1. QE Intra-Day Movement
Market Indicators
11,860
11,840
11,820
11,800
11,780
26 Feb 14
%Chg.
797.6
683,473.6
15.5
11,354
41
17:23
1,086.3
690,438.7
18.7
15,120
37
20:16
(26.6)
(1.0)
(17.2)
(24.9)
10.8
–
Market Indices
11,760
11,740
9:30
27 Feb 14
Value Traded (QR mn)
Exch. Market Cap. (QR mn)
Volume (mn)
Number of Transactions
Companies Traded
Market Breadth
10:00
10:30
11:00
11:30
12:00
12:30
13:00
Qatar Commentary
The QE index declined 0.6% to close at 11,771.8. Losses were led by the
Insurance and Transportation indices, declining 2.8% and 1.6% respectively.
Top losers were Mesaieed Petrochemical Holding Co. and Qatar Navigation,
falling 10.0% and 4.7% respectively. Among the top gainers, Al Khaleej Takaful
Group rose 9.9%, while Medicare Group rose 5.6%.
Close
Total Return
All Share Index
Banks
Industrials
Transportation
Real Estate
Insurance
Telecoms
Consumer
Al Rayan Islamic Index
1D%
WTD%
YTD%
TTM P/E
17,027.04
2,956.79
2,867.88
3,965.54
2,016.78
2,019.09
2,811.27
1,597.53
6,861.03
3,373.89
(0.3)
(0.1)
0.3
(0.1)
(1.6)
(1.1)
(2.8)
(0.4)
2.0
(0.0)
(0.3)
(0.2)
0.2
1.2
(4.2)
(2.7)
(2.1)
(1.9)
1.1
(0.4)
14.8
14.3
17.4
13.3
8.5
3.4
20.3
9.9
15.3
11.1
N/A
14.7
14.8
15.0
14.0
20.0
6.8
21.5
26.3
18.8
GCC Commentary
GCC Top Gainers##
Exchange
Saudi Arabia: The TASI index fell 0.2% to close at 9,088.7. The Building &
Construction and Hotel & Tourism indices declined 1.2% each. Salama Coop.
Insu. Co. fell 4.9%, while United International Transport. Co. was down 3.5%.
Jabal Omar Dev. Co.
Saudi Arabia
Investbank
Abu Dhabi
Dubai: The DFM index declined 0.9% to close at 4,184.4. The Investment &
Financial Services and Telecom. indices fell 1.8% each. Arabian Scandinavian
Ins. Co. fell 9.7%, while Gulf Navigation Holding Co. declined 4.0%.
Al Ahli Bank of Kuwait
Kuwait
Nat. Bank of Abu Dhabi
Abu Dhabi
Abu Dhabi: The ADX benchmark index fell 0.3% to close at 4,944.2. The Real
Estate index declined 1.8%, while the Inv. & Fin. Serv. index was down 1.1%.
Nat. Takaful Co. fell 7.4%, while Abu Dhabi Nat. Energy Co. was down 4.7%.
Saudi Enaya Coop. Ins.
Saudi Arabia
44.50
GCC Top Losers
Exchange
Kuwait: The KSE index declined 0.7% to close at 7,640.6. The Technology
index fell 3.0%, while the Industrial index was down 1.4%. Jeeran Holding Co.
fell 8.3%, while Credit Rating & Collection Co. declined 7.3%.
Combined Group Cont.
Kuwait
1.18
(6.3)
0.1
(7.8)
Abu Dhabi Nat. Energy
Abu Dhabi
1.41
(4.7)
2,957.1
(4.1)
Oman: The MSM index rose 0.1% to close at 7,121.6. Gains were led by the
Financial and Industrial Indices gaining 0.2% each. Gulf International
Chemicals rose 2.7%, while United Power was up 2.3%.
United Int. Transport.
Saudi Arabia
88.50
(3.5)
242.1
23.3
Albaraka Banking Gr.
Bahrain
0.86
(3.4)
10.7
16.2
Mobile Telecom. Co.
Kuwait
0.62
(3.1)
1,165.5
(10.1)
Bahrain: The BHB index fell 0.2% to close at 1,370.4. The Industrial index
declined 2.0%, while the Investment index was down 0.6%. Albaraka Banking
Group fell 3.4%, while Al Salam Bank was down 2.5%.
##
Close#
1D%
41.50
8.9
25,135.4
42.1
3.30
6.1
1.5
22.7
0.44
4.8
442.8
(1.1)
15.45
4.0
169.2
11.2
3.2
2,608.9
10.4
#
Close
Vol. ‘000
1D% Vol. ‘000
YTD%
YTD%
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)
Al Khaleej Takaful Group
Close*
1D%
Vol. ‘000
YTD%
Close*
1D%
Vol. ‘000
YTD%
40.95
Qatar Exchange Top Gainers
9.9
88.4
12.2
Mesaieed Petrochemical Holding
49.50
(10.0)
5,218.0
395.5
91.50
(4.7)
264.1
10.2
Qatar Exchange Top Losers
Medicare Group
65.80
5.6
424.9
25.3
Qatar Navigation
Salam International Investment Co.
