank Al-Jazira 13.76 2.00 3,335,704 Ras Al Khaimah White Cement 100.00 1.01 100 Al Sharqiya Invest Holding 0.15 2.10 388,697 Vodafone Qatar 9.59 -1.34 470,862 Al Rajhi Bank 64.36 2.03 2,229,567 Kuwait Reinsurance Co Ksc 0.00 0.00 - Al Maha Petroleum Products M 1.60 0.00 - United Development Co 22.49 -0.04 83,913 Samba Financial Group 22.66 3.38 1,914,656 Kuwait & Gulf Link Transport 70.00 0.00 3,959,010 Al Maha Ceramics Co Saoc 0.50 0.00 - Salam International Investme 12.15 1.76 232,504 United Electronics Co 26.50 1.42 454,079 Human Soft Holding Co Ksc 2,960.00 0.00 20,277 Al Madina Takaful Co Saoc 0.09 4.94 3,210,846 Qatar & Oman Investment Co 10.49 1.25 12,071 Allied Cooperative Insurance 14.38 1.27 532,263 Automated Systems Co Kscc 242.00 0.00 61,650 Al Madina Investment Co 0.06 1.75 766,140 Qatar Navigation 93.90 0.97 17,551 Malath Cooperative & Reinsur 8.08 2.02 803,922 Metal & Recycling Co 64.00 0.00 11,500 Al Kamil Power Co 0.31 0.00 - Qatar National Cement Co 88.60 -1.56 18,037 Alinma Tokio Marine 18.78 2.40 1,059,545 Gulf Franchising Holding Co 43.00 6.17 180,069 Al Jazerah Services -Pfd 0.55 0.00 - Qatar National Bank 171.60 -0.23 54,327 Arabian Shield Cooperative 56.37 4.54 1,689,558 Al-Enma’a Real Estate Co 50.00 -7.41 10,201,893 Al Jazeera Steel Products Co 0.26 -0.75 422,508 Qatar Islamic Insurance 54.50 2.25 8,865 Savola 36.78 4.37 647,994 National Mobile Telecommuni 1,240.00 5.08 535,189 Al Jazeera Services 0.20 0.00 18,981 Qatar Industrial Manufactur 47.25 0.00 - Wafrah For Industry And Deve 24.84 1.02 509,881 Al Bareeq Holding Co Kscc 0.00 0.00 - Al Izz Islamic Bank 0.07 1.47 30,000 Qatar International Islamic 66.90 0.45 55,258 Fitaihi Holding Group 13.21 2.01 567,643 Housing Finance Co Sak 0.00 0.00 - Al Buraimi Hotel 0.88 0.00 - Qatari Investors Group 56.50 -0.70 13,530 Tourism Enterprise Co/ Shams 33.35 0.57 408,806 Al Salam Group Holding Co 64.00 -4.48 12,971,365 Al Batinah Power 0.19 0.54 217,052 Qatar Islamic Bank 109.00 -0.91 113,537 Sahara Petrochemical Co 15.17 0.93 3,515,426 United Foodstuff Industries 0.00 0.00 - Al Batinah Hotels 1.13 0.00 - Qatar Gas Transport(Nakilat) 24.32 -0.73 72,387 Herfy Food Services Co 80.00 0.83 86,008 Al Aman Investment Company 61.00 -7.58 19,647,058 Al Batinah Dev & Inv 0.10 2.06 147,032 Qatar General Insurance & Re 40.00 -2.20 2,000 Mashaer Holdings Co Ksc 0.00 0.00 - Al Anwar Holdings Saog 0.19 0.00 99,742 Qatar German Co For Medical 10.19 -0.59 86,973 Manazel Holding 50.00 5.26 14,300,045 Ahli Bank 0.19 0.00 515,645 Qatar Fuel Qsc 162.00 0.00 56,405 Mushrif Trading & Contractin 0.00 0.00 - Acwa Power Barka Saog 0.71 0.00 60,608 Qatar First Bank 10.07 -0.10 269,558 KUWAIT Tijara And Real Estate Inves 61.00 -4.69 339,623 Abrasives Manufacturing Co S 0.05 0.00 - Qatar Electricity & Water Co 238.00 -1.65 20,159 Kuwait Building Materials 180.00 0.00 1,000 A’saff a Foods Saog 0.80 0.00 - Qatar Cinema & Film Distrib 28.10 0.00 - Company Name Lt Price % Chg Volume Jazeera Airways Co Ksc 660.00 -2.94 42,107 0Man Oil Marketing Co-Pref 0.25 0.00 - Qatar Insurance Co 88.80 0.91 65,887 Commercial Real Estate Co 86.00 -2.27 7,402,106 Ooredoo Qsc 106.10 -0.38 79,360 Securities Group Co 94.00 0.00 207,075 Future Communications Co 85.00 0.00 2,415,740 National Leasing 15.89 0.00 64,843 Sultan Center Food Products 80.00 -1.23 1,916,036 National International Co 77.00 2.67 1,779,257 Mazaya Qatar Real Estate Dev 14.88 -1.78 1,405,012 Kuwait Foundry Co Sak 236.00 -0.84 216,894 Taameer Real Estate Invest C 35.50 4.41 10,850,739 UAE Mesaieed Petrochemical Holdi 15.70 1.09 338,741 Kuwait Financial Centre Sak 102.00 -1.92 150,000 Gulf Cement Co 83.00 -4.60 607,000 Al Meera Consumer Goods Co 184.90 1.59 29,871 Ajial Real Estate Entmt 170.00 -2.30 270,250 Heavy Engineering And Ship B 214.00 1.90 314,380 Company Name Lt Price % Chg Volume Medicare Group 67.90 0.89 301,014 Gulf Glass Manuf Co -Kscc 300.00 0.00 401,750 Refrigeration Industries & S 315.00 3.28 60,000 Mannai Corporation Qsc 84.50 0.00 - Kuwait Finance & Investment 51.00 4.08 153,000 National Real Estate Co 128.00 -3.03 17,213,697 Waha Capital Pjsc 2.30 -4.56 23,392,139 Masraf Al Rayan 41.10 0.74 451,469 National Industries Co Ksc 216.00 0.93 136,477 Al Safat Energy Holding Comp 50.00 5.26 3,939,686 United Insurance Company 2.00 0.00 - Al Khalij Commercial Bank 16.50 -1.20 44,896 Kuwait Real Estate Holding C 41.00 6.49 888,915 Kuwait National Cinema Co 1,180.00 0.00 6,160 United Arab Bank Pjsc 2.00 0.00 - Industries Qatar 119.70 -0.17 83,296 Securities House/The 67.00 1.52 14,607,400 Danah Alsafat Foodstuff Co 99.00 5.32 14,659,367 Union National Bank/Abu Dhab 4.55 -2.78 5,497,366 Islamic Holding Group 61.30 -1.13 20,641 Boubyan Petrochemicals Co 570.00 -1.72 901,604 Independent Petroleum Group 400.00 0.00 21,000 Union Insurance Co 1.86 0.00 - Gulf Warehousing Company 56.90 0.71 24,236 Al Ahli Bank Of Kuwait 330.00 0.00 229,288 Kuwait Real Estate Co Ksc 77.00 -2.53 9,817,551 Union Cement Co 1.25 0.00 - Gulf International Services 31.65 0.48 119,783 Ahli United Bank (Almutahed) 425.00 -1.16 248,060 Salhia Real Estate Co Ksc 370.00 0.00 2,000 Umm Al Qaiwain Cement Indust 1.00 0.00 3,045,706 Ezdan Holding Group 15.71 -0.57 658,709 National Bank Of Kuwait 710.00 2.90 7,098,568 Gulf Cable & Electrical Ind 465.00 -1.06 402,711 Sharjah Islamic Bank 1.50 -1.32 1,467,388 Doha Insurance Co 18.00 0.00 - Commercial Bank Of Kuwait 425.00 0.00 13,821 Al Nawadi Holding Co Ksc 0.00 0.00 - Sharjah Insurance Company 3.85 0.00 - Doha Bank Qsc 38.95 2.50 610,571 Kuwait International Bank 228.00 0.00 6,514,860 Kuwait Finance House 610.00 0.00 5,291,229 Sharjah Group 1.50 0.00 - Dlala Holding 22.60 -0.22 17,080 Gulf Bank 290.00 3.57 2,864,696 Gulf North Africa Holding Co 49.00 -1.01 10,143,696 Sharjah Cement & Indus Devel 1.05 0.00 - Commercial Bank Qsc 32.80 1.08 586,401 Al-Massaleh Real Estate Co 52.00 -5.45 54,000 Hilal Cement Co 110.00 0.00 129 Ras Al-Khaimah National Insu 4.10 0.00 - Barwa Real Estate Co 36.55 0.83 675,733 Al Arabiya Real Estate Co 49.50 5.32 10,229,258 Osoul Investment Kscc 67.00 6.35 2,331,773 Ras Al Khaimah White Cement 1.23 0.00 - Al Khaleej Takaful Group 21.05 2.18 999 Kuwait Remal Real Estate Co 66.00 -2.94 25,142,376 Gulf Insurance Group Ksc 720.00 0.00 13,000 Ras Al Khaimah Ceramics 2.53 0.00 3,740,000 Aamal Co 15.05 -0.99 71,088 Alkout Industrial Projects C 670.00 0.00 24,170 Kuwait Food Co (Americana) 2,600.00 0.00 500,000 Ras Al Khaimah Cement Co Psc 0.91 2.25 101,705 A’ayan Real Estate Co Sak 84.00 1.20 772,500 Umm Al Qaiwain Cement Indust 0.00 0.00 - Ras Al Khaima Poultry 3.45 0.00 - Investors Holding Group Co.K 33.00 -1.49 82,086,115 Aayan Leasing & Investment 51.00 6.25 9,392,604 Rak Properties 0.80 -5.88 118,482,777 Al-Mazaya Holding Co 126.00 -1.56 12,816,135 Alrai Media Group Co Ksc 138.00 -1.43 439,138 Ooredoo Qsc 97.00 0.00 - SAUDI ARABIA Al-Madar Finance & Invt Co 0.00 0.00 - National Investments Co 122.00 -1.61 7,543,229 Oman & Emirates Inv(Emir)50% 1.16 0.00 - Gulf Petroleum Investment 63.00 -3.08 30,904,121 Commercial Facilities Co 180.00 0.00 915,360 Nbad Oneshare Msci Uae Ucits 6.26 0.00 - National Takaful Company -10.00 Company Name Lt Price % Chg Volume Mabanee Co Sakc 890.00 -1.11 437,676 Taiba Kuwaiti Holding Co Ksc 0.00 0.00 - 0.72 473,000 City Group 0.00 0.00 - Afaq Educational Services Co 162.00 0.00 16,940 National Marine Dredging Co 4.50 0.00 - United Wire Factories Compan 25.40 0.40 239,749 Inovest Co Bsc 94.00 2.17 805,750 Kuwait Pillars For Financial 0.00 0.00 - National Investor Co/The 0.52 0.00 - Etihad Etisalat Co 21.58 5.11 2,262,262 Kuwait Gypsum Manufacturing 0.00 0.00 - Yiaco Medical Co. K.S.C.C 270.00 0.00 60,600 National Corp Tourism & Hote 2.80 0.00 - Dar Al Arkan Real Estate Dev 6.12 -0.16 66,570,859 Al-Deera Holding Co 48.50 5.43 2,369,994 National Bank Of Umm Al Qaiw 3.20 0.00 - Saudi Hollandi Bank 0.00 0.00 - Alshamel International Hold 0.00 0.00 - National Bank Of Ras Al-Khai 4.97 0.20 1,980,030 Rabigh Refining And Petroche 12.19 -1.06 4,459,545 Mena Real Estate Co 35.50 1.43 12,747,123 National Bank Of Fujairah 3.50 0.00 - Banque Saudi Fransi 24.59 4.64 1,204,614 National Slaughter House 49.50 -8.33 21,063 National Bank Of Abu Dhabi 10.55 -1.40 545,873 Saudi Enaya Cooperative Insu 16.40 3.47 1,527,615 Amar Finance & Leasing Co 52.00 1.96 61,400 OMAN Methaq Takaful Insurance 0.93 -3.13 4,723,262 Manazel Real Estate Pjsc 0.66 0.00 101,498,812 Mediterranean & Gulf Insuran 26.59 0.91 880,277 United Projects For Aviation 830.00 6.41 2,010 Company Name Lt Price % Chg Volume Saudi British Bank 22.96 6.79 527,195 National Consumer Holding Co 42.50 0.00 20 Invest Bank 2.20 0.00 - Mohammad Al Mojil Group Co 12.55 0.00 - Amwal International Investme 33.00 -2.94 2,884,810 Voltamp Energy Saog 0.51 0.00 4,925 Intl Fish Farming Co Pjsc 3.98 -3.63 4,418,981 Red Sea Housing Services Co 28.61 0.39 112,883 Jeeran Holdings 48.00 0.00 35,400 United Power/Energy Co- Pref 1.00 0.00 - Insurance House 0.74 0.00 - Takween Advanced Industries 12.66 3.26 2,815,011 Equipment Holding Co K.S.C.C 73.00 1.39 9,555,107 United Power Co Saog 3.25 0.00 - Gulf Pharmaceutical Ind Psc 2.33 0.00 - Sabb Takaful 30.83 2.63 1,169,392 Nafais Holding 170.00 0.00 6,758 United Finance Co 0.16 0.00 - Gulf Medical Projects 3.00 0.00 - Saudi Arabian Fertilizer Co 72.56 0.10 75,576 Safwan Trading & Contracting 385.00 0.00 10,000 Ubar Hotels & Resorts 0.13 0.00 - Gulf Cement Co 1.03 0.00 332,323 National Gypsum 14.65 1.67 1,203,360 Arkan Al Kuwait Real Estate 92.00 -2.13 6,032,165 Takaful Oman 0.18 0.00 - Fujairah Cement Industries 1.22 0.00 - Saudi Ceramic Co 31.49 1.32 170,429 Gfh Financial Group Bsc 192.00 5.49 1,006,000 Taageer Finance 0.13 0.00 59,183 Fujairah Building Industries 1.56 0.00 - National Gas & Industrializa 31.40 1.95 112,752 Energy House Holding Co Kscp 54.00 -1.82 1,580,332 Sweets Of Oman 1.34 0.00 - Foodco Holding Pjsc 5.29 0.00 - Saudi Pharmaceutical Industr 36.06 -0.17 688,328 Kuwait Slaughter House Co 142.00 0.00 7,000 Sohar Power Co 0.23 0.00 - First Gulf Bank 13.25 -0.38 631,545 Thimar 35.57 -0.34 598,492 Kuwait Co For Process Plant 196.00 4.26 27,000 Sohar Poultry 0.21 0.00 - Finance House 1.75 -6.91 85,878 National Industrialization C 16.59 1.72 2,568,446 Al Maidan Dental Clinic Co K 1,220.00 0.00 500,000 Smn Power Holding Saog 0.70 0.00 - Eshraq Properties Co Pjsc 1.20 -1.64 252,416,149 Saudi Transport And Investme 56.29 -0.18 452,795 National Ranges Company 36.50 -2.67 21,183,409 Shell Oman Marketing - Pref 1.05 0.00 - Emirates Telecom Group Co 18.40 -1.34 783,845 Saudi Electricity Co 21.18 2.87 4,249,313 Al-Themar Real International 0.00 0.00 - Shell Oman Marketing 2.00 0.00 50,022 Emirates Insurance Co. (Psc) 5.20 0.00 - Saudi Arabia Refineries Co 39.29 0.13 796,495 Al-Ahleia Insurance Co Sakp 450.00 0.00 5,063 Sharqiyah Desalination Co Sa 4.50 0.00 - Emirates Driving Company 8.07 0.00 - Arriyadh Development Company 21.65 0.60 212,188 Wethaq Takaful Insurance Co 48.00 5.49 1,517,213 Sembcorp Salalah Power & Wat 0.24 0.00 65,300 Dana Gas 0.56 -1.75 23,606,798 Al-Baha Development & Invest 13.50 0.00 - Salbookh Trading Co Kscp 78.00 -3.70 2,555,084 Salalah Port Services 0.63 0.00 - Commercial Bank Internationa 1.80 0.00 - Saudi Research And Marketing 32.95 0.80 557,497 Aqar Real Estate Investments 68.00 0.00 4,160 Salalah Mills Co 1.48 0.00 - Bank Of Sharjah 