The QE index in Qatar declined slightly by 0.1% due to losses in the telecom and banking indices. Ezdan Holding Group and Mannai Corp. were the top losers. Trading volume declined compared to the previous day and 30-day average. In other GCC markets, indices in Saudi Arabia and Oman rose while Dubai gained slightly and Abu Dhabi and Kuwait fell. Global economic data was mixed with US job and services numbers beating estimates but the trade deficit widening.

1. Page 1 of 8
QE Intra-Day Movement
Qatar Commentary
The QE index declined 0.1% to close at 12,376.6. Losses were led by the
Telecoms and Banking & Financial Services indices, declining 1.6% and 0.4%,
respectively. Top losers were Ezdan Holding Group and Mannai Corp., falling
5.4% and 3.1%, respectively. Among the top gainers, Qatari Investors Group
rose 6.9%, while Zad Holding Co. was up 6.6%.
GCC Commentary
Saudi Arabia: The TASI index rose 0.1% to close at 9,687.9. Gains were led
by the Insurance and Retail indices, rising 1.2% and 0.9%, respectively.
Alhokair Group for Tourism gained 10.0%, while Bupa Arabia was up 9.9%.
Dubai: The DFM index gained 0.2% to close at 4,399.6. The Services index
gained 2.6%, while the Financial Services & Investment index rose 0.8%.
Ajman Bank gained 13.5%, while Arabtec Holding was up 6.3%.
Abu Dhabi: The ADX benchmark index declined 0.8% to close at 4,770.7. The
Consumer index fell 1.8%, while Banking index was down 1.5%. Gulf Medical
Projects declined 9.9%, while Int. Fish Farming Holding was down 9.7%.
Kuwait: The KSE index fell 0.3% to close at 7,004.3. The Telecommunications
index declined 2.1%, while the Industrial index was down 0.8%. Hilal Cement
Co. fell 19.4%, while Gulf Investment House was down 9.4%.
Oman: The MSM index rose 0.4% to close at 7,053.3. Gains were led by the
Financial and Industrial indices, rising 0.8% and 0.5%, respectively. Salalah
Mills gained 4.5%, while Gulf Investment Services was up 3.0%.
Bahrain: The BHB index fell 0.2% to close at 1,427.2. The Investment index
declined 0.8%, while the Commercial Banking index was down 0.1%. United
Gulf Bank fell 8.0%, while BBK was down 3.1%.
Qatar Exchange Top Gainers Close* 1D% Vol. ‘000 YTD%
Qatari Investors Group 55.40 6.9 277.6 26.8
Zad Holding Co. 82.50 6.6 0.1 18.7
Qatar Cinema & Film Distri. Co. 52.50 6.2 0.6 30.9
Al Ahli Bank 51.50 2.8 13.8 21.7
Qatar German Co for Medical Dev. 14.56 2.7 272.0 5.1
Qatar Exchange Top Vol. Trades Close* 1D% Vol. ‘000 YTD%
Vodafone Qatar 17.98 (0.9) 4,260.7 67.9
Masraf Al Rayan 50.30 (2.3) 2,394.2 60.7
Ezdan Holding Group 21.30 (5.4) 2,258.0 25.3
Barwa Real Estate Co. 39.20 (0.4) 1,457.1 31.5
Mazaya Qatar Real Estate Dev. 17.57 (0.1) 738.9 57.2
Market Indicators 03 Jul 14 02 Jul 14 %Chg.
Value Traded (QR mn) 590.0 949.8 (37.9)
Exch. Market Cap. (QR mn) 676,253.0 678,137.4 (0.3)
Volume (mn) 16.1 25.4 (36.5)
Number of Transactions 7,331 10,172 (27.9)
Companies Traded 41 42 (2.4)
Market Breadth 18:19 31:10 –
Market Indices Close 1D% WTD% YTD% TTM P/E
Total Return 18,459.61 (0.1) 4.7 24.5 N/A
All Share Index 3,147.08 0.0 4.4 21.6 15.1
Banks 3,021.46 (0.4) 6.7 23.6 15.0
Industrials 4,199.56 1.3 3.0 20.0 16.4
Transportation 2,179.72 0.6 2.8 17.3 14.0
Real Estate 2,596.99 (0.2) 5.5 33.0 13.0
Insurance 3,426.08 0.2 0.5 46.7 9.0
Telecoms 1,547.33 (1.6) 1.2 6.4 21.3
Consumer 6,722.33 (0.4) 1.8 13.0 26.4
Al Rayan Islamic Index 4,109.77 (0.3) 4.3 35.4 17.8
GCC Top Gainers##
Exchange Close#
1D% Vol. ‘000 YTD%
Ajman Bank Dubai 2.95 13.5 2,926.1 19.0
Investbank Abu Dhabi 3.00 11.1 13.0 22.7
Bank Of Sharjah Abu Dhabi 1.90 7.3 201.0 6.2
Qatari Investors Group Qatar 55.40 6.9 277.6 26.8
Dana Gas Abu Dhabi 0.71 6.0 45,950.6 (22.0)
GCC Top Losers##
Exchange Close#
1D% Vol. ‘000 YTD%
Ezdan Holding Group Qatar 21.30 (5.4) 2,258.0 25.3
Combined Group Cont. Kuwait 1.06 (5.4) 5.8 (13.1)
United Real Estate Co. Kuwait 0.10 (3.9) 50.0 (15.3)
First Gulf Bank Abu Dhabi 16.30 (3.8) 3,778.3 12.7
Ahli United Bank Kuwait 0.62 (3.1) 736.7 (5.3)
Source: Bloomberg (
#
in Local Currency) (
##
GCC Top gainers/losers derived from the Bloomberg GCC
200 Index comprising of the top 200 regional equities based on market capitalization and liquidity)
Qatar Exchange Top Losers Close* 1D% Vol. ‘000 YTD%
Ezdan Holding Group 21.30 (5.4) 2,258.0 25.3
Mannai Corp. 110.30 (3.1) 9.3 22.7
Medicare Group 83.00 (2.8) 90.7 58.1
Masraf Al Rayan 50.30 (2.3) 2,394.2 60.7
Ooredoo 127.20 (1.8) 102.0 (7.3)
Qatar Exchange Top Val. Trades Close* 1D% Val. ‘000 YTD%
Masraf Al Rayan 50.30 (2.3) 121,265.0 60.7
Vodafone Qatar 17.98 (0.9) 78,107.2 67.9
Barwa Real Estate Co. 39.20 (0.4) 57,823.4 31.5
Ezdan Holding Group 21.30 (5.4) 49,295.6 25.3
QNB Group 178.00 0.6 32,597.7 3.5
Source: Bloomberg (* in QR)
Regional Indices Close 1D% WTD% MTD% YTD%
Exch. Val. Traded
($ mn)
Exchange Mkt.
