thefinancialdaily-epaper-13-06-2011

International Karachi, Monday, June 13, 2011, Rajab-ul-Murajjab 10, Price Rs12 Pages 12

Shahbaz urges unity against terrorism

Dubai to borrow $5bn to bridge deficit

See on Page 12

US biggest violator of NPT: Iran

See on Page 12

Taliban disown Peshawar blasts

See on Page 12

See on Page 12 Economic Indicators $17.16bn 14.00% $22.45bn $36.55bn $(14.11)bn $748mn $10.10bn $1.53bn Rs 1147bn $59.54bn Rs 5617bn $649.9mn 6.75% 4.10% $1,051 176.30mn

Forex Reserves (4-June-11) Inflation CPI% (Jul 10-May 11) Exports (Jul 10-May 11) Imports (Jul 10 - May 11) Trade Balance (Jul 10 - May 11) Current A/C (Jul 10- Apr 11) Remittances (Jul 10 - May 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

Portfolio Investment SCRA(U.S $ in million)

252.14 7.13 -2.00 2836

Yearly(Jul, 2010 up to 10-Jun-2011) Monthly(May, 2011 up to 10-Jun-2011) Daily (10-Jun-2011) Total Portfolio Invest (28-May-2011)

NCCPL (U.S $ in million)

FIPI (10-Jun-2011) Local Companies (10-Jun-2011) Banks / DFI (10-Jun-2011) Mutual Funds (10-Jun-2011) NBFC (10-Jun-2011) Local Investors (10-Jun-2011) Other Organization (10-Jun-2011)

-0.41 2.27 -0.77 -0.43 -0.29 -0.50 0.13

Global Indices Index

Close

Change

KSE 100

12377.77

Nikkei 225

9514.44

47.29

Hang Seng

22420.37

189.46

47.63

Sensex 30

18268.54

116.36

SSE COMP.

2705.14

1.80

FTSE 100

5765.80

90.54

Dow Jones

11951.91

172.45

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 2.60 111.31 17.01 145.64 2.00 42.81 1.70 36.39 11.08 37.95

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 11-Jun-2011 11-Jun-2011 11-Jun-2011 11-Jun-2011 11-Jun-2011 11-Jun-2011 11-Jun-2011 11-Jun-2011 11-Jun-2011 11-Jun-2011 11-Jun-2011

13.43% 13.68% 13.88% 14.00% 13.35% 13.52% 13.77% 14.14% 14.25% 13.99% 14.03% 14.08% 14.29% 14.35% 14.81%

Commodities Crude Oil (brent)$/bbl 118.78 Crude Oil (WTI)$/bbl 99.29 Cotton $/lb 133.65 Gold $/ozs 1,529.20 Silver $/ozs 36.33 Malaysian Palm $ 1,069 GOLD (NCEL) PKR 42,687 KHI Cotton 40Kg PKR 9,109 Open Mkt Currency Rates Symbols Buy (Rs) Sell (Rs)

Australian $ 89.80 Canadian $ 87.15 Danish Krone 16.30 Euro 122.80 Hong Kong $ 10.80 Japanese Yen 1.050 Saudi Riyal 22.80 Singapore $ 69.80 Swedish Korona 13.55 Swiss Franc 97.50 U.A.E Dirham 23.30 UK Pound 139.20 US $ 85.70

91.00 88.15 16.70 124.30 11.30 1.076 23.00 70.80 13.90 98.50 23.50 141.00 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

89.97 87.15 16.43 122.53 10.97 1.063 22.77 69.00 13.50 101.30 23.25 138.56 85.62

90.18 87.35 16.47 122.82 11.00 1.066 22.83 69.17 13.53 101.54 23.31 138.88 85.81

Weather Forecast Cities

Islamabad Karachi Lahore Faisalabad Quetta Rawalpindi

Max-Temp Min-Temp

38°C 36°C 37°C 39°C 39°C 39°C

24°C 28°C 27°C 28°C 16°C 26°C

Subscribe now Tel: 92-21-35311893-6 Fax: 92-21-35388428 Email: editor@ thefinancialdaily.com

www.thefinancialdaily.com

Karachi extra-judicial murder

Rangers men to be tried in ATC Section 7 of ATC included in FIR on SC orders KARACHI: Rangers personnel allegedly involved in the killing of an unarmed boy in Karachi will be tried in an antiterrorism court (ATC).

Police sources say the Section 7 of ATC has also been included in the FIR against the rangers. Four of them will be presented in the court today (Monday) for a physical remand.

Earlier, Chief Justice Iftikhar Muhammad Chaudhry said the extra-judicial killing will be tried at the ATC, but the police had tried them at the Sindh Session Court.

The police also have custody of the G-3 rifle with which Sarfaraz Shah was shot and the Rangers mobile carrying the six personnel at the time of the killing.

According to an earlier report in a local English daily, police investigating the extrajudicial killing are looking into the possibility that the FIR filed against the boy is fake partly because the person who registered it, did not give a proper address and because witness

accounts refute the notion that Sarfaraz was stealing.

It has also surfaced that the man who dragged Sarfaraz Shah by the collar to the rangers and filed the FIR is not a police officer as previously believed.

Sources have informed that DIG investigation, Bangash Sultan Khawaja, personally formed the investigative party to investigate the arrested Ranger personnel, indicted in Boat Basin firing and murder incident which includes investigative officers Ajab Khan, Chaudhry Bashir, Jan Khan Niazi, Khalid Khan and DSP Khawaja Ajmer Altaf Niazi.

Meanwhile sources have also informed that the investigation report repaired so far was also been forwarded to Supreme Court.

The investigation team visited the Boat Basin Thana, while the kin of the deceased youth also reached the spot.

The investigative team has also collected the used bullet shells.

Widely viewed footage

SC asked to step in petrol crisis ISLAMABAD: An economic forum of the country on Sunday asked the Supreme Court to intervene in the issue of petroleum shortages across the country and bring culprits to justice.

The Pakistan Economy Watch (PEW) also sought the resignation of Advisor to PM on Petroleum Dr Asim Hussain whose so-called revolutionary measures have backfired at a time he was abroad.

Oil and Gas Regulatory Authority should also share blame for its incompetence which has allowed oil mafia to play havoc with the masses, said Dr Murtaza Mughal, President PEW said in a statement.

Over a month has passed since the crisis began but the government is still helpless; all

it can do is to call meetings which justify the intervention of the higher judiciary in the matter, he said.

Orders to close CNG stations for two days should be withdrawn and this cheap fuel should be made available seven days a week so that a part of harassed motorists can take a sigh of relief.

Dr Murtaza Mughal said that major players in the oil chain including refiners and marketing companies have apparently ganged up to increase their windfall while ministries and the regulator are acting in collusion.

Issues like poor financial health of oil companies, Rs421 billion petroleum sector's circular debt, and cut of around three billion on subsidy for refineries See # 3 Page 11

FBR surpasses FY11 revenue collections ISLAMABAD: FBR has surpassed last year's revenue collections of Rs1327.38 billions in the first week of June, 2011.

A comparison reveals that in fiscal year 2009-10, total collection of Rs1327.38 billions was made by the close of that year. However, the collection Rs1336.77 up to the first week of June for FY 2010-11, shows a marked increase over the previous year's total revenue collections.

Current fiscal year still has 21 days to go, expecting a substantial increase in tax collection,

for meeting committed revenue targets. FBR spokesperson, Riffat Shaheen Qazi informed that the visionary leadership of FBR, through its extraneous efforts during the 4th quarter of CFY, has made it possible to achieve the remarkable revenue collections.

She further reaffirmed the resolve of FBR's tax machinery, under the able leadership of Chairman FBR Salman Siddique, to achieve its assigned revenue targets, by the close of current fiscal year, 2010-11.-Agencies

showed a clean-shaven man wearing black trousers and a navy shirt crying and pleading for his life as a soldier cocks his rifle at his neck, then shoots him twice in the hand and thigh in a local park.

As his blood pours onto the ground, the man begs for help from soldiers -- who appear to do nothing but watch -- until he falls unconscious.

Police said they had also taken custody of Afsar Khan, a man in plainclothes who dragged the victim over to the paramilitary soldiers and later filed a criminal case, accusing Shah of robbery.

Another local police official said taking custody of the four soldiers was essential to an investigation ordered by the government and the Supreme Court.

A Rangers spokesman said he was unaware that police were seeking custody of the other four soldiers who were at the scene.

"I don't know about it, but we'll hand them over if such a See # 1 Page 11

Saleem Shahzad gets Italian journalism award ISLAMABAD: Pakistani investigative reporter Syed Saleem Shahzad has been posthumously awarded an Italian journalism prize after he was abducted and killed by unknown assassins in Pakistan last month, said message received here Sunday.

Italy's Ischia Prize Foundation granted Shahzad its International Journalism Award in a unanimous decision by the jury. The annual prize honours excellence in journalism and communication.

Shahzad was Pakistan correspondent for the Italian news agency Adnkronos International (AKI) and the Hong-Kong based Asia Times Online as well as Italian daily La Stampa, it said.

He was found dead 150 kilometres southwest of Islamabad on May 31, two days after he disappeared in the capital.

See # 4 Page 11

Egypt backs Lagarde for IMF top job CAIRO: Foreign Minister Nabil al-Arabi on Sunday announced Egypt's support for French Finance Minister Christine Lagarde's bid to head the International Monetary Fund.

"The Egyptian government supports the candidacy of French Finance Minister Christine Lagarde for the post of managing director of the IMF," Arabi told reporters after talks with Lagarde in Cairo. -APP

ANKARA: Turkey's ruling AK Party supporters celebrate the results of the elections.-Reuters

ST Act to be altered for refund facility TFD Report ISLAMABAD: To facilitate the bona fide buyer to get sale tax refund in case the register seller is blacklisted, Federal Board of Revenue (FBR) has decided to alter the Sales Tax (ST) Act 1990.

The envisaged amendment would enable bona fide buyer to get sales tax refund against the invoices issued by a registered person who is later declared blacklisted on violating the sales tax law.

The proposed amendment has been incorporated in the recommendations made by Senate Standing Committee on Finance and the same is part of the Finance Bill which would subsequently be approved by the National Assembly.

According to official sources, prior to this, whole chain - in case of violation of the said act by any registered person of the chain - falling under sales tax transaction was not allowed to avail sales tax refund under section 73 of the ST Act. According to new amendment, if a person registered under sales tax bought goods from a registered seller and

affect the transaction through cross cheque and subsequently if the seller is declared blacklisted on contravention of any provision of the ST Act, in this case, the buyer being the bona fide buyer would be entitle for the sales tax refund.

According to sources, the Senate Standing Committee on Finance was assured by FBR that proposed amendment would be incorporated in section 73 of ST Act, 1990 which relates to certain transaction not permissible for the sales tax return.

The Section 73 says that notwithstanding anything contained in this Act or any other law for the time being in force, payment of the amount for a transaction exceeding value of fifty thousand rupees, excluding payment against a utility bill, shall be made by a crossed cheque drawn on a bank or by crossed bank draft or crossed pay order or any other crossed banking instrument showing transfer of the amount of the sales tax invoice in favour of the supplier from the business bank account of the buyer: Provided that online transfer of payment from the business

FY11 exports may outdo target by 15pc KARACHI: Exports from Pakistan during July to June 2011 will likely to touch over $25 billion, and will outdo the current fiscal year target of $22 billion by 15 per cent, representatives of leading export sectors said Saturday.

They said the country for the first time was expecting to cross $22 export target set for 2010-11 by the government.

They said this was due to higher demand for textile made-ups and garments, raw cotton, leather products and leather, increased demand for marble and onyx, surgical and handknitted carpets besides non-traditional goods to USA, EU and Far East countries.

Pakistan kept the pace of export achievement of over $2 billion mark on average for the last six months and exports figure in May 2011 was recorded at $2.308 billion.

"If we could maintain the average target of $2.31 in June 2011, the final figure will come in mid July. So the country can surpass the overall export target of $22 billion by

a margin of $3.2 billion during the fiscal 2010-11," a leading raw cotton exporter Shakeel Ahmad said.

Pakistan's exports during May 2011 were valued at $2.308 billion, which was 33 per cent higher than the level of $1.736 billion during May 2010.

"The exports as percentage of imports have increased by 6 per cent in the current year as compared to the same period last year," he added.

Cumulative value of exports for the period July-May 201011 was $22.446 billion against $17.509 billion, registering a growth of 28.2 per cent over the same period last year. While, cumulative value of imports for the period July-May 2010-11 was $36.551 billion against $31.486 billion, registering a growth of 16.09 per cent over the same period last year.

Imports during May 2011 were valued at $4.288 billion, registering a growth of 27.5 per cent over the level of imports valued at $3.363 billion in May 2010. - Agencies

account of buyer to the business account of supplier as well as payments through credit card shall be treated as transactions through the banking channel, subject to the condition that such transactions are verifiable from the bank statements of the respective buyer and the supplier.

The buyer shall not be entitled to claim input tax credit, adjustment or deduction, or refund, repayment or draw-back or zero-rating of tax under this Act if payment for the amount is made otherwise than in the manner prescribed in sub-section (1), provided that payment in case of a transaction on credit is so transferred within one hundred and eighty days of issuance of the tax invoice.

The amount transferred in terms of this section shall be deposited in the business bank account of the supplier, otherwise the supplier shall not be entitled to claim input tax credit, adjustment or deduction, or refund, repayment or drawback or zero-rating of tax under this Act. Explanation included in Act states that for the purpose of See # 2 Page 11

Qureshi, Bopanna win German ATP Open HALLE: Top seeds Rohan Bopanna and Aisam-ul-haq Qureshi lived up to their billing and won their first ATP title of the season, overcoming Robin Haase and Milos Raonic 7-6 (8) 3-6 11-9 in the summit clash of the Gerry Weber Open in Halle, Germany on Sunday.

It took the Indo-Pak pair one hour and 19 minutes to beat the Dutch-Canadian combination.

The win would do a world of good to the confidence of the Indo-Pak pair in the run up to the Wimbledon Championships.

It is Bopanna's third career ATP World Tour doubles title, having triumphed in Johannesburg with Qureshi last year and with American Eric Butorac in 2008 in Los Angeles.

Apart from winning at Johannesburg, Bopanna had reached final six times. Except for Atlanta event, Qureshi was his partner in all those tournaments, including the US Open.

Overall, they were playing their ninth ATP World Tour doubles final together.

In Sunday's final, interestingly the Indo-Pak pair could not See # 5 Page 11

2

Monday, June 13, 2011

Minister meets heads of edu insitutions

25mn grant to uplift Sindh education: Haq

Boulton Market Arson

Ebad hands over shop keys to affected traders Staff Reporter KARACHI: Governor Sindh Dr Ishrat-ul Ebad Khan handed over keys of newly constructed shops to the shopkeepers of Boulton market whose shops and markets were set on fire by angry protesters after blast in an Ashura rally 18 months back.

"Government today fulfilled its promise made to the victims," he said at a ceremony held at Karachi Chamber of Commerce and Industry (KCCI).

He said it was with the help of the coalition partners in Sindh Government, President Asif Ali Zardari and Prime Minister Syed Yousuf Raza Gilani that we completed a gigantic task to compensate the shopkeepers and reconstruct the markets destroyed in arson attack by miscreants.

"The gigantic task to rebuild the markets, though still underway, was carried out with funding of Rs 3.5 billion contributed by PM,

the President and Government of Sindh," he said.

All the leadership of MQM and PPP were deeply concerned including MQM chief Altaf Hussain who telephoned all the high ups and government functionaries at the Federal and Provincial level to redress the suffering of the business community and small traders and shopkeepers on priority basis.

He said it was the first phase today that 348 shopkeepers were being given the keys of the shops and added that 80 percent work on 19 buildings have been completed while will be given possession in next two months time.

"Karachi and particularly Boulton Market located in old town area is the nerve centre of business and economic activity of the country," he observed and assured full cooperation to the shopkeepers in future as well.

"I still feel the pain of the people as I myself visited the place of destruction and the chaos and anxiety in the eyes of shopkeepers then

which I will never forget," the Governor said.

He said it was for the first time in the history of the country that such a gigantic task to rebuild and compensate the victims of terrorism by the government and private sector.

"It has been Government of Sindh but the key role was played by the business community on the platform of KCCI which deserves appreciation," he further maintained.

On the occasion, he also distributed keys of possession of shops among the owners.

Earlier, the President KCCI, Saeed Shafiq, President Anjuman-e-Tajiran, Rafiq Jadoon, Advisor to Chief Minister on Investment Zubair Motiwala also spoke about the rehabilitation efforts of KCCI for 19 markets of Boulton market.

Law Minister Sindh, Ayaz Soomro was also present who promised to the shopkeepers that Sindh government will play a very positive role in future as well in collaboration with coalition partners.

ZONG attracts highest subscribers KARACHI: ZONG, the fastest growing network of Pakistan, has successfully added 3.1 million subscribers in its base during first three quarter of fiscal KARACHI: 50 Years of Russia in space stamps exhibition year 2010 - 2011 and has held at H E Andrey V Demidov Consul General of Russian shown highest growth in Federation giving god medal to Arif balgamwala (TI) Talat users' number among all Jabeen of Kuwait Petroleum also present.-Staff Photo telecom operators.

According to Pakistan Te l e c o m m u n i c a t i o n Authority's statistics ZONG has enormously widened its subscriber base during the period of Jan April 2011, taking 36 percent of the new subscribers of telecom users in Pakistan.

ZONG has shown tremendous growth in the telecom sector. The teleKARACHI: Group photo shows Navio Umada, Team leader com company has acquired Japan Pirzada Ajmal Farooqi, CEO Saita Pakistan, Al-Kazim 2.26 million subscribers till Mansoor, Toshio Figita Sita Oil & Gas Director seen on the May 2011 taking the lead occasion of dinner reception. -Staff Photo in overall percentage of the year-to-date net additions.

"We are really pleased with the response that we have received from our subscribers especially from the youth. Our network has proven to be reliable for our subscribers and the most popular one especially when it comes to data and internet connectivity."

ISLAMABAD: Sapna Kavita Oberoi, Kalsoom Khalid, and other said Salman Wassay, Head women entrepreneurs with Samina Fazil, President Islamabad of Marketing, ZONG.-PR Women Chamber of Commerce and Industr.-Staff Photo

ISLAMABAD: Chinese trade officials speaking at Federation of Pakistan Chambers of Commerce & Industries Capital Office. Chairman Coordination Raza Khan is also seen in the picture. -Staff Photo

KARACHI: Sindh Minister for Finance Syed Murad Ali Shah adressing post budget FY12 press conference at a local hotel here. -APP

RAWALPINDI: Disable persons during wheelchairs distribution ceremony organized by Ibtada Foundation and Herd Foundation at Arts Council Shamsabad. -Online

KARACHI: Senior Sindh Minister for Education & Literacy Pir Mazharul Haque has urged upon the Educational Heads that they will gear up their efforts to close contact with community leaders to achieve for the desired goals of quality education in the Sindh Province.

This he said while held a meeting with heads of cadet, Army & Public schools at his office regarding distribution of Annual grant cheques.

The Principals of Cadet College Petaro Commodore Muhammad Afzal, Army Public School Badin Major (Retd) Zahid, Army Public School Thatta Shafiq Ahmed Ansari and others. MPA Ms. Kulsoom Chandio, Principal Sindh Madarsatul Islam Dr. Muhammad Ali Shaikh, Additional Secretary (PDF) Ashfaq Qadri, Director Non-Formal Education Muhammad Saajan Mallah, Director Planning Mehdi Baloch also present.

On the occasion, Senior

theatre performances and special entertainment for children.

All the four provinces, GilgitBaltistan and Azad Kashmir fully participated in the festival by way of presenting their beautiful indigenous culture, arts, crafts, music and cuisine in specially designed pavilions symbolizing their respective historical monuments, contributing art, music and entertainment activities.

A number of cash awards sponsored by different national organizations and individuals were given to the most authentic craftsmen and craftswomen on the recom-

mendation of a jury constituted by Lok Virsa comprising Dr Shamim M Zaidi, Tasneem Abbas, Kausar Cheema and Muhammad Ali Wasti, who adjudged the artisans on the basis of a laid down criteria.

From Gilgit-Baltistan, winning artisans receiving cash award of Rs. 10,000 each are Meven in wood carving, Mst Sultana Iqbal in Hunza embroidery and Nijat Bibi in embroidery work.

From Punjab, winning artisans of cash award of Rs.10,000 each are Abdur Rasheed Qureshi in ivory bone work, Khalil Ahmed Sayal in Zari work, Muhammad Nawaz in

replica (Harappa) making, Muhammad Riaz in lacquer art, Zahid Hussain in stone carving, Muhammad Hanif in lacquer art, Mst Ambreen in doll making and Ameer Bukhsh in block printing/ vegetable dyes. Those who received cash award of Rs.5,000 each from Punjab are Manzoor Malang in paper work, Hafeez Nasir in Zari work, Rahim Dad in pottery making, Haq Nawaz in Okair sazi, Mst Surriya Abdullah in Chunari & Muhammad Ramzan in Khussa making.

From Balochistan province, artisans who received cash award of

Pir Mazharul Haque said that in past the grant of the such institutions were very low but present govern-

provide quality education, those reputed educational institution run by the Army, Navy and others are imparting the quality Education to the young students of the province, World Bank and other donor agencies are helping us to provide quality education, so we are judging the educational institution purely on performance based and after that providing funds and grants to them.

ment is doubled their grant and provide all necessary and infrastructural support to them.

Due to personal efforts of the Chief Minister Sindh Syed Qaim Ali Shah and gave the importance to education sector even after flood the funds of education curtailed at low level.

He said that we would provide more funds and all possible assistance and provide basic infrastructure to them.

Storm water drainage

KU to introduce self assessment program KARACHI: A meeting of the committee for Introduction of Self Assessment Programme in affiliated colleges was convened by Prof. Dr. Abuzar Wajidi, Dean Faculty of Management & Administrative Sciences, University of Karachi, Convener of the Committee.

On the advice of the vice Chancellor, Prof. Dr. Pirzada Qasim Raza Siddiqui, The Director, Quality Enhancement Cell briefed the participant about the process of Self Assessment programme and requested the participants to develop the mission statement and objectives of the programme being offered by the Colleges/Institute. Prof. Dr. Tariq Kalim Principal, Defence School of Business Education suggested that Self Assessment should be a continuous process as there is always room for improvement Prof. Dr. Wajidi, Convener of the Committee expressed the view that University of Karachi is striving for excellence in its academic programme and self assessment program is an important component to enhance the quality of teaching and research.

The meeting was attended by Principals, Defence School of Business Education, Sir Syed Government Girls College, Nazimabad, Liaquat College of Management & Science, Chairperson, Department of Business Administration, University of Karachi, Director, Adamjee Institute of Management, Karachi and the Director, Quality Enhancement Cell, University of Karachi.

10-day Lok Mela ends with awards, cash prizes ISLAMABAD: The 10-day colorful folk festival of Pakistan (Lok Mela) concluded here Sunday with distribution of awards and cash prizes among the participating artisans and craftsmen.

The mega cultural event was organized by Lok Virsa (National Institute of Folk and Traditional Heritage), ministry of information and broadcasting.

Huge crowds of people from different walks of life attended the festival for 10 days which featured artisans-at-work exhibition, provincial cultural pavilions, folkloric song and dance performances, cultural evenings, craft bazaar, NGO stalls,

Education Minister Pir Mazharul Haque said that the Sindh government is taking concrete steps to

Rs.10,000 each are Mst Shakar Bibi in Mastung embroidery, Mst Aziz Fatima in Balochi embroidery, Muhammad Akram in Khadi, Muhammad Jan in Saroz (musical instrument) making and Daryan in Dhambura (musical instrument) making.

From KhyberPakhtunkhwa, Zahid Riaz in wax printing, Shah Behram in Taghar weaving, Mst Zanab Bibi in embroidery, Muhammad Waseem in lacquer art, Muhammad Ilyas in stone carving, Mst Saira Parveen in Hazara Phulkari and Fazle Wahid in Swati shawl each received cash award of Rs.10,000. -APP

Govt seeks permanent solution Staff Reporter KARACHI: Minister for Local Government Aga Siraj Khan Durrani said storm water drainage a big problem in Karachi which is due to the presence of lot of encroachments on the old natural drains system that dates back to colonial era.

Blockage in the flow of water resulted in overflow of drains and ultimately creating problems for surrounding localities.

Government is now mulling over the plan to clear these drains from encroachments by providing alternate residence to people residing there.

He expressed these views while addressing a press conference in DCO Camp Office.

The Provincial Secretary of Local Government Ali Ahmed, Administrator Karachi Muhammad Hussain Syed, M.D KWSB Misbahuddin Farid, EDO Revenue Roshan Ali Shaikh, EDO Municipal Services Masood Alam and other officers were also present on this occasion.