12.94
5.1
583.7
(0.5)
Qatar Gen. Ins. & Reins. Co.
47.00
(4.7)
901.6
(1.9)
Islamic Holding Group
44.00
3.9
94.2
(4.3)
Qatar Insurance Co.
65.10
(3.6)
19.0
22.4
Gulf Warehousing Co.
43.00
3.5
11.2
3.6
Gulf International Services
85.70
(2.6)
312.8
40.5
Close*
1D%
Val. ‘000
YTD%
Mesaieed Petrochemical Holding
49.50
(10.0)
269,877.6
395.5
24.4
Commercial Bank of Qatar
77.90
2.0
49,709.9
10.0
(1.9)
Qatar Gen. Ins. & Reins. Co.
47.00
(4.7)
44,149.9
(1.9)
195.00
0.9
41,928.8
13.4
38.95
(0.5)
40,283.4
24.4
Qatar Exchange Top Vol. Trad.
Close*
1D%
Vol. ‘000
YTD%
Mesaieed Petrochemical Holding
49.50
(10.0)
5,218.0
395.5
Masraf Al Rayan
38.95
(0.5)
1,030.9
Qatar Gen. Ins. & Reins. Co.
47.00
(4.7)
901.6
Qatar Gas Transport Co
21.75
0.1
868.2
7.4
United Development Co.
21.40
(2.3)
864.1
(5.4)
Qatar*
Dubai
Abu Dhabi
Saudi Arabia
Kuwait
Oman
Bahrain
QNB Group
Masraf Al Rayan
Source: Bloomberg (* in QR)
Source: Bloomberg (* in QR)
Regional Indices
Qatar Exchange Top Val. Trades
Close
1D%
WTD%
MTD%
YTD%
11,771.83
4,184.37
4,944.16
9,088.68
7,640.55
7,121.61
1,370.37
(0.6)
(0.9)
(0.3)
(0.2)
(0.7)
0.1
(0.2)
(0.8)
(0.9)
(0.3)
(0.2)
(0.7)
0.1
(0.2)
5.5
(0.9)
(0.3)
(0.2)
(0.7)
0.1
(0.2)
13.4
24.2
15.2
6.5
1.2
4.2
9.7
Exch. Val. Traded
($ mn)
219.02
302.83
151.76
2,542.98
84.81
21.48
2.28
Exchange Mkt.
Cap. ($ mn)
187,681.9
84,553.6
137,607.7
496,792.6
111,581.7
25,557.5
51,717.9
P/E**
P/B**
15.6
17.9
13.3
18.2
16.1
10.9
9.6
2.0
1.6
1.7
2.2
1.2
1.6
0.9
Dividend
Yield
4.0
2.0
3.7
3.3
3.7
3.6
3.5
Source: Bloomberg, Qatar Exchange, Tadawul, MSM, Dubai Financial Market and Zawya (** TTM; * Value traded ($ mn) do not include special trades, if any) (*As of February 27, 2014)
Page 1 of 7

2. Qatar Market Commentary
 The QE index declined 0.6% to close at 11,771.8. The Insurance
and Transportation indices led the losses. The index fell on the
back of selling pressure from Qatari shareholders despite buying
support from non-Qatari shareholders.
 Mesaieed Petrochemical Holding Co. and Qatar Navigation were
the top losers, falling 10.0% and 4.7% respectively. Among the
top gainers, Al Khaleej Takaful Group rose 9.9%, while Medicare
Group rose 5.6%.
Overall Activity
Buy %*
Sell %*
Net (QR)
Qatari
67.92%
72.04%
(32,838,647.15)
Non-Qatari
32.08%
27.97%
32,838,647.15
Source: Qatar Exchange (* as a % of traded value)
 Volume of shares traded on Thursday fell by 17.2% to 15.5mn
from 18.7mn on Wednesday. However, as compared to the 30day moving average of 12.8mn, volume for the day was 20.3%
higher. Mesaieed Petrochemical Holding Co. and Medicare
Group were the most active stocks, contributing 33.8% and 6.7%
to the total volume respectively.
Earnings
Earnings Releases
Company
National Takaful Co.
(Watania)*
Union Cement Co. (UCC)*
Sharjah Cement and
Industrial Development Co.
(SCIDC)*
Equate Petrochemical Co.*
The Kuwait Styrene Co.
(TKSC)*
Muscat National Holding Co.