Cap. ($ mn)
P/E** P/B**
Dividend
Yield
Qatar* 12,376.62 (0.1) 4.7 7.7 19.2 244.02 185,766.7 15.4 2.1 4.1
Dubai 4,399.64 0.2 4.2 11.6 30.6 804.97 86,543.3 17.7 1.7 2.4
Abu Dhabi 4,770.74 (0.8) 2.7 4.2 11.2 213.16 133,316.5 14.1 1.8 3.5
Saudi Arabia 9,687.94 0.1 1.2 1.8 13.5 1,939.81 527,592.9 19.3 2.4 2.9
Kuwait 7,004.31 (0.3) 0.3 0.5 (7.2) 41.00 110,657.3 16.7 1.1 4.0
Oman 7,053.27 0.4 1.6 0.6 3.2 41.09 26,086.3 12.1 1.7 4.0
Bahrain 1,427.15 (0.2) (0.3) (0.0) 14.3 1.03 53,510.0 11.2 1.0 4.8
Source: Bloomberg, Qatar Exchange, Tadawul, Muscat Securities Exchange, Dubai Financial Market and Zawya (** TTM; * Value traded ($ mn) do not include special trades, if any)
12,250
12,300
12,350
12,400
12,450
12,500
9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00

2. Page 2 of 8
Qatar Market Commentary
 The QE index declined 0.1% to close at 12,376.6. The Telecoms
and Banking & Financial Ser. indices led the losses. The index
fell on the back of selling pressure from Qatari shareholders
despite buying support from non-Qatari shareholders.
 Ezdan Holding Group and Mannai Corp. were the top losers,
falling 5.4% and 3.1%, respectively. Among the top gainers,
Qatari Investors Group rose 6.9%, while Zad Holding Co. was up
6.6%.
 Volume of shares traded on Thursday fell by 36.5% to 16.1mn
from 25.4mn on Wednesday. Further, as compared to the 30-day
moving average of 21.9mn, volume for the day was 26.3% lower.
Vodafone Qatar and Masraf Al Rayan were the most active
stocks, contributing 26.4% and 14.8% to the total volume
respectively.
Source: Qatar Exchange (* as a % of traded value)
Ratings, Earnings and Global Economic Data
Ratings Updates
Company Agency Market Type* Old Rating New Rating Rating Change Outlook Outlook Change
Qatar Insurance
Company (QATI)
S&P Qatar CCR/FSR A/A A/A – Stable –
Source: News reports (* LT – Long Term, ST – Short Term, FSR– Financial Strength Rating, FCR – Foreign Credit Rating, LCR – Local Currency Rating, IDR – Issuer Default Rating, SR – Support Rating, LC –
Local Currency, CCR– Counterparty Credit Rating)
Earnings Releases
Company Market Currency
Revenue
(mn)1Q2014
% Change
YoY
Operating Profit
(mn) 2Q2014
% Change
YoY
Net Profit (mn)
2Q2014
% Change
YoY
Advanced Petrochemical
Company (APC)
Saudi SR – – 183.0 30.6% 185.0 35.4%
Source: Company data, DFM, ADX, MSM
Global Economic Data
Date Market Source Indicator Period Actual Consensus Previous
07/03 US US Census Bureau Trade Balance May -$44.4B -$45.0B -$47.0B
07/03 US BLS Unemployment Rate June 6.10% 6.30% 6.30%
07/03 US Bloomberg Bloomberg Consumer Comfort 29 June 36.4 – 37.1
07/03 US Markit Markit US Services PMI June 61.0 61.0 61.0
07/03 US Markit Markit US Composite PMI June 61.0 – 61.0
07/03 US ISM ISM Non-Manf. Composite June 56.0 56.3 56.3
07/03 EC Markit Markit Eurozone Services PMI June 52.8 52.8 52.8
07/03 EC Markit Markit Eurozone Composite PMI June 52.8 52.8 52.8
07/03 EC European Central Bank ECB Main Refinancing Rate 3 July 0.15% 0.15% 0.15%
07/03 EC European Central Bank ECB Marginal Lending Facility 3 July 0.40% 0.40% 0.40%
07/03 EC European Central Bank ECB Deposit Facility Rate 3 July -0.10% -0.10% -0.10%
07/04 EC Markit Markit Eurozone Retail PMI June 50.0 – 49.9
07/03 FR Markit Markit France Composite PMI June 48.1 48.0 48.1
07/03 FR Markit Markit France Services PMI June 48.2 48.2 48.2
07/04 FR Markit Markit France Retail PMI June 47.6 – 50.5
07/03 GE Markit Markit Germany Services PMI June 54.6 54.8 54.6
07/03 GE Markit Markit/BME Germany Composite PMI June 54.0 54.2 54.0
07/04 GE Markit Markit Germany Construction PMI June 45.5 – 48.1
07/04 GE Markit Markit Germany Retail PMI June 56.2 – 52.5
07/03 UK Markit Markit/CIPS UK Composite PMI June 58.0 58.6 59.0
07/03 UK Markit Markit/CIPS UK Services PMI June 57.7 58.3 58.6
07/03 IT Markit Markit/ADACI Italy Composite PMI June 54.2 – 52.7
07/03 IT Markit Markit/ADACI Italy Services PMI June 53.9 52.0 51.6
07/04 IT Markit Markit Italy Retail PMI June 43.8 – 45.2
07/03 CH CFLP Non-manufacturing PMI June 55.0 – 55.5
07/03 CH Markit HSBC China Services PMI June 53.1 – 50.7
07/03 CH Markit HSBC China Composite PMI June 52.4 – 50.2
07/03 JN Markit Markit Japan Services PMI June 49.0 – 49.3
Source: Bloomberg (s.a. = seasonally adjusted; n.s.a. = non-seasonally adjusted; w.d.a. = working day adjusted)
Overall Activity Buy %* Sell %* Net (QR)
Qatari 64.15% 66.44% (13,494,992.09)
Non-Qatari 35.84% 33.56% 13,494,992.09

3. Page 3 of 8
News
Qatar
 QNBK: Qatar’s growth momentum picks up further –
According to a report by QNB Group (QNBK), Qatar’s economy
accelerated in the first quarter of 2014, driven by strong growth
in construction, financial services and trade, restaurants and
hotels, according to figures released last week by the Ministry of
Development Planning and Statistics (MDPS). Qatar real GDP
growth accelerated to 6.2% in the year to Q1 2014 with the non-
hydrocarbon sector expanding by 11.5% owing to rapid progress
with the implementation of major projects. The pickup in growth
came despite a 1.2% contraction in hydrocarbon real GDP as a
result of falling crude oil production and flat production at LNG
facilities. QNB Group expects real GDP growth to continue to
pick up during 2014 as hydrocarbon production stabilizes and
non-hydrocarbon growth remains high. Overall, the new GDP
data are in line with our expectations for real GDP growth of
around 6.8% in 2014. In 2015-16, we expect momentum to
continue to gather steam owing to the ongoing implementation
of major projects, with growth rising to an average of 7.7%.
