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FINANCIAL CHRONICLE™ » DAILY CHRONICLE™ » Sri Lanka Newspapers - 05/01/2012

Sri Lanka Newspapers - 05/01/2012

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1Sri Lanka Newspapers - 05/01/2012 Empty Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 12:11 am

CSE.SAS

CSE.SAS
Global Moderator

Tokyo Cement holds on to rating
* Despite inability to pass on cost increases,funding mismatch and exposure to industry


RAM Ratings Lanka has reaffirmed Tokyo Cement Company (Lanka) PLC’s long- and short-term corporate credit ratings of A and P2 respectively. The long term rating carries a stable outlook. The ratings are supported by its sizable market share, its healthy balance sheet, and the healthy debt coverage levels. The above positives are, however, moderated by the inability to immediately pass on cost increases to the end-customer, funding mismatch and the exposure to the cyclical nature of the construction industry. The Group is primarily involved in the manufacture and sale of Portland and ready mix cement both to retail customers and large projects.

"Tokyo is one of the only two cement suppliers in Sri Lanka that operate local manufacturing plants; Together they supply around half of the cement in Sri Lanka. The rest of the market is populated by importers. The Group performed well both in the retail and project-based segments during FYE 31 March 2011, securing approximately the largest share of the domestic cement market during the same period," the ratings agency said in a statement.

"Tokyo has been utilising its strong cashflow generation to pare down its debts. As such, the Group’s debt burden reduced from LKR 4.27 billion as at end-March 2010 to LKR 3.56 billion as at end-March 2011. Concurrently, its gearing ratio eased from 0.75 times to 0.62 times. This further reduced to 0.57 times in end-June 2011. As the proposed bio mass plant is anticipated to be funded largely via internally generated funds, with only the remainder via debt the gearing levels are expected to remain at current levels.

"Further, the Group’s funds from operations strengthened to LKR 2.21 billion in FY Mar 2011, from LKR 2.08 billion a year ago, supported by sales which grew 11.92% year-on-year while gross margins also improved to 17.62% in FY Mar 2011 from 15.58% last year. This together with the reduced debt burden translated into an improved FFO debt coverage of 0.62 times (end-March 2010: 0.49 times), which is strong compared to similar-rated peers.

"On the other hand, cement suppliers are required to adhere to the retail price ceiling set by the Consumer Affairs Authority of Sri Lanka (CAASL). Therefore, performance may be affected during periods of rising raw material costs as they may not be able to pass on cost increases to the customer in a timely manner. The ceiling price however does not apply to project sales. While the Group is also exposed to exchange rate fluctuations as its raw materials are imported, the Sri Lankan rupee exchange rate is managed within a band by the Central Bank of Sri Lanka (CBSL).

"In addition Tokyo relied heavily on short-term borrowings to finance its capital expenditure. As a result, its short-term funds to total borrowings stood at 73.13% as at end-March 2011 compared to 66.25% last year. This together with the Group’s low cash holdings translated into a low short-term funds to cash and cash equivalents (CCE) ratio of 0.08 times. Nevertheless, RAM Ratings Lanka derives some comfort from the Group’s short operating cashflow cycle which has remained below 1 month and its healthy annual FFO generation of around LKR 2 billion.

"Inherently, the Group is exposed to the cyclical nature of the construction industry, which is the largest cement consumer. For example, the downturn in the construction industry in fiscal 2009 and 2010 resulted in the Group’s Operating Profit before Depreciation Interest and Tax (OPBDIT) levels dropping to LKR 1.63 billion in FY Mar 2010 from 2.30 billion a year earlier. Nevertheless, with the recovery of the sector which improved with economic growth in FY Mar 2011, it increased to LKR 2.06 billion. Given the construction industry’s positive outlook, we anticipate this momentum to continue in the short to medium term. The Group’s revenue and the output of the country’s construction sector recorded a positive correlation of 0.85 for the past 6 years," RAM Ratings said.

http://island.lk/index.php?page_cat=article-details&page=article-details&code_title=42514

CSE.SAS

CSE.SAS
Global Moderator

The Board of Directors of Touchwood Investments PLC has appointed former banker Rienzie T. Wijethileke as its new Chairman.

At an Extraordinary General Meeting of shareholders held on 02nd January 2012, it was unanimously resolved that, Wijethileke be appointed as a Director of Touchwood Investments PLC, the company said in a statement. "At a Board Meeting held subsequently, the present Chairman Roscoe Maloney stepped down from the chairmanship and the directors unanimously decided to appoint Wijethileke as the new chairman."

Wijethileke in a brief statement to the board had said that it had been his wish during his long years of service in the financial sector, especially as Chairman of Hatton National Bank, to focus on the need to utilize the vast economic resources available in the urban sector to meet the urgent economic needs of the rural sector.

"The medium and long term objectives of Touchwood correspond well with the medium to long term national needs of the country. This important factor was the main reason behind my decision to accept the chairmanship of the company. Whilst improving the stakeholder value, I will make every endeavor to take the company to the next level of growth," he said.

http://island.lk/index.php?page_cat=article-details&page=article-details&code_title=42516

CSE.SAS

CSE.SAS
Global Moderator

The second market day for the year, Tuesday January 03, witnessed three new listings at the Colombo Stock Exchange (CSE) with the listing of Kalpitiya Beach Resort Limited (code: CITK) and Waskaduwa Beach Resort Limited (code: CITW) on the Diri Savi Board of the CSE and will be classified under the Hotels and Travels sector, the stock exchange announced.

The opening price for Kalpitiya Beach Resort Limited (code: CITK) was Rs. 19.00 and it closed at Rs. 17.00, while Waskaduwa Beach Resort Limited (code: CITW) opened at Rs. 13.50 to close at Rs. 14.00.

Through an Initial Public Offering the Kalpitiya Beach Resort Limited raised Rs. 283.5 million listing 161,200,010 shares at Rs.17.50, while Waskaduwa Beach Resort Limited raised Rs. 195 million, listing 155,600,010 shares at Rs.12.50.

The Bank of Ceylon (BOC) debenture issue was listed at Rs. 5 billion under debt securities on the Main Board of the CSE on 03rd January 2012. The 50,000,000 million unsecured redeemable debentures were issued at a price of Rs. 100.00 and was over subscribed and closed on the 01st of December 2011.

The types of debenture issue by Bank of Ceylon are as follows, Fixed rate 5 year debentures (11%) payable annually, Fixed rate 5 year debentures (10.5%) payable bi-annually and Floating rate 5 year debentures payable bi-annually.

Yesterday the CSE celebrated the dawning of the New Year by hosting investors, investment advisors and stock brokers present at its branches (Matara, Kandy, Kurunegala, Negombo and Jaffna) to a traditional breakfast.

Trading for the year opened the previous day on a positive note with the benchmark All Share Price Index recording an increase of 0.45 points to close the day at 6,074.87 while the more liquid Milanka Price Index (MPI) closed at 5,239.92 recording an increase of 10.76 points from the previous days closing. The turnover recorded for the day was Rs. 419.5 million.

