American Business Council Q4 Newsletter

The American Business Council Farewell 2011  Wine & Cheese & Welcome Arab Health Breakfast  Super Bowl Networking  Tax Talk—US Individual Taxation for Americans Working Abroad  American Citizen's Service Day  Inter-business Council Networking at the Armani  Re-dedication of the Rings of Friendship with H.H. Sheikh Hamdan bin Mohammed Al Maktoum Crown Prince of Dubai  Presidents Day Celebration  Breakfast with Under Secretary for Economic Growth, Energy and the Environment Department of State Robert Hormats  21st Annual Golf Tournament  Cinco De Mayo  Roundtable with President’s Club members & US Deputy Trade Representative Miriam Sapiro  Independence Day  Trade Talk Dinner with US Under Secretary of Commerce for International Trade Department of Commerce Francisco Sanchez  Iftar  Emirati Alumni Event with keynote speaker H.E. Sheikha Lubna Al Qasimi  Members’ Dinner with Assistant Secretary for Economic and Business Affairs Department of State Jose Fernandez  Dubai Air Show Breakfast  US Ambassador to the UAE Michael Corbin address to members at the Annual General Meeting 

Hello 2 0 1 2

Dear Members, As we wrap up 2011 and review our achievements , I want to convey to you all what a great honor it has been for me to serve as President of the American Business Council of Dubai & the Northern Emirates (the "ABC") this year. Over the year I have been consistently imPresident John Podgore

pressed by the "sum of the parts" of the American business community when we gather at ABC events – it is truly a formidable collection of individuals, companies, and capabilities.

Throughout the year, we held events that showcased our strengths and diversity, from the Air Show Breakfast (where our civil and military aviation pre-eminence was evident to all) to our "Renewing the Connection" Emirati Alumni Event (with HE Sheikha Lubna Al Qasimi as keynote speaker, highlighting the ABC's ability to engage the most senior levels of UAE government). The high point of my year, however, was clearly the presence of HH Sheikh Hamdan bin Mohammed Al Maktoum, Crown Prince of Dubai, who was our honored guest at the "Re-dedication of the Rings of Friendship" Event – together with a host of other Emirati notables. During the Rings of Friendship ceremony, we presented HH Sheikh Hamdan bin Mohammed Al Maktoum with the American Business Award.

We have received very positive feedback regarding the numerous monthly networking, business and social activities that have been held throughout the year, and I credit the strength of the bilateral relationship between the US and the UAE for producing a steady flow of very senior US government officials through Dubai this fall – who many of our members have had the opportunity to engage with.

All these outstanding activities and events aside, it is the membership and members like you who help steer the ABC through your valuable input. Give us your thoughts through the new feedback button on our website homepage.

Thank you for your participation in 2011 and I look forward to great shared achievements together in 2012.

John Podgore 2011/2012 President Board of Directors

Dear Members, This year is ending with the breakneck speed and hectic pace that has marked the entire year. You can see from our newsletter cover graphic we held a record 48 events that verged at times from feats of daring with our royal guest and senior ministry speakers to supreme logistic control with our first indoor air conditioned independence day celebration and our biggest fireworks display ever.

Our activities ranged from welcoming the new US Ambassador to hosting the largest inter-business council networking event, plus the impressive trade roundtables, breakfasts and dinners with visiting US dignitaries. I hope you didn’t miss a single event this year, they were remarkable!

However, this year my proudest achievement (and biggest challenge, I might add) has been to provide members with the relaunched website. The website now has given us the ability to provide a much more robust information platform for you to manage your profile, find other members, register and pay for events and even renew online. This is a mighty step forward for our organization. Throughout 2012 you can expect to see more screens on the website populated as well as new features added. We are hard at work on that now.

Thank you for the opportunity to work closely with you, the members and the board of directors in my role directing the operations of this impressive organization. I encourage all members to participate; stay engaged and let me hear from you. We have a lot to do in 2012 to top ourselves!