Strong growth in the non-hydrocarbon sector has been driven by
a pickup in major infrastructure investment projects since the
middle of 2013. This has led to rapid growth in construction,
which expanded by 19.6% in real terms in the year to Q1 2014
and contributed 2.3% to overall growth. Rising project activity
has also led to a rapid increase in the number of workers being
employed in Qatar, pushing up population growth to 11.6% in
the year to end-March 2014. In turn, this has helped boost
growth in services sectors. Services contributed 4.2% to total
real growth, with sectors such as financial services and trade,
restaurants and hotels fairing particularly well. (Gulf-Times.com)
 Qatari hospitality sector sees bullish trend – The year 2014
has started on a positive note for Qatar’s hospitality sector.
Hotels have seen a strong inflow of tourists during 1H2014,
taking the occupancy level to up to 85%. 1H2014 has been very
good for the sector as the occupancy rate was 70%. (Peninsula
Qatar)
 GISS completes purchase of JDC’s 30% shareholding in
GDI – Gulf International Services (GISS) announced that the
purchase price payable to Japan Drilling CO., LTD. (JDC) for the
acquisition of JDC’s 30% stake in Gulf Drilling International
(GDI) has been confirmed by GDI’s external auditors to be
$157.7mn. This purchase price is equivalent to 30% of GDI’s net
book value as of April 30, 2014, being the total consideration
owed JDC for its interest pursuant to the Joint Venture
Agreement between the parties. In accordance with the Sale
and Purchase Agreement, GIS made a down payment of $153.6
million to JDC in April for its 30% interest, leaving a balance
owing of $4.1 million, which was paid to JDC on June 19th,
2014. The transaction is being financed via an eight year
bilateral loan agreement that has been secured through local
banks on highly competitive terms. (QE)
 S&P affirms ‘A’ rating for QATI with stable outlook – Rating
agency Standard & Poor’s (S&P) has affirmed its ‘A’
counterparty credit and financial strength ratings for Qatar
Insurance Company (QATI) and its guaranteed subsidiaries with
a “stable” outlook. S&P said that QATI’s strong business risk
profile reflects its strong competitive position, achieved through
its dominant domestic and regional GCC operations, even as
the full integration of its overseas operations poses operational
and management challenges. S&P observed QATI’s financial
profile to be very strong, reflecting its very strong capital and
earnings, intermediate risk position, and adequate financial
flexibility. Over the next two years, S&P expects QIC Group
premium to develop from being predominantly sourced from the
GCC region to 50% non-GCC business; and forecast its
premium growth at about 70% in 2014, easing back to 20% and
below in 2015 and 2016. S&P said QATI’s still rapidly
developing business model and franchises in the global
reinsurance as well as London insurance markets present some
uncertainty. Highlighting that QATI’s retained earnings will
support capital, S&P said that it expects QATI to show combined
ratios lower than 95% during 2014-2016. The rating agency
forecast QATI’s net earnings to be above QR660mn,
representing a return on equity of more than 10% and a return
on revenues of 15%. (Gulf-Times.com)
 N-KOM, HeLenGi Engineering to cooperate on LNG ferry
ship retrofits – Nakilat-Keppel Offshore & Marine (N-KOM) has
entered into a new agreement with Greece-based HeLenGi
Engineering for the retrofit of Greek ferries as part of the
Poseidon-Med project. Poseidon-Med is the first LNG bunkering
project in the Mediterranean and Adriatic Sea led and
coordinated by QEnergy Europe, which aims to promote LNG as
a widely adopted fuel for shipping operations. (Bloomberg)
 Barwa Bank opens Representative Office in DIFC – Barwa
Bank has announced the opening of its representative office in
Dubai International Financial Centre (DIFC). This is the first time
Barwa Bank has opened an office overseas, which is testament
to its commitment for developing the Shari’ah-compliant financial
market outside Qatar. (Bloomberg)
 DBIS to disclose results on July 16 – Dlala Brokerage &
Investments Holding Company (DBIS) will disclose its financial
reports on July 16, 2014 for the period ending June 30, 2014.
(QE)
 QGRI’s BoD to meet on July 17 – Qatar General Insurance &
Reinsurance Company (QGRI) announced that its board of
directors (BoD) will meet on July 17, 2014 to discuss the
company’s financial reports for the period ending June 30, 2014.