Meanwhile, investors and brokers celebrated the New Year at the CSE Kandy and Matara branches.
http://island.lk/index.php?page_cat=article-details&page=article-details&code_title=42519

CSE.SAS

CSE.SAS
Global Moderator

In today’s turbulent global economy, effective management and corporate performance are required more than at any other time in history. In this backdrop, Lanka BPO Academy has launched its executive training arm to serve the growing market demands.

The Lanka BPO Academy (LBA – www.lankabpoacademy.lk) is a dedicated entity to develop human capital in Sri Lanka. LBA is the exclusive Sri Lankan partner of BPO Certifications Institute Inc. (BCI), the world’s largest body for Business Process Outsourcing (BPO) Certifications. In addition, it has collaborated with many other international and local partners to deliver various global standard training programs to enhance the human capital development of organizations.

The International Project Management training body StarPMO has partnered with Lanka BPO Academy and is offering PMP training in Sri Lanka. StarPMO is reputed all around the world for Project Management training with their vision of providing the best project management consulting and certification assistance.

The focus of the executive training arm is on providing training and consultancy services in Management Education, Training & Certifications that will have an immediate impact on employee’s abilities and rapid career growth. Our training and coaching methods are designed for industry and corporate applications, with employee career and ability to improve efficiency in corporate as our primary focus. We help all categories of employees from new entrants to managers in growing their chosen careers.

The corporate training suite also includes ITIL, ISO, Six Sigma, COBIT, CBAP certifications, BCI Certifications, Customer Service Excellence, Telephone etiquettes, Telemarketing, Business communication skills, Financial English, Workforce Management, Creativity & Innovation, Soft skills, Presentation Skills, Business & IT, Advanced Microsoft Office Applications training etc.

Our delivery approach to training revolves around Client Specific In-Company Training, Accredited Management Programs and Public Programs.
http://island.lk/index.php?page_cat=article-details&page=article-details&code_title=42513

CSE.SAS

CSE.SAS
Global Moderator

Prasad Galhena has been appointed as the new Chairman and CEO of the National Gem and Jewellery Authority of Sri Lanka with effect from today, January 05. Having a proven track record of turning around several state institutions, he brings in a wealth of experience in management with the view to making a positive impact on the development of the industry, the authority said in a statement announcing the appointment.

As Director Finance of government owned Associated Newspapers of Ceylon Ltd the incurring loss of Rs. 12 million per week was turned around to a profit of Rs. 8 million per week. He was later appointed the Chairman of Laksala which at that time was on the verge of closure and it soon became a profitable venture with the introduction of several new divisions and branches during his tenure. New product lines were also introduced and all outstanding payments to craftsman were settled.

As the Chairman of the Shipping Corporation during a period of 18 months several new divisions were added and profitable ventures were undertaken. The ferry service, feeder service for vessels for India and Bangladesh, the freight logistics division, personal baggage handling, the transportation of coal for the Norochcholai power plant are among some ventures initiated by him. Among other projects initiated and in the pipeline are the acquiring of an oil tanker and three bulk cargo vessels. At the point of taking over the Ceylon Shipping Corporation, the turnover which was around Rs. 120 million has now matured to a value of Rs. 7 billion.

Prasad Galhena is BBA (Hon) 1st Class and MBA (Hon) graduate from the University of Colombo, a Fellow of the Chartered Institute of Management Accounting(CIMA - UK) and past finalist of both the Chartered Institute of Accountants Sri Lanka and the Charted Institute of Marketing UK.
http://island.lk/index.php?page_cat=article-details&page=article-details&code_title=42517

6Sri Lanka Newspapers - 05/01/2012 Empty Bourse blip! Thu Jan 05, 2012 12:31 am

Kumar

Kumar
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics

Three days in to the New Year, market’s dip tops 1.5%; ASI below 6,000 points; Rs. 32 b lost in value

Within just three market days since New Year, the Colombo Bourse has already surpassed the 1% decline threshold closing yesterday with a negative return of 1.67% and losing Rs. 32 billion in value since end 2011.
The dip yesterday was the sharpest in the New Year, with ASI down by over 1% and Milanka Index by over 2%. Turnover was Rs. 459 million, slightly better than Tuesday’s Rs. 380 million.

On a normal day the 1% dip wouldn’t have been of concern given Colombo’s overall dip of 8.5% in 2011. Analysts were highly concerned that yesterday’s dip was despite the Central Bank coming up with a robust roadmap for 2012 and beyond. “On Tuesday specific details may not have been fully digested. However yesterday given the wide publicity and reading, the Roadmap had apparently failed to spur the market,” an analyst lamented.

A fund manager said the dip was unfortunate and disheartening since the roadmap looked good and the Central Bank justifiably may have had enough confidence to make the forecast very optimistic midst gloom globally. “Achieving 8% growth in 2012 marking it the third consecutive year of such high growth would be highly commendable. If that rosy forecast were to be ignored, even a GDP growth of over 6% could be very high in the worsening global situation,” another analyst opined.

“Despite positive macro-economic outlook and envisaged high inflows, the failure of the market to be revitalised confirms the serious lack of confidence and perhaps Roadmap wasnt convincing enough,” analysts added.

“Stock market is a leading indicator of business sentiments as well as investor perceptions. The Government rode on it in 2009 and 2010 when it gained by 125% and 96% respectively. In the same vein the dip in 2011 and so far this year should be of serious concern rather than merely liking it to correction,” they emphasised.
Others attributed the low level of activity to external factors and liquidity issues as well as indecision on some beneficial moves by the regulator Securities and Exchange Commission. Independent observers were quick to point out that Rs. 500 million turnover was the true character of Bourse sans questionable play by some investors.

Brokers disagree and emphasised that potential of Colombo Bourse given the strong fundamentals was greater provided all stakeholders act with trust and confidence.
Large investors remained on the sidelines awaiting credit guidance from the main regulator according to Reuters.
“It was a disappointing day on the Sri Lanka bourse with the ASPI declining by 1.0% to 5973 to close below the psychologically important support level of 6000. This was on the back of retail selling in a number of counters,” moaned DNH Financial.

“Market seemed to drown deeper into trouble as the indices fall off – the – track sharply,” Arrenga Capital said yesterday. “Nothing seems to boost the investor confidence that keeps fading by the day as the market bottom – out puzzle still remains unanswered. Analysing a trend over the past two months, the benchmark index have being moving back and forth around the psychological point of 6,000 looking for a direction, and the question remains as to what would be the turnaround point,” it added.

“The market continued to denote a bearish sentiment as investors preferred to remain on the side lines waiting for a sign of better times in the Colombo bourse,” noted Lanka Securities.

NDB Stockbrokers said heavy retail activity dominated the market amidst many counters losing ground. Continued interest in Environmental Resources was witnessed while JKH managed to top the turnover list.
Diversified sector was the highest contributor to the market turnover (due to John Keells Holdings) and the sector index declined by 1.90%. The share price of John Keells Holdings slid by Rs 0.70 (0.41%) to close at Rs 169.00.