Happy New Year,

Cara Nazari ABC Executive Director

The Year in Numbers

48 Over

Events in 52 Weeks

6,500 firework shells

8

Trade Talks by visiting Department of Commerce, State, Transportation and Military Affairs officials over

24,000 member notices sent by email annually 1 Forbes’ 100 Most Powerful Arab Women

16 Consulate supported events 56 event sponsors

96 new members 1,238

people to network with at September’s inter-council networking

1 royal prince

adds up to

1 remarkable year for ABC

Business News for Members From Vice President’s Club member Baker Botts LLP

CORPORATE UPDATE - DECEMBER 12, 2011

New UAE Companies Law Approved On December 4, 2011, the Cabinet of the United Arab Emirates announced that it had approved a new federal Companies Law which is expected to relax the foreign ownership restrictions on companies conducting business in the UAE. While the text of the new law has not yet been published, according to initial reports, it should have a strong focus on greater financial transparency and introduce corporate governance requirements.

There has been much speculation over many years as to whether the maximum permissible level of foreign ownership of companies organized in the UAE will be increased from 49%. The Cabinet’s approval of the new law could set the stage for significant changes in the Companies Law by providing a legal framework for the maximum ownership threshold to be raised by subsequent action of the Cabinet. Until the Cabinet takes further action, however, the foreign ownership threshold remains at 49%.

While the addition of a framework to increase foreign ownership levels in the future is a positive step, the market is likely to be disappointed that the new law itself does not formally increase those levels with immediate effect. Regardless, the new law signals an alignment between the federal government’s stated legislative goals and the desires of foreign companies operating in the local market, and could bring about greater legislative change in the near future.

According to initial reports, some of the main features of the new law include:

 Vanessa Abernethy Dubai +971.4.436.3600 Stephen Matthews Dubai +971.4.436.3630 Greg Golden Abu Dhabi +971.2.401.4710 www.bakerbotts.com The materials in this document are made available by Baker Botts L.L.P. for informational purposes only and are not legal advice. The transmission and receipt of information contained in the document do not form or constitute an attorneyclient relationship. If these materials are inconsistent with the rules governing attorney communications in a particular jurisdiction, and the materials result in a client contact in such jurisdiction, Baker Botts may be prohibited from assuming representation of the client contact.

The existing 49% foreign ownership threshold will remain; however, the new draft law permits the Cabinet

to issue a separate resolution specifying the types of businesses that may be majority-owned by foreigners.

There is no timeframe for amending the threshold, and we expect the 49% threshold to remain in effect for the next few months at least. It is unknown whether, once the threshold has been increased, it can be lowered again and, if so, the mechanism for doing so. If the threshold can be easily lowered, this would adversely affect the effectiveness of the new law and therefore the willingness of companies to rely on it to increase their investments in the UAE. It is expected that majority foreign ownership will initially be permitted only in business sectors in which the government seeks to increase foreign direct investment. Expectations are that these sectors will include technology, research and development, and insurance.



Until further developments are disclosed, the maximum level of permissible foreign ownership in the rele-

vant sectors remains uncertain and it is not clear whether foreign companies will be permitted to own up to 100% of an entity established onshore or simply a greater percentage than is currently permitted by law. The maximum permissible level of foreign ownership will have a direct impact on voting, management, and other important shareholder rights.



The new law reportedly exempts from its application public joint stock companies wholly owned by a fed-

eral or local government, and will likely focus on private joint stock companies and limited liability companies.

It is unknown whether the new law could apply to public joint stock companies that are partly owned by the

Number of active UAE mobile phone subscribers surpasses

11m Source: Arabian Business

government, most of which are listed on local stock exchanges. This could encourage foreign investment in the shares of such companies and thereby revive the local stock market which has been struggling for the last few years. Ultimately, however, it will be for each company individually to decide whether to relax any foreign ownership restrictions it may have in its constitutional documents.