1.45 2.11 272,500 Aldrees Petroleum And Transp 36.12 0.42 413,407 Hayat Communications 95.00 2.15 88,160 Salalah Beach Resort Saog 1.38 0.00 - Axa Green Crescent Insurance 0.85 0.00 - Saudi Vitrified Clay Pipe Co 61.49 1.20 260,960 Kuwait Packing Materials Mfg 0.00 0.00 - Sahara Hospitality 2.50 0.00 - Arkan Building Materials Co 1.00 -3.85 21,392,301 Jarir Marketing Co 122.63 1.95 65,827 Soor Fuel Marketing Co Ksc 138.00 6.15 214,586 Renaissance Services Saog 0.21 0.00 156,000 Alkhaleej Investment 1.18 0.00 - Arab National Bank 20.50 2.71 676,396 Alargan International Real 200.00 0.00 100 Raysut Cement Co 1.45 0.00 31,000 Aldar Properties Pjsc 2.70 -0.74 13,869,683 Yanbu National Petrochemical 56.21 1.35 454,519 Burgan Co For Well Drilling 99.00 0.00 3,045 Port Service Corporation 0.25 -0.79 637,403 Al Wathba National Insurance 12.75 0.00 - Arabian Cement 38.13 -0.10 664,705 Kuwait Resorts Co Kscc 90.00 0.00 4,601,365 Phoenix Power Co Saoc 0.15 2.04 10,794,363 Al Khazna Insurance Co 0.43 0.00 - Middle East Specialized Cabl 8.52 -0.70 2,415,166 Oula Fuel Marketing Co 140.00 4.48 126,291 Packaging Co Ltd 2.21 0.00 - Al Fujairah National Insuran 300.00 0.00 - Al Khaleej Training And Educ 19.07 5.77 1,371,596 Palms Agro Production Co 100.00 0.00 9,000 Ooredoo 0.62 0.65 172,000 Al Dhafra Insurance Co. P.S. 5.00 0.00 - Al Sagr Co-Operative Insuran 38.89 0.54 792,228 Ikarus Petroleum Industries 49.00 -1.01 2,374,151 Ominvest 0.52 0.39 550,000 Al Buhaira National Insuranc 2.35 0.00 - Trade Union Cooperative Insu 19.03 4.96 2,369,243 Mubarrad Transport Co 86.00 0.00 2,009,100 Oman United Insurance Co 0.36 0.00 330,000 Al Ain Ahlia Ins. Co. 55.00 0.00 - Arabia Insurance Cooperative 12.02 0.75 1,245,574 Al Mowasat Health Care Co 275.00 10.00 24,377 Oman Textile Holding Co Saog 0.31 0.00 - Agthia Group Pjsc 7.00 0.00 261,925 Saudi Chemical Company 38.64 0.91 257,600 Shuaiba Industrial Co 290.00 -6.45 3,985,038 Oman Telecommunications Co 1.44 -0.35 457,839 Abu Dhabi Ship Building Co 2.80 -9.68 13,700 Fawaz Abdulaziz Alhokair & C 31.36 1.52 831,949 Hits Telecom Holding 68.00 -4.23 35,985,313 Oman Refreshment Co 2.16 0.00 - Abu Dhabi Natl Co For Buildi 0.64 -3.03 2,105 Bupa Arabia For Cooperative 126.18 -0.52 140,030 First Takaful Insurance Co 50.00 0.00 467,100 Oman Packaging 0.30 0.00 - Abu Dhabi National Takaful C 4.50 0.00 4,999,844 Wafa Insurance 20.81 4.94 6,854,169 Kuwaiti Syrian Holding Co 52.00 0.00 5,219,152 Oman Orix Leasing Co. 0.13 2.40 9,120 Abu Dhabi National Insurance 2.58 0.00 - Jabal Omar Development Co 71.14 1.19 539,317 National Cleaning Company 56.00 -6.67 8,884,120 Oman Oil Marketing Company 1.86 0.00 - Abu Dhabi National Hotels 3.10 3.33 100 Saudi Basic Industries Corp 94.05 0.71 4,409,505 Eyas For High & Technical Ed 0.00 0.00 - Oman National Engineering An 0.16 0.00 - Abu Dhabi National Energy Co 0.53 -1.85 11,702,904 Saudi Kayan Petrochemical Co 8.57 1.66 10,572,292 United Real Estate Company 108.00 -1.82 380,401 Oman Investment & Finance 0.22 0.00 868,174 Abu Dhabi Islamic Bank 3.88 0.78 1,629,012 Etihad Atheeb Telecommunicat 2.94 1.73 508,447 Agility 730.00 5.80 10,369,371 Oman Intl Marketing 0.52 0.00 - Co For Cooperative Insurance 111.80 1.09 56,456 Kuwait & Middle East Fin Inv 34.50 -1.43 1,450,002 Oman Hotels & Tourism Co 0.40 0.00 - National Petrochemical Co 21.35 2.74 439,024 Fujairah Cement Industries 87.00 -2.25 2,691,166 Oman Foods International 0.00 0.00 - Gulf Union Cooperative Insur 13.16 -0.38 1,608,226 Livestock Transport & Tradng 242.00 3.42 20,000 Oman Flour Mills 0.76 0.00 - BAHRAIN Gulf General Cooperative Ins 17.03 3.90 1,800,649 International Resorts Co 45.00 3.45 3,151,259 Oman Fisheries Co 0.10 5.26 5,695,567 Basic Chemical Industries 25.75 2.22 1,060,034 National Industries Grp Hold 150.00 0.00 12,481,482 Oman Fiber Optics 4.57 0.00 - Company Name Lt Price % Chg Volume Saudi Steel Pipe Co 2.74 Marine Services Co Ksc -1.67 Oman Europe Foods Industries 1.00 0.00 - 19.13 235,466 59.00 765,170 Zain Bahrain Bscc 0.10 0.00 211,558 Buruj Cooperative Insurance 0.90 Warba Insurance Co 1.92 Oman Education & Training In 0.13 0.00 - 30.14 4,747,353 106.00 31,069 United Paper Industries Bsc 0.30 0.00 1,483,887 Mouwasat Medical Services Co 0.61 Kuwait United Poultry Co 0.00 Oman Chromite 3.64 0.00 - 137.55 32,394 182.00 29,660 United Gulf Investment Corp 0.00 0.00 - Southern Province Cement Co 8.01 First Dubai Real Estate Deve 1.30 Oman Chlorine 0.49 0.00 - 73.99 45,872 78.00 4,489,436 United Gulf Bank 0.33 -5.71 5,000 Maadaniyah 1.38 Al Arabi Group Holding Co 0.00 Oman Ceramic Com 0.42 0.00 - 24.18 462,691 75.00 1,453,090 Trafco Group Bsc 0.23 0.00 147,746 Yamama Cement Co 2.71 Kuwait Hotels Sak 0.00 Oman Cement Co 0.49 0.00 - 19.68 283,915 0.00 - Takaful International Co 0.00 0.00 - Jazan Development Co 1.06 Mobile Telecommunications Co -2.04 Oman Cables Industry 1.57 0.00 1,000 11.39 893,024 480.00 13,558,118 Taib Bank -$Us 0.00 0.00 - Zamil Industrial Investment 1.54 Al Safat Real Estate Co 0.00 Oman Agricultural Dev 0.00 0.00 - 31.01 234,561 0.00 - Seef Properties 0.21 0.95 25,000 Alujain Corporation (Alco) -0.05 Tamdeen Real Estate Co Ksc 0.00 Oman & Emirates Inv(Om)50% 0.15 1.34 44,500 18.99 2,874,870 450.00 2,010 Securities & Investment Co 0.00 0.00 - Tabuk Agricultural Developme 0.98 Al Mudon Intl Real Estate Co 6.56 Natl Aluminium Products 0.18 0.00 - 11.30 2,072,973 65.00 11,398,956 National Hotels Co 0.00 0.00 - United Co-Operative Assuranc 0.06 Kuwait Cement Co Ksc -1.14 National Securities 0.10 0.00 - 15.44 1,501,968 435.00 175,000 National Bank Of Bahrain Bsc 0.71 0.00 13,896 Qassim Cement/The 0.57 Sharjah Cement & Indus Devel 0.00 National Real Estate Develop 5.00 0.00 - 59.84 55,231 88.00 200,000 Nass Corp Bsc 0.14 1.43 336,000 Saudi Advanced Industries -0.91 Kuwait Portland Cement Co 0.00 National Pharmaceutical 0.11 0.00 - 14.19 2,562,400 980.00 22,000 Khaleeji Commercial Bank 0.12 4.50 1,262,718 Kingdom Holding Co 0.45 Educational Holding Group 0.00 National Mineral Water 0.05 0.00 - 11.20 86,206 206.00 43,350 Ithmaar Holding Bsc 0.21 7.89 302,000 Saudi Arabian Amiantit Co 0.56 Bahrain Kuwait Insurance 0.00 National Hospitality Institu 0.00 0.00 - 7.14 805,698 0.00 - Investcorp Bank -$Us 8.10 0.00 140,000 Al Jouf Agriculture Developm 0.09 Asiya Capital Investments Co -3.26 National Gas Co 0.56 -1.75 9,035 35.20 167,100 44.50 870,453 Inovest Co Bsc 0.28 1.82 33,248 Saudi Industrial Development 2.76 Kuwait Investment Co -1.92 National Finance Co 0.14 0.00 - 10.41 2,056,626 102.00 726,749 Gulf Monetary Group 0.00 0.00 - Bishah Agriculture 0.00 Burgan Bank 0.00 National Detergent Co Saog 0.70 0.00 - 69.75 - 340.00 4,174,121 Gulf Hotel Group B.S.C 0.63 0.00 7,000 Riyad Bank 0.93 Kuwait Projects Co Holdings 1.85 National Biscuit Industries 3.75 0.00 - 10.80 947,450 550.00 3,518,200 Gfh Financial Group Bsc 0.64 9.48 7,950 The National Agriculture Dev 1.03 Al Madina For Finance And In 0.00 National Bank Of Oman Saog 0.24 0.00 1,065,200 22.50 181,205 60.00 21,610,636 Esterad Investment Co B.S.C. 0.14 0.00 13,000 Halwani Bros Co 0.71 Kuwait Insurance Co 3.45 Muscat Thread Mills Co 0.11 0.00 - 56.72 20,841 300.00 704 Delmon Poultry Co 0.33 0.00 10,000 Arabian Pipes Co 2.26 Al Masaken Intl Real Estate -3.23 Muscat National Holding 1.79 0.00 - 17.65 844,887 90.00 713,349 Bmmi Bsc 0.82 0.00 35,000 Eastern Province Cement Co 1.01 Intl Financial Advisors 5.88 Muscat Gases Company Saog 0.61 0.00 - 30.06 52,091 54.00 17,672,140 Bmb Investment Bank 0.00 0.00 - Al Qassim Agricultural Co 1.60 First Investment Co Kscc -3.03 Muscat Finance 0.13 0.00 - 8.89 958,786 64.00 18,062,183 Bbk Bsc 0.38 0.00 9,000 Filing & Packing Materials M 1.30 Al Mal In 0.00 Majan Glass Company 0.19 0.00 - 36.72 516,449 vestment Company 29.00 76,052,848 Bankmuscat Saog 0.00 0.00 - Saudi Cable Co 0.00 0.00 Majan College 0.51 0.00 - 5.75 - Bayan Investment Co Kscc 61.00 16,793,358 Banader Hotels Co 0.07 0.00 212,910 Tihama Advertising & Public -0.79 0.00 Hsbc Bank Oman 0.13 2.36 27,300 26.38 1,080,635 Egypt Kuwait Holding Co Sae 202.00 68,262 Bahrain Tourism Co ` 0.00 - Saudi Investment Bank/The 0.35 -1.72 Hotels Management Co Interna 1.25 0.00 - 14.36 206,810 Coast Investment Development 57.00 24,062,520 Bahrain Telecom Co 0.28 0.00 220,108 Astra Industrial Group 2.22 -3.33 Gulf Stone 0.11 0.00 - 17.04 1,363,175 Privatization Holding Compan 58.00 11,098,886 Bahrain Ship Repair & Engin 0.00 0.00 - Saudi Public Transport Co 1.34 0.00 Gulf Plastic Industries Co 0.00 0.00 - 15.16 2,399,529 Kuwait Medical Services Co 0.00 - Bahrain National Holding 0.00 0.00 - Taiba Holding Co 1.03 0.00 Gulf Mushroom Company 0.34 0.00 - 39.41 281,885 Injazzat Real State Company 85.00 1,113,334 Bahrain Kuwait Insurance 0.00 0.00 - Saudi Industrial Export Co 1.56 0.00 Gulf Investments Services 0.12 2.61 220,700 35.81 542,013 Kuwait Cable Vision Sak 47.50 3,500 Bahrain Islamic Bank 0.13 0.00 170,000 Saudi Real Estate Co 0.76 9.09 Gulf Invest. Serv. Pref-Shar 0.11 0.00 - 25.04 305,760 Sanam Real Estate Co Kscc 54.00 608,549 Bahrain Flour Mills Co 0.00 0.00 - Saudia Dairy & Foodstuff Co 1.09 8.47 Gulf International Chemicals 0.29 0.00 - 117.76 89,195 Ithmaar Holding Bsc 64.00 6,798,884 Bahrain Family Leisure Co 0.08 0.00 200,000 National Shipping Co Of/The 1.18 0.00 Gulf Hotels (Oman) Co Ltd 10.50 0.00 - 39.35 841,420 Aviation Lease And Finance C 248.00 198,250 Bahrain Duty Free Complex 0.80 0.00 4,380 Methanol Chemicals Co 1.55 3.26 Global Fin Investment 0.17 -1.76 1,502,000 7.19 2,276,846 Arzan Financial Group For Fi 47.50 4,195,507 Bahrain Commercial Facilitie 0.65 -0.77 95,000 Ace Arabia Cooperative Insur 0.85 0.00 Galfar Engineering&Contract 0.09 7.23 1,758,730 46.02 313,017 Ajwan Gulf Real Estate Co 72.00 7,769,004 Bahrain Cinema Co 1.29 0.00 5,591 Mobile Telecommunications Co -0.60 -1.61 Galfar Engineering -Prefer 0.39 0.00 - 8.30 4,930,457 Kuwait Business Town Real Es 61.00 17,747,515 Bahrain Car Park Co 0.15 0.00 - Saudi Arabian Coop Ins Co 4.12 0.00 Financial Services Co. 0.17 0.00 - 22.50 2,037,806 Future Kid Entertainment And 126.00 1,880 Arab Insurance Group(Bsc)-$ 0.34 0.00 54,879 Axa Cooperative Insurance 2.90 5.49 Financial Corp/The 0.10 0.00 - 18.10 1,783,974 Specialities Group Holding C 96.00 3,103,500 Arab Banking Corp Bsc-$Us 0.36 0.00 347,500 Alsorayai Group -2.37 -2.86 Dhofar University 1.49 0.00 - 14.03 4,694,818 Abyaar Real Eastate Developm 34.00 85,828,381 Aluminium Bahrain Bsc 0.28 0.00 165,000 Weqaya For Takaful Insurance 0.00 0.00 Dhofar Tourism 0.49 0.00 - 19.39 - Dar Al Thuraya Real Estate C 0.00 - Albaraka Banking Group 0.51 0.00 30,000 Bank Albilad 0.77 0.00 Dhofar Poultry 0.18 0.00 - 19.60 995,262 Al-Dar National Real Estate 0.00 - Al-Salam Bank 0.12 -1.69 400,000 Al-Hassan G.I. Shaker Co 2.00 -1.20 Dhofar Intl Development 0.36 0.00 - 16.31 1,423,103 Kgl Logistics Company Kscc 82.00 15,520,239 Al-Ahlia Insurance Co 0.00 0.00 - Wataniya Insurance Co 2.30 -1.92 Dhofar Insurance 0.21 0.00 - 28.03 1,117,333 Combined Group Contracting 510.00 74,800 Ahli United Bank B.S.C 0.72 2.14 1,988,419 Abdullah Al Othaim Markets 97.46 0.57 35,549 Zima Holding Co Ksc 60.00 -4.76 7,330,627 Dhofar Fisheries & Food Indu 1.28 0.00 - Hail Cement 11.25 2.27 475,043 Qurain Holding Co 0.00 0.00 - Dhofar Cattlefeed 0.22 0.00 - LATEST MARKET CLOSING FIGURES Gulf Times Tuesday, January 24, 2017 11 BUSINESS