Investment Trust sector became the second highest contributor to the market turnover (due to both shares and warrants of Environmental Resources) and the sector index decreased by 2.74%. The share Price of ERI dipped by Rs 4.10 (10.93%) to close at Rs 33.30 while warrant 2’s price decreased by Rs 1.90 (12.26%) to close at Rs 13.60.

Ceylon Tobacco Company and Ceylon Leather Products were among the top contributors to the market turnover.

CTC’s price declined by Rs 9.00 (1.84%) to close at Rs 481.00 while Ceylon Leather Products saw its price coming down by Rs 3.40 (3.47%) to close at Rs 94.50.

Banking sector players, Seylan Bank and Nations Trust Bank, saw some interest as they advanced by 2.3% and 0.5% respectively amidst bearish sentiments, whilst National Development Bank continued to glide down as it closed at Rs. 128.0 with a 4.5% plunge. Interest also prevailed in Aitken Spence Hotel Holdings, Colombo Dockyard, commercial Bank and Distilleries as well, as each closed in the red. Meanwhile, Insurance sector player Ceylinco Insurance [Non – Voting], topped the price gainers’ list as it advanced by 9% at its close of Rs. 328.2.

“While today’s market performance was clearly disappointing, we believe that it is only temporary and a re-rating is in the offing,” DNH Financial attempted to sound optimistic. “Given that several blue chip stocks are currently trading on single digit valuations, we see little excuse for bottom up investors to avoid the market and advise investors to select counters with sustainable financial attributes,” it argued.

“While equity investors have been hit relatively hard over the past couple of months following a series of events which has taken attention away from the strong corporate performance of several blue chip heavyweight and middleweight counters, we believe the window to invest is now open for those willing to have a alpha driven approach. In this respect, we wish to emphasise that stock selectivity will determine the winners from the losers,” DNH added.

http://www.ft.lk/2012/01/05/bourse-blip/#comments

Kumar

Kumar
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics

Fitch Ratings Lanka Ltd. Country Head Maninda Wickramasinghe has sent the following clarification on what it believes as claims and factual inaccuracies in the 30 December Daily FT article titled ‘Fitch to be fixed?’:
Fitch has made every effort to be transparent and consistent in its rating actions on Hayleys Plc and all other issuers.

Contrary to the article’s claims regarding the agency’s ‘alleged failure to reveal a manual with which it bases the evaluation,’ Fitch would like to reiterate that it has and will continue to provide issuers and market participants with the relevant and specific criteria governing its rating policies and procedures at the end of each rating action and commentary that the agency publishes pursuant to its rating actions.

These criteria and methodologies have been, and will continue to be publicly available on its websites www.fitchratings.com and www.fitchratings.lk on a free-of-charge basis.

In addition Fitch would like to correct the article’s inaccurate statement on the agency’s rating actions on John Keells Holdings Plc (JKH) in December 2002.

Fitch did not remove JKH from rating watch and reaffirm its AAA(lka) rating in December 2002 ‘three months’ after JKH’s downgrade as stated by the Daily FT’s story.

Fitch in fact affirmed JKH at AA+(lka) with a Stable Outlook on 6 December 2002.

The agency on upgraded the National Long-Term rating of JKH to AAA(lka) with a stable outlook on 2 September 2004, almost two years after the downgrade on 6 September 2002 – not three months as indicated in the Daily FT article.

As stated in our media release on 2 September 2004: “The upgrade reflected JKH’s improved credit profile, primarily driven by a substantial increase in equity by way of a share issue in 2003, combined with enhanced earnings partially due to acquisitions made during the recent past. As a result, total debt/EBITDA reduced to 0.9x at end March 2004 versus 1.4x at end-March 2003.”

http://www.ft.lk/2012/01/05/fitch-clarifies-daily-ft-report-fitch-to-be-fixed/

8Sri Lanka Newspapers - 05/01/2012 Empty KPMG’s banking outlook Thu Jan 05, 2012 12:37 am

Kumar

Kumar
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics

Global banking will look fundamentally different in 12 months
2012 will likely be remembered as a watershed moment for global banking, with banks pressured to completely overhaul their business models and structures. Historic rates of return on equity have been affected by current market realities. Banks are already making radical adjustments in a bid to create value for their shareholders and meet regulatory challenges. Consequently, simpler banking models and further moves by banks to move parts of the business to Asia are likely.

“The regulatory debate and policy developments of the past three years have just been a warm up. 2012 is the year of action and a long and difficult road of implementation lies ahead. We are witnessing the next wave of regulatory reform and rapid implementation that will be required from senior management at banks,” said Giles Williams, head of KPMG’s Financial Services Regulatory Center of Excellence.
“The key challenges facing banks can be summed up in two words—liquidity and capital—and 2012 will likely be dominated by refinancing. As banks have been tasked with additional capital requirements, there will likely be continued focus on higher retention of earnings (rather than paying out as bonuses or dividends), cost reduction and reducing on- and off-balance sheet exposures.”

In addition, Williams commented, “In practice, I expect recovery and resolution plans (RRPs) to be high on bankers’ agendas during the first half of 2012. Limited progress has been made on harmonised resolution regimes for major cross-border groups to date; however, a critical task for Q1 and Q2 of 2012 will likely be working through RRPs in the context of the UK Treasury’s recommendations on the Independent Commission on Banking (ICB) report. The global systematically important financial institutions (G-SIFI) debate is expected to be nudged forward early in the new year with the Financial Stability Board due to make further announcements on both capital and liquidity in January.”KPMG’s Evolving Banking Regulation report contrasts regulatory developments in Europe, the US and Asia Pacific. Despite the intention of the G20 to have regulatory convergence, the intensity and urgency of policy initiatives coming out of various jurisdictions is directly correlated to local market conditions. Consequently, regulatory reform is being pushed harder in Europe and the US than in Asia.

Europe
According to the report, banks face significant increases in costs to meet regulatory reforms while earnings are simultaneously being hit hard. While the European sovereign debt problem has diverted recent attention away from the broader regulatory agenda, it is expected to be firmly back on the agenda in 2012. The proposed separation of retail and investment banking as raised by the ICB in the UK is now being examined across Europe. The Financial Transaction Tax is another debate that is expected to continue throughout Europe and the Foreign Account Tax Compliance Act (FATCA) continues to challenge operating models. At the same time, the capital and liquidity issues being driven by the regulator and through the Capital Requirements Directive IV (CRD IV) framework will likely continue to be top of mind.
Governance and remuneration, specifically the role of the board, senior management and internal framework, are expected to move up the regulatory agenda over the next 12 months.