(MNH)*
Ubar Hotels & Resorts*
A’Sharqiya Investment
Holding Co.*
Revenue
(mn) 4Q2013
% Change
YoY
Operating Profit
(mn) 4Q2013
% Change
YoY
Net Profit (mn)
4Q2013
% Change
YoY
AED
37.4
220.4%
–
–
-2.4
NA
Abu Dhabi
AED
528.1
-12.3%
–
–
40.8
-16.0%
Abu Dhabi
AED
624.6
1.6%
–
–
49.1
102.8%
Kuwait
USD
0.0
NA
–
–
1250.0
14.7%
Kuwait
USD
915.0
37.2%
–
–
180.0
NA
Oman
OMR
0.0
NA
–
–
0.5
NA
Oman
OMR
6.3
73.4%
1.9
125.7%
1.4
117.9%
Oman
OMR
0.0
NA
–
–
0.5
87.2%
Market
Currency
Abu Dhabi
Source: Company data, DFM, ADX, MSM (*FY2013 results)
News
Qatar
 MCCS net profit rises by 11.4% to QR446.1mn in 2013 –
Mannai Corporation Group (MCCS) earned a net profit of
QR446.1mn in 2013, up 11.4% from QR400.3mn posted in
2012. Moreover the company’s revenue surged by 17.5% to
reach QR5.6bn vs. QR4.8bn in 2012. Mannai said its acquisition
in 2012 of a 66% stake in Damas was a defining moment in the
company’s history. The company increased its stake in Damas
International by an additional 15% by acquiring the remaining
shareholding of the founder shareholders, thereby increasing
Mannai’s shareholding to 81%. MCCS’s board of directors has
recommended a 55% cash dividend to its shareholders, which
work out to QR5.50 a share. MCCS’ AGM will be held on March
23, 2014 at the Grand Hyatt Hotel Doha, where the
recommendation will be submitted for approval. (QE, GulfTimes.com)
 Ooredoo gets 5-star rating for excellence – Ooredoo has
been awarded five-star recognition by the EFQM (the European
Foundation for Quality Management) for its ongoing high
performance standards. Ooredoo earned the ―recognized for
excellence — 5 Star (R4E-5*)‖ award after a week-long
assessment by a team of specially-trained and licensed
assessors. The recognition strengthens Ooredoo’s reputation for
high operational standards, which has been built over the years,
since the company’s first recognition for excellence certification
in 2009. Ooredoo is the only telecommunications company in
the Middle East to be awarded a five-star accreditation rating for
overall organizational excellence based
Excellence Model. (Gulf-Times.com)
on
the
EFQM
 Siemens bags QR920mn Kahramaa expansion deal –
Siemens has bagged a contract worth QR920mn from the Qatar
General Electricity and Water Corp (Kahramaa) that will
strengthen Qatar’s power supply system. The contract includes
the construction of 9 turnkey substations for the Phase 11 of
Kahramaa’s power transmission system expansion project.
Under this contract, Siemens will provide gas-insulated
switchgears (GIS), with voltages including 220kV, 132kV and
66kV, for the first stage of the Phase 11 expansion. Siemens is
scheduled to complete the project within 26 months from the
award date. (Gulf-Times.com)
 New Port Project set for early completion – According to a
top official, quick progress is being made in the construction of
the New Port Project (NPP) and more than 35% of the work has
been completed as of now. The project consists of the new port,
a naval base for the Emiri Naval Force and Qatar Economic
Zone 3. Situated 24 kilometers south of Doha, the entire cost for
the project is estimated at QR27bn. With an area of 26.5 square
kilometer, a major part of the project is reclaimed land. (GulfTimes.com)
 QTA to focus on new infrastructure – Qatar Tourism Authority
(QTA) Chairman Issa bin Mohammed Al Mohannadi said that as
part of the endeavor to develop a vibrant and sustainable
tourism industry, QTA will make huge investments on
infrastructure development, including building new hotels and
Page 2 of 7

3. resorts, public parks and monuments. Under the recently
launched National Tourism Sector Strategy 2030, Qatar will
make investments of up to QR163.8bn over the next 16 years to
transform the energy-rich country into a new tourist hub in the
region. Al Mohannadi said investment will be divided into three
streams, and one is product development, which means building
hotels, resorts, public parks and monuments. (Peninsula Qatar)
 QE suspends trading in DHBK, MARK, QIMD shares on
March 3 – The Qatar Exchange (QE) has suspended trading in
the shares of three companies on March 3, 2014 due to their
AGMs and EGMs being held on that day. The three companies
are: Doha Bank (DHBK), Masraf Al Rayan (MARK) and Qatar
Industrial Manufacturing Company (QIMD). (QE)
 QA launches more UAE flights – Qatar Airways (QA) has
launched two new regional routes to Sharjah and Dubai World
Central’s Al Maktoum International Airport. The new routes will
be operated daily on Airbus A320 aircraft from the airline’s hub
in Doha and add to the existing QA network of flights to Dubai
and Abu Dhabi, doubling the number of destinations in the UAE
from two to four. There will be three flights daily to Sharjah, with
two flights per day to DWC. (GulfBase.com)
 ERES postpones its board meeting to March 6 – Ezdan
Holding Group (ERES) has postponed its board meeting. The
meeting is scheduled to take place on March 6, 2014 instead of
March 3, 2014. (QE)
 MPHC’s BoD to meet on March 16 – Mesaieed Petrochemical
Holding Company’s (MPHC) board of directors will meet on