DJIA WORLD INDICES Company Name Lt Price % Chg Volume Indices Lt Price Change Dow Jones Indus. Avg 19,764.19 -63.06 Apple Inc 119.91 -0.08 8,904,296 S&P 500 Index 2,261.67 -9.64 Microsoft Corp 62.75 0.02 5,594,055 Nasdaq Composite Index 5,536.27 -19.06 Exxon Mobil Corp 85.06 -0.97 3,105,256 S&P/Tsx Composite Index 15,463.80 -84.08 Johnson & Johnson 114.18 0.03 1,820,022 Mexico Bolsa Index 46,692.36 +360.76 General Electric Co 30.01 -1.72 13,416,229 Brazil Bovespa Stock Idx 65,159.26 +638.08 Jpmorgan Chase & Co 83.66 -0.01 3,888,417 Ftse 100 Index 7,137.74 -60.70 Procter & Gamble Co/The 86.92 -0.61 3,184,809 Cac 40 Index 4,807.25 -43.42 Wal-Mart Stores Inc 66.81 -0.55 2,042,905 Dax Index 11,521.18 -108.95 Verizon Communications Inc 52.51 -0.40 3,755,331 Ibex 35 Tr 9,282.10 -98.00 Pfizer Inc 31.52 -0.79 7,007,909 Nikkei 225 18,891.03 -246.88 Visa Inc-Class A Shares 81.70 -0.17 1,720,888 Japan Topix 1,514.63 -18.83 Chevron Corp 115.34 -0.23 1,318,151 Hang Seng Index 22,898.52 +12.61 Coca-Cola Co/The 41.38 0.15 3,144,539 All Ordinaries Indx 5,668.01 -41.69 Intel Corp 36.69 -0.68 7,401,487 Nzx All Index 1,317.17 +3.51 Merck & Co. Inc. 62.04 -0.78 3,335,215 Bse Sensex 30 Index 27,117.34 +82.84 Cisco Systems Inc 30.12 0.07 4,610,118 Nse S&P Cnx Nifty Index 8,391.50 +42.15 Home Depot Inc 136.50 0.66 1,593,890 Straits Times Index 3,025.48 +14.40 Intl Business Machines Corp 170.63 0.05 1,848,222 Karachi All Share Index 34,092.17 +287.20 Walt Disney Co/The 107.04 -0.57 1,445,945 Jakarta Composite Index 5,250.97 -3.34 Unitedhealth Group Inc 158.13 -0.33 782,180 3M Co 178.00 -0.27 437,670 Mcdonald’s Corp 120.91 -1.10 3,197,099 Nike Inc -Cl B 53.04 -0.30 1,948,740 TOKYO United Technologies Corp 110.37 -0.38 593,619 Boeing Co/The 158.30 -0.77 1,001,851 Company Name Lt Price % Chg Goldman Sachs Group Inc 231.74 -0.20 1,153,574 Rakuten Inc 1,117.00 -1.72 5,057,800 American Express Co 75.90 -0.39 1,417,697 Kyocera Corp 5,697.00 -1.23 1,425,300 Du Pont (E.I.) De Nemours 72.80 -0.31 421,090 Nissan Motor Co Ltd 1,135.00 -1.35 11,042,200 Caterpillar Inc 94.11 -0.50 827,994 Hitachi Ltd 649.00 -1.46 12,782,000 Travelers Cos Inc/The 117.89 -0.11 294,377 Takeda Pharmaceutical Co Ltd 4,707.00 -0.15 2,905,900 Jfe Holdings Inc 1,944.00 -0.56 2,724,900 Ana Holdings Inc 324.50 -0.55 11,323,000 FTSE 100 Mitsubishi Electric Corp 1,672.50 -1.15 4,986,100 Sumitomo Mitsui Financial Gr 4,456.00 -0.69 5,370,500 Company Name Lt Price % Chg Volume Honda Motor Co Ltd 3,432.00 -1.72 4,593,100 Fast Retailing Co Ltd 36,340.00 -2.42 764,400 Wpp Plc 1,847.00 0.22 3,481,847 Ms&Ad Insurance Group Holdin 3,713.00 -2.19 1,232,500 Worldpay Group Plc 284.70 -0.35 1,353,493 Kubota Corp 1,780.00 -1.39 4,176,100 Wolseley Plc 4,910.00 -0.55 331,714 Seven & I Holdings Co Ltd 4,497.00 -3.23 2,921,100 Wm Morrison Supermarkets 240.00 0.00 5,940,752 Inpex Corp 1,139.50 -1.17 3,346,100 Whitbread Plc 4,097.00 -0.56 226,524 Traders at the Frankfurt Stock Exchange. The DAX 30 index dropped 0.7% to 11,545.75 points yesterday. Resona Holdings Inc 607.30 -0.75 8,946,100 Vodafone Group Plc 202.95 -1.50 31,445,535 Asahi Kasei Corp 1,054.50 1.88 6,109,000 United Utilities Group Plc 900.00 0.56 1,385,103 Kirin Holdings Co Ltd 1,850.00 -2.37 2,685,100 Unilever Plc 3,340.50 -0.61 1,887,541 Marubeni Corp 683.70 -0.57 6,695,500 Tui Ag-Di 1,148.00 1.41 520,784 Mitsubishi Ufj Financial Gro 725.80 -0.72 57,357,700 Travis Perkins Plc 1,460.00 1.11 685,644 Mitsubishi Chemical Holdings 760.80 -1.34 4,066,300 Tesco Plc 195.40 -1.46 14,352,283 Fanuc Corp 21,350.00 -0.02 1,222,600 Taylor Wimpey Plc 168.60 0.60 12,542,821 Daito Trust Construct Co Ltd 16,550.00 -0.69 358,700 Europe stock markets fall on Standard Life Plc 349.00 -0.60 3,036,894 Otsuka Holdings Co Ltd 5,159.00 -4.37 19,821,500 Standard Chartered Plc 746.20 -0.89 3,267,863 Oriental Land Co Ltd 6,303.00 -1.55 549,000 St James’s Place Plc 1,056.00 -0.38 351,983 Sekisui House Ltd 1,880.50 -1.78 3,952,900 Sse Plc 1,501.00 -0.33 1,717,207 Secom Co Ltd 8,183.00 -2.20 871,500 Smith & Nephew Plc 1,193.00 -1.00 1,187,341 Trump’s inauguration speech Tokio Marine Holdings Inc 4,737.00 -1.56 2,481,000 Sky Plc 1,000.00 0.10 2,920,213 Aeon Co Ltd 1,634.00 -2.04 2,657,100 Shire Plc 4,310.50 -1.88 1,256,138 Mitsui & Co Ltd 1,641.00 -0.49 5,086,000 Severn Trent Plc 2,215.00 0.23 484,291 inauguration address,” his note to cli- “Sellers swiftly exploited the lack of Kao Corp 5,302.00 -1.69 2,102,900 AFP Schroders Plc 2,981.00 -0.20 163,594 ents added. clarity in the speech regarding the pro- Dai-Ichi Life Holdings Inc 2,029.00 -1.70 6,403,600 London Sainsbury (J) Plc 259.00 -1.41 5,091,834 Mazda Motor Corp 1,770.00 -2.37 5,280,600 There was, however, “no clear sense posed fi scal stimulus measures,” said Sage Group Plc/The 632.00 -1.79 1,611,644 Komatsu Ltd 2,736.00 -0.71 4,048,400 of capitulation in markets yet”. Lukman Otunuga, an analyst at FXTM, Sabmiller Plc 0.00 0.00 - West Japan Railway Co 7,250.00 -0.93 539,600 he dollar retreated yesterday, In foreign exchange, the euro hit a predicting more trouble ahead for the Rsa Insurance Group Plc 560.00 -0.97 969,595 Murata Manufacturing Co Ltd 14,900.00 -1.29 536,300 Royal Mail Plc 410.80 -0.77 3,767,889 with warnings of wild volatil- six-week intra-day high against the greenback. Kansai Electric Power Co Inc 1,305.50 -1.29 1,485,800 Royal Dutch Shell Plc-B Shs 2,279.00 -1.60 2,696,003 ity ahead, as Donald Trump dollar at $1.0755. “The growing threat of Donald Denso Corp 4,935.00 -2.08 1,562,900 T Royal Dutch Shell Plc-A Shs 2,184.50 -1.73 2,602,767 began his presidency by attacking glo- “The greenback seems to have been Trump’s proposed fi scal stimulus fail- Sompo Holdings Inc 4,005.00 -3.35 1,057,300 Royal Bank Of Scotland Group 215.40 -2.49 9,756,016 Daiwa House Industry Co Ltd 3,073.00 -1.95 1,729,200 bal trade deals and promising to put shaken both by the apocalyptic tone ing to keep up with market expecta- Rolls-Royce Holdings Plc 689.00 0.07 2,755,778 Jx Holdings Inc 522.50 -0.48 11,521,700 America fi rst. set by Trump at his inauguration, and tions may ensure dollar weakness be- Rio Tinto Plc 3,467.00 0.49 2,174,758 Nippon Steel & Sumitomo Meta 2,688.50 -0.96 2,363,600 With trading floors ravaged by the global protests that greeted the comes a recurrent theme in the short Rexam Plc 0.00 0.00 - Suzuki Motor Corp 4,239.00 -1.19 1,354,600 Relx Plc 1,418.00 -0.49 1,404,818 uncertainty over the US leader’s former Apprentice host’s ascension term,” he said. Nippon Telegraph & Telephone 4,986.00 -2.25 4,776,900 Reckitt Benckiser Group Plc 6,850.00 0.37 1,033,766 plans, many key stock markets to the highest offi ce in the land,” said The US unit was down more than Ajinomoto Co Inc 2,206.00 -2.56 2,436,000 Randgold Resources Ltd 6,805.00 1.34 473,930 also fell, with Wall Street, Lon- Spreadex analyst Connor Campbell. 4% on the yen from the highs touched Mitsui Fudosan Co Ltd 2,614.00 -1.23 3,646,000 Prudential Plc 1,534.00 -0.94 2,428,508 don, Frankfurt, Paris and Tokyo all Trump’s inauguration speech on late in December. It was also well down Ono Pharmaceutical Co Ltd 2,320.00 -0.32 8,536,900 Provident Financial Plc 2,775.00 -0.25 122,812 Daikin Industries Ltd 11,240.00 -0.88 998,700 lower. Londn’s FTSE 100 lost 0.7% Friday continued his campaign rheto- against the euro and even against the Persimmon Plc 1,943.00 0.57 648,313 Bank Of Yokohama Ltd/The 0.00 0.00 - at 7,151.18 points yesterday. Frank- ric, saying “every decision on trade, on pound despite concerns about Britain’s Pearson Plc 591.50 0.42 5,672,906 Toray Industries Inc 966.40 -1.19 6,305,000 furt’s DAX 30 was down 0.7% at taxes, on immigration, on foreign af- exit from the European Union. Paddy Power Betfair Plc 8,320.00 -4.09 218,144 Astellas Pharma Inc 1,530.50 -0.87 7,564,600 Old Mutual Plc 207.80 -0.29 4,773,661 11,545.75. fairs will be made to benefi t American “I suspect we’re entering extremely Bridgestone Corp 4,052.00 -1.70 2,644,800 Next Plc 3,909.00 -0.28 421,746 “America fi rst, markets second,” workers and American families”. volatile times for the dollar,” Stephen Sony Corp 3,432.00 -1.15 4,635,800 National Grid Plc 934.10 -0.42 5,877,076 said LCG analyst Jasper Lawler of the On Sunday he vowed to start rene- Innes, senior trader at OANDA, said in Hoya Corp 4,604.00 -2.00 1,206,100 Mondi Plc 1,785.00 -0.22 1,495,205 day’s sentiment on trading fl oors. gotiating the North American Free- a note. Sumitomo Mitsui Trust Holdin 4,191.00 -1.32 1,165,800 Merlin Entertainment 479.80 -0.33 978,560 Japan Tobacco Inc 3,737.00 -0.72 3,125,900 “Attempts to break out into new Trade Agreement during upcoming Trump last week said the greenback Mediclinic International Plc 784.50 -0.63 341,013 Osaka Gas Co Ltd 437.00 -1.27 4,857,000 highs for the year have been temporar- talks with Mexico and Canada. was too strong against China’s yuan Marks & Spencer Group Plc 335.60 -0.47 4,124,998 Sumitomo Electric Industries 1,636.00 -2.07 2,018,100 ily shelved after Donald Trump opted Doubts about his spending promises and claimed this was “killing” the US London Stock Exchange Group 3,068.00 0.62 732,586 Daiwa Securities Group Inc 716.90 -1.40 5,809,000 Lloyds Banking Group Plc 64.03 -1.60 93,190,428 for a protectionist, anti-establishment also took their toll on the US currency. economy. Softbank Group Corp 8,380.00 -0.83 7,149,800 Legal & General Group Plc 237.30 -0.50 5,559,772 Mizuho Financial Group Inc 211.20 -0.75 104,602,400 Land Securities Group Plc 999.00 1.47 1,223,435 Nomura Holdings Inc 694.70 -0.94 14,438,200 Kingfisher Plc 342.80 -0.23 3,165,846 HONG KONG HONG KONG Daiichi Sankyo Co Ltd 2,463.50 -1.38 2,679,300 Johnson Matthey Plc 3,169.00 0.86 1,007,023 Fuji Heavy Industries Ltd 4,750.00 -1.39 2,868,800 Itv Plc 201.80 0.15 4,979,615 Ntt Docomo Inc 2,717.50 -1.36 3,186,400 Company Name Lt Price % Chg Volume Company Name Lt Price % Chg Volume Intu Properties Plc 271.80 0.18 2,142,680 Sumitomo Realty & Developmen 3,057.00 -2.08 2,215,000 Intl Consolidated Airline-Di 491.80 -0.32 11,450,542 Aluminum Corp Of China Ltd-H 3.59 4.06 45,724,767 Hong Kong & China Gas 14.48 0.00 6,922,362 Sumitomo Metal Mining Co Ltd 1,498.50 -1.19 3,252,000 Intertek Group Plc 3,427.00 -0.87 242,498 Bank Of East Asia Ltd 31.60 0.32 1,778,758 Hong Kong Exchanges & Clear 185.20 -0.16 3,109,796 Orix Corp 1,783.00 -3.36 6,897,500 Intercontinental Hotels Grou 3,707.00 -1.15 355,602 Bank Of China Ltd-H 3.52 0.28 150,039,450 Hsbc Holdings Plc 64.50 0.00 15,151,262 Asahi Group Holdings Ltd 3,677.00 -1.02 1,259,400 Inmarsat Plc 637.50 -2.82 2,104,770 Bank Of Communications Co-H 5.71 -0.17 11,135,814 Hutchison Whampoa Ltd 0.00 0.00 - Keyence Corp 42,010.00 1.97 482,800 Informa Plc 663.50 -0.38 819,555 Belle International Holdings 4.71 0.00 8,134,139 Ind & Comm Bk Of China-H 4.73 0.42 127,937,513 Nidec Corp 10,800.00 0.19 1,298,400 Imperial Brands Plc 3,576.00 -0.69 1,107,141 Boc Hong Kong Holdings Ltd 30.40 0.00 11,503,645 Li & Fung Ltd 3.34 -1.76 37,841,406 Isuzu Motors Ltd 1,546.00 -2.28 2,384,000 Hsbc Holdings Plc 667.90 -1.55 16,156,442 Cathay Pacific Airways 10.40 -0.76 5,394,740 Mtr Corp 38.75 0.26 1,574,187 Unicharm Corp 2,490.00 -0.82 1,353,300 Hargreaves Lansdown Plc 1,321.00 0.84 379,660 Ck Hutchison Holdings Ltd 91.40 -0.33 5,110,424 New World Development 8.86 -0.45 10,946,752 Shin-Etsu Chemical Co Ltd 9,607.00 -0.50 2,012,800 Hammerson Plc 549.50 1.01 1,674,793 China Coal Energy Co-H 3.87 1.84 14,276,981 Petrochina Co Ltd-H 6.08 -0.82 89,049,649 Smc Corp 27,210.00 -0.91 608,300 Glencore Plc 320.90 0.80 41,603,385 China Construction Bank-H 5.80 0.17 180,590,178 Ping An Insurance Group Co-H 40.30 -0.49 9,332,218 Mitsubishi Corp 2,554.50 -0.12 4,330,900 Glaxosmithkline Plc 1,523.00 -1.52 4,812,198 China Life Insurance Co-H 21.30 -0.47 21,612,273 Power Assets Holdings Ltd 71.85 0.07 2,601,574 Nintendo Co Ltd 23,510.00 -0.51 1,208,300 Gkn Plc 339.80 -0.93 2,533,107 China Merchants Port Holding 20.80 2.46 3,748,874 Sino Land Co 12.60 0.48 4,042,418 Eisai Co Ltd 6,397.00 -1.22 1,002,700 Fresnillo Plc 1,449.00 3.35 658,382 China Mobile Ltd 86.10 -0.35 10,776,378 Sun Hung Kai Properties 104.60 -0.38 2,634,923 Sumitomo Corp 1,391.00 -0.86 4,253,800 Experian Plc 1,535.00 -0.26 1,089,690 China Overseas Land & Invest 22.45 0.67 17,243,415 Swire Pacific Ltd - Cl A 77.05 -1.47 1,492,478 Canon Inc 3,290.00 -0.60 2,993,500 Easyjet Plc 1,073.00 2.78 3,038,946 China Petroleum & Chemical-H 6.10 0.49 66,545,911 Tencent Holdings Ltd 197.80 0.05 7,059,398 Japan Airlines Co Ltd 3,639.00 -1.03 1,869,900 Dixons Carphone Plc 338.10 -2.00 3,329,647 China Resources Beer Holdin 15.12 2.86 6,632,852 Wharf Holdings Ltd 57.40 0.70 3,151,210 Direct Line Insurance Group 346.10 0.23 2,511,660 China Resources Land Ltd 18.78 0.11 6,822,028 China Resources Power Holdin 13.52 0.45 2,335,244 Diageo Plc 2,143.00 -0.42 2,323,487 SENSEX Dcc Plc 6,045.00 -0.33 106,311 China Shenhua Energy Co-H 15.88 1.02 15,540,275 GCC INDICES Crh Plc 2,819.00 -0.60 652,946 China Unicom Hong Kong Ltd 8.83 0.23 22,400,180 Compass Group Plc 1,410.00 0.14 2,036,275 Company Name Lt Price % Chg Citic Ltd 11.38 0.53 4,867,039 Indices Lt Price Change Coca-Cola Hbc Ag-Di 1,812.00 -0.49 227,543 Clp Holdings Ltd 74.90 0.00 2,044,974 Doha Securities Market Zee Entertainment Enterprise 482.95 3.38 2,978,614 10,950.34 -9.48 Centrica Plc 225.80 -0.96 12,971,114 Cnooc Ltd 9.73 -0.71 71,761,661 Saudi Tadawul Yes Bank Ltd 1,382.95 1.78 3,317,852 7,013.18 +114.25 Carnival Plc 4,114.00 -1.30 221,788 Cosco Shipping Ports Ltd 7.69 0.00 3,567,694 Kuwait Stocks Exchange Wipro Ltd 479.75 0.39 1,333,201 6,679.62 +37.84 Capita Plc 519.50 1.17 2,133,414 Esprit Holdings Ltd 6.06 -0.16 1,289,526 Bahrain Stock Exchage Vedanta Ltd 245.25 2.81 8,199,498 1,274.36 +14.82 Burberry Group Plc 1,648.00 -0.24 626,305 Fih Mobile Ltd 2.47 -0.40 4,721,627 Oman Stock Market Ultratech Cement Ltd 3,527.80 1.62 433,931 5,770.06 +19.15 Bunzl Plc 2,126.00 -0.47 370,222 Hang Lung Properties Ltd 18.36 0.88 6,749,679 Abudhabi Stock Market Tech Mahindra Ltd 469.70 0.22 1,483,945 4,657.57 -41.21 Bt Group Plc 382.00 -1.33 16,370,920 Hang Seng Bank Ltd 154.20 1.11 1,178,823 Dubai Financial Market Tata Steel Ltd 461.80 1.61 4,883,701 3,707.45 -9.53 British Land Co Plc 595.00 0.76 3,463,027 Henderson Land Development 42.40 -0.12 921,678 Tata Power Co Ltd 77.55 0.00 4,558,436 British American Tobacco Plc 4,754.50 -0.12 3,288,851 Tata Motors Ltd 532.70 1.82 4,473,190 Bp Plc 485.95 -2.49 16,493,213 Tata Consultancy Svcs Ltd 2,306.70 0.93 1,244,903 Bhp Billiton Plc 1,439.00 -0.07 4,270,584 Sun Pharmaceutical Indus 633.65 -1.23 3,181,934 Berkeley Group Holdings/The 2,848.00 2.19 469,012 “Information contained herein is believed to be reliable and had been obtained from sources believed to be reliable. The State Bank Of India 254.15 1.23 10,481,145 Barratt Developments Plc 487.70 -1.40 4,708,976 Reliance Industries Ltd 1,015.90 -0.97 3,332,079 accuracy and completeness cannot be guaranteed. This publication is for providing information only and is not intended Barclays Plc 223.45 -1.74 16,980,214 Punjab National Bank 129.75 1.41 5,708,850 as an off er or solicitation for a purchase or sale of any of the financial instruments mentioned. Gulf Times and Doha Bank Bae Systems Plc 599.00 -0.25 2,497,025 Power Grid Corp Of India Ltd 200.20 0.40 4,207,769 or any of their employees shall not be held accountable and will not accept any losses or liabilities for actions based on Babcock Intl Group Plc 932.00 -0.37 763,630 Oil & Natural Gas Corp Ltd 199.90 1.32 5,712,429 this data.” Aviva Plc 468.70 -0.97 5,238,514 Ntpc Ltd 169.60 -0.50 3,885,587 Astrazeneca Plc 4,250.50 -1.57 2,685,966 Maruti Suzuki India Ltd 5,700.00 0.55 313,542 Associated British Foods Plc 2,513.00 -0.36 1,127,262 Mahindra & Mahindra Ltd 1,188.90 -0.26 573,688 Ashtead Group Plc 1,561.00 -0.89 1,415,502 Lupin Ltd 1,483.25 1.22 868,021 CURRENCIES Arm Holdings Plc 0.00 0.00 - Larsen & Toubro Ltd 1,393.55 -1.50 2,484,353 DOLLAR QATAR RIYAL SAUDI RIYAL UAE DIRHAMS BAHRAINI KUWAITI Antofagasta Plc 791.00 3.81 4,389,173 DINAR DINAR Kotak Mahindra Bank Ltd 732.75 1.34 1,751,654 Anglo American Plc 1,311.00 1.67 3,763,709 Itc Ltd 259.65 1.66 11,306,568 Admiral Group Plc 1,746.00 0.75 820,280 Infosys Ltd 952.70 0.42 4,151,503 3I Group Plc 702.50 -0.78 716,310 Indusind Bank Ltd 1,231.25 0.90 2,007,159 #N/A 0.00 0.00 - Idea Cellular Ltd 73.35 2.59 17,178,099 Icici Bank Ltd 257.55 -2.24 40,853,868 TOKYO Housing Development Finance 1,259.75 1.81 2,301,733 Hindustan Unilever Ltd 862.40 0.23 1,724,882 Hindalco Industries Ltd 181.70 5.85 20,549,408 Company Name Lt Price % Chg Volume Hero Motocorp Ltd 3,096.80 1.51 738,822 East Japan Railway Co 10,310.00 -0.96 502,200 Hdfc Bank Limited 1,244.65 0.67 1,232,431 Itochu Corp 1,557.50 -0.22 6,213,800 Hcl Technologies Ltd 857.30 2.21 2,077,163 Fujifilm Holdings Corp 4,333.00 0.23 1,782,300 Grasim Industries Ltd 883.70 2.36 1,524,297 Yamato Holdings Co Ltd 2,345.50 -2.07 1,368,700 Gail India Ltd 470.90 2.35 3,687,684 Chubu Electric Power Co Inc 1,565.50 -1.91 1,600,100 Dr. Reddy’s Laboratories 2,923.65 -0.81 252,080 Mitsubishi Estate Co Ltd 2,196.00 -2.31 5,137,000 Coal India Ltd 303.40 -0.10 1,976,974 Mitsubishi Heavy Industries 524.10 -1.60 12,561,000 Cipla Ltd 575.75 -0.32 1,274,780 Toshiba Corp 268.90 9.00 299,455,000 Cairn India Ltd 270.40 3.05 1,488,437 Shiseido Co Ltd 3,021.00 -1.34 1,352,700 Bosch Ltd 21,266.25 -0.17 17,725 Shionogi & Co Ltd 5,518.00 0.86 1,649,500 Bharti Airtel Ltd 319.65 -0.28 1,861,189 Tokyo Gas Co Ltd 523.00 -1.12 5,030,000 Bharat Petroleum Corp Ltd 677.05 1.85 1,838,641 Tokyo Electron Ltd 11,160.00 -0.36 698,800 Bharat Heavy Electricals 128.30 -0.58 4,355,794 Panasonic Corp 1,187.00 -1.62 6,735,500 Bank Of Baroda 154.20 -0.10 5,192,259 Fujitsu Ltd 679.60 -0.77 8,773,000 Bajaj Auto Ltd 2,706.50 0.20 154,020 Central Japan Railway Co 18,945.00 -1.53 349,100 Axis Bank Ltd 445.00 -1.28 16,955,590 T&D Holdings Inc 1,608.00 -1.74 2,073,100 Asian Paints Ltd 964.70 -0.26 1,283,284 Toyota Motor Corp 6,690.00 -1.63 7,764,500 Ambuja Cements Ltd 220.10 1.10 1,204,124 Kddi Corp 3,000.00 -2.57 7,565,500 Adani Ports And Special Econ 286.25 0.74 2,404,101 Nitto Denko Corp 8,791.00 0.08 826,600 Acc Ltd 1,334.70 0.62 219,102 Gulf Times 16 Tuesday, January 24, 2017 BUSINESS IBM touts Trump-pleasing hiring plans while firing thousands