With respect to minimum capital requirements, the current position seems unchanged as the new law will not require new companies to have a minimum required share capital and this has been the position under the existing law since 2009. In practice, however, companies have been required to provide a minimum level of capital depending on the Emirate in which they are established and the industry in which they

Estimated total bank deposits for January to October 2011

Dh 1tn

operate. We would expect this to continue following the implementation of the new law, where certain types of activities could be subject to substantial minimum share

Source: UAE Central Bank n

capital requirements which may be set by the relevant Emirate level or federal government departments. For example, we would not expect the new Companies Law to affect the current requirement on certain contracting companies to be substantially capitalized upon incorporation. This is a requirement set by the local departments of economic development in Abu Dhabi and Dubai.



One of the many aims of the new legislation is to reduce the length of time re-

quired to establish a company. How this is expected to be implemented remains to be seen however, as the procedures for establishing a company are set by the authority in each Emirate respectively.



3840

The new law is likely to increase stock subscription amounts for raising capital for

newly founded public joint stock companies.



Number of new business licenses issued by the Dubai Government in Q2

Source: 2011 Department of Economicnnn Development, Government of Dubai nnn

We expect the new law will require companies to develop a general framework

for corporate governance including increased transparency guidelines, protection of shareholder rights, and disclosure of financial statements. It is not known at this stage whether the new law will provide for such specific matters as the protection of minority rights, more elaborate rules on holding board and general meetings for limited liability companies, or other corporate governance matters.



We understand that the new law will also require unified accounting and audit

standards for companies doing business in the UAE, however, commentators have speculated that no specific accounting standards will be mentioned.

Growth for bank loans in first 10 months of 2011

4.1%

Baker Botts will continue to monitor the legislative developments and provide updates and insight into any changes in the law as they are published.

Source: UAE Central Banknnn

Business News for Members

“Washington’s Assault on American Expats” As many of you are aware the new IRS regulation Foreign Account Tax Compliance Act (FATCA) directed toward foreign financial institutions, and the new Form 8938 (along with the existing FBAR requirements) are causing an uproar among American expats world-wide. As William McGurn wrote in his January 3rd Main Street column in

“Washington’s Assault on American Expats”, — the idea behind Fatca is that by cracking down on Americans abroad , the IRS would bring in $8.7 billion in tax revenue over the next 10 years. The burden for this reporting will fall more heavily on foreign financial institutions.

Within the next two years, these companies will be required to register with the IRS and to report information about their U.S. customers to the IRS or face a 30% withholding tax on securities transactions that originate in the U.S. Financial associations on several continents are screaming foul, and some foreign banks have responded the way you would expect them to respond to something that makes dealing with American customers more costly and burdensome: They’re dropping their American customers.’ the Wall Street Journal titled

As a part of the initiatives for 2012, the Council has organized a US Public Affairs Committee (USPAC) chaired by Bilal Sabouni. Bilal adds from the the MECACC report—

‘Other industrialized nations, notably the U.K., Canada, Germany, France, Japan, China, and Russia, aggressively target exports as a major source of earnings and employment. These countries subsidize their exports through the elimination of taxes on the foreign earned income of If you are in the health sector their citizens working abroad.

These other major exporting countries actively exploit our tax policies by encouraging their nationals to fill the void left by Americans who are tax incentivized to remain in the United States.’

and have an interest in the

Health Sector Task Force now forming, contact info@abcdubai.com to be a part of this initiative.

Bilal and the USPAC would like to hear personal and anecdotal experiences from members responding to these IRS rules as they prepare their report for 2012. Contact Bilal Sabouni at info@abcdubai.com Find William McGurn’s full article at www.wallstreetjournal.com in the archives for January 3, 2012, title “Washington’s Assault on American Expats”.

Renew your Membership and Update your profile

by January 15 to ensure you are accurately listed in the 2012 ABC Membership Directory

Renew

Be su als have past re y . profil our onlin e e is cu rrent!

Follow these easy steps to update your ABC online profile. The online profiles will be downloaded beginning January 15 for the 2012 Membership Directory.

Step 1. After you log in you will land at the Member Home page go to My Info

Step 2. Click on the Edit Profile tab to review and update your member information.

