thefinancialdaily-epaper-11-06-2011 by The Financial Daily

International Karachi, Saturday, June 11, 2011, Rajab-ul-Murajjab 8, Price Rs12 Pages 8

Clinton in talks over possible move to WB

US vows to carry on drone strikes

See on Page 8

Senate head seeks report of Khi tragedy

See on Page 8

Cyclone threat to coast averted

See on Page 8

See on Page 8 Economic Indicators

SC takes notice of brutal Karachi killing

$17.16bn 14.00% $22.70bn $36.50bn $(13.80)bn $748mn $9.05bn $1.53bn Rs 1147bn $59.54bn Rs 5617bn $649.9mn 6.75% 4.10% $1,051 176.28mn

Forex Reserves (4-June-11) Inflation CPI% (Jul 10-May 11) Exports (Jul 10-Apr 11) Imports (Jul 10 - May 11) Trade Balance (Jul 10 - May 11) Current A/C (Jul 10- Apr 11) Remittances (Jul 10 - Apr 11) Foreign Invest (Jul 10-Apr 11) Revenue (Jul 10 Apr 11) Foreign Debt (Mar 11) Domestic Debt (Apr 11) Repatriated Profit (Jul- Apr 11) LSM Growth (Mar 11)

GDP Growth FY10E Per Capita Income FY10 Population

Rangers, Police head transferred Two Rangers sent on 5-day remand

Portfolio Investment SCRA(U.S $ in million)

255.89 10.57 1.90 2836

Yearly(Jul, 2010 up to 8-Jun-2011) Monthly(May, 2011 up to 8-Jun-2011) Daily (8-Jun-2011) Total Portfolio Invest (28-May-2011)

NCCPL (U.S $ in million)

FIPI (9-Jun-2011) Local Companies (9-Jun-2011) Banks / DFI (9-Jun-2011) Mutual Funds (9-Jun-2011) NBFC (9-Jun-2011) Local Investors (9-Jun-2011) Other Organization (9-Jun-2011)

-3.08 -1.21 4.52 0.28 0.08 -0.12 -0.47

Global Indices Index KSE 100 Nikkei 225 Hang Seng Sensex 30 ADX SSE COMP. FTSE 100 *Dow Jones

Close 12330.14 9467.15 22609.83 18384.90 2703.34 2703.34 5855.46 12137.87

Change 37.15 17.69 51.80 9.39 6.98 46.94 46.57 88.93

GDR update Symbols MCB (1 GDR= 2 Shares) OGDC (1 GDR= 10 Shares) UBL (1 GDR= 4 Shares) LUCK (1 GDR= 4 Shares) HUBC (1 GDR= 25 Shares)

$.Price PKR/Shares 2.60 111.45 13.00 111.45 2.00 42.87 1.70 36.44 10.99 37.69

Money Market Update T-Bills (3 Mths) T-Bills (6 Mths) T-Bills (12 Mths) Discount Rate Kibor (1 Mth) Kibor (3 Mths) Kibor (6 Mths) Kibor ( 9 Mths) Kibor (1Yr) P.I.B ( 3 Yrs) P.I.B (5 Yrs) P.I.B (10 Yrs) P.I.B (15 Yrs) P.I.B (20 Yrs) P.I.B (30 Yrs)

01-Jun-2011 01-Jun-2011 01-Jun-2011 20-May-2011 09-Jun-2011 09-Jun-2011 09-Jun-2011 09-Jun-2011 09-Jun-2011 09-Jun-2011 09-Jun-2011 09-Jun-2011 09-Jun-2011 09-Jun-2011 09-Jun-2011

13.43% 13.68% 13.88% 14.00% 13.55% 13.53% 13.78% 14.14% 14.25% 13.99% 14.03% 14.08% 14.30% 14.51% 14.81%

Commodities *Crude Oil (brent)$/bbl 118.18 *Crude Oil (WTI)$/bbl 101.27 *Cotton $/lb 133.61 *Gold $/ozs 1,539.40 *Silver $/ozs 37.16 Malaysian Palm $ 1,065 GOLD (NCEL) PKR 42,542 KHI Cotton 40Kg PKR 9,109 Open Mkt Currency Rates Symbols Buy (Rs) Sell (Rs)

Australian $ 90.30 Canadian $ 87.10 Danish Krone 16.30 Euro 124.80 Hong Kong $ 10.80 Japanese Yen 1.056 Saudi Riyal 22.78 Singapore $ 69.15 Swedish Korona 13.55 Swiss Franc 97.50 U.A.E Dirham 23.28 UK Pound 140.30 US $ 85.75

91.30 88.10 16.70 126.20 11.30 1.083 22.98 70.15 13.90 98.50 23.48 142.00 86.00

Inter-Bank Currency Rates Symbols

Australian $ Canadian $ Danish Krone Euro Hong Kong $ Japanese Yen Saudi Riyal Singapore $ Swedish Korona Swiss Franc U.A.E Dirham UK Pound US $

Buying

Selling

TT Clean

TT & OD

90.60 87.43 16.79 125.22 11.01 1.070 22.84 69.57 13.88 102.46 23.32 140.57 85.73

90.81 87.63 16.83 125.51 11.03 1.072 22.89 69.73 13.91 102.70 23.37 140.90 85.92

Weather Forecast Cities

Islamabad Karachi Lahore Faisalabad Quetta Rawalpindi

Max-Temp Min-Temp

39°C 36°C 39°C 40°C 38°C 40°C

24°C 28°C 27°C 28°C 16°C 26°C

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ISLAMABAD: President Asif Ali Zardari exchanging views with Afghan President Hamid Karzai at Aiwan-e-Sadr. APP

Rs335tn KPK budget today

Rs457bn Sindh budget tabled KARACHI: As per the expectations, the Sindh Finance Minister Murad Ali Shah presented Rs457 billion Sindh budget for the fiscal year 201112 without making an addition in the taxes. The Sindh government is expecting a surplus of Rs882 million. The development package for Karachi was announced to be Rs20 billion, while Rs10 million, Rs20 million and Rs2 million were allocated for Hyderabad, Larkana and Benazirabad respectively. A new city called Zulfiqarabad will be established along coastal belt of Thatta, for which 335 acres of

21 dead in Syrian crackdown and assault on north BEIRUT: Syrian forces shelled a town in the country's restive north and opened fire on scattered protests nationwide, killing at least 21 people on Friday, activists said. Hundreds of Syrians streamed across the border into Turkey, trying to escape the violence. A Syrian opposition figure told The Associated Press by telephone that thousands of protesters overwhelmed security officers and torched the courthouse and police station in the northern town of Maaret al-Numan, and the army responded with tank shells. The man spoke on condition of anonymity because of the sensitivity of the matter. Syria's state-run television appeared to confirm at least part of the report, saying gunmen opened fire on police stations in Maaret al-Numan, causing casualties among security officials. The Local Coordination Committees, a group that documents anti-government protests in Syria, said there were 10 deaths in the northwestern province of Idlib. The group said many of the casualties were in Maaret al-Numan. Twenty-five miles (40 kilometers) to the west in the same province, Syrian troops backed by dozens of tanks massed outside the virtually deserted town of Jisr al-Shughour and shelled nearby villages. Syrians who escaped into Turkey depicted a week of revolt and mayhem in Jisr al-Shughour, saying police turned their guns on each other and soldiers shed their uniforms rather than fire on protesters. Syrian state television said Friday the operation aimed to restore security in the town, where authorities say 120 officers and security personnel were killed by "armed groups" last week. Syrians fleeing the violence continued to pour into Turkey. Nearly 4,000 had crossed by Friday, nearly all of them in the past two days, according to Turkish media. -Reuters

land were allocated. According to the media reports, the session was conducted in a peaceful manner. Except for the Awami National Party that announced their boycott a day earlier, all political parties attended the session. According to the budget document, Rs31 billion was allocated for the improvement of law and order in the province. It was also announced that 80,000 new teachers will be appointed in all schools in the province. 300 new schools will be built while 124 primary schools will be restored. Shah said that all decisions on budget were taken jointly. He further added that Rs6.95

billion has been allocated for the development of the health sector. Rs20 billion were also allocated for flood affected areas. Meanwhile Khyber Pakhtunkhwa (KPK) budget for fiscal year 2011-12 with total outlay of Rs335 trillion is being presented today in provincial assembly. KPK Finance Minister Engineer Humayun Khan will present the budget. Tax ratio has been increased by 20 per cent in the budget while allocations have been made for operating FM radio stations in the areas of Dir, Mansehra and Bannu to See # 11 Page 7

11M remittances hit $10bn record Staff Reporter KARACHI: The remittances sent home by overseas Pakistani workers have crossed $10 billion mark for the first time in country's history. The overseas Pakistanis have remitted an amount of $10,096.40 million in the first eleven months (July-May) of the current fiscal year (201011), showing an increase of $2,031.94 million or 25.20 per cent when compared with $8,064.46 million received over the same period of the last fiscal year. Overseas Pakistanis have remitted over $1 billion for the third consecutive month of this

fiscal year. They remitted an amount of $1052.90 million, $1,030.43 million and $1,049.79 million in March, April and May 2011 respectively. The remittances sent home by overseas Pakistanis in May 2011 were up by 38.52 per cent or $291.93 million when compared with $757.86 million received in the same month last year. It may be pointed out here that overseas Pakistani workers had remitted an amount of nearly $8.906 billion in the last fiscal year (2009-2010). The inflow of remittances in See # 12 Page 7

Govt to announce tariff policy soon ISLAMABAD: Government will soon announce a new policy to address tariff related matters, FBR Chairman Salman Siddique told the Senate Standing Committee on Finance here on Friday. The Senate Committee, which met with Ahmed Ali in the chair, discussed the Finance Bill 2011-12. The Chairman of Federal Board of Revenue (FBR) said that all the stakeholders would be consulted before finalising

the tariff policy, which finally would be forwarded to Economic Coordination Committee of the Cabinet (ECC) for approval and incorporation in the trade policy. The committee lauded the FBR efforts on incorporating insurance guarantees in the Afghan Transit Trade agreement. Pakistan last month agreed to accept insurance companiesbacked financial guarantees for See # 10 Page 7

Trade deficit widens to $1.98bn in May ISLAMABAD: Pakistan's trade deficit widened to $1.98 billion in May from $1.62 billion a year earlier, the Federal Bureau of Statistics said on Friday. The trade deficit was $870 million in April. Exports increased to $2.30 billion in May, from $1.73 billion a year ago, according to the

Bureau. Imports totalled $4.28 billion in May, up from $3.36 billion in May last year. The country's trade deficit for the first 11 months of the 201011 (July-June) fiscal year was $14.10 billion, compared with a $13.97 billion deficit in the same period last year. Agencies

ISLAMABAD: A five-member Bench of the Supreme Court, headed by Chief Justice Iftikhar Muhammad Chaudhry, on Friday directed that both Director General (DG) Rangers and Inspector General Police (IGP) Sindh be transferred over the killing of Sarfaraz Shah by Rangers personnel on Friday. According to a private television channel, the court warned that if the two officials were not transferred within the next three days, their salaries will be withheld. The court issued the directives after hearing a suo motu notice over Shah's killing by Rangers personnel. During the hearing, Chief Justice Iftikhar Chaudhry said that the incident was enough for both DG Rangers and IGP Sindh to tender their resignations. Moreover, the apex court directed the Ministry of Interior to act against IG Sindh and DG Rangers. The court further directed Secretary Interior to

present a report on the incident. Chief Justice Iftikhar Chaudhry also directed Karachi police and Rangers to determine if there was any criminal record against Sarfaraz Shah. Earlier on Friday, the Supreme Court resumed the hearing of suo motu proceedings regarding the killing of a man at the hands of Rangers in Karachi. The CJP remarked that investigations should be independent and called a report within three days. He said that the Rangers had not been given the mandate of killing the citizens. The Chief Justice said that the Sindh Inspector General of Police and the Rangers Director General should have resigned themselves after watching the video of the incident. During the hearing, the Chief Justice snubbed the IGP Sindh that he was lying to the court when he stated that the victim died in the hospital. He said that a wrong report had been

WTO warns of rising global protectionism

Reconciliation key agenda of visit

BRUSSELS: The world's trading nations are succumbing to protectionism in the wake of the global financial crisis, limiting exports of food and raw materials and installing new import barriers, the WTO warned on Friday. Commodities export restrictions from Indian cotton and Ukrainian wheat to Chinese rare earths and coal are "not without hazards", the World Trade Organization said in the report that assesses the protectionist behaviour of more than 180 nations. The report, scheduled to be released on June 21, was obtained by Reuters in advance of publication. The rising protectionist trend, studied by the reports authors between October 2010 and April 2011, contradicts the promises made by the world's leading and industrialised economies to resist protectionism and its negative fallout. "Trade restrictions taken by WTO members and observer governments over the past six months have become more pronounced than in previous periods," the report said. -APP

Gates blasts NATO, questions future of alliance BRUSSELS: America's military alliance with Europe — the cornerstone of U.S. security policy for six decades — faces a "dim, if not dismal" future, U.S. Defense Secretary Robert Gates said Friday in a blunt valedictory address. In his final policy speech as Pentagon chief, Gates questioned the viability of NATO, saying its members' pennypinching and lack of political will could hasten the end of U.S. support. The North Atlantic Treaty Organization was formed in 1949 as a U.S.led bulwark against Soviet aggression, but in the post-Cold War era it has struggled to find a purpose. -Reuters

presented in the court and termed it an attempt to rub more salt on the people's wounds. The CJP said that the boy has become the nation's child. The court expressed doubt over the credibility of investigations under the IGP. Meanwhile, Karachi City Court has sent two rangers involved in the killing of a youngster in jurisdiction of Boat Basin police station, Karachi on five day physical remand. The two police rangers Afzal and Shahid Zafar were presented before the Judicial Magistrate Nadeem Badr Qazi on Friday morning. The investigative officer told the court that the crime committed by the accused is in front of everyone and asked for remand for further interrogations. The court accepting the plea of police handed over the accused to the police on 5 day See # 6 Page 7

Afghan President arrives

APTTA to be launched formally ISLAMABAD: President Asif Ali Zardari and Prime Minister Syed Yousuf Raza Gilani warmly received Afghan President Hamid Karzai at a formal welcome ceremony at President House here Friday evening. President Karzai was presented guard of honour by a smartly turned out contingent of the armed forces. President Karzai was introduced to members of the federal cabinet and chiefs of the armed forces. The meeting between the two presidents has started at the Presidency which is followed by delegation level talks. Karzai is accompanied by Chairman of the High Peace Council Prof Burhanuddin Rabbani, Foreign Minister Dr.

Zalmai Rassoul, Defense Minister Abdul Rahim Wardak, Interior Minister, Minister for Water and Power, Commerce Minister and other top officials. During the visit, Pakistani and Afghan leaders will also formally launch the Afghanistan-Pakistan Transit Trade Agreement (APTTA), which was finalised by officials of the two countries in Kabul last month after some amendments. According to reports, Afghan President will seek Islamabad's role to encourage Afghan Taliban and other armed groups to come to the negotiation table. It is President Karzai's second visit to Pakistan in ten months. See # 7 Page 7

KESC installations must be protected: Gilani

PM asks to settle KESC labour issues ISLAMABAD: The Prime Minister Syed Yousuf Raza Gilani directed that the federal and provincial governments should ensure complete protection to KESC's installations, offices and personnel for the smooth supply of electricity to the citizens of Karachi. While chairing a high level meeting convened to look into Karachi Electricity Supply Company (KESC) issue, here at the PM House Friday, he also directed that a committee com-

prising of representatives of key stakeholders be constituted to deliberate upon labour related issues of KESC and find solutions to the problems in the minimum possible time. He said that the KESC management should make all-out efforts to improve the supply of electricity to the citizens of Karachi and resolve related matters in this regard. He reiterated that the government is determined to create See # 8 Page 7

Punjab oil shortage to end by July 1: NA told

No letup in petrol crisis LAHORE/KARACHI: Though President Zardari took notice of the shortage of petrol in different parts of the Punjab and Sindh and ordered smooth supplies but fuel shortage continued in different cities of the two provinces, including the provincial capitals. This is the fourth consecutive day of shortage.

Several filling stations in various cities of the Punjab and Sindh remained closed on Thursday as oil companies could not arrange fuel supplies for them. Traffic on the roads of Lahore, Multan, Dera Ghazi Khan, Lodhran, Khaewal, Vehari, Karachi, Hyderabad See # 9 Page 7

Saturday, June 11, 2011

Legal cover for Civil Hospital faculty sought Staff Reporter KARACHI: The Dow University of Health Sciences'(DUHS) Senate Committee has called for legal cover for its faculty members as well as other medical professionals serving at Civil Hospital, Karachi (CHK). During the University's fifth senate meeting, they expressed serious reservations about the security arrangements at CHK, the teaching hospital, affiliated with the University. On the occasion DUHS Vice Chancellor, Prof Masood Hameed Khan sought the faculty's support to help the University sustain its ongoing development programs. In response to a submission made by a senior faculty member, for a raise in the allowances of the clin-

ical side faculty members, he said the University was faced with scarcity of funds. "In the given situation we have to set our priorities right and expect faculty members to support the University administration," he said. The DUHS Senate Committee members opined that funds must be increasingly diverted towards research projects as this was a major responsibility of a university level institution. They said research grants must be provided to the faculty members undertaking authentic research work. Vice Chancellor, Prof Masood Hameed Khan disagreed with another submission regarding issuance of No Objection Certificate (NOC) to the University's faculty mem-

ber availing leave to serve at foreign institutions. "NOC for Ex-Pakistan Leave cannot be granted to faculty keen to maintain their jobs in the University at the expense of public," he commented. Prof Masood Hameed said an insurance programme for DUHS overseas faculty members was about to be introduced and that this facility already existed for all employees of the University since long. The fifth meeting of the DUHS was presided over by Vice-Chancellor DUHS Prof Masood Hameed Khan and attended by ProVice Chancellor DUHS and Principal Sindh Medical College, Prof M Umer Farooq, Prof Junaid Ashraf, Principal Dow Medical College, Registrar, Dr Zeenat Ayub,

Fatima Suriya Bajya, Prof Abdul Ghaffar Billo, Prof Jamal Raza and Prof Salahuddin Afsar. DUHS syndicate members and senior faculty members including Professor Naheed Sultana, Professor Idress Adhi, Professor Shahnawaz Marfani, Prof Ata-urRehman and others also attended the meeting. Professor Masood Hameed Khan presented the annual progress report of the University and discussed in detail various development projects underway at the University. He particularly referred to the University's community health projects and appreciated efforts of the faculty members in bringing up the University at par with international level institutions.

ISLAMABAD: Artists performing in Gilgit-Baltistan and Kashmir musical night to entertain the visitors during Lok Mela arranged by National Institure of Folk and Traditional Heritage at Lok Virsa. -APP

KU declares BCom results KARACHI: The University of Karachi on Friday announced the result of B.Com. Part II, Both Parts (Regular) Annual Examination 2010. The first position was shared by Hunain of the Institute of Business Education and Ariba Israr of the Government College of Commerce and Economics. They had secured 842 marks each out of the total of 1,100 marks. Muhammad Mutahir of the Government College of Commerce and Economics with 835 marks remained second. The third position went to Sidra Muneer of Defence Authority Degree College who got 828 marks.-APP

CLASSIFIED

Public Notice 780 shares of M/s New Jubilee Life Insurance Company Limited, having share certificate no. 22823 and 30308 bearing distinctive # 29999501 to 30000000 and 41588111 to 41588390 in the name of Pervaiz Ahmed S/o Waqat Ahmed (Folio # 20526) have been lost. If no claim/objection is lodged within 7 days with Share Registrar, Central Depository Company of Pakistan Limited, CDC House, 99-B, Block-B, SMCHS, Shahra-e-Faisal, Karachi, duplicate share certificates will be issued by company to the shareholder concerned.