By Jing Cao she began pushing IBM into new the year, the target had been reduced Bloomberg businesses such as cloud computing to 20%, said one of the people, who New York and artificial intelligence. So far, results asked not to be named to discuss have been mixed. On January 19, IBM internal matters. Shelton said the reported that fourth-quarter sales fell numbers are inaccurate. On the eve of a summit last month 1% to $21.8bn and operating margins “The thing I found really insulting between technology executives and narrowed, evidence that revenue from was that the quote-unquote reason then president-elect Donald Trump, cloud computing and AI hasn’t yet for my termination was it was a ‘skills IBM chief executive off icer Ginni replaced sales from older businesses. transformation,’” says Sean Ott, a Rometty publicly pledged to hire about However, some areas showed promise. 20-year IBM veteran asked to clear 25,000 US workers and spend $1bn on Sales in the unit that houses analytics out his desk a couple of months ago training over the next four years. and AI software increased for the third despite what he describes as a strong She didn’t mention that International quarter in a row, and the technology performance rating. “But at the same Business Machines Corp was also firing services and cloud platforms segment time, they have my exact job out workers and sending many of the jobs also recorded year-over-year growth. there, they have my colleague’s job overseas. In a call with analysts, chief financial out there for other people to get hired In late November, IBM completed at off icer Martin Schroeter said that into.” least its third round of firings in 2016, the company expects to improve its As recently as three years ago, it according to former and current margins this year, partly from “savings was easier to track IBM’s staff cuts. employees. They don’t know how we have from workforce rebalancing as Employees losing their jobs received a many people have lost their jobs but we continue to remix the workforce.” list of colleagues being fired too, along say it’s probably in the thousands, The shares rose 2.2% to $170.55 on with their positions, departments, ages with many of the positions shipped Friday, but have fallen about 7% since and other information. They were able to Asia and Eastern Europe. During Rometty became CEO. to use the information to determine the presidential campaign, Trump IBM’s re-organisation inevitably meant whether they wanted to waive age- routinely criticised off shoring, some workers would lose their jobs. discrimination claims, which they although he didn’t specifically mention Automation wiped out some positions, needed to do to receive a severance IBM. The firings — known internally as and the company says some of the package. Then in 2014, IBM ended “resource actions” — have continued firings were done to make room the disclosures, making it much more into the new year. This month, IBM for people with skills in IBM’s new diff icult to tally job cut totals. started notifying more US workers that businesses. Layoff s have slowed but The company hasn’t entirely they would be let go, according to a are continuing. In an Op-Ed published sidestepped criticism for firings. current employee, who says colleagues in USA Today in December to explain In 2015, local and federal off icials in the services business are bracing for the creation of 25,000 new positions lambasted IBM for dismissing 1,200 further rounds. over the next four years, Rometty workers in Iowa and Missouri just five Many industries and companies have wrote: “We are hiring because the years after opening facilities there. been sending jobs overseas to take nature of work is evolving.” The firings were a blow to the cities of advantage of lower wages and to be At the same, time IBM has sent Dubuque and Columbia, which spent closer to local markets. In some cases, thousands of jobs off shore. It’s not a combined $84mn on sweeteners to technological advances, including alone in doing this. In the last 15 or lure Big Blue in the hopes of incubating automation, have made positions 20 years, Accenture, Cap Gemini a startup scene. Republican Iowa obsolete. In an e-mailed statement, and Hewlett Packard Enterprise Senator Chuck Grassley wrote to the IBM spokesman Doug Shelton pointed have all done the same. IBM doesn’t company to express concern about the out that the company generates more disclose how many of its 300,000- firing of 700 workers. than two-thirds of its services revenue plus employees work in the US or in Today, Big Blue gets rid of people overseas. He reiterated plans to hire Rometty’s hiring pledge prompted current and former IBM workers to vent on message boards and Facebook groups. its various divisions. But the services quietly and in smaller batches, former 25,000 people in the US and said IBM Some complained that the new recruiting drive wouldn’t off set jobs sent overseas in recent years. businesses, which generate more than and current employees say. The firings will end up adding a net number of half the company’s sales, have taken have become so commonplace, they jobs over the next four years. “If we are Rometty’s hiring pledge prompted people would be fired in the meantime. hire 25,000 workers,” says Sara the brunt of the off shoring. say, that many workers are resigned able to fill these positions,” he said, “we current and former IBM workers to Some urged online communities to Blackwell, a Sarasota, Florida-based For example, early last year, the to losing their jobs and simply wait expect IBM US employment to be up vent on message boards and Facebook contact the Trump transition team and lawyer and advocate for Protect US technology services division aimed for their names to be called. Then, over that period.” Shelton declined to groups. Some complained that the educate his aides about IBM’s history Workers, who represents about 100 to have just 30% of permanent many are asked to train potential say how many IBM workers were fired new recruiting drive wouldn’t off set of layoff s and outsourcing. IBM ex-employees who have filed employees located in the US by replacements overseas. In Ott’s case, in 2016 but said IBM enjoys an attrition jobs sent overseas in recent years. “Ginni Rometty is terminating discrimination and other complaints. the end of 2016, according to two those people were in China, India and rate that’s historically much lower than Others said Rometty had neglected thousands of IT workers and touting “To me, that’s hypocritical.” former managers, who received the Argentina. “Clearly,” he says, “my skills the industry average. to mention whether and how many herself as some hero who’s out to When Rometty became CEO in 2012, information from superiors. Later in are still relevant.” Gulf Times Tuesday, January 24, 2017 17 BUSINESS Ford seen as ‘canary’ with record leases spurring used-car glut