For Individual Members

Step 3. Scroll to the bottom of the page to SAVE your changes. Congratulations your profile is updated For Corporate Members—continue to Step 4.

Step 4. Review and update your company profile by selecting your Company from the drop down menu.

Step 4. In the Edit Company tab upload a new Company Profile PDF. Step 5. Scroll to the bottom of the page to SAVE your changes. Congratulations, your profiles are updated.

MEMBERS REPORT

ANNOUNCING YOUR 2012 BOARD OF DIRECTORS

President John Podgore

Vice President Programs Mac McClelland

Vice President Membership Katie Shaver

Executive Vice President Dana Salloum

Vice President Finance Katherine D’Arcy

Vice President Legal Affairs and Secretary Ramsey Jurdi

GENERAL MEMBERS

Stephanie Fisher

Frank Kemnetz

Anne Jafery

John Lancia

Jimmy Larsen

Presenting the 2012 President’s Club and Vice President’s Club 2012 PRESIDENT’S CLUB

2012 VICE PRESIDENT’S CLUB

MEMBERS REPORT

Daily Disciplines for Effortless Success

By Jack Canfield, co-creator of Chicken Soup for the Soul

Hand’s down, one of the most popular questions I’m asked by delegates is this… “Jack, what are your most important daily actions that you correlate with your success.”

In fact, Oprah Winfrey asked me a similar question just days before appearing on her show. She asked me

Don’t miss Jack Canfield’s inspirational seminar April 10—

to come up with some easy-to-apply steps for her viewers to start applying The Law of Attraction in their lives.

One of the basic first steps is to determine, write down and talk about what you do want, not what you don’t want. Be as specific as possible. Once you have clarified what you want, do the following each and every day.

1. Morning Intention, Visualization and Releasing As soon as you wake up in the morning, take about 5 minutes to focus your mind on your desires, goals and intentions. Start by sitting in a comfortable position, closing your eyes and visualizing your desires and goals as already being fulfilled. Spend 30 seconds to a minute on each of your core desires and goals. You can also take a few moments to visualize your day going exactly as you would like it to.

When you do this, you will often find negative limiting beliefs that are the result of negative programming

for information contact

from your childhood will come up. You may hear thoughts like “I could never afford that,”“there’s no way I’ll

success@rightselection.com

available (see the list below) to release the negative thought. Don’t fight or argue with the thought; just re-

or call 04 352 7803.

ever get that,” or “who am I kidding?” coming up. If you do, use one of the many releasing techniques that are lease it.

Remember to also spend several moments feeling the feelings you would feel if you had already manifested your desire in your life. The intensity of the feeling is what fuels the intensity of the attraction.

2. Use External Images to Keep you Focused on Your Desires and Goals Keep yourself focused on what you want to manifest by surrounding yourself with visual images of the things and experiences you want to create in your life. There are many tools you can use for this, including creating a Vision Book from our Vision Board Collection.

Cut out pictures of the things you wish to own (like your ideal car or home) and pictures that represent the experiences you want to have (like the perfect relationship, your ideal job, perfect health, being at your ideal weight, more joy, inner peace or balance in your life) to remind yourself of how you want it to be. Put them somewhere where you will see them every day—on the mirror, the refrigerator, or in your Vision Book.

For even greater impact, combine your pictures with words that reflect your desired outcome, such as abundance, romance, fun, vitality, etc. I think you get the picture. When you look at any of these pictures, do what Bob Doyle, who is featured in The Secret teaches— think the thought, “THIS IS MINE NOW! THIS IS WHO I AM!” 3. Think a Better Feeling Thought Start paying attention to the many times during the day that you have emotional responses (to other people, experiences, or your own thoughts) that are not in alignment with having or producing your desires. Pay special attention to when you feel disappointment, resentment, frustration or anger about your experiences and circumstances.

Remember, it’s your feelings (which are created by your thoughts, opinions, and beliefs) that are creating your current circumstances. You must make a shift by changing your thoughts to ones that make you feel better (i.e., raise your vibration). Remember that you must become a vibrational match for the things and experiences that you want to attract into your life.