US
According to the report, the debate in the US has been focused on the proper role of regulation, with some questioning whether current regulatory rule-making is hampering the economic recovery and potentially putting US institutions on an uneven playing field with global competitors.
By the end of 2012, industry participants should have a better understanding of how many aspects of the

Dodd-Frank Act will be implemented and the true impact on their business model and profitability.
Ultimately, 2012 will be another year of significant change and uncertainty for the US financial services industry as firms continue to make the transition to a new regulatory environment with new rules and regulations.
Asia

According to the report, despite the fact that banks in the Asia Pacific region generally fared well during the crisis, Basel III implementation is still moving forward. Analysis of capital requirements under Basel, and current requirements in some Asian jurisdictions, suggests that some Asian regulators will be treating all their major banks as if they are systemically important.
With all the focus on Basel III, according to the report, it is easy to lose sight of the fact that there are numerous other issues facing banks in Asia notably how the macro-economic environment will
develop.
http://www.ft.lk/2012/01/05/kpmgs-banking-outlook-global-banking-will-look-fundamentally-different-in-12-months/

9Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:18 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

Inflation to remain at single digit
CB to adopt new policy:
Ramani KANGARAARACHCHI
The inflation level in the country was contained at mid single digit levels in 2011 and it is expected to be 5 to 6 percent for 2012, Central Bank Governor Ajith Nivard Cabraal said.


Governor
Ajith Nivard Cabraal
Elaborating CB plans for the forthcoming period in Colombo on Wednesday, he said the annual average inflation was 6.7 percent in December and year on year inflation declined to 4.9 percent from 6.8 percent at the end of December 2010 and the year on year core inflation was less volatile recording 4.7 percent in December 2011.

The Central Bank has greater confidence in its ability to face new challenges and adopt new frameworks of monetary policy as it could use new strengths from 2012.

Cabraal said the Central Bank has carefully prepared to move to a more advanced monetary policy framework from the traditional one since early 1980s and since early 2000 it has acknowledged that a new framework may be needed for more effective monetary management with financial market developments and innovations as well as the structural changes taking place in the economy.

The Central Bank cautioned that without such changes the efficacy of the monetary targeting framework could diminish. Towards that end, the CB identified measures needed to move to a better monetary policy framework in the medium term.

The Governor said that almost 10 years ago the CB articulated pre-conditions for moving to a framework targeting of inflation. Accordingly, the budget deficit was reduced to a reasonable and predictable level to reduce inflationary impact of budgetary financing.

Using a more representative price index to better reflect consumer behaviour, having a measure of core inflation to identify demand driven inflationary pressures also are other pre conditions.

To ensure the accountability of the monetary authority to deliver low and stable inflation, the CB improved inflation forecasting and identified inflation expectations strengthening monetary policy transmission and improving transparency of monetary policy and policy communication, he said.

The Governor said many of those pre conditions have now been achieved and within the next few years inflation will be brought down to below 5 percent as inflation forecasting techniques have been improved.

The improved roads, transportation, electricity, village based agricultural projects telecommunication, banking facilities and financial inclusions are some of the other achievements which reduced volatility in supply driven inflation through structural interventions in the economy.

The communication and transparency of monetary policy was improved through road map, strategic planning, advance release calendar, detailed policy statements and daily updated website.

“The price stability delivered through inflation at single digit levels for the past three years was a result of inflation expectations surveys conducted to capture expectations of various stakeholders on future inflation,” he said.

http://www.dailynews.lk/2012/01/05/bus01.asp

10Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:18 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

CIC bananas to Europe
CIC Agri Businesses commenced the export of banana to Europe recently with the first consignment being shipped to Italy and Albania last week.

The cavendish type banana is cultivated in their farms in Hingurakgoda and Pelwehera. According to a company spokesman CIC Agri Businesses will be exporting between 25 to 50 metric tonnes of banana every month to European countries.

In addition the company also supplies export quality banana to all leading supermarkets in Sri Lanka and is also available at all Fresheez and Juiceez outlets.

CIC Agri Businesses which has been in the forefront of agriculture in Sri Lanka have also been exporting rice and other value added agriculture products to different countries.

http://www.dailynews.lk/2012/01/05/bus02.asp

11Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:19 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

Nestle to open Rs 600 m noodles plant in Pannala
Hemanthi GURUGE
Nestle Lanka PLC plans to invest Rs 600 million to setup a new noodles plant in Pannala. The company sources told Daily News Business that the new noodle plant in Kurunegala is scheduled to start full scale operations on January 11. This new facility will enable Nestle Lanka PLC to further expand its business throughout the country’s fast growing noodles market.

This is the first investment in 2012 and marks another milestone in their plan to invest in and partner the company’s healthy growth. Nestle Lanka PLC has also committed around Rs 10 billion investments in Sri Lanka over a period of five to eight years commencing 2011.

The company is planning to invest every year for capacity expansion in beverage and dairy development. Nestle is the world’s leading nutrition, health and wellness company. Nestle believes that it is only possible to create long-term sustainable value for its shareholders if its behaviour, strategies and operations also create value for the communities where they operate, for its business partners and for its consumers.

http://www.dailynews.lk/2012/01/05/bus03.asp

12Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:19 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

BoC to raise US $ 500 m
Bank of Ceylon is planning to raise a US $ 500 million bond mainly focusing on facilitating foreign loans.

The Bank will raise US $ 500 million bond during this year and will make concrete plans on how to raise the bond and ways of utilizing funds at a meeting to discuss its corporate plan for 2012 to be held next Saturday, Bank of Ceylon Chairman Dr. Gamini Wickramasinghe told Daily News Business.

"We will finalize the raising of funds by the next three to four months and the bond will be rated," he said.

The Bank earned Rs 6.78 billion profit for the nine months ended September last year and is the largest state bank in the country. (SJ)

http://www.dailynews.lk/2012/01/05/bus04.asp

13Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:20 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

GOH to undergo major facelift
Indunil HEWAGE
Grand Oriental Hotel, one of the oldest hotels in Colombo adjoining the Colombo Harbour is expected to see a major facelift with strategic investments to be made in the coming months.

Speaking to Daily News Business, Grand Oriental Hotel Chairman Diyanath Rohan Jayasinghe said discussions are under way to add another 100 rooms to the hotel before the end of 2013. It is too early to quantify the total investment of the project or the main investor parties involved in the project since project suggestions are still under review.

According to Jayasinghe, the Bank of Ceylon would probably have a major share of investment for the proposed hotel development project as BOC owns 90% stake of Grand Oriental hotel.

The hotel has been neglected for a long period of time and what we want is to regain our past glory with making the hotel as a star class hotel in Sri Lanka. The hotel has also seen a significant growth rate in terms of occupancy level and revenues.

At present, the Grand Oriental Hotel boasts of 100 rooms, of which 76 are operational and 25 being upgraded.

Sources said that the investment is assumed to be over Rs one billion.

One of the leading hotel chains in Singapore, Raffles has also held discussions with the senior management of the GOH on the improvement of the hotel.

http://www.dailynews.lk/2012/01/05/bus05.asp

14Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:20 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

LIC opens in Kilinochchi
Life Insurance Corporation of India (LICI), a pioneer in Sri Lanka in life insurance expanded its service network with the opening of its 25th branch in the island in Kilinochchi under LIC Lanka Ltd., a partnership between LIC of India and Bartleet Transcapital.

LIC Lanka is now in Kilinochchi to extend protection to the populace of the North, to help them begin life anew. With thirteen types of life policies including Endowment, Money Back, Pure Life, Investment and Pension to choose from, LIC Lanka is catering to the needs of every individual.