Bloomberg the industry, too. A National Automobile For carmakers and auto lenders, they tors Co this month predicted profit will rise enabled automakers to off er consumers cut back on leasing, relying on it for 18% New York Dealers Association index of used-vehicle decide a lease customer’s a monthly pay- more than analysts estimate for 2017, after cheaper lease payments. of retail sales in the third quarter, down prices declined each of the last six months ment by making an assumption on the car meeting the high end of its targets for last Leasing has helped consumers aff ord from 26% in the first quarter. The company of last year. If used values weaken more or truck’s value when it will be returned. year. Ford and Fiat Chrysler Automobiles new vehicles becoming more expensive declined to comment on the impact of All those years of rising US auto sales are than anticipated, it can lead to losses When vehicles are depreciating by more are scheduled to report earnings on Friday. than ever. Prices have climbed 13% to weaker used-car values on its business starting to work against carmakers. across the industry, hitting carmakers, than companies expected, it’s a blow to To keep the momentum going, GM may $34,067 over the past five years, according beyond statements made during a Nov. A glut of used vehicles has started to auto lenders and rental companies. their bottom lines. have to overcome a drop in auction values to Edmunds.com, a rise partially driven by webcast. depress prices. That trend will intensify The NADA Used Car Guide’s price index The average used car depreciated that Ford has said is spreading beyond booming popularity of pricier trucks and Another way automakers could cope is as Americans will return 3.36mn leased dropped about 4% last year from 2015’s about 23% last year, faster than the aver- passenger cars to larger vehicles. More sport utility vehicles. by expanding their off erings of certified cars and trucks this year, another jump average, the first significant decrease age annual rate of 18%, Edwin Groshans, automakers may join Ford in reassessing In the past, leases were primarily a tool pre-owned vehicles — used cars with after a 33% surge in 2016, according to J.D. since the recession. The boom in cars an analyst at Height Securities, said in a profit forecasts for their captive lend- used by luxury automakers including extended warranties — to try to bolster Power. The fallout has already begun, with and trucks coming back off leases will report on Friday, citing NADA’s data. ing arms after making overly optimistic BMW and Daimler, which could rely on prices. Ford Motor Co shaving $300mn from its continue into 2017, rising about 9%, J.D. “We expect this trend of above average assumptions about the future value of them for as much as 70% of sales, Keller The question for auto companies is financial-services arm’s profit forecast for Power estimates. annual depreciation to continue in 2017 used vehicles, Joe Spak, an analyst at RBC said. whether pulling those levers will off set this year. The impact of falling used prices has and 2018,” Groshans wrote. This may drag Capital Markets, wrote in a December 7 “The diff erence this time, versus the last any losses from overlooking the true cost “Ford is the canary in the coal mine,” also hit Hertz Global Holdings. The rental- on auto-finance companies including Capi- report. time we had a leasing bulge, is that leasing of using hefty incentives and discounted said Maryann Keller, a former Wall Street car company replaced its chief executive tal One Financial Corp and Ally Financial New vehicle sales have jumped each today doesn’t just apply to luxury cars,” leases to boost new-vehicle sales. analyst who’s now an auto industry con- off icer last month, weeks after cutting its Inc, he said. of the last seven years, the longest period she said. “It’s become a mainstay in mass- “That’s just the game they play,” Keller sultant in Stamford, Connecticut. annual earnings forecast due to the falling The trend has yet to put a damper on since at least the days of the Model T. market cars and even pickup trucks.” said. “It’s deferring the loss, but those This drag may be hitting the rest of value of its cars. optimism at Ford’s chief rival. General Mo- When used car values were strong, it Ford Motor Credit is now starting to losses are now coming home to roost.”