Etihad, American Air enter into agreement KARACHI: Etihad Airways, the Abu Dhabibased national airline of the United Arab Emirates, and American Airlines have agreed to enhance their existing code-share relationship by offering their passengers the opportunity to earn frequentflyer miles on flights booked on each other's networks. Starting June 1, 2011, members of Etihad Airways' Etihad Guest frequent flyer programme and American Airlines' AAdvantage programme will be able to earn miles on eligible American Airlines and Etihad Airways flights, respectively. The agreement was further strengthened in 2010,

when the code-share was extended to Etihad's flights in Pakistan, offering customers in Pakistan easy, convenient connections between Karachi, Islamabad and Lahore and key destinations in the United States including Washington, Los Angeles, San Francisco, Dallas, Miami and Houston. James Hogan, Etihad Airways' Chief Executive Officer, said: "A key strength in Etihad's growth has been the strategic development of our airline partnerships." "The United States is a key market for Etihad and a popular destination for many of our customers in Pakistan. and we are committed to strengthening the ties between the Pakistan

and will encourage new ventures in Pakistan. The experts agreed that it is also an opportunity for the Islamic investors and financiers to develop products and low-cost housing schemes for low-income segments, since Islamic Financing is based on Equity-sharing models. The group included Syed Saleem RazaFormer Governor State Bank of Pakistan; Muneer Kamal-CEO KASB Bank, Muhammad A y u b - R i p h a h International University Islamabad, Salimullah Director Islamic Banking Department-State Bank of Pakistan; Nighat

Siemens launches Student Award KARACHI: Siemens has launched the 'Student Award', under which prizes to the tune of US dollars 45,000 will be given on best answers to the toughest questions related to mega trends. The Siemens Pakistan in a statement here on Friday that called for outstanding ideas by the best and brightest students currently studying at Middle Eastern universities including Pakistan. It has launched the Siemens Student Award, a regional contest that seeks the best answers to the world's toughest questions related to four mega trends: demographic change, climate change, urbanization, and globalization. The winners will take home a total of US$ 45,000 and be presented with internship opportunities at Siemens Middle East. With its Student Award the company encourages bachelor and master students enrolled at accredited universities in the Middle East and Pakistan to submit essays of up to 500 words that deal with one central question `How to build sustainable cities in the desert. It was further pointed out that in line with its belief in team play, Siemens is not only inviting entries from individuals but also from groups of up to three students. Submissions will be vetted by Siemens experts and the online community for their accordance with five criteria: fit to topic; pioneering; easy to implement; creativity of presentation; and easy to understand. -PR

and US markets through this agreement." Etihad Airways currently places its 'EY' code on a number of transatlantic services operated by the US carrier between Europe and the United States, as well as selected domestic services operated by American Airlines beyond New York and Chicago. Etihad Airways currently flies to three destinations in North America: New York, Chicago and Toronto in Canada and commenced operations to Pakistan in 2004 with flights to and from Karachi. Etihad now offers services to Karachi, An Islamabad and Lahore as KARACHI: well as 66 destinations Intermediate College of Arts and Sciences is being across the globe. -PR launched by the Institute of Business and Technology (Biztek). The Registrar of the institution, Shan Saeed, said on Friday that necessary approval in this regard has been obtained. He said that this would Tanveer, Director State help provide the youngBank of Pakistan; Syed sters with a better option to Shahjahan Salahuddin- pursue and decide their MD World Islamic careers at an early stage. Finance Summit (WIFS); Besides Intermediate Ozair A Hanafi, Lead courses in Pre-medical, Consultant WIFS; Syed Commerce, PreTariq Ali-Director WIFS Engineering, General and Menin Rodrigues- Group (Computer Consultant WIFS. Sciences], Humanities/ The members of the Arts as well as diplomas in group endorsed the organ- Business Administration, ising of this unique global courses will be offered in summit at an appropriate E-commerce, web-mantime and were of the opin- agement and in IT. ion that Pakistan and The last date of submisIslamic countries in the sion of forms is June 22 region have several suc- and classes will commence cessful programs and from July 1. products which can be the The courses would be basis of an interesting and taught by the faculty at invigorating discussion Biztek, it was further statduring the summit.-PR ed. -APP

Consultative Group plans for WIFS 2011 KARACHI: A special 'Consultative Group' comprising of senior bankers, Islamic finance specialists and academicians met here Friday to endorse and chart out strategic content for the upcoming World Islamic Finance Summit 2011 (WIFS). The Summit will be held on September 21-22 in Karachi. The 'Consultative Group' also discussed the Budget 2011-2012, where they expressed optimism about a "5 years tax-holiday" proposed in the budget for equity-based projects. This reform is expected to bring numerous opportunities for the investors

RAWALPINDI: A group photograph of Kohan Olav Koss from Norway, 4 Olympic gold medals winners and 21 world records holder, President and CEO of Right to Play international after delivering his lecture on sports in Fatima Jinnah Women University. -APP

Biztek founds Inter College

Saarc vows to play its role in regional growth ISLAMABAD: South Asian Association for Regional Cooperation (SAARC) on Friday vowed to play more active role in promoting trade, peace and development in the region aimed at political stability. According to press release issued here on Friday, the governments and business community must utilise the Saarc Chambers' Forum to develop cordial relations between the member states, said Iftikhar Ali Malik, Vice President Saarc Chamber of Commerce and Industry. Malik said this while speaking at a reception hosted by Saarc Chamber in honor of Rajinder Kumar Sharma, outgoing Commercial Counselor of Indian High Commission and his successor Arvind Saxena. He lauded the initiative of Pakistan and India to ease visa restrictions saying it will help break the logjam to further expand bilateral relations at the people-to-people level. Malik further said that Pakistani business community would continue to strive to further strengthen its special and cordial relations with all SAARC

countries to boost economic and trade activities in the region. "RK Sharma has played a historic role in enhancing commercial ties between Pakistan and India at a time when trade was threatened," said Malik adding that arms race will lead us nowhere while struggle for prosperity will help everyone. At the occasion, Secretary General Saarc CCI Iqbal Tabish Pakistan and India, the major players in the grouping, should enjoy a special relationship in the days ahead which is in the interest of everyone. He said that the efforts of Sharma for a change are visible enough and we are loosing a very competent officer. He called upon civil society, traders and parliaments of the Saarc countries to work together to promote trade, commerce, and regional cooperation. Tabish said that it is responsibility of every individual to realize the objectives of the Saarc CCI, besides contributing to peace, harmony, understanding and progress. "Saarc is capable of eliminating the ever increasing poverty from region, which generates less than 2 per cent of

world income, supports 22 per cent of world population and 44 percent of the world's poor," Tabish informed. Sharma said that Pakistani business community is blessed with very honest, competent and committed leadership like Tariq Sayeed, Iftikhar Ali Malik and Ghulam Ali. The untiring efforts of Pakistani business leaders to bridge gaps and create linkages between Pakistan and India have resulted in strengthened relations which is helping 1.4 billion people of South Asia, he said. Our dream of poverty reduction will only come true rapidly if the business community of two countries continue pushing their positive agenda, he said. VP FPCCI, Fazal Elahi, Chairman FPCCI Capital Office Hameed Akhtar Chadda, Chairman Coordination Raza Khan, former VP FPCCI Malik Zubair, Kunwar Qutubuddin, President ICCI Mehfooz Elahi, President RCCI Syed Ali Raza, Chairman Media Malik Sohail Hussain and other prominent business leaders were also present on the occasion. -Online

ISLAMABAD: FPCCI president and vice president Islamic Chamber Senator Haji Ghulam Ali, Federal Minister for Sports Shaukatullah Khan, President Islamabad Chamber Mehfooz Elahi, Naved Afridi of Johnson Co and Mansoor Ansari addressing the seminar. -Staff Photo

DHA sets up rain emergency centre Staff Reporter

KARACHI: The DHA is fully geared up and alert to meet any possible fallout due to the expected tropical cyclone purportedly approaching the coastal areas of Sindh and Balochistan including Karachi. A DHA statement here Friday said that all rain emergency related matters including speedy dewatering of the area and prompt restoration of civic services in DHA Phase-I to Phase-VII would be looked after by CBC while DHA would deal with all rain emergency related complaints in DHA Phase-VIII. Sequel to this decision, a meeting chaired by Director Development DHA Phase-VIII, Col (R) Sagheer Ahmed, was held at DHA's Main Office on Friday to finalise the strategy to cope with the impending cyclone/ rain emergency.

It was decided in the meeting that DHA would take all-out measures to facilitate the residents in speedy resolution of their rain/ cyclone emergency complaints. A Rain Emergency centre has been established at the Housing Authority's Main Office in DHA Phase-I which would operate day-and-night during the rains and ensure provision of immediate relief to the rain affected people by coordinating with CBC, KESC and other relevant civic agencies. The Emergency Centre will monitor the overall rain situation in DHA and facilitate speedy resolution of residents' complaints. Residents can contact the DHA Rain Emergency Centre for complaints/ information on telephone no: 99266877, 99266888 and UAN No 111-589-589 Ext 2060.

Seerat Conference at FUUAST KARACHI: A two-day Seerat Conference will be held here from June 12. It is being held under the auspices of Federal Urdu University of Arts, Science and Technology (FUUAST). Scholars and intellectuals from all over the country have been invited to express their views on the occasion. Federal Minister for Religious Affairs, Syed Khurshid Ahmed Shah, will be the chief guest while the Vice-Chancellor of FUUAST will preside over the inaugural session. Sindh Minister for Law, Muhammad Ayaz Soomro, will be the guest of honor. The organisers of the conference are Prof Dr Badaruddin, Prof Salahuddin. The members of the coordination committee are Prof Dr Hafiz Muhammad Sani, Prof Dr D Sulaiman and Prof Dr Muhammad Mushtaq Kalota. -APP

Saturday, June 11, 2011

Oil drops as Saudi Arabia offers more crude

Sugar up on Brazil crop uncertainty

Analysts say lack of OPEC leadership not price supportive

LONDON: ICE sugar prices rose on Friday, supported by investor buying and uncertainty over the size of Brazil's cane crop, while cocoa firmed, although gains were limited by supplies from top producer Ivory Coast. ICE coffee futures eased, weighed by top producer Brazil's harvest. ICE sugar traded at around a two-month high, up over 2 per cent, with a lack of consensus over Brazil's crop underpinning prices. Fund and investor rolling of positions before the June 30 expiry of the ICE July raw sugar futures contract accounted for much of the volumes, said Peter de Klerk, senior analyst with Czarnikow. ICE July raw sugar futures were up 0.1 cent or 0.4 per cent at 24.94 cents a lb at 1443 GMT. Liffe August white sugar was up $3.20 or 0.5 per cent to $715.30 per tonne. Cocoa prices were firmer, extending recent gains, which dealers described as a technical bounce following months of prices trending lower. Weather conditions have been favourable for top producer Ivory Coast, supporting expectations of an abundant mid-crop. ICE September cocoa futures were up $19 or 0.6 per cent to $2,989 a tonne at 1445 GMT, while Liffe September cocoa traded up 26 pounds or 1.4 per cent at 1,869 pounds a tonne in moderate volume of 4,866 lots. Ivory Coast is recovering from a four-month post-election power struggle, which killed thousands of people and hit its economy. Arabica coffee futures on ICE edged down, weighed by Brazil's harvest and the firmer dollar. ICE September arabica coffee was down 4.75 cent or 1.8 per cent at $2.6510 per lb at 1449 GMT. Liffe September robustas were down $13 or 0.5 per cent at $2,494 a tonne. Reuters

LONDON: Crude oil prices dropped on Friday as Saudi Arabia began offering more oil to Asian refiners, easing worries about supply following an inconclusive OPEC meeting. By 1400 GMT, US crude futures fell by $2.65 to $99.28 a barrel, retreating from early gains and slipping below $100 a barrel. ICE Brent for July delivery was down $1.18 at $118.39 a barrel, having risen to a high of $120.07 earlier, the highest since May 5. Top oil exporter Saudi Arabia is offering more crude to Asian refiners in July, industry sources with direct knowledge of negotiations said on Friday, the first evidence the kingdom is taking steps to unilaterally raise supplies. The country will also boost production in July to 10 mil-

Asian currencies

Risk reduction drags Asian currencies SINGAPORE: The won was flat on Friday as continued risk reduction by investors on worries over the global economy and European debt woes outweighed a surprise rate hike by the Bank of Korea. Emerging Asian currencies began the session with some support from a rebound in US stocks, which investors had hoped to revive risk appetite. The won also tried to extend gains after the Bank of Korea unexpectedly increased its policy rate. But they erased most of initial gains with Singapore dollar turning lower on the euro's fall and on data showing China's exports growth slowed in May amid a pullback in global demand although imports soared. The won ended domestic trade steady against the dollar, giving up its earlier gains stemmed from the central bank's rate hike and as investors covered dollar-short positions. The South Korean unit strengthened as much as 0.5 per cent after the rate increase but failed to extend gains on weaker stocks and caution over possible dollar-buying intervention by the authorities. The Bank of Korea is expected to raise interest rates twice more later this year, a Reuters poll showed. The Singapore dollar and the Malaysian ringgit turned lower as investors covered dollarshort positions on a weaker euro. The Singapore dollar, which started the day firmer, lost over 0.2 per cent to breached 1.2328 per the US dollar, the 23.6 per cent Fibonacci retracement line of its strengthening trend between May and early June. If the level is clearly broken, it may head to 1.2367, the 38.2 per cent retracement. The ringgit also weakened past 3.0197 versus the greenback, the 38.2 per cent retracement line of its strengthening trend during the similar period. -Reuters

lion barrels per day, al-Hayat newspaper said on Friday. The reports eased concerns that supply may dip following a meeting of the Organisation for Petroleum Exporting Countries, which failed to reach agreement on raised production quotas. "I would expect people to start to digest what happened during the meeting. It means OPEC has no longer a quota, no restraint on production and Saudi Arabia is doing that, offering more to Asian customers. This element today should lead to some pressure on prices," Christophe Barret from Credit Agricole CIB said. In a meeting on Wednesday, OPEC for the first time in about a decade failed to agree on output policy. "Today we're seeing a normalisation; it's back to reality,"

Commerzbank analyst Carsten Fritsch said. Harry Tchilinguirian from BNP Paribas said OPEC's nondecision leaves countries with spare production capacity free to increase supply on a discretionary basis. "In this respect, all eyes are on Saudi Arabia as the largest holder of OPEC spare capacity. The Kingdom has demonstrated in the past that it can act unilaterally," Tchilinguirian said in a note. The spread between Brent and US light crude, meanwhile, widened to a record $19.09 a barrel. Prices got support from strong demand by China, which registered a more than 20 per cent year-on-year rise in May crude imports. The world's second-largest buyer imported more than 5 million bpd for a fifth consecutive month in May. -Reuters

NY cotton jumps as USDA trims output NEW YORK: US cotton futures climbed Thursday, after a US government report cited the worst droughts in a century to hit key growing state Texas for cuts in its 2011/12 cotton production estimate, analysts said. USDA reduced its outlook for 2011/12 US cotton output to 17 million (480-lb) bales from the 18 million forecast last month. Benchmark December cotton futures on ICE Futures US jumped 2.64 cents to $1.3279 per lb by 1333 GMT. The session top hit $1.3289. "That was a surprise. That really tells you how serious the situation is," said Mike

Stevens, an independent cotton analyst in Louisiana. Analysts said, the latest USDA reading may set the market up for another rally, after prices hit a record high early in 2011. Cotton was the best performing commodity of 2010, rising some 90 per cent in value. The Texas drought is one of the worst in a century and may force cotton farmers to abandon up to a third of the crop in a state that accounts for nearly half of all US cotton production. Total volume traded Thursday reached almost 4,000 lots at 9:15 am, Thomson Reuters preliminary data showed. -Reuters

Yuan ends lower on cbank guidance SHANGHAI: The yuan closed down slightly versus the dollar on Friday, consolidating its recent gains, as the People's Bank of China fixed the midpoint a shade weaker for the second day after letting it hit a slew of record highs recently. The government appears to have used the yuan currency to help fight imported inflation driven by firm global commodity prices, but has at the same time kept a tight grip on the pace of yuan appreciation partly to cushion capital inflows. The trend is likely to continue for the rest of this year, with the PBOC expected to use its fixing to guide the yuan to more peaks but with intermittent pauses, traders said. "It is typical of the PBOC to let the yuan rise for some time and then pull it back for a handful of days," said a trader at a Chinese commercial bank in Shanghai. "This strategy has never affected a general trend for the yuan to appreciate." Spot yuan closed at 6.4802 versus the dollar, down from 6.4759 at the close on Thursday. It hit an all-time record high of 6.4755 on

Wednesday. The Chinese currency has now appreciated 5.34 per cent since it was depegged from the dollar in June 2010, and 1.69 per cent since the start of this year. Before trade began, the PBOC set the yuan's daily midpoint at 6.4853 on the dollar, slightly weaker than Thursday's 6.4830 and Wednesday's record high of 6.4795. The central bank uses the mid-point to guide the currency. Offshore, one-year dollar/yuan non-deliverable forwards (NDFs) were bid at 6.3870 in late trade, little changed from Thursday's close of 6.3880. Their implied yuan appreciation in a year's time was at 1.54 per cent compared with 1.52 per cent. The NDFs appear to have lost their function to help forecast the prospect of yuan gains in recent months as they do not respond to the yuan's repeated record highs, with traders citing diversion of funds to Hong Kong's expanding offshore yuan business as a key factor. -Reuters

Gold falls 1pc as dollar strengthens LONDON: Gold fell more than 1 per cent on Friday, breaking below key support levels as the dollar extended gains against the euro, which came under pressure as concerns over euro-zone debt came back to the spotlight. Spot gold fell to a one-week low at $1,525.74 an ounce and was bid at $1,528.04 an ounce at 1406 GMT, against $1,543.60 late in New York on Thursday. US gold futures for August delivery fell $13.90 to $1,528.80. Prices drifted lower throughout the morning, with its decline accelerating after it broke through chart support around $1,537 an ounce. The euro was hurt by a Standard & Poor's statement that France may lose its top-notch AAA debt rating in the long term.

Talk of large-scale official sector selling, which later proved unfounded, also accelerated the drop, traders said. While gold is on the defensive, persistently low interest rates, concerns over euro-zone debt and the weak outlook for the US economy all count in its favour longer term, analysts said. Gold remains within the $1,520-1,555 range it has broadly stuck to this month as the markets wind down for the typically quieter summer months. While in the longer term it is likely to make fresh highs, gold is set to consolidate, or even pull back, in the immediate future, analysts said. Sterling-priced gold meanwhile rose to a record 951.78 pounds an ounce as the underly-

ing price of the precious metal remained supported while sterling fell after disappointing UK industrial output data. Silver was at $36.54 an ounce against $37.53. The gold:silver ratio -- the number of silver ounces needed to buy an ounce of gold -- which has steadied broadly between 40 and 45 since early May after hitting 28-year lows in April, held near 41 on Friday. Platinum was at $1,820.49 an ounce against $1,836.85, while palladium was at $804.97 against $813.08. The metals, chiefly used in autocatalysts, are expected to firm this year as car sales improve after a poor 2009 and 2010, but prices will be sensitive to signs the auto industry is continuing to struggle. -Reuters

European vegetable oil prices ROTTERDAM: The following were the Friday's Rotterdam vegetable oil price's at 21:00 PST. SOYOIL: EU degummed euro tonne fob exmill Jun11 915.00+0.00, Jul11 915.00+0.00, Aug11/Oct11 923.00+0.00, Nov11/Jan12 930.00-5.00, Feb12/Apr12 935.00. RAPEOIL: Dutch/EU euro tonne fob exmill Aug11/Oct11 980.00-5.00, Nov11/Jan12 980.00-5.00, Feb12/Apr12 980.00-5.00. SUNOIL: EU dlrs tonne extank six ports option Jul11 1455.00-5.00, Aug11/Sep11 1455.00-5.00, Oct11/Dec11 1385.00-5.00, Jan12/Mar12 1400.00-10.00. LINOIL: Any origin dlrs tonne extank Rotterdam Jul11/Aug11 1580.00-17.50. CRUDE PALM OIL: Sumatra/Malaysia slrs option dlrs tonne cif R'dam Jul11 1140.00-15.00, Aug11/Sep11 1132.50-12.50, Oct11/Dec11 1120.00-15.00, Jan12/Mar12 1125.00. PALMOIL: RBD dlrs tonne cif Rotterdam July11 1200.00, Aug11/Sep11 1190.00. PALMOIL: RBD dlrs tonne fob Malaysia July11 1145.0025.00, Aug11/Sep11 1135.0015.00. PALM OLEIN: RBD dlrs tonne fob Malaysia July11 1155.00-22.50, Aug11/Sept11 1145.00-15.00, Oct11/Dec11 1122.50-15.00, Jan12/Mar12 1125.00-15.00, Apr12/Jun12 1127.50. PALM STEARIN: Dlrs tonne fob Malaysia Jun11 1085.0010.00, Jul11 1085.00-10.00. PALM FATTY ACID DISTILLATE: Dlrs tonne fob Malaysia Jun11 755.00-5.00. COCONUT OIL: Phil/Indon dlrs tonne cif Rotterdam Jun11/Jul11 1890.00-45.00, Jul11/Aug11 1850.00-30.00, Aug11/Sep11 1840.00. CASTOROIL: Any origin dlrs tonne extank Rotterdam Jul11/Aug11 2500.00+0.00. Reuters