March 16, 2014 to discuss the company’s financial results for
the year ended December 31, 2013. (QE)
 AHCS’ AGM to be held on April 6 – Aamal Company (AHCS)
announced that its AGM will be held on April 6, 2014 at Al Areen
Hall, Renaissance Hotel, City Center Doha. In case of lack of
quorum, the second meeting will be held on April 9, 2014 at the
same place. The AGM’s agenda includes discussing the board
of directors’ proposal to carry forward the net profits generated
for the year 2013 to the year 2014, among others. (QE)
International
 QNB: Ageing population impacts economic performance,
fiscal policy – When comparing the growth rates of advanced
economies, many commentators often forget that Europe and
Japan have a larger percentage of their population above the
age of 60. Such aging population has a direct impact on
economic performance, fiscal policy and asset allocation. It is
also a critical indicator for long-term financial sector
developments. According to a recent UN study, between 2010
and 2050 about 1.25bn people will be added to the global
population aged 60+, while the number of people under 25 is
projected to hold steady at 3bn. This implies that an increasingly
smaller share of the population will be working, the so-called
support ratio, while older people will depend on public transfers,
their children or their own assets to sustain their old-age
consumption. The biggest policy challenge of declining support
ratios is how to pay for old-age consumption. In countries with
well-developed pension and social safety nets, governments are
increasingly seeing a larger proportion of their expenditures
devoted to pension benefits for older people. Since 1990, public
pension spending has increased by 1.25% of GDP in advanced
economies. Without an increase in the retirement age or a
reduction in pension benefits, such trends could jeopardize
public finances and lead to unsustainable public debt burdens.
Taxing the young to pay for the old also has its limits. As in the
case of Greece and Italy, excessive taxation leads the young to
emigrate, thus further exacerbating the declining support ratio.
An alternative is to facilitate immigration, like in the United
States, so as to increase the share of the working population.
(QNB Group)
 Obama's dilemma: boosting domestic initiatives without
adding to deficit – President Barack Obama will unveil a
budget this week that seeks to boost spending on new initiatives
such as road repairs, education programs and tax breaks for the
working poor while avoiding an increase in U.S. deficits. Obama
has made reducing the gap between the rich and the poor a
centerpiece of his agenda for his next three years in office. But
he is limited in his ability to offer bold new initiatives because of
a budget accord he reached in 2011 with House of
Representatives Republicans that puts strict curbs on both
domestic and military spending. An agreement reached in
December between congressional Republicans and Obama's
Democrats allowed a slight easing of curbs on spending in the
current 2014 fiscal year, but outlays will be essentially flat in
fiscal 2015, which begins October 1. Because of the caps,
spending on programs subject to annual review in 2015 will total
$1.014tn compared to $1.012tn - an increase of less than twotenths of a percent. Obama's budget and the coming debate in
Congress will focus on how to work within those limits. (Reuters)
 US GDP revised down, but hints of economic thaw emerge
– The US government slashed its estimate for fourth-quarter
economic growth in the latest sign of a loss of momentum, but
some tentative signs emerged that suggested the worst of the
slowdown may be over. The Commerce Department said, GDP
expanded at a 2.4% annual rate, down sharply from the 3.2%
pace it reported last month and the 4.1% logged in the third
quarter. The economy has faced a number of headwinds,
including a 16-day shutdown of the government in October and
an unusually cold winter that has weighed on activity since late
December. Growth has also been dampened by the expiration
of long-term unemployment benefits, cuts to food stamps and
businesses placing fewer orders with manufacturers as they
work through a pile of unsold goods in their warehouses.
(Reuters)
 China HSBC manufacturing PMI hits seven-month low in
February – China's factory activity shrank again in February as
output and new orders fell, a private survey found on Monday,
reinforcing concerns of a slowdown in the world's second largest
economy. The final Markit/HSBC manufacturing Purchasing
Managers' Index (PMI) fell to a seven-month low of 48.5 in
February, the third straight monthly decline, from January's 49.5.
The figure was in line with the 48.3 reported in the preliminary
version of the PMI released on Feb 20. (Reuters)
 Downward 4Q GDP revision seen after modest Japan capex
growth – Japanese companies raised spending on plant and
equipment in October-December for a second straight quarter,
but rather modestly, suggesting firms were wary of boosting
investment in the face of an uncertain economic outlook.