Aga Siraj Durrani said despite of huge spending on the repairing and maintenance of drains required results were not obtained due to presence of encroachments on drains.

Therefore, he said, efforts were on to find out a permanent solution of this problem for which cooperation of people and people's representatives was required; we will try to take everyone along to solve this problem.

OFFICE OF THE TALUKA MUNIC IPAL ADMINISTRAIION BHRIA TMA/BH/Tax/Auct:/448/of 2011 Bhiria dated: 10/6/2011

AUCTION NOTICE Interested persons are invited to participate the open Auction of Katchi Piri Tax & Slaughter fee of Taluka Municipal Administration Bhiria for the year 2011-2012 on the following terms and conditions as per details given bellow.

DETAIL OF TAXES Sr. # 1.

2.

03.

Name of Sub Office/TC

Name of Tax

Bhiria City Tharushah Bhiria Road

Katchi Piri Tax Katchi Phi Tax Katchi Piri Tax

Official Bid 2% earnest money 63020/1260/ 92575/1851/ 80270/1605/-

SLAUGHTER FEE 01. Sub Office Bhiria Road

11405/-

228/-

TERMS AND CONDITIONS. 1. Auction information can be had from undersigned office during office hours.

2. Auction will be held on 30-6-2011 before the presence of participants. their agents and authorized persons.

3. In case of n n-response the same procedure will be repeated on 2-7-2011 & 4-7-2011 respectively on same terms and conditions.

4. Earnest money 2% in favour of undersigned in shape pay order/demand draft must be submitted before participation of Auction.

5. After Auction none-shall claim earnest money after completion of the Tax period viz 30-6-2012.

6. The undersigned has reserved the rights to accept or reject any or all Auction Bid

INF-KRY 2120/11

Administrator Taluka Municipal Administration Bhiria.

3

Monday, June 13, 2011

Greenback weekly outlook

Euro weakness seen likely this week as Greece weighs Dollar index has best week since mid-May Greek tensions to persist as European officials disagree NEW YORK: The euro fell for a third straight day on Friday, with more losses viewed as likely this week, weighed down by wranglings about how to handle Greece's debt crisis and diminished expectations about eurozone rate hikes.

The uncertainty should continue this week, analysts said, with a consensus agreement unlikely to be reached before a June 20 eurozone finance ministers' meeting to discuss ways to secure more funding for Greece. That was a pre-condition for disbursement of the next tranche of its current bailout in July.

"Tension in the European periphery is again rising and has potential to feed into a higher risk premium on the euro in coming weeks, as we enter a critical phase around securing a more long-term solution for Greece," said Jens Nordvig, head of G10 FX research at Nomura Securities in New York.

The euro posted its worst daily performance in a month on Friday and was down around 1.9 per cent for the week, its weakest showing since mid-May. The single euro-zone currency fell as low as $1.43220 on trading

platform EBS and was last at $1.43460, down 1.1 per cent on the day.

Euro net long positions more than doubled to 51,836 contracts in the latest week, suggesting elevated positioning that could result in a corrective pullback for the single euro-zone currency.

Against the yen, the euro fell as low as 114.940, its lowest since May 27. It last traded at 115.235, down about 1.2 per cent on the day.

Greece's bond yields rose 60 basis points, with the short end of the curve leading the sell-off.

Reuters calculations from Markit show 5-year credit default swaps reflect a 74 per cent default probability based on a 41 per cent recovery rate.

A broad-based flight to safety stemming from worries about the global economic recovery also dragged down the euro and other currencies that typically rise in times of increased risk appetite.

Greece added to the markets' aversion to risk as investors received mixed messages about the progress of financial assistance to the debt-ridden country.

Germany stuck to its demand that private investors contribute

Specs rises bets against US dollar: CFTC NEW YORK: Currency speculators boosted bets against the US dollar for a second straight week in the latest period, according to data from the Commodity Futures Trading Commission released on Friday.

The value of the dollar's net short position rose to $22.98 billion in the week ended June 7, from net shorts of $15.73 billion a week earlier. Euro net long positions more than doubled while Canadian net long positions halved in the latest period.

Non-commercial speculators were net long the euro to a total of 51,836 contracts in the week ended June 7, up from 21,970 contracts the week before. The net position dollar value of US$9.52 billion, was made up of 96,555 long contracts, a rise of 16,061 contracts from the prior week and 44,719 short contracts, 13,805 contracts down from the prior week. -Reuters

Corn hits fresh record top, wheat up WINNIPEG: US corn futures hit a new high on Friday, exceeding Thursday's record with added momentum from stronger wheat prices.

Wheat's strength rekindled corn's rise a day after corn jumped due to a US government report that showed tighter stocks than expected.

Corn futures climbed more than 4 per cent this week, posting their first weekly gain in three weeks.

Chicago Board of Trade corn for July delivery set a record high $7.99-3/4, before late profit-taking whittled its gain to 1-1/2 cents, or 0.2 per cent, at $7.87 per bushel. Later months slipped.

Spot corn futures in Chicago on Thursday rallied to near a 40-cent premium to wheat, the widest premium since 1996.

July wheat rose 14-1/4 cents, or 1.9 per cent, to $7.59-1/4 per bushel but notched its second straight weekly loss.

December tumbled 1.4 per cent.

Soybeans for July delivery slipped 6-1/2 cents to $13.871/4 per bushel, reflecting the USDA's Thursday report of bearishly large stocks.

Nearby soybeans registered a weekly loss of 1.9 per cent, the largest in five weeks.-Reutdrs

to a second bailout, even as the European Central Bank was opposed to any form of debt restructuring.

ECB President Jean-Claude Trichet again indicated on Thursday the bank would not roll over its own Greek bond holdings.

Trichet's statement has huge implications for Greece's outlook.

David Gilmore, a partner at FX Analytics, in Essex, Connecticut said if the restructuring or aid plan under discussion happens and the ECB does not roll over maturing Greek bonds, "the deal is dead in the water and Greece insolvency happens sooner than later, Greek bank run accelerates and contagion starts."

"Seems like a slow motion Lehman event is again unfolding in the euro-zone, and policy response is not going to get in front of the problem ... Helmets are mandatory this week despite the hot weather," said FX Analytics' Gilmore.

Aside from the Greek drama, reduced rate expectations also hurt the euro.

The ECB on Thursday kept its 2012 inflation forecast unchanged, suggesting the pace of euro-zone interest-rate hikes may be slower than previously thought.

Trichet cemented the market's view that the ECB will raise rates in July, but another hike is not priced into the market until early 2012.

The ICE dollar index, which tracks the greenback against a basket of currencies, rose 0.9 per cent to 74.844 and was up 1.5 per cent this past week, it strongest performance since mid-May. This week's batch of US data will focus on evidence that core inflation is still quite tame, which should reinforce the Federal Reserve's resolve to hold rates steady for a long time. -Reuters

White sugar hits 3-mth top, coffee mixed NEW YORK/LONDON: White sugar futures soared to a three-month high and raw sugar hit the highest in seven weeks on Friday as delays in harvesting and loading crops in Brazil and Thailand combined with brisk cash buying.

Arabica coffee stumbled and cocoa marched higher although gains were kept in check by the steady flow of supplies from top producer Ivory Coast.

New York's July raw sugar contract added 0.80 cent or by 3.22 per cent to close at 25.64 cents per lb. London's August white sugar futures went up $11.40 to close at $723.50 per tonne, having touched a threemonth peak at $729.20.

The market is deriving support from a growing queue of ships waiting to load sugar at ports in No. 1 supplier Brazil, which rose to 70 vessels from 69 a week ago. Thailand, another major exporter, is experiencing similar delays loading sugar.

There is also solid offtake from Muslim countries in the Middle East and North Africa booking orders ahead of the holy fasting month of Ramadan in August.

Arabica coffee futures reeled from sales tied to expiration of options on July futures.

Pressure was also felt from the harvest in No. 1 coffee producer Brazil and a firmer dollar.

New York's September arabica coffee contract fell 1.50 cents to finish at $2.6835 per lb. But London's September robusta futures added $2 to close at $2,509 a tonne.

The weekly Commitment of Traders report in the US showed that investors and speculators increased their net long positions in sugar by 11 per cent, raised their positions in cocoa but reduced their net long standing in arabica coffee.

Cocoa prices were firmer, with US bean values up for the fourth day running, which dealers described as a technical bounce following months of prices trending lower.

Weather conditions have also been favorable for top producer Ivory Coast, supporting expectations of an abundant mid-crop.

New York's September cocoa futures increased $12 to finish at $2,982 per tonne. London's September cocoa gained 14 pounds to close at 1,857 pounds per tonne. -Reuters

NY cotton ends firm NEW YORK: US cotton futures closed higher on Friday on follow-through investor buying as the searing drought in the top growing area of Texas trumped the weakness of outside markets, analysts said.

"You've got a weather premium continuing to be built into cotton," said Mike Stevens, an independent analyst in Louisiana in alluding to the reluctance of market participants to short cotton with the weekend coming up.

The key December cotton contract on ICE Futures US gained

0.66 cent to close at $1.3365 per lb, dealing from $1.308 to $1.3417. It was an inside day since the range was within Thursday's $1.3025 to $1.3455 band On the week, the third position cotton contract was down 3.64 per cent. It was the first weekly loss for the contract in 4 weeks.

The spot July contract dropped 1.02 cents to settle at $1.5003 per lb. Total volume traded Friday reached around 26,200 lots at 1845 GMT, some 50 per cent above the 30-day norm,

Thomson Reuters preliminary data showed.

The drought has prompted the US Agriculture Department to take the rate step of cutting its forecast for 2011/12 US cotton output to 17 million (480-lb) bales from the 18 million forecast last month.

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. -Reuters

Sterling logs losses for 2nd week LONDON: The pound fell for a second-straight week against the dollar as reports showed factory output contracted more than economists estimated in April and shop-price inflation slowed in May. Chancellor of the Exchequer George Osborne rejected calls for a "Plan B" to scale back his deficit-reduction program if the economic recovery stalls, while Moody's Investors Service said the UK's Aaa credit rating may be at risk should the government miss its debt-reduction targets.

"The data is turning down and forecasters are hopelessly behind the curve," said Andrew Roberts, head of European interest-rate strategy at Royal Bank of Scotland Group Plc in London. For gilts, "you have seen a pretty chunky outperformance," he said. "The bias is for lower yields."

The yield on the 10-year gilt fell to 3.22 per cent as of 3:48 pm in London, from 3.29 per cent on June 3. The two-year note yield fell to 0.82 per cent, the lowest since Nov. 10, from 0.90 per cent last week.

Sterling slid to $1.6234 from $1.6426 and was little changed at 88.54 pence per euro from 89.10 pence per euro.

Bank of England officials are grappling with signs of deteriorating economic growth as inflation exceeds policy makers' target rate.

Investors pushed back bets that the bank will next increase interest rates to May, forward contracts on the sterling overnight interbank average show.

As recently as February, traders were betting on an increase as soon as last month, data from Tullett Prebon Plc showed. The bank kept its benchmark interest rate at a record-low 0.5 per cent this past week.

A report this week may show consumer prices increased 4.5 per cent in May from a year earlier, matching the pace in April, which was the fastest since 2008, according to the median of 29 economists surveyed. -Agencies

Copper hits 2-week low on China data 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 semi-finished 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. 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. 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

Asia currencies

Mostly lower on US economic growth concerns SINGAPORE: Asian currencies halted a three-week rally as signs the world's biggest economy is slowing tempered demand for emerging-market assets and raised concern about the outlook for exports.

Federal Reserve Chairman Ben S. Bernanke said last week the US economic recovery was "frustratingly slow" and offered no hints on a new stimulus program. The Fed has pumped cash into the banking system and kept interest rates near zero, prompting investors to search for higher yields in developing markets.

The South Korean won fell 0.2 per cent this past week to 1,082.65 per dollar as of 3 pm in Seoul. Taiwan's dollar dropped 0.3 per cent to NT$28.835, Thailand's baht lost 0.2 per cent to 30.40 and Malaysia's ringgit

weakened 0.3 per cent to 3.0210.

The Philippine peso declined 0.2 per cent to 43.302 per dollar.

Global funds sold $672 million more Thai equities than they bought this month, exchange data showed. Risk aversion and concerns about the nation's political scene have triggered fund outflows, Bank of Thailand Governor Prasarn Trairatvorakul said June 9. The country will hold national elections on July 3.

"Amid risk aversion caused by concern about the US recovery and uncertainty surrounding the Thai polls, foreign investors have been selling local stocks," said Kozo Hasegawa, a currency trader at Sumitomo Mitsui Banking Corp. in Bangkok.

"That is putting downward pressure on the baht."

South Korea's central bank

Governor Kim Choong Soo boosted the benchmark sevenday repurchase rate to 3.25 per cent from 3 per cent, the third increase this year. Eight of 17 economists surveyed predicted the decision, with the rest having forecast no change.

"The ringgit will likely remain firm and may rise beyond 3 against the dollar as expectations of a domestic rate hike are still there," said Zulkiflee Nidzam, head of foreign-exchange trading in Kuala Lumpur at Asian Finance Bank Bhd. Elsewhere this past week, Indonesia's rupiah was little changed at 8,523. Singapore's dollar gained 0.2 per cent to S$1.2316 and India's rupee climbed 0.2 per cent to 44.7225.

China's yuan was little changed at 6.4802. -Agencies

Canadian $ undercut by soft commodities TORONTO: The Canadian dollar softened against a firmer greenback on Friday, paring earlier gains spurred by healthy domestic jobs data, as commodity prices unraveled and concerns about the global economy weighed.

"It's general US dollar strength across the board and we've been lumped into that," said Shane Enright, executive director, foreign exchange sales at CIBC World Markets.

Investors also dumped the euro over a lack of clarity on financial assistance for debtridden Greece, giving extra fuel to the US currency.

Canada's economy relies heavily on resource exports and its currency is affected by swings in their prices.

Enright said that too was

hurting Canada's currency, as asset managers holding nonCanadian assets that are currency-hedged adjust down the compensating currency positions.

"They have to buy back some of those currencies and as a result, sell the Canadian dollar," he said.

The Canadian dollar ended the North American session at C$0.9783 to the US dollar, or $1.0222, down from Thursday's close at C$0.9731 to the US dollar, or $1.0276.

Early in the session, the currency had firmed to C$0.9711 to the US dollar, or $1.0298 -its strongest level since June 1 - following a better than expected domestic employment report.

The unemployment rate fell

to 7.4 per cent in May from 7.6 per cent as 22,300 jobs were added, marked by a solid shift toward full-time, private-sector employment.

That was slightly better than the 20,000 jobs expected by analysts, who also forecast the unemployment rate would remain static.

But the currency was unable to hold onto its gains as the data was not strong enough to influence monetary policy, said Michael Gregory, senior economist at BMO Capital Markets.

"I don't think it changes anything in terms of the Bank of Canada policy at all," he said.

A Reuters poll of primary dealers on May 31 showed the bank is expected to raise interest rates in September. -Reuters

Oil falls on more Saudi crude, strong dollar Brent premium to US crude hits record above $19 NEW YORK: Oil prices fell on Friday on news Saudi Arabia was offering more oil to Asian customers, with additional pressure from a stronger dollar and weak equities.

Brent's premium to US crude hit a record high for a second time this week, moving above $19 a barrel, supported by sweet crude production shut in by Libya's conflict and disrupted North Sea production.

Brent crude for July delivery fell 79 cents to settle at $118.78 a barrel a day after closing at a fiveweek high. But Brent finished the week up $2.94, or 2.54 per cent, from its June 3 close at $115.84, the third consecutive weekly rise.

US July crude fell $2.64 to settle at $99.29 a barrel, slipping as low as $98.60 after pushing below front-month crude's 100day and 20-day moving averages.

US crude had its second straight weekly loss, down 93 cents, or 0.93 per cent, from the June 3 close at $100.22.

Large hedge funds and other speculators sharply cut their net long US crude futures and options positions in the week to Tuesday, the Commodity Futures Trading Commission said in a report released after crude settled.

Crude trading volumes were on pace to surpass 30-day averages, with an hour left in post-settlement trading.

"Saudi Arabia is offering oil even though OPEC didn't have an agreement on production," said Hamza Khan, analyst at the Schork Group in Villanova, Pennsylvania.

"And oil is reacting to a stronger dollar and weaker stock market, a reversal after the weak dollar and an equities bounce

helped push oil higher on Thursday," Khan added.

Oil prices were pressured early on Friday by news Saudi Arabia is offering more crude to Asian refiners for July, according to industry sources.

The news was evidence Saudi Arabia was unilaterally raising supplies after OPEC's Wednesday meeting did not produce an agreement to boost output targets.

The kingdom also intends to boost production in July to 10 million barrels per day (bpd) from 8.8 million bpd in May, according to al-Hayat newspaper.

OPEC forecast a tightening world oil market in 2011. In its monthly report, OPEC said world demand for its crude oil would average 30.7 million bpd in the second half of 2011, much more than the 28.97 million bpd OPEC produced in May.-Reuters

Gold posts biggest loss in month as commods drop NEW YORK: Gold fell almost 1 per cent on Friday for its biggest one-day decline in a month, as a dollar rally coupled with losses in crude oil and commodities prompted investors to sell ahead of the weekend.

Bullion also came under liquidation pressure as Wall Street resumed its slide following weaker Chinese trade data, and the euro tumbled more than 1 per cent as fears over Greece's debt returned to the forefront.

"Precious metals are being lumped into the commodity basket today. There is risk-off selling, and anything in the commodities complex is getting clobbered," said Mark Luschini, chief investment strategist at financial services firm Janney Montgomery Scott, which manages $54 billion in assets.

Spot gold fell to a one-week low at $1,525.74 an ounce and was down 0.7 per cent at $1,532.14 by 1835 GMT.

The metal was down 0.5 per cent for the week, poised to snap a three-week winning streak.

Despite Friday's loss, the metal is up 5 per cent in the past five weeks on a string of bleak US economic data including a weak jobs report last week. US gold futures for August delivery settled down $13.50 at $1,529.20, after trading between $1,526.70 and $1,546.50.

COMEX gold futures volume was around 125,000 lots, the highest this week but 40 per cent below its 30-day average. Volume has been lackluster since last week, with bullion prices largely rangebound.

Analysts said gold could extend its slide if prices fell below key support at its 20-day moving average of $1,524, a level it has held for the past three weeks.

Sterling-priced gold, meanwhile, rose to a record 951.78 pounds an ounce as the underlying price of the precious metal

remained supported while sterling fell after disappointing UK industrial output data.

Talk of large-scale, official-sector selling of gold earlier in the session, which proved unfounded, accelerated the drop in the yellow metal, traders said.

Silver slid 3.2 per cent to $36.32 an ounce, sending the gold/silver ratio -- the number of silver ounces needed to buy an ounce of gold -to above 42. Since May, it has steadied between 40 and 45 after hitting 28-year lows below 32 in April.

Platinum group metals fell with the commodities complex. The metals, chiefly used in autocatalysts, are expected to firm this year as car sales improve, but prices will be sensitive to signs the auto industry is continuing to struggle.

Platinum was down 0.6 per cent at $1,825.99 an ounce, while palladium slipped 0.1 per cent to $812.47. -Reuters

4

Monday, June 13, 2011

The Financial Daily International Vol 4, Issue 221

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

Changing mindset of law enforcers Extrajudicial murders are on the rise, which is further enhancing the hatred against members of law enforcing agencies, particularly in Karachi.

This often gives the critics an opportunity to say that 'history of East Pakistan is being repeated'. The presence of Rangers in Karachi has often raised a question, if they are incapable of maintaining law and order, why should Sindh government pay them millions of rupees?

Without any exaggeration, Karachi has been split into small pockets, often termed hostage of linguistic, sectarian and ethnic groups. Having got control in certain localities now these groups are raising slogan 'Karachi Hamara Hai' (We own Karachi) as if the residents are personal property of these groups.

For decades Karachi has been termed 'Mini Pakistan' because people speaking different languages and belonging to different sects have been living with complete harmony. This paved way for a massive migration from other provinces and even countries like Bangladesh, Afghanistan and Africa.

While all the aliens have been sending a large part of their earnings to their home towns they never developed the sense of attachment with the city.

They know if Karachi becomes 'hell' they can go back to their native towns.

It has always been a complaint of the residents of the city that locals should be recruited in police and Rangers but they have been denied the jobs and people belonging to different provinces are posted in Karachi. Some how the other when they are posted in Karachi they have at the back of their minds that residents of the city are not law abiding and have to be taught a lesson. When they enter the city with this mindset they use stick only and believe that they can win over hearts of the people.

Some of the cynics even go to the extent of saying that militants, both religious and anti-Pakistan elements have paved their way into the law enforcing agencies. If extrajudicial murder was the name of the game during the regime of Naseerullah Babar in Karachi, it has spread throughout the country now.

In many parts of the country the excesses of law enforcing agencies have crossed a level where the citizens have started raising slogans for independence. If Urdu speaking lot was accused for the creation of Jinnahpur, now Balochs and Pashtuns are demanding independence and the slogan of 'Pakistan Na Khappay' has been changed to 'Pakistan Khappay', because PPP enjoys rule at the federal and Sindh government. It is feared that once the grip slips out of PPP's hands, the slogan 'Pakistan Na Khappay' will be become louder.

Law enforcing agencies have to be told that every man is a gentleman unless proved otherwise and every Pakistani is patriotic unless he/ she is pushed to the wall. It is the responsibility of the law enforcing agencies to provide security to the citizens and not to indulge in extrajudicial murders.

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.

Southeast Asia wary of China A buoy, posts and building materials on an inhabited outcrop sound unremarkable, but they mark an escalation of a dispute over one of the world's busiest shipping lanes, resource wealth, and how Southeast Asia manages China's rise as a regional power.

Harsh rhetoric and an occasional stand-off have long been part of the jousting over the contested South China Sea, but recently the incidents are more frequent and the complaints from Southeast Asian capitals about China's actions are louder.

The region cannot take on Beijing militarily, but nor do they want to roll over and lose territories near their coastlines.

Internationalising the dispute, including encouraging a US presence in the sea, is one way to protect their interests.

"I am increasingly favouring the word aggressive over assertive in describing China's behaviour in the South China Sea. And that is a fairly important distinction," said Ian Storey, a fellow at the Institute of Southeast Asian Studies in Singapore.

In recent weeks China and Vietnam have traded accusations of violating each others sovereignty at sea, prompting a second rare demonstration against China in Hanoi on Sunday.

But it is the Philippines' claims that China erected poles, placed a buoy and left building materials near the Amy Douglas Bank that is most serious of recent incidents, amounting to an accusation that Beijing has breached the 2002 Declaration of the Code of Conduct of Parties in the South China Sea (DOC).

The DOC is a non-binding agreement between China and the Association of South East Asian Nations (ASEAN). It calls for restraint and avoiding activities that might escalate tensions, including the occupation of uninhabited land -- a

provision that Manila says has been "aggressively violated".

China, which says Manila is violating its sovereignty, says the materials were for scientific purposes on its territory and there was no intention to occupy or seize the reef.

"Whether it is military or not... I think if there is new building on a previously unoccupied feature, that would be a fairly clear breach of the DOC," said Euan Graham, senior fellow in the Military Studies Programme at the S. Rajaratnam School of International Studies in Singapore.

The Philippines and Vietnam have both said they will increase their naval capabilities to protect their interests in the South China Sea, and Hanoi has announced live fire naval exercises to take place on Monday.

COMPETING CLAIMS The South China Sea covers more than 648,000 sq miles (1.7 million square km), including more than 200 mostly uninhabitable islands, rocks and reefs, the ownership of which confer rights to the surrounding waters -- and the oil and gas they are thought to contain, as well as fishing rights.

Although, there are six claimants to some or all of the sea -- China, Taiwan, Vietnam, Philippines, Malaysia and Brunei - and many claims overlap, the dispute is often seen as China, which has the largest claim, against the rest.

The problem is how to determine ownership. The United Nations Convention on the Law of the Sea (UNCLOS) gives the country sovereignty over seas up to 12 nautical miles (22.2 km/13.8 miles) from its coast, including of islands.

There is also a 200 nautical mile Exclusive Economic Zone that gives jurisdiction over natural resources, scientific research and building structures.

Recent incidents have been inside the EEZ's of Vietnam and the Philippines.

China says its historical sovereignty dates back to the 7th century and supersedes any modern claims to the sea, but says it is ready to cooperate with others on joint exploration.

"We are firm on our territorial claims and at the same time we are firm on our formula and proposal of shelving the differences and having cooperation," Chinese Ambassador to the Philippines Liu Jianchao said last week.

Knowing how to negotiate is an issue.

China wants bilateral talks, but the Southeast Asian states favour going through the 10-member ASEAN, which also opens a door to a role for the United States.

"The South China Sea has caused most Southeast Asian states to press for the US to remain engaged in Southeast Asia," said Carlyle Thayer, a professor at the Australian Defence Force Academy.