(QE)
 QOIS to publish results on July 20 – Qatar Oman Investment
Company (QOIS) will disclose its financial reports for the period
ending June 30, 2014, on July 20, 2014. (QE)
 GWCS to announce results on July 20 – Gulf Warehousing
Company (GWCS) will announce its financial reports for the
period ending June 30, 2014, on July 20, 2014. (QE)
 QIIK to release results on July 21 – Qatar International Islamic
Bank (QIIK) will publish its financial reports for the period ending
June 30, 2014, on July 21, 2014. (QE)
 QFLS to disclose results on July 22 – Woqod (QFLS) will
disclose its financial reports for the period ending June 30, 2014,
on July 22, 2014. (QE)
 CBQK to publish results on July 23 – The Commercial Bank
of Qatar (CBQK) will publish its financial reports for the period
ending June 30, 2014, on July 23, 2014. (QE)
 SIIS to announce results on July 24 – Salam International
Investment Company (SIIS) will announce its financial reports
for the period ending June 30, 2014, on July 24, 2014. (QE)
International
 US job growth surges, unemployment rate near six-year low
– Employment growth in the US jumped in June 2014 and the
jobless rate closed in on a six-year low, providing decisive
evidence that the economy was growing briskly in the second
half of the year. The Labor Department said non-farm payrolls
increased by 288,000 jobs last month, while the unemployment
rate fell to 6.1% from 6.3% in May. Data for April and May were

4. Page 4 of 8
revised to show a total of 29,000 more new jobs than previously
reported. In addition, the ranks of the long-term unemployed
shrank and the share of employed Americans reached its
highest level since August 2009. Job gains were widespread
across sectors and there were few signs of inflationary wage
pressures. Employment has now grown by more than 200,000
jobs in each of the last five months, a stretch not seen since the
technology boom in the 1990s. This indicated that the signs of a
plunge in economic output in the first quarter were a weather-
driven anomaly. (Reuters)
 ECB says measures will push inflation up, but money-
printing still possible – The European Central Bank (ECB)
President Mario Draghi said a raft of policy measures introduced
last month will help lift inflation and support bank lending, but the
ECB stands ready to create money in future if required. The
ECB left interest rates steady a month after cutting them to
record lows and pushing the deposit rate into negative territory
for the first time – effectively charging banks for holding their
money overnight to persuade them to lend to businesses. The
measures unveiled in June also included extending the duration
of unlimited cheap liquidity for banks until the end of 2016, and
offering them a four-year loan plan. Detailing the loan plan,
Draghi said banks must use the new funds to lend or else they
will be made to pay back the money. He said last month's
measures had further loosened the Eurozone's monetary policy
stance. (Reuters)
 German private sector PMI falls to 54.0 in June;
manufacturing orders decline on geopolitical risks – A
survey showed Germany's private sector expanded at the
slowest rate in eight months in June, as manufacturing lost
steam, although Europe's largest economy looked set to post
solid growth in the second quarter. Markit's final composite
Purchasing Managers' Index (PMI), which tracks growth in the
manufacturing and services sectors, fell to 54.0 in June from
55.6 in May. That was the lowest level since October 2013,
coming in below a flash estimate of 54.2. The services sector
PMI fell to 54.6 in June from 56.0 a month earlier and also below
the 54.8 flash estimate, but Markit said the sector had grown at
the fastest rate in three years in the second quarter. Meanwhile,
German factory orders fell more than expected in May as
geopolitical risks weighed on confidence in Europe’s largest
economy. The Economy Ministry said orders fell 1.7% from
April, when they rose a revised 3.4%. A median of 30 estimates
in a Bloomberg News survey of economists had forecast a
decline of 1.1%. While recent surveys suggest that the pace of
Germany’s economic expansion is cooling and tensions
between Russia and Ukraine have increased uncertainty, the
nation remains the driving force for the subdued recovery in the
Eurozone. (Bloomberg, Reuters)
 S&P affirms BNP's long-term credit rating, outlook negative
– Standard & Poor's affirmed its 'A+' long-term credit rating on
BNP Paribas on Thursday after the French bank pleaded guilty
to two criminal charges and agreed to pay around $9bn to
resolve accusations of violating US sanctions. S&P said it
revised its assessment of the bank's capital to "moderate" from
"adequate" and placed the rating on a negative outlook from
Credit Watch negative. S&P said the negative outlook reflects
that the ratings may be lowered on BNP Paribas if the
implications of the sanctions on the bank's risks and business
profile are more detrimental than expected. Further, S&P has
also lowered junior subordinated debt rating by one notch to
'BBB+'. (Reuters)
 China HSBC services PMI reaches 53.1 in June; Chinese
premier expects economy to fare better in 2Q2014 – A
private survey showed that China's service sector activity
expanded at the fastest pace in 15 months in June, reinforcing
signs that the broader economy is stabilizing. The services
Purchasing Managers' Index (PMI) compiled by HSBC/Markit
rebounded to 53.1 in June from 50.7 in May. In a sign that the
domestic economy is regaining internal strength, a sub-index
measuring new businesses also jumped to 53.8 in June, the
strongest expansion since January 2013. Meanwhile, Chinese
Premier Li Keqiang said the country’s economic performance
has improved in the second quarter over the first quarter, though
the downward pressure cannot be ignored. Li Keqiang also
pledged to pay more attention to the implementation of targeted
measures to improve the macroeconomic policy control to
guarantee that the annual economic growth target can be
achieved. He also reiterated that the government will step up
efforts to build more infrastructure projects, including railway and
energy, in poorer regions. (Reuters)
Regional
 Saudi 1Q2014 economic growth slows to 4.7% YoY, labor
reforms weigh – Saudi Arabia's economic growth eased to an
annual rate of 4.7% in the 1Q2014 as labor market measures
curbed activity in some sectors, but the expansion was still
stronger and more widespread than growth a year ago.