Lloyds a London Metal Exchange CEO victim of cyber resigns after a diffi cult year attack

Reuters Reuters London Lloyds

ower trading volumes and a lack loyds Banking Group is of strategy created a crisis that working with law enforce- Lled to the resignation of Lon- Lment agencies to trace who don Metal Exchange Chief Executive may be behind a cyber attack Garry Jones after three years at the that caused intermittent outag- helm of the world’s largest and old- es for customers of its personal est metals market, metal industry banking websites almost two sources say. weeks ago, according to a source Parent company Hong Kong Ex- familiar with the incident. changes and Clearing (HKEx) said yes- Britain’s largest mortgage terday that Jones was leaving the LME, lender was hit by a distributed but did not give a reason. denial of service (DDoS) attack The LME declined to comment. on January 11, which carried on Jones was appointed in August 2013 for two days, according to the and his departure follows that of chief source. operating offi cer Stuart Sloan late last The disruption, which in- year. volved bombarding the websites Problems at the 140-year old ex- with huge volumes of traffi c change helped depress profi ts at from multiple systems so they Hong Kong Exchanges & Clearing Ltd overload a server, left some cus- (HKEx). It paid $2.2bn for the LME in tomers temporarily unable to use 2012. services such as checking their HKEx reports 2016 results on Febru- balance or sending payments. ary 27. DDoS attacks have become Jones, with 30 years experience in common tools for cyber crimi- exchanges and fi nancial services but nals trying to cripple businesses limited experience in metals, took over and organisations with signifi - at a diffi cult time for the LME, which cant online activities. was caught up in a controversy over Such campaigns may be part warehousing metals and its impact on of attempts to extract ransom consumers. from these organisations or part He will be replaced in the interim of eff orts to distract security by Matthew Chamberlain, the LME’s teams in order to fi nd other ways 34-year-old chief operating offi cer, to break into an organisation’s until a permanent replacement is network in order to grab cus- found. tomer data or steal money from Andrew Dodsworth, the LME’s head accounts. of market operations, has been ap- Lloyds said it would not spec- pointed interim COO. ulate on the cause of the attack. “The decision to appoint Matt is not No customers suff ered any a surprise, he’s young, intelligent and losses. understands the business,” a marketing “Only a small number of cus- source at a metals brokerage said. tomers experienced problems,” “(HKEX Chief Executive) Charles Li the bank said in a statement.”In may decide to keep Matt in the CEO’s most cases if customers at- position if he can fi nd a way to improve tempted another log in they were volumes... able to access their accounts.” The problem is fi nding someone who LME CEO Garry Jones speaks during the LME Week Asia in Hong Kong on June 14, 2016. Jones will be replaced in the interim by Matthew Chamberlain, the LME’s Other banks have been hit by can reconcile the needs of the physical 34-year-old chief operating off icer, until a permanent replacement is found. service outages in the past two with the fi nancial market.” years after their systems were An average 31% fee increase at the However there was a 5.6% drop in of all metal traded on exchanges com- should have been launched soon after interest but has yet to be judged a suc- breached by cyber attacks. start of 2015 prompted consumers and copper trading compared with a 26.7% pared with 87% in 2008. the takeover, but it was too late now cess. Tesco Bank, owned by Brit- producers to abandon the exchange surge in trade on the US rival CME Michael Farmer, founding partner of because the Singapore Exchange and Part of the problem is the LME try- ain’s biggest retailer Tesco, in favour of over-the-counter (OTC) Group’s exchange, which sources say is Red Kite Group, said in a speech during the Dalian Commodity Exchange had ing to break into markets such as gold, halted online transactions from trade, hitting LME volumes. easier and cheaper to use for funds. LME Week that the exchange should beaten them to it. dominated by already well-established all current accounts in Novem- The downtrend was reinforced last “Last year was one of the most dif- further cut fees and that the rising “Instead they gave us aluminium and liquid futures in Shanghai and New ber after money was stolen from year by economic and demand slow- fi cult for us in recent times,” one head costs of trading on the LME would fur- premium contracts, which have never York. 20,000 of them in the country’s down in China, the world’s top con- of a metals brokerage said. ther cut liquidity. traded,” a broker said. Under Jones the LME also tried to re- fi rst such cyber heist. sumer of industrial metals, which sub- Incursions into its territory from ri- “If they’d had any real success with HKEx last week announced plans launch eff orts to boost its activities in British lawmakers have criti- dued prices and activity, triggering an vals such as the Shanghai Futures Ex- the new contracts, it wouldn’t have to launch a US dollar-denominated, freight. cised both banks and regulators exodus of funds to other markets with change and CME has seen the LME’s hurt so much,” a fl oor trading source cash-settled iron ore futures contract Sources had said the LME was for doing too little to improve higher return potential. share of overall copper trading fall to said.”They hiked the fees and gave us in Hong Kong this year. among suitors that were in talks to ac- cyber security after a string of LME volumes overall in 2016 slid near 60% from 80% in 2008. nothing in return.” The LME’s cash-settled steel rebar quire London’s Baltic Exchange, which technical failures and breaches 7.7% after a fall of 4.3% in 2015. Globally the LME accounts for 71% LME brokers say an iron ore contract and scrap contract have gained more was sold last year to Singapore’s SGX. of banking systems.

Apple’s legal assault on Qualcomm is part of phone margin grab

Bloomberg Underpinning the government ac- the market was growing in double-digit phone makers, backed by regulators, der management. “Any time they can Apple generally uses two or more San Francisco tions is a drive to shake loose Qual- percentages. Samsung and LG are based want a change that would force Qual- reduce costs, whether it be legally, op- suppliers for any given component, comm’s grip on the smartphone in South Korea, where antitrust regula- comm to charge the fees on the price of erationally or through new technolo- creating competition and forcing down business. In its last five fiscal years, tors announced in December a record its components — an amount based in gies, they’ve always been happy to pur- prices. But Apple had relied exclusively pple is piling onto lawsuits that Qualcomm has turned $37bn of li- 1.03tn won ($880mn) fi ne against the tens of dollars. sue those.” on Qualcomm’s base-band chips — attack the way Qualcomm li- censing revenue into $32bn of pretax Qualcomm for violating antitrust laws Qualcomm said Apple has been “ac- Sales of the iPhone fell 8.3% to parts that connect the phone to net- Acenses technology for mobile profit. Its gross margin, or the per- and called for the chipmaker to change tively encouraging” the government 212mn handsets in the 12 months works — until the introduction of the phones in a widespread eff ort to rake centage of revenue remaining after its business practices. actions by “misrepresenting facts and through September, the fi rst annual iPhone 7 last year, when it switched back profi ts in a slowing market. deducting the cost of production, is In China, the biggest mobile phone withholding information” from regu- decline since the smartphone was in- some versions to modems from Intel The latest suit by Apple, fi led on Friday, 61% and is predicted by analysts to market, antitrust regulators accused lators. “We welcome the opportunity troduced in 2007. The average selling Corp. alleges that Qualcomm has unfairly used widen. Qualcomm of abusing its dominant to have these meritless claims heard in price of its iPhones declined from a Ultimately a straight-up legal fi ght the power of its patents, which cover the Contrast that with Apple’s gross position. Rather than risk being locked court where we will be entitled to full 2015 peak of $687 to $619 in the most will take years to play out, according fundamentals of phone systems, and its margin of 39% in its most recent fi scal out, Qualcomm in February 2015 paid discovery of Apple’s practices,” Don recent fi scal quarter as it has intro- to Canaccord’s Walkley. Apple would chip business to prop up its dominant year, a number that’s predicted to nar- $975mn to settle the case and was given Rosenberg, Qualcomm’s general coun- duced lower-cost handsets to fend off much more likely want to settle the case position in the industry. Apple’s legal row in 2017. Samsung Electronics Co, the right to charge handset makers li- sel, said in a statement. the threat from Chinese competitors in return for lower rates. actions follow regulatory investigations the biggest maker of mobile phones censing fees, at a lower rate, for phones For Apple investors, any means nec- such as Huawei Technologies Co, Xi- That’s a better bet given that the and fi nes on three continents, including ahead of Apple, also had a margin of sold in the country. essary to bring down the iPhone mak- aomi Corp and Guangdong Oppo Elec- San Diego-based chipmaker has been a lawsuit announced last week by the US 39% in its most recent fi scal year. Apple on Friday added its weight to er’s costs is the right move. tronics Co. fi ghting similar legal battles for more Federal Trade Commission. Apple, Samsung and LG Electronics the growing call for a change in the way “Strategically if your enemy is some- Qualcomm has been a two-fold than two decades, and winning. “It feels like another coordinated at- are part of an increasingly competi- licensing revenue is calculated. Now, what wounded it’s not terribly sur- threat. Its patent position has taken a “This is Apple’s posturing to get a tack on Qualcomm,” said Mike Walkley, tive smartphone market in the midst the handset companies pay Qualcomm prising that they’d be that much more chunk of the sale price of each phone lower rate going forward,” Walkley said. an analyst at Canaccord Genuity. The of slowing growth. Handset shipments a percentage of the total selling price of aggressive,” said Erick Maronak, chief and the cash generated from that has “Apple is trying to overturn 20 years of mobile phone business is “a mature in- likely increased 0.6% to 1.45bn units in the phone — a sum measured in hun- investment offi cer at Victory Capital helped the chipmaker fund industry history which, if they do, Qualcomm is dustry, they’ve got to get their margins 2016, according to researcher IDC. As dreds of dollars — regardless of wheth- Management in Brooklyn, Ohio, which leading research and development into in real trouble because then everyone higher.” recently as the second quarter of 2015, er they use Qualcomm chips or not. The holds Apple stock among its $55bn un- better processors. else will then want their money back.” Gulf Times 18 Tuesday, January 24, 2017 BUSINESS Microsoft asserts clients’ rights in FBI e-mail searches fight