Euro slides on Greek debt aid uncertainty Downside risks seen breach of key support levels NEW YORK: The euro dropped broadly on Friday, with more losses seen possible, as concerns over Greece's debt returned to the forefront and investors curbed expectations about European Central Bank interest rate hikes. A lack of unity among eurozone officials over progress on debt assistance to Greece has raised near-term concerns in the currency market. Investors received mixed messages, with Germany sticking to its demand that private investors contribute to a second bailout even after renewed ECB opposition to any investor participation that might be deemed involuntary. The euro hit a session low at $1.43965 on trading platform EBS and was last at $1.44060, down 0.7 per cent on the day. Traders said bids in the $1.44400 area were easily

absorbed, suggesting a bias to sell euros than buy them. "Currencies continued to trade lower this morning as the back and forth on Greece adds pressure on the market," said Kathy Lien, director of research at GFT Forex in New York. While the euro slid, the yen gained against all other major currencies. "This tells us that even though safe haven currencies are in demand, investors are not extraordinarily nervous or particularly bearish US dollars today because if they were, USD/JPY would be trading below 80 and USD/CHF would be at a record low," said GFT Forex's Lien. The euro was down 0.9 per cent at 115.48 yen, a 1 1/2week low, while the dollar fell 0.2 per cent to 80.16 yen. Japanese importers and

Indian rupee little moved MUMBAI: The Indian rupee was little changed on Friday as the negative impact of weak local shares and a volatile euro was offset by robust corporate dollar inflows, but importer dollar demand capped gains. The partially convertible rupee ended at 44.72/73 per dollar versus Thursday's close of 44.73/74. Intraday, the local currency moved in 44.665044.7625 range. "There is going to be no trend play in currencies right now. Market is tightly balanced between buyers and sellers," said Ajay Mahajan, managing director and head of financial markets and institutional banking at UBS. "Global markets will deliver future cues, but the key question for that will be if the US Federal Reserve will roll over

QE2 (quantitative easing 2). Till then, the rupee should be in 44.60-45.00 range." The one-month onshore forward premium was at 25.00 points versus 24.50 points on Thursday. The three-month was at 76.50 points versus 75.50 points while the one-year was at 264.25 points from 254.50 previously. One-month offshore nondeliverable forward contracts were quoted at 44.93, weaker than the onshore spot rate. In the currency futures market, the most traded nearmonth dollar-rupee contracts on the National Stock Exchange and the MCX-SX were both at 44.8475 and on the United Stock Exchange at 44.8500, with the total volume at $7.01 billion. -Reuters

Palm oil extends losses after data JAKARTA: Malaysian palm oil extended losses late on Friday, flirting with one-month lows on a flurry of bearish data weighed on prices. The benchmark August crude palm oil contract on the Bursa Malaysia Derivatives Exchange fell more than 1 per cent at one point to 3,231 Malaysian Ringgit ($1,069) a tonne. Prices, which hit a onemonth low at 3,213 ringgit on Thursday, closed at 3,239 and have shed more than 5 per cent this week. Traded volume for the benchmark month stood at 15,153 lots of 25 tonnes each, versus a two-week high at 15,813 lots on Thursday. During a busy day on the data calendar, Malaysia's May palm oil stocks were reported up 14.8 per cent to 1,918,023 tonnes from a revised 1,671,108 tonnes in April, industry regulator Malaysian

Palm Oil Board said. The rise exceeded market expectations for an 11.3 per cent increase. In a monthly grains and oilseeds report overnight, the US Agriculture Department (USDA) said rains and floods prevented farmers from planting all the corn they had intended, cutting the likely size of the crop by 2 per cent. The report was less bullish for soybeans and wheat, as it suggested there were adequate supplies of both commodities. US soyoil for July delivery and China's most-active January 2012 soybean oil were both weaker. In other data, exports of Malaysian palm oil products for June 1-10 rose 22 per cent to 395,041 tonnes from 323,655 tonnes shipped during May 110, cargo surveyor Intertek Testing Services said. -Reuters

investors were expected to show strong buying interest below 80 yen, traders said. The dollar index rose 0.6 per cent 74.606. The single currency received a boost in the European session after Germany's Bundestag voted to approve new aid to Greece, but the move was not enough to recoup its losses. Dan Dorrow, head of research at Faros Trading in Stamford, Connecticut, said the euro's weakness has more to do with interest rate expectations rather than Greece's debt situation. The ECB stuck to its 2012 inflation outlook, surprising investors who had been expecting them to flag increasing price pressures. Markets have been scaling back rate rise expectations since last week, when a third hike was anticipated before the year is out. -Reuters

Sterling near 2-wk low after weak data LONDON: Sterling hovered near a two-week low against the dollar on Friday, dented by a sharp fall in UK industrial output, while concerns about global growth dampened demand for perceived riskier currencies and assets. Data showed UK industrial output contracted by 1.7 per cent in April due to the extra public holiday for the Royal Wedding and supply chain disruptions caused by the Japanese earthquake, far below the 0.1 per cent increase economists had predicted. This pushed sterling to a twoweek low against the dollar of $1.6215 and a session low versus the euro, though it quickly recovered as traders said there had been talk of a much worse number prior to the release. However, sharp falls in equity and commodity markets later in the session caused sterling to resume its falls against the dollar, Swiss franc and yen, which all gained as investors sought safer assets. The pound was last down 0.7 per cent against the dollar at $1.6248, hovering around its 100-day moving average which comes in at $1.6243. A decisive move below this level could pave the way for a move towards the May low of $1.6055. Sterling hit a 12-week low against the yen around 129.93 yen. Analysts said a break below 130 yen could spark further losses. The pound was also down 0.6 per cent against the Swiss franc. Against the euro, however, sterling gained, with the single currency under broad selling pressure due to uncertainties about how the Greek debt crisis will be resolved. The euro was down 0.3 per cent at 88.35 pence, well below a high of 89.225 pence hit immediately after the UK data which was not far from the five-week high of 89.76 struck earlier in the week.-Reuters

Copper hits 2-week low on China import data, dollar LONDON: Copper fell on Friday to its lowest level since late May after Chinese trade data showed slowing copper imports last month and the dollar strengthened against the euro. Three-month copper on the London Metal Exchange closed at $8,938, down 1.3 per cent from $9,055 on Thursday. The metal plumbed its lowest since May 25 at $8,901.75 a tonne. Downward momentum came from technical selling, triggered as the metal broke below the 200-day moving average around $8,933 a tonne. Leon Westgate at Standard Bank said copper's fall was in part due to a dollar rally but was based also on losses in equity markets. Correlation between the two has grown since low interest rates following the global financial crisis raised the allure of commodities for investors. China's imports of

unwrought copper and semifinished copper products dropped 3 per cent in May, after falling 13.7 per cent in April because of high inventories. Analysts and traders had expected a slight rise. Still, analysts say demand in China, the biggest consumer of copper, remains strong and that consumers will start buying again this month as inventories are run down. Copper stocks in bonded warehouses in Shanghai are estimated to have fallen by 50 per cent or more from above 600,000 tonnes earlier this year as merchants sold the material into China's backwardated market to take advantage of strong prompt prices. On Friday, figures showed that Shanghai copper warehouse stocks fell 3.4 per cent, or 2,888 tonnes, from last Friday, but LME stocks of the metal are at their highest since last May. Prices in Shanghai have trad-

ed at a discount to London since the second half of last year, although the window came close to flat a few times in May. which suggests June's figure could be an improvement. Copper was also supported by data showing shipments into the United States rose for a second straight month in April, despite the weak housing market there. Copper is used mainly in building construction. Global supplies of copper remained tight and have supported prices, but showed some sign of relief on Friday. Lead fell 2.5 per cent to $2,545 from $2,609 at the close on Thursday. Threemonth aluminium fell 1.5 per cent to $2,619 from $2,660, zinc ended at $2,260 from $2,285, nickel finished at $22,850 from $23,200. Tin hit a new six-month trough of $25,200 a tonne before closing at $25,400. -Reuters

Saturday, June 11, 2011

The Financial Daily International Vol 4, Issue 219

Publisher & Editor-in-Chief: Amir A. Ashary Editor: Shakil H. Jafri Executive Editor: Manzar Naqvi Honorary Advisory Board Haseeb Khan, FCA

S. Muneer Hussain Rizvi

Asim Abbas Ashary, CPA

Khurram Shehzad, CFA

Akhtar M. Zaidi, FCA

Prof. Zakaria Sajid (KU)

Dr. A. Hadi Shahid, FCA

Zahid Bukhari SVP HBL (retd)

Muhammad Arif

Ismat Sabir Head office

111-C, Jami Commercial Street 11, Phase VII, DHA Karachi Telephone: 92-21-35311893-6 Fax: 92-21-35388428 URL: www.thefinancialdaily.com Email Address: editor@thefinancialdaily.com

Lahore office 24- Peshawar Block, Fortress Stadium, Lahore Telephone: 92-42-6675595 Fax: 92-42-6664349 Email Address: editor@thefinancialdaily.com

Repeating the mistake The government of Pakistan is contemplating import of half a million tonnes of urea to meet the emerging shortage. This shortage has emerged only because of following a bad policy and sticking to it despite a good offer by the fertilizer industry. Fertilizer industry had offered the government to finance oil import for a limited period, if it could agree to supplying full requirement of gas, rather than curtailing the supply and diverting it to the power sector. The government has committed the mistake of curtailing gas supply of the fertilizer plants in the past, maybe because it had a standing urea supply offer against deferred payment from Saudi Arabia. The decision to import 225,000 tons of urea eroded Pakistan's foreign exchange reserves by $100 million and the government was also forced to pay nearly Rs5 billion as subsidy. The worst was that the required quantity of urea could not be made available when it was needed the most. This resulted in shortage of the commodity that led to black marketing, which didn't allow the farmers to apply appropriate dosage of nutrients. To begin with the policy planners' decision to curtail gas supply of fertilizer plants and diverting it to power plants was contrary to the advice of experts. They were of the opinion that (1) curtailing gas supply of fertilizer and diverting it to power generation companies will not have any positive impact on their cash flows; (2) import of urea will be too bad a proposal and (3) any delay in import of urea will have adverse impact standing crops. They had suggested that government should pay the differential between cost of furnace oil and gas to the generation companies, but planners paid no heed. The industry experts are once again suggesting that gas supply of fertilizer plants should not be curtailed. It was also suggested that to avoid any shortfall, urea manufacturers should be asked to import the deficit quantity at their own and bear the cost difference if any. It was also suggested that each manufacturer should be allocated imported urea on the basis of its market share. This is just to remind the government once again that the government should abstain from curtailing gas supply of the fertilizer plants. Following this recommendation would save the government from a lot of hassle. The history shows that involving the TCP in urea import had not only cost colossal losses to the government but imported urea has hardly reached the farmers in time, but middlemen minted millions of rupee. One of the greatest regrets is that policy-planners never learn from past mistakes. If too much hue and cry is created, show cause notices are issued and a few officials are suspended or transferred but the business continues as usual. The time has come to punish those who cause millions of rupees losses to the country.

Disclaimer:

All reports and recommendations have been prepared for your information only. Summary and Analysis are not recommendation to buy or sell. This information should only be used by investors who are aware of the risk inherent in securities trading. The facts, information, data, indicators and charts presented have been obtained from sources believed to be reliable, but their accuracy and completeness cannot be guaranteed. The Financial Daily International and its employees are not responsible for any loss arising from use of these reports and recommendations.

GROWING USE OF COAL IN KOREA S

outh Korea, the world's thirdlargest thermal coal buyer after Japan and China, could increase Indonesian coal use to more than half of imports in a bid to cut costs at loss-making state utility Korea Electric Power Corp (KEPCO) . KEPCO, which manages the transmission and distribution network, lost 61.4 billion Korean won ($57 million) in 2010 and is struggling to plug the gap in a tariff review due this month, although political pressures and rising inflation mean it is unlikely to be able to claw back all its losses. The firm's tariffs were 90.2 per cent of its costs last year, according to its data. It buys power at the Korea Power Exchange, mostly from its six fully-owned generating firms whose combined power output accounts for 92 per cent of the country's total. Of the six power generators, five have thermal plants fed with imported coal, while the other generates power via nuclear and hydro. KEPCO chooses power from the one with the lowest fuel costs, meaning price-competitive fuel mixing is critical in increasing their revenue. "Generating companies are doing their best to improve the blending ratio of low calorific value Indonesian coal in order to take advantage of the relatively cheaper price," said Jason Jang, head of fuel

procurement at Korea East-West Power (EWP), one of KEPCO's power generating firms. "Korean generating companies are so sensitive to price that we have made a huge effort to lower coal specifications to save on costs." KEPCO's total fuel costs are 18.6 trillion won annually, with coal accounting for 43 per cent, liquefied natural gas (LNG) 43 per cent, oil 9 per cent and nuclear the remainder, the company data on its consolidated earning results showed. Coal prices surged nearly 30 per cent since last December in the wake of floods in Australia and rising global demand, before easing back given a lack of Japanese spot demand. The GlobalCoal Daily Index on Thursday showed that Australian coal from Newcastle was at $119.03 per tonne, DES ARA European coal at $123.45 and RB South African coal at $119.93 on a free-on-board (FOB) basis for a heating value of 6,000 kcal/kg. Traders said Indonesian coal was at $108-$109, FOB, for the same heating value. Even with freight added, final prices of Indonesian coal are still about $10 a tonne lower than other origins, they said. "Shipping costs (of Indonesian coal) are not so burdensome thanks to a short distance, and as it is low calorific, its price has a discount," said a Korean utility source who could not be named due to the sensi-

tivity of discussing contract prices for coal. "It is best to use Indonesian coal as long as it costs less by a low, single-digit percentage at arrival prices than others," the source said. INDONESIAN COAL KEPCO's five generating firms with thermal plants -- Korea Midland Power, Korea Western Power, Korea East-West Power, Korea South-East Power and Korea Southern Power -- imported a combined 74 million tonnes of thermal coal last year, 70 per cent under long-term contracts and the rest on the spot market, industry data showed. Of the total, half came from Indonesia, compared with only 15 per cent in 2001 when the power generators were spun off from KEPCO to compete on cost and revenue. Utilities also have been trying to diversify origins further, but face hurdles. "If you have to get your coal from Australia, you have to pay more on freight. Obviously if you have to get (coal) from South Africa, which not many North Asian buyers do, you have to pay even more in freight," said Andreas Bokkenheuser, Singapore-based commodities analyst at investment bank UBS. While no import figures are available separately for high- and lowcalorific coal, traders noted most Indonesian coal is low-calorific at below 5,500 kcal/kg, and most

Australian coal is high calorific at above 5,500 kcal/kg. Utility sources, who could not be named as they were not authorised to talk to the media, said Indonesian coal imports were projected to rise as upcoming thermal power plants are designed to use low-calorific coal. "With the expectation for rising supply of low-calorific coal from Indonesia, new plants have been designed for low-calorific coal use. If they are completed, Indonesian coal imports are projected to rise above 50 percent of the total," a third utility source said. Government data shows 15 new thermal power plants will be added to the existing 50 to raise the country's total coal-based power generating capacity to 31,445 megawatts by 2024, from 24,205 megawatts in 2010. The data does not specify how many of the new plants are designed to use low calorific coal. Energy consultancy Wood Mackenzie said last month that Indonesia would lead global growth in thermal coal exports in the next decade with producers Bumi Resources and Adaro Energy becoming two of the world's top three export companies by 2015. KEPCO has invested in two Indonesian coal mining projects -- one with Adaro and the other with Bayan Resources -- to secure a total of 10 million tonnes per year. -Reuters

DEBT AND TAX FUEL:

CHAVEZ SPREE FOR VOTE M

assive new borrowing and higher taxes on oil companies give Venezuela's President Hugo Chavez money to burn as he seeks re-election next year, and he rebuffs critics who say the rising debt costs are dangerous. Crude prices, a third above their 2010 average, appear not to be enough to pay day-to-day costs of the OPEC member's cumbersome socialist state while at the same time funding ambitious development goals before the December 2012 vote. So in April, Chavez ordered oil companies to pay a much stiffer windfall tax, with the proceeds entering an opaque fund that is used to blow-out budgetary caps on spending. Then last week the president requested that Congress almost double the 2010 debt limit with an additional $10.5 billion to be mainly spent on three large new government projects. That means Venezuela will borrow more than twice as much as last year. The debt-to-GDP ratio is about average for emerging markets, but quick accumulation of bonds lately means the country is overtaking peers who are lowering their burden. "The news was not received well by the markets," said Russ Dalen of BBO Financial Services, who advises investors on Venezuelan assets. "The problem with the country's debt is precisely the excess supply." Almost a quarter of the new funds will be spent on paying interest on current debt and paying bonds that reach maturity. Economist Jose Luis Saboin of Caracas group Econoanalitica says such payments will be 4.5 percent of expected GDP this year. "Debt servicing in Venezuela is now double healthy levels," Saboin said. "This will keep hurting fiscal accounts in the medium term." Venezuela's recent bonds have carried hefty coupons, partly because of market concerns about Chavez's policies and the state's expenditures after nationalizations. To quell criticism, Chavez vowed the cash will not

be wasted by Venezuela's notoriously free-spending public sector. Other officials said the extra borrowing was reasonable. "The country can deal with the debt. It's responsible indebtedness," Vice President Elias Jaua said. World Bank data shows the percentage of export income Venezuela spends on servicing foreign currency debt fell sharply every year between 2003 and 2008. While most of the new borrowing will likely be in local bolivars, investors now expect about $3 billion to $4 billion of global bonds to be issued in the next few months. State oil company PDVSA is expected to continue a fast build up of debt. "LARGE-SCALE STIMULUS" All this extra cash will help Chavez as he seeks a new six-year term. He won more than a dozen previous elections by pouring oil income into popular health and education projects. This time the president may struggle to convince as many swing voters, but he seeks to replicate past successes to win a new term by building thousands of new homes, creating jobs and increasing farm output. Regardless of the results of the new schemes, the money should churn through the economy, spurring an already better-than-expected recovery in the lead up to the election. "Better economic conditions, even if limited, should help give Chavez an advantage in the election," said Daniel Kerner of risk analysts Eurasia Group. Many economists critical of Chavez's loose policies say it is irresponsible to ramp up debt and spending instead of saving during a period of high oil prices. A few say big stimulus is needed to bring back a highgrowth era that ended in 2007. There are signs the spending spree has already begun. Government consumption, a measure of public spending on goods and services, rose 10.4 percent in the first quarter. Foreign reserves did not rise much in

the same period despite more oil income, suggesting the money may have been spent. The taxes on oil companies could net between $9 billion and $16 billion this year, the oil ministry said, although some analysts see the haul closer to $4 billion. According to the International Monetary Fund, Venezuela's general government gross debt is quite low, at 38.7 percent of GDP last year. This is comparable to peers such as Mexico and is much lower than the majority of advanced economies. Debt servicing as a percentage of export income fell from 29.6 percent in 2003 to 5.7 percent in 2008. It rose slightly in 2009 to 6.4 percent, which fares favorably with Latin American market favorites Chile and Brazil. Most emerging market countries, however, have diminished their debt burden in the last two years, while Venezuela has headed the other way, with debt as a ratio of GDP rising 6 basis points from 2009, according to the IMF. Most is drawn from the vast supply of the local currency that helps drive the hemisphere's highest inflation rate. PDVSA issued $6.15 billion of foreign currency debt in the first half of the year, partly to finance investments, as most of its spare income goes straight to government coffers. Falling oil output is a thorny issue that has also piqued concern about the government's financial health in the medium-term. But not everyone sees gloom. Mark Weisbrot, an economist with Washington think-tank CEPR, wrote in an article after meetings with central bank and finance ministry officials that the outlay to meet debt obligations was manageable. He encouraged more spending. "The government can finance a large-scale stimulus program to bring the economy back to pre-recession growth and employment rates within the next two years, without concerns about debt service or debt sustainability," he wrote. -Reuters