Economic growth in the world's top oil exporter reached 5.0% in
October-December, the fastest pace since the 3Q2012. Jadwa
Investment’s head of research in Riyadh Fahad al-Turki said it is
certainly the change in the labor market affecting the annual
growth. On a quarterly basis, inflation-adjusted gross domestic
product growth accelerated to 3.4%, the fastest clip in a year,
from 2.7% in the previous quarter, the Central Statistics Office
data show. Economic growth is usually at its most robust early in
the year, when the weather is at its most favorable and few
public holidays halt work. (Reuters)
 Oxy fails to sell stake in Mideast business – US-based
Occidental Petroleum Corporation (Oxy) has failed to sell a
stake in its Middle East business and now plans to sell some
assets piece by piece. Earlier in October 2013, Oxy had planned
to sell a minority stake in its MENA operations as part of a
restructuring program to lift its valuation. In December 2013,
Mubadala Development Company, Qatar Petroleum and Oman
Oil Company, were considering a joint bid for the unit, in a deal
that could be worth between $8bn and $10bn. (Reuters)
 SABIC proposes SR2.5 DPS for 1H2014 – Saudi Basic
Industries Corporation (SABIC) has proposed the distribution of
SR2.5 per share cash dividend for 1H2014. The proposed figure
is higher than SR2 per share paid earlier in 1H2013.
(GulfBase.com)
 Bank Al Jazira wins Best Real Estate Financing award –
Bank Al Jazira has won the Best Real Estate Financing award at
the Banker Middle East Awards, organized by CPI Financial
Group. This award highlights the bank’s track record in its
continuous achievements in the banking sector. (GulfBase.com)
 SABB HSBC PMI: Saudi’s non-oil business activity
accelerates in June – According to the headline SABB HSBC
Saudi Arabia Purchasing Managers’ Index (PMI), growth in
Saudi’s non-oil business activity rose to a five-month high in
June 2014, bolstered by strong growth in output and new orders.
This reflects the economic performance of Saudi Arabian non-oil
producing private sector companies through monitoring a
number of variables, including output, orders, prices, stocks and
employment. June data signaled the continued expansion of the
Saudi Arabian non-oil private sector, with the seasonally
adjusted headline PMI recording 59.2, up from 57.0 in May. This
highlights a strong improvement in operating conditions and the
highest since January. The pace of output growth quickened to

5. Page 5 of 8
a 26-month high. New business from abroad also improved,
albeit at a slower pace than total new orders. The net rise in
employment was solid overall, with the latest increase the
fastest in the current sequence of job creation. In spite of strong
demand for inputs, average delivery times continued to improve.
Better vendor performance was encouraged by a competitive
market that required shorter delivery times. (GulfBase.com)
 SAIB reports SR352.9mn net profit in 2Q2014 – The Saudi
Investment Bank (SAIB) has reported a net profit of SR352.9mn
for 2Q2014 as compared to SR320.4mn for 2Q2013, reflecting
4.56% rise. The bank’s net profit for 1H2014 stood at
SR690.4mn as compared to SR634.7mn for 1H2013, up by
8.78%. EPS as of June 30, 2014 amounted to SR1.15 as
against SR1.06 a year earlier. Bank’s total assets at the end of
June 2014 stood at SR88.06bn as against SR66.66bn a year
ago. Loans and advances stood at SR54.8bn, while customer
deposits stood at SR67.7bn. (Tadawul)
 Jarir Marketing signs partnership deal with Apple – Jarir
Marketing Company has entered into an agreement with US-
based Apple Inc. Under the agreement, Apple will supply directly
its Apple products to Jarir Bookstore and subsequently provide
the after-sale services. This transaction is the first of its kind by
which Apple to deal directly with any of retail business in the
Kingdom. (Tadawul)
 SFG proposes SR0.65 DPS for 1H2014 – Samba Financial
Group (SFG) has proposed the distribution of SR0.65 per share
cash dividend for 1H2014. The proposed figure is marginally
higher than SR0.6 per share paid in 1H2013. (Reuters)
 Motiva Port Arthur refinery reaches throughput milestone –
Motiva Port Arthur refinery, the Saudi Aramco and Royal Dutch
Shell operated joint venture, has reached its throughput
milestone of processing 615,000 barrels in one day for the first
time since a series of setbacks that followed its $10bn
expansion. The refinery when established was predicted slowly
gain efficiencies and by now would be routinely running 630,000
to 660,000 bpd, instead it often runs below its stated capacity of
600,000 bpd at a time when refiners are processing rising
volumes of crude in the US energy boom. (Reuters)
 IMF: UAE’s economic recovery is solid – The UAE has
continued to benefit from its perceived safe-haven status amid
regional instability. The International Monetary Fund (IMF) said
that the economic recovery has been solid, supported by the
tourism and hospitality sectors, and a rebounding real estate
sector. While growth in oil production moderated, public projects
in Abu Dhabi and buoyant growth in Dubai’s service sectors
continued to underpin growth, which reached 5.2% in 2013. IMF
said that the real estate sector has been recovering quickly in
some segments, especially in the Dubai residential market. The
Fund observed that the macroeconomic outlook is positive.
Economic growth is expected at 4.8% in 2014 and about 4.5% in
coming years, supported by a number of megaprojects
announced over the past 18 months and the successful bid for
the World Expo 2020. (Zawya)
 SAIF Zone to invest AED50mn to lure aviation companies –
Sharjah Airport International Freezone (SAIF Zone) is investing
AED50mn into a new logistics park that will house aviation
sector companies. The freezone is looking to lure aviation
freight, parts and maintenance services companies with a multi-
million infrastructure development. Saud Salim Al Mazrouei, the
newly appointed director of SAIF Zone, said the park will be
open by the end of July 2014 when tenants are expected to start
moving in. The logistics park will have an initial area of 100,000
square meters spread over SAIF Zone’s 13mn square meters.
The companies will be expected to provide their services to
airlines and other companies operating at Sharjah International.