Bloomberg rulings that undercut their arguments. At beyond any necessary limits” and infringes tory to President Donald Trump, who said in conducting constitutional litigation, and that right on his behalf related to a lawsuit San Francisco stake is half of Microsoft’s case to block users’ Fourth Amendment rights against during his campaign that he would compel this case is no diff erent.” over his death. Microsoft’s lawyers may the US from secretly accessing customer unlawful search and seizure, they contend. technology companies to cooperate. Four court decisions listed by US have anticipated the Fourth Amendment data stored in the cloud, including e-mail. The Justice Department argues it needs The case may never reach that point District Judge James Robart in Seattle all challenge in their complaint, stating that Microsoft Corp’s eff ort to halt the FBI’s so- Microsoft drew support from tech leaders such digital tools to help fight increasingly unless Microsoft wins the argument that reached the same conclusion — Fourth the government’s silent searches of user called sneak-and-peak searches of e-mails including Apple, Google and Amazon.com sophisticated criminals and terrorists who it has the ability to sue — or standing — to Amendment protections can only be cited data have directly injured it by “eroding may ride on whether it’s allowed to defend when it sued the US Justice Department are savvy at using technology to commu- protect customer privacy. by individuals, and not vicariously by third the customer trust” in the company. its customers’ constitutional rights. in April. They say the very future of mobile nicate and hide their tracks. Disclosing the “Standing has been a barrier in cases parties. The most recent was a 2014 US The industry’s push against govern- The judge who will decide whether the and cloud computing is at risk if customers searches would undermine investigations that seek to vindicate people’s privacy Supreme Court ruling that the family of a ment intrusion into customers’ private case can go ahead told the company’s law- can’t trust that their data will remain private. and put Americans at risk, they argue. A rights,” said Jennifer Granick, a Stanford driver who was shot and killed by police information began in the wake of Edward yers to be ready in court to address earlier The federal law allowing searches goes “far decision for the US would give an early vic- Law School professor. “It’s a serious issue after a high-speed chase couldn’t invoke Snowden’s 2013 disclosures.

Canada signals Chevron slams Canada possible US trade deal that backdoor in $9.5bn excludes Mexico Bloomberg Ottawa

anada’s government will consider bilateral trade measures during renegotiation of the Amazon pollution fi ght CNorth American Free Trade Agreement, a sign it could potentially move ahead at least in part without Bloomberg Mexico. New York The comments from David MacNaughton, Canada’s ambassador to the US, suggest Donald Trump’s pro- tectionist pledges are splintering the continental pact ow entering its 24th year, as the US leader prepares to meet Mexican President an international legal war Enrique Pena Nieto late this month. Nseeking to hold Chevron Prime Minister Justin Trudeau’s government ar- Corp liable for oil pollution in the rived in Calgary on Sunday evening for cabinet meet- Amazon has featured battles in ings where Trump has loomed large. The President courtrooms ranging from the US said on Sunday he would start renegotiating the pact to Ecuador to Canada. In a blow to and reach a “very good result” for everybody. Shortly Ecuadorian villagers who contend after, in Calgary, MacNaughton said his focus is on the company sullied their lands, an avoiding Canada being “collateral damage” in trade Ontario judge last week protected actions aimed at China and Mexico. Chevron’s Canadian assets from “I can’t speak for the Mexicans,” he told reporters being seized as part of the fi ght. in comments echoed by Canada’s trade minister. “We That’s a big victory for the sec- will cooperate on trilateral matters when it’s in our in- ond-largest US fossil fuel com- terest and we’ll be looking to do things that are in our pany, because in 2011 Chevron lost interest bilaterally also. Some of them may be within a court case in Ecuador over the Nafta, some may not be.” question of liability. As far as the Trudeau talked with Pena Nieto on Sunday, releas- Ecuadorian judiciary is concerned, ing a short summary afterward saying they “spoke Chevron owes some $9.5bn, plus about the importance of the Canada-Mexico bilat- interest, to the villagers. But the eral relationship, and of the trilateral North American energy giant, contending that the partnership.” enormous judgment was obtained Since Trump’s election victory, Canadian trade of- by fraud, has refused to pay. Chev- fi cials and observers have held out hope they’re not ron has no assets in Ecuador, so Trump’s target. Canada is the top buyer of US goods there’s nothing there for plaintiff s overall and the top buyer for 35 individual states, a de- to seize. That’s why the case mi- tail Trudeau emphasised to Trump in a call Saturday. grated north to Canada, where a What Canadians fear is that any tariff s or other meas- subsidiary has operations the vil- ures applied broadly will sideswipe them. Roughly lagers would like to liquidate to 70% of Canadian trade is with the US. “I don’t think cover their verdict. Canada’s the focus at all, but I think we are part of But in a highly technical 35- that,” MacNaughton said. “That’s what we’ve got to page opinion, Judge Glenn Hainey worry about — is if we’re collateral damage.” of the Ontario Superior Court of Trump offi cials have yet to raise any specifi c concerns Justice made a sharp distinction about Canadian trade, MacNaughton added. “Their big- between Chevron the parent Corp gest concern frankly in terms of trade is the defi cits they and Chevron Canada the subsidi- have with China and Mexico. That’s what they’ve raised.” ary. Chevron Canada wasn’t the Trudeau has prepared for the Trump era by pro- defendant in Ecuador and as a Chevron Corp signage is seen at the entrance to the corporate headquarters in Richmond, California. “Once again, the plaintiff s’ attempts to enforce moting his trade minister, Chrystia Freeland, to serve legally separate entity, the judge their fraudulent judgment have been rebuked,” R Hewitt Pate, Chevron’s vice-president and general counsel, said. as foreign minister and his main liaison for talks with held, can’t be held responsible for Trump. He appointed a retired general as her deputy its parent’s liabilities. appeal Hainey’s ruling, and pre- courts and restarted in 2003 in Ec- by turning the Ecuadorian suit ceed in moving forward with their with a specifi c focus on wooing the US administration, Chevron hailed the decision. dicted a swift reversal. “The vil- uador. Eight years later, it led to the into the equivalent of an extortion action in Canada—for example, if and reshuffl ed staff to focus on US ties. “Once again, the plaintiff s’ at- lagers expect to proceed later this multibillion-dollar verdict now at scheme. Last year, a federal appeals a higher court reversed his fi nd- Meanwhile, Trump-style politics are looming larger tempts to enforce their fraudulent year with their seizure of Chevron’s issue. Chevron countered that any court upheld the ruling, fi nding ing that the subsidiary should be in Canada. Trudeau cancelled a trip to the World Eco- judgment have been rebuked,” R assets to force the company to re- pollution resulting from Texaco’s that Donziger and his colleagues shielded—then the oil company nomic Forum in Davos, Switzerland, in favour of a ru- Hewitt Pate, Chevron’s vice-pres- spect multiple [Ecuadorian] court activities in the rain forest was the engaged in coercion, fraud, and would be allowed to fi ght asset sei- ral tour aimed at fending off controversies that painted ident and general counsel, said via judgments that found it” liable for responsibility of the Ecuadorian bribery in Ecuador. The decisions zures by pointing to the evidence him as out-of-touch. His main rival party is embroiled e-mail. “We are confi dent that any massive contamination, Hinton government to clean up — and, in have the eff ect of making it impos- of fraud presented in the US rack- in a leadership race where several candidates are draw- jurisdiction that examines the facts added. any event, the verdict was tainted sible for the villagers to collect on eteering case. ing from Trump’s playbook. of this case and the misconduct The very long story that brings us by the misconduct of the villagers the Ecuadorian verdict in the US. Meanwhile, on other fronts, the Freeland has downplayed the risks of major trade committed by the plaintiff s will to this moment began in 1993 with lawyers, led by a New York-based That brings us to Canada. plaintiff s have started legal pro- impacts, saying she’s “really confi dent” Canada can fi nd the Ecuadorian judgment ille- a lawsuit fi led in New York federal attorney named Steven Donziger. The legal complexities in this ceedings to enforce the controver- build a strong relationship with the Trump team. gitimate and unenforceable.” court against Texaco (which Chev- To drive home that last point, branch of the litigation proliferate. sial Ecuadorian judgment in both “There’ve been nearly a dozen meaningful changes Karen Hinton, a New York-based ron acquired in 2001). Brought on Chevron sued Donziger in 2011, In a separate part of his January Argentina and Brazil. Chevron may to Nafta since it was fi rst concluded, so we’re looking spokesperson for the villagers, said behalf of poor rural Ecuadorians, obtaining a US judgment that he’d 20 ruling, Judge Hainey said that have won this battle, but the legal forward to those conversations,” she said in a televi- in a statement that her clients will the complaint was dismissed by US violated anti-racketeering laws if somehow the Ecuadorians suc- war shows no sign of letting up. sion interview on inauguration day. Apollo’s new guy is a legend in banking but a novice in buyouts

Bloomberg generating as much as one-fourth of Parr “will work with the leadership “He got me to a place where I wasn’t lot of investment bankers are thought New York Apollo’s asset management fees in re- team in areas such as strategic and fi - thinking of going at the beginning,” of very well by their clients,” he said, cent years. nancial matters, capital markets for the Weill said in an interview. “Nobody got “but there’s a very small number who “Am I here to do investing? No. There fi rm, where Gary has signifi cant exper- 100% of what they wanted, but every- inspire the highest degree of trust, and ary Parr had deals going in three are plenty of people here who know tise, and leverage his extensive network one ended up with something. And to Gary is one of those.” parts of the world when he how to invest,” Parr said in an interview of fi nancial institution relationships,” this day, Travellers has fl ourished.” Lazard passed up Parr for the CEO Gdropped the mic on a 30-year in his new offi ce. “I’m thinking stra- said an Apollo spokesman. Parr advised Geico Corp on its 1995 job in 2009 after Wasserstein’s death, career as a banker. tegically about where the fi rm should Apollo has grown its assets under agreement to sell stock to Warren Buf- naming Kenneth Jacobs to the role in- Parr, 59, has been a player in just build.” management more than seven-fold in fett’s Berkshire Hathaway for a higher stead. When asked if he saw himself as a about every fi nancial story worth bold The banking business was lucrative the past decade to $189bn at the end price than Buff ett initially off ered. In possible Apollo chief, Parr said no. headlines in recent years. Now he’s left for Parr. He lives in what colleagues of September, with $135bn allocated to 2007, Parr helped Mellon Financial Parr’s colleagues said they didn’t Lazard for Apollo Global Management, have called a castle, in Tuxedo Park, credit, according to investor presenta- merge with Bank of New York. During see in him a burning desire to head a to work with co-founders Leon Black, New York, about 45 miles northwest of tions. the 2008 fi nancial crisis, Parr worked company. On many deals, he preferred Mark Rowan and Josh Harris. Parr Parr: Career change. New York City. He also owns a $6.8mn At the time of his job switch, Parr on the sale of Bear Stearns Cos. to JP- to work alone, often forming ventures started yesterday with a broad mandate home in Palm Beach, Florida, and has was part of a team advising the world’s Morgan Chase & Co, counseled Leh- on the side, they said. One such trans- as a senior managing director. musical scores, brought with him from a third residence, on Park Avenue in oldest bank, Banca Monte dei Paschi man Brothers Holdings on its sale of action was made with buyout-fi rm While the career change drew scep- Lazard, marked by Leonard Bernstein Manhattan. di Siena, which was on the brink of a assets, and assisted Morgan Stanley’s founder Christopher Flowers. His fi rm ticism from some former colleagues and Bruno Walter. For all the deals Parr brought to La- bailout from the Italian government. sale of a stake to Mitsubishi UFJ Finan- and Parr, with his own funds, helped who wonder how much he knows about “Gary’s sound judgment, deep ex- zard, not everyone was sad to see him He was helping Genworth Financial cial Group Later, he helped sell trading acquire brokerage Fox-Pitt Kelton Co- things like accumulating real estate and pertise and extensive network of re- go, according to people there. His com- on its $2.7bn agreement to sell to Hong operations once overseen by fraudster chran Caronia Waller. It was eventu- investing in debt, Davide Serra called lationships throughout the fi nancial pensation, in an industry not as robust Kong-based China Oceanwide Hold- Bernie Madoff . ally sold to Macquarie Group Ltd in the switch a “natural evolution” for services industry will prove invaluable as it has been in the past, and earned ings Group, and was also advising All- “He got to the top tier,” Joseph Perella 2009 for $147mn. Parr also invested the consummate banker. “It’s a step as Apollo continues to broaden and ex- from transactions he’d steered on the state Corp on its largest-ever takeover. said in an interview. Perella hired Parr in real estate ventures and reinsurer up,” said Serra, who worked at Morgan pand its business,” Harris said. side, irked some of his co-workers. Former Citigroup chief executive of- for his fi rst investment banking job, at Forethought Financial, which Lazard Stanley at the same time as Parr and Parr is no stranger to Apollo. He got Parr brings to Apollo a long list of fi cer Sandy Weill said Parr earned his First Boston Corp, in 1983. helped sell to a rival. went on to create hedge fund Algebris to know Black more than a decade ago contacts from banking. He’ll use it to respect during 1993 negotiations be- Parr moved with Perella in 1989 to Asked what his ambitions are, Parr Investments. when he worked for the late dealmaker help expand Apollo’s real estate and tween Weill’s Primerica and Travelers help build Wasserstein Perella, then recalled seeing a newspaper years ago Parr has an Apollo offi ce, 43 stories Bruce Wasserstein. Parr advised Apollo credit divisions, especially in Europe, Corp, which Parr was advising. The left again in 1993 for Morgan Stanley with a headline that read, “George So- above Manhattan’s 59th Street, that on its 2011 initial public off ering, help- where big lenders are scaling back. It’s a pair took a walk at Weill’s Greenwich, after Perella went there. In 2003, Parr ros: Billionaire Philanthropist.” has similar sweeping views of Central ing Lazard earn $1.5mn in fees, and business Parr knows well — he’s worked Connecticut, home, and Parr off ered rejoined Wasserstein in 2003 at Lazard. “I actually said, ‘OK, I want to be one Park that he had at Lazard. The former recently assisted Apollo sell shares in with lenders in Italy, Spain and Ireland. his opinion on the deal that at the time Rodgin Cohen, the dean of Wall of those,’” Parr said. He added with a chairman of the New York Philhar- insurer Athene Holding Ltd. Athene And he’ll forge partnerships in Asia, would create the largest diversifi ed US Street lawyers at Sullivan & Cromwell smile, “I’m a philanthropist. I will not monic said he’ll decorate the walls with is among Apollo’s largest holdings, where Apollo has little presence. fi nancial fi rm. LLP, called Parr a legendary banker. “A be a billionaire.” Tuesday, January 24, 2017 GULF TIMES BUSINESS