SENSITIVITIES The risk is that too great and the US role antagonises China, which reacted angrily when the United States was among the parties to raise the issue at an ASEAN forum last year, and so Washington is not expected to be directly involved in any talks.

"Southeast Asia wants the US support, but does not want it to complicate the issue or take actions that would isolate China and force them to takes sides," Thayer said.

Another issue for ASEAN is that the dispute does not affect all the 10 members. It mostly involves Vietnam and the Philippines, with Malaysia and Brunei also having claims.

Others, such as Thailand, Myanmar and Laos, have no claim and so have less incentive challenge Beijing on the issue, while China is an increasingly important

trading partner for all countries in the region.

Tang Siew Mun, Director of Foreign Policy and Security Studies, at Malaysia's Institute of Strategic and International Studies, said as the claimant states would have to negotiate and agree a deal, all ASEAN members did not need to be involved.

"To do so may hamper progress as China may perceive this act as provocative with ASEAN "ganging up" on China," he said.

"Just as the ASEAN states frequently ask China to be sensitive to our positions, we too have to be attuned to Chinese sensitivities as well."

Manila and Hanoi have their own sensitivities. As the monsoon and typhoon season starts, Manila is worried about a repeat of Mischief Reef, 135 nautical miles west of the southwestern island of Palawan.

In February 1995, the Philippines found a Chinese structure on the reef, which it said was a military installation but Beijing said was a shelter for fisherman. The structure had been built when the Philippine navy was unable to patrol due to the bad weather.

The Amy Douglas Bank is about 125 nautical miles off Palawan. The Philippines says there have also been a number of provocative incidents this year near Reed Bank -- 85 nautical miles from Palawan and nearly 600 from China.

Those three territories form a line up the Palawan coast, well inside the 200 nautical mile exclusive economic zone.

"China has upped the ante in the past several months and by doing so is undermining its 'peaceful rise' rhetoric, draining away goodwill and pushing countries in the region closer to the US," said Storey of Singapore's ISEAS. -Reuters

Qaeda Hit Again The killing in Somalia of a top al Qaeda militant deepens the group's woes a month after Osama bin Laden's death, but Fazul Mohammed's recent role as a trainer of aspiring operatives may have left a menacing legacy.

Somali police said on Saturday that Mohammed, one of the world's most wanted men and a master of attack planning, disguise, evasion and languages, had been killed in the Somali capital Mogadishu on Tuesday.

Washington says Mohammed, also known as Harun, is a key suspect in the 1998 embassy attacks on the US embassies in Nairobi and Dar es Salaam, which killed 240 people.

The elusive Comoran, believed to be in his late 30s, also masterminded an attack on an Israeli-owned hotel in Kenya in November 2002 that killed 15 people, Western officials say.

But in recent years he is believed by some academics and security experts to have spent as much time training militants as directly plotting against the West, sharing his expertise with young Somalis and with Muslims who travelled to Somalia to gain paramilitary experience.

"He was probably 'la creme de la creme' of al Qaeda in operational terms," Nelly Lahoud, an Associate Professor at the Combating Terrorism Center at the US West Point military academy, told Reuters.

"His death is a loss for al Qaeda, but I think his more recent role as a trainer must have given it a great investment," said Lahoud, who has studied Mohammed's 2009 autobiography "War on Islam: The story of Fazul Harun".

"He's one of those success stories of al Qaeda. He felt he had a duty to teach everything he knew...He was the gift that kept on giving."

The Somali government says hundreds of foreign fighters have joined the insurgency from countries including Afghanistan, Pakistan, the Gulf region and

Western nations such as the United States and Britain.

Some of the foreign jihadists have taken up leadership positions in militant groups including al Shabaab.

QAEDA'S SOMALI LINKS In the past five years, Mohammed forged ties with the al Shabaab Somali armed group fighting to topple the Transitional Federal Government of Somalia, and he is said by Western security officials to have acted as one of the Somali rebels' links to al Qaeda's core leadership in south Asia.

Western security officials say they suspect Mohammed also coordinated with militants in al Qaeda's Arabian Peninsula branch based in Yemen -- the al Qaeda branch responsible for the network's boldest attacks on Western targets in recent years.

Security specialists who have studied Mohammed say, he emerges as highly pragmatic, cool-headed and calculating. His languages include Arabic, Comorian, Swahili and English.

Australian scholar Leah Farrell, a leading authority on al Qaeda, said Mohammed's death would impact on al Qaeda's "presence and external operations capacity in the region". "As a longstanding and senior al Qaeda member who had a lengthy presence in the region and had cultivated deep links, he will not be easily replaced.

"However, in terms of al Qaeda's relationship with al Shabaab, this relationship is multi-faceted.

"There are other figures within al Shabaab who have links to al Qaeda-central and its Arabian Peninsula branch, and there are other al Qaeda emissaries present in the region. In this respect, communications and facilitation will continue."

Some security experts suspect Mohammed's training may have lent expertise to a 2010 bomb attack by al Shabaab on the Ugandan capital Kampala that killed 79 people while they were watching the soccer World Cup

final.

The strike, the group's first on foreign soil, was in revenge for Uganda's contribution to the 6,300-strong African Union peacekeeping force in Somalia, AMISOM. In another such attack in September 2009, al Shabaab insurgents struck the main AU military base in Mogadishu with twin suicide car bombs and killed 17 peacekeepers.

TRAINED BY AL QAEDA One of Fazul's most evident skills is evasion: He escaped from Kenyan police custody at least once, and has remained at large for most of the past decade in Somalia, a gossipy society given to discussing the presence of foreigners in its midst.

According to his autobiography, Mohammed himself was trained by Saif al-Adel, an Egyptian veteran of the network who remains at large and is believed to be in the Afghanistan-Pakistan border area. Security experts say Adel is now in interim command of al Qaeda.

In the 1990s, Mohammed's roles in al Qaeda core included Adel's personal secretary and, according to his book, confidential secretary to the network's central leadership, with access to many of its operational secrets.

According to his book, while he respected bin Laden greatly, he had little time for hero worship. In one passage, according to an essay by Lahoud in the West Point CTC Sentinel publication, Mohammed speculates on what reaction there would be in the event that bin Laden were to die. "(The Zionists and Americans) should understand that the death of Osama bin Laden does not mean that Islam and jihad come to an end. No, a thousand times no.

Muslims superior to Osama bin Laden died ... all are heroes who departed (this transient world), but Islam is eternal." -Reuters

Maintaining Growth Momentum Must for India If India is to become a manufacturing powerhouse it will need to make things easier for people like Nikhil Nanda, joint managing director of Escorts Ltd, a Delhi-based tractor maker.

The company self-generates up to 40 per cent of its power, scrambles to find and retain staff to operate increasingly sophisticated machinery, and must ride herd over a stretched supply chain struggling to keep up with demand all typical of challenges faced by the country's manufacturers. "It's very difficult to find skilled labour," Nanda said.

"In terms of forgings, in terms of castings, you have tyre shortages ... we are working very, very closely with the supply chain in requesting them to enhance their capacity and then you have so many players who are going after one supplier or four suppliers for the same issue," he said.

Heavily reliant on services, India must shift economic gears towards manufacturing if it is to maintain near-double digit growth and, more importantly, absorb the more than ten million people set to join the workforce annually in the coming years.

While New Delhi is aware of the challenge and aims to lift manufacturing's share of the economy to 25 per cent over the next decade from about 16 per cent now, getting there looks daunting.

Infrastructure is improving but remains poor, the country suffers from a costly talent shortage despite its 1.3 billion people, labour laws are restrictive, land acquisition is difficult and red tape and corruption are rampant. Supply chains are underdeveloped, capital tends to be expensive, and conditions vary dramatically between states. Those constraints mean most manufacturing operations in India are small and unable to exploit economies of scale.

"If you look at the growth of manufacturing in the NIEs (newly industrialised economies), if you look at it in China it all came from one very strong source, which was mass-manufacturing. You're still lacking that in India," said Sanjay Mathur, economist at Royal Bank of Scotland in Singapore.

In its favour, India boasts a vibrant corporate sector, a huge domestic market, and a favourable demograph-

ic outlook that, with better training, education and government policies, could turn it into a global force in manufacturing.

"There has to be a fast tracking on all these fronts -- on labour, on policymaking, on clearances," said Nomura economist Sonal Varma. "At this stage it does not look like we have done all that groundwork," she said.

WHY NOT SERVICES? India's software sector is world class, leveraging lower costs to export services from high-tech hubs such as Bangalore and Hyderabad to the United States and Europe.

That success has fuelled the notion that India might make the jump straight from an agricultural economy to one based on services, bypassing the manufacturing stage. That's a leap that no major economy has pulled off. Manufacturing in India accounts for roughly the same share of its economy as in Brazil and Russia, which are unlike India the big exporters of natural resources. By comparison, Thailand generates 40 per cent of its output from manufacturing, while in China the figure is 34 per cent.

Services can't be the sole locomotive for the Indian economy in large part because the sector does not create enough jobs. Services account for about 55 per cent of GDP in Asia's third-largest economy but just 25 per cent of employment.

Agriculture accounts for about 15 per cent of the economy, a share that is shrinking, but employs 58 percent of workers.

"India is going to add something like 150 million odd workers over the next 10 years. The employment elasticity in the services sector is not that much, which means the manufacturing sector has to absorb that," said Nomura's Varma.

SCARCE SKILLS A shortage of labor is often cited by manufacturers as the most troublesome bottleneck. India, which spends just 3 per cent of GDP on education, must ratchet up the skill levels of its workers if it is to take full advantage of the "demographic dividend" of a surge in its working age population.

Most Indians who work do so in the informal sector

and have little or no training. Literacy has risen sharply but among the 74 per cent who can read, just 2.2 per cent have technical or vocational training, according to a Standard Chartered report.

Employers often spend months or more bringing new hires up to speed, which adds to costs. "There is, for example, a huge scarcity in availability of civil constructors," said Armin Bruck, managing director of Siemens Ltd , the Indian unit of German conglomerate Siemens AG , which employs 19,000 people in India and can spend as long as two years training a single employee.

Less than 20 per cent of working age women is in the workforce. By comparison, the factories of southern China are often staffed almost entirely by women.

Restrictive labor laws make it difficult to shed staff, which in turn discourages hiring. Any workplace with more than 100 people must notify the government if it wants to cut jobs.

LAND, POWER, POLICY Beyond bolstering its workforce, India needs to streamline land acquisition and speed building of infrastructure, meeting its target of $1 trillion in investment in the next five years and improving a poor track record of finishing projects on time.

Special economic zones (SEZs) of the type that China used to help kick-start its export-focused manufacturing sector are a partial solution but not a cure-all.

While some $45 billion has been invested in India's SEZs, which directly employ nearly 680,000, the zones have been dogged by allegations of land grabbing by real estate sharks taking advantage of relaxed regulations.

To reach its target, India needs more forceful policymaking than has been seen from a government that has often been mired in the sort of gridlock that took it six years to approve a $12 billion steel plant by South Korea's Posco .

COST OF FAILURE "In the absence of the manufacturing sector in India taking off, it's hard to see India maintaining a growth rate of 9 or 10 per cent for a sustained period," said Jahangir Aziz, chief India economist at JP Morgan.

5

Monday, June 13, 2011

Asian stocks drop, equaling post-Lehman decline

EU stocks fall for 6th wk as Greek lenders, home retail tumble

Weekly Review

Oil scrips save KSE from fall

KSE-100 Index Opening Closing Change % Change Turnover (mn)

12236.66 12377.77 141.11 1.15 561.61

LSE-25 Index Opening Closing Change % Change Turnover (mn)

3250.46 3214.94 35.52 1.09 20.94

ISE-10 Index Opening Closing Change % Change Turnover (mn)

2783.93 2793.94 10.01 0.36 0.30

Nawaz Ali

Major Gainers

Symbol

Close

Change

ULEVER 5337.17 NESTLE 3593.78 BATA 594.22 RMPL 2700.00 POL 355.05

261.63 141.50 66.39 34.91 17.96

Major Losers

Symbol

Close

Change

ATRL PSO NRL AGTL ALNRS

127.51 278.28 368.63 228.04 41.24

-12.38 -11.89 -9.14 -7.76 -5.71

Top 5 Volume Leaders

Symbol

Close Vol (mn)

FATIMA DGKC LOTPTA JSCL BOP

14.75 23.49 14.92 7.96 7.00

60.96 37.60 29.95 28.05 27.59

Active Issues Plus Minus Unchanged

161 200 68

Sector Updates FERTILISER

Wall Street weekly outlook

000 tonnes Urea Offtake (Jan to Apr 11) 1,714 Urea Offtake (Apr 11) 487 Urea Price (Rs/50 kg) 1,234 DAP Offtake (Jan to Apr 11) 215 DAP Offtake (Apr 11) 55 DAP Price (Rs/50 kg) 4,050

AUTOMOBILE ASSEMBLER PAK SUZUKI MOTOR Units Production (July 10 to Apr 11) 71,096 Sales (July 10 to Apr 11) 69,203 Production (Apr 11) 7,220 Sales (Apr 11) 7,510

INDUS MOTOR CO Production (July 10 to Apr 11) 42,670 Sales (July 10 to Apr 11) 41,940 Production (Apr 11) 4,219 Sales (Apr 11) 4,681

HONDA ATLAS CAR Production (July 10 to Apr 11) 14,062 Sales (July 10 to Apr 11) 13,754 Production (Apr 11)

1,582

Sales (Apr 11)

1,640

DEWAN FAROOQ MOTORS Production (July 10 to Apr 11) Sales (July 10 to Apr 11) Production (Apr 11) Sales (Apr 11)

186 203 -

BANKING SECTOR Scheduled bank (Rs in mn) Deposit (May 27,11) Advances (May 27,11) Investments (May 27,11) Spread (April 11)

5,220,669 3,087,531 2,341,433 7.52%

OIL MARKETING CO (000 tons) MS (Jul 10 to Apr 11) MS (Apr 11) Kerosene (Jul 10 to Apr 11) Kerosene (Apr 11) JP (Jul 10 to Apr 11) JP (Apr 11) HSD (Jul 10 to Apr 11) HSD (Apr 11) LDO (Jul 10 to Apr 11)) LDO (Apr 11) Fuel Oil (Jul 10 to Apr 11) Fuel Oil (Apr 11) Others (Jul 10 to Apr 11) Others (Apr 11)

PRICES (Ex-Refinery) MS (1 May 11) MS (1 Apr 11) MS % Chg Kerosene (1 May 11) Kerosene (1 Apr 11) Kerosene % Chg JP-1 (1 May 11) JP-1 (1 Apr 11) JP-1 % Chg HSD (1 May 11) HSD (1 Apr 11) HSD % Chg LDO (1 May 11) LDO (1 Apr 11) LDO % Chg Fuel Oil (1 May 11) Fuel Oil (1 Apr 11)

CHICAGO: Workers work on projects at Groupons international headquarters in Chicago, Illinois.-Reuters

1,867 196 134 14 1,148 117 5,719 567 44 2 7,252 739 143 15

Rs 62.83 59.35 5.86% 73.63 68.95 6.79% 73.86 70.88 4.20% 78.79 75.02 5.03% 71.55 65.27 9.62% 57,253 56,777

Troubling signs point to more losses NEW YORK: Don't be surprised if Wall Street racks up a seventh consecutive week of losses as the likelihood of more poor economic data and other disconcerting signals outweigh any thoughts that stocks are cheap.

After closing at its highest level in nearly three years on April 29, the S&P 500 has tumbled nearly 7 per cent on the back of a barrage of soft economic data, sparking the debate over whether the economy is headed for a doubledip, or has merely hit a soft patch in its recovery.

The benchmark S&P 500 recorded its sixth straight weekly decline on Friday and volume has picked up, as it typically does, on down days.

Another week of selling will mark the longest stretch of weekly losses for the index since 2001.

Red flags, including ugliness in the junk bond market, options activity and the ease with which support levels have been broken suggest more selling ahead.

"You have to be realistic.

You've got to have some sort of correction to go into this marketplace just for the healthiness of the market," said Cliff Draughn, president and chief investment officer at Excelsia Investment Advisors in Savannah, Georgia.

As stocks have declined, both investment-grade and high-yield risk premiums in the bond market have slumped as investors sought safe-haven assets.

That's troublesome since the stock market often moves in sympathy with the junk bond market because rising borrowing costs crimp corporate profits.

The North America index for high-yield bonds, which conversely falls as risk appetite decreases, closed below par for the first time this year on

Wednesday.

The North American investment grade index, which investors use to hedge against bond losses, hit its highest level since Nov. 30, according to Tradeweb.

In another signal of skittishness about the market's footing, Ally Financial, an auto and mortgage lender majority owned by the US government, delayed a $6 billion IPO due to bad market conditions, two sources familiar with the situation told Reuters.

Stocks have also been easily passing through technical support levels, with the S&P 500 most recently taking out the April 18th low of 1,294.70, leaving analysts to eye the 1,250 level as the next area of support.

And the daily volume put/call ratio for equity options on the Chicago Board Options Exchange (CBOE) hit an 18-month high on Wednesday, indicating that investors are significantly bearish on the stock market.

On top of all that, data expected for this week, including the Producer Price Index, the Consumer Price Index, May retail sales, manufacturing surveys for New York and Philadelphia as well as the index of leading indicators of economic activity are forecast to mostly show a struggling economy.

"It is a busy economic week, so we expect the market to both anticipate economic data and to react to the releases -- I don't necessarily see anything good coming out of the economic releases this week," said Tim Ghriskey, chief investment officer of Solaris Asset Management in Bedford Hills, New York.

Several of these indicators set off the first alarm bells about the economy's health when they came out a month ago.

By the end of the week, investors will also grapple with quadruple witching, when the options for stockindex futures, single-stock futures, equity options and stock-index options for June expire.

"This trade will lead to increased volume and the possibility of big moves in the market. Expiration also has the potential for increased volatility, especially intraday volatility this week," said TD Ameritrade chief derivatives strategist Joe Kinahan.

But even with the heavy losses suffered recently, the CBOE Volatility index has remained relatively unchanged, indicating market participants have yet to push the panic button.

"During this entire correction, the VIX hasn't budged much," said Jason Goepfert, president of sentimenTrader.com, in a report. "That could be a sign of complacency among traders, but historically a stock market correction without a spike in the VIX has been a better 'buy' signal than 'sell' signal."

However, a turnaround in stocks could be stoked by any sign of progress in Washington on the debt ceiling and budget debates, an overhang on stocks that has frustrated market participants.

"The biggest thing on the horizon right now is the inability of the US Congress to come to some sort of conclusion over a budget," Draughn said.

"Once that happens, that kinds of frees Bernanke's hands to where if he needs to do monetary intervention, he can. But he essentially is handcuffed at this point, due to the fact that the Treasury is happy to restrict the amount of bonds being issued for bumping up to the debt limit." -Reuters

KARACHI: Karachi Stock Exchange stayed mainly in the grip of bulls last week where despite disappointment on Capital Gain Tax (CGT) and foreign selling, the local investors took new positions in oil, cement and banking stocks over positive measures announced in the budget and on discovery of oil & gas at Domail field.

The benchmark KSE-100 index increased by 141 points - 1.15 per cent to close at 12,377 points - index touched the highest 12,435 and the lowest level of 12,140. KSE30 index rose by 86 points 0.74 per cent to close at 11,897 points and KSE all-share index grew by 85 points - one per cent to close at 8,605 points.

Yawar-uz-Zaman, analyst at InvestCap said that although, there was no positivity regarding CGT as per expectations, however the federal budget seemed positive for corporate sector as well as cement as a whole. Prior to budget, it was expected that the corporate tax on banks and DFI's would be increased to 40 per cent, but absence of such, coupled with no additional taxes on these sectors encouraged investors to hold new positions in these scrips.

At the same time, oil discovery at Ikhlas block, where POL holds 80 per cent stake, called investors for healthy buying in oil sector stocks.

On the first day of the week market saw some selling as investors reacted over no announcement regarding CGT exemption for the individual investors in the budget. There index closed the day with a loss of 25 points.

It should be noted that prior to the budget announcement

there were hopes among the investors that CGT might be withdrawn for the individual investors but nothing like that was announced.

However, oil and gas discovery in Domail filed and positive measures for the cement sector in the budget and no increase in corporate tax rate for banks encouraged buying over the next two days with the index gaining 155 points.

Investors also took interest in the cement stocks on the removal of SED and reduction in FED in the budget while banking stocks too remained in the limelight after no change in corporate tax rate for banks. Rumors of increase in urea prices also grabbed little attention of the investors in some fertiliser stocks.

On Thursday, as market has been witnessing some positive activities since last two days therefore profit taking did witnessed at higher levels mainly in oil stocks dragging the index down to the red zone.

Finally, the week closed on a positive note on Friday as investors took positions in blue chips on higher international oil prices hovering around $100 a barrel.

Volumes were slightly higher as 561 million shares exchanged hand in the overall market which was 47 million shares more as compared to a turnover of 514 million shares a week earlier.

Foreign investors were mainly on the selling side throughout the week as according to NCCPL data, offshore investors did a net selling of about $7 million last week.

Though market ended positive, most stocks ended negative as out of total 429 active issues; 200 declined and 161 advanced while 68 issues remained unchanged.

Gulf stocks mkt

Saudi rebounds on valuation; others mixed DUBAI: Bargain hunting helped lift Saudi Arabia's index on Sunday from an 11 week low touched a day earlier, while the rest of the Gulf markets closed mixed, weighed down by Friday's drop in global shares.

Riyadh's benchmark ended 0.6 per cent higher. The banking sector gained 0.5 per cent and petrochemical stocks rose 0.7 per cent.

Most large-cap stocks were up, with Saudi Basic Industries Corp (SABIC) climbing 0.2 per cent and Al-Rajhi Bank up 0.3 per cent.

Analysts said recent declines should attract buyers at lower prices.

"If you look at valuations of SABIC, it indicates a P-E (price to earnings) of 10 -- at its historic low," said Haissam Arabi, chief executive and fund manager at Gulfmena Alternative Investments. "So it doesn't make sense to continue downwards."

Saudi Electricity advanced 1.8 per cent and Samba Financial Group gained 1.5 per cent.

Weakness in global shares weighed on Dubai's index, falling 0.3 per cent to a June low. Volumes slumped to an 18week low.

Major stock markets have fallen in five of the past six weeks on growing worries about the global economy after data showed China's export growth slowed in May. Bellwether Emaar Properties eased 1.3 per cent and Arabtec slipped 0.8 per cent.

Losers outnumbered gainers 11 to seven.

Elsewhere, Oman's index ended 0.3 per cent higher to be up 0.4 per cent in June. It fell 5.2 per cent in the May. Telecoms operator Nawras climbed 1.4 per cent.

Qatar's index added 0.1 per cent, trimming its June losses to 1.1 per cent but country fundamentals are still strong.

Some mid-cap stocks supported, with Barwa Real Estate up 0.7 per cent and Qatar Gas Transport gaining 2 per cent.

"Qatar has corrected quite substantially recently, but there is no clear current trend," said Sachin Mohindra, senior vicepresident, portfolio manager at Invest AD.-Reuters

Dhiyan

LEARNING TO LIVE WITH CGT Mohammad Siddique Dalal, Chairman, Dalal Securities I expect some range bound activities in the market with major activity being confined to value and dividend yielding stocks.

However, a broad base activity wouldn't be seen until 1) the Capital Gains Tax issue is resolved, IMF tranche is released and energy crisis in the country eases off. Investors are advised to invest in oil and fertilizer stocks at dips and sell them at strength. Market would be positive today.

Mohammad Imran, AVP, Arif Habib Limited

Market would be range bound in the coming days and investors can take positions at current levels.

They can invest in stocks belonging to oil, fertilizer and cement sectors. Better than expected corporate results would be the major factor that will trigger the market. Market would remain bullish today.