It is especially important to focus your thoughts and behaviors on things that cause you to feel joy. Focus your thoughts on thoughts that bring you joy (your lover, your best friend, your grandchildren, your favorite vacation spot) and your actions on doing the things you love to do (pet your cat, work in your garden, listen to your favorite music).

To continue this article visit www.jackcanfield.com

MEMBERS REPORT

Give back to US military service members through the USO Since 1990 we have been fortunate to have a USO operation in Dubai. This allows Dubai and Northern Emirates residents a unique opportunity to show their appreciation and interact with active US troops in the region. The USO, (United Service Organization), was originally established in Dubai to accommodate military personnel during Operation Desert Storm. Since then they have provided assistance to all branches of the US military services by offering recreation and “a home away from home” for service men and women on leave.

Volunteering at the USO facility is one way to show your support to these active duty troops serving far from home. From hosting service members in your own home at holidays to volunteering at the USO facility, to enlisting your corporate CRS department, there are many ways you can participate with the USO.

Upcoming in March — an opportunity for employers to participate with ABC member American University in Dubai The American University in Dubai (AUD) will hold their annual career fair “ACT NOW: AUD CAREERS TODAY”, on the AUD

Jaclyn Ray, the USO staff coordinator for volunteers can give you all the facts. Contact Jaclyn at jray@uso.org to find out how you

campus on Tuesday the 20th of March, 2012.

Participating in ACT NOW provides an excellent opportunity

can participate with the USO individually or through your com-

for your company to connect with AUD students and alumni

pany.

and to discuss and interview for current and future career related employment and internship opportunities. Last

The USO has a long history of troops on foreign missions across the globe since its formation in 1941 by President Franklin D. Roosevelt. Over the years at its 120 locations, the programs and services offered have evolved to meet the needs of modern service men and their families, such as call rooms to give service men and

year’s Career Fair gave the opportunity to more than 300 senior and junior year students as well as to alumni to meet 64 regional and international employers. We are hoping to increase that number for the 2012 edition of our career fair.

AUD is a private, non-sectarian institution of higher learning founded in 1995. The university is accredited by the Commis-

women free access to contact their families and friends back

sion on Colleges of the Southern Association of Colleges and

home. The USO is not part of the U.S. federal government and

Schools in the United States, to award Bachelor’s and Mas-

receives no direct federal funding. All programs are funded

ter’s degrees. It is also licensed and its programs are accred-

through private individual or corporate donations.

ited by the UAE Ministry of Higher Education and Scientific Research.

Use the Power of American Business Engage the American business community through the American Business Council’s sponsorship programs and membership directory

The Council has been instrumental in strengthening commercial as well as cultural ties between the Emirati and American communities.

-Her Excellency Sheikha Lubna Al Qasimi

American Business Council 2012 Print Membership Directory PREMIUM POSITIONS Outside Back Cover

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Inside Front Cover

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Inside Back Cover

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Cover Spreads

18,500 dhs

D

Opposite Table of Contents

12,000 dhs

Bookmark

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SOL

Editorial Section

The Directory is distributed to over 700 key American business leaders plus the US Embassy, US Consulate General Dubai, US Chamber of Commerce, Washington DC and UAE government ministries, the Dubai Chamber of Commerce, UAE business councils and trade associations.

This Directory is first choice for information on the American business community in Dubai and the Northern Emirates.

“Doing Business in Dubai”

Two ad pages plus On-line presence April to March

The go-to source on American business, the 2012 American Business Council Directory is the only published listing of all ABC member corporate profiles made available to the public.