There is a life insurance policy exclusively for women and children providing unique benefits.

LIC Lanka has branches in Colombo, Negombo, Chilaw, Gampaha, Kalutara, Kandy, Kurunegala, Matara, Nuwara Eliya, Bandarawela, Badulla, Ratnapura, Puttalam, Anuradhapura, Polonnaruwa, Balangoda, Trincomalee, Batticaloa, Vavuniya, Mannar, Chavakachcheri, Jaffna, Point Pedro and Kalmunai.

It serves 65,921 policy holders. LIC first began operations in Sri Lanka in 1956, but closed its operations in 1962.

http://www.dailynews.lk/2012/01/05/bus06.asp

15Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:21 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

Market ends in red
Colombo stocks ended in the red zone yesterday with notable losses in both benchmark indices. ASI dropped by 62.90 points (-1.04%) to close at 5,972.75 while sensitive MPI dropped by 53.99 points (-1.03%) to close at 5,120.89.

Daily market turnover was Rs 460mn. John Keells Holdings (Rs 144.6mn) was the top contributor to the market turnover followed by Environmental Resources Plc (Rs 68.5mn) and Environmental Resources warrant 2012 (Rs 16.2mn).

Environmental Resources voting share and warrants were traded heavily during the day and ended with negative returns. Apart from ERI, counters such as HVA Foods, Citrus Waskaduwa and John Keells Holdings were among the mostly traded stocks.

Foreign participation accounted for 27% of the total market activity.

Lanka Securities Research

16Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:22 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

New NGJA Chairman

Prasad Galhena
Prasad Galhena assumed duties as the Chairman of National Gem and Jewellery Authority yesterday.

He holds a Bachelor of Business Administration first class honours degree from the Colombo University and MBA honours from Colombo University.

He is also a fellow member of CIMA and past finalist of the Institute of Chartered Accountants Sri Lanka. He has an ambitious plan to develop the country's gem and jewellery sector as a key export contributor to the national income. (SJ)

http://www.dailynews.lk/2012/01/05/bus08.asp

17Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:23 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

Ronnie heads NTB
Nations Trust Bank Plc has appointed Ronnie Peiris as Chairman from January 1. He has served on the Board of the Bank for many years and is also currently an Executive Director on the Board of John Keells Holdings PLC and is its Group Finance Director.

He is also a Director in several Listed and Non Listed Companies.Peiris has over 40 years of Finance and General Management experience, 37 of them at Senior Management level, in Sri Lanka, Zambia, Zimbabwe and South Africa.

He is currently the President of the Sri Lanka Institute of Directors, a member of the Main Committee of the Ceylon Chamber of Commerce.

http://www.dailynews.lk/2012/01/05/bus09.asp

18Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:23 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

Country expecting strong UK delegation for Expo 2012:
UK keen on Sri Lanka's tourism sector
British investors are keen on investing in Sri Lanka's new phase. They are specifically eyeing Sri Lanka's tourism sector. Meanwhile, Sri Lanka invites strong business and industry delegations from the UK to Sri Lanka Expo 2012 show.

"Sri Lanka's tourism sector is very promising with good potential" said visiting British MP James Wharton. Wharton was paying a courtesy call on Industry and Commerce Minister Rishad Bathiudeen on Tuesday at the Ministry premises. Accompanying Wharton on the two member UK parliamentary delegation was his Political Advisor, Chris Duggan.


Industry and Commerce Minister Rishad Bathiudeen (centre) greets visiting British MP James Warton yesterday at the Industry and Commerce Ministry. Political Advisor to Wharton, Chris Duggan (left), looks on.
"I believe that prospects in Sri Lanka tourism are very high. We had discussions on Sri Lanka tourism in London among us, especially on improving Sri Lanka's image in the UK," Wharton said.

"British investors are invited to invest in our tourism, agro, infrastructure, and industries. A shortfall of hotel rooms while a tourism boom takes place open opportunities for British construction firms here. Also, using Sri Lanka as a base, they can export to India by taking advantage of the Indo-Lanka Free Trade Agreement. More than 4,000 product lines are now open for British investors under Indo-Lanka FTA," said Minister Bathiudeen, addressing the two member British delegation.

"Sri Lanka's IT sector has very high potential along with strong capacity for BPO and KPOs. The BPO sector is open for high value addition process," Minister Bathiudeen said.

"Sri Lanka is also becoming a strong logistical and a maritime hub. Sri Lanka provides a friendly environment for British investors as a result of the development vision of President Mahinda Rajapaksa.

We also strongly encourage investments in the North and the East," Minister Bathiudeen added and said, "I invite strong business and industry delegations from the UK to our mega export show 'Sri Lanka Expo 2012' to be held in March in Colombo. This show is held after more than 15 years lapse." According to the Commerce Department, Sri Lanka's trade with the UK has recorded a considerable increase during the years 2001-2008.

The value of total trade between the two countries registered at US $ 1287.3 million in 2010, increased by 0.8% over the previous year.

The trade balance between the two countries has been in favour of Sri Lanka during last 10 years, mainly due to increase in the exports of textile and apparel to the UK on zero duty under the GSP Plus arrangements.

Among major Sri Lankan exports to the UK are apparel and clothing accessories, fish fillet and fish meat fresh, chilled or frozen, bicycles, food preparations, tea and gloves.

Responding to Minister Bathiudeen's investment call, Wharton stressed: "Sri Lanka should send the message to the diaspora that if they invest here, their investments will be secure. This will give a positive sign for British investors looking to invest here."

The UK is one of the major investors in Sri Lanka. British companies have invested in Sri Lanka in diverse areas such as textiles, garments and accessories, electronic products, security printing, tourism, infrastructure development, rubber based products, activated carbon, prawn farming, agriculture, food processing, computer software development and data entry services, business, financial and educational services.

Leading British based companies in Sri Lanka are Unilever, British Tobacco, Glaxo Limited, Smith Kline Beecham, Brook Bonds and Lipton, Lloyds of London, Courtaulds Textile plc, Oxley threads, Coats Viyella, Marks and Spencer, P and O Navigation Company, and Thomas de La Rue.

http://www.dailynews.lk/2012/01/05/bus11.asp

19Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:26 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

Natural rubber industry outlook very volatile
Dr N Yogaratnam
According to IRSG's December 2011 edition of the World Rubber Industry Outlook, global consumption of natural rubber is expected to reach 11.5 million mt in 2012, up slightly from an estimated 11 million metric tonnes this year. "In the longer term, global rubber consumption is forecast to reach 36 million metric tonnes by 2020, with natural rubber consumption of 16.5 million metric tonnes," Global rubber consumption, consisting of both natural and synthetic rubber, is expected to touch 25.9 million mt in 2011 and rise to 27.2 million metric tonnes in 2012.

At the end of the third quarter of 2011, global rubber use hit 25.8 million metric tonnes, 6% higher year on year, the group said.

On the other hand, Toyo Tyre USA senior director sales John Hagan said with effect from January 1, 2012, they will increase prices of passenger, light truck tyres to a weighted average of 6 percent.