Semiconductor manufacturing

India still keen in grabbing the opportunity W

ith its vast workforce, thriving chip design sector and burgeoning demand of electronics, India should be an attractive base for semiconductor makers, but its efforts to establish an international manufacturing hub have so far been a flop. "Fab City", an industrial park on the outskirts of Hyderabad in southern India, was launched amid much hype in 2007, with the Indian government offering tax breaks and capital subsidies to chip makers to set up operations there. Since then, the proposed investment has dwindled from $9.5 billion for planned semiconductor and solar cell plants to less than $3 billion, with no semiconductor makers left on board. The site has shrunk from 1,200 acres to 1,075 -- of which 600 acres remain unused -- and only one factory, making solar cells, is fully up and running. In hindsight, Fab City was launched at just the wrong time. Global semiconductor revenues fell between 2007 and 2009 as the financial crisis hammered trade and companies cut back on capital spending to preserve cash. Major investors SemIndia and Nano Tech Silicon India, for example, both shelved planned investments in Fab City of $3 billion and $2 billion respectively in 2008, leaving the site of India's

digital dreams barren save for some paved roads, power lines and dusty building sites. "In 2007...globally the chip market was going down and this is a cyclical market," said Ajay Kumar, joint secretary at the Department of Information Technology. The year 2007 "happened to be a bad time to have come out shopping for a fab. Right now we are in the period when things are looking up, the demand for chips is going up, foundries and other semiconductor companies are looking to expand capacity." The logic behind Fab City -- a fab is industry jargon for a fabrication plant making silicon chips for computers, cell phones and other electronics -remains sound. It explains why the Indian government remains keen to promote itself as a semiconductor manufacturing base to rival established hubs such as Singapore, Taiwan and China. Many foreign chip makers, including Intel, AMD and Freescale , already have design operations in India. The Indian Semiconductor Association (ISA) predicts that the country's chip design industry will be worth $10.2 billion by 2012. "We feel that we have put so much in there," said B.R. Meena, vice chairman

of Andhra Pradesh Industrial Infrastructure Corporation (APIIC), the state agency that runs Fab City. "We have put our own organisation's money in that and we are not able to get investors there, so we feel slightly disappointed at what is happening." BOOMING PHONE SALES A report from consultants Frost & Sullivan and the ISA said India's electronic chip market -- an indicator of overall electronics consumption -- grew 28 per cent in 2010, thanks to booming mobile phone sales. Almost none of the $6.55 billion of semiconductors used last year were produced in India. That fact does not deter Kumar, who said India enjoys a demographic advantage over its Asian rivals. "There is an abundance of labour in India and that situation is likely to further become accentuated in the next 10 years or so as age in China increases and in India the younger generation grows up," he said. "I think there is a huge value proposition for any company to come and set up a fab in India, take advantage of this, cater to the domestic demand." But if Fab City has not succeeded by now, despite cheap land, good roads, a dedicated power and water supply and a site 10 minutes from Hyderabad's airport, why should investors have faith in

future attempts to lure semiconductor manufacturers? CUSTOMISED INCENTIVES This time around, Indian officials plan to customise incentives, rather than relying on a one-size-fits-all policy, to come up with tailor-made packages that may include the Indian government becoming equity partner in some schemes. Pradeep Udhas, an executive director at KPMG, said India also needed to make it easier to import equipment for the capital intensive industry and tweak visa rules to help companies bring in key staff from overseas. "Throwing money at a problem and saying that we will do $5 billion and expect people to come is not going to give you good results," he said. But some investors remain skeptical about India's ambitions, noting the high initial capital costs of setting up a new semiconductor plant at a time when around 15 percent of global capacity remains unutilised. A fab plant can cost around $3 billion for a low-end facility or about $10 billion for a high-end fab. "Globally, it's not profitable," said Sameer Sain, cofounder and managing partner at Everstone Capital. "It's a waste of time to go down this route. India should focus on design." Reuters

Saturday, June 11, 2011

Market

KSE 100 Index

Symbols

Volume

102,591,130

Value

3,654,355,289

Trades

50,208

Advanced Declined Unchanged Total

Current High Low Change

121 137 89 347

All Share Index

12,377.77 12,421.04 12,323.92 h47.63

Current High Low Change

8,605.57 8,637.43 8,574.35 h29.38

OIL AND GAS

Company

Paid up Cap(mn)

High Low 1,574.73 1,542.29 Total cos Defaulter cos 12 P/BV (x) ROE (%) 3.52 32.54

Open

High

Low

691 7.01 387.47 853 4.18 132.64 3921 9.42 735 4.28 105.50 800 5.09 375.63 Oil & Gas DevelopmentSPOT 43009 10.56 155.34 Pak Petroleum 11950 7.76 210.80 Pak Oilfields 2365 7.83 354.08 Pak Refinery Limited 350 47.70 85.43 P.S.O XD 1715 3.98 280.49 Shell Pakistan 685 8.03 224.15

391.55 134.48 9.69 105.90 383.01 157.51 215.50 357.00 86.24 283.00 226.10

385.05 126.50 9.30 104.30 363.00 154.70 210.00 353.02 85.00 277.00 225.88

Attock Petroleum Attock Refinery BYCO Petroleum Mari Gas Company National Refinery

Close Chg 387.95 127.51 9.32 104.59 368.63 156.07 212.24 355.05 85.39 278.28 226.01

0.48 -5.13 -0.10 -0.91 -7.00 0.73 1.44 0.97 -0.04 -2.21 1.86

Last 60 days High Low

Volume 51360 2874590 734157 6495 799441 512848 3763241 821743 13430 295076 4727

394.90 143.50 10.10 113.75 387.35 157.51 217.75 364.90 103.50 291.50 231.00

345.10 117.00 7.93 98.50 280.11 128.21 199.50 310.60 81.23 269.47 203.00

% Change 0.19 5-Day High 1,561.31 5-Day Low 1,537.55

2010 Div BR (%) (%) 300 31 200 55 90 255 80 120

2011 Div BR (%) (%)

20B115.00 - 23.43 - 30.00 20B 50.00 -100.00 - 80.00 -

Performance of SR Chemicals Index

Company

Paid up Cap(mn)

High Low 1,898.06 1,864.83 Total cos Defaulter cos 36 6 P/BV (x) ROE (%) 3.15 35.00

Open

High

Low

Agritech Limited 3924 - 19.78 Bawany Air 75 3.52 7.00 BOC (Pak) 250 7.15 94.91 Clariant Pak 341 5.04 165.05 Dawood Hercules 4813 3.63 63.19 Descon Chemical 1996 2.41 Descon Oxychem Ltd. 1020 10.43 7.41 Dewan Salman 3663 2.87 Dynea Pak 94 3.52 10.85 Engro Corporation Ltd 3933 8.39 189.41 Engro Polymer 6635 - 11.72 Fatima Fertilizer 22000 - 14.52 Fauji Fertilizer 8482 9.05 144.79 Fauji Fert.Bin QasimSPOT 9341 6.59 44.03 Ghani Gases Ltd 725 10.98 13.14 ICI Pakistan 1388 8.76 158.36 Ittehad Chemical 360 4.75 31.15 Lotte Pakistan 15142 4.17 15.03 Mandviwala 74 1.06 Nimir Ind Chemical 1106 11.96 2.79 Pak Gum 42 5.25 18.12 Sitara Chem Ind 214 2.48 98.01 Sitara Peroxide 551 5.47 17.94 United Distributors 92 - 15.58 Wah-Noble 90 5.08 35.91

19.79 8.00 95.25 166.01 63.40 2.55 7.59 2.97 10.97 190.05 11.80 14.95 147.50 44.21 13.48 158.98 32.70 15.16 1.30 2.84 19.12 101.99 18.24 15.40 36.47

18.78 6.11 95.00 164.56 62.41 2.35 7.00 2.86 10.51 187.42 11.40 14.50 144.65 43.45 13.01 157.52 32.70 14.90 0.90 2.70 18.99 98.99 17.63 15.20 36.00

Close Chg 18.78 7.01 94.91 165.18 62.54 2.36 7.09 2.95 10.74 187.75 11.46 14.75 147.03 44.04 13.07 157.59 32.70 14.92 0.99 2.75 19.12 100.13 17.67 15.58 36.00

-1.00 0.01 0.00 0.13 -0.65 -0.05 -0.32 0.08 -0.11 -1.66 -0.26 0.23 2.24 0.01 -0.07 -0.77 1.55 -0.11 -0.07 -0.04 1.00 2.12 -0.27 0.00 0.09

Open 810.41 Turnover 43,202 P/E (x) 5.66 Company

Last 60 days High Low

Volume 5343 11703 251 1111 55774 6010 1111180 387903 995 1634857 268460 7879180 1986843 3291592 147989 87797 500 2202932 615 259335 5764 3500 313639 299 1326

Change 7.66 Market cap 388,708.99 mn Div Yield (%) 5.42

23.64 9.45 99.80 167.00 287.00 3.09 9.35 3.65 11.50 208.40 13.95 14.95 147.50 44.21 14.49 172.00 32.80 17.36 1.40 3.40 19.12 112.45 19.99 16.50 37.97

17.86 6.11 87.71 140.00 56.10 2.00 6.95 2.11 9.50 187.42 10.70 12.10 124.50 38.45 10.65 148.02 20.11 14.56 0.18 2.26 15.05 96.37 15.80 13.10 34.19

% Change 0.41 5-Day High 1,883.77 5-Day Low 1,841.50

2010 Div BR (%) (%)

2011 Div BR (%) (%)

5 10R 60 135 25B 50 300B 15 60 20B - 27.5R 130 25B 45.00 65.5 - 12.50 175 5 5 5 25 5B 50 -

FORESTRY AND PAPER High Low 1,139.19 1,117.38 Total cos Defaulter cos 4 1 P/BV (x) ROE (%) 0.43 7.47

Close 1,130.86 Listed cap 1,186.83 mn Payout (%) 25.28

Change 11.07 Market cap 3,119.52 mn Div Yield (%) 4.42

Paid up Cap(mn)

Open

High

Low

Close Chg

Volume

Century Paper

707

16.70

17.20

16.66

16.89 0.19

27914

18.00

13.85

Pak Paper Product Security Paper

50 411

1.79 7.35

42.19 41.07

42.25 41.50

42.00 41.00

42.04 -0.15 41.50 0.43

3700 3100

44.49 42.80

35.50 37.00

Company

Last 60 days High Low

% Change 0.99 5-Day High 1,132.63 5-Day Low 1,113.58

2010 Div BR (%) (%) -

2011 Div BR (%) (%)

2533.33B 50 -

Company

Paid up Cap(mn)

Crescent Steel XD Dost Steels Ltd Huffaz Pipe XD Inter.Steel Ltd. International Ind Siddiqsons Tin

Open

High

Low

565 1.87 675 555 22.45 4350 1199 9.21 785 25.74

27.00 2.35 12.55 14.18 51.34 9.01

27.85 2.50 12.65 14.19 52.00 9.00

27.65 2.21 12.15 14.06 51.23 9.00

Close Chg 27.65 2.26 12.57 14.06 51.51 9.01

0.65 -0.09 0.02 -0.12 0.17 0.00

Close 1,045.14 Listed cap 3,596.11 mn Payout (%) 30.91

Change 8.51 Market cap 15,711.34 mn Div Yield (%) 9.77

Last 60 days High Low

Volume 4010 71308 4807 47074 6913 200

29.75 2.98 13.29 15.06 54.50 9.98

26.21 1.62 11.05 0.00 48.52 8.55

% Change 0.82 5-Day High 1,045.14 5-Day Low 1,034.59

2010 Div BR (%) (%) 30 40 7.5

2011 Div BR (%) (%)

- 20.00 25B 15.00 20B 15 -

Open

High

Low

Close Chg

Volume

Last 60 days High Low

85.13 28.18

88.30 28.99

81.00 28.20

86.98 28.77

38753 4449

91.20 31.45

Company

High Low 920.04 894.40 Total cos Defaulter cos 37 6 P/BV (x) ROE (%) 0.43 7.10

Close 899.31 Listed cap 54,792.74 mn Payout (%) 19.04

Open

High

Low

Close Chg

1828

2.85

3.10

2.81

2.83 -0.02

2512

3.25

2.35

- 100R

866 858 182

6.73 -

53.57 2.16 15.75

54.19 2.65 15.85

53.15 2.11 15.50

53.19 -0.38 2.16 0.00 15.75 0.00

5103 447 175

56.70 2.90 17.40

50.10 1.51 13.55

50 - 122R

6040 42602

Attock Cement Balochistan Glass Ltd Berger Paints

Volume

Dadabhoy Cement Dewan Cement

982 15.38 3891 -

2.00 1.84

2.00 1.91

2.00 1.82

2.00 0.00 1.83 -0.01

DG Khan Cement Ltd Fauji Cement Flying Cement Ltd

4381 31.32 6933 7.83 1760 -

23.92 4.64 1.59

24.30 4.70 1.70

23.37 4.52 1.65

23.49 -0.43 4.54 -0.10 1.66 0.07

2.61

2.45

2.45 -0.16

1288 13126 74.50 3234 5.92

6.50 3.01 73.33

6.55 3.10 73.89

6.49 2.95 72.50

6.50 0.00 2.98 -0.03 72.86 -0.47

14898 269688 260833

Frontier Ceramics

Kohat Cement Lafarge Pakistan Cmt. Lucky Cement

Last 60 days High Low

% Change -0.91 5-Day High 925.94 5-Day Low 899.31

4647490 324824 594 2000

2010 Div BR (%) (%)

2011 Div BR (%) (%)

2.24 2.67

1.50 1.36

26.44 5.04 1.95

21.31 3.99 1.26

20R -

20R 92R -

3.80

1.72

7.87 3.38 77.43

5.70 2.10 62.50

Maple Leaf Cement

5267

2.58

2.59

2.45

2.49 -0.09

83276

3.05

1.97

Maple Leaf(Pref) Pioneer Cement Shabbir Tiles

536 2271 361

2.21 -

3.50 5.85 6.71

3.00 6.10 6.75

3.00 5.85 6.32

3.00 -0.50 5.90 0.05 6.60 -0.11

1000 31203 6112

4.26 6.40 8.50

2.27 4.50 5.25

- 100R

798

17.16

17.99

16.80

17.99 0.83

21000

19.19

16.50

50R

Thatta Cement

GENERAL INDUSTRIALS Performance of SR General Industrials Index Open 986.75 Turnover 96,832 P/E (x) 2.78 Company Cherat Papersack

High Low 999.39 981.81 Total cos Defaulter cos 13 2 P/BV (x) ROE (%) 1.22 43.91

Close 991.91 Listed cap 3,043.31 mn Payout (%) 15.55

Change 5.16 Market cap 37,029.47 mn Div Yield (%) 5.60

Paid up Cap(mn)

Open

High

Low

Close Chg

Volume

Last 60 days High Low

172

2.43

49.57

50.50

49.10

230 1067

% Change 0.52 5-Day High 991.91 5-Day Low 980.67

2010 Div BR (%) (%)

2011 Div BR (%) (%)

49.53 -0.04

32065

56.90

46.45

25B

50R

5.59

1.65 55.00

1.73 55.30

1.52 54.51

1.60 -0.05 54.95 -0.05

6047 11153

2.35 58.50

1.31 49.00

10B

MACPAC Films Merit Pack

389 2.41 47 12.35

12.85 27.25

12.70 28.50

12.05 26.80

12.05 -0.80 27.55 0.30

2705 570

15.21 32.00

7.00 26.20

Packages Ltd Tri-Pack Films

844 19.16 113.50 300 6.93 175.50

31792 12500

124.50 180.80

103.01 129.75

32.5 100

ECOPACK Ltd Ghani Glass

116.00 113.00 114.95 1.45 179.50 175.01 177.71 2.21

INDUSTRIAL ENGINEERING

Open 1,163.38 Turnover 204,669 P/E (x) 3.94 Paid up Cap(mn)

High Low 1,651.14 1,624.89 Total cos Defaulter cos 11 1 P/BV (x) ROE (%) 2.96 38.02

Company

Paid up Cap(mn)

Open

High

Low

Ados Pak

3.21

8.65

9.65

8.75

AL-Ghazi Tractor 215 Dewan Auto Engineering 214 Hinopak Motor KSB Pumps

124 132

Millat Tractors

366

3.94 228.02 1.19 -

87.01 37.45

8.32 547.61

Close 1,631.80 Listed cap 1,336.62 mn Payout (%) 131.49

Volume

Last 60 days High Low

0.11

5400

10.70

7.40

229.98 228.00 228.04 1.25 1.16 1.23

2010 Div BR (%) (%)

High

High Low 1,180.64 1,148.39 Total cos Defaulter cos 19 4 P/BV (x) ROE (%) 1.00 25.35 Low

Close Chg

70.80 70.75 70.76 -1.24 221.60 220.00 220.00 -0.82 159.00 155.00 155.63 -3.13 33.10 32.50 33.00 -1.11 2.93 2.75 2.78 -0.08 24.67 22.75 24.15 0.65 3.79 3.52 3.52 -0.17 3.60 3.40 3.48 0.14 11.35 10.11 11.19 0.84 227.90 222.20 223.25 0.25 68.00 65.50 66.15 -0.85 23.90 22.50 22.51 -0.49 1.44 1.12 1.17 -0.04

40 15

2011 Div BR (%) (%)

Close 1,159.30 Listed cap 6,768.53 mn Payout (%) 20.42

Volume 696 4110 18847 10305 38309 5173 11010 700 97263 5318 2390 5002 5503

Change -4.09 Market cap 43,370.33 mn Div Yield (%) 5.18

Last 60 days High Low 74.85 222.00 160.00 37.99 3.46 26.17 4.50 4.60 11.35 233.75 76.90 25.50 1.69

70.00 190.00 133.27 31.06 1.50 22.01 2.16 2.90 9.00 205.51 61.03 22.07 1.10

2010 Div BR (%) (%) 90 100 50 25 20 150 5 10 -

% Change -0.35 5-Day High 1,163.38 5-Day Low 1,150.54 2011 Div BR (%) (%)

20B 15B 65.00 - 50.00 20B 10.00 -

15B -

488 14406

239.00 2.15

200.00 0.71

400 -

0.00 0.00

200 302

115.58 62.00

84.01 35.11

12.5

553.89 545.25 547.72

0.11

8100

558.00

504.00

650

25B325.00

Fundamental Highlights As on Jun 30, 2010

Technical Analysis RSI (14-day)

63.24

Total Assets (Rs in mn)

MA (10-day)

22.42

Total Equity (Rs in mn)

MA (100-day)

23.48

Revenue (Rs in mn)

110,759.62

MA (200-day)

23.43

Interest Expense

5,015.89

1st Support

22.30

Profit after Taxation

4,399.15

2nd Support

21.46

EPS 10 (Rs)

6.554

1st Resistance

23.69

Book value / share (Rs)

20.97

2nd Resistance

24.24

PE 11 E (x)

6.54

Pivot

22.85

PBV (x)

1.11

14,072.35 107,736.78

SSGC closed up 0.69 at 23.20. Volume was 35 per cent below average and Bollinger Bands were 56 per cent narrower than normal. The company's profit after taxation stood at Rs2.23 billion which translates into an Earning Per Share of Rs2.66 for the nine months of fiscal year (9MFY11). SSGC is currently 1.0 per cent below its 200-day moving average and is displaying an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into SSGC (mildly bullish). Trend forecasting oscillators are currently bullish on SSGC.