(GulfBase.com)
 NMC invests $30mn for multi-specialty hospital in Dubai –
New Medical Centre (NMC) has invested $30mn for the first
multi-specialty hospital in Dubai Investments Park (DIP) 1 which
will provide round-the-clock medical services to the over
200,000 residents around the vicinity of DIP and beyond. The
hospital is located at a prime area opposite the Green
Community, and will further provide comprehensive healthcare
to the respective communities. The state-of-the-art hospital has
60 ward beds and 100 functional beds in all and will be served
by 35 doctors and 150 para-medical staff. Services available at
the hospital include regular GP consultations, surgery,
pediatrics, gynecology and obstetrics, dentistry, dermatology,
gastroenterology, urology, ENT and ophthalmology. The new
hospital will also provide 24-hour pharmacy, ambulance and
emergency services, as well as an array of laboratory and
radiology facilities. (GulfBase.com)
 GE Oil & Gas expands in UAE with new facility – GE Oil &
Gas celebrated the ground-breaking of a new facility that will
further expand its presence in the UAE in Jebel Ali Free Zone
(Jafza). Scheduled to open in 2015, the new facility spreads
over an area of 22,700 sq meters and can accommodate over
300 employees. The new facility will offer services by GE Oil &
Gas’ various business units, thus strengthening customer
service standards. Housed in a customized state-of-the-art
facility developed by Jafza, the new GE Oil & Gas
Manufacturing & Technology Center will offer tailored training
programs, and also feature a dedicated repair center that will
help improve the speed of service delivered by being closer to
the customers. (GulfBase.com)
 Aseel launches Business Finance Solution for SMEs – Aseel
Islamic Finance has launched its new Business Finance
Solution for small and medium-sized enterprises (SMEs) to
support the government and local business community’s efforts
to promote SME development across the UAE. The new product
will support small businesses in managing their cash flow
efficiently and give them the freedom to take advantage of new
opportunities as and when they arise. (GulfBase.com)
 UAE-Japan trade remains robust at $51.03bn in 2013 –
According to the data released by the Japan External Trade
Organization (JETRO), bilateral trade between Japan and the
UAE has remained robust in 2013 at $51.03bn. The value of
Japan’s imports from the UAE stood at $42.5bn in 2013, which
was 3.3% lower than the value in 2012, its exports to the UAE
stood at $8.5bn, 5.1% lower as compared to 2012. The overall
trade value between the two countries down by 3.6% in 2013
compared to $52.9bn in the previous year due to the drop in the
average price of crude oils; a sharp fall in the volume of import
of light oils; and a decline in Japan’s export of machinery, iron
and steel etc. In the overall trade, UAE was Japan’s eighth
largest trading partner in the world in 2013. By meeting nearly
23% of the total crude oil requirements of Japan, UAE remained
to be Japan’s second largest supplier of crude oils after Saudi
Arabia, which covered 31.83% of Japan’s total crude oil imports.
Japan’s major exports to the UAE were motor vehicles, general
machinery, electrical machinery, iron and steel, rubber products,
textiles, plastic products, beverages and glass products.
However, sluggishness in the export of machinery and iron and
steel products in 2013 reduced the value of Japan’s exports to
the UAE by 5.14% to $8.5bn from $8.9bn in the previous year.
Automobiles remained stable and registered an increase by
3.23% to $4.64bn, compared to $4.49bn in the previous year.
The coverage of vehicle exports from Japan to the UAE rose to

6. Page 6 of 8
54.56% of the total exports in 2013, which was 50.16% in 2012
and 42.52% in 2011. (GulfBase.com)
 AFZ, Kaznex Invest sign deal – Ajman Free Zone (AFZ) and
Kazakh National Investment & Exports (Kaznex Invest) have
signed a MoU for cooperation. This MoU paves the way for two
other similar important agreements with SaryArka special
Economic Zone in Karaganda Province, and Port-Aktau, another
special economic zone in Mangystau Province, Kazakhstan. The
agreements will also see the parties exchange relevant
information on the specialized economical zones (SEZs)
including attracting investment, and investment projects (actual
and planned). (GulfBase.com)
 BoA Merrill Lynch: UAE recovery fundamentally sound –
According to Bank of America Merrill Lynch, the economic
fundamentals of the UAE and Dubai are strong and the recent
equity sell off is not linked to any potential vulnerability in the
economy. The economic recovery is helped by high oil prices,
support from the external sector, accommodative monetary
policy, the rebound in the real estate sector, steady yet uneven
progress on government related entities (GRE) restructuring and
a mild fiscal consolidation drive. After averaging 10% annual
growth from 2000-10 and a slump in 2009, real GDP growth was
4.6% in 2013. Dubai’s externally driven sectors (tourism,
manufacturing) led the increase. With a fading drag from
construction and real estate activity, growth is likely to
accelerate toward 5% in 2014/15. (GulfBase.com)
 HSBC PMI: UAE non-oil activity growth back to record high
– The HSBC UAE Purchasing Managers' Index (PMI) rose to
58.2 points in June 2014 from 57.3 in May. It was just below a
peak of 58.3 points hit in April. Business activity growth in the
UAE's non-oil private sector rebounded to near a record high in
June, as output rose at the fastest pace in the history of the
series. UAE firms saw output growth accelerate to a record 63.3
points in June from 61 in May. New orders growth picked up to
65.5 points from a nine-month low of 64.4, while growth in new
export orders jumped to a record high of 63.2 points.
Employment creation across the UAE's non-oil private sector
eased marginally but remained in positive territory. Output prices
dropped for the third month in a row, with the index up slightly at
49.3 points in June after 49 in May. But the rate of input price
inflation quickened to 55.8 points. (GulfBase.com)
 DSI bags AED304mn power line contract in India – Drake &
Scull International (DSI) has announced the winning of
AED304mn deal for the electrical transmission line of the
Uttarakhand Power Sector Investment Program-Project in
Uttarakhand, India. The contract for the construction of a new
400 kiloVolt (kV) Double Circuit (DC) transmission line will
support DSI’s aggressive expansion plans within India. The
Uttarakhand Power Sector Investment-Project will run from
Srinagar to Kashipur in Kumaon to enhance the hydropower
development in Uttarakhand. The scope of work for DSI includes
the construction of 152-km transmission line on quadruple
bundled Bersimis conductor. The company will also undertake
the survey, design, fabrication and supply of 400 kV DC
transmission line towers, supply of conductors and insulators,
erection of towers and other related materials, and testing and
commissioning of the whole transmission line. (DFM)
 DW makes early repayment of $300mn; LLOY drops sale of
$540mn of DW’s debt – Dubai World (DW) has made a second
early repayment worth around $300mn under its $25bn debt
restructuring plan. The payment, made at the end of June 2014,
came from the proceeds of asset sales completed by the firm
and follows an initial sum of $284.5mn returned in March 2014
to creditors, which include dozens of local and international
lenders. Meanwhile, DW’s creditor, Lloyds Banking Group
(LLOY) has dropped a plan to sell its $540mn worth of loans to
the company after offers fell short of the reserve price. DW debt
is split between a $4.4bn loan due to be repaid in September
2015, and a $10.3bn loan due in September 2018. The
government-owned company hired Blackstone Group LP to
advise on managing its debt and to review possible asset sales.