The continuous fluctuations in currency exchange, raw materials and oil prices make it necessary for them to re-evaluate their pricing policy and make adjustments, accordingly. This uncertainty trend appears to be the outlook for NR in the short and medium-term.

Regional market
The world's top three rubber producers- Thailand, Indonesia and Malaysia - aim to launch a regional market to set realistic prices and cushion farmers from volatility in future prices. After a ministerial meeting in Bali recently, they agreed to set up a regional centre for rubber, or a regional market that would help reflect realistic prices from producers.

The IRCo brings together rubber industry officials, exporters and government officials from the three Southeast Asian countries.

The idea appears to be still in a stage of feasibility study and the market could be a physical market, a futures market or a hybrid one.

The top three producers discussed volatile rubber prices at the ministerial level meeting of the International Tripartite Rubber Council (ITRC) in Bali, but the Council did not take further steps to stabilize prices saying that industry fundamentals remained strong, with no stocks overhang in the market.

The ministers appear to have noted that the recent downtrend of NR prices and that the decline was due to the weak sentiment brought by the ero zone debt crisis and global economic breakdown.

Benchmark Thai smoked rubber sheet (RSS3), offered at $ 3.35 per kg in December, has almost halved from a record high of $ 6.40 per kg in February.

The top three rubber producers, who account for around 70 percent of global rubber output, normaly use supply cuts and export curbs to help support prices, although some traders are skeptical about the effectiveness of the measures.

In December 2008, when physical rubber fell to a near seven - year low of $1.10 per kg as global recession loomed, Thailand, Indonesia and Malaysia agreed to cut exports by a total of 915,000 tonnes in 2009 to prop-up prices.

The market started to rebound from mid- 2009, but that was largely due to rising demand from tyre companies in China and India. The export restriction plan was never strictly enforced.

ANRPC
According to an ANRPC report released in the first week of December, deepening euro-zone crisis currently dominates NR trends. Commodities and stocks have fallen further during November as impacts from the deepening euro-zone debt crisis spread around the globe dimming hopes for any near-term solution.

Taking cue from the general commodity trends, prices of natural rubber (NR) have continued to fall, pushing down the growth in the commodity's global supply this year to 5.6% from an earlier-estimated 6.0% rate.

The latest demand-supply position with reference to ANRPC's member nations accounting 92% of the commodity's global supply and 57% of the demand, reveals a marked rise in the closing stock expected for fourth-quarter in comparison with the corresponding figures of first three quarters.

Supply to slow down
Preliminary estimates indicate that the price fall has started impacting on the supply.

The total supply from member countries of the ANRPC, which grew annually at 10.6% in Q1 and 10.7% in Q2, has slowed down to 2.5% in Q3, and is expected to slow down further to 0.6% in Q4. It is striking to note that the near-zero growth expected for Q4 is even in comparison with a period (i.e., Q4 in 2010) in which the supply had fallen 2.9%.

The revised outlook suggests that the total supply this year (January to December 2011) will grow only at 5.6% to 10.023 million tonnes, lower than the 6.0% rate previously-expected and the 6.6% attained in the previous year.

The following points summarize the various factors behind the slowdown in supply:

* The current phase of low rubber prices has reduced the enthusiasm among the dominant smallholders for continuing the good agricultural practices which are necessary for optimising the yield.

Due to a marked decline in the net profitability, growers largely tend to abstain from adopting stimulated harvesting or rain-guarded tapping. It also compels them to reduce the frequency of tapping with a view to minimizing the cost.

* Harvesting of low-yielding aged trees has become economically unviable tempting a section of smallholders, especially in Indonesia and Malaysia, to keep such trees idle. A section of growers are likely to opt for uprooting the aged trees for replanting.

* Concerns over supply-logistic disruptions, caused by unusually severe floods in Bangkok and some other parts of Thailand, have tempted the farmers in the country to reduce the tapping frequency.

During 2012, the supply is anticipated to rise 3.6% to 10.388 million tonnes as per forecasts available from member countries during the last week of November. This will be contributed by expansion in the yielding area by an estimated 162,000 ha and improvement in average yield by 19 kg per hectare.

Both Sri Lanka and Vietnam are very much in the race for the top spot in the list, with the leader India. However, these projected figures would be impacted by the effects of climate change and change in land use pattern. The erratic behaviour in climate has pushed the rubber grower community in the traditional areas into an era of uncertainty. There have also been incidences of pest attacks.

Yielding area is expected to expand during 2012 for Thailand (by 115,000 ha), China (21,000 ha), Vietnam (18,000 ha), India (15,000 ha), Cambodia (14,000 ha), Philippines (2,900 ha) and Sri Lanka (1,500 ha).

But yielding areas in Malaysia and Indonesia are likely to shrink marginally on account of expected uprooting of trees for replanting and possible abandonment of low-yielding aged trees, by the smallholders, in the backdrop of reduction in profit margin from the venture.

Cameroon rubber project
In the mean time, a unit of Singapore's GMG Global has struck a $410 million deal with Cameroon's government to develop 45,200 hectares of rubber and oil palm plantations.

The company Sud Cameroon Hevea S.A., 80% owned by GMG, is expected to become fully operational within four years, with production aimed at the export market.

Export to Fall
Total export of NR (including rubber compounds having more than 95% NR-content) from members of the ANRPC is expected to fall at a 3.0% annualised rate during the fourth-quarter (October-December 2011) on account of a weak demand and the floods in northern Bangkok which have disrupted supply-logistics.

The total export during this year is now anticipated at 7.571 million tonnes, up 1.3% from the previous year.

Anticipated figures available from member countries indicate a marginal recovery during 2012, with a 3.3%

Crude oil
Movements of NR prices (STR 20 Bangkok) vis-...-vis those of crude oil prices (Europe Brent) reveals that NR has generally moved in tandem with crude oil with a few exceptions.

While crude oil rose during the first seven days of November, driven by geo-political tensions in the Middle-East with Iran and Syria on the focus, NR failed to track the trend possibly due to a more dominating influence of a sluggish demand.