Samba Bank Limited

FOOD PRODUCERS Open 2,116.57 Turnover 324,615 P/E (x) 49.68 Company

Paid up Cap(mn)

AL-Abbas Sugar AL-Noor Sugar Chashma Sugar Colony Sugar Mills Crescent Sugar Habib Sugar Habib-ADM Ltd Hussein Sugar J D W Sugar Mirpurkhas Sugar Mirza Sugar National Foods Nestle Pakistan Quice Food S S Oil Sakrand Sugar Shahmurad Sugar Shakarganj Mills Tandlianwala UniLever Pakistan

174 186 287 990 214 750 200 121 539 84 141 414 453 107 57 223 211 695 1177 665

Open

High

High Low 2,177.56 2,068.26 Total cos Defaulter cos 61 16 P/BV (x) ROE (%) 15.05 30.30 Low

Close Chg

5.51 93.99 97.95 93.00 97.50 3.51 2.36 42.80 42.00 41.05 41.24 -1.56 0.69 10.00 10.00 10.00 10.00 0.00 4.52 2.41 2.95 2.88 2.89 0.48 - 10.26 10.25 9.75 10.25 -0.01 4.84 27.45 27.95 27.00 27.19 -0.26 5.18 12.85 13.20 12.50 12.85 0.00 0.63 11.64 12.25 10.64 10.66 -0.98 1.54 77.00 78.90 77.02 77.63 0.63 3.09 47.51 49.00 47.25 48.09 0.58 0.31 2.88 3.08 2.85 2.85 -0.03 14.19 83.41 85.00 81.60 82.14 -1.27 27.28 3478.88 3648.99 3450.00 3593.78 114.90 6.66 2.73 2.98 2.75 2.93 0.20 0.33 4.83 4.71 4.65 4.65 -0.18 18.27 2.20 2.06 2.00 2.01 -0.19 1.08 9.30 9.40 9.00 9.25 -0.05 1.18 5.82 6.80 5.17 5.85 0.03 29.61 55.11 53.05 53.00 53.00 -2.11 19.74 5200.00 5360.01 5031.00 5337.17 137.17

Close 2,159.06 Listed cap 11,335.33 mn Payout (%) 30.57

Volume

Change 42.49 Market cap 302,372.55 mn Div Yield (%) 0.62

Last 60 days High Low

1100 98.00 91.20 2602 54.20 37.65 1000 10.90 8.00 10500 3.70 2.11 8862 10.48 6.65 139730 28.00 21.52 15692 13.20 10.80 1636 12.56 8.00 3295 83.95 71.50 1301 49.00 39.51 26486 3.65 2.47 7828 88.00 53.00 129 3700.00 2891.68 14500 3.50 2.20 3000 6.45 3.80 65000 3.00 1.75 3100 10.79 7.91 11177 7.49 4.66 7030 60.30 40.50 287 5988.18 4535.01

2010 Div BR (%) (%)

% Change 2.01 5-Day High 2,159.06 5-Day Low 2,101.15 2011 Div BR (%) (%)

50 50 10 25 25B 40 7010B 12.5R 15 20B 10 12 750 10 492 -

-40.49R - 10R -

Fundamental Highlights As on Dec 31, 2009

Technical Analysis RSI (14-day)

38.94

Total Assets (Rs in mn)

23,734.13

MA (10-day)

1.97

Total Equity (Rs in mn)

7,075.66

MA (100-day)

1.88

Revenue (Rs in mn)

1,878.63

MA (200-day)

1.90

Interest Expense

1,208.86

1st Support

1.78

Loss after Taxation

(593.05)

2nd Support

1.77

EPS 09 (Rs)

1st Resistance

1.86

Book value / share (Rs)

2nd Resistance

1.93

PE 10 E (x)

Pivot

1.85

PBV (x)

(0.676) 8.07 23.00 0.23

SBL closed down -0.16 at 1.84. Volume was 139 per cent above average and Bollinger Bands were 40 per cent narrower than normal. The company's profit after taxation stood at Rs22.384 million which translates into an Earning Per Share of Rs0.02 for the 1st quarter of current calendar year (1QCY11). SBL is currently 3.0 per cent below its 200-day moving average and is displaying a downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect volume flowing into and out of SBL at a relatively equal pace. Trend forecasting oscillators are currently bearish on SBL.

NIB Bank Limited

HOUSEHOLD GOODS Performance of SR Household Goods Index Open 716.30 Turnover 65,982 P/E (x) 1.84 Company

High Low 731.55 702.81 Total cos Defaulter cos 15 7 P/BV (x) ROE (%) 0.20 10.64

Close 713.92 Listed cap 3,763.71 mn Payout (%) 6.27

Paid up Cap(mn)

Open

High

Low

Close Chg

Volume

106 1219 693

1.58

4.35 7.21 12.00

3.57 7.40 12.23

3.56 7.15 11.85

3.57 -0.78 7.21 0.00 12.00 0.00

502 33007 32420

Hussain Industries Pak Elektron Tariq Glass Ind

Change -2.39 Market cap 4,606.26 mn Div Yield (%) 3.41

Last 60 days High Low

2010 Div BR (%) (%)

5.88 14.50 14.47

17.5

3.56 7.15 11.20

10B -

% Change -0.33 5-Day High 726.91 5-Day Low 713.92 2011 Div BR (%) (%) - 200R

PERSONAL GOODS Performance of SR Personal Goods Index Open 973.23 Turnover 7,199,055 P/E (x) 4.97 Paid up Cap(mn)

Amtex Limited Apollo Textile XD Artistic Denim Azgard Nine Bannu Woolen XD Bata (Pak) Chakwal Spinning Chenab Limited Chenab Ltd Pref Colony Mills Ltd Crescent Jute Crescent Textile D S Ind Ltd Dawood Lawrencepur Ellcot Spinning Gadoon Textile XD Ghazi Fabrics Gulistan Spinning Hira Textile Mills Ltd. Idrees Textile Indus Dyeing Janana D Mal Kohinoor Ind Kohinoor Spinning Kohinoor Textile Leather Up Masood Textile Mukhtar Textile Nishat (Chunian) Nishat Mills Pak Synthetic Prosperity Quetta Textile Ravi Textile Rupali Poly Salfi Textile Sally Textile Salman Noman Sana Ind Saritow Spinning Service Ind Taj Textile Thal Ltd Treet Corp Tri-Star Poly Yousuf Weaving ZahidJee Textile Zephyr Textile Ltd Zil Limited

2594 83 840 4493 76 76 400 1150 800 2442 238 492 600 591 110 234 326 146 716 180 181 48 303 1300 2455 60 600 145 1620 3516 560 185 130 250 341 33 88 42 55 133 120 334 307 418 215 400 341 594 53

High Low 983.08 968.97 Total cos Defaulter cos 211 73 P/BV (x) ROE (%) 0.43 8.64

Open

High

Low

8.04 0.72 6.99 0.49 1.92 4.12 0.61 0.67 0.41 0.41 0.77 1.80 3.26 0.42 0.55 5.05 7.78 1.60 3.76 4.98 2.38 0.95 0.61 3.08 0.30 0.30 0.67 3.00 0.38 2.95 6.76 0.44 0.64 4.40 7.10

3.36 4.75 25.40 6.64 17.40 580.68 1.49 2.13 1.42 1.95 0.69 14.32 1.21 34.00 25.51 70.33 4.28 7.90 3.90 4.65 332.23 15.00 1.24 1.60 4.22 1.85 17.90 0.40 24.88 56.65 19.03 14.56 50.00 0.95 40.79 58.06 7.52 2.50 39.13 1.75 172.73 0.50 104.20 53.29 0.70 1.49 6.40 2.90 65.62

3.59 4.00 25.35 6.88 17.60 609.71 1.22 2.29 1.22 2.49 0.85 15.32 1.30 34.50 25.50 70.00 5.28 7.90 3.95 5.25 344.00 14.50 1.25 2.00 4.48 2.80 17.30 0.97 25.38 56.94 19.50 14.90 52.50 1.09 41.30 60.90 7.90 3.25 39.79 1.98 174.99 0.30 105.00 55.00 0.85 1.99 7.40 3.39 67.00

3.16 4.00 24.25 6.55 17.21 575.00 1.20 2.00 1.21 1.99 0.26 15.32 1.15 34.00 25.50 69.00 4.01 7.75 3.86 4.11 316.00 14.00 1.10 0.65 4.15 2.80 17.30 0.35 24.30 56.02 18.75 14.60 51.40 0.92 40.75 55.16 7.50 3.00 39.00 1.51 172.00 0.30 103.00 53.10 0.85 1.00 6.00 2.70 64.00

Close Chg 3.26 4.75 25.40 6.71 17.21 594.22 1.22 2.11 1.21 1.84 0.79 15.32 1.20 34.01 25.50 69.17 4.02 7.75 3.87 4.70 342.31 14.50 1.23 1.59 4.39 2.80 17.30 0.39 24.47 56.12 19.06 14.60 47.63 0.94 40.81 58.25 7.88 3.25 39.54 1.98 172.73 0.30 104.12 54.06 0.85 1.00 7.30 3.39 65.51

-0.10 0.00 0.00 0.07 -0.19 13.54 -0.27 -0.02 -0.21 -0.11 0.10 1.00 -0.01 0.01 -0.01 -1.16 -0.26 -0.15 -0.03 0.05 10.08 -0.50 -0.01 -0.01 0.17 0.95 -0.60 -0.01 -0.41 -0.53 0.03 0.04 -2.37 -0.01 0.02 0.19 0.36 0.75 0.41 0.23 0.00 -0.20 -0.08 0.77 0.15 -0.49 0.90 0.49 -0.11

Close 974.57 Listed cap 47,070.70 mn Payout (%) 16.68

Volume 2420077 300 201 3164787 8200 13374 3003 7052 120100 5202 8872 1400 14165 2870 1899 700 502 14400 10001 3008 170 2003 1552 902 605 500 500 5571 140134 1160979 564 755 1031 1632 2120 620 4950 5000 1286 504 124 6000 9393 23260 1000 7002 9059 601 10918

Change 1.35 Market cap 126,454.48 mn Div Yield (%) 3.36

Last 60 days High Low 3.76 5.75 25.40 9.45 23.27 609.71 1.95 2.92 3.00 2.80 1.40 16.00 1.70 47.00 28.74 102.24 8.00 9.00 5.00 6.00 360.89 17.80 1.78 2.00 5.25 3.50 18.89 0.97 29.50 66.19 21.21 16.90 73.00 1.74 43.73 65.90 9.35 4.00 41.98 2.25 204.00 1.01 112.19 59.20 1.49 1.99 7.98 4.80 68.00

1.81 4.00 18.55 4.40 16.00 411.00 0.76 1.65 0.46 1.50 0.25 12.50 0.95 33.50 24.00 66.00 4.00 6.30 3.63 3.85 273.94 12.90 0.75 0.25 3.77 1.66 16.70 0.16 23.15 56.02 17.01 13.60 47.93 0.53 38.05 49.00 5.50 1.90 36.50 1.22 154.00 0.11 97.00 46.00 0.23 1.00 5.00 2.25 55.00

2010 Div BR (%) (%)

% Change 0.14 5-Day High 974.57 5-Day Low 972.24 2011 Div BR (%) (%)

- 30B 20 20 280 5 15 5 15B 35 70 10 10 10 10 50 - 50.00 5 15 100R 15 25 45R 30 20 40 25 10 5B 60 75 80 20B 50 900B 35 -

Performance of SR Pharma and Bio Tech Index Open 965.38 Turnover 38,235 P/E (x) 6.50

2011 Div BR (%) (%)

0.02 0.04

85.00 36.00

2010 Div BR (%) (%)

Performance of SR Food Producers Index

% Change 0.02 5-Day High 1,644.63 5-Day Low 1,631.46

87.01 37.45

88.96 38.90

66.25 25.18

PHARMA AND BIO TECH

Change 0.33 Market cap 32,789.48 mn Div Yield (%) 16.88

8.76

Close Chg

Open

Agriautos Ind 144 4.36 72.00 Atlas Battery 101 5.84 220.82 Atlas HondaSPOT 626 9.71 158.76 Baluchistan Wheels Ltd. 133 1.54 34.11 Dewan Motors 1087 2.86 General Tyre 598 4.60 23.50 Ghandhara Nissan 450 3.69 Ghani Automobile Ind 200 6.57 3.34 Honda Atlas Cars 1428 - 10.35 Indus Motors 786 7.71 223.00 Pak Suzuki 823 14.90 67.00 Sazgar Engineering 150 1.11 23.00 Transmission 117 1.21

Performance of SR Industrial Engineering Index Open 1,631.46 Turnover 29,007 P/E (x) 7.79

1.85 0.59

Performance of SR Automobile and Parts Index

Company

Change -8.27 Market cap 66,007.19 mn Div Yield (%) 3.18

Paid up Cap(mn)

Al-Abbas Cement

Sui Southern Gas Co Ltd

% Change 2.13 5-Day High 835.38 5-Day Low 810.41

AUTOMOBILE AND PARTS

CONSTRUCTION AND MATERIALS Open 907.58 Turnover 5,719,953 P/E (x) 5.99

Change 17.25 Market cap 13,547.35 mn Div Yield (%) 1.96

Performance of SR Construction and Materials Index

Close 827.67 Listed cap 3,242.17 mn Payout (%) 11.08

8.00 8.44

INDUSTRIAL METALS AND MINING High Low 1,054.90 1,040.45 Total cos Defaulter cos 7 1 P/BV (x) ROE (%) 1.05 33.10

High Low 839.14 777.49 Total cos Defaulter cos 4 2 P/BV (x) ROE (%) 1.44 25.53

1092 1321

Performance of SR Industrial Metals and Mining Index Open 1,036.63 Turnover 87,238 P/E (x) 3.16

21,159.27 21,250.71 21,059.18 h97.86

Paid up Cap(mn)

Pak Int Cont. Terminal PNSC

Company

Close 1,883.77 Listed cap 52,251.88 mn Payout (%) 48.81

Performance of SR Forestry & Paper Index Open 1,119.78 Turnover 34,714 P/E (x) 5.72

Current High Low Change

11,897.70 11,951.67 11,875.29 h1.91

Alert ! Unusual Movements

Performance of SR Industrial Transportation Index

Close Change 1,555.29 2.96 Listed cap Market cap 65,194.15 mn 1,154,110.77 mn Payout (%) Div Yield (%) 55.94 5.17

CHEMICALS Open 1,876.11 Turnover 11,779,730 P/E (x) 9.01

Current High Low Change

KMI 30 Index

INDUSTRIAL TRANSPORTATION

Performance of SR Oil and Gas Index Open 1,552.33 Turnover 9,142,951 P/E (x) 10.82

KSE 30 Index

Company Abbott (Lab) XD GlaxoSmithKline Highnoon (Lab) IBL HealthCare Ltd Searle Pak

Paid up Cap(mn) 979 1963 182 200 306

High Low 986.74 967.48 Total cos Defaulter cos 9 P/BV (x) ROE (%) 1.45 22.31

Close 970.76 Listed cap 3,904.20 mn Payout (%) 44.54

Change 5.38 Market cap 31,635.97 mn Div Yield (%) 6.86

Open

High

Low

Close Chg

Volume

Last 60 days High Low

5.80 10.66 6.08 3.87 5.70

93.42 74.14 26.64 9.28 58.26

94.70 77.48 26.30 9.57 58.60

94.10 74.20 26.25 9.25 58.27

94.63 1.21 74.59 0.45 26.27 -0.37 9.45 0.17 58.42 0.16

1200 28765 717 7001 521

94.70 90.00 33.50 12.80 66.15

81.00 70.60 24.51 9.00 58.00

2010 Div BR (%) (%) 50 40 25 30

15B 10B -

% Change 0.56 5-Day High 970.76 5-Day Low 965.38 2011 Div BR (%) (%) -

Fundamental Highlights As on Dec 31, 2009

Technical Analysis RSI (14-day)

49.28

Total Assets (Rs in mn)

208,118.96

MA (10-day)

1.70

Total Equity (Rs in mn)

41,643.27

MA (100-day)

2.13

Revenue (Rs in mn)

18,272.36

MA (200-day)

2.48

Interest Expense

12,872.36

1st Support

1.66

Profit after Taxation

2nd Support

1.61

EPS 09 (Rs)

0.171

1st Resistance

1.75

Book value / share (Rs)

10.30

2nd Resistance

1.79

PE 10 E (x)

Pivot

1.70

PBV (x)

691.05

0.17

NIB closed up 0.02 at 1.72. Volume was 1 per cent above average and Bollinger Bands were 31 per cent narrower than normal. The company's loss after taxation stood at Rs795.184 million which translates into a Loss Per Share of Rs0.20 for the 1st quarter of current calendar year (1QCY11). NIB is currently 30.6 per cent below its 200-day moving average and is displaying an upward trend. Volatility is high as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect volume flowing into and out of NIB at a relatively equal pace. Trend forecasting oscillators are currently bullish on NIB.

Azgard Nine Limited

Fundamental Highlights As on Dec 31, 2009

Technical Analysis RSI (14-day)

56.64

Total Assets (Rs in mn)

38,525.22

MA (10-day)

6.54

Total Equity (Rs in mn)

18,469.71

MA (100-day)

8.20

Revenue (Rs in mn)

11,737.86

MA (200-day)

9.28

Interest Expense

1st Support

6.52

Profit after Taxation

60.53

2nd Support

6.37

EPS 09 (Rs)

0.003

1st Resistance

6.85

Book value / share (Rs)

37.85

2nd Resistance

7.03

PE 10 E (x)

Pivot

6.70

PBV (x)

2,424.42

0.18

ANL closed up 0.07 at 6.71. Volume was 5 per cent below average and Bollinger Bands were 32 per cent narrower than normal. The company's loss after taxation stood at Rs2.155 billion which translates into a Loss Per Share of Rs4.80 for the 1st quarter of current calendar year (1QCY11). ANL is currently 27.7 per cent below its 200-day moving average and is displaying an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into ANL (mildly bullish). Trend forecasting oscillators are currently bullish on ANL.

BOOK CLOSURES Company

From

PTCL Khyber Tobacco # EFU Life Assurance # OGDC Fauji Fertilizer Bin Qasim Hinopak Motors Pakistan Oilfields # National Bank of Pakistan # Atlas Honda Transmission Engg # Sapphire Tex Mills # Invest Cap Inv Bank Sui Northern Gas Pipelines # Mehran Sugar Mills United Bank # Kohinoor Sugar Mills # Cap Assets Leasing Corp # United Brands # New Jubilee Insurance # Premier Insurance # Berger Paints # Climax Engineering # Fateh Industries #

11-Jun 11-Jun 14-Jun 14-Jun 14-Jun 14-Jun 14-Jun 14-Jun 15-Jun 15-Jun 15-Jun 17-Jun 17-Jun 17-Jun 17-Jun 17-Jun 17-Jun 18-Jun 18-Jun 20-Jun 21-Jun 21-Jun 21-Jun

20-Jun 18-Jun 20-Jun 21-Jun 20-Jun 20-Jun 20-Jun 20-Jun 23-Jun 21-Jun 21-Jun 24-Jun 23-Jun 23-Jun 24-Jun 23-Jun 25-Jun 24-Jun 24-Jun 27-Jun 27-Jun 29-Jun 27-Jun

D/B/R

Spot AGM/Date

17.5(I) 03-Jun 15(II) 06-Jun 12.5(I) 06-Jun 65,15(B) 07-Jun 7.5(II),10(B)(I) -

19-Jun 20-Jun 20-Jun 20-Jun 20-Jun 23-Jun 20-Jun 21-Jun 24-Jun 23-Jun 24-Jun 23-Jun 25-Jun 24-Jun 24-Jun 27-Jun 27-Jun 29-Jun 27-Jun

INDICATIONS # Extraordinary General Meeting

OTHER SECTORS Symbols Pakistan Cables TRG Pakistan Ltd. Murree Brewery Co. Pak Tobacco Co. Shifa Int.Hospital P.I.A.C.(A) Pace (Pak) Ltd. Netsol Technologies Pak Telephone

Open 50.1 2.84 110.19 108.23 32.05 2.4 2.77 21.88 3.13

High 49.7 2.95 115.68 113.6 33.61 2.44 2.85 22.2 3.43

Low Close 49 2.76 105.05 103 33.61 2.35 2.71 21.56 2.26

49 2.78 109.82 103.81 32.05 2.4 2.78 21.89 3.2

Change -1.1 -0.06 -0.37 -4.42 0 0 0.01 0.01 0.07

Vol 732 171495 4243 399 150 2362 110755 265007 11019

Saturday, June 11, 2011

FIXED LINE TELECOMMUNICATION Performance of SR Fixed Line Telecommunication Index Open 1,006.15 Turnover 1,655,225 P/E (x) 5.53 Paid up Cap(mn)

Company

High Low 1,036.95 999.92 Total cos Defaulter cos 5 P/BV (x) ROE (%) 0.71 12.84

Open

High

Low

Close Chg

Pak Datacom 78 31.71 Pak.Telecomm Co A XD 37740 12.93 Telecard 3000 2.90 WorldCall Tele 8606 Wateen Telecom Ltd 6175 -

33.49 15.62 1.78 2.24 2.62

34.29 16.10 1.83 2.31 2.70

31.82 15.61 1.65 2.15 2.45

32.98 15.77 1.71 2.18 2.55

-0.51 0.15 -0.07 -0.06 -0.07

Close 1,011.49 Listed cap 50,077.79 mn Payout (%) 62.56

Volume 1545 1206009 76802 370869 500731

Change 5.34 Market cap 63,738.18 mn Div Yield (%) 11.32

% Change 0.53 5-Day High 1,011.49 5-Day Low 999.98

Last 60 days High Low

2010 Div BR (%) (%)

50.00 17.83 2.02 2.89 3.20

80 17.5 1 -

28.71 15.61 1.40 1.94 2.41

2011 Div BR (%) (%)

- 15.00 -

Ask Gen Insurance Atlas Insurance Central Insurance Century Insurance Crescent Star Insurance EFU General Insurance IGI Insurance Pak Reinsurance PICIC Ins Ltd Premier Insurance

280 3.54 443 3.49 391 1.54 457 4.83 121 10.28 1250 14.17 970 5.89 3000 5.94 350 12.56 303 3.88

