INTERCITY BROKER JSC WEEKLY REPORT BROKER-DEALER COMPANY Member of Stock Exchange th th Member of Central Securities Depository and Clearing house November 14 – November 18 , 2 0 1 1 52 Maksima Gorkog St., Belgrade, +381 (11) 3083-100, 3087-862; Fax: +381 (11) 3083-150 e-mail: [email protected] ; www.icbbg.rs

Indices decreased, turnover increased

This week was marked by two facts. Trend of trading volume growth continued but indices declined. Turnover was EUR 3.7 millions which represents an increase of 5.6% with almost half of the trading volume recorded on shares of Petroleum Industry of Serbia (NIIS). Index Belex15 decreased 2.1% to a value of 531 index points, while Belexline ended previous week with decrease of 1.2% at 1032 index points.

Shares:

Shares of Petroleum Industry of Serbia (NIIS) were most traded in prevoius week on the BSE. Turnover was 208.3 millions of dinars, almost half of total turnover on BSE. The closing price was 652 dinars, an increase of 2% while the minimum was 643 and maximum was 651 dinars.

Aerodrom Nikola Tesla (AERO) shares were traded for 5.7 millions of dinars and the price declined of 2.9% to a level of 500 dinars. The company announced financial results for first 3 quarters of 2011. in which it was recorded increasing of total revenues and a decrease of profit of 10% compared to last year primarily due to negative exchange rate differences.

Among the shares in the real sector, it's worth to mention Carnex (CRNX) shares which recorded a turnover of 24.1 millions of dinars and finished previous week at the price level of 1920 dinars. This trading volume was primarily a consequence of entering into Carnex MK group and their intention to buy together with the current owner, Ashmore investment fund 7.1% of shares of small shareholders of the company. Good trading volume of 19.5 millions of dinars was recorded on Voda Vrnjci (VDAV) shares which rose 2.2% at the price of 4600 dinars and the buyer was again Zaab Group. Galenika Fitomarcija (FITO) after splitting the shares, which halved the price which is now 1330 dinars, recorded a growth of 30.4% at the price level of 2000 dinars with the trading volume of 11.3 millions of dinars. On Imlek (IMLK) shares was recorded a solid volume of 18.8 millions of dinars and the closing price of 2215 dinars.

Of shares from the banking sector it's worth to mention AIK Banka (AIKB) shares which were traded for 18.8 millions of dinars in previous week and the closing price was 1755 dinars, decrease of 8.4% compare to week before. Agrobanka (AGBN) had a modest turnover of 4 millions of dinars and the price was 4094 dinars, which is only a few dinars lower than week before. Komercijalna banka preference shares (KMBNPB) recorded good turnover previous week, 11.9 millions of dinars and price on friday was 1082 dinars.

Treasury Bills and Treasury Notes:

In last week were held only one auction of Treasury bonds. 6-month T-bills sold out at the weighted average rate of return (money market yield) of 10.90% with total turnover of about EUR 38.5 mil.

Most Active Stocks of the Week CONTINUOUS TRADING METHOD (without block transactions) Top Gainers/Losers of the Week

Traded Value Change Change Issuer Symbol Issuer Issuer (in EUR) (%) (%) JSC Galenika JSC Credy banka JSC NIS a.d. NIIS 208,323,026 +30.46% -10.26% fitofarmacija a.d. Kragujevac

JSC Lasta a.d. JSC Carnex a.d. Vrbas CRNX 24,075,700 +19.32% JSC Vital a.d. Vrbas -9.54% Beograd

JSC Čačanska JSC Putevi a.d. JSC AIK banka a.d. Niš AIKB 19,881,740 +9.00% -8.45% banka Užice

JSC Voda Vrnjci a.d. JSC Progres a.d. JSC AIK banka a.d. VDAV 19,531,100 +8.16% -8.40% Vrnja čka banja Beograd Niš

JSC Voda Vrnjci a.d. JSC Messer JSC Imlek a.d. Beograd IMLK 18,886,269 č +2.22% -8.33% Vrnja ka banja Tehnogas Business News of the Week News from the (BSE) MK Group takes over Carnex