6

Monday, June 13, 2011

Market

KSE 100 Index

Symbols

Volume

561,612,637

Value

23,571,023,508

Trades

309,044

Advanced Decline Unchanged Total

161 200 68 429

Current High Low Change

All Share Index

12,377.77 12,435.72 12,140.94 h141.11

Current High Low Change

OIL AND GAS

Paid up Cap(mn)

Company

PE

Open

High

High Low 1,579.30 1,523.48 Total cos Defaulter cos 12 P/BV (x) ROE (%) 3.52 32.54 Low

Close Chg

Attock Petroleum

691

7.01 385.38

394.90 381.00 387.95

Attock Refinery

853

4.18 139.89

143.50 126.50 127.51 -12.38

BYCO Petroleum

3921

-

9.83

Mari Gas Company

735

4.28 106.58

National Refinery

800

5.09 377.77

9.95

9.30

2.57

9.32 -0.51

107.89 101.50 104.59 -1.99

Last 60 days High Low

Volume 771826

2010 Div BR (%) (%)

394.90

345.10

300

11137315 143.50

117.00

-

-

7.93

-

-

7336594 51630

10.10 113.75

2011 Div BR (%) (%)

PE

Open

High

Low

Close Chg

Volume

Last 60 days High Low

89.53

91.20

81.00

86.98 -2.55

150989

91.20

66.25

40

-

-

-

-

-

PNSC

1321

8.44

27.88

29.00

27.80

28.77

11582

31.45

25.18

15

-

-

-

-

-

AUTOMOBILE AND PARTS

-

Performance of SR Automobile and Parts Index

98.50

31

280.11

200

-

-

128.21

55

- 30.00

-

Pak Petroleum

- 23.43

11950

7.76 213.60

215.98 210.00 212.24 -1.36

9209936 217.75

199.50

90

20B 50.00

-

2365

7.83 337.09

364.90 333.00 355.05 17.96

13597245 364.90

310.60

255

-100.00

-

103.50

81.23

-

-

-

-

- 80.00

-

-

-

P.S.O XD Shell Pakistan

84.91

85.39 -1.31

138617

1715

3.98 290.17

290.85 277.00 278.28 -11.89

2783143 291.50

269.47

80

685

8.03 227.94

228.00 223.95 226.01 -1.93

49420

203.00

120

231.00

-

CHEMICALS Performance of SR Chemicals Index Open 1,858.92 Turnover 84,972,594 P/E (x) 9.01 Company

High Low 1,900.27 1,830.46 Total cos Defaulter cos 36 6 P/BV (x) ROE (%) 3.15 35.00

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

Change % Change 24.85 1.34 Market cap 200-Day High 388,708.99 mn Div Yield (%) 200-Day Low 5.42 -

Paid up Cap(mn)

PE

Open

High

Low

Close Chg

Volume

Last 60 days High Low

3924

-

19.12

20.80

18.06

18.78 -0.34

13814

23.64

17.86

-

-

-

-

75 250

3.52 7.15

7.00 95.83

8.00 98.00

6.11 94.05

7.01 0.01 94.91 -0.92

11703 6388

9.45 99.80

6.11 87.71

5 60

10R -

-

-

31449 167.00 1173085 287.00 134625 3.09

140.00 56.10 2.00

135 25B 50 300B -

-

-

-

-

-

60 20B - 27.5R -

-

-

Agritech Limited Bawany Air BOC (Pak) Clariant Pak Dawood Hercules Descon Chemical

341 4813 1996

5.04 166.02 3.63 63.48 2.50

Descon Oxychem Ltd. Dewan Salman

1020 10.43 3663 -

7.94 2.89

167.00 164.00 165.18 -0.84 64.55 62.30 62.54 -0.94 2.69 2.30 2.36 -0.14 7.89 3.10

7.00 2.69

7.09 -0.85 2.95 0.06

2932715 5190314

9.35 3.65

6.95 2.11

2010 Div BR (%) (%)

-

2011 Div BR (%) (%)

Engro Corporation Ltd 3933 Engro Polymer 6635 Fatima Fertilizer 22000

8.39 192.04 - 11.68 - 13.55

194.65 187.42 187.75 -4.29 12.07 11.40 11.46 -0.22 14.95 13.20 14.75 1.20

12792526 208.40 1757230 13.95 60956106 14.95

187.42 10.70 12.10

Fauji Fertilizer

9.05 141.48

147.50 140.15 147.03 5.55

11815666 147.50

124.50

130

25B 45.00

-

Fauji Fert.Bin QasimSPOT 9341 6.59 43.37 Ghani Gases Ltd 725 10.98 12.71 ICI Pakistan 1388 8.76 158.30

44.21 42.60 44.04 0.67 13.51 12.45 13.07 0.36 159.90 156.02 157.59 -0.71

11975970 44.21 1351813 14.49 999051 172.00

38.45 10.65 148.02

65.5 175

- 12.50 -

-

Lotte Pakistan Nimir Ind Chemical Pak Gum Shaffi Chemical Sitara Chem Ind

15.35 2.84 19.12 2.40 101.99

29954279 17.36 2222249 3.40 5764 19.12 6203 2.99 349875 112.45

14.56 2.26 15.05 2.00 96.37

5 25

5B

-

-

2364346 5478

15.80 34.19

50

-

-

-

8482

15142 4.17 14.97 1106 11.96 2.78 42 5.25 18.12 120 28.50 2.22 214 2.48 101.89

Sitara Peroxide Wah-Noble

551 90

5.47 5.08

17.99 35.75

18.55 37.48

14.56 14.92 2.56 2.75 18.12 19.12 2.02 2.28 97.50 100.13 17.62 35.00

-0.05 -0.03 1.00 0.06 -1.76

17.67 -0.32 36.00 0.25

19.99 37.97

FORESTRY AND PAPER Performance of SR Forestry & Paper Index Open 1,130.01 Turnover 386,357 P/E (x) 5.72 Company

High Low 1,143.05 1,110.33 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

Paid up Cap(mn)

PE

Open

High

Low

Close Chg

Volume

707

-

17.37

17.40

16.60

16.89 -0.48

332599

Century Paper Pak Paper Product Security Paper

Change % Change 0.85 0.08 Market cap 200-Day High 3,119.52 mn Div Yield (%) 200-Day Low 4.42 -

Last 60 days High Low 18.00

2010 Div BR (%) (%)

13.85

-

-

2011 Div BR (%) (%) -

Company

Open 1,149.09 Turnover 2,996,045 P/E (x) 3.94 Company

Paid up Cap(mn)

PE

Open 2,090.46 Turnover 2,191,078 P/E (x) 49.68 Company

Paid up Cap(mn)

AL-Abbas Sugar AL-Noor Sugar Colony Sugar Mills Crescent Sugar Dewan Sugar Faran Sugar Habib Sugar Habib-ADM Ltd J D WSugar Kohinoor Sugar Mehran SugarSPOT Mirpurkhas Sugar Mirza Sugar National Foods Noon Pakistan Pangrio Sugar Punjab Oil Quice Food S S Oil Sakrand Sugar Shahmurad Sugar Shahtaj Sugar Shakarganj Mills Tandlianwala

174 186 990 214 365 217 750 200 539 109 157 84 141 414 48 109 54 107 57 223 211 120 695 1177

Open

High

Low

5.51 2.36 4.52 1.35 4.84 5.18 1.54 0.67 1.99 3.09 0.31 14.19 5.52 3.07 6.66 0.33 18.27 1.08 1.74 1.18 29.61

97.90 46.95 2.20 10.16 2.99 19.45 25.96 12.55 78.47 3.73 66.96 42.54 2.60 85.29 21.01 3.51 41.66 2.55 4.25 2.00 9.41 63.00 6.00 57.48

97.98 46.95 2.95 10.40 3.19 19.40 28.00 13.20 80.95 5.48 68.48 49.00 3.08 88.00 21.01 3.85 43.70 3.50 5.20 2.20 10.19 64.05 6.80 60.30

91.20 41.05 2.35 9.75 2.65 18.51 26.25 12.23 76.80 3.50 64.15 42.00 2.60 80.00 20.12 3.15 40.00 2.50 4.40 2.00 9.00 60.00 5.17 53.00

-

-0.40 -5.71 0.69 0.09 -0.09 -0.94 1.23 0.30 -0.84 -0.12 -1.36 5.55 0.25 -3.15 -0.74 -0.35 -1.66 0.38 0.40 0.01 -0.16 -2.00 -0.15 -4.48

Last 60 days High Low

7700 6293 17603 41512 44811 6882 663205 23393 22133 30174 37349 17815 252349 77365 5003 6844 100100 713000 34000 72500 20496 31601 23839 8037

98.00 54.20 3.70 10.48 3.85 19.90 28.00 13.20 83.95 5.48 68.48 49.00 3.65 88.00 23.70 4.99 45.00 3.50 6.45 3.00 10.79 71.50 7.49 60.30

91.20 37.65 2.11 6.65 2.16 17.50 21.52 10.80 71.50 2.45 50.30 39.51 2.47 53.00 19.75 3.15 38.00 2.20 3.80 1.75 7.91 59.72 4.66 40.50

41.50

42.04 0.01

9117

44.49

35.50

2533.33B

-

-

HOUSEHOLD GOODS

41.50 0.88

44641

42.80

37.00

50

-

-

Performance of SR Household Goods Index

High Low 1,067.88 1,024.80 Total cos Defaulter cos 7 1 P/BV (x) ROE (%) 1.05 33.10

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

Volume

565

1.87

28.61

28.39

26.95

27.65 -0.96

128058

675

-

555 22.45 1199

Paid up Cap(mn)

9.21

2.43

2.54

11.96 51.75

Change % Change -1.38 -0.13 Market cap 200-Day High 15,711.34 mn Div Yield (%) 200-Day Low 9.77 -

Last 60 days High Low 29.75

26.21

2010 Div BR (%) (%) 30

2.20

2.26 -0.17

248165

2.98

1.62

-

12.75

11.65

12.57 0.61

39288

13.29

11.05

-

52.50

51.10

51.51 -0.24

191902

54.50

48.52

40

2011 Div BR (%) (%)

- 20.00

Open 731.64 Turnover 570,033 P/E (x) 1.84

-

-

-

25B 15.00

-

20B

-

15

High Low 966.92 894.40 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

Change % Change -30.74 -3.31 Market cap 200-Day High 66,007.19 mn Div Yield (%) 200-Day Low 3.18 -

PE

Open

High

Low

Close Chg

Volume

Last 60 days High Low

6.73 -

3.01 54.66 2.02

3.25 56.01 2.65

2.71 53.12 1.90

2.83 -0.18 53.19 -1.47 2.16 0.14

140868 185195 103563

3.25 56.70 2.90

2.35 50.10 1.51

2010 Div BR (%) (%) - 100R 50 -

2011 Div BR (%) (%) -

182

-

15.76

16.30

15.50

15.75 -0.01

19962

17.40

13.55

- 122R

-

-

Cherat Cement Dadabhoy Cement Dewan Cement

956 47.62 982 15.38 3891 -

10.07 2.10 1.95

10.60 2.17 2.19

9.55 1.95 1.82

10.00 -0.07 2.00 -0.10 1.83 -0.12

69744 49985 1344674

11.90 2.24 2.67

8.81 1.50 1.36

-

-

-

-

DG Khan Cement Ltd Fauji Cement

4381 31.32 6933 7.83

24.67 4.90

25.85 5.04

23.37 4.52

23.49 -1.18 4.54 -0.36

37599698 26.44 4713181 5.04

21.31 3.99

-

20R -

-

20R 92R

Fecto Cement Flying Cement Ltd

502 1760

5.78 -

6.33 1.72

7.44 1.95

6.50 1.55

6.71 0.38 1.66 -0.06

58185 1635837

Gharibwal Cement Haydery Const

4003 32

-

5.90 0.50

6.95 0.73

5.15 0.40

5.50 -0.40 0.54 0.04

80396 6098

1288 13126 74.50

6.69 3.20

7.10 3.35

6.49 2.95

6.50 -0.19 2.98 -0.22

-

8.90 1.95

6.10 1.26

-

-

-

-

13.50 0.90

5.00 0.26

-

-

-

-

70101 3695260

7.87 3.38

5.70 2.10

-

-

-

-

Lucky Cement Maple Leaf Cement

3234 5267

5.92 -

74.75 2.53

77.43 3.05

72.50 2.45

72.86 -1.89 2.49 -0.04

6835856 5228713

77.43 3.05

62.50 1.97

40 -

-

-

Pioneer Cement Shabbir Tiles

2271 361

-

5.92 6.47

6.34 6.86

5.50 5.65

5.90 -0.02 6.60 0.13

285268 49846

6.40 8.50

4.50 5.25

-

-

- 100R

Thatta Cement

798

-

18.54

18.26

16.80

17.99 -0.55

23502

19.19

16.50

-

50R

-

-

GENERAL INDUSTRIALS Performance of SR General Industrials Index Open 983.36 Turnover 774,544 P/E (x) 2.78 Paid up Cap(mn)

PE

Open

172 2.43 51.92 230 1.61 1067 5.59 55.25 389 2.41 12.50 844 19.16 110.94

High

High Low 999.91 968.80 Total cos Defaulter cos 13 2 P/BV (x) ROE (%) 1.22 43.91 Low

Close Chg

52.45 49.10 49.53 1.78 1.50 1.60 57.00 53.01 54.95 13.08 11.70 12.05 116.00 109.50 114.95

-2.39 -0.01 -0.30 -0.45 4.01

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

Volume 253365 37012 51627 116117 69750

Change % Change 8.55 0.87 Market cap 200-Day High 37,029.47 mn Div Yield (%) 200-Day Low 5.60 -

Last 60 days High Low 56.90 2.35 58.50 15.21 124.50

46.45 1.31 49.00 7.00 103.01

2010 Div BR (%) (%) 20 25 32.5

25B 10B -

2011 Div BR (%) (%) -

50R -

Company

Paid up Cap(mn)

PE

Open

66 3.21 8.12 215 3.94 235.80 214 1.18 213 10.71 8.77 132 - 38.80 366 8.32 548.85

High

Low

Close Chg

9.65 8.40 8.76 0.64 233.00 225.10 228.04 -7.76 1.48 1.10 1.23 0.05 9.78 8.81 9.00 0.23 39.35 35.11 37.45 -1.35 555.50 540.00 547.72 -1.13

12668 5984 164197 55411 11187 111071

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

10R 10B 10B -

Change % Change -17.73 -2.42 Market cap 200-Day High 4,606.26 mn Div Yield (%) 200-Day Low 3.41 -

Low

Close Chg

Volume

1219

-

7.58

7.63

7.15

7.21 -0.37

475607

14.50

7.15

-

10B

693

1.58

12.30

12.70

11.85

12.00 -0.30

90659

14.47

11.20

17.5

-

Tariq Glass Ind

2011 Div BR (%) (%)

50 50 25 25 25B 40 7010B 12.5R 35 20B 15.00 15 20B 10 12 12 10 15 28R 10 10 -

High

Pak Elektron

Last 60 days High Low

2010 Div BR (%) (%)

2011 Div BR (%) (%) -

-

- 200R

PERSONAL GOODS Performance of SR Personal Goods Index Open 975.00 Turnover 51,247,911 P/E (x) 4.97 Company

Paid up Cap(mn)

(Colony) Thal Amtex Limited Artistic Denim Azgard Nine Bannu Woolen XD Bata (Pak) Bilal Fibres Blessed Tex Mills Chenab Limited Chenab Ltd Pref Colony Mills Ltd Crescent Jute D S Ind Ltd Data Textile Dawood Lawrencepur Dewan Farooque Spin.

Ellcot Spinning Gadoon Textile XD Ghazi Fabrics Gulistan Spinning Hira Textile Mills Ltd. Ibrahim Fibres Idrees Textile Indus Dyeing Khurshid Spinning Kohinoor Ind Kohinoor Spinning Kohinoor Textile Mukhtar Textile Nishat (Chunian) Nishat Mills Olympia Spinning Pak Synthetic Paramount Spinning Prosperity Ravi Textile Reliance Weaving Rupali Poly Salfi Textile Sally Textile Salman Noman Sana Ind Sargoda Spinning Shahtaj Textile Taj Textile Thal Ltd Treet Corp Yousuf Weaving ZahidJee Textile Zil Limited

56 2594 840 4493 76 76 141 64 1150 800 2442 238 600 99 591 978 110 234 326 146 716 3105 180 181 132 303 1300 2455 145 1620 3516 120 560 174 185 250 308 341 33 88 42 55 312 97 334 307 418 400 341 53

PE

Open

1.80 2.74 8.04 23.50 6.53 0.72 17.90 6.99 527.83 0.82 0.95 0.62 70.06 2.30 1.42 1.92 2.00 0.69 1.26 0.60 - 34.71 1.58 2.32 0.61 25.05 0.67 70.10 0.41 6.00 0.41 7.75 0.77 3.97 3.28 45.88 1.80 4.89 3.26 325.90 1.80 1.20 0.55 1.49 5.05 4.40 0.50 3.76 25.82 4.98 59.37 1.54 2.00 2.38 19.75 0.67 13.79 0.95 14.75 1.12 0.58 11.50 3.08 40.77 0.30 51.00 0.30 7.96 0.67 3.50 3.00 39.94 1.35 3.26 1.55 26.25 0.50 - 106.59 6.76 54.01 0.44 1.32 0.64 7.65 7.10 63.33

High

High Low 983.08 963.61 Total cos Defaulter cos 211 73 P/BV (x) ROE (%) 0.43 8.64 Low

Close Chg

1.99 1.00 1.80 0.00 3.76 2.50 3.26 0.52 25.40 23.95 25.40 1.90 6.97 6.15 6.71 0.18 18.49 17.21 17.21 -0.69 609.71 518.00 594.22 66.39 1.49 0.95 1.05 0.10 74.49 61.85 65.08 -4.98 2.29 2.00 2.11 -0.19 1.42 1.21 1.21 -0.21 2.64 1.83 1.84 -0.16 0.85 0.26 0.79 0.10 1.34 1.12 1.20 -0.06 1.00 0.11 0.11 -0.49 35.49 33.62 34.01 -0.70 3.15 2.06 2.40 0.08 25.95 24.00 25.50 0.45 70.50 68.99 69.17 -0.93 6.00 4.01 4.02 -1.98 8.11 7.30 7.75 0.00 4.20 3.85 3.87 -0.10 46.90 44.01 46.00 0.12 5.25 4.11 4.70 -0.19 360.89 310.01 342.31 16.41 1.80 1.00 1.00 -0.80 1.50 1.05 1.23 0.03 2.00 0.65 1.59 0.10 4.57 4.05 4.39 -0.01 0.97 0.35 0.39 -0.11 26.00 24.30 24.47 -1.35 59.10 56.02 56.12 -3.25 2.49 1.80 2.45 0.45 20.49 18.60 19.06 -0.69 13.70 13.00 13.50 -0.29 14.95 14.00 14.60 -0.15 1.12 0.90 0.94 -0.18 11.70 11.25 11.25 -0.25 41.30 40.01 40.81 0.04 60.90 51.00 58.25 7.25 7.96 7.03 7.88 -0.08 3.50 2.50 3.25 -0.25 41.00 39.00 39.54 -0.40 3.94 3.25 3.25 -0.01 27.66 26.25 27.66 1.41 0.50 0.30 0.30 -0.20 106.89 103.00 104.12 -2.47 55.00 52.10 54.06 0.05 1.99 1.00 1.00 -0.32 7.65 6.00 7.30 -0.35 67.00 58.11 65.51 2.18

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

Volume

Change % Change -0.43 -0.04 Market cap 200-Day High 126,454.48 mn Div Yield (%) 200-Day Low 3.36 -

Last 60 days High Low

6990 2.84 18457155 3.76 1216066 25.40 17304353 9.45 44302 23.27 21884 609.71 7506 1.94 7272 74.49 23858 2.92 120102 3.00 31380 2.80 10307 1.40 91451 1.70 101873 1.00 25663 47.00 42611 4.18 13874 28.74 15126 102.24 19931 8.00 20293 9.00 301775 5.00 13156 49.92 8026 6.00 5379 360.89 6000 1.80 78791 1.78 18704 2.00 65563 5.25 7243 0.97 1002269 29.50 11597842 66.19 27050 2.64 35538 21.21 13800 14.53 14480 16.90 37665 1.74 9000 14.00 9047 43.73 6928 65.90 23814 9.35 11000 4.00 11153 41.98 12641 5.01 41445 27.66 6000 1.01 41311 112.19 115988 59.20 7710 1.99 13063 7.98 57140 68.00

2010 Div BR (%) (%)

2011 Div BR (%) (%)

1.00 1.81 - 30B 18.55 20 4.40 16.00 20 411.00 280 0.71 58.00 50 1.65 0.46 1.50 0.25 0.95 0.11 33.50 5 15B 1.81 24.00 35 66.00 70 4.00 10 6.30 10 3.63 10 43.25 20 3.85 10 273.94 50 - 50.00 0.80 0.75 0.25 5 3.77 0.16 23.15 15 56.02 25 45R 0.70 17.01 11.50 10 10B 13.60 30 0.53 10.70 25SD 38.05 40 49.00 25 5.50 10 1.90 5B 36.50 60 3.00 5 20.90 45 0.11 97.00 80 20B 46.00 50 900B 1.00 5.00 55.00 35 -

-

PHARMA AND BIO TECH Open 962.44 Turnover 105,237 P/E (x) 6.50

Change % Change -7.31 -0.45 Market cap 200-Day High 32,789.48 mn Div Yield (%) 200-Day Low 16.88 -

Last 60 days High Low 10.70 239.00 2.15 10.84 62.00 558.00

15B -

Performance of SR Pharma and Bio Tech Index

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

Volume

High Low 737.65 702.81 Total cos Defaulter cos 15 7 P/BV (x) ROE (%) 0.20 10.64

2010 Div BR (%) (%)

Open

INDUSTRIAL ENGINEERING High Low 1,655.53 1,609.87 Total cos Defaulter cos 11 1 P/BV (x) ROE (%) 2.96 38.02

2011 Div BR (%) (%)

20B 15B 65.00 - 50.00 20B 10.00 -

PE

Performance of SR Industrial Engineering Index Open 1,639.11 Turnover 362,919 P/E (x) 7.79

90 100 50 25 20 150 5 10 -

Paid up Cap(mn)

-

1828 866 858

Ados Pak AL-Ghazi Tractor Dewan Auto Engineering Ghandhara Ind KSB Pumps Millat Tractors

97.50 41.24 2.89 10.25 2.90 18.51 27.19 12.85 77.63 3.61 65.60 48.09 2.85 82.14 20.27 3.16 40.00 2.93 4.65 2.01 9.25 61.00 5.85 53.00

Volume

40.50

-

2010 Div BR (%) (%)

Change % Change 68.59 3.28 Market cap 200-Day High 302,372.55 mn Div Yield (%) 200-Day Low 0.62 -

42.35

Open 930.05 Turnover 62,206,658 P/E (x) 5.99

Company

Close Chg

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

41.50

Close Chg

Cherat Papersack ECOPACK Ltd Ghani Glass MACPAC Films Packages Ltd

High Low 2,191.37 2,068.26 Total cos Defaulter cos 61 16 P/BV (x) ROE (%) 15.05 30.30

PE

Performance of SR Construction and Materials Index

Company

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

42.03

Low

Kohat Cement Lafarge Pakistan Cmt.

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

40.62

High

Berger Paints

23751 45799 51949 25810 1335890 20681 1147475 217503 13160 96269 9205 5506

1.79

Open

Al-Abbas Cement Attock Cement Balochistan Glass Ltd

Volume

7.40 200.00 0.71 8.01 35.11 504.00

2010 Div BR (%) (%) 400 12.5 650

2011 Div BR (%) (%)

25B325.00

-

Fundamental Highlights As on Dec 31, 2009

Technical Analysis RSI (14-day)

44.26

Total Assets (Rs in mn)

MA (10-day)

14.99

Total Equity (Rs in mn)

MA (100-day)

15.60

Revenue (Rs in mn)

18,976.36

MA (200-day)

13.28

Interest Expense

1st Support

14.84

Profit after Taxation

2nd Support

14.74

EPS 09 (Rs)

1st Resistance

15.10

Book value / share (Rs)

2nd Resistance

15.26

PE 10 E (x)

2.27

Pivot

15.00

PBV (x)

3.00

7,536.40 38,552.26 307.33 3,383.27 2.234 4.98

LOTPTA closed down -0.05 at 14.92. Volume was 79 per cent below average (consolidating) and Bollinger Bands were 60 per cent narrower than normal. The company's profit after taxation stood at Rs2.488 billion which translates into an Earning Per Share of Rs1.64 for the 1st quarter of current calendar year (1QCY11).

LOTPTA is currently 12.1 per cent above 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 LOTPTA at a relatively equal pace. Trend forecasting oscillators are currently bearish on LOTPTA.