9.50 28.00 71.13 8.31 3.60 38.50 71.70 17.31 14.89 8.70

Paid up Cap(mn)

Open

High

Low

198 11572 1560 7932 1695 126 8803 Nishat Chunian Power Ltd XD 3673 Nishat Power Ltd 3541 S G Power 178 Sitara Energy Ltd 191 Southern Electric 1367 Tri-star Power XD 150

7.63 5.19 2.52 5.49 2.72 2.34 5.80 -

0.65 37.76 1.33 2.48 17.00 3.02 42.95 15.15 16.59 1.30 21.61 1.50 1.00

0.65 38.10 1.45 2.54 17.17 3.40 43.34 15.20 16.74 1.98 21.00 1.59 1.27

0.65 37.60 1.32 2.36 17.17 3.25 42.75 15.00 16.28 1.39 20.71 1.47 0.91

Company Genertech Hub Power Japan Power KESC Kohinoor Energy Kohinoor Power Kot Addu Power

Close 1,361.91 Listed cap 95,369.29 mn Payout (%) 104.13

Change 2.42 Market cap 105,169.25 mn Div Yield (%) 7.50

Close Chg

Volume

Last 60 days High Low

0.65 38.00 1.41 2.41 17.17 3.25 42.79 15.11 16.38 1.45 20.94 1.49 1.17

5000 505841 143724 123516 500 1445 41345 376132 873313 43151 1276 107601 30102

0.80 38.50 1.70 2.87 18.25 4.25 44.19 17.25 17.75 1.98 23.26 1.98 1.37

0.00 0.24 0.08 -0.07 0.17 0.23 -0.16 -0.04 -0.21 0.15 -0.67 -0.01 0.17

0.49 36.12 0.97 2.25 15.41 2.11 40.39 14.70 15.52 0.40 15.35 1.13 0.31

% Change 0.18 5-Day High 1,363.67 5-Day Low 1,354.97

2010 Div BR (%) (%) 50 25 50 20 -

7.8R -

GAS WATER AND MULTIUTILITIES Performance of SR Gas Water and Multiutilities Index Open 1,374.35 Turnover 1,252,811 P/E (x) 8.80 Paid up Cap(mn)

Company Sui North Gas Sui South Gas

High Low 1,435.59 1,366.69 Total cos Defaulter cos 2 P/BV (x) ROE (%) 1.00 11.41

Close 1,429.32 Listed cap 12,202.80 mn Payout (%) 66.79

Change 54.97 Market cap 31,489.46 mn Div Yield (%) 7.59

Open

High

Low

Close Chg

Volume

Last 60 days High Low

5491 15.64 8390 5.24

20.86 22.51

21.90 23.40

21.11 22.01

21.90 1.04 23.20 0.69

729076 523735

21.90 25.30

17.64 20.52

% Change 4.00 5-Day High 1,429.32 5-Day Low 1,305.26

2010 Div BR (%) (%) 20 15

2011 Div BR (%) (%)

25B

BANKS Performance of SR Banks Index Open 1,161.53 Turnover 31,843,777 P/E (x) 7.48 Paid up Cap(mn)

Company

Open

Allied Bank Limited Askari Bank XB Bank Alfalah Bank AL-Habib Bank Of Khyber Bank Of Punjab BankIslami Pak Faysal Bank Habib Bank Ltd

8603 6.36 64.25 7070 5.52 12.00 13492 5.44 10.33 8786 6.11 28.71 5004 2.08 4.83 5288 6.98 5280 9.97 3.67 7327 7.64 9.94 11021 7.50 120.75 Habib Metropolitan Bank XB 10478 5.52 18.60 JS Bank Ltd 8150 53.00 2.69 KASB Bank Ltd 9509 1.53 MCB Bank Ltd XD 8362 8.31 205.54 Meezan Bank XB 8030 6.01 17.61 Mybank Ltd 5304 3.19 National Bank 16818 4.14 52.76 Network Mic Bank 300 3.00 NIB Bank XR 40437 1.70 Samba Bank 14335 23.00 2.00 Silkbank Ltd 26716 18.75 2.90 Soneri Bank 6023 2.90 5.86 Stand Chart Bank 38716 6.86 8.65 Summit Bank Ltd 7251 4.06 United Bank Ltd 12242 7.45 63.50

High

High Low Close 1,172.73 1,157.65 1,162.55 Total cos Defaulter cos Listed cap 27 - 257,548.02 mn P/BV (x) ROE (%) Payout (%) 1.04 13.94 40.49 Low

Close Chg

64.90 64.04 64.50 0.25 12.26 12.10 12.14 0.14 10.50 10.31 10.34 0.01 29.10 28.81 28.82 0.11 4.98 4.55 4.65 -0.18 7.25 6.86 7.00 0.02 3.69 3.61 3.69 0.02 10.10 9.90 10.09 0.15 121.00 119.93 120.10 -0.65 19.49 18.85 19.20 0.60 2.70 2.60 2.65 -0.04 1.53 1.47 1.50 -0.03 206.44 205.41 205.64 0.10 17.99 17.55 17.55 -0.06 3.48 3.10 3.10 -0.09 53.20 52.50 52.65 -0.11 3.10 2.80 3.10 0.10 1.74 1.65 1.72 0.02 1.92 1.84 1.84 -0.16 3.06 2.87 3.00 0.10 5.99 5.71 5.80 -0.06 8.54 8.45 8.51 -0.14 4.32 4.10 4.20 0.14 63.70 63.20 63.36 -0.14

Last 60 days High Low

Volume 106280 292206 192491 262594 9115 3846689 1356 246800 16752 68681 58899 193748 83827 33447 52098 759060 43500 1665616 276929 23590273 34942 4255 817913 4219

Change 1.01 Market cap 685,862.35 mn Div Yield (%) 5.41

67.21 13.97 11.20 30.65 6.25 7.35 4.18 13.20 126.80 23.00 3.00 1.77 222.80 19.49 3.60 79.00 3.49 2.17 2.20 3.06 6.99 9.75 4.75 65.50

57.00 10.90 9.10 27.00 3.30 4.51 3.31 9.00 104.16 17.00 2.06 1.16 192.20 16.26 1.60 49.57 0.80 1.47 1.62 2.02 5.71 7.90 2.36 57.30

% Change 0.09 5-Day High 1,169.80 5-Day Low 1,152.39

2010 Div BR (%) (%)

NON LIFE INSURANCE Performance of SR Non Life Insurance Index Open 771.42 Turnover 362,923 P/E (x) 11.20 Paid up Cap(mn)

Company

Adamjee Insurance XD

1237

High Low 780.13 761.20 Total cos Defaulter cos 34 22 P/BV (x) ROE (%) 0.58 5.20

Close 769.15 Listed cap 11,111.34 mn Payout (%) 79.54

Change -2.27 Market cap 47,099.54 mn Div Yield (%) 7.10

Open

High

Low

Close Chg

Volume

Last 60 days High Low

7.26

67.37

68.00

66.50

67.66 0.29

116519

81.89

62.00

% Change -0.29 5-Day High 775.76 5-Day Low 757.90

2010 Div BR (%) (%) 25

2011 Div BR (%) (%)

135 2118 1005 970 1274 25688 22203 191695 753 261

12.49 39.51 115.90 10.85 4.68 39.65 103.00 20.80 15.25 13.27

8.61 26.00 65.00 8.00 2.02 29.01 65.10 12.43 7.08 8.00

-10B 25R 40 20B 25 50B 10 12.5 30 55B 10.00 30 25 -

High Low 962.20 941.11 Total cos Defaulter cos 4 P/BV (x) ROE (%) 3.86 3.85

Close 937.87 Listed cap 2,290.72 mn Payout (%) 355.53

Change -6.54 Market cap 10,400.76 mn Div Yield (%) 3.54

% Change -0.69 5-Day High 944.41 5-Day Low 923.85

Paid up Cap(mn)

Open

High

Low

Close Chg

Volume

Last 60 days High Low

850

9.86

70.98

71.15

70.10

70.20 -0.78

1660

73.25

50.70

New Jub Life Insurance

627 15.13

56.29

2010 Div BR (%) (%)

2011 Div BR (%) (%)

58.75

56.30

56.30 0.01

1050

58.75

44.00

FINANCIAL SERVICES Performance of SR Financial Services Index Open 311.45 Turnover 8,143,350 P/E (x) 21.96 Company

Paid up Cap(mn)

High Low 320.66 305.85 Total cos Defaulter cos 41 6 P/BV (x) ROE (%) 0.20 0.91

Open

High

Low

225 0.83 360 5.60 450 18.44 3750 3.42 40 127.54 107 1.34 250 First Credit & Invest Bank Ltd 650 First National Equity 575 IGI Investment Bank 2121 9.74 Invest and Fin Sec 600 21.62 Invest Bank 2849 Ist Cap Securities 3166 Ist Dawood Bank 626 0.70 Jah Siddiq Co 7633 JOV and CO 508 JS Global Cap 500 6.03 JS Investment 1000 47.42 KASB Securities 1000 Pervez Ahmed Sec 775 6.07 Saudi Pak Leasing 452 Trust Brokerage 100 -

0.41 21.50 17.12 24.63 17.58 1.58 1.62 5.19 2.50 1.85 8.07 0.45 2.85 1.50 8.03 3.07 20.99 5.72 3.62 1.70 0.70 3.00

0.63 22.38 17.69 25.73 16.58 1.50 1.70 5.14 2.97 1.94 8.00 0.74 2.94 1.59 8.17 3.38 21.05 5.88 3.94 1.80 0.95 2.01

0.37 21.50 17.20 24.51 16.58 1.50 1.40 4.26 2.97 1.85 7.70 0.43 2.78 1.49 7.83 2.96 20.00 5.53 3.60 1.66 0.61 2.01

AMZ Ventures Arif Habib Investments Arif Habib Limited Arif Habib Corp Arpak Int Cap Assets Leasing Dawood Equities

Close Chg 0.40 21.97 17.52 25.53 16.58 1.50 1.50 5.14 2.50 1.85 8.00 0.44 2.80 1.57 7.96 3.13 20.99 5.69 3.60 1.70 0.68 3.85

-0.01 0.47 0.40 0.90 -1.00 -0.08 -0.12 -0.05 0.00 0.00 -0.07 -0.01 -0.05 0.07 -0.07 0.06 0.00 -0.03 -0.02 0.00 -0.02 0.85

Close 309.94 Listed cap 30,336.44 mn Payout (%) 99.56

Volume 41317 841 38988 4677885 509 1000 2489 3001 319 2006 2199 8412 59915 5205 5906627 1902019 19826 7765 21019 110195 10026 2670

Change -1.50 Market cap 15,123.96 mn Div Yield (%) 4.53

% Change -0.48 5-Day High 311.45 5-Day Low 291.17

Last 60 days High Low

2010 Div BR (%) (%)

0.69 24.97 22.49 26.14 17.58 2.95 1.99 6.10 5.80 2.25 9.29 1.20 3.67 1.98 9.15 3.83 24.00 6.43 4.90 2.17 1.30 5.89

30 11.5 10 50 -

0.34 20.84 12.01 20.53 11.97 1.06 1.15 3.10 1.56 1.61 5.15 0.22 2.45 1.26 4.82 2.31 16.42 4.53 3.10 1.45 0.55 1.11

2011 Div BR (%) (%)

20B 20B 10B -

- 140R -

EQUITY INVESTMENT INSTRUMENTS Performance of SR Equity Investment Instruments Index

2011 Div BR (%) (%)

40 10B - 10B 20 20B -64.41R - 20B 65 10B - 20B - 33R -105.16R 115 10B 30.00 - 15B 75 25B -154.79R -63.46R - 311R 6 - 20R 50 -

0.00 0.04 -0.38 0.39 0.10 -0.52 -0.58 -0.21 0.18 0.00

EFU Life Assurance

Company

2011 Div BR (%) (%) 25.00 10.00 30.00 10.00 -

9.50 28.04 70.75 8.70 3.70 37.98 71.12 17.10 15.07 8.70

LIFE INSURANCE Open 944.41 Turnover 2,716 P/E (x) 100.33

Performance of SR Electricity Index High Low 1,372.71 1,349.77 Total cos Defaulter cos 15 1 P/BV (x) ROE (%) 1.30 9.35

9.50 28.03 70.01 8.15 3.70 37.12 71.00 17.05 13.89 8.35

Performance of SR Life Insurance Index

ELECTRICITY Open 1,359.49 Turnover 2,252,946 P/E (x) 13.88

9.50 28.49 72.00 8.71 4.50 38.95 72.00 17.49 15.25 8.90

Open 1,512.66 Turnover 378,555 P/E (x) 20.25 Company

Paid up Cap(mn)

AL-Meezan Mutual F. AL-Noor Modaraba Atlas Fund of Funds B R R Guardian Mod. Crescent St Modaraba Equity Modaraba First Dawood Mutual F. Golden Arrow H B L Modaraba Habib Modaraba JS Growth Fund XD JS Value Fund XD KASB Modaraba Meezan Balanced Fund Mod Al-Mali NAMCO Balanced Fund Nat Bank Modaraba Pak Modaraba PICIC Energy Fund PICIC Growth Fund PICIC Inv Fund Prud Modaraba 1st Punjab Modaraba Stand Chart Modaraba Tri-Star 1st Modaraba Tri-Star Mutual U D L Modaraba UNICAP Modaraba

1375 4.63 210 2.52 525 1.73 780 2.44 200 3.86 524 8.68 581 1.26 760 2.33 397 3.92 1008 4.04 3180 2.16 1186 0.60 283 2.89 1200 2.77 184 12.86 1000 2.95 250 4.14 125 1000 2.17 2835 2.70 2841 2.30 872 1.62 340 454 5.54 212 50.00 50 0.67 264 2.48 136 -

Open 10.71 4.05 6.50 2.07 0.54 1.41 2.10 3.40 8.00 8.00 6.31 5.46 3.65 9.90 1.14 4.50 5.60 0.70 7.35 13.35 5.88 0.85 0.92 10.02 1.00 1.26 6.73 0.13

High 10.89 4.05 6.50 2.35 0.54 1.88 2.20 3.53 8.24 7.86 6.69 5.74 4.48 9.65 1.25 4.74 5.50 1.50 7.36 13.49 6.19 0.89 1.20 9.91 0.87 1.28 7.25 0.50

High Low 1,562.35 1,511.51 Total cos Defaulter cos 52 11 P/BV (x) ROE (%) 0.45 2.21 Low 10.75 3.70 6.50 2.25 0.44 1.65 2.10 3.37 7.32 7.80 6.27 5.74 4.48 9.30 0.90 4.73 5.50 0.75 7.35 13.01 5.82 0.82 0.55 9.90 0.87 1.00 7.25 0.20

Close Chg 10.79 3.96 6.50 2.34 0.54 1.65 2.10 3.52 8.00 7.80 6.30 5.74 4.48 9.65 0.90 3.86 5.50 0.75 7.35 13.16 5.82 0.89 0.80 10.02 1.00 1.00 7.25 0.50

0.08 -0.09 0.00 0.27 0.00 0.24 0.00 0.12 0.00 -0.20 -0.01 0.28 0.83 -0.25 -0.24 -0.64 -0.10 0.05 0.00 -0.19 -0.06 0.04 -0.12 0.00 0.00 -0.26 0.52 0.37

Close 1,505.14 Listed cap 29,771.58 mn Payout (%) 104.74

Change -7.52 Market cap 19,083.83 mn Div Yield (%) 8.04

Last 60 days High Low

Volume 14700 9650 100000 2000 2549 5007 4002 5688 388 47000 4001 500 500 1500 5292 30065 500 1807 7500 42600 28751 54602 5031 329 476 501 500 3000

11.20 4.05 6.94 2.91 0.84 2.50 2.47 3.95 8.48 8.44 7.45 6.68 4.48 10.19 1.84 5.28 6.18 1.50 7.99 13.74 6.59 1.10 1.99 10.90 2.05 1.88 7.25 0.50

10.00 3.01 5.61 1.29 0.30 1.22 1.82 3.08 7.00 7.25 5.80 5.17 1.50 8.46 0.90 3.52 4.50 0.45 6.92 12.00 5.11 0.80 0.26 9.50 0.20 0.71 5.67 0.13

% Change -0.50 5-Day High 1,525.04 5-Day Low 1,505.14

2010 Div BR (%) (%) 18.5 5 2.2 0 1.2 17 11 21 12.5 10 2.8 15.5 15 10 3 10 20 10 3 1 17 12.5 -

2011 Div BR (%) (%)

- 5.00 - 5.00 - 10.00 - 12.50 - 7.50 - 7.50 -

UPTO 100 VOLUME Symbols ADAMS BAFS CPMFI FECTC GHNI HICL ISIL NJICL RICL GUTM MDTL BROT SING HADC SMTM MRNS EXIDE FEROZ GRAYS BIFO HUSSR BCL SRSM AKDCL SMCPL ALICO BAWS FCONM FFLM JKSM BTL FZTM HAJT FECM GWLC JOPP KOHS KSTM RMPL SCLL SHCI SSIC ARM CHCC DMTM DWTM EWLA FIBLM FIMM GAMON KML OLPL PECO POAF TATM WAZIR

Open

High

18.88 46.03 2.60 6.71 9.00 11.30 78.72 58.45 6.91 20.00 17.30 0.22 16.89 0.54 4.82 65.60 199.16 92.94 45.90 52.50 1.50 49.75 3.25 37.81 5.00 16.51 8.50 1.50 1.65 6.50 65.08 314.00 0.63 2.40 5.50 9.00 3.61 1.59 2700.00 2.50 2.28 5.15 18.50 10.00 4.62 5.99 1.55 1.60 62.65 0.70 1.85 5.80 92.28 4.31 33.00 7.00

18.49 43.73 1.95 7.44 9.25 11.30 74.79 59.90 7.23 19.50 16.30 0.95 17.78 0.72 5.00 65.95 197.00 93.49 44.80 54.50 1.50 48.99 3.94 39.47 5.65 17.50 9.20 1.99 1.75 6.00 68.33 327.00 1.40 3.39 6.34 9.50 4.49 1.60 2699.99 2.79 2.35 5.48 19.50 10.19 4.50 6.99 1.70 1.40 64.99 1.50 1.28 5.99 95.00 5.31 34.49 7.00

Low

18.49 43.73 1.95 7.44 9.25 11.30 74.79 59.90 7.23 19.50 16.30 0.95 16.01 0.66 4.60 65.95 197.00 93.49 44.80 54.50 0.50 48.99 3.94 37.00 4.56 17.50 9.20 1.99 1.75 6.00 61.85 298.30 0.05 3.05 5.15 9.50 4.43 1.60 2603.00 2.79 2.35 5.11 19.50 10.19 4.50 6.99 1.70 1.40 64.99 1.50 1.28 5.99 95.00 5.31 34.49 7.00

Change

Vol

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

100 100 100 100 100 100 100 100 100 65 61 60 53 52 51 50 43 31 30 20 20 10 10 9 9 5 5 5 5 5 4 3 3 2 2 2 2 2 2 2 2 2 1 1 1 1 1 1 1 1 1 1 1 1 1 1

FUTURE CONTRACTS Symbols ATRL-JUN DGKC-JUN PPL-JUN FFBL-JUN POL-JUN

Open

High

133.51

134.95

Low

127.22

128.14

Change

Vol

-5.37 1037500

24.05

24.35

23.53

23.61

-0.44

849500

212.00

216.30

210.01

213.31

1.31

610500

-0.09

350000

43.01

43.10

42.50

42.92

355.53

357.40

354.50

356.48

0.95

ENGRO-JUN 190.52

190.96

188.40

188.86

-1.66

FFC-JUN

145.40

147.80

145.90

147.52

2.12

200500

NML-JUN

56.96

57.69

56.31

56.43

-0.53

159500

UBLTFC4

99.00

98.87

-0.13

88970

NBP-JUN

53.08

53.35

52.85

325500 216000

52.98

-0.10

55500

PTC-JUN

15.77

16.05

15.80

15.82

0.05

47500

MCB-JUN

206.60

207.00

206.00

206.80

0.20

37500

LUCK-JUN

73.54

73.75

73.01

73.08

-0.46

17000

ENGROTFC

98.83

99.50

98.96

0.13

2200

UBL-JUN

64.40

63.85

-0.55

1000

MTS LEVERAGE POSITION Symbol AHCL AICL AKBL ANL ATRL BAFL DGKC ENGRO FFBL FFC HUBC KAPCO LOTPTA LUCK MCB NBP NCL NML OGDC PAKRI POL PPL PSO PTC SSGC UBL TOTAL