(GulfBase.com)
 Arabtec denies delisting rumors; Aabar mulls stake
Increase in Arabtec – Arabtec Holding has denied the rumors
about delisting from the Dubai Financial Market (DFM). The
company announced that it is proceeding with all projects as
scheduled for without cancellation or changes and with strong
financial capacity. Arabtec also said that Aabar has sold a small
portion of the bonus shares which it has obtained recently.
However, Aabar may increase its stake in the company that
helped build the tallest tower in the world. (DFM, Bloomberg)
 GNH raises foreign ownership to 49% – Gulf Navigation
Holding has increased the foreign ownership limit from 20% to
49%, effective from July 03, 2014. (DFM)
 Etihad claims rescue-investor role for Europe’s ailing
airlines – Etihad Airways said the five European carriers in
which it has invested or is seeking stakes would face thousands
of job cuts and possible collapse without its involvement, hitting
back at critics of its holdings. Etihad is poised to become a
rescue investor in Italy’s Alitalia, while Air Berlin, Aer Lingus
Group (AERL), Air Serbia and Darwin Airline would all face route
closures and higher fares at best without the Abu Dhabi-based
carrier’s support. The rapid expansion of Middle Eastern airlines
has threatened the status of established European carriers in
the competition for lucrative long-haul transfer traffic, with the
Gulf big three building fleets of wide-body planes to tap the
potential of hubs located on natural international crossroads.
(Bloomberg)
 SMG postpones London IPO due to sale consideration –
Dubai-based Stanford Marine Group (SMG) has postponed a
planned IPO in London as majority owner Abraaj Group courts
potential buyers for the Dubai-based business. SMG may now
sell shares in the 1H2015 instead of 2014 and won’t issue IPO if
it finds a buyer earlier. SMG is an operator of offshore supply
vessels for oil and gas firms in the Middle East and Gulf of
Mexico. (Bloomberg)
 Aldar to reduce gross debt to AED5bn by end-2015 – Aldar
Properties is planning to reduce its remaining gross debt by half
to AED5bn by the end of 2015, as it continues to make progress
on cleaning up its balance sheet. The company has already
brought down its debt from AED14.5bn at the time of its merger
with fellow developer Sorouh in July 2013 to AED10bn. Aldar is
targeting to diversify its portfolio of investments. (Bloomberg)
 Dubai plans project to build world's biggest mall – Dubai is
planning to launch a project to build an entertainment and hotel
district that will include the world's largest shopping mall. The
plans for new project, named Mall of the World revealed 18
months ago, helping to trigger a strong rally in Dubai's real
estate and stock markets. The latest version of the plans
includes construction of an 8mn square foot (743,000 square
meters) mall, connected to a theme park, theatres, medical
tourism facilities and 100 hotels and serviced apartment
buildings with 20,000 rooms. The complex would be able to host
180mn visitors annually. (Bloomberg)
 Shelf Drilling cancels London IPO – Dubai-based oil rig
supplier Shelf Drilling has cancelled its London IPO of shares,
due to challenging public market conditions despite a positive

7. Page 7 of 8
response from prospective investors to the company, its strategy
and operations. (Reuters)
 ADWEC, GDF Suez sign 25-year agreement for Mirfa Project
– France-based GDF Suez has entered into 25-year power and
water purchase agreement for the Mirfa Independent Water and
Power (IWPP) project with the Abu Dhabi Water and Electricity
Company (ADWEC). GDF SUEZ holds a 20% equity interest in
the project with the remaining 80% held by Abu Dhabi Water
and Electricity Authority (ADWEA). Mirfa project will be built at a
capital cost of approximately $1.5bn and will involve the
acquisition of certain existing water and power facilities, the
development, design, engineering and construction of new
power and water facilities, as well as the operation of the plant.
When finished, and with the existing and new facilities fully
integrated, Mirfa IWPP will have a total power capacity of 1,600
megawatt and a seawater desalination capacity of 52.5mn
imperial gallons per day. (GDF Suez, Reuters)
 Oman budget surplus hits $1.5bn in Jan-May – Oman's
government budget surplus reached OMR582.9mn in January-
May compared with a deficit of OMR110.4mn a year ago,
provisional government data showed. Analysts polled by
Reuters in April predicted that Oman would post a fiscal surplus
of 1.7% of GDP in 2014. Oman, which based its 2014 budget on
a projected oil price of $85 per barrel, sees an expenditure of
OMR13.5bn and a deficit of OMR1.8bn this year. (Bloomberg)
 NCSI: Oman’s exports touch OMR3.4bn, down by 10.5% –
According to the statistics by the National Centre for Statistics
and Information (NCSI), the total value of Oman's exports stood
at OMR3.4bn from January to the end of February 2014,
showing a decline of 10.5% compared to OMR3.8bn in the
corresponding period in 2013, while non-oil exports grew by
23.9% during the same period. The figure includes oil and gas,
non-oil products and re-exports. The decline is attributed to the
fall in oil and gas exports, generating export revenue of
OMR2.2bn till the end of February 2014, compared to
OMR2.4bn by the end of February 2013. During the same
period, the total value of re-exports declined by 39.7%, reaching
OMR479.1mn by the end of February 2014 against OMR795mn
by the end of February 2013. Within the export categories, the
only increase recorded was in the non-oil exports which grew by
23.9%, totaling OMR694.9mn at the end of February 2014,
compared to OMR560.7mn during the same period in 2013.