Short-Term outlook
There are a number of factors which can exert upward pressure on NR prices in the short-term:

i) The current phase of depression in rubber prices is likely to discourage the dominant smallholders from adopting short-term measures for maximising the output. This could be expected in the form of a lower frequency of tapping, lack of interest in rain-guarded tapping or in stimulation of trees. Farmers are likely to reduce application of inputs and other good agricultural practices which are essential for optimising the yield. These factors can push the supply growth further down.

ii) The price fall makes a large extent of low-yielding aged trees economically less viable or even unviable. This is expected to force farmers either to uproot such trees for replanting or to keep them idle.

iii) The period from mid-November onwards until the end of December is rainy season in southern Thailand which is the country's key rubber-growing belt. This is also the peak rainy season in Malaysia's east coast which is a region having significant importance to the country's NR supply. Possible disruptions to tapping due to rains are expected to impact on the supply from the two countries. Sri Lanka may also experience the same problem.

iv) India's Kerala State has reportedly received unseasonal depression rains during the last week of November. This is likely to affect the country's NR-supply during the month as the State accounts for nearly 90% of the country's supply and November is supposed to be a month of its peak supply. This factor has not been accounted in the country's supply expected for this month.

v) A rebound already seen in the Japanese economy and an expected boost to the U.S. economy prior to the presidential election can contribute to sentiments in commodity markets. With an expected further rebound in Japanese economy, the yen is likely to gain strength against the U.S. dollar unless intervened by the Bank of Japan. Possible further appreciation for the yen can depress the yen-denominated TOCOM rubber futures.

vi) Crude oil price is likely to register a seasonal rise due to speculations working on an expected higher winter demand and possible sanctions on oil exports from Iran and Syria.

vii) The current state of weak demand for NR has been partly due to a lower relative use of NR in the total demand for rubber (i.e., natural and synthetic rubber together). The relative NR-share is estimated to have fallen by 2.1 percentage point (from 43.4 to 41.3) during the period from 2009 to 2011. Based on the current level of the total global demand, a 2.1% fall in NR's relative share is equivalent to a reduction in NR's market size by 545,000 tonnes.

Among the various positive and negative factors, the most important one which is likely to dominate the short-term outlook for NR is the global economy. Given the depth of the euro-zone crisis and its increasingly worsening situation, possibility is remote for a marked reversal of the trend in NR-market in the short-term.

However, marginal ups can be expected in response to seasonal factors affecting the supply and possible developments in the oil sector.

It is important to note that the current depression in NR prices is not supply-driven. Even as the supply is expected to slow down further, NR market is likely to continue lacking momentum until the demand sector recovers and speculators come in to picture. Looking at this angle, developments in the euro-zone economy will be crucial to the market.

The climate changes that took place in major natural rubber growing countries of late have largely come to stay and this may further increase the "supply side instability of natural rubber, as both the South and Southeast Asia, which account for the major share of the world's production, are highly vulnerable to climate change and these changes have come to stay and would only aggravate the "supply instability". For this, it is imperative that researchers should focus on development of location-specific "smart clones".

Also, it is of paramount importance that the NR growing community maintains regular supply at fair prices so as to prevent the manufacturing community resorting to the extreme step of switching over to alternatives and substitutes in the long run.

Escape route, either by developing new technologies for reducing the NR content in their products or by switching over to alternative sources of NR, is certain to become the manufacturing industry's priority. Both these options can spell bad times for the NR growers.

http://www.dailynews.lk/2012/01/05/bus30.asp

20Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:27 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

Edexcel offers Post Graduate Strategic Management Diplomas
Graduates and final year undergraduates from any discipline will have a rare opportunity of pursuing a Post Graduate Strategic Management Diploma from Edexcel UK that will specifically contribute to competency development aimed at enhancing their employability in the corporate sector.

This One-Year Post Graduate Diploma is ideally suitable for those who hold a Bachelor's Degree in Science, Arts or Law as it will provide a dual qualification. Edexcel BTEC Level 7 Diploma in Strategic Management and Leadership is a globally recognized highly respectable Post Graduate Diploma that will complement the Degree with a strong Management Qualification.

Final year undergraduates are also eligible to pursue this qualification to enable them to simultaneously complete their degree and the post graduate diploma to seek employment without any loss of time. This course of studies is offered by Human Resource Management Institute (HRMI), which is one of the fastest growing Edexcel Centres in Colombo.

HRMI Director, Gihan Talgodapitiya commenting on the programme said, 'This is one qualification that will enlighten a non-management graduate with an in-depth knowledge of three key managerial functions, supply chain management and logistics, marketing management and human resource management. In addition the programme provides comprehensive insights into strategic planning and strategic change management to enable a young graduate to be effectively engaged in management'.

He said that even if a participant has not studied management as a subject before, this programme will provide plenty of material and guidance to gain a firm grounding in areas such as strategic management, leadership and innovative management. The classes are held on Saturdays to accommodate working students and all text books and relevant material are available from the Institute library.

Talgodapitiya further said that Level 7 qualifications are new to Sri Lanka and already a large number of Senior and Middle Managers are pursuing this course designed for those currently holding management positions. According to the 'Qualifications and Credit Framework of UK' (QCF), Level 7 is defined as a Master's Level/ Post Graduate Qualification which will lead to completion of Masters Degree in Business Administration (MBA) in less than one year with many exemptions. This option will not only save a lot of money but also plenty of time for ambitious students who wish to pursue a MBA after graduation. HRMI website www.hrmi.lk provides all the details on the course and profiles of candidates who are currently pursuing the course.

The Human Resource Management Institute (HRMI) also offers several Higher National Diplomas (HNDs) for Advanced Level qualified students to pursue a degree qualification. The Institute's Head Office and Business School is located at Nawala Junction and the City Centre on Elvitigala Mawatha, opposite the British School.

HRMI exclusively delivers Edexcel BTEC qualifications which are globally recognised in over 110 countries for higher education as well as employment and migration purposes. Edexcel, UK's largest qualification awarding body provides academic and vocational qualifications in over 100 countries.

HRMI faculty comprises high calibre management professionals from leading private sector institutions in Sri Lanka. These lecturers possess a minimum of a Masters Degree in Management together with at least five years top management experience to ensure that teaching standards are comparable with any other Edexcel location in the west.

http://www.dailynews.lk/2012/01/05/bus50.asp

21Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:28 am

kaka


Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics

SLIIT offers globally recognized BBA degree
SLIIT offers students a four-year Bachelor of Business Administration (BBA) Honours Degree that follows the UGC's credit system framework. The programme is designed to equip students with the necessary tools to work within diverse industries and to take up the challenges of a brave new era.


The SLIT campus in Malabe
The four-year BBA degree programme, which is conducted at SLIIT's Malabe Campus, is designed to arm students with a comprehensive understanding of national and international business management, thus providing a thorough background of all the management modules. A key highlight of the programme is that a parallel course will be conducted during weekends, allowing students the flexibility of working or following internships while pursuing their studies. The medium of instruction is English, and entry requirements for the programme include three passes in local or UK G.C.E A/L. in any subject stream. Students also have the option of transferring to SLIIT's long-standing academic partner Sheffield Hallam University (Business School) (SHU) UK during their third year to complete their degree, or they may choose to complete the entire programme in Sri Lanka.

"Our holistic approach to education ensures that students not only receive a solid grounding at an academic level, but are also encouraged to actively engage in extracurricular activities with the aim of developing skills vital to their existence beyond the workplace," said SLIIT Chairman Professor S Karunaratne.

In keeping with global standards of tertiary education, SLIIT pays particular attention to quality assurance. "We uphold stringent quality standards to ensure that students graduate with the skills necessary to take on challenges within today's immensely competitive business landscape", said SLIIT President and CEO Professor Lalith Gamage. "Furthermore, students have the option of following internships while pursuing their studies, and through such industry exposure, they are presented with a wealth of employment opportunities upon graduation," he said.