Total Volume 670,250 20,825 85,214 182,600 73,300 1,157,065 616,048 292,253 84,500 95,855 50,000 112,500 3,026,812 51,750 45,231 681,460 348,681 459,064 18,500 306,900 60,591 103,658 50,571 31,330 3,000 10,000 8,637,958

Total Value 11,319,614 1,033,032 756,293 790,358 7,254,570 8,956,416 11,056,336 41,347,876 2,732,395 10,412,768 1,416,906 3,641,331 33,734,841 2,853,757 6,930,844 26,605,683 6,373,850 19,582,224 2,119,014 3,855,421 16,082,462 16,384,985 10,664,460 404,804 50,540 475,190 246,835,971

MTS Rate 17.74 16.15 18.00 16.00 16.50 14.99 15.78 16.00 16.50 20.00 15.00 16.15 15.00 16.00 16.35

BOARD MEETINGS

Dera Ghazi Khan Cement Co Ltd

KSE 100 INDEX

Fauji Fertiliser Bin Qasim Ltd

Pakistan Petroleum Ltd

Company

Date

Time

Asia Insurance Regent Textile Mills Ltd Exide Pakistan Ltd Japan Power

15-Jun 15-Jun 15-Jun 16-Jun

11:00 4:00 3:00 1:30

TECHNICAL LEVELS Company Al-Abbas Cement

Technical Outlook Technical Analysis RSI (14-day)

Brokerage House

Leverage Position

65.11

Support 1

12,327.45

MA (5-day)

12,320.37

MA (10-day)

12,260.11

Resistance 1

12,424.55

MA (100-day)

11,976.76

Resistance 2

Support 2

12,471.35

Arif Habib Ltd

Target Price

Recommendations

30.1

Buy

Arif Habib Ltd

254.9

28.72

Buy

TFD Research

246.65

TFD Research

36.45

Positive

Technical Outlook

12,277.10

Technical Analysis

Leverage Position

Engro Corporation

Fauji Fertiliser Co

Brokerage House

Target Price

Recommendations

Brokerage House

Hold

Arif Habib Ltd

AKD Securities Ltd

120.7

Reduce

AKD Securities Ltd

TFD Research

129.4

Negative

TFD Research

144

Leverage Position

RSI (14-day) MA (10-day) MA (100-day) MA (200-day)

68.87 MTS Shares `000 95.855 142.32 MTS Rs `000 10,412.77 139.01 MTS Rate 14.99 126.23 ** NOI Rs (mn) 37.07 Free Float Shares (mn) 466.49 Free Float Rs (mn) 68,587.64 Target price for Dec-11 & **Net Open Interest in future market

Target Price 224

Brokerage House

53.50 213.02 208.80 204.15 Free Float Shares (mn) 247.73

Recommendations Buy

64.90

65.35

64.50

52.45

53.85

54.55

53.50

Arif Habib Corp

67.91

24.80

24.05

26.00

26.50

25.25

Arif Habib Limited

56.53

17.25

17.00

17.75

17.95

17.45

Adamjee Insurance

50.87

66.80

65.90

68.30

68.90

67.40

Askari Bank

58.34

12.10

12.00

12.25

12.35

12.15

Azgard Nine

56.18

6.55

6.40

6.85

7.05

6.70

Hold

Attock Petroleum

60.91

384.80

381.70

391.30 394.70 388.20

AKD Securities Ltd

45.52

Accumulate

Attock Refinery

44.95

124.50

121.50

132.50 137.50 129.50

TFD Research

44.25

Neutral

Bank Al-Falah

48.91

10.25

10.20

BankIslami Pak

44.58

Bank.Of.Punjab

66.06

Dewan Cement

52.77

1.80

1.75

1.90

1.95

1.85

D.G.K.Cement

49.99

23.15

22.80

24.05

24.65

23.70

Dewan Salman

59.00

2.90

2.80

3.00

3.05

Dost Steels Ltd

57.01

2.15

2.05

2.45

2.60

Technical Outlook

Leverage Position MTS Shares `000 MTS Rs `000 MTS Rate ** NOI Rs (mn) Free Float Rs (mn)

103.658 16,384.99 16.15 125.81 52,578.48

Technical Analysis

Leverage Position

RSI (14-day) MA (10-day) MA (100-day) MA (200-day)

71.01 MTS Shares `000 84.50 43.51 MTS Rs `000 2,732.39 41.50 MTS Rate 36.86 ** NOI Rs (mn) 27.17 Free Float Shares (mn) 326.94 Free Float Rs (mn) 14,398.37 Target price for Dec-11 & **Net Open Interest in future market

PPL closed up 1.44 at 212.24. Volume was 393 per cent above average FFBL closed up 0.01 at 44.04. Volume was 0.01 per cent above average

3.60 6.85

3.55 6.65

10.45 3.70 7.20

10.55 3.75 7.45

10.40 3.65 7.05

2.95 2.30

EFU General Insurance 63.53

37.10

36.20

38.90

39.85

38.00

EFU Life Assurance

72.01

69.80

69.45

70.85

71.55

70.50

Engro Corp

37.08

186.75

185.80

Faysal Bank

54.06

9.95

9.85

10.25

10.05

54.22

Fauji Fert Bin

70.50

43.60

43.15

Fauji Fertilizer

68.77

145.30

143.55

148.15 149.25 146.40

Habib Bank Ltd

50.79

119.70

119.25

120.75 121.40 120.35

Hub Power

59.48

37.70

37.40

ICI Pakistan

51.95

157.10

156.55

158.55 159.50 158.05

ing oscillators are currently bullish on PPL.

Indus Motors

56.06

221.00

218.75

226.70 230.15 224.45

J.O.V.and CO

59.94

2.95

2.75

3.35

3.60

3.15

Japan Power

61.35

1.35

1.25

1.45

1.50

1.40

JS Bank Ltd

52.63

2.60

2.55

2.70

2.75

2.65

Jah Siddiq Co

44.21

7.80

7.65

8.15

8.35

8.00

ing that FFBL is currently in an overbought condition.

Nishat Mills Ltd

Brokerage House Arif Habib Ltd AKD Securities Ltd TFD Research

Target Price

Recommendations

Brokerage House

24.7

Buy

AKD Securities Ltd

23.91

Buy

TFD Research

25.8

74.65 78.6

Recommendations

Leverage Position

RSI (14-day) 25.07 MTS Shares `000 31.33 MA (10-day) 17.32 MTS Rs `000 404.80 MA (100-day) 17.52 MTS Rate 16.00 MA (200-day) 18.30 ** NOI Rs (mn) 6.52 Free Float Shares (mn)585.06 Free Float Rs (mn) 9,226.40 Target price for Dec-11 & **Net Open Interest in future market

44.56

2.35

2.25

2.50

2.60

2.45

14.80

14.75

15.10

15.25

15.00

56.29

72.25

71.70

73.65

74.45

73.10

MCB Bank Ltd

50.03

205.20

204.80

Maple Leaf Cement

58.47

2.45

2.35

2.55

2.65

2.50

National Bank

46.09

52.35

52.10

53.05

53.50

52.80

Nishat (Chunian)

39.51

24.05

23.65

25.15

25.80

24.70

Netsol Technologies

52.38

21.55

21.25

22.20

22.50

21.90

48.68 55.18 32.34

55.80

55.45

Oil & Gas Dev. XD

66.00

154.65

153.30

PACE (Pakistan) Ltd.

46.03

2.70

2.65

32.26 MTS Shares `000 459.064 58.41 MTS Rs `000 19,582.22 62.56 MTS Rate 16.50 58.52 ** NOI Rs (mn) 79.87 Free Float Shares (mn) 175.80 Free Float Rs (mn) 9,865.89 Target price for Dec-11 & **Net Open Interest in future market

Pervez Ahmed Sec

49.48

2.70

1.65

1.60 2.60

1.60

43.55

37.90

44.12

Nishat Mills

43.15

38.40

49.27

Nimir Ind.Chemical

RSI (14-day) MA (10-day) MA (100-day) MA (200-day)

38.20

Lucky Cement

NIB Bank

Leverage Position

4.60 43.90

Lotte Pakistan

Positive

Technical Outlook Technical Analysis

4.75 44.65

K.E.S.C

1.65

42.35

4.65 44.35

Kot Addu Power

Buy

Positive

Technical Outlook Technical Analysis

Target Price

42.60

4.40

10.15

Fauji Cement

and Bollinger Bands were 1 per cent narrower than normal.

4.50

189.40 191.05 188.40

PPL is currently 4.0 per cent above its 200-day moving average and is dis- FFBL is currently 19.4 per cent above its 200-day moving average and is displaying an upward trend. Volatility is low as compared to the average playing an upward trend. Volatility is relatively normal as compared to the volatility over the last 10 trading sessions. Volume indicators reflect modaverage volatility over the last 10 trading sessions. Volume indicators erate flows of volume into FFBL (mildly bullish). Trend forecasting oscillareflect moderate flows of volume into PPL (mildly bullish). Trend forecast- tors are currently bullish on FFBL. Momentum oscillator is currently indicat-

Positive

37.02 MTS Shares `000 292.253 192.46 MTS Rs `000 41,347.88 204.71 MTS Rate 16.50 193.97 ** NOI Rs (mn) 202.18 Free Float Shares (mn) 176.98 Free Float Rs (mn) 33,227.60 Target price for Dec-11 & **Net Open Interest in future market

42.2

63.60

52.85

Arif Habib Ltd

(trending) and Bollinger Bands were 2 per cent wider than normal.

Neutral

RSI (14-day) MA (10-day) MA (100-day) MA (200-day)

Recommendations

64.05

47.41

Positive

Target price for Dec-11 & **Net Open Interest in future market

245.4

Leverage Position

Target Price

1st 2nd Pivot Resistance 3.00 3.20 2.90

68.13

Attock Cement

Buy

Technical Outlook Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day)

195.41

Technical Analysis

Recommendations

Pakistan Telecommunication Co Ltd

Technical Outlook

Technical Outlook Technical Analysis

Target Price

AKD Securities Ltd

RSI (14-day) 50.31 MTS Shares `000 616.048 MA (200-day) 11,426.84 Pivot 12,374.25 MA (10-day) 23.89 MTS Rs `000 11,056.34 24.79 MTS Rate 16.00 KSE 100 INDEX closed up 47.63 points at 12,377.77. Volume was MA (100-day) MA (200-day) 26.22 ** NOI Rs (mn) 106.90 3 per cent below average and Bollinger Bands were 13 per cent narFree Float Shares (mn) 200.80 Free Float Rs (mn) 4,716.90 rower than normal. As far as resistance level is concern, the market Target price for Dec-11 & **Net Open Interest in future market will see major 1st resistance level at 12,424.55 and 2nd resistance DGKC closed down -0.43 at 23.49. Volume was 116 per cent above level at 12,471.35, while Index will continue to find its 1st support average and Bollinger Bands were 1 per cent narrower than normal. level at 12,327.45 and 2nd support level at 12,277.10. KSE 100 INDEX is currently 8.3 per cent above its 200-day moving DGKC is currently 10.4 per cent below its 200-day moving average average and is displaying an upward trend. Volatility is extremely low and is displaying an upward trend. Volatility is relatively normal as when compared to the average volatility over the last 10 trading ses- compared to the average volatility over the last 10 trading sessions. sions. Volume indicators reflect moderate flows of volume into Volume indicators reflect volume flowing into and out of DGKC at a INDEX (mildly bullish). Trend forecasting oscillators are currently relatively equal pace. Trend forecasting oscillators are currently bullbullish on INDEX. ish on DGKC.

Arif Habib Ltd

Brokerage House

RSI 1st 2nd (14-day) Support 52.89 2.70 2.60

Allied Bank Limited

42.95

206.25 206.85 205.85

1.75

1.80

1.70

2.80

2.90

2.75

56.70

57.30

56.35

157.50 158.90 156.10 2.85 1.75

2.90 1.80

2.80 1.70

P.I.A.C.(A)

49.59

2.35

2.30

2.45

2.50

2.40

Pioneer Cement

62.43

5.80

5.70

6.05

6.20

5.95

Pak Oilfields

72.15

353.05

351.05

357.00 359.00 355.00

Pak Petroleum

53.37

209.65

207.10

215.15 218.10 212.60

Pak Suzuki

41.55

65.10

64.05

P.S.O. XD

42.87

275.85

273.45

67.60

69.05

66.55

281.85 285.45 279.45

P.T.C.L.A

25.37

15.55

15.35

FFC closed up 2.24 at 147.03. Volume was 8 per cent above average and ENGRO closed down -1.66 at 187.75. Volume was 14 per cent below aver- PTC closed up 0.15 at 15.77. Volume was 19 per cent below average and NML closed down -0.53 at 56.12. Volume was 39 per cent below average

Shell Pakistan

61.30

225.90

225.80

Bollinger Bands were 32 per cent wider than normal. age and Bollinger Bands were 62 per cent narrower than normal. PTC is currently 13.8 per cent below its 200-day moving average and is disFFC is currently 16.5 per cent above its 200-day moving average and is ENGRO is currently 3.2 per cent below its 200-day moving average and is playing a downward trend. Volatility is extremely high when compared to the displaying an upward trend. Volatility is relatively normal as compared to displaying a downward trend. Volatility is relatively normal as compared to average volatility over the last 10 trading sessions. Volume indicators reflect the average volatility over the last 10 trading sessions. Volume indicators the average volatility over the last 10 trading sessions. Volume indicators volume flowing into and out of PTC at a relatively equal pace. Trend forereflect very strong flows of volume into FFC (bullish). Trend forecasting reflect volume flowing into and out of ENGRO at a relatively equal pace. casting oscillators are currently bearish on PTC. Momentum oscillator is cur-

and Bollinger Bands were 14 per cent narrower than normal.

Sui North Gas

78.95

21.40

20.85

22.15

22.45

21.65

NML is currently 4.1 per cent below its 200-day moving average and is dis-

Sitara Peroxide

46.23

17.45

17.25

18.05

18.45

17.85

Sui South Gas

62.75

22.35

21.50

23.75

24.25

22.85

Bollinger Bands were 64 per cent narrower than normal.

oscillators are currently bullish on FFC.

Trend forecasting oscillators are currently bearish on ENGRO.

rently indicating that PTC is currently in an oversold condition.

playing a downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect volume flowing into and out of NML at a relatively equal pace. Trend forecasting oscillators are currently bearish on NML.

1.65

1.55

16.05

16.30

15.85

226.10 226.20 226.00

Telecard

48.48

TRG Pakistan

53.38

2.70

2.65

2.90

3.00

2.85

United Bank Ltd

45.77

63.15

62.90

63.65

1.80

63.90

1.90

63.40

WorldCall Tele

47.55

2.10

2.05

2.25

2.35

2.20

1.75

Gloomy economic data pulls FTSE down LONDON: Britain's FTSE 100 closed below key technical levels on Friday as more downbeat economic data intensified worries about the health of the global economy. Import prices in the United States rose for the eighth straight month, hinting at ongoing price pressures from overseas. Traders said the data itself was not disastrous but was enough for investors with itchy trigger fingers to sell off the previous session's gains. "A cooling in the cycle is normal," said Stefan Angele, head of investment management at Swiss & Global Asset Management, which has around 80 billion Swiss francs of funds under management said, in comments on the recent spate of lackluster economic numbers. "Nevertheless, fears of a recession are beginning to grow and have led to a market correction. The mid-June data will give us a clearer picture." The data in the United States was accompanied by news of the scrapping of a large IPO, which traders put

STOCK REVIEW & CONTINUATION

Saturday, June 11, 2011

down to the recent limp economic numbers, and followed weak trade figures overnight in China. Commodity stocks were the main drag as Britain's leading share index succumbed to risk aversion, falling 90.54 points or 1.6 per cent at 5,765.80, tracking losses in the United States and more than eroding Thursday's gains. The FTSE closed below the 5,800 level for the first time since late March and beneath its 200-day moving average, a key technical level, for the second time in a week, which traders said could prove pivotal. "Confidence is fragile and the index closed below its 200-day moving average (around 5,821), that has left investors wondering how far this retreat might go," said Jimmy Yates, head of equities at CMC Markets. RISK OFF Risk-sensitive miners weighed down the index as jitters over economic recovery returned. Kazakh miner ENRC dropped 7.5 per cent as a source familiar with the situation said a third independent director is consider-

ing quitting the firm's board, adding to a growing corporate governance crisis at the group. Integrated oil stocks fell in tandem with crude oil on news Saudi Arabia was offering more oil to Asian refiners and a newspaper report that the world's top exporter and will raise output to 10 million barrels per day in July. Domestic data was also a depressant. British factory output fell at its sharpest monthly pace in two years in April. Among individual movers, drugmaker AstraZeneca fell 2.1 per cent as Barclays Capital downgraded its rating for the firm to "underweight" from "overweight" in a downbeat review of the European pharmaceuticals sector. Broadcaster ITV shed 1.2 per cent as watchdog Ofcom launched a review of how advertising is sold in Britain's 4 billion-pound television market, with practices largely unchanged in 20 years. ITV also suffered from Berenberg starting coverage of the stock with a "sell" rating and 69 pence target price. Reuters

US stocks late-morning

Wall Street slides on poor data NEW YORK: Wall Street resumed its slide on Friday, with the Nasdaq turning negative for the year, after China's weaker trade data and disputes about a second Greece bailout weighed on already fragile sentiment. Bank stocks ranked among the top decliners. The Federal Reserve said it plans to expand the number of banks it will subject to annual tests used to determine if stock dividends can be increased and whether an institution is holding enough capital. "It's an incremental negative that makes it easier to be negative and sell any financial stocks right now," said Michael James, senior trader at Wedbush Morgan in Los Angeles. "The financial stocks have been a big weight and an underperformer all year so the path of least resistance in the financials continues to be lower." The Nasdaq Composite erased its gains for the year, while the Dow and the S&P 500 were on track for a sixth straight week of losses. A string of sub-par US economic data in the past few weeks has turned investors away from equities. "Recent economic reports have been very weak and people are worried about the idea of a double-dip recession," said Janna Sampson, co-chief investment officer of OakBrook Investments LLC in Lisle, Illinois. Reuters

Erosion contained at KSE due to higher crude prices Nawaz Ali KARACHI: The week ended on a positive note at the Karachi Stock Exchange on Friday as investors took positions in blue chips due to higher international oil prices, hovering around US$100 a barrel. The benchmark KSE-100 index gained 47 points to close at 12,377 points, KSE-30 index was up by one point to close at 11,897 points and KSE all-share index grew by 29 points to close at 8,605 points. "Due to increase in international oil prices, the local oil chain remained in positive helping the index to close higher", said Samar Iqbal equity dealer at Topline Securities. However, refinery sector came under selling pressure

after the release of lower production number indicating earnings' decline of the sector, she added. After a positive opening market witnessed some mixed performance in the initial moments but then buying mainly in the oil stocks following higher international crude oil prices kept the index in the green zone. Further, rumors of rise in local urea prices too invited buying in the fertilizer stocks. The index ended the first half of the day with 55 points up. Positive activities then increased with the start of second session and continued interest in blue chips helped the index cross 12,400 levels and touch an intra-day high of 12,420 points (+ve 90). But as it was the last trading day of

the week some profit taking was seen at higher levels which eroded the gains made earlier during the day. Investors' participation witnessed a marginal decline as 102.5 million shares exchanged hands in the overall market which was 9.3 million shares less as compared to a turnover of 111.8 million shares a day earlier. Silkbank emerged the volume leader with 23.59 million shares followed by Fatima Fertilizer with 7.87 million shares and Jahangir Siddiqui & Co., with 5.9 million shares. Though, the index closed with marginal gains the active issues side showed a different picture as out of total 347 active issues; 137 declined and 121 advanced while 89 scrips remained unchanged.