LuLu Financial Group MD Adeeb Ahamed in WEF regional strategy group

Adeeb Ahamed, managing director of LuLu Financial Group, has been included as a member in the newly established South Asia Regional Strategy Group (RSG) of the World Economic Forum (WEF). The RSG is chaired by Amitabh Kant, chief executive of NITI Aayog and supported by two vice-chairs, Ajay Khanna, chief (Strategic and Public Aff airs) Jubilant Bhartia Group; and Srivatsan Rajan, chairman, Bain and Company. “The WEF has been at the helm of creating a better tomorrow, through From left: Kant, Khanna, Rajan, Ahamed and Gopinath. its engagement with local and global Al-Mansoori: Active membership. leaders across continents. I believe that Infrastructure, Sri Lanka; Gita Gopinath, WEF has this year formulated a senior The RSG is expected to identify critical the new South Asia RSG will be able to professor of Economics, Harvard advisory board ‘South Asia RSG’, issues, challenges and opportunities create changes on ground in key areas University; Nikhil Meswani, executive comprising senior government off icials, in South Asia and debate on how to across the region and will allow greater director, Reliance Industries; and business leaders, academics and address them. They would also be private and public co-operation that Shamina Singh, president, MasterCard experts. engaged in ongoing initiatives, provide enhances community development,” Center for Inclusive Growth. The invitation-only flagship group guidance and advice to develop QSE chief to said Ahamed. In line with growing influence of South provides strategic guidance on the regional projects while helping mobilise The multi-stakeholder group also Asian countries in global aff airs and on WEF’s regional agenda, and is the action. The projects will be constantly comprises Harin Fernando, Minister account of having some of the fastest highest-level decision making body for monitored by the group and ensure of Telecommunications and Digital growing economies in the world, the the WEF’s activities in South Asia. value delivery and impact in the region. participate in WFE meetings in Frankfurt

atar Stock Exchange October 2016, identifi ed three (QSE) chief executive key areas that exchanges and QRashid bin Ali al-Man- regulators can focus on to grow soori will participate in today’s liquidity. working committee meetings These areas are the devel- of the World Federation of Ex- opment of a diverse investor changes (WFE) in Frankfurt, base, increasing the pool of se- Germany. curities and associated fi nan- He will also participate in the cial products, and the creation roundtable in London to dis- of an attractive market envi- cuss enhancing emerging mar- ronment. ket liquidity, where the WFE The roundtable will include and Oliver Wyman will bring participants from exchanges together exchanges and the buy from developed and emerg- side. ing markets along with senior This event builds on the re- executives from the world’s cent joint WFE-Oliver Wyman leading buy-side institutions. paper on the issue, and a very The QSE joined WFE in 2013 successful initial roundtable and has been an active mem- discussion held in Cartagena, ber ever since and it has been Colombia, with the World Bank represented in the board of and emerging market regula- directors from the start since tors at the WFE’s general as- al-Mansoori was elected a sembly and annual meeting in director in 2014 representing November 2016. Middle East and North Africa, The report, published in Europe and the Middle East. The logo of Rosneft is seen on a plaque outside the company’s headquarters in Moscow. Russia’s government has sold a 19.5% stake in Rosneft to Glencore, a commodities producer and trader, and Qatar’s sovereign wealth fund for 710.8bn roubles (about $11bn), helping to plug the widest budget deficit in six years following the slump in oil prices. Porsche Design Huawei Mate 9 is now available in Qatar

The Porsche Design Huawei Mate 9 limited edition smart- phone, which is a product of Rosneft seeks meeting collaboration between technol- ogy innovator Huawei and Premium-lifestyle brand Porsche Design, is now available in Qatar at the Porsche Design Store in Lagoona Mall. with Putin for QIA, The limited edition smart- phone combines Porsche Design’s signature brand aesthetics with Huawei’s mobile engineering expertise, giving high-demanding individuals unprecedented luxury and Glencore after stake sale performance in the palm of their hand. Bloomberg ners and to inform you of new investment and supply plans for spending to 1.1tn roubles this Russia surpassed Saudi Ara- Huawei said the underly- Moscow projects in which they will par- 2017, Putin said: “That’s good.” year and 1.3tn roubles in 2018 bia as China’s top crude supplier ing philosophy for all Porsche Porsche Design Huawei Mate ticipate.” Russia has joined with the Or- compared with 750bn last year, in 2016 with total shipments of Design products and also for 9 limited edition smartphone Russia’s government sold a ganisation of Petroleum Export- according to Sechin. Investment 52.5mn tonnes, according to data the new Porsche Design Huawei is available at the Porsche osneft asked Russian 19.5% stake in Rosneft to Glen- ing Countries and several other will focus on new oil develop- released yesterday by China’s Mate 9 is to create equilibrium of Design Store in Lagoona Mall. President Vladimir Putin core, a commodities producer major producers in cutting pro- ments including Suzun, Lodo- General Administration of Cus- aesthetics and function. Those Rto meet with Intesa San- and trader, and Qatar’s sovereign duction in an eff ort to eliminate chnoye, Russkoye, Kuyumba, toms. values stem from the design intuitive user interface that paolo, Glencore, and the Qatar wealth fund for 710.8bn roubles a global surplus. International Yurubcheno-Takhomsk, Taas- Rosneft, Russia’s largest pro- philosophy of Porsche Design’s exudes sophistication thanks Investment Authority to discuss (about $11bn), helping to plug oil prices have risen almost 20% Yuriakh, and natural gas devel- ducer, plans to ship as much as founder — Professor Ferdinand to Porsche Design’s signature development plans after they the widest budget defi cit in six since the deal, easing pressure opments Rospan, Kharampur 31mn tonnes of crude to China Alexander Porsche — who design language. With a shared participated in the partial pri- years following the slump in oil on companies and potentially and Kynsko-Chaselskoye. this year and 71mn tonnes to Eu- designed the legendary Porsche commitment to functional de- vatisation of the state-run oil prices. The deal was one of the opening the way for renewed The company’s oil and gas rope, including 10mn tonnes to 911 in 1963. sign, innovative craftsmanship producer. biggest investments in the global investments. Rosneft also has output rose about 4% in 2016, Belarus, Sechin said. The com- Porsche Design Huawei Mate and cutting-edge technology, The meeting would “under- energy industry this year despite the opportunity to accelerate with production of 210mn pany will supply 2mn tonnes of 9 features seamless curved the collaboration delivers to line the signifi cance of this deal,” attempts by the US and Europe its international expansion this metric tons of crude and 67bn oil to India this year and plans edges, a graphite finish and styl- highly discerning customers an Rosneft chief executive offi cer to economically isolate Russia year as the political environ- cubic metres of gas, Sechin to eventually increase that to as ish black colouring combined unrivalled, premium smart- Igor Sechin said in transcript with sanctions following Putin’s ment becomes more favourable, said. Rosneft refined about much as 20mn tonnes, equal to with the latest technology. This phone experience; with revolu- of a meeting with Putin posted incursion into Ukraine. according to consultant Wood 100mn tonnes of oil in 2016, a the capacity at Essar Oil’s Vadi- is perfectly complemented tionary speed, extensive battery the Kremlin’s website. “We plan In response to the proposed Mackenzie. volume it plans to increase to nar Refi nery that Rosneft ac- ‘under the hood’ by a unique, life and luxurious design cues. more activity with our part- meeting, plus details of Rosneft’s Rosneft plans to increase 120mn tonnes this year. quired last year, he said.

Thuraya, Indosat Ooredoo to transform communications in Indonesia

huraya Telecommunica- sations to extend their services to off er seamless customer expe- reach. This will allow businesses, tions Company and Indo- beyond terrestrial networks, rience military, and oil and gas com- Tsat Ooredoo have signed a whenever they have remote con- Bilal Hamoui, Thuraya chief panies, which operate on sea or memorandum of understanding nectivity requirements across commercial offi cer, said: “This on remote locations to stay con- (MoU) to develop a new range of various extreme environmental is an important step towards nected with their central offi ces, services by combining Indosat conditions. an extensive and exciting long- bases, and partners. It increases products with Thuraya Satel- Indosat has identified an ex- term collaboration. Indonesia is the effi ciency of their operations, lite technology and devices for tensive range of specific sec- a large country covering a vast saves life and increases employee business customers in Indone- tor opportunities for Thuraya area, and it needs comprehensive satisfaction by keeping in touch sia. land, data and maritime serv- connectivity at all times. Our ca- with their families. The agreement has created ices. pabilities are complementary, “At the same time, the coop- a framework for collaboration The full scope of markets now and we will be able to give end eration will expand the reach of in three main areas. New serv- set for transformational com- users far greater fl exibility than our digital services such as uni- ices will be developed using munications capabilities across they have now. This agreement fi ed communications, and pro- Indosat SIM cards roaming on Indonesia includes oil and gas delivers reliable communica- vide a truly seamless experience. the Thuraya network, as well as and mining; plantations; high- tion wherever and whenever it By adding satellite connectiv- bundling satellite devices with end yachting, merchants, and is needed, and we are set to save ity from Thuraya to the Indosat Indosat Ooredoo digital applica- fi shing; and military and police and improve lives across Indo- Ooredoo Business portfolio, we tions. At a later stage, Thuraya services. nesia.” continue to deliver on our strat- and Indosat also plan to develop Thuraya’s extensive and reli- Herfi ni Haryono, Indo- egy to lead in digital transforma- additional use cases for the bur- able satellite network comple- sat Ooredoo director and chief tion. I am delighted we are able geoning IoT (Internet of things) ments Indosat’s own connectiv- Wholesale and Enterprise, said: to support more of our custom- market. ity, extending into those areas “We look forward to working ers in taking advantage of all that The satellite-powered busi- that are beyond terrestrial reach. with Thuraya to off er communi- technology has to off er anytime, At a later stage, Thuraya and Indosat plan to develop additional use cases for the burgeoning IoT (Internet of ness applications allow organi- This will enable both companies cation services beyond terrestrial anywhere.” things) market.