SilkBank Limited

FOOD PRODUCERS

CONSTRUCTION AND MATERIALS

Company

Close Chg

2011 Div BR (%) (%)

Change % Change 10.20 0.89 Market cap 200-Day High 43,370.33 mn Div Yield (%) 200-Day Low 5.18 -

7.35

PE

International Ind

Low

72.93 70.75 70.76 -2.17 222.00 212.50 220.00 5.11 160.00 149.00 155.63 6.64 35.70 32.49 33.00 0.51 3.00 2.55 2.78 0.06 24.67 22.75 24.15 0.90 4.41 3.40 3.52 -0.03 11.35 10.10 11.19 0.98 227.90 220.50 223.25 1.39 69.61 65.50 66.15 -0.44 23.90 22.50 22.51 -0.59 1.44 1.12 1.17 -0.04

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

50

Paid up Cap(mn)

Huffaz Pipe XD

High Low 1,180.64 1,142.59 Total cos Defaulter cos 19 4 P/BV (x) ROE (%) 1.00 25.35

411

Open 1,046.52 Turnover 616,820 P/E (x) 3.16

Dost Steels Ltd

High

0.89

2010 Div BR (%) (%)

Performance of SR Food Producers Index

Performance of SR Industrial Metals and Mining Index

Crescent Steel XD

Open

Agriautos Ind 144 4.36 72.93 Atlas Battery 101 5.84 214.89 Atlas HondaSPOT 626 9.71 148.99 Baluchistan Wheels Ltd. 133 1.54 32.49 Dewan Motors 1087 2.72 General Tyre 598 4.60 23.25 Ghandhara Nissan 450 3.55 Honda Atlas Cars 1428 - 10.21 Indus Motors 786 7.71 221.86 Pak Suzuki 823 14.90 66.59 Sazgar Engineering 150 1.11 23.10 Transmission 117 1.21

INDUSTRIAL METALS AND MINING

Company

Change % Change -16.65 -1.97 Market cap 200-Day High 13,547.35 mn Div Yield (%) 200-Day Low 1.96 -

8.00

2803231 387.35

86.90

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

1092

4970716 157.51

86.70

High Low 860.68 777.49 Total cos Defaulter cos 4 2 P/BV (x) ROE (%) 1.44 25.53

Paid up Cap(mn)

1.98

-

Open 844.32 Turnover 162,571 P/E (x) 5.66

Pak Int Cont. Terminal

386.40 363.00 368.63 -9.14

350 47.70

Lotte Pakistan PTA Ltd

-

20B115.00

157.51 152.13 156.07

Pak Refinery Limited

11,897.70 11,996.73 11,691.28 h86.91

Performance of SR Industrial Transportation Index

Close Change % Change 1,555.29 8.87 0.57 Listed cap Market cap 200-Day High 65,194.15 mn 1,154,110.77 mn Payout (%) Div Yield (%) 200-Day Low 55.94 5.17 -

Oil & Gas DevelopmentSPOT 43009 10.56 154.09

Pak Oilfields

Current High Low Change

8,605.57 8,645.93 8,457.84 h85.36

Alert ! Unusual Movements

INDUSTRIAL TRANSPORTATION

Performance of SR Oil and Gas Index Open 1,546.42 Turnover 45,513,079 P/E (x) 10.82

KSE 30 Index

Company Abbott (Lab) XD

High Low 986.74 959.81 Total cos Defaulter cos 9 P/BV (x) ROE (%) 1.45 22.31

Paid up Cap(mn)

PE

Open

High

Low

979

5.80

92.70

94.70

91.00

91.25

93.99

91.70

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

Change % Change 8.33 0.87 Market cap 200-Day High 31,635.97 mn Div Yield (%) 200-Day Low 6.86 -

Close Chg

Volume

Last 60 days High Low

94.63

11800

94.70

92.94

1.93 1.69

6037

99.49

81.00 88.01

2010 Div BR (%) (%) 50 -

-

2011 Div BR (%) (%) -

20B 12.50

-

Ferozsons (Lab)

250

7.69

GlaxoSmithKline

1963

10.66

74.11

77.48

73.65

74.59

0.48

53974

90.00

70.60

40

15B

-

-

Highnoon (Lab)

182

6.08

26.38

26.90

25.92

26.27

-0.11

12669

33.50

24.51

25

10B

-

-

IBL HealthCare Ltd

200

3.87

9.60

9.90

9.10

9.45 -0.15

11872

12.80

9.00

-

-

-

-

-

Searle Pak

306

5.70

59.01

59.88

58.00

58.42 -0.59

7606

66.15

58.00

30

-

-

-

Fundamental Highlights As on Dec 31, 2009

Technical Analysis RSI (14-day)

65.39

Total Assets (Rs in mn)

MA (10-day)

2.83

Total Equity (Rs in mn)

MA (100-day)

2.45

Revenue (Rs in mn)

5,913.32

MA (200-day)

2.60

Interest Expense

68,664.34

5,855.52

1st Support

2.94

Loss after Taxation

2nd Support

2.81

EPS 09 (Rs)

1st Resistance

3.13

Book value / share (Rs)

2nd Resistance

3.19

PE 10 E (x)

18.75

Pivot

3.00

PBV (x)

13.72

196.91

(2,902.91) (3.224) 0.22

SILK closed up 0.18 at 3.00. Volume was 1,127 per cent above average (trending) and Bollinger Bands were 30 per cent narrower than normal. The company's profit after taxation stood at Rs101.991 million which translates into an Earning Per Share of Rs0.04 for the 1st quarter of current calendar year (1QCY11).

SILK is currently 15.4 per cent above 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 very strong flows of volume into SILK (bullish). Trend forecasting oscillators are currently bearish on SILK.

Maple Leaf Cement Factory Limited

Fundamental Highlights As on Jun 30, 2010

Technical Analysis RSI (14-day)

58.64

Total Assets (Rs in mn)

MA (10-day)

2.47

Total Equity (Rs in mn)

MA (100-day)

2.36

Revenue (Rs in mn)

MA (200-day)

2.65

Interest Expense

1st Support

2.41

Loss after Taxation

2nd Support

2.36

EPS 10 (Rs)

1st Resistance

2.55

Book value / share (Rs)

2nd Resistance

2.64

PE 11 E (x)

Pivot

2.50

PBV (x)

26,094.94 4,134.21 13,630.51 2,059.48 (2,583.96) (6.941) 11.11 0.22

MLCF closed down -0.04 at 2.49. Volume was 65 per cent below average (consolidating) and Bollinger Bands were 114 per cent wider than normal. The company's loss after taxation stood at Rs1.565 billion which translates into a Loss Per Share of Rs3.26 for the nine months of fiscal year (9MFY11).

MLCF is currently 6.1 per cent below its 200-day moving average and is displaying an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into MLCF (bullish). Trend forecasting oscillators are currently bullish on MLCF.

Dewan Salman Fibre Limited

Fundamental Highlights As on Jun 30, 2010

Technical Analysis RSI (14-day)

59.08

Total Assets (Rs in mn)

15,343.38

MA (10-day)

2.96

Total Equity (Rs in mn)

(7,218.97)

MA (100-day)

2.70

Revenue (Rs in mn)

MA (200-day)

2.38

Interest Expense

1st Support

2.93

Loss after Taxation

2nd Support

2.84

EPS 10 (Rs)

(4.176)

Book value / share (Rs)

(19.71)

1st Resistance

3.04

2nd Resistance

3.06

PE 11 E (x)

Pivot

2.95

PBV (x)

137.50 125.73 (1,529.67)

(0.15)

DSFL closed up 0.06 at 2.95. Volume was 75 per cent below average (consolidating) and Bollinger Bands were 137 per cent wider than normal. The company's loss after taxation stood at Rs738.311 million which translates into a Loss Per Share of Rs2.02 for the nine months of fiscal year (9MFY11).

DSFL is currently 24.0 per cent above 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 very strong flows of volume into DSFL (bullish). Trend forecasting oscillators are currently bullish on DSFL.

BOOK CLOSURES Company

From

To

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 # Media Times # First Cap Sec Corp # Shezan International # JDW Sugar Mills Honda Atlas Cars Emco Industries # Mari Gas Searle Pakistan # Singer Pakistan #

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 21-Jun 21-Jun 23-Jun 23-Jun 23-Jun 23-Jun 24-Jun 24-Jun 25-Jul

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 28-Jun 28-Jun 30-Jun 30-Jun 30-Jun 30-Jun 30-Jun 30-Jun 04-Aug

D/B/R

INDICATIONS # Extraordinary General Meeting

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) 10(R) 10(II) -

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 28-Jun 28-Jun 29-Jun 30-Jun 30-Jun 30-Jun 04-Aug

7

Monday, June 13, 2011 Ask Gen Insurance Atlas Insurance Central Insurance Century Insurance EFU General Insurance Habib Insurance IGI Insurance Pak Reinsurance PICIC Ins Ltd Premier Insurance Reliance Insurance Universal Insurance

FIXED LINE TELECOMMUNICATION Performance of SR Fixed Line Telecommunication Index Open 1,016.69 Turnover 9,231,459 P/E (x) 5.53 Paid up Cap(mn)

Company

High Low 1,036.95 996.06 Total cos Defaulter cos 5 P/BV (x) ROE (%) 0.71 12.84

PE

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 -

35.24 17.55 1.88 2.20 2.70

36.70 17.60 1.88 2.35 2.80

31.82 15.61 1.65 2.11 2.45

32.98 15.77 1.71 2.18 2.55

-2.26 -1.78 -0.17 -0.02 -0.15

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

Volume 22639 6760765 442846 2005209 718350

Change % Change -5.20 -0.51 Market cap 200-Day High 63,738.18 mn Div Yield (%) 200-Day Low 11.32 -

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 -

280 3.54 443 3.49 391 1.54 457 4.83 1250 14.17 450 7.85 970 5.89 3000 5.94 350 12.56 303 3.88 284 4.21 263 -

9.60 28.21 73.43 8.54 37.03 11.30 70.98 17.21 11.19 8.54 6.75 2.20

Paid up Cap(mn)

PE

Open

High

Low

198 11572 1560 7932 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 2.52 5.49 2.72 2.34 5.80 -

0.59 37.71 1.31 2.40 3.00 43.49 15.50 16.89 1.20 21.60 1.52 1.00

0.68 38.34 1.45 2.57 3.50 43.50 15.55 17.17 1.98 22.20 1.59 1.27

0.52 37.30 1.21 2.36 2.80 42.75 15.00 16.28 0.82 20.52 1.41 0.91

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

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

Open 892.52 Turnover 237,707 P/E (x) 5.35

Change % Change 0.98 0.07 Market cap 200-Day High 105,169.25 mn Div Yield (%) 200-Day Low 7.50 -

Close Chg

Volume

Last 60 days High Low

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

31051 3819858 599585 1260334 6881 677569 6222157 2781098 141954 31517 336015 72001

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

0.06 0.29 0.10 0.01 0.25 -0.70 -0.39 -0.51 0.25 -0.66 -0.03 0.17

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

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

American Life EFU Life Assurance New Jub Life Insurance

Paid up Cap(mn)

Company Sui North Gas Sui South Gas

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

Open

High

Low

Close Chg

Volume

Last 60 days High Low

5491 15.64 8390 5.24

19.01 22.51

21.90 23.40

18.50 22.01

21.90 2.89 23.20 0.69

1980422 900876

21.90 25.30

17.64 20.52

2010 Div BR (%) (%) 20 15

-

Paid up Cap(mn)

PE

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 60.98 7070 5.52 11.85 13492 5.44 10.21 8786 6.11 28.44 5004 2.08 4.94 5288 6.35 5280 9.97 3.75 7327 7.64 9.99 11021 7.50 116.95 Habib Metropolitan Bank XB 10478 5.52 18.77 JS Bank Ltd 8150 53.00 2.73 KASB Bank Ltd 9509 1.60 MCB Bank Ltd XD 8362 8.31 200.20 Meezan Bank XB 8030 6.01 17.55 Mybank Ltd 5304 2.89 National Bank 16818 4.14 52.32 Network Mic Bank 300 2.69 NIB Bank XR 40437 1.69 Samba Bank 14335 23.00 2.00 Silkbank Ltd 26716 18.75 2.82 Soneri Bank 6023 2.90 6.25 Stand Chart Bank 38716 6.86 9.00 Summit Bank Ltd 7251 3.75 United Bank Ltd 12242 7.45 63.03

High

Low

Close Chg

-

67.21 62.00 64.50 3.52 12.26 11.80 12.14 0.29 10.57 10.14 10.34 0.13 29.10 28.39 28.82 0.38 5.05 4.55 4.65 -0.29 7.35 6.06 7.00 0.65 3.76 3.55 3.69 -0.06 10.19 9.90 10.09 0.10 122.00 115.25 120.10 3.15 19.49 18.25 19.20 0.43 2.90 2.40 2.65 -0.08 1.64 1.45 1.50 -0.10 209.40 199.00 205.64 5.44 17.99 17.55 17.55 0.00 3.60 2.65 3.10 0.21 53.98 51.80 52.65 0.33 3.13 2.65 3.10 0.41 1.75 1.61 1.72 0.03 2.04 1.84 1.84 -0.16 3.06 2.70 3.00 0.18 6.50 5.71 5.80 -0.45 8.90 8.30 8.51 -0.49 4.75 3.50 4.20 0.45 64.75 63.10 63.36 0.33

758334 1178002 2273869 4293017 49998 27590786 317142 458992 420188 350379 481453 1282219 2311222 45783 1664259 5768689 286439 7417180 357899 27516282 309982 18454 11378131 1063819

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

2010 Div BR (%) (%)

Paid up Cap(mn)

Company

Adamjee Insurance XD

1237

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

PE

Open

High

Low

Close Chg

Volume

Last 60 days High Low

66.92

68.75

65.25

67.66 0.74

1177050

81.89

62.00

25

-

Last 60 days High Low

94015 87029 56160

18.00 73.25 58.75

14.02 50.70 44.00

2010 Div BR (%) (%) 50 15

2011 Div BR (%) (%)

-

-

-

PE

Open

0.83

3.42 -

0.54

High Low 321.34 287.98 Total cos Defaulter cos 41 6 P/BV (x) ROE (%) 0.20 0.91

High

Low

0.64

Close Chg

0.37

0.40 -0.14

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

Change % Change 6.58 2.17 Market cap 200-Day High 15,123.96 mn Div Yield (%) 200-Day Low 4.53 -

Last 60 days High Low

Volume 205209

0.69

2010 Div BR (%) (%)

0.34

2011 Div BR (%) (%)

-

-

21.93 17.96

22.38 18.00

20.84 16.14

21.97 0.04 17.52 -0.44

7636 382432

24.97 22.49

20.84 12.01

-

20B 20B

-

-

23.52 1.65 5.10

25.73 1.70 6.10

22.70 1.40 4.26

25.53 2.01 1.50 -0.15 5.14 0.04

21468167 13058 15584

26.14 1.99 6.10

20.53 1.15 3.10

30 -

-

-

-

-

-

IGI Investment Bank Invest and Fin Sec

2121 9.74 600 21.62

1.74 7.70

1.94 8.50

1.70 7.50

1.85 0.11 8.00 0.30

109296 38430

2.25 9.29

1.61 5.15

11.5

-

-

-

2849 3166 626

0.48 2.90 1.45

0.74 3.15 1.96

0.35 2.70 1.43

0.44 -0.04 2.80 -0.10 1.57 0.12

141190 414283 49916

1.20 3.67 1.98

0.22 2.45 1.26

-

10B -

-

-

0.70

7633 508

-

7.68 3.11

8.23 3.38

7.20 2.87

7.96 0.28 3.13 0.02

500

6.03

21.96

22.45

19.90

20.99 -0.97

1000 47.42 1000 821 3.52 775 6.07 452 978 3.52

5.56 3.81 5.61 1.79 0.82 2.54

5.94 3.98 5.99 1.85 0.95 3.00

5.36 3.50 5.41 1.59 0.60 2.47

5.69 3.60 5.80 1.70 0.68 2.50

1.29

1.66

1.11

1.20 -0.09

586

0.30

0.13 -0.21 0.19 -0.09 -0.14 -0.04

9.15 3.83

4.82 2.31

10 -

32289

24.00

16.42

50

-

-

-

146988 227945 18538 762652 275324 14494

28045710 2520819

6.43 4.90 6.20 2.17 1.30 3.20

4.53 3.10 5.00 1.45 0.55 2.10

-

-

-

-

-

-

-

20516

2.29

0.83

-

-

-

-

EQUITY INVESTMENT INSTRUMENTS Open 1,544.56 Turnover 4,005,702 P/E (x) 20.25 Company

Paid up Cap(mn)

AL-Meezan Mutual F. AL-Noor Modaraba Atlas Fund of Funds B F Modaraba B R R Guardian Mod. Constellation Modaraba Crescent St Modaraba Elite Cap Modaraba Equity Modaraba First Capital Mutual F. 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 PICIC Energy Fund PICIC Growth Fund PICIC Inv Fund Prud Modaraba 1st Punjab Modaraba Stand Chart Modaraba

2011 Div BR (%) (%)

-

Symbols ADAMS MERIT CHAS AKDCL JDMT SAIF SRVI NJICL SSIC TSBL FTSM SURC CRTM FNEL ARPAK CWSM HUSS MTIL MLCFPS ANSS UNIM DKTM AZAMT BCML PAKMI SIEM FRCL SSML MWMP HWQS MSOT DYNO FNBM ZTL GSPM DADX TRPOL EXIDE UNIC DNCC SHCM FFLM ICL REDT MDTL GLAT HUSI DCM ULEVER ISTM GRAYS TATM SARD CLOV ESBL SANSM PCAL CSIL KML AASM SMCPL BIFO SHEZ QUET AGSML CPAL FECS BCL IDSM LEUL OTSU TRSM SING HINO POAF FASM NAGC NONS GAIL FUDLM DMTM JOPP BROT WAZIR PKGI TSMF PECO RCML KOHE EWLA SIBL MQTM STML PMRS GVGL LPGL NESTLE DMTX GATM KCL APOT AATM SAPL BAFS JKSM KSTM EMCO SMTM ASHT BUXL ISIL GUTM ILTM FPRM FZTM WYETH PRET BWCL RMPL MFFL UPFL JVDC ICCT LMSM MUBT COLG BAWS DINT NSRM SHTM ALTN GLPL HAJT INKL

Performance of SR Equity Investment Instruments Index

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 -

2010 Div BR (%) (%)

UPTO 5000 VOLUME

-

Invest Bank Ist Cap Securities Ist Dawood Bank

Trust Inv Bank

Change % Change 8.98 1.18 Market cap 200-Day High 47,099.54 mn Div Yield (%) 200-Day Low 7.10 -

7.26

Volume

16.51 -0.49 70.20 2.90 56.30 4.40

225

2011 Div BR (%) (%)

NON LIFE INSURANCE High Low 785.21 749.56 Total cos Defaulter cos 34 22 P/BV (x) ROE (%) 0.58 5.20

Close Chg

16.50 68.00 50.52

360 5.60 450 18.44

Jah Siddiq Co JOV and CO

Performance of SR Non Life Insurance Index Open 760.18 Turnover 11,093,975 P/E (x) 11.20

Low

17.75 73.25 58.75

AMZ Ventures

JS Investment KASB Securities Orix Leasing Pervez Ahmed Sec Saudi Pak Leasing Stand Chart Leasing

Change % Change 20.79 1.82 Market cap 200-Day High 685,862.35 mn Div Yield (%) 200-Day Low 5.41 -

Last 60 days High Low

Volume

High

17.00 67.30 51.90

3750 250 First Credit & Invest Bank Ltd 650

Performance of SR Banks Index

Company

Open

Arif Habib Investments Arif Habib Limited

JS Global Cap

High Low Close 1,182.95 1,131.49 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

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

Change % Change 45.35 5.08 Market cap 200-Day High 10,400.76 mn Div Yield (%) 200-Day Low 3.54 -

PE

Arif Habib Corp Dawood Equities

BANKS Open 1,141.75 Turnover 86,214,387 P/E (x) 7.48

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

500 6.35 850 9.86 627 15.13

Paid up Cap(mn)

Company

2011 Div BR (%) (%)

25B

8.61 26.00 65.00 8.00 29.01 11.00 65.10 12.43 7.08 8.00 5.76 1.32

FINANCIAL SERVICES

Change % Change 114.28 8.69 Market cap 200-Day High 31,489.46 mn Div Yield (%) 200-Day Low 7.59 -

PE

13493 12.49 23081 39.51 5538 115.90 12176 10.85 104182 39.65 9397 16.05 595153 103.00 9037657 20.80 50465 15.25 32801 13.27 5936 8.25 15040 3.42

High Low 962.20 900.05 Total cos Defaulter cos 4 P/BV (x) ROE (%) 3.86 3.85

Open 303.36 Turnover 33,441,454 P/E (x) 11.58

Performance of SR Gas Water and Multiutilities Index High Low 1,435.59 1,285.84 Total cos Defaulter cos 2 P/BV (x) ROE (%) 1.00 11.41

-0.10 -0.17 -2.68 0.16 0.95 0.00 0.14 -0.11 3.88 0.16 0.16 0.00

Performance of SR Financial Services Index

-

GAS WATER AND MULTIUTILITIES Open 1,315.04 Turnover 2,881,298 P/E (x) 8.80

Paid up Cap(mn)

Company

2011 Div BR (%) (%)

- 25.00 7.8R - 30.00 - 10.00 -

9.50 28.04 70.75 8.70 37.98 11.30 71.12 17.10 15.07 8.70 6.91 2.20

Performance of SR Life Insurance Index

Performance of SR Electricity Index High Low 1,382.94 1,345.88 Total cos Defaulter cos 15 1 P/BV (x) ROE (%) 1.30 9.35

8.61 27.02 70.01 8.15 37.02 11.10 68.11 16.80 11.21 8.30 6.50 1.61

LIFE INSURANCE

-

ELECTRICITY Open 1,360.93 Turnover 15,980,540 P/E (x) 13.88

9.64 28.49 74.46 8.71 39.65 11.40 73.00 18.30 15.25 8.90 7.23 2.20

-

High Low 1,562.35 1,495.77 Total cos Defaulter cos 52 11 P/BV (x) ROE (%) 0.45 2.21

PE

Open

High

Low

1375 4.63 210 2.52 525 1.73 75 1.91 780 2.44 65 3.19 200 3.86 113 3.33 524 8.68 300 1.97 581 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 1000 2.17 2835 2.70 2841 2.30 872 1.62 340 454 5.54

10.82 3.88 6.50 4.70 2.29 1.50 0.55 2.92 1.55 2.50 2.11 3.50 8.35 7.91 6.52 5.79 3.46 9.95 1.10 4.50 7.39 13.27 6.22 0.92 1.05 9.98

10.89 4.05 6.50 4.98 2.35 1.99 0.55 3.39 1.88 2.60 2.47 3.53 8.24 8.20 6.87 5.80 4.48 9.95 1.25 4.74 7.75 13.49 6.19 0.92 1.49 10.90

10.15 3.70 6.25 4.70 2.00 1.20 0.30 2.40 1.40 1.60 2.01 3.35 7.32 7.80 6.10 5.44 2.65 9.30 0.90 4.50 7.15 13.01 5.76 0.82 0.26 9.50

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

Change % Change -39.42 -2.55 Market cap 200-Day High 19,083.83 mn Div Yield (%) 200-Day Low 8.04 -

Close Chg

Volume

Last 60 days High Low

2010 Div BR (%) (%)

10.79 3.96 6.50 4.90 2.34 1.50 0.54 2.40 1.65 2.60 2.10 3.52 8.00 7.80 6.30 5.74 4.48 9.65 0.90 3.86 7.35 13.16 5.82 0.89 0.80 10.02

234164 27150 507000 26362 12122 17617 144262 13975 77930 108000 36005 453702 16611 126252 209668 406144 17507 78500 6678 30065 254381 729217 333833 74377 26507 21081

11.20 4.05 6.94 5.00 2.91 1.99 0.84 3.40 2.50 3.09 2.47 3.95 8.48 8.44 7.45 6.68 4.48 10.19 1.84 5.28 7.99 13.74 6.59 1.10 1.99 10.90

18.5 5 2.2 0 1.2 5 17 11 21 12.5 10 2.8 15.5 15 10 20 10 3 1 17

-0.03 0.08 0.00 0.20 0.05 0.00 -0.01 -0.52 0.10 0.10 -0.01 0.02 -0.35 -0.11 -0.22 -0.05 1.02 -0.30 -0.20 -0.64 -0.04 -0.11 -0.40 -0.03 -0.25 0.04

10.00 3.01 5.61 3.65 1.29 0.90 0.30 2.30 1.22 1.51 1.82 3.08 7.00 7.25 5.80 5.17 1.50 8.46 0.90 3.52 6.92 12.00 5.11 0.80 0.26 9.50

2011 Div BR (%) (%)

- 5.00 10B - 5.00 - 10.00 - 12.50 - 7.50 -

-

Open

High

18.43 27.77 10.10 40.20 14.50 8.43 174.46 58.25 5.39 2.00 1.00 39.75 13.32 2.66 16.58 1.49 11.56 0.50 3.70 9.94 0.13 1.83 2.50 16.50 0.76 993.19 2.80 1.70 1.00 10.00 17.20 10.01 5.45 3.25 11.70 17.66 0.70 195.00 5.03 1.40 16.98 1.44 31.25 0.50 15.61 8.07 4.56 1.50 5075.54 7.00 48.61 34.67 1.80 67.00 1.56 12.00 50.10 3.60 1.85 25.21 4.71 50.00 151.27 51.50 5.03 1.58 38.00 49.75 6.00 2.75 32.42 2.00 17.00 88.12 5.29 44.36 15.00 16.10 3.34 6.73 4.01 8.71 0.30 7.63 5.95 1.26 94.48 27.36 17.00 1.42 1.85 9.00 19.93 40.21 23.10 20.10 3452.28 3.88 51.48 7.10 4.75 0.86 150.01 46.03 6.50 1.59 2.00 4.82 5.11 7.73 81.49 20.00 230.91 10.99 314.00 816.00 29.76 13.12 2665.09 75.00 1400.00 61.37 0.99 1.11 1.00 710.00 8.50 28.50 16.00 0.49 8.20 54.40 0.63 6.00