Ministry of Finance (MOF) data showed 4.0% YoY rise in capital
spending followed a 1.5% increase in the previous quarter,
which was the first increase in four quarters. Compared with the
previous quarter, however, capital spending excluding software
declined 0.3% on a seasonally adjusted basis, down for a
second straight quarter. The data suggests Japan's 4Q growth
is likely to be revised down slightly from an initial estimate, as
this data will be used to calculate revised gross domestic
product (GDP) figures due on March 10. (Reuters)
 Eurozone inflation stabilizes in 'danger zone' – Eurozone
inflation stabilized in the European Central Bank's (ECB)
"danger zone" in February but did not fall as expected, making it
less likely the ECB will loosen monetary policy further at its
Page 3 of 7

4. monthly meeting next week. European Union statistics office
Eurostat estimated on Friday that consumer prices in the 18
countries sharing the Euro rose an annual 0.8% this month. That
was the same rate as in January and December, after readings
of 0.9% in November and 0.7% in October. Economists polled
by Reuters had forecast inflation would slow to 0.7%. Fears the
bloc may be at risk of deflation as it struggles to recover from its
debt crisis have raised expectations the ECB will use interest
rates or other policy tools to give the economy further support.
(Reuters)
 SABIC and K.A.CARE sign R&D deal – Saudi Basic Industries
Corporation (SABIC) and the King Abdullah City for Atomic &
Renewable Energy (K.A.CARE) have signed a research &
development agreement to explore areas of cooperation in joint
technology development for creating new intellectual property in
Saudi Arabia. Under the agreement, SABIC and K.A.CARE will
develop a range of protocols for evaluation and feasibility of
renewable energies including, solar, wind, and municipal waste
with specific attention given to electricity or steam generation for
industrial usage, and energy storage. (GulfBase.com)
Regional
 Saudi tourism investments to hit SR33.5bn by 2020 –
According to the experts, the Kingdom of Saudi Arabia will now
see a steady growth in its travel and tourism industry with almost
SR33.5bn to be invested in the sector until 2020. Data from the
World Trade and Tourism Council show travel and tourism
investments in Saudi Arabia have grown at a CAGR of 5.8%
since 2001 and are estimated to have reached SR20.55bn at
year-end 2012. It is expected to increase at an annual rate of
6.7% to reach SR33.5bn of total investments in 2020.
(GulfBase.com)
 Saudi Arabia's Public Investment Fund plans to sell 15%
stake in NCB – National Commercial Bank (NCB) Chairman
Mansoor Al Maiman said Saudi Arabia's Public Investment Fund
is planning to sell its 15% stake in NCB through an IPO. Finance
Minister Ibrahim Al-Assaf said the state-run investment fund,
which owns 69.3% stake in the Jeddah-based bank, will seek
approval for the IPO from the market regulator in 3Q2014. He
further added that the fund plans to allocate an additional 10%
stake to the Public Pension Agency. The sale process will mark
Saudi Arabia's first bank IPO since 2008 and will probably be
the region's biggest IPO as NCB has SR377.3bn in assets. The
bank reported a profit of SR7.9bn last year. (Bloomberg)
 STC selects Cisco’s network solutions; signs deal with SAP
to optimize network operations – The Saudi Telecom
Company (STC) announced that it has chosen Cisco Advanced
Solutions to become the first service company in the MENA
region to select Cisco’s fundamental convergent system. The
system is a part of new networks that are specifically designed
to be the basis for a smarter, wider and more adapting internet.
It will be connected to the new reinforced generation of the
advanced programmable network. The system also facilitates
reinforced demand delivery and increases STC network service
delivery. Meanwhile, STC has signed an agreement with SAP to
implement its solutions for network life-cycle management to
improve network operations. SAP’s solutions will offer visibility
into STC’s equipment and assets, including multifaceted
historical details at every step of the lifecycle, while maintaining
the high quality of STC’s IT infrastructure. These solutions
reduce and optimize costs related to build and repair, as well as
helping increase the productivity of field workers.
(GulfBase.com)
 Mobily signs $280mn credit deal with NSN – Etihad Etisalat
Company (Mobily) has signed a $280mn credit deal with NSN to
source 3G, 4G networks at the Mobile World Congress. The
export credit facilitated by NSN will enable Mobily to accelerate
expansion and modernization of its 4G LTE, 3G and 2G
networks during 2014–2016. The investment is primarily aimed
at improving Mobily’s customer experience and addressing
demand for high speed data services. (GulfBase.com)
 Saudi CMA approves SPIMACO’s capital increase – The
Saudi CMA’s board has approved the Saudi Pharmaceutical
Industry & Medical Appliances Corporation’s (SPIMACO)
request to increase its capital from SR784.375mn to SR1,200mn
by issuing 9 bonus shares for every 17 existing shares. This
increase will be paid by transferring an amount of SR395.6mn
from retained earnings account and SR20mn from the
contractual reserve account to the company’s capital.