"SLIIT's BBA (Hons.) degree takes a cue from UK standards and we strive to produce graduates with strong analytical, problem-solving and communication skills together with a high level of personal integrity and ethics," said - SLIT Head of Business and Information Management Dr Theekshana Suraweera. "Our lecture panel comprises specialists with industry and international exposure, and our strong academic and industry links are a driving force in producing highly skilled graduates to serve our nation. Recognising the economic situation of our students, we have taken all steps to keep our tuition costs very affordable," said Dr Suraweera.

Lanka BPO Academy launches executive training arm
In today's turbulent global economy, effective management and corporate performance are required more than at any other time in history. In this backdrop, Lanka BPO Academy has launched its executive training arm to serve the growing market demands.

The Lanka BPO Academy (LBA - www.lankabpoacademy.lk) is a dedicated entity to develop human capital in Sri Lanka. LBA is the exclusive Sri Lankan partner of BPO Certifications Institute Inc. (BCI), the world's largest body for Business Process Outsourcing (BPO) Certifications. In addition, it has collaborated with many other international and local partners to deliver various global standard training programmes to enhance the human capital development of organizations.

The International Project Management training body StarPMO has partnered with Lanka BPO Academy and is offering PMP training in Sri Lanka. StarPMO is reputed all around the world for project management training with their vision of providing the best project management consulting and certification assistance.

The focus of the executive training arm is on providing training and consultancy services in management education, training and certifications that will have an immediate impact on employee's abilities and rapid career growth. LBA's training and coaching methods are designed for industry and corporate applications, with employee career and ability to improve efficiency in corporate as our primary focus. LBA helps all categories of employees from new entrants to managers in growing their chosen careers.

The corporate training suite also includes ITIL, ISO, Six Sigma, COBIT, CBAP certifications, BCI Certifications, Customer Service Excellence, Telephone etiquettes, Telemarketing, Business communication skills, Financial English, Workforce Management, Creativity and Innovation, Soft skills, Presentation Skills, Business and IT, Advanced Microsoft Office Applications training etc.

LBA's delivery approach to training revolves around Client Specific In-Company Training, Accredited Management Programmes and Public Programmes.

Commenting on the new initiative, Lanka BPO Academy CEO Yasas Vishuddhi Abeywickrama said that it was exciting to offer such international level training in Sri Lanka. He said, "We hope to utilize our collective experience as well as collaborations to offer value to Sri Lankan corporate and thereby help them to move to the next stage in their businesses and careers."

http://www.dailynews.lk/2012/01/05/bus60.asp

22Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 9:54 am

Sstar

Sstar
Vice President - Equity Analytics
Vice President - Equity Analytics

UK keen on Sri Lanka's tourism

Jan 05, 2012 (LBT) - It was stated by British MP James Wharton that Sri Lanka’s tourism sector is very promising with good potential and believes that prospects in Sri Lanka tourism are very high.

British investors are keen on investing in Sri Lanka's new phase. They are specifically eyeing Sri Lanka's tourism sector.

Minister Bathiudeen, addressing the British delegation says British investors are invited to invest in Sri Lanka’s tourism, agro, infrastructure, and industries. A shortfall of hotel rooms while a tourism boom takes place, open opportunities for British construction firms here. Also, using Sri Lanka as a base, can export to India by taking advantage of the Indo-Lanka Free Trade Agreement. More than 4,000 product lines are now open for British investors under Indo-Lanka FTA.

He also did mention Sri Lanka's IT sector has very high potential along with strong capacity for BPO and KPOs. The BPO sector is open for high value addition process.

The country is also becoming a strong logistical and a maritime hub. providing a friendly environment for British investors as a result of the development vision of President Mahinda Rajapaksa.

Minister Bathiudeen added stronge encouragement in investments in the North and the East. Inviting strong business and industry delegations from the UK to our mega export show 'Sri Lanka Expo 2012' to be held in March in Colombo. This show is held after more than 15 years lapse." According to the Commerce Department, Sri Lanka's trade with the UK has recorded a considerable increase during the years 2001-2008.

The value of total trade between the two countries registered at US $ 1287.3 million in 2010, increased by 0.8% over the previous year.

The trade balance between the two countries has been in favour of Sri Lanka during last 10 years, mainly due to increase in the exports of textile and apparel to the UK on zero duty under the GSP Plus arrangements.

Responding to Minister Bathiudeen's investment call, Wharton said Sri Lanka should send the message to the diaspora that if they invest here, their investments will be secure. Having given a positive sign for British investors looking to invest here

Leading British based companies in Sri Lanka are Unilever, British Tobacco, Glaxo Limited, Smith Kline Beecham, Brook Bonds and Lipton, Lloyds of London, Courtaulds Textile plc, Oxley threads, Coats Viyella, Marks and Spencer, P and O Navigation Company, and Thomas de La Rue.http://www.lbt.lk/news/business/972-british-eye

CSE.SAS

CSE.SAS
Global Moderator

Jan 05, 2012 (LBO) - Sri Lankans have spent a record 600 million dollars of gold in 2011 up more than seven times from the 82 million US dollars a year, the central bank said, as demand and prices for the precious metal rose.

"Gold in the past was very marginal, but we have seen a rapid demand for gold in our country," Central Bank Governor Nivard Cabraal said.
"That phenomenon has been share in many Asian countries like India. So there has been a rapid increase in the gold holdings of the people of our country."

He said 'pawning' or loans against gold have also increased in the country. Loans against gold is popular in Sri Lanka where women in particular held gold jewellery as a store of value.

Some financial analysts say speculators who bought gold, borrowed against them to speculate in other areas such as stocks.

Gold rose to around 1,600 US dollars an ounce in 2011 as central bank's in developed nations continued to print money and weaken then paper currencies.

Before the creation of the Federal Reserve Bank gold was just 20 dollars an ounce from 1792. Under a gold standard there was no sustained inflation in the world.
Periods of inflation (such as during the gold rush or the printing of the Greenback paper dollars for the civil war) were followed by periods of deflation bringing commodity prices back to previous levels.

The US Fed 'devalued' the US currency from 20 dollars an ounce to 35 in 1933, after triggering the Great Depression by printing too much money, barely two decades after its creation.
http://lbo.lk/fullstory.php?nid=442708084

24Sri Lanka Newspapers - 05/01/2012 Empty Why Stock Market Down? Thu Jan 05, 2012 11:29 am

FALCON

FALCON
Senior Equity Analytic
Senior Equity Analytic

bank paying highest interest rate ?

25Sri Lanka Newspapers - 05/01/2012 Empty Re: Sri Lanka Newspapers - 05/01/2012 Thu Jan 05, 2012 1:22 pm

Sstar

Sstar
Vice President - Equity Analytics
Vice President - Equity Analytics

P C Pharma submits application to CSE

Jan 05, 2012 (LBT) - The Colombo stock exchange in principle has approved an application submitted by PC Pharma Limited for the listing of its Ordinary shares on the Diri Savi Board of the Colombo Stock Exchange. It was said 101,000, 020 Ordinary voting shares of the company will be listed by way of an Introduction. The shares will be granted a listing on or before the 3rd market day upon receipt of the declaration from the company.http://www.lbt.lk/corporate/announcements/980-list-it

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