19.24 28.50 10.50 41.49 15.00 8.50 182.50 59.90 5.65 3.00 1.30 40.02 15.32 2.97 17.58 1.49 12.56 0.40 3.70 10.85 0.50 2.34 2.87 16.70 1.50 1005.00 2.89 1.98 1.38 10.25 17.90 10.97 5.99 3.39 11.50 16.71 0.85 204.89 5.49 2.20 17.00 2.00 32.80 0.49 18.00 9.00 4.40 1.90 5450.00 6.99 48.61 34.49 1.89 69.00 2.00 12.22 50.10 4.50 2.83 27.70 5.65 55.12 154.40 52.50 5.50 2.40 38.00 49.75 6.10 2.80 32.50 2.25 17.78 89.98 5.31 44.25 15.50 16.85 3.60 7.25 5.00 10.00 0.95 8.00 7.45 1.29 99.20 28.00 18.00 1.75 2.48 9.00 19.93 40.21 23.10 20.10 3648.99 4.00 51.69 7.10 4.75 0.86 154.99 46.03 6.97 1.60 2.24 5.70 5.10 7.73 79.06 20.00 242.45 11.99 329.70 855.00 29.76 13.12 2774.99 78.00 1475.00 61.80 1.35 2.00 1.48 739.80 9.20 29.90 17.00 0.49 8.50 54.40 1.40 7.00

Low

Close

17.70 26.80 9.90 37.00 13.65 7.50 172.00 57.50 5.11 2.00 0.87 38.50 13.32 1.72 16.58 0.80 10.56 0.30 3.00 9.25 0.13 1.70 2.50 16.50 0.65 985.00 1.72 1.51 0.65 10.00 17.00 9.82 4.60 2.70 11.00 15.71 0.60 193.00 5.02 2.05 15.98 1.64 31.15 0.49 16.30 8.99 3.56 1.32 5031.00 6.56 44.15 33.00 1.60 63.65 1.56 11.96 49.00 3.60 1.11 26.40 4.17 50.00 143.76 50.00 5.00 1.50 38.00 47.27 6.00 1.85 32.42 1.50 16.01 84.01 4.26 42.26 15.00 15.75 3.11 6.70 4.01 8.80 0.11 7.00 5.95 1.00 89.76 26.00 17.00 1.42 1.85 9.00 18.94 38.20 22.50 19.10 3370.00 3.88 49.10 6.70 4.00 0.86 147.15 43.73 5.50 1.15 1.66 4.60 4.80 7.50 74.79 19.00 222.00 10.05 298.30 800.00 29.00 12.12 2603.00 75.00 1400.00 58.31 0.99 1.11 0.80 684.50 8.50 28.50 16.00 0.44 8.20 51.74 0.05 6.00

18.88 27.55 10.00 37.81 14.50 7.65 172.73 58.45 5.15 3.85 1.00 38.99 15.32 2.50 16.58 1.22 10.66 0.30 3.00 9.25 0.50 2.19 2.50 16.70 0.75 995.26 2.45 1.98 0.99 10.25 17.30 10.74 5.50 3.39 11.50 16.67 0.85 199.16 5.02 2.14 16.90 1.65 32.70 0.49 17.30 9.00 3.57 1.74 5337.17 6.70 45.90 33.00 1.75 66.81 2.00 12.13 49.00 3.70 1.85 27.70 5.00 52.50 150.02 47.63 5.00 1.50 38.00 49.75 6.00 2.80 32.50 2.00 16.89 87.01 4.31 42.26 15.45 16.76 3.48 7.25 4.62 9.00 0.22 7.00 6.90 1.00 92.28 27.36 17.17 1.55 2.20 9.00 18.94 40.21 23.10 20.00 3593.78 3.88 51.48 7.10 4.75 0.86 150.01 46.03 6.50 1.59 2.00 4.82 5.10 7.73 78.72 20.00 230.91 10.99 314.00 830.47 29.76 13.12 2700.00 75.00 1410.00 61.37 0.99 1.11 1.00 710.00 8.50 28.50 16.00 0.49 8.20 54.40 0.63 6.00

Change

Vol

0.45 -0.22 -0.10 -2.39 0.00 -0.78 -1.73 0.20 -0.24 1.85 0.00 -0.76 2.00 -0.16 0.00 -0.27 -0.90 -0.20 -0.70 -0.69 0.37 0.36 0.00 0.20 -0.01 2.07 -0.35 0.28 -0.01 0.25 0.10 0.73 0.05 0.14 -0.20 -0.99 0.15 4.16 -0.01 0.74 -0.08 0.21 1.45 -0.01 1.69 0.93 -0.99 0.24 261.63 -0.30 -2.71 -1.67 -0.05 -0.19 0.44 0.13 -1.10 0.10 0.00 2.49 0.29 2.50 -1.25 -3.87 -0.03 -0.08 0.00 0.00 0.00 0.05 0.08 0.00 -0.11 -1.11 -0.98 -2.10 0.45 0.66 0.14 0.52 0.61 0.29 -0.08 -0.63 0.95 -0.26 -2.20 0.00 0.17 0.13 0.35 0.00 -0.99 0.00 0.00 -0.10 141.50 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -0.01 0.00 -2.77 0.00 0.00 0.00 0.00 14.47 0.00 0.00 34.91 0.00 10.00 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

4915 4661 4601 4492 4452 4406 4395 3993 3861 3671 3556 3414 3399 3334 3009 3007 3006 3001 3000 3000 3000 2814 2699 2522 2515 2505 2504 2504 2476 2470 2420 2417 2410 2402 2401 2400 2389 2342 2314 2248 2100 2025 2010 2000 1982 1800 1753 1702 1673 1600 1551 1501 1500 1500 1500 1442 1279 1274 1166 1119 1103 1074 1037 1031 1017 1010 1009 1006 1000 1000 1000 914 894 844 828 800 726 719 705 694 676 666 612 601 564 563 551 537 515 503 501 500 500 479 474 401 351 350 311 300 300 280 214 213 175 122 117 113 101 100 100 99 90 84 72 65 59 45 36 23 13 11 11 10 9 7 5 5 5 5 5 3 3 3

BOARD MEETINGS

Dera Ghazi Khan Cement Co Ltd

KSE 100 INDEX

Engro Corporation

Pakistan Oilfields 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)

65.11

Brokerage House

12,327.45

Support 2

Recommendations

30.1

Buy

Arif Habib Ltd

AKD Securities Ltd

28.72

Buy

AKD Securities Ltd

TFD Research

36.45

Positive

TFD Research

Arif Habib Ltd

Leverage Position Support 1

Target Price

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

12,471.35

12,277.10

Technical Outlook Technical Analysis

RSI (14-day) KSE 100 INDEX closed up 141.11 points at 12,377.77. Volume was MA (10-day) 3 per cent below average and Bollinger Bands were 13 per cent nar- MA (100-day) MA (200-day)

11,426.84

Pivot

12,374.25

rower than normal. As far as resistance level is concern, the market will see major 1st resistance level at 12,424.55 and 2nd resistance level at 12,471.35, while Index will continue to find its 1st support 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 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 INDEX (mildly bullish). Trend forecasting oscillators are currently bullish on INDEX.

Brokerage House

Target Price

50.31 23.89

MTS Shares `000 MTS Rs `000

24.79

MTS Rate

26.22 Free Float Shares (mn) 200.80

** NOI Rs (mn) Free Float Rs (mn)

Brokerage House

60.591 16,082.46

MA (100-day)

324.11

MTS Rate

MA (200-day)

292.41 107.95

** NOI Rs (mn) Free Float Rs (mn)

Free Float Shares (mn)

AKD Securities Ltd TFD Research

Negative

Brokerage House

Technical Outlook

Technical Outlook

Technical Analysis

FFBL closed up 0.67 at 44.04. Volume was 0.01 per cent above average and Bollinger Bands were 1 per cent narrower than normal.

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 volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into FFBL (mildly bullish). Trend forecasting oscillators are currently bullish on FFBL. Momentum oscillator is currently indicating that FFBL is currently in an overbought condition.

MTS Shares `000 MTS Rs `000

15.00 231.71 38,328.01

68.87

MTS Shares `000

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

142.32 139.01 126.23

MTS Rs `000 MTS Rate ** NOI Rs (mn)

Free Float Shares (mn) 466.49

Free Float Rs (mn)

74.65 78.6

Recommendations

95.855 10,412.77 14.99 37.07 68,587.64

Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Free Float Shares (mn)

32.26 58.41 62.56 58.52 175.80

25.25

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

Attock Refinery

44.95

124.50

121.50

132.50 137.50 129.50

245.4

Positive

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

292.253

Dewan Salman

59.00

2.90

2.80

3.00

3.05

MTS Rs `000

41,347.88

Dost Steels Ltd

57.01

2.15

2.05

2.45

2.60

MTS Rate ** NOI Rs (mn) Free Float Rs (mn)

16.50 202.18 33,227.60

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

Fauji Cement

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

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

RSI (14-day)

37.02

MA (10-day)

192.46

MA (100-day) 204.71 MA (200-day) 193.97 Free Float Shares (mn) 176.98

Leverage Position MTS Shares `000

Target Price 254.9

TFD Research

246.65

Recommendations Buy Positive

Technical Outlook Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Free Float Shares (mn)

53.50

26.50

17.75

Neutral

Arif Habib Ltd

459.064 19,582.22 16.50 79.87 9,865.89

54.55

26.00

17.00

195.41

Positive

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

53.85

24.05

17.25

391.30 394.70 388.20

Buy

Leverage Position

52.45

24.80

56.53

381.70

Technical Analysis

Brokerage House

52.85

67.91

Arif Habib Limited

384.80

Pakistan Petroleum Ltd

Technical Outlook

Leverage Position

RSI (14-day)

Target Price

64.50

47.41

Arif Habib Corp

60.91

Technical Outlook

Leverage Position

16.00

Reduce

129.4

-

TFD Research

106.90 4,716.90

Hold

TFD Research

MA (200-day) 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

Neutral

72.39 344.93

Recommendations

Neutral

MTS Rate

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

144

44.25

41.50

616.048 11,056.34

Target Price

TFD Research

MA (100-day)

363.65

Nishat Mills Ltd

120.7

84.50 2,732.39

AKD Securities Ltd

65.35

Attock Cement

Attock Petroleum

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

AKD Securities Ltd

MTS Shares `000 MTS Rs `000

Neutral

64.90

Buy

ENGRO closed down -4.29 at 187.75. Volume was 14 per cent below average and Bollinger Bands were 62 per cent narrower than normal.

ENGRO is currently 3.2 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 ENGRO at a relatively equal pace.

Trend forecasting oscillators are currently bearish on ENGRO.

Arif Habib Ltd

71.01 43.51

322.42

63.60

224

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

Hold

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

Arif Habib Ltd

64.05

Recommendations

POL closed up 17.96 at 355.05. Volume was 46 per cent below average and Bollinger Bands were 71 per cent wider than normal.

POL is currently 21.4 per cent above its 200-day moving average and is displaying an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into POL (bullish). Trend forecasting oscillators are currently bullish on POL. Momentum oscillator is currently indicating that POL is currently in an overbought condition.

Accumulate

Leverage Position

Hold

1st 2nd Pivot Resistance 3.00 3.20 2.90

68.13

Target Price

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

45.52

Technical Analysis

359

Technical Analysis

Fauji Fertiliser Co

Recommendations

Recommendations

DGKC closed down -1.18 at 23.49. Volume was 116 per cent above average and Bollinger Bands were 1 per cent narrower than normal.

DGKC is currently 10.4 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 volume flowing into and out of DGKC at a relatively equal pace.

Trend forecasting oscillators are currently bullish on DGKC.

AKD Securities Ltd

42.2

Brokerage House

Target Price

Technical Outlook

Leverage Position

MA (200-day)

Fauji Fertiliser Bin Qasim Ltd

Arif Habib Ltd

Brokerage House

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

Allied Bank Limited

53.50 213.02 208.80 204.15 247.73

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

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

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

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

FFC closed up 5.55 at 147.03. Volume was 8 per cent above average and Bollinger Bands were 64 per cent narrower than normal.

FFC is currently 16.5 per cent above 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 very strong flows of volume into FFC (bullish). Trend forecasting oscillators are currently bullish on FFC.

NML closed down -3.25 at 56.12. Volume was 39 per cent below average and Bollinger Bands were 14 per cent narrower than normal.

NML is currently 4.1 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 NML at a relatively equal pace. Trend forecasting oscillators are currently bearish on NML

PPL closed down -1.36 at 212.24. Volume was 393 per cent above average (trending) and Bollinger Bands were 2 per cent wider than normal.

PPL is currently 4.0 per cent above 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 PPL (mildly bullish). Trend forecasting oscillators are currently bullish on PPL.

6.85

9.95 4.50

6.65

9.85 4.40

7.20

3.75 7.45

3.65 7.05

2.95 2.30

189.40 191.05 188.40 10.15

10.25

10.05

4.65

4.75

4.60

44.35

44.65

43.90

38.20

44.56 49.27

2.35

2.25

2.50

2.60

2.45

44.12

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

NIB Bank

48.68

Nimir Ind.Chemical

55.18

Nishat Mills

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

1.65

1.60 2.60

1.60

43.55

37.90

Lucky Cement

2.70

43.15

38.40

Lotte Pakistan

1.65

42.35

3.70

6.70

10.40

K.E.S.C

49.48

42.60

3.55

10.55

Kot Addu Power

Pervez Ahmed Sec

Leverage Position

3.60

10.45

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

P.T.C.L.A

25.37

15.55

15.35

Shell Pakistan

61.30

225.90

225.80

Sui North Gas

78.95

21.40

20.85

22.15

22.45

21.65

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

1.65

1.55

67.60

69.05

66.55

281.85 285.45 279.45 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

Insurance sector show dull activities 8

Monday, June 13, 2011

AXA to unveil 2015 strategy and cost

WASHINGTON: A man walks past a signboard of AIG in Tokyo. Reuters

Insurer sues Twitter imposter who cheers death, mayhem LONDON: Life insurance firm Coventry First is suing an anonymous critic for sending fake Twitter messages in which the company appears to cheer for the death of policy holders.

In a lawsuit filed on Tuesday in Philadelphia federal court, Coventry sued the Twitter user known as @coventryfirst, who has been sending tweets like "horrible weekend ... no plane crashes" and "natural disasters are good for business!"

Coventry is a leading player in the secondary life insurance market, in which investors pay individuals for the right to collect on their policies.

The industry first gained prominence in the 1980s when investors bought the policies of AIDS patients expecting a quick payout but then incurred losses when people with HIV began living longer.

Since then, the secondary life insurance market has been criticized by those who object to betting on death, and has

attracted scrutiny from courts and state insurance regulators.

The controversy has made the industry sensitive to criticism.

In its lawsuit, Coventry accused the anonymous critic of unfair competition and trademark infringement, saying the "numerous 'tweets' about the life settlement industry is likely to cause confusion in the marketplace," and sought a court order for monetary damages and the destruction of the Twitter page.

The company has also issued a subpoena asking Twitter to reveal the identity of the account holder, according to Coventry's lawyer, Camille Miller. Twitter did not reply to requests for comment.

This is not the first time a major company has become entangled with a Twitter prankster. Last year, at the height of the gulf oil spill, a Twitter account called @BPGlobalPR caused a stir with a series of insensitive tweets like "We've eliminated

the huge turtle surplus in the gulf." The account continues to operate.

As for Coventry, its chance of shutting down the offending Twitter account appears uncertain due to courts' obligations to balance the right of brand owners against overall free speech values.

"We don't have a lot of bright-line rules in trademark law," said Lisa Ramsey, a law professor at the University of San Diego, adding that some courts require a commercial use before they will find infringement has occurred.

To prove a trademark claim, Coventry must also show that the fake Twitter account is leading to confusion in the minds of consumers.

"When there's a site that's obviously meant to be a joke, there's not going to be confusion," said Greg Beck, a lawyer at Public Citizen.

"Even if there's a few very dense people who don't get it, that's not enough." -Reuters

Lloyd's refuses $17.5 million insurance payout to Jackson LONDON: Lloyd's of London, the insurers of the late Michael Jackson's "This Is It" London concerts, is refusing to pay out a 17.5 million US dollars insurance policy for tour losses, according to media reports.

The famed insurance company has asked a judge to nullify the huge insurance policy on the grounds that the pop star lied on his policy application.

Lloyd's claims it doesn't have to honor the policy for 2 pri-

mary reasons: 1. Michael Jackson and AEG allegedly lied about Michael's medical history -- specifically, MJ said he had not seen a doctor other than a cosmetic MD since June, 2005.

2. Michael did not disclose he was taking prescription drugs prior to and at the time of his death -- including Propofol.

Michael Jackson died just days before the tour was set to begin. Authorities said he died of a massive dose of the anes-

thetic propofol and a cocktail of other sedatives and painkillers.

The insurance policy was taken out to cover the cancellation or postponement of the London concerts in the case of the death, accident or illness of Jackson. Howard Weitzman, the lawyer for the Estate, tells TMZ, "This legal action is nothing more than an insurance company trying to avoid paying a legitimate claim by the insured." Agencies

Insurers most worried about life business: poll NEW YORK: Nearly half of insurance industry executives say they are more worried about the prospects of the life insurance and annuity sector than any other segment of the business, according to a poll at an industry conference on Wednesday.

Nearly 500 top executives from the global insurance and reinsurance business are attending a Standard & Poor's conference in New

York this week, focusing on earnings challenges for the industry.

A snap poll conducted at the outset of the conference found 44 percent of executives were most worried about life and annuities, a sector that has been under heavy pressure from persistently low interest rates. Low rates pressure the long-term returns life insurers need to sustain themselves.

Around a quarter said they were most concerned about the reinsurance business, which has faced unprecedented losses this year from the earthquake in Japan and tornadoes in the United States.

More than half of the attendees, 54 per cent in total, said the top focus for management teams needed to be their risk management strategy, much more so than other issues like retaining staff. -Reuters

US bank regulators issue stress test guidance WASHINGTON: US regulators are pushing large banks to develop plans for rigorously stress testing their own operations, with the hope that institutions can better spot their vulnerabilities than during the recent financial crisis.

The regulators proposed guidance on Thursday for how banks with more than $10 billion in assets should develop a framework to test the resilience of their capital and liquidity.

The proposal is just one component of a broader stress testing regime that includes banks' internal tests and regulator-administered tests.

The Federal Reserve, the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corp said Thursday's proposed guidance will match up with the other efforts.

"The recent financial crisis underscored the need for banking organizations to conduct stress tests to help prepare for events and circumstances that can threaten their financial condition and viability," the regulators said in a press release.

During the 2007-2009 financial crisis, the government was forced to extend substantial support to banks such as Citigroup Inc (C.N), while others such as Washington Mutual failed.

Banks should base the stress tests they perform on their operations on past events as well as hypothetical problems, the regulators said.

They should also look at how troubles in one part of a bank can adversely impact the overall organization.

Regulators emphasized that the tests should focus on whether a bank's capital levels and liquidity are enough to handle a financial shock.

The agencies are seeking comment on their proposal through July 29. -Reuters

LONDON: AXA Europe's second-largest insurer, will present the details on Wednesday of a new 2015 strategic plan to cut costs and defend margins as it aims to boost investor confidence in its future growth path.

The French insurer has already said it is targeting pretax savings of around 1.5 billion euros (1.29 billion pounds) from both its life and property and casualty businesses, with Wednesday's investor presentation seen providing detailed explanations.

AXA is also seen shedding more light on future profitability, cash flow and capital management as the sector braces itself for tougher regulation under planned risk capital rules for insurers known as Solvency II. Although the group's shares have rebounded in the year to date after a dismal 2010 performance, they trade at among the lowest price-to-book multi-

ples in the European insurance sector.

Some analysts have questioned whether AXA Chief Executive Henri de Castries is the right man for the job after 11 years at the top and a track record of growth by acquisitions.

De Castries told Reuters in an interview in April that the 2015 turnaround plan would help close the valuation gap and that he had already proved he could extract "significant operational efficiencies" from the group.

The CEO also talked up the insurer's deal to buy out its Asia-Pacific operations, promising "a lot of growth" to come.

Analysts' current consensus forecasts are for AXA to hit 5.01 billion euros in net profit for 2012 and 5.26 billion in 2015, according to Thomson Reuters I/B/E/S. AXA last year made 2.75 billion in net profit. -Reuters

Farzana presented a briefing regarding Life Insurance scheme

BISP playing role in fighting against poverty ISLAMABAD: Benazir Income Support Programme (BISP) is playing vital role in the fight against poverty and terrorism.

"Poverty and terrorism are interlinked with each other and the steps of BISP with regard to poverty eradication are also helping in fight against terrorism and extremist, Chairperson BISP, Farzana Raja, said this while talking to the Country Director World Bank, Racheed Bin Masud at BISP Secretariat.

Iftikhar Malik, Senior Social Protection Specialist World Bank and Secretary BISP were also present on the occasion.

Racheed Bin Masud appreciated the role of BISP in poverty alleviation and said, BISP and the World Bank are working together to achieve the desired objectives.

"BISP has now become a role model for the world community and its experience is source of learning in the social

sector for other developing countries," he said. He said that the cooperation between BISP and the World Bank will be continued and the President of the World Bank himself is a great supporter of the programme. Earlier, Farzana presented a briefing regarding various initiatives of BISP including Waseela-e-Haq, Waseela-eRozgar and Life Insurance scheme. She said that BISP had gathered valuable data as a result of poverty survey which would prove instrumental for informed policy making in future. She said that the government is trying to develop BISP into an institution having inbuilt self-corrective mechanism to ensure objectivity, transparency and sustainability of the institution. The prospects of cooperation regarding education related Conditional Cash Transfer and other areas of mutual interest also came under discussion during the meeting. -APP

German Banks Back Government Line On Greece: BDB FRANKFURT: Germany's banks association on Saturday backed government proposals to get private creditors involved in the cost of a second bailout for Athens, although it was not clear if they favored a controversial bond swap.

Berlin is pushing hard for the private sector to contribute to the cost of an estimated 120 billion euro ($172 billion) bailout but officials are struggling to find terms that will persuade the banks to take part without triggering a credit default.

The European Central Bank is strongly against a solution involving swapping existing bonds for new ones, proposed

by German Finance Minister Wolfgang Schaeuble this week.

Officials say the ECB believes that a swap could lead ratings agencies to declare Greece had defaulted and make the bonds unacceptable as collateral at the central bank, in turn leading to a collapse of the Greek banking sector.

Asked if the banks went along with a resolution by the German parliament urging private creditors to contribute, BdB Managing Director Michael Kemmer told a radio interview: "What Herr Schaeuble has proposed is in principle not unreasonable.

Our members would also participate."

Schaeuble urged parliament on Friday to back additional aid for Greece but said private creditor participation in a new package was "unavoidable" and that he favored a swap that would push out Greek debt maturities by seven years.

Kemmer reiterated that the participation of private creditors should only be on a voluntary basis and that a "disorderly" default for Greece must be avoided.

"In principle, it is correct that the investor who is holding the paper, which is filled with risks, has to attend to those risks too," he said.

"We cannot afford to have a further crisis of confidence.

On top of that it is not only the banks which are affected... A disorderly default could also affect life insurers and old age retirement payments," he added. -Reuters

Obama To Nominate Gruenberg To Head FDIC WASHINGTON: President Barack Obama plans to nominate Martin Gruenberg to be the next chairman of the Federal Deposit Insurance Corp, a top U.S. banking regulator, the White House said on Friday.

Gruenberg, a Democrat, joined the FDIC board in 2005 and is now the regulator's vice chairman.

He would replace Sheila Bair, whose term expires this summer. The post requires Senate confirmation, where many Obama picks have been held up by Republicans. "I am confident that his intellect and years of experience in financial services...will make him an outstanding chairman," said Democratic Senate Banking Committee Chairman Tim Johnson in a statement. Bair leaves the job on July 8 and the administration had been expected to tap Gruenberg as her replacement. In a statement on Friday, Bair said Gruenberg's "long tenure at the FDIC and significant expertise in financial services issues make him an outstanding selection for this position." Gruenberg is said to have a muted style that will be in marked contrast to Bair, who has led the

agency since 2006, navigating it through the financial crisis and the bailouts, calling out wellpaid bankers and clashing with other regulators.

Since the mid-1980s, Gruenberg has been grinding away on banking issues, first as a top aide to one-time Senate Banking Committee Chairman Paul Sarbanes, a Democrat.