Consequently, the company's outstanding shares will increase
from 78,437,500 to 120,000,000 shares. The bonus shares
eligibility is limited to those shareholders who are registered at
the close of trading on the day of the extraordinary general
assembly, which will be determined later. (Tadawul)
 RCJY signs contracts for SR260mn projects – The Royal
Commission for Jubail and Yanbu’s (RCJY) Chairman, Prince
Saud bin Abdullah Al-Thunayan, has signed three contracts for
the construction and maintenance of a series of educational and
engineering projects worth SR260mn in the two industrial cities.
The first contract included the construction of four schools (boys
and girls) in Jubail Industrial City (JIC) together with the
associated facilities such as car parking, water and sanitary
networks, air-conditioning and heating, fire-fighting system, TV
cable services, CCTV, and sports facilities. Works will run for
three years. The second contract will provide engineering
services to the industrial and housing areas (phase II) in Yanbu
Industrial City (YIC) in addition to other services related to soil
control and telecommunications system. The third contract
covers operation and maintenance services to public utility
facilities in YIC and runs for five years. (GulfBase.com)
 Saudi Aramco awards contract Metso to supply valve
solutions – Saudi Arabian Oil Company (Saudi Aramco) has
awarded a large order to Finland’s Metso Oyj for its petroleum
refining and petrochemical production complex currently under
construction. The order includes a considerable number and
wide range of Metso's Neles rotary and globe valves and
Jamesbury valves, including control, on-off and safety valves. It
also includes Metso's intelligent safety solenoid technology and
valve controllers. The expansion of the current facilities is part of
Saudi Aramco's plan to diversify its business from crude oil into
chemicals, unconventional gas and renewables. (GulfBase.com)
 IT, telecom share of Saudi’s GDP rises to 2.75% – According
to a report released by Saudi Arabian Monetary Agency
(SAMA), the share of IT and telecommunications sector to the
gross domestic product (GDP) increased to 2.75% while its
share to nonoil GDP grew to 7.0% in 2012. Revenues of the
telecom firms operating in the Kingdom stood at SR71bn by the
end of 2012, at an annual average growth rate of 12% in the last
10 years (2003-2012). Revenues of mobile telecom services
represented 78% of the total revenues. Overseas investments of
the Saudi telecom companies jumped from SR455mn in 2007 to
SR18.7bn by the end of 2012 thus bringing the total revenues of
the company’s inland and overseas operations to nearly
SR90bn. (GulfBase.com)
 ADC to sell textile factory in Al-Ahsa Industrial City – AlAhsa Development Company (ADC) announced that, due to the
accumulated losses of SR142mn, its board has decided to sell
the whole textile factory in Al-Ahsa Industrial City, which has
Page 4 of 7

5. stopped production since 2007. The factory is built on total area
of 43,200 square meters and includes all textile machineries,
utilities equipment. (Tadawul)
 UAE-led group to buy Indian power plants for $1.6bn – A
consortium led by Abu Dhabi National Energy Company (TAQA)
has agreed to buy two Indian hydroelectric power plants from
Jaiprakash Power Ventures in a deal worth about $1.6bn. The
group will spend $616mn on equity in the plants, and in addition
take over their non-recourse project debt, bringing the total
enterprise value to around $1.6bn. State-run TAQA, with 51%
stake in the consortium, will control the operations and
management of both plants. PSP Investments, one of Canada’s
largest institutional investors, will own 39% and an infrastructure
fund run by India’s IDFC Alternatives will hold 10%. (Peninsula
Qatar)
 UAE, Japan sign deal to boost crude storage – Japan has
signed an agreement to boost the UAE’s crude storage capacity
in the Asian nation to 6.29mn barrels, up from the current 4.4mn
barrels. The deal will allow the UAE easy access to Asian
markets, while giving Japan priority access to reserves in case
of emergencies. In return for providing free storage space,
Japan gets a priority claim on the stockpiles in case of
emergency. According to Japan External Trade Organisation,
the trade volume between the two countries rose to
AED194.5bn ($52.9bn) in 2012, up by 6%. (GulfBase.com)
 IDB lists $1bn sukuk in Dubai – The Islamic Development
Bank (IDB) has announced the listing of its $1bn sukuk on
Nasdaq Dubai. The listing is the result of joint efforts between
the Ministry of Finance, Supreme Committee of the Islamic
Economy Initiative, Nasdaq Dubai and the IDB. The listing falls
in line with the IDB’s Medium Term Note Programme, which
recently increased from $6.5bn to reach $10bn. (GulfBase.com)
 NCC’s BoD proposes 25% cash dividend – National Cement
Company’s (NCC) board of directors has proposed the
distribution of 25% cash dividend to its shareholders. (DFM)
 Etisalat, Huawei sign deal on 40Gbps GPON technology –
Emirates Telecommunication Corporation (Etisalat), and Huawei
signed a new agreement that will see the two companies
working together to run a trial of their ultra-fast 40Gbps Gigabit
Passive Optic Network (GPON) Technology across Etisalat’s
footprint over the coming four years. The GPON project can
provide the speed and bandwidth required for seamless services
including voice over IP, high-speed internet, and IPTV.