Indian shares falls on subdued outlook MUMBAI: Indian shares fell for the third week in four on Friday, hurt by slower April industrial output growth and weak world equities, and a lack of positive triggers kept next week's outlook subdued. Financials led the losses on concerns slowing industrial

growth could lead to a decline in demand for loans. India's industrial output growth dipped in April, the latest sign that the rising cost of credit and inflation are slowing the economy, which may compel the central bank to pull back from its aggressive mone-

tary policy tightening. The 30-share BSE index fell 0.63 per cent, or 116.36 points, to 18,268.54 points, taking losses for the week to 0.6 per cent. Twenty four of its components declined. " The market came off as the industrial output data came in below expectations. Reuters

CONTINUATIONS No #1

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collectively to make the country a prosperous one. Yasmeen Rehman said the present government has given unprecedented raise in the salaries of the government employees despite difficult economic situation. She said that due to pro-agriculture polices, the rural economy is flourishing which will have a positive impact on the overall growth. She suggested the government to give incentives to the private sector for the generation of employment opportunities in the country. Awais Leghari suggested the government privatise the loss-making state-owned enterprises and money earned through it be diverted towards the welfare of the poor segments of the society. He said emphasis should also be laid on the human resource development by launching skill development programs for the youth. Fiza Junejo said the government should gear up efforts for the construction of dams and exploitation of Thar coal reserves to cope with the growing energy demand. Welcoming the allocation of 65 billion rupees for the Benazir Income Support Program, she said the government should also launch a training program for the recipients of the compensation so that they could earn their own livelihood. - Agencies

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and military officials now argue behind closed doors that the intense pace of the strikes aggravates an already troubled alliance with Pakistan and, ultimately, risks destabilising the nuclear-armed country, said current and former officials familiar with the discussions. US Ambassador to Pakistan Cameron Munter, backed by top military officers and other State Department officials, wants the strikes to be more judicious, and argues that Pakistan's views need to be given greater weight if the fight against militancy is to succeed, said current and former US officials. Defenders of the current drone programme take umbrage at the suggestion that the program isn't judicious. "In this context, the phrase 'more judicious' is really code for 'let's appease Pakistani sensitivities," said a US official. The CIA has already given Pakistani concerns greater weight in targeting decisions in recent months, the official added. Advocates of sustained strikes also argue that the current rift with the Pakistanis isn't going to be fixed by scaling back the program. The debate has largely been muted until now, in part because the details of the program are classified and because drone strikes against militants have generally been popular with the White House and most Republicans and Democrats in Congress. - Agencies

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explained that the KRC had started setting aside funds when the crisis started. He had been surprised by ICRC's "relative slowness in making the appeal" and had written to the ICRC to speed up the process. The two were now coordinating aid delivery, but the ICRC "wanted to be in charge". Al-Bahar explained that the Kuwait Fund had already agreed on an earthquake reconstruction project worth 14.3 million Kuwaiti dinars ($50m) for Pakistan. The only thing delaying the start of the project, he said, was the security situation in Pakistan, which was preventing Kuwait Fund staff from travelling to the country to sign the loan agreement. As a way to speed up project implementation, he added, the Kuwait Fund was approving procurement for the project in coordination with Pakistan government.

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which sustain about 40 per cent of the watering at world level, will finally affect the amount of available water on the surface for watering in the main producer basins," it said. The increase in temperature will prolong the growing season of crops in warmer regions, but reduce the harvest season elsewhere, adding to a higher rate of evaporation and a decrease in agricultural productivity, the report said. Rural communities and the food security of the urban population are threatened, "but the poor people in rural areas are the most vulnerable, and they could be affected in a disproportionate way," it said. - NNI

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taken seriously. He also asked for taking immediate measures to ensure law and order and curb such brutal acts in future. - Agencies

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judicial remand It may be recalled that on Wednesday Rangers had shot dead a 25 year old youngster at point blank range in Clifton. All the rangers personnel on duty at the time were taken into custody. However after interrogations by Rangers two rangers were handed over to the police on Friday. Police said that after recording statements of rangers the investigation process has been started. Earlier Adviser to Prime Minister Syed Yousuf Raza Gilani for Human Rights Mustafa Nawaz Khokhar had met with DG Rangers and it was decided to hand over the two Rangers to the police. - Agencies

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He last time visited Pakistan in September to show solidarity with Pakistan over the devastating floods which killed over 1,000 people and displaced millions. Karzai's visit is important as the withdrawal of the US troops from Afghanistan will begin in July and the Afghan leaders now insist Pakistan must act to persuade Taliban to end war. During his visit in Pakistan, Karzai is accompanied by the Chairman of the High Peace Council Prof Burhanuddin Rabbani, who also visited Pakistan earlier this year and sought Pakistan's help in the reconciliation efforts. Many analysts believed that Pakistan has deep influence on Afghan Taliban and can play important role to convince them to join the peace process at a time when foreign troops are leaving the war-shattered country. Afghan government is also now under tremendous pressure at home to enter into dialogue with Taliban and other rival factions in view of the withdrawal of foreign forces to avoid more bloodshed. Afghanistan National Security Advisor, Rangin Dadfar Spanta, said ahead of Karzai's trip to Islamabad Afghan leaders would request Pakistan to protect those Taliban leaders who want to talk to the Afghan government. Pakistan and Afghanistan have increased high-level contacts in recent weeks as the ten-year war in Afghanistan is also directly affecting the country. Pakistani leaders had been pleading for

limited military operation against the Taliban when the country joined the US-led coalition forces in 2001. It is now believed that Pakistan has received assurance from the major western powers including the US and the UK that its genuine concerns would be addressed in any future set-up in Afghanistan, which has convinced Islamabad to play active role in the reconciliation process. US Secretary of State Hillary Clinton, the UK special envoy for Pakistan and Afghanistan and the UK ambassador in Kabul during their recent visits to Islamabad defended Pakistan's legitimate interests in Afghanistan and assured their support. Prime Minister Yousuf Raza Gilani, in his telephonic talks with Hillary Clinton on Thursday, insisted that it is imperative to make distinction between the Taliban and al Qaida which would help to overcome the threat, said a statement from the PM office. This statement reveals Pakistan's intention that Afghan Taliban could be approached for reconciliation and doors are not closed on them. Pakistan is now also concerned about the incursions into its territory by militants from the Afghan side. At least three incursions occurred in less than three weeks, in which hundreds of armed Afghan militants entered Pakistan and attacked security check posts. Pakistan lodged protest with the Afghan Ambassador in Islamabad over these attacks. Sources said Pakistan would raise the issue of these attacks during talks with visiting Afghan President Hamid Karzai in Islamabad. Pakistan has already conveyed its concern over these incursions to the Afghan ambassador in Islamabad, the US and Nato officials. Agencies

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business-friendly environment through economic incentives to encourage investment in all sectors so as to bring about economic stability leading to job creation and prosperity. The government's privatisation policy, he added, is geared towards improved service delivery on cost effective basis. This approach, he said, would extend appropriate opportunities to the private sector in improving their business and commercial benchmarks as well as customer's satisfaction. The government, he mentioned, would also continue to support public-private partnership in all sectors to improve the quality of goods and services. Earlier Mr. Naveed Qamar, Minister for Water and Power, briefed the meeting on the current electricity supply situation in Karachi and labour related problems of KESC. Dr Farooq Sattar, Minister for Overseas Pakistanis, in his remarks stressed for early resolution of electricity supply situation since it has started affecting the commercial and industrial sectors of Karachi. Dr Hafeez A Sheikh, Minister for Finance, asked for solving the KESC issues at the earliest keeping in view the overall business environment throughout the country. Rehman Malik, Minister for Interior while explaining the law and order situation arising out of KESC affairs, proposed to take all stakeholders including political forces on board for early settlement of the issues. The meeting was attended by the Chairman Nepra Khalid Saeed, Secretary Water and Power Javed Iqbal, Chief Secretary Sindh Abdul Subhan Memon and senior officials. - NNI

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and other major cities of the two provinces remained thin. Public servants and students had to face hardships to reach their destinations as private transporters wrapped up their services due to shortage of fuel. At some filling stations where supplies were delivered, long queues of vehicles and motorcycles were seen waiting for hours and even then were rationed in order to cater to the needs of maximum motorists. A representative of the Petrol Dealers Association Abdul Sami Khan told the media the crisis had resulted due to stoppage of supply of fuel from an oil refinery, which was closed for annual maintenance. He said government and concerned authorities were informed in advance that Attock Oil Refinery would remain closed from June 01, but no alternate arrangements were made. Citizens have expressed grave concern over the shortage of petrol and said that despite notice and directives of President Zardari and Prime Minister Syed Yousuf Raza Gilani, the oil marketing companies could not fully meet the demand of petrol pumps. Many motorists wanted a thorough probe into the artificial shortage and said the sole purpose was to black market the commodity. Meanwhile, responding to a Calling Attention Notice on Friday, Parliamentary Secretary Petroleum Engr Tariq Khattak stated in the National Assembly that the shortage of oil in Punjab will be over before July 1 as the government has imported two consignments, one of which arrived on Thursday while the other is due on June 16. He said the supply of oil in Punjab witnessed disruption owing to failure of a platform unit of Attock Oil Refinery on May 22, reducing the oil supply to 1,000 tonne against its full capacity of 3,000 tonne per day. The Parliamentary Secretary said a high level meeting on June 8 decided to constitute a technical team. The Attock Oil Refinery along with all other refineries had been asked to repair faulty units and ensure smooth supply of oil. He said another team had been formed to conduct raids amidst reports of black-marketing of oil in Punjab in the wake of crisis. - APP

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goods being transported to Afghanistan via Pakistan, paving the way for the new transit treaty. After three years, Pakistan and Afghanistan evolved a consensus on the transit trade agreement and the FBR officials spent some 11 months with their Afghan counterparts to incorporate customs security and financial security in the agreement. The FBR representatives informed the committee that seven insurance companies have been identified for providing trade guarantees. These include Adamjee, National Insurance Company, EFU, New Jubilee and Atlas. The committee suggested the board that the selection of insurance companies should be made on merit keeping in view their ranking and at least they have AA rating. The FBR officials said that the board was already following the merit on this matter. Meanwhile, the committee expressed apprehensions on loss of revenues due to delay in filing of returns by taxpayers keeping in view of cut in General Sales Tax and Federal Excise rates from next month. The FBR representatives told the committee that they would be looking for a provision in the law to make the rates effective with immediate effect.

No #11

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counter the propaganda of extremists. Rise in salaries and allowances of the government employees will also be announced in the budget. Certain amount has been earmarked in the budget for the prisoners who are lying in the jails due to non payment of nominal amount of Diyat. Provincial government will pay amount of Diyat. A sum of Rs18 billion has been allocated for war against terrorism. No loan will be obtained from donor agencies despite fiscal deficit. Plan to set up 8 new small industries has been evolved to provide employment opportunities to the jobless persons. Rs24 million have been earmarked for woman development projects. Rehabilitation centers costing Rs31 million for addicts will be set up in the province. Women training hostel will be built at the cost of Rs10 million. Cultivable land ranging between 10 to 20 acres per person will be leased out to poor farmers of 5 districts at nominal rate. - Online

No #12

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July-May, 2011 period from Saudi Arabia, UAE, USA, GCC countries (including Bahrain, Kuwait, Qatar and Oman), UK and EU countries amounted to $2,378.52 million, $2,327.70 million, $1,864.03 million, $1,184.83 million, $1,093.47 million and $320.93 million respectively as compared to $1,718.31 million, $1,842.13 million, $1,606.36 million, $1,132.03 million, $793.91 million and $229.74 million respectively in the July-May, 2010 period. Remittances received from Norway, Switzerland, Australia, Canada, Japan and other countries during the eleven months of the current fiscal year amounted to $926.86 million as against $740.96 million in the same period last fiscal year. The monthly average remittances for July-May 2011 period comes out to $917.85 million as compared to $733.13 million during the same corresponding period of the last fiscal year, registering an increase of 25.20 per cent.

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Govt rejects Opposition protest on budget day

In region, Pak tops in subsidising, NA told 'Blame on IMF for economic disparity is baseless'

ISLAMABAD: Prime Minister Syed Yousuf Raza Gilani talking to General Khalid Shamim Wyne, Chairman, Joint Chiefs of Staff Committee who called on him at PM House. APP

US vows to carry on drone strikes WASHINGTON: The White House National Security Council debated a slowdown in drone strikes in a meeting on Thursday and decided to continue the programme as is for now, a US official said. At the meeting, CIA Director Leon Panetta made the case for maintaining the current program, the official said, arguing that it remains the US best weapon against al Qaeda and its allies. The program has angered Pakistan, a key ally in the fight against militants. The debate over drones comes as the two sides try to repair relations badly frayed by the shooting to death of two Pakistanis by CIA

Senate head seeks report of Karachi tragedy ISLAMABAD: Chairman Senate Farooq H Naek has directed the government to ensure full security to those media persons of private TV channel who were receiving threats after Karachi firing incident. The Chairman has also asked the federal interior minister to table complete report with regard to murder of youth by rangers in Karachi. Speaking on a Point of Order, Senator Raza Rabbani said that Rangers have violated fundamental human rights. He said that the shameful act of brutal killing of an unarmed young man is violation of the constitution. He said that such kind of incidents were earlier being reported from Baluchistan and now had started in Sindh. He said that the statement of interior minister was unjustified adding, no law allows killing of culprits at the time when the accused is unarmed and is surrounded by six security officials who can easily arrest him. He also asked for ensuring protection of cameraman of a private television channel who captured the video footage of the incident. PPP Senator Lashkari Raisani said that a cameraman, photographer and anchor are receiving life threats from unknown numbers. He urged the chair to summon interior minister Rehman Malik in the House to update about the probe. PPP Senator Nayyar Bokhari also called for security of the media team who was receiving threats. Opposition leader in the Senate, Senator Maulana Abdul Ghafoor Haidari taking part in the debate said that no action has been taken on Kharotabad incident and due to the reason such kind of incidents are happening in other parts. He said that it has become routine matter that five to six unidentified and mutilated bodies are being found in Baluchistan. He said that such killing is an issue that should be See # 5 Page 7

contractor Raymond Davis in January, a wave of particularly lethal drone strikes following Davis's release from Pakistani custody in March, and the clandestine US raid that killed Osama bin Laden on May 2. The result of the meeting, the first high-level debate within the Obama administration over how aggressively to pursue the CIA's targeted-killing program, was a decision to continue the program as is for now, the US official said. Another official, who supports a slowdown, said the discussions about revamping the program would continue, alongside talks with Pakistan, which is lobbying to rein in the

drone strikes. Most US officials, including those urging a slowdown, agree the CIA strikes using the pilotless aircraft have been one of Washington's most effective tools in the fight against militants hiding out in Pakistan. The weapons have killed some top al Qaeda and Taliban leaders and left militants off balance in a swath of mountainous territory along the Afghan border with Pakistan where they once operated with near impunity. No one in the administration is advocating an outright halt to the program. Yet an increasingly prominent group of State Department See # 2 Page 7

Clinton in talks over possible move to WB WASHINGTON: Secretary of State Hillary Clinton has been in discussions with the White House about leaving her job next year to become head of the World Bank, sources familiar with the discussions said on Thursday. The former first lady and onetime political rival to President Barack Obama quickly became one of the most influential members of his Cabinet after she began her tenure at State in early 2009. She has said publicly she did not plan to stay on at the State Department for more than four years. Associates say Clinton has expressed interest in having the World Bank job should the bank's current president, Robert Zoellick, leave at the end of his term, in the middle of 2012. -Reuters

ISLAMABAD: Rejecting the reservations of lawmakers on the federal budget 2011-12, Federal Minister for Textile Makhdoom Shahabuddin on Friday said that Pakistan is the only state in region which is giving maximum amount in subsidies to the masses. Taking part in the discussion over the federal budget in the National Assembly, Makhdoom Shahabuddin said that former foreign minister Shah Mehmood Qureshi has only levelled allegations in the federal budget during his speech in the House without giving suggestions for improvement. He also criticised the role of opposition during the budget session in the Parliament, adding that lawmakers have politicised the IMF issue like that of Kalabagh Dam construction. He said the federal budget has been declared by some people as budget of IMF. He clarified that the current budget was purely a Pakistani budget. He questioned the people who were blaming IMF for the economic disparities in Pakistan. The Minister said that IMF in its instructions to Pakistan has asked the rulers to reduce government expenditures, control hike in prices and improve production. He said that instructions of IMF were not questionable then why our politicians were blaming the Fund. Commenting on the subsidies given by the government for relief of the masses,

Shahabuddin said that Pakistan has made a record by giving subsidy of Rs320 billion in electricity, Rs50 billion in petrol sector and Rs35 billion have been given for the Benazir Income Support Programme. "Keeping in view of the prevailing circumstances the current budget is not more than a bitter pill for the nation," the Minister said, adding that federal budget was quite better on the basis of prevailing ground realities. He said that Federal Finance Minister Abdul Hafeez Sheikh is an honest and hard-working person who has prepared better budget for the nation and deserve appreciation for presenting the best budget under the present circumstances. Expressing reservations over budgetary proposals Shireen Arshad Khan said the new budget envisages no allocations for the welfare of young generation. She said FBR reforms should be implemented to achieve the revenue collection targets. She proposed the government to announce medical facility for the pensioners in the budget. Describing the budget as propeople, Sardar Bahadar Ahmad Khan Sehar welcomed increase in the salaries and pensions of public employees, one per cent reduction in General Sales Tax and abolition of flood surcharge and special excise duty. He said that the increase in the defense budget is justified keeping in view of the geostrategic position of Pakistan.

Chaudhry Abdul Ghafoor welcomed imposition of General Sales Tax on all the sectors saying it will bring a positive change in the economic situation of the country. He said keeping in view the multifarious challenges faced by the country, a better budget than this one was not possible. Chaudhry Birjees Tahir said no relief has been announced for labourers, farmers and traders in the budget. He said that the government will not be able to achieve any of the targets announced in the new budget. He was also critical of the government for not restructuring the state-owned enterprises including Pakistan Steel and Railways. Nawab Muhammad Yousuf Talpur opposed the imposition of GST on fertilizer and tractors saying it will adversely affect the agricultural production and add to the woes of the farmers. He said agriculture is the backbone of the economy and serious efforts should be made to make it more vibrant. Terming the budget anti-poor, Tehmina Daultana said that prices of essential items are witnessing increase with each passing day and minimum wage of seven thousand rupees is not sufficient to meet daily requirements of the workers. She said that Parliament should take bold decisions to steer the country on the right track. She said instead of indulging in power politics, all the political parties should work See # 1 Page 7

For IDPs funds

PM account in Kuwait requested: WikiLeaks TFD Monitoring ISLAMABAD: Present government of Pakistan requested the opening of a bank account in Kuwait in the name of the prime minister for receiving donations for internally displaced people, says a US diplomatic cable released by WikiLeaks. According to the cable sent in June 2009, Rashid Al-Hajri, counselor of international affairs in Kuwait's foreign ministry, told a US official that the Pakistan embassy requested a bank account in the name of the prime minister to pool donations for displaced people.

Al-Hijri expressed concern over possible corruption and asked why an account had to be opened in the name of the prime minister rather than in the name of the government or the embassy in Kuwait. The cable also said the government had requested the opening of accounts in the name of the prime minister in other countries as well. The cable then asked Washington whether the Pakistan government had approached the American government with the same request "in order to 'collect donations' for IDPs" and sought any advice to pass back to the Kuwait

government on responding to such a request. Kuwait had till then not made any decision about direct government-togovernment assistance to Pakistan for IDPs. AlHajri said that the ministry of foreign affairs had brought the issue to the attention of the cabinet, but there had not yet been a decision on the matter. The Kuwait Red Crescent (KCR), however, had made preparations to provide 20,000 tents and 10,000 packages of foodstuffs, cooking utensils, blankets and hygienic supplies. KRC President Barges Al-Barges See # 3 Page 7

FAO report

Water scarcity seen on climate change SANTIAGO, Chile: Climate change will make water less available to produce food crops in years to come, the United Nations Food and Agriculture Organization (FAO) said in a report. River runoff and aquifer recharges will decrease in the Mediterranean, the Americas, Australia and southern Africa, it said. Areas in Asia which depend on the melting of ice and mountain glaciers will also be affected,

while areas with a lot of fluvial deltas are threatened by reduced water flow, increased salinity and rising sea levels, said the report entitled "Climate Change, Water and Food Security". The report also predicted an acceleration of the hydrologic cycle of the planet because high temperatures will raise the evaporation rate of the soil and sea. "The rain will increase in the tropics and at high-

er altitudes, but it will decrease in areas that already have dry and semi-dry characters and are located inland on the big continents," the report said. Because of this, there will be a higher frequency of droughts and flooding, which will lead to an increased use of ground water and limit the water available for agriculture even more. "The loss of glaciers, See # 4 Page 7

On reduction in depression

Cyclone threat to coast averted ISLAMABAD: The intensity of the cyclone for which warnings have been given to coastal areas has now decreased substantially and according to the Met Office, there is no more a danger to the country's coastal belts. Director of the Met Office Mohammad Haneef said on Friday that due to the decrease in the intensity of the cyclone, there is no direct danger to Pakistan anymore; however, stormy conditions may

prevail near the country's southern coastal belts on Sunday and Monday. Haneef said although there is no imminent danger anymore, there remains a forecast of heavy rains and strong winds in these belts. Fishermen are still advised to stay away from the waters. Meanwhile, contact could not be established with 500 fishermen who went to the open sea waters in Badin. Fifty ships were also missing. - Agencies

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