Washington and Wall Street are waiting for Obama to name his pick to lead the consumer financial protection agency, which opens its doors on July 21. Democrats are pushing the administration to nominate Harvard law professor Elizabeth Warren for the job. The Obama administration is considering nominating former banker Raj Date as head of the bureau, a source familiar with the decision-making said on Wednesday. While Gruenberg's resume is rich with experience, his most desirable quality might be that he has a good chance of being confirmed -- a rarity in partisan Washington and a contrast to Warren, whose lack of congressional support has overshadowed her prospects to head Obama's new consumer watchdog. -Reuters

9

Monday, June 13, 2011

Vaughan calls for consistent use of UDRS LONDON: Former England skipper Michael Vaughan has said the Board for Cricket Control in India (BCCI) must show more willingness to try the controversial Umpire Decision Review System (UDRS).

The joint consent of the BCCI and the England and Wales Cricket Board (ECB) is required for the system to be used in the series.

"Either every Test series has the UDRS or none does. The Indian Board has too much power," a newspaper quoted Vaughan, as saying.

It is believed that Team India's scepticism, especially from batting maestro Sachin Tendulkar and captain M.S. Dhoni, has been a significant roadblock to the system's universal employment.

The UDRS may have its share of supporters in Australian captain Ricky Ponting, Sri Lankan spin legend Muttiah Muralidaran and former ICC umpire Rudi Koertzen, but Tendulkar has always given thumbs down to the system.

"I am not fully convinced with the referral system. When I was here (Colombo) last time I was not convinced with many decisions. I did not feel comfortable, it was an experiment which I felt," Tendulkar had said after scoring a double hundred in Colombo in July last year.

"I would rather go with the Hot Spot because that establishes the contact between the bat and the ball. That it is far better system according to me.

The Hot Spot is much better," he said.

Tendulkar's views were shared by Dhoni, who remains adamant that the review system should not be implemented unless it guarantees 100 percent accuracy.

"I personally feel it's not cent per cent thing. I don't think it gives cent percent result. It's not always correct.

If I am going to buy a life jacket which does not come with a warranty, that's a bit of a hassle for me especially with the huge amount of money you have to spend for the UDRS system coming into the game," Dhoni had said. -Online

NewZealand drops sanctions for Zimbabwe tour WELLINGTON: The New Zealand government has approved a tour by the Zimbabwe cricket team, saying Sunday it would waive travel sanctions on teams from the African nation.

Zimbabwe are scheduled to play in New Zealand next year for the first time in 11 years and Foreign Affairs Minister Murray McCully said the government would not block the tour.

Sanctions were imposed on Zimbabwe several years ago to express opposition to alleged human rights abuses by the government of Robert Mugabe.

McCully said visas would be granted to the cricketers and management conditional on the situation in Zimbabwe "not deteriorating in a significant way."

A proposed tour of New Zealand by Zimbabwe in 2005 was cancelled when the government refused to grant the players visas. -APP

Couldn’t maintain pressure on India: Russell ANTIGUA: It was the biggest knock of his nascent international career but far from celebrating, young West Indies pacer Andre Russell was a disappointed man as his hurricane 92 failed to fetch his side a win in the third one-dayer against India here.

Russell got a Man of the Match award in only his sixth one-day international but rued the missed opportunities in Saturday's three-wicket loss which gave India an unassailable 3-0 lead in the five-match series.

"We couldn`t keep pressure on Harbhajan Singh. You needed to bowl him in areas to keep him under pressure.

Unfortunately we couldn`t do so," remarked Russell after Harbhajan (41) and Rohit Sharma (86 not out) forged a match-winning stand of 88

runs for the seventh wicket.

But much before that, the 23year-old Russell, who has the potential to be a bowling allrounder for West Indies, had done magnificent job to lift his side from 96 for seven to 225 for eight with an unbeaten 92 off a mere 65 balls.

His blazing knock comprised eight fours and five sixes, one of which cleared the huge ground completely.

"One more over and it could have been 100. I am always in a positive frame of mind. I knew if we get set, we could build a stand," he said.

Russell and Carlton Baugh (36) put on 78 runs for the eighth wicket for West Indies after they were reduced to 96 for 7. "This knock is very important as it came against a top side like India. I got my opportunity and grabbed it,"

Sharjah advance in Bacha Khan Memorial Cricket PESHAWAR: Sharjah Sports Peshawar defeated Hasan Khel Youngsters Charsadda by 218 runs in the ongoing 18th Bacha Khan Memorial Gold Cup Cricket Tournament being played at Charsadda Sports Complex ground on Sunday.

Sharjah Sports skipper Salman won the toss and decided to bat first by setting up a huge total of 272 runs for the loss of five wickets after playing 25 overs.

Salman played a skipper knock by scoring 91 runs with 11 boundaries and one six as opener while Haroon smashed another brilliant knock of 73 runs with seven boundaries and two sixes, Saqib (36) with three boundaries and Mehmood not out 19 runs were the other leading runs contributors.

For Hasan Khel, the two spinners Faisal Khan and Aslam Khan claimed two wickets each for 26 runs and 36 runs respectively.

In reply, Hasan Khel failed to click and bundled out for just 54 runs after playing only 13 overs. Wadat Khan was the only high runs taker who scored 13 runs, none of the other batsmen could stand in front of furious bowling by Sharjah Sports bowlers as six of the Hansan Khel batsmen fell without any score.

For Sharjah Sports Imran took five wickets for five runs only in his four overs spell, Suwanmad got three wickets for just seven runs in and Haroon and Nawab took one wicket each. Wahab and Shakeel supervised the match while Abid acted as official scorer. -APP

BIRMINGHAM: Belarus Olga Govortsova returns to Italy's Sara Errani and Italy's Roberta Vinci during the doubles final at the WTA tennis tournament at Edgbaston Priory Club.

said Russell who wasn`t picked in the eleven for first two oneday internationals.

"I got a lot of time to settle myself in. I stuck to the task. As always, I was positive," added Russell, who once hit 108 off 65 balls against Ireland, playing for a Jamaica side.

Russell termed it a good toss to win as the wicket became easier to bat later on in the day.

"A total of 250-280 would have made things difficult for them. We needed 30 more runs," he said.

Russell once represented Jamaica in under-17 football as a goalkeeper.

He has also been a good 100m sprinter. He was picked out of blue by West Indian coach Ottis Gibson, who was very impressed by his domination of club cricket in Jamaica. -Online

‘India can dominate world cricket for next 5-10 years’ ANTIGUA: Impressed with the young side that has dominated West Indies in the ongoing ODI series, India`s new coach Duncan Fletcher declared that given the talent, his wards can dominate world cricket for the next 5-10 years.

"It is due to the amount of talent India have. Indian cricket is in a very, very healthy state presently," stated Fletcher after India beat the hosts by three wickets on Saturday to claim an unassailable 3-0 lead in the five-match ODI series.

"I know five years in international cricket is a long time but unless some international teams suddenly come up, I don`t see (India losing its grip)," added the Zimbabwean.

Much of Fletcher`s profuse praise, and that of skipper Suresh Raina, was reserved for India`s man of the moment Rohit Sharma, who played an unbeaten knock of 86 to haul India out of the woods.

"It was a great innings. It speaks of the tremendous quality India has that a batsman like him is out of the Test side. He has shown that he can finish off an innings. Not many batsmen can do it," remarked Fletcher.

"He can probably play for most international Test sides.

He is not getting his opportunity because the present side is so very good. I look forward to working with him. I can`t tell the areas on which I would work with him since it`s a confidentiality between a player and me.

"I like to have one-to-one interaction with young cricketers. At the moment I am observing and trying to gain their respect," Fletcher added.

Rohit seems to reserve his very best under Raina`s captaincy as he had also hit two hundreds in the latter`s first stint at the helm in Zimbabwe last year.

"He is more disciplined now.

He knows when to defend or attack. It has helped him that he has spent some quality time with Sachin for Mumbai Indians. He is now a very com-

HALLE: Philipp Kohlschreiber of Germany kisses the winner's trophy after beating his compatriot Philipp Petzschner in the final match of the Halle Open.-Reuters

Anderson gets England recall for Lanka finale LONDON: James Anderson is set for an England return after being named Sunday in a 12-man squad for the third and final Test against Sri Lanka at the Rose Bowl starting on Thursday, June 16.

However, England's premier strike bowler -- who missed the drawn second Test at Lord's with a side strain -must first prove his fitness playing for Lancashire in a Twenty20 match against Worcestershire later Sunday.

Anderson replaces the uncapped Jade Dernbach, who was drafted into the squad in his absence.

"Jimmy Anderson is the leader of our bowling attack so clearly he will be a signifi-

cant inclusion should he get through Lancashire's Friends Life Twenty20 match against Worcestershire unscathed," said Geoff Miller, England's national selector, after announcing the squad on Sunday. "Side strains can be particularly troublesome for bowlers but given Jimmy's injury was a grade one strain and therefore a low grade injury, he is expected to be fit for selection," the former England off-spinner added.

"A period of rest and recovery has certainly been beneficial and we obviously wouldn't include Jimmy in the squad if the medical staff weren't confident of his fitness."

England's four-man attack struggled for accuracy without

Anderson at Lord's.

Either Steven Finn, who took the swing specialist's place in England's XI at Lord's, or the under-performing Stuart Broad would appear to be in line to make way if Anderson plays in what will be the first Test ever staged at the home ground of southern county Hampshire.

England lead this threematch series 1-0 after an innings and 14-run win in the first Test in Cardiff.

England squad: Andrew Strauss (capt), Alastair Cook, Jonathan Trott, Kevin Pietersen, Ian Bell, Eoin Morgan, Matt Prior (wkt), Stuart Broad, Graeme Swann, Chris Tremlett, James Anderson, Steven Finn. -APP

FRANCE: (L-R) Audi R18 TDI number 2 driver Benoit Treluyer of France, Andre Lotterer of Germany, Benoit Treluyer of France, and Marcel Fassler of Switzerland celebrate after winning the Le Mans 24-hour sportscar race in Le Mans, central France.-Reuters

10

International

Monday, June 13, 2011

CIVIL WAR FEARS GROW IN SYRIA * Some protesters have taken up arms against government * Sectarian conflict feared among mixed population * Battle of wills risks war at heart of Middle East ears that Syria may slide into civil war are growing after a week when the government said over 120 servicemen were killed at a town near the Turkish border.

As it sent tanks on Friday into Jisr al-Shughour, a mainly Sunni Muslim town whose 50,000 inhabitants had mostly fled, the cause of last weekend's bloodshed was still in dispute -- state media blamed unidentified gunmen but democracy activists said troops mutinied after refusing to fire on unarmed demonstrators.

Whatever the truth, the killings suggest either cracks within President Bashar alAssad's security forces or the beginnings of an armed revolt -- or some combination of the two.

Either way, the scale of the killing in an area prone to tension between Syria's Sunni majority and Assad's Alawite sect points to a bloodier turn of events after three months of unrest against 41 years of Alawite-dominated Assad family rule.

That in turn would rock the entire Middle East, where Syria, Iran's main Arab ally, sits at the heart of numerous conflicts.

"The country is sliding

F

towards civil war. It is a step towards civil war," said Syria expert Joshua Landis, associate professor of Middle East studies at Oklahoma University.

He noted that the poor area around Jisr al-Shughour, lying at the foot of the "Alawite Mountain", the heartland of the dominant minority sect, was home to conservative Sunni Muslims.

Many Syrians who joined the Sunni Islamist insurgency in Iraq against U.S. forces came from that region, he added.

"It's got a history of antigovernment agitations," Landis said. "The Islamic currents are very strong there."

WILL IT SPREAD? In 1980, the late Hafez alAssad, who preceded his son as president, crushed a Sunni revolt in Jisr al-Shughour, which lies on a strategically important road between Syria's second city Aleppo and the main Mediterranean port of Latakia.

Two years later, Assad's forces put down an armed uprising in Hama by the Sunni Islamist Muslim Brotherhood, killing many thousands and razing the old town -- an event which still resonates for Syrians considering challenging their rulers.

Those who have taken a lead in demonstrating for reforms, inspired by the Tunisian and Egyptian protests which launched the Arab Spring, stress their insistence on nonviolent action.

Few are willing to speak publicly about taking up arms.

And some dismiss talk of sectarian and ethnic violence as scaremongering by Assad loyalists intent on keeping power.

However, in conversations this week with a number of Syrian activists, several said they believed some of Assad's opponents were already using weapons, including arms smuggled from abroad.

"Some people have taken up arms against the security forces in Jisr al-Shughour. We know that," said one activist who, like many, would speak on the subject only on condition of anonymity.

"The question is: Is this limited? Or is it going to spread to other cities?"

After years of repression, it is hard to establish the strength in Syria of organised movements like the Muslim Brotherhood, let alone of of other anti-government groups.

As in several other towns, residents in Jisr al-Shughour have accused Alawite militiamen, known as shabiha and fiercely loyal to the Assads, of

helping the security forces.

Two activists said armed Sunni men, as well as shabiha groups, had set up rival sets of checkpoints on roads -- an echo of the kind of sectarian tension familiar from neighbouring Lebanon and Iraq.

Guns are widely available across Syria.

"People have taken arms," Landis at Oklahoma University said. "Things are about to get a lot worse than we thought."

FIGHTING BACK Louay Hussein, an activist in Damascus, said he did not know of Sunnis taking up arms in the northwest of the country. But he told Reuters from the capital: "We have warned the authorities from the beginning that the excessive use of violence will, in the end, allow armed groups to use violence against them."

Assad has responded to protests, which began in the southern Sunni town of Deraa, by offering discussions on reform but also by sending in security forces to detain and kill demonstrators.

The government insists it is willing to listen but rejects Western pressure for radical changes. It points out Syria has a potentially volatile mix of ethnic and religious com-

munities, including Christians and Kurds, as well as Sunnis and Alawites.

"Syria is a mosaic," Syrian government spokeswoman Reem Haddad told Al Jazeera this week.

"It is made of many different sects living together."

Many in the Christian and Alawite minorities say they support reforms, but fear that calls for the overthrow of Assad could fragment the country of 20 million and hand it over to hardline Sunni Islamists who would persecute other religions.

Assad's initial response to the protests has included steps toward reforms, including granting citizenship to some ethnic Kurds, lifting a draconian state of emergency, freeing hundreds of prisoners and calling for a national dialogue.

Protests, triggered by anger and frustration at corruption, poverty and lack of freedoms, have been mainly peaceful, though rights groups say the death toll among protesters is over 1,100.

At least 200 security personnel have also been killed, the government says. Activists say that at least some of the dead soldiers were killed for disobeying orders to stop protests.

Syria has expelled Reuters correspondents and barred most foreign media, preventing independent reporting from Syria.

BOTH SIDES DETERMINED Fayez Sara, an opposition figure who was detained earlier in the uprising, said he still has hopes that a political solution might save the country from descending into chaos.

"We should try till the last minute because otherwise the price tag will be high," he told Reuters from Damascus.

"When we say the time has ran out for a political solution, this means we are opening the country to civil war."

Western powers and their Arab allies have voiced concern but show no appetite for Libya-style intervention in Syria. The gravity of the situation particularly alarms some across the border in Lebanon, where officials with ties to Syria privately express concern that some areas may be headed for chaos.

A Lebanese analyst, who is close to some opposition figures in Syria, said: "We have been warning our Syrian brothers but they do not want to listen. They think the civil war in Lebanon and in Iraq

will not reach them. They are wrong."

The possibility of splits in the armed forces, where the top command ranks and elite units are largely Alawite while the mass of conscripts are Sunni, is also a concern.

A Damascus based analyst, echoing many observers abroad, said Assad and his Alawite allies appeared bent on hanging to power at all costs: "The regime has essentially vowed to break the country over the people's heads," the analyst said.

"It will push the country over the cliff unless Syrian society resists its divisive tactics. So the fate of Syria lies not in the hands of the regime, but in that of the people".

An activist who took part in an opposition conference in Turkey last week said he believed that widespread violence was a risk many were willing to take, however, to be rid of Assad.

"Even if there is ... a civil war or anything like that, people are determined to go all the way, to the end, regardless of the cost," he said.

"We want him out and we want to be free of this regime.

"The regime is pushing the country towards civil war and we are heading that way it seems." -Reuters

Isolated In Greece Debate, Trichet May U-Turn Again * ECB opposing almost any form of Greek debt restructuring * Trichet may want to shape fiscal reform of euro zone * But ECB made U-turn over bond buying last year

J

ust over a year ago, European Central Bank President Jean-Claude Trichet was asked whether the bank would consider buying euro zone governments' bonds in the open market to help tackle the bloc's debt crisis.

"I would say we did not discuss this option," he told a news conference after an ECB Governing Council meeting in Lisbon. Other ECB officials had publicly denounced the idea as violating the principles of strict monetary management.

Four days later, the ECB said it would start buying bonds, making a U-turn as part of an emergency package put together with euro zone leaders. The controversial step ultimately led to German central bank chief Axel Weber quitting his post.

Fast-forward to the present day, and the ECB is again under pressure to compromise on its principles and steadfastly refusing to do so. It opposes any scenario that would force private sector bond investors to share the burden of bailing out Greece by restructuring its debt.

The ECB has even threatened to use its so-called "nuclear option": refusing to accept restructured Greek bonds as collateral in its lending operations, a scenario that would cut off funding to much of Greece's financial sector.

But past form and the weight of pressure which the ECB faces from euro zone governments suggest it may yet make another U-turn, or at least soften its position to permit some form of debt restructuring to go ahead.

SCHAEUBLE Though he denies any quar-

rel, Trichet is clearly at odds with German Finance Minister Wolfgang Schaeuble, who has demanded a "quantified and substantial" contribution from bond holders as part of any new aid package for Greece.

Schaeuble, facing domestic pressure to involve the private sector in the package, has suggested a bond swap that would effectively extend the maturities of Greek debt by seven years.

The major credit rating agencies have said they would probably classify any debt rollover as a default because even if it were presented as voluntary, there would be an element of coercion: investors would be taking part because they feared the consequences of not doing so.

Trichet took a hard line on the issue of default on Thursday, telling a news conference after the ECB's latest policy meeting: "We would say it is an enormous mistake to embark in decisions that would trigger a credit event."

He added, "We exclude all concepts which would not be purely voluntary. We call for avoiding any credit event and selective default. And of course default."

OPPOSITION The ECB argues that any form of default could spook financial markets and trigger another Lehman-type crisis in the euro zone, pushing up bond yields for countries such as Spain.

Also, the ECB has bought about 45 billion euros of Greek government bonds; if a default forced it to take losses on that debt, it might have to ask governments for fresh capital and a dangerous prece-

dent would have beem set for central bank involvement in debt crises.

David Marsh, author of 'The Euro: The Politics of the New Global Currency', believes Trichet -- whose term as ECB president will expire at the end of October -- is focused on the fate of the broader euro zone.

"I'm convinced the ECB and the central banks behind it are not just talking their own book because they are worried about their balance sheet.

There is a systemic issue here that a voluntary restructuring is very difficult to achieve without driving not just Greece but other countries into a wider default," he said.

David Mackie, analyst at JPMorgan, said he believed Trichet wanted to avoid the use of debt restructurings to resolve euro zone crises because he hoped the bloc would instead assert control over the fiscal policies of crisis-hit states.

In a speech last week, Trichet delivered his vision of a euro zone run along those lines, suggesting the bloc might eventually establish a central finance ministry.

"If the ECB is successful in its attempt to prevent any kind of debt restructuring in the near term, the region will indeed move down the path towards the destination that Trichet wants it to go to," Mackie said.

But many euro zone governments, led by Germany, have different priorities. They face popular discontent with the mounting cost of the euro zone crisis, and Berlin feels it must involve the private sector in sharing the burden -primarily the banks which

many people blame for starting the global credit crisis that fuelled the euro zone's debt problems.

Clemens Fuest, a professor at Oxford University and a member of the academic advisory board of the German Federal Ministry of Finance, said the ECB must be ready to compromise on its insistence that any sovereign debt restructuring be voluntary and non-binding on private sector creditors.

"The compromise cannot be that there is a shifting of all the burden of the debt to the taxpayer," Fuest told Reuters Insider television in an interview.

"The language is stark at the moment, but if we look back the ECB has bought government bonds during this crisis to fight the crisis, so it is already a party in the crisis and it has deviated from the very strict and clear rules for normal situations," Fuest said.

"I think these rules are fine for normal situations but in the crisis we have to find something, to find solutions so I think in the end the ECB will be ready to compromise."

Such a compromise, some European officials suggest, might take the form of a less dramatic debt rollover than the bond swap envisaged by Schaeuble -- perhaps a commitment by private investors to buy new Greek bonds when existing ones mature.

The rating agencies would probably still declare a default, but it might be a limited or "selective" default that was brief in duration, had a modest impact on markets and did not force the ECB to take losses on its holdings.

Rejecting this option and carrying out its threat to cut Greek banks off from funding, throwing the euro zone's banking system into chaos, might be politically impossible for the ECB. -Reuters

11

International & Continuations

Monday, June 13, 2011

First photos of Giffords released since shooting HOUSTON: Images of a smiling Rep. Gabrielle Giffords were posted early Sunday on her Facebook page, two photos that show her with shorter hair but few other signs of the gunshot wound to the head that she suffered five months ago.

The photos were taken May 17 outside TIRR Memorial Hermann in Houston, the rehabilitation facility where Giffords has undergone inten-

sive rehabilitation since late January, weeks after the shooting at a meet-and-greet with constituents in Tucson, Ariz.

Six people died and a dozen others were wounded in the Jan. 8 attack.

Media and the public's access to the Arizona congresswoman have been tightly controlled while she recovers and, until Sunday, no clear images of her had been released. In late April, grainy television footage showed her slowly ascending a flight of steps to a NASA plane

that took her to Florida to watch her astronaut husband rocket into space. The image was so blurry that it was impossible to confirm it was Giffords until doctors did so at a news conference in mid-May. The professionally shot pictures released Sunday were taken before Giffords underwent surgery to replace a piece of her skull removed shortly after the shooting to allow her

brain to swell. They appear to indicate the congresswoman is physically returning to her former self - though her appearance, including darker hair color, is slightly different than from before the shooting.

The photos also give little indication of Giffords' cognitive progress - what, for example, her speech is like after being shot in the left side of the head that controls communication. The images also provide no hints as to when, or if, she will be able to resume her job

in Congress.

Pia Carusone, her chief of staff, has indicated that while Giffords is able to speak and walk, she remains a shadow of her former self.

Of the two pictures, one is more clearly posed, of a smiling Giffords looking directly at the camera; the left side of her head appears slightly distorted and swollen, though it is not clear that is from a gunshot wound. A second photo shows Giffords in a more casual light - smiling while sitting alongside her mother, Gloria Giffords, with the hospital's greenery evident behind them.

The pictures, taken by Tucson photographer P.K. Weis, were posted on Facebook amid the possibility that Giffords could be released from the hospital in the coming weeks. Carusone told the Associated Press late Saturday that doctors and family are considering "many factors" while making the critical nextstep decision to release Giffords from the hospital. She did not elaborate.

"We're looking at before the end of the month. We're looking at early July," Carusone said. "We don't have a date."

In an interview published Thursday in the Arizona Republic, Carusone said Giffords can express her basic wants and needs, but has difficulty stringing together sentences to verbalize more complex thoughts and feelings.

Giffords, she said, relies on hand gestures and facial expressions. -Reuters

MISRATA: Libyan rebel fighters carry their commander to celebrate after believing they pushed back forces loyal to Libyan leader Muammar Gaddafi, at the Misrata southern front line.-Reuters

Turkey's Election

Counts points to Erdogan win ISTANBUL: Initial results showed Turkey's ruling AK Party was on course for a solid victory in Sunday's parliamentary election to give Prime Minister Tayyip Erdogan a third term, news channels said.

With 50 percent of the votes counted, Erdogan's AK had 53 percent and was set to win four more years of single-party rule in the nation that straddles Europe, the Middle East and Asia. The count showed the opposition Republican People's Party (CHP) CHP holding 23 percent of the vote, and the third largest party, the far-right Nationalist Movement Party

(MHP) with 13.3 percent, broadcaster Haberturk said.

However, the votes counted so far have come mainly from the eastern part of the country where the main opposition CHP is weak.

A Muslim democracy and candidate for the European Union, Turkey has become an economic powerhouse and influential player on the global stage since Erdogan's AK Party swept to power in 2002.

In the 2007 election the AK, a socially conservative party, took 46.5 percent of the vote.

Television projected the party would win 331 seats again this

time, giving Erdogan the majority needed in parliament to call a referendum on a promised new constitution.

There is speculation that Erdogan will seek to move to Turkey towards a more presidential system of government, with an ultimate aim of becoming president himself.

There were no significant reports of trouble, even in the restive Kurdish region.

Casting his vote at a primary school being used as a polling station on the Asian side of the Bosphorus straits in Istanbul, Erdogan said the election was the time for the people to speak.