(GulfBase.com)
 Agthia to raise production in Al Ain Water – Emirates
FoodStuff & Mineral Water Company (Agthia) will increase the
production of its bottled water facility (Al Ain Water) and open a
new baked goods facility in 2Q2014. The new facility will
increase capacity by 60% to 52mn cases of bottled water a year
from 32mn cases. Total investment in the expansion amounts to
around AED90mn. (GulfBase.com)
 Adaviation to invest AED25mn in training center – Ahmed Al
Khouri, an adviser at Abu Dhabi Aviation Company (Adaviation),
announced that the company is investing up to AED25mn in a
new flight simulator training center in Abu Dhabi. The company
is floating a tender to build the center near the Etihad offices in
Abu Dhabi by mid-2015, which will hold the region’s first
helicopter simulator. The center will be used to train Adaviation’s
own pilots as well as those from the UAE army and police force.
(GulfBase.com)
 Royal Jet’s new operational base to be completed in
4Q2015 – Abu Dhabi-based Royal Jet has announced that the
planning and development of its integrated base at Al Bateen
Executive Airport is well underway with first phase completion
targeted for 4Q2015. The land allocated by Abu Dhabi Airports
will be home to Royal Jet’s hangar. Royal Jet will build a 4,500
square metre hangar in addition to a 5,000 square metre facility
as a part of its first phase. Royal Jet is the international luxury
flight services company, which is jointly owned by Abu Dhabi
Aviation and the Presidential Flight Authority the royal flight
service. (GulfBase.com)
 Mubadala, Trafigura acquire iron ore port in Brazil for
$971mn – Mubadala Development Company and Trafigura
Group have completed the acquisition of a controlling stake in a
Brazilian iron ore port terminal from MMX Mineração e Metálicos
for $971mn. The deal involved Mubadala and Trafigura (through
its Impala subsidiary) paying $400mn for the shares in Porto
Sudeste, a major iron-ore port terminal located in Itaguai, Rio de
Janeiro state. The two parties will also assume approximately
1.3bn reais (AED2.03bn) of Porto Sudeste’s debt. MMX retains
a 35% interest in the port as part of the agreement. Porto
Sudeste is designed to handle 50mn tons of iron ore per year,
with future expansion to 100mn tons per year. Construction work
on the port began in July 2010, with commercial operations
expected to begin in 3Q2014. (GulfBase.com)
 ADNTC’s BoD proposes 16% cash dividend – Abu Dhabi
National Takaful Company’s (ADNTC) board has proposed the
distribution of 16% cash dividend to its shareholders. (ADX)
 UCC’s BoD recommends 7% cash dividend – Union Cement
Company’s (UCC) board of directors has recommended the
distribution of 7% cash dividend to its shareholders for the year
ended December 31, 2013. (ADX)
 OCC to obtain $39mn loan for cement project – The Oman
Cement Company (OCC) has decided to obtain a loan to
finance the setting up of a new cement mill at its existing plant at
an estimated expenditure of $39mn. Further, the company has
decided to appoint two new portfolio managers to handle part of
its investments. (MSM)
 Omani Banks’ non-performing loan ratio to total loan
portfolio declines – Central Bank of Oman’s (CBO) Executive
President, Hamoud bin Sanjour al-Zedjali, said that the ratio of
non-performing loan (NPL) to total loan portfolio of the
commercial banks in Oman has continued to decline through
2013, reaching 2.1% at the end of September 2013, compared
to 2.2% at the end of December 2012. The surplus in Oman's
balance of trade was OMR6,268.3mn in 9M2013. However,
excluding oil and gas exports, there is a deficit of
OMR4,573.4mn. (GulfBase.com)
 BASREC’s BoD recommends 40% cash dividend – Bahrain
Ship Repairing & Engineering Company’s (BASREC) board of
directors has recommended the distribution of 40% cash
dividends from the paid-up capital (i.e. 40 fils per share) to its
shareholders registered on the date of the AGM and EGM.