30,000 dhs

Don’t miss the opportunity to reach this audience in the 2012 American Business Council Membership Directory

SUBMISSION FORMAT PDF or EPS

Publication Date: April 1, 2012 Contact Susan Whistler, at communications@abcdubai.com

SIZE Full bleed 22cm x 31cm safety 19.5x 28cm

BOOKING FORM

Ad Unit: DEADLINE FOR AD MATERIALS February 10, 2012

Company Name: Booking Representative: Contact for Ad Materials: Company Stamp:

2012 Sponsorship Programs ARAB HEALTH BREAKFAST

PRESIDENTS’ DAY CELEBRATION

January 24

February 24

Gold Sponsor 7,500dhs

George Washington Package 20,000dhs

Silver Sponsor 5,000dhs

Abraham Lincoln Package 15,000dhs Grand Prize Sponsor 7,500dhs Corporate Prize Sponsor

ANNUAL GOLF TOURNAMENT

INDEPENDENCE DAY

April

July 4

Golf Shirt Sponsor 35,000dhs

Title Sponsor 50,000dhs

Hole Sponsor 7,500dhs

Patriotic Sponsor 30,000

Goodie Bag Sponsor 7,500dhs

Red Sponsor 25,000dhs

1st Prize Sponsor 5,000dhs

White Sponsor 15,000dhs

2nd Prize Sponsor 4,000dhs 3rd Prize Sponsor 3,000dhs

Blue Sponsor 7,500dhs

Longest Drive Sponsor 2,000dhs

Grand Prize Sponsor above 7,500dhs

Closest to the Pin 2,000dhs

Corporate Prize Sponsor

EMIRATI ALUMNI EVENT October 8 Presenting Sponsor 25,000dhs Support Sponsor 10,000dhs

Don’t Miss this Opportunity!

Sponsorship of ABC events provides an outstanding platform to present your corporate profile, services and products to a prestigious business audience.

Choose any two packages and make payment by January 30 th to receive a 15% discount.

Please complete this form and fax to the American Business Council.

For further details contact coco@abcdubai.com Company Name: ______________________________Contact Person: ____________________________ Sponsorship Package: ______________________________________________________________________ Phone: _____________________________ E-mail: _______________________________________________ Signature: ___________________________________________________ Date: ________________________

2012 ABC CALENDAR HIGHLIGHTS Sun 8-Jan

Healthcare Round table with CG Justin Siberell

Tues 10-Jan

Rock-n-Roll Networking

Thurs 19-Jan

MECACC Steering Committee Meeting

Tues 24-Jan

Arab Health Breakfast-Monthly Meeting

Mon 6-Feb

Networking - Super Bowl Event

Tues 7-Feb

Inter-business Council Networking hosted by Swiss BC

Mon 20-Feb

Monthly Meeting - Tax Breakfast

Fri 24-Feb

President's Day Celebration

March

American Citizen's Service Day

March

Monthly Meeting-Rudy Gulianni

April

Inter-business Council Networking hosted by German BC

Thurs 12-April

21st Annual Golf Tournament

April

Door Knock in Washington, DC

Mon 16-Apr

Monthly Meeting

May

Cinco De Mayo Networking

Mon 21-May

Monthly Meeting

TBD

President/Vice President's Exclusive Dinner

June

Consul General's Farewell

June

Inter-business Council Networking hosted by French BC

Mon 18-Jun

Monthly Meeting

Wed 4-Jul

Independence Day Celebrations

Mon 13-Aug

Networking - Iftar

September

Inter-business Council Networking

Mon 17-Sep

Monthly Meeting

Mon 15-Oct

Emirati Alumni Event

Oct

Monthly Meeting

Oct

Inter-business Council Networking

Oct

President's Club & Vice President's Club Appreciation

Mon 5-Nov

General Meeting - Announce 2013 BOD

TBD

American Citizen's Service Day

Mon 28-Nov

Annual General Meeting - Announce 2013 BOD

Nov

Dubai Chamber Gala

TBD

Award Presentation

Mark your calendar for upcoming ABC events Keep up-to-date with 2012 activities as events are added to our calendar by checking in at the ABC website www.abcdubai.com

THANK YOU TO OUR 2011 PREMIER SPONSORS American Hospital Abu Dhabi Commercial Bank Boeing General Motors

COMMUNITY ANNOUNCEMENT