"I hope that the elections will contribute to strengthening of peace, rights and freedoms," he told the television cameras, as his headscarved wife and daughter stood nearby.

Erdogan's support has been built on his success in creating a booming economy and in ending decades of chaotic coalitions, military coups and failed international financial bailouts.

The only doubt hanging over Sunday's vote was about the margin of Erdogan's victory, given his desire to replace a constitution that was written in 1982, two years after a military coup. -Reuters

CONTINUATIONS No #1

Continued from page 1

reqest comes our way," spokesman Bilal Farooq said.

Chief Justice Iftikhar Mohammad Chaudhry on Friday directed the government to remove from their posts Major General Aijaz Chaudhry, head of the paramilitary in Sindh province, and Sindh police chief Fayyaz Leghari.

The victim's brother Salik Shah, a local TV reporter, said the family wanted to see everyone involved face justice.

The incident mirrored the killings last month in the southwestern Baluchistan province of five unarmed Chechens, one of them a pregnant woman, that are also under investigation.

Members of local print and electronic media and civil society held a demonstration in front of Karachi press club on Saturday and hanged an effigy in Rangers uniform, an AFP reporter at the scene said.

"We want justice. Hang the killers. We want security and not bullets," they shouted.

"The incidents like the one we witnessed three days ago in Karachi creates a sense of insecurity among the people," leading jurist and former Supreme Court judge Fakhruddin Ebrahim said in his brief address to the 80 or so protestors.

He said state institutions should refrain from indulging in acts of violence.

"Pakistan is passing through very difficult times and the situation will worsen to a great extent if the government fails to provide security and safety to the people," he said. -Agencies

No #2

Continued from page 1

this section, the term "business bank account" shall mean a bank account utilised by the registered person for business transactions, declared to the Commissioner in whose jurisdiction he is registered.

No #3

Continued from page 1

in the recent budget which has annoyed many should be tackled on war footings, he demanded.

The Supreme Court should probe that why the companies failed to keep stocks of 20 days which is mandatory and that the shortage was deliberate or natural, he demanded.

Additionally it must be investigated that why platformers of three refineries stopped working simultaneously, why there were no alternate arrangements in place and why efforts to fill the supply gap proved counterproductive and who has allowed filling stations to fleece the people. - Online

No #4

Continued from page 1

Enquiring and enthusiastic, he did in-depth reporting in Pakistan and Afghanistan, where he interviewed various jihadist commanders, as well as in Iraq, Lebanon and Jordan, Iran, Syria and the United Arab Emirates.

He was kidnapped by Taliban militants in Afghanistan's Helmand province on November 26, 2006 together with another Pakistani journalist, held for a week and subjected to a mock trial before being released near the Pakistan border.

He leaves a widow and three children aged 7, 10 and 13.

Shahzad's widow Anita will collect the award. The award ceremony will be held in Ischia, Italy, on Friday 8th and Saturday 9th of July.

"Through his articles published by AKI, and his in-depth reports and stories for the various dailies he worked for, Syed Saleem Shahzad managed to bring to an Italian audience the complex reality of that region of the world of which he was an acute and intrepid observer. He paid with his life for his desire to tell the truth at all costs."

"An expert in international terrorism, Shahzad with his illuminating analyses of international terrorism, and the social and cultural reality so different from our own, he embodied a passionate and courageous model for journalism which viewed the profession as the supreme mission for peace and culture," the Ischia Prize Foundation's message said.-Agencies

No #5

Continued from page 1

convert any of the four breakpoints, three in the opening set, and also dropped their serve in the second set but held their nerves in the Super Tie break to clinch the issue. -Agencies

No #6

Continued from page 12

Taliban fighters used machine guns and mortars against the combined force in a mountainous region of Qadis district, Najibi said. Four Afghan soldiers died in the attack, and two others were wounded.

U.S. President Barack Obama wants to start withdrawing American troops in July if conditions allow. NATO forces plan to leave the country by the end of 2014.

A plan to gradually transition control of seven parts of the country to Afghan control will begin next month, Karzai's office said in a statement. The country's National Security Council met Sunday and received word that transition process "will be finalized in the coming three weeks," a statement said.

Ashraf Ghani, the man in charge of drafting the transition plan, also told the council that after that period "the process will be officially started."

The first phase of transition will start in the provincial capitals of Lashkar Gah in southern Afghanistan, Herat in the west, Mazer-e-Sharif in the north and Mehterlam in the east. In addition, Afghan police and soldiers will take charge in all of Bamiyan and Panjshir provinces, which have seen little to no fighting, and all of Kabul province except for the restive Surobi district.

Afghan security forces already have assumed the responsibility for security in the greater Kabul area, which is home to about 5 million people - about one-fifth to one-quarter of the nation's population.

Also Sunday, a bomb exploded next to a boy's school in the eastern province of Paktya, killing two teenagers and wounding 10 others. It was unclear if the bomb was freshly planted or if it was unexploded ordinance dating back to one of Afghanistan's past conflicts, said district police chief Gulab Shah.

May was the deadliest month for civilians since 2007, when the United Nations began keeping detailed records on casualties, the world body said Saturday. The U.N. said insurgents were responsible for 82 percent of the 368 civilians killed last month, with homemade bombs the leading cause of death.

The international alliance and Afghan security forces were to blame for 12 percent of the deaths while it was not clear who was responsible for the remainder, according to the report. It also said 593 civilians were wounded last month. -Reuters

No #7

Continued from page 12

to the teeth. They are lying. They are punishing us for wanting freedom."

Residents said the army unit was commanded by Assad's brother Maher and was copying the tactics used in other centers to crush protesters demanding an end to Assad's autocratic rule.

There had been large demonstrations in the town, which lies between Syria's second city Aleppo and the port of Latakia.

The government said last week that "armed gangs" had killed more than 120 security personnel there. Refugees and rights groups said the deaths were of mutinous soldiers, shot for refusing to fire on civilians.

"When the massacre happened in Jisr al-Shughour the army split, or they started fighting each other and blamed it on us," a woman refugee, who refused to give her name, told Turkish news channel NTV. The United States accused the Syrian government of creating a "humanitarian crisis" and called on it to halt its offensive and allow immediate access by the International Committee for the Red Cross to help refugees, detainees and the wounded. - Agencies

No #8

Continued from page 12

The capital, however, is all but paralysed by shortages of fuel and electricity and violence in a southern province -- whose capital Islamist gunmen seized last month -- has worsened.

Yemen's army killed 21 al Qaeda members in the southern province of Abyan on Saturday, 18 of them in Zinjibar, the provincial capital that fell. Ten soldiers were killed in fighting there and another city, Lawdar, state media said.

Opposition parties have said they will form their own transitional assembly in a week if Saleh does not cede power. It is not clear whether those parties have any significant influence over many of the protesters.

Saleh has three times backed out of plans crafted by oil-rich Gulf neighbours to quit after a transitional period. Thousands of people have already fled the clashes between the army and al Qaeda in Abyan. Saleh's opponents have accused him of handing over Zinjibar to Islamists to reinforce his threat that the end of his three-decade rule, as demanded by protesters, would amount to ceding the region to al Qaeda.

Saleh has not been seen in public since the palace attack, which left him with burns and shrapnel wounds. Yemen's Ambassador in London said on Saturday that he was recovering and in "stable condition".

Saudi medical sources and Yemeni officials said the Prime Minister Ali Mohammed Mujawar and another cabinet member injured in the palace attack had been taken for more surgery, and described their condition as "serious". - Agencies

No #9

Continued from page 12

There was "an incident of intrusion into our IT system," IMF spokesman David Hawley said Saturday. "We are investigating, and the fund is fully functional."

The hack was "recently detected," Hawley said, but he would not discuss when the intrusion occurred, how long it lasted, or the nature or amount of data that might have been compromised.

IMF employees were told of the potentially serious "phishing" attack. Staff members were given "the usual reminders" about computer security, Hawley said.

An intranet that links the IMF with the nearby World Bank was temporarily disconnected, according to a bank official who said the step was taken "out of an abundance of caution," and that the link included only "nonpublic, non-sensitive" information that allowed the two agencies to continue coordinating their work.

Computer security experts say the brazen acts of economic espionage highlight the difficulty of protecting networks at sensitive organisations such as the IMF despite heightened efforts to defend against the theft of information.

No #10

Continued from page 12

The first blast occurred in a small restaurant at the back of the offices of The News and Geo TV channel in the densely-populated neighbourhood. When people, many of them journalists, gathered at the site for coverage and rescue, another bomb went off.

Policemen were also among the victims, said the Peshawar police chief, Liaquat Ali Khan, who added the head of the suicide bomber had been recovered. The assailant appeared to be about 17 years old, he added.

An official with the police rescue team, Fayyaz Yousafzai, said they had taken 40 dead bodies and 100 wounded people to city hospitals. Five journalists were among the victims. Some of the wounded were in critical condition, said a doctor at the Lady Reading Hospital (LRH).

Because of the hot weather in daytime, many people went shopping late at night, which accounted for the high casualty rate, said the head of the traders' union, Haji Sakhawat Gul. - NNI

No #11

Continued from page 12

Mongolia received observer status in 2001 while Pakistan, India and Iran became observers in 2002 while Belarus and Sri Lanka were granted dialogue partner status in 2009. - NNI

No #12

Continued from page 12

ADCB had hired Goldman Sachs and BOA-Merrill Lynch as advisors on the transaction to sell its position in Malaysia's fifth-largest bank with a $7.3 billion market value. -Agencies

No #13

Continued from page 12

weapons of mass destruction.

A number of foreign envoys residing in Tehran and experts from 40 world countries are taking part in the ongoing event. Representatives from several international bodies including the United Nations, the Organization of the Islamic Conference (OIC), and the International Atomic Energy Agency (IAEA) are also present in the conference. - NNI

No #14

Continued from page 12

That issue will come under its existing $4 billion note program which was launched in 2008.

Appetite for Dubai debt has been rising in recent months, with the emirate seen as a safe haven amid the political instability engulfing the wider region.

The emirate has no current plans to implement corporate or income taxes, the prospectus said.

Earlier this year, Dubai's ruler approved a 2011 government budget with a deficit of 3.78 billion dirhams ($1 billion), or 1.3 per cent of economic output in 2009, the latest year for which full GDP data is available.

www.asharys.net

For Subscription

Manager Circulation Ahmad Omer

1.Classic News Agency Abdul Mutalib Ph: 0333 -230 07 66 2. E-mail at subscribe@thefinancialdaily.com, 3.SMS us at 0322-260 2 838 4. Contact Phone: 35 31 18 93 - 6

Italian Kitchens Karachi

Lahore

tel: 92(21)5860794-5

tel: 92(42)5694061-2

12

RIAZ NEWS AGENCY Cell # 0333-5373137

Monday, June 13, 2011

SHAKIL NEWS AGENCY Cell # 0333-4400472

CM Punjab seeks Ulema's role in Pakistan's solidarity

Shahbaz calls for unity against terror QUETTA: Residents carry the casket of a Chechen, killed by security forces last month, to a burial site in Quetta.-Reuters

Kabul says Isb to target insurgents KABUL: Pakistan has agreed to target the hide-outs of Taliban fighters and other insurgents who attack neighboring Afghanistan and refuse to take part in faltering peace talks, Afghan officials said Sunday.

Many of the Taliban's key leaders are thought to be hiding in Pakistan, and the threat of military strikes could be used to pressure fighters to negotiate.

Still, how strong Pakistan will go after the Taliban remains in question, and there was no immediate confirmation of the agreement from the Pakistani government.

Taliban fighters and other groups have long used Pakistan's tribal areas to launch attacks on NATO troops in neighboring Afghanistan, a point of contention between the two nations.

"The message is that people who want to take part in the peace process should have the

way cleared for them," said Mohammad Masoom Stanekzai, secretary of a peace council set up by Afghanistan's president. "To those that think war is the only means to reach their goals, there should not be a hide-out for them to continue their war."

Stanekzai and other Afghan officials spoke to journalists Sunday after Afghan President Hamid Karzai returned from a visit to Pakistan's capital. CIA Director Leon Panetta also spoke separately with senior Pakistani officials about intelligence sharing and efforts to reconcile with the Taliban.

A four-page statement signed

by Pakistani and Afghan officials dated Saturday gave no details about the proposed strikes, though Pakistani Prime Minister Yousuf Raza Gilani has promised to help with the peace process in any way that Afghanistan sees fit.

Karzai spokesman Waheed

Omar said that Pakistan's government has "influence" over some Taliban that could be used to draw them into the so-far faltering peace negotiations. So far, there have been no substantive talks with any insurgent groups.

The push for peace talks come as fighting in Afghanistan intensifies, with the Taliban and other groups increasingly using roadside bombs and suicide attacks against civilians. May was the deadliest month for civilians since 2007, when the United Nations began keeping detailed records on casualties, the world body said Saturday.

On Saturday, a NATOAfghan force launched an assault against Taliban fighters in the western province of Badghis, killing 32 insurgents, including three senior commanders, said Najibullah Najibi, a spokesman for the local corps commander.

See # 6 Page 11

Syrians flee amid forces attack on town AMMAN: Syrian tanks and helicopters stormed the town of Jisr al-Shughour on Sunday, residents said, and state television reported heavy clashes between army troops and gunmen opposed to President Bashar al-Assad.

A senior Turkish diplomat said 4,300 Syrian refugees had crossed the border and were being cared for in hospitals and camps, but a western diplomat said the number was higher and witnesses said some 10,000 were sheltering near the border.

The assault on Jisr alShughour, astride a strategic road in northwest Syria, is the latest action by the armed forces to crush demands for political freedom and an end to oppression that pose an unprecedented challenge to Assad's 11-year rule.

Residents said earlier that most civilians had fled the town

towards the Turkish border about 20 km away and tanks and helicopters were shelling and machine-gunning the town.

"Heavy confrontations are raging between army units and members of armed organisations taking up positions in the surroundings of Jisr alShughour and inside it," state television said.

Army units defused bombs and explosive charges planted by gunmen on bridges and roads into the town, it said.

"Two members of the armed organisations were killed, large numbers of them arrested, and lethal weapons in their possession were seized."

Damascus has banned most foreign correspondents from the country, making it difficult to verify accounts of events.

The state news agency said that after entering the town, army units "cleansed the national

hospital of armed elements."

A senior western diplomat in Damascus told a foreign news agency: "The official version is improbable. Most people had left Jisr al-Shughour after seeing the regime's scorched earth policy, shelling and the heavy use of armour in the valley."

"The refugee exodus into Turkey is continuing and the numbers are higher than those officially counted so far," he added.

Asked if there were clashes in the town Mustapha, a 39-yearold mason who fled early on Sunday, said, "what clashes?

The army is shelling the town from tanks. Everyone has been fleeing. Even if we did have guns, what are they going to do in front of artillery? Syria is a tightly controlled dictatorship and all of a sudden the regime says Jisr al-Shughour is armed See # 7Page 11

Mayhem persists as Yemen talks halt SANAA: Further talks to resolve Yemen's political crisis have failed after the deputy of wounded President Ali Abdullah Saleh refused to speak with groups demanding he cede power immediately, opposition figures said.

Saleh, forced to seek medical treatment in Saudi Arabia for wounds suffered in an attack on his palace nine days ago, has withstood nearly six months of street protests and multiple diplomatic attempts to nudge him out of office.

The ensuing political paralysis, and longstanding conflicts with Islamist insurgents, sepa-

ratists and rebel tribesmen, has fanned western and regional fears of Yemen collapsing into chaos and giving al Qaeda a foothold astride oil shipping routes.

A member of the group of opposition parties demanding Saleh formally transfer now said international efforts to broker an agreement to that end had collapsed because the acting leader, Vice President AbdRabbu Mansour Hadi, would not talk with them.

"The American and European efforts for a dialogue between opposition parties and the ruling party have failed. The vice

president has refused to deal with or meet opposition parties," Mohammed alMutawakkil said.

"He justifies that by saying he is preoccupied with dealing with the fuel crisis and the cease-fire, as well as the security situation in the provinces."

A cease-fire has held in Sanaa since Saleh left a week ago, after more than 200 people were killed and thousands fled during two weeks in clashes between his loyalists and the forces of tribal leader Sheikh Sadeq al-Ahmar, who backs the protesters.

See # 8 Page 11

Secrets' spillage feared as IMF suffers hacking TFD Monitoring W A S H I N G T O N : International Monetary Fund's computer system was invaded by hackers recently, a potentially sensitive breach of a system that analyses confidential information about the finances of most of the world's economies.

The scope and significance of the cyber attack are still being evaluated, but it marks the third recent raid on a major government financial institution.

The attacks come at a time when world economic officials are debating possible changes to currency rules, developing new regulations for banks and financial institutions, and crafting guidelines for the management of the world's top economies, issues that make inside information extremely valuable to an investor or an interested government.

IMF officials provided few details about the cyber attack, which occurred as the agency is wrestling with complex and contentious financial rescue programs in several European nations that have required painful cuts in social spending.

The organisation is also pressing nations such as China to reform their financial and currency policies.

See # 9 Page 11

Taliban disown Peshawar blasts ISLAMABAD: Pakistani Taliban, who have reportedly carried out a series of deadly assaults across the country to avenge the May 2 killing of Al Qaeda leader Osama bin Laden in Abbottabad, denied involvement in the twin explosions in Peshawar which killed at least 40 people and injured 100.

Forty people were killed and 100 others wounded in two back-to-back explosions in Peshawar, Khyber Pakhtunkhwa province, officials said on Sunday.

The first bomb went off at around 11:45 pm at the busy Khyber Supermarket in the upscale cantonment area of Peshawar, Ijaz Khan, a senior police official, told an Afghan news agency. The first explosion injured two children.

A second blast took place shortly afterwards, when an explosives-laden motorcycle was detonated in the area, killing 35 people and injuring 80 others, the official said.

Journalists, rescue workers and policemen were among the casualties.

The injured newsmen included The News Sub-Editor Barkatullah Marwat, Imran Bukhari, Safiullah of a private news channel and Fawad Ali Shah, a freelancer.

See # 10 Page 11

LAHORE: Punjab Chief Minister Shahbaz Sharif on Sunday urged Ulema to play their due role in the solidarity and integrity of Pakistan.

Addressing a Shaheed-ePakistan seminar to mark the second death anniversary of Dr Sarfraz Naeemi here at Jamia Naeemia, he said, "We have to make Pakistan a citadel of peace by shunning foreign aid as it is harming the prestige of the country."

"We have given up the practice of taking foreign aid," he added.

"Innocent people are falling victim to terrorism in the country," he said and stressed on forging unity in the nation to foil the nefarious designs of anti-state elements.

He said that people who plun-

dered the country for the last 63 years had to sacrifice for its survival.

He lamented that Pakistan was exploited as a frontline state in the eighties when militant groups were made adding the recent spate of terrorism in the country was the outcome of the groups.

Shahbaz Sharif said that the 90 per cent population was without basic amenities of life.

"We have to make Pakistan an Islamic welfare state by ensuring equitable distribution of resources," he added.

He paid homage to Dr Sarfraz Naeemi for services for Islam.

He said he would not rest until culprits of Dr Sarfraz Naeemi were arrested and brought to book.

Paying homage to Dr Sarfraz Naeemi, former Foreign

End of terror linked with harmony PESHAWAR: Khyber Pakhtunkhwa (KPK), information minister Mian Iftikhar Hussain has said that terrorism would only be contained, if Pakistan, Afghanistan and USA ended duality in their stance.

Talking during an interview to the VOA (Voice of America), he suggested that these three stakeholders should have consensus over the exact notion and definition of terrorism.

He opined that only Pakistan would suffer; taking the entire brunt of distrust on each other's intentions, as Pakistan was an unfortunate, reluctant sanctuary of terrorists, making the Federation unsafe.

Referring to all the blood and gore of terrorism in province, the provincial information minister said that government had taken all necessary steps for security of masses, but reminded that if such highly secure areas like Karachi's PNS Mehran, Rawalpindi's GHQ, and America's Twin Towers can be targeted easily, than anything could happen anytime, anywhere.

Citing many instances where government had managed to contain many acts of terrorism in time, he reiterated government's resolve to provide maximum security for masses at all possible times. - Online

US biggest violator of NPT, says Iran TEHRAN: Foreign Minister Ali-Akbar Salehi here on Sunday termed the United States as the biggest violator of the Non-Proliferation Treaty (NPT), adding the US is the only country that has used nuclear weapons against other states.

"The United States has played active role in spreading out nuclear weapons," said Salehi in his address to the 2nd International Conference on Disarmament and NonProliferation in Tehran.

"Surprisingly, this state (US) introduces itself as the greatest advocate of non- proliferation of nuclear weapons," said Salehi. He further said the Zionist regime is the only obstacle in the way of establishment of a region far from nuclear weapons.

The Zionist regime, which is fully supported by Washington, is the root cause of terrorism,

aggression and insecurity, he noted.

Today, the international community, more than any other time in the history, is endangered by nuclear arms, said Salehi, regretting that 23,000 nuclear warheads are possessed by only few countries.

The Islamic Republic of Iran believes that nuclear disarmament is a need for ensuring global peace, said Salehi, reiterating that this is an 'unconditional issue.'

He underlined the need for exerting pressure on the Zionist regime to make it join the NPT so that peace and security would establish throughout the region.

The 2nd International Conference on Disarmament and Non-Proliferation opened in Iran's capital city this morning.

The international event is planned to review the existing challenges of disarmament and See # 13 Page 11

Dubai mulls borrowing $5bn to bridge deficit TFD Monitoring DUBAI: Dubai, which is planning a benchmark sovereign dollar issue in coming days as it seeks to bridge a budget deficit, has set up a new $5 billion Euro Medium Term Note (EMTN) programme.

The emirate has hired Mitsubishi UFJ Securities, Standard Chartered Bank and UBS AG as arrangers and dealers for the programme, it said in a statement.

Emirates NBD and National Bank of Abu Dhabi will be the dealing banks for the bond programme. Dubai's budget deficit

stood at 6.02 billion dirhams ($1.64 billion) in 2010, the prospectus released for the new bond programme showed. Its direct debt as of May 20 was 115.4 billion dirhams ($31.42 billion), according to the prospectus.

Last week Dubai's department of finance announced it planned to come back to the debt market with a potential dollar bond issue, buoyed by tightening spreads and an oversubscribed bond from its flagship airline recently.

See # 14 Page 11

Minister Makhdoom Shah Mehmood Qureshi urged Ulema to work voice for the solidarity and stability of Pakistan.

He said that Islam spread in the sub-continent through spiritual leaders (Auliyas) who gave the message of peace, love and brotherhood.

He lamented that due to terrorism, shrines, mosques and other worship places were not safe and people had to get united and plan how to get rid of the scourge.

Dr Muhammad Ragheb Naeemi, son of Dr Sarfraz Naeemi, senior journalist Muhammad Suhail Warriach, Dr Aamer Liaqat Hussain, Muhammad Rafiq Shah, Allama Qasim Alvi, Ahmed Noori and Haji Rafiq Ahmed also spoke. -Agencies

Zardari to attend SCO Summit ISLAMABAD: President Asif Ali Zardari will lead a delegation to the Summit of Shanghai Cooperation Organization (SCO), being held in Astana, Kazakhstan on June 15.

The SCO Summit will celebrate the 10th anniversary of the founding of the organisation. The issues of regional and global peace and security will be at top of the agenda at the SCO Summit.

President Zardari's participation signals the importance Pakistan attaches to the SCO and country's keen interest in working the regional development agenda which includes building commerce and trade facilities and banking cooperation, energy transaction and corporate sector interactions.

The SCO is an intergovernmental international organisation formed in 2001 and composed of Kazakhstan, Kyrgyzstan, China, Russia, Tajikistan, and Uzbekistan.

See # 11 Page 11

ADCB plans to sell RHB stake ABU DHABI: Abu Dhabi Commercial Bank (ADCB) will start talks to sell its RHB stake to Abu Dhabi investment fund Aabar and has won Malaysian central bank approval for the move, it on Sunday.

ADCB's plans to sell its 25 percent stake in RHB -- valued at around $1.6 billion -appeared to hit a hurdle after two local peers, Maybank and CIMB, got regulatory approval to bid for RHB last month.

Sources told Reuters last week that the Abu Dhabi lender's planned auction would proceed.

"In connection with the bank's strategic review of its stake in RHB Capital, the bank received approval from Bank Negra (the Malaysian central bank) to enter into negotiations with Aabar Investments regarding a potential sale transaction," ADCB said in a statement on Sunday.

Aabar is majority owned by Abu Dhabi government investment vehicle International Petroleum Investment Corp (IPIC).

Shares in ADCB, which is 55 percent owned by the government of Abu Dhabi, were down 0.32 percent on the Abu Dhabi bourse on Sunday.

See # 12 Page 11

Printed & Published by Amir Abbas Ashary at DRC Printing Press for Data Research Communication (PVT) LTD, 111-C, Jami Commercial Phase VII, DHA Karachi.