(Bahrain Bourse)
 Alba appoints new Chairman – Aluminium Bahrain (Alba) has
appointed Shaikh Daij bin Salman bin Daij Al Khalifa as the new
Chairman of the company. (GulfBase.com)
 GBCorp reports net profit of $14.835mn – Global Banking
Corporation (GBCorp) has reported a net profit of $14.835mn in
2013 as compared to a net loss of $17mn in 2012. Net profit
after provisions for 4Q2013 stood at $12.3mn compared to a net
loss of $10.3mn for the same period in 2012. The total operating
income in 2013 rose to $30.6mn. (GulfBase.com)
 Bahrain financial sector grows on GCC demand – According
to the Economic Development Board (EDB) and Central Bank of
Page 5 of 7

6. Bahrain (CBB), growing demand for more sophisticated financial
products and services helped drive growth in Bahrain's financial
sector during 2013 and the trend is expected to continue in
2014. Bahrain attracted a number of businesses, with the
number of registered financial services firms swelling to 415 by
the end of the year, making it one of the largest financial centres
in the region. Among the businesses that established in Bahrain
in 2013 were Cigna, Julius Baer and Takaud. (GulfBase.com)
 RNSS’ BoD proposes 10% cash dividend – Renaissance
Services’ (RNSS) board of directors has proposed the
distribution of 10% cash dividend (10 Baisa per share) to its
shareholders. (MSM)
 GIS’ BoD recommends 15% cash dividend – Gulf Investment
Services Holding Company’s (GIS) board has recommended the
distribution of 15% cash dividend (15 Baisa per share) for the
year 2013. (MSM)
Page 6 of 7

7. Rebased Performance
Daily Index Performance
180.0
170.0
160.0
150.0
140.0
130.0
120.0
110.0
100.0
90.0
80.0
0.1%
0.0%
(0.3%)
(0.2%)
(0.2%)
(0.6%)
(0.9%)
May-13
S&P Pan Arab
Dec-13
S&P GCC
Source: Bloomberg
(
Asset/Currency Performance
Gold/Ounce
Silver/Ounce
Crude Oil (Brent)/Barrel (FM
Future)
Natural Gas (Henry
Hub)/MMBtu
North American Spot LPG
Propane Price
North American Spot LPG
Normal Butane Price
Euro
Source: Bloomberg (* As of February 27, 2014)
Close ($)
1D%
WTD%
YTD%
1,326.44
0.0
0.0
10.0
21.23
0.0
0.0
9.0
109.07
0.0
0.0
(1.6)
4.70
0.0
0.0
8.1
112.25
0.0
0.0
(11.1)
129.37
0.0
0.0
(5.2)
Global Indices Performance
Close
1D%
WTD%
YTD%
16,321.71
0.0
0.0
(1.5)
S&P 500
1,859.45
0.0
0.0
0.6
NASDAQ 100
4,308.12
0.0
0.0
3.1
338.02
0.0
0.0
3.0
DAX
9,692.08
0.0
0.0
1.5
FTSE 100
6,809.70
0.0
0.0
0.9
DJ Industrial
STOXX 600
1.38
0.0
0.0
0.4
101.80
0.0
0.0
(3.3)
GBP
1.67
0.0
0.0
1.1
MSCI EM
CHF
1.14
0.0
0.0
1.4
SHANGHAI SE Composite
AUD
0.89
0.0
0.0
0.1
USD Index
79.69
0.0
0.0
(0.4)
RUB
35.86
0.0
0.0
9.1
BRL
0.43
0.0
0.0
0.9
Yen
Dubai
Oct-12
Abu Dhabi
QE Index
Mar-12
(0.9%)
Oman
Aug-11
(0.7%)
Qatar *
(1.2%)
Jan-11
(0.3%)
(0.6%)
Bahrain
131.5
Kuwait
144.3
Saudi Arabia
Jun-10
0.3%
169.2
Source: Bloomberg
CAC 40
Nikkei
4,408.08
0.0
0.0
2.6
14,841.07
0.0
0.0
(8.9)
966.42
0.0
0.0
(3.6)
2,056.30
0.0
0.0
(2.8)
HANG SENG
22,836.96
0.0
0.0
(2.0)
BSE SENSEX
21,120.12
0.0
0.0
(0.2)
Bovespa
47,094.40
0.0
0.0
(8.6)
1,267.27
0.0
0.0
(12.2)
RTS
Source: Bloomberg
Contacts
Saugata Sarkar
Ahmed M. Shehada
Keith Whitney
Sahbi Kasraoui
Head of Research
Head of Trading
Head of Sales
Manager - HNWI
Tel: (+974) 4476 6534
Tel: (+974) 4476 6535
Tel: (+974) 4476 6533
Tel: (+974) 4476 6544
saugata.sarkar@qnbfs.com.qa
ahmed.shehada@qnbfs.com.qa
keith.whitney@qnbfs.com.qa
sahbi.alkasraoui@qnbfs.com.qa
QNB Financial Services SPC
Contact Center: (+974) 4476 6666
PO Box 24025
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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