► As of today, the company Carnex operates as Conclusions of 10th international Conference part of MK Group. The key strategic points of http://www.belex.rs/o_berzi/vesti/37695 future operations will be based on raising the ► Important event - dividend day - Commercial Bank ad Belgrade - KMBN level of production, boosting exports and http://www.belex.rs/data/2011/11/00072482.pdf launching new products, MK announced. We are aware of a great reputation that Carnex ► Annual Report with the financial report for the period January - September brand enjoys among consumers in the market of 2011. year – Aerodrom Nikola Tesla ad Belgrade - AERO Serbia. Carnex has been and will always be the http://www.belex.rs/data/2011/11/00072246.pdf best Serbian brand. It is a symbol of childhood for all of us. Our plan is to continue to develop Foreign Investors Participation in Total Turnover Carnex, launch new products and boost exports. The fact that Carnex is again owned by a 100% domestic company is as good for Serbia as it is for the Serbian economy and workers. Over the 80% last ten years, MK Group has been strategically focusing on agricultural production and food industry because these branches of economy 60% have the greatest development potential and because the demand for food and food products 40% is constantly growing - said Miodrag Kostic, president of MK Group. (E kapija) 20%

Planum's chances to get USD 1 billion job in 0% Angola grow bigger 14-Nov 15-Nov 16-Nov 17-Nov 18-Nov

Zemun-based Planum and several other Total FIS b-FIS s-FIS FIB FIT domestic companies, which would accompany the former, have very good chances to be Source: Belgrade Stock Exchange Analysis: Intercity broker entrusted with a job worth over USD 1 billion by the state of Angola. That job includes the construction of a military hospital and a factory Foreign investor’s participation in turnover of shares ( FIS ) on the buy-side ( b- of arms and the reconstruction of a military FIS ) hit the highest point on November 18 (93.99%). On weekly level, foreign base, which was built by Planum 25 years ago. investors participated in total b-FIS 76.50% and in total s-FIS 74.05%. A month ago, during the visit of Minister Dragan Sutanovac to Angola, an agreement was signed. Republic of Serbia Bonds (Weekly Change & Yield) Their technical team arrived in Serbia few days ago to determine which tasks of all those mentioned to entrust to our companies. Series 11 November 18 November % change Yield According to the plan, the Army Minister of Angola should come to Serbia in December to A2012 97.18 97.31 0.16% 5.24% sign agreements. Planum has been negotiating A2013 91.88 91.80 -0.32% 5.73% on this job for over a year. (Politika) A2014 87.52 87.50 0.11% 5.41% Building of Swarovski factory to begin in December A2015 82.77 83.01 0.11% 5.41%

Officials of the Serbian government and A2016 77.81 77.50 0.38% 5.78% Swarovski International Holding AG signed on Source: Belgrade Stock Exchange Friday a Memorandum of Understanding, by which they created pre-conditions for the world's Government euro-denominated zero coupon bonds had trading value of leading crystal jewelry manufacturer to invest around EUR 135,226. The most traded issue was a series of A2013 with into the opening of a factory in Subotica turnover about EUR 40,583 and yield the return of 5.73% at annual basis. (northern Serbia). The Memorandum was signed by Serbian Minister of Economy and Middle Exchange Rate E U R / R S D Regional Development Nebojsa Ciric, Mayor of Subotica Sasa Vucinic and Austrian (RSD) Ambassador Clemens Koja at the presidential building in Belgrade. After the signing of the 105,0 document, Minister Ciric said that the preparations will start as of today, in order for 103,0 the holding company to begin the construction of the production hall in Subotica in December. 101,0 Ciric specified that, in the first phase, the investment will be worth EUR 15 million, and in 99,0 the second EUR 25 million, adding that 600 citizens of Subotica will get a job in the factory. 97,0 Namely, this will be the first Swarovski factory out of Austria, and the investment was obtained 95,0 in the competition with a number of countries 18.10 24.10 30.10 05.11 11.11 17.11 which showed interest in the cooperation with this multinational company. The investment and the presence of Swarovski is yet another proof Source: National Bank of Serbia that Serbia is very attractive for foreign investors, Ciris said, and expressed belief that similar agreements will be signed with another two foreign investors. (Tanjug)

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