(GulfBase.com)
 ABC to raise $500mn loan, picks arrangers – Bahrain’s Arab
Banking Corporation (ABC) has chosen four banks to arrange a
$500mn loan of three years duration. The funds will be used for
general business purposes. The facility, to be arranged by
HSBC, National Bank of Abu Dhabi, Natixis and Sumitomo
Mitsui Banking Corp, will pay an interest rate of 120 basis points
above the London interbank offered rate (Libor). Four other
banks — Deutsche Bank, Royal Bank of Scotland, Societe
Generale and Standard Chartered — have committed to
subscribe to the loan, while an invitation to other lenders to join
was sent out by ABC. (GulfBase.com)
 SLRB: Real estate trading up 44% in Bahrain – According to
Bahrain’s Survey and Land Registration Bureau (SLRB),
Bahrain has made a major leap in real estate trading in 1H2014.
The total real estate trading amounted to BHD722.6mn, an
increase of 44% compared to 1H2013. The volume of trading in
2Q2014 amounted to BHD78.3mn, an increase of 23%
compared to last year. Gulf real estate investors' trading, until
the end of last month, amounted to 139%, while foreign
investors' trading amounted to 22%. (GulfBase.com)
 ABC mandates banks for $500mn 3-year loan – Arab Banking
Corporation (ABC) has mandated banks for $500mn three-year
Loan. Term facility for general funding purposes, pays a margin
of Libor+120bps. HSBC, National Bank of Abu Dhabi, Natixis
and Sumitomo Mitsui Banking Corporation are acting as
bookrunners and initial mandated lead arrangers. Deutsche
Bank, Societe Generale, Standard Chartered Bank and The
Royal Bank of Scotland pre-committed to facility before launch
of general syndication as mandated lead arrangers. (Bloomberg)

8. Contacts
Saugata Sarkar Abdullah Amin, CFA Shahan Keushgerian
Head of Research Senior Research Analyst Senior Research Analyst
Tel: (+974) 4476 6534 Tel: (+974) 4476 6569 Tel: (+974) 4476 6509
saugata.sarkar@qnbfs.com.qa abdullah.amin@qnbfs.com.qa shahan.keushgerian@qnbfs.com.qa
Sahbi Kasraoui Ahmed Al-Khoudary QNB Financial Services SPC
Manager – HNWI Head of Sales Trading – Institutional Contact Center: (+974) 4476 6666
Tel: (+974) 4476 6544 Tel: (+974) 4476 6548 PO Box 24025
sahbi.alkasraoui@qnbfs.com.qa ahmed.alkhoudary@qnbfs.com.qa Doha, Qatar
DISCLAIMER: This publication has been prepared by QNB Financial Services SPC (“QNBFS”) a wholly-owned subsidiary of Qatar National Bank (“QNB”). QNBFS is regulated by the Qatar
Financial Markets Authority and the Qatar Exchange; QNB is regulated by the Qatar Central Bank. This publication expresses the views and opinions of QNBFS at a given time only. It is not an
offer, promotion or recommendation to buy or sell securities or other investments, nor is it intended to constitute legal, tax, accounting, or financial advice. We therefore strongly advise potential
investors to seek independent professional advice before making any investment decision. Although the information in this report has been obtained from sources that QNBFS believes to be
reliable, we have not independently verified such information and it may not be accurate or complete. While this publication has been prepared with the utmost degree of care by our analysts,
QNBFS does not make any representations or warranties as to the accuracy and completeness of the information it may contain, and declines any liability in that respect. QNBFS reserves the
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COPYRIGHT: No part of this document may be reproduced without the explicit written permission of QNBFS.
Page 8 of 8
Rebased Performance Daily Index Performance
Source: Bloomberg Source: Bloomberg
Source: Bloomberg (* Market closed on 04 July 2014) Source: Bloomberg (* Market closed on 04 July 2014)
80.0
90.0
100.0
110.0
120.0
130.0
140.0
150.0
160.0
170.0
180.0
190.0
200.0
210.0
Jul-10 Jul-11 Jul-12 Jul-13 Jul-14
QE Index S&P Pan Arab S&P GCC
0.1%
(0.1%)
(0.3%)
(0.2%)
0.4%
(0.8%)
0.2%
(1.0%)
(0.5%)
0.0%
0.5%
Saudi
Arabia
Qatar
Kuwait
Bahrain
Oman
Abu
Dhabi
Dubai
Asset/Currency Performance Close ($) 1D% WTD% YTD% Global Indices Performance Close 1D% WTD% YTD%
Gold/Ounce 1,320.55 0.1 0.3 9.5 DJ Industrial* 17,068.26 0.0 1.3 3.0
Silver/Ounce 21.17 0.1 1.0 8.7 S&P 500* 1,985.44 0.0 1.2 7.4
Crude Oil (Brent)/Barrel (FM
Future)
110.64 (0.3) (2.3) (0.1) NASDAQ 100* 4,485.93 0.0 2.0 7.4
Natural Gas (Henry
Hub)/MMBtu *
4.29 0.0 (1.9) (1.2) STOXX 600 347.95 (0.3) 1.7 6.0
LPG Propane (Arab Gulf)/Ton* 104.00 0.0 (3.0) (17.6) DAX 10,009.08 (0.2) 2.0 4.8
LPG Butane (Arab Gulf)/Ton* 121.38 0.0 (0.3) (11.1) FTSE 100 6,866.05 0.0 1.6 1.7
Euro 1.36 (0.1) (0.4) (1.1) CAC 40 4,468.98 (0.5) 0.7 4.0
Yen 102.06 (0.1) 0.6 (3.1) Nikkei 15,437.13 0.6 2.3 (5.2)
GBP 1.72 0.0 0.7 3.6 MSCI EM 1,062.40 0.0 1.6 6.0
CHF 1.12 (0.1) (0.4) (0.1) SHANGHAI SE Composite 2,059.37 (0.2) 1.1 (2.7)
AUD 0.94 0.2 (0.7) 5.0 HANG SENG 23,546.36 0.1 1.4 1.0
USD Index 80.27 0.1 0.3 0.3 BSE SENSEX 25,962.06 0.5 3.4 22.6
RUB 34.47 0.6 2.2 4.9 Bovespa 54,055.90 0.3 1.7 4.9
BRL 0.45 (0.0) (0.8) 6.8 RTS 1,360.48 (2.2) (1.4) (5.7)
177.8
150.3
136.3