profitepaper pakistantoday 26th february, 2013

Ufone attractspotentialemployees at theBritish CouncilEmployers’ FairISLAMABAD: British Council Employers’

Fair concluded with its last event held in

Islamabad after conducting one-day

fairs in Karachi and Lahore. Ufone being

the key participant remained the most

sought after employer amongst the

youth and students visiting the fair at all

three stations, said a press release

issued on Monday. The Ufone team

present at the fair provided career

guidance and resume writing tips in

order to enhance the skills of fresh

graduates. It also shared actual

vacancies available at Ufone alongside

the interviewers also interviewed

potential candidates. Tahir Husain, a

Master Trainer at Pitstop International,

present at the event appreciated Ufone

for offering Graduate CV Coaching

services. “The students showed great

interest, appreciated the help and

guidance on best practices. They left

motivated having learnt new techniques,

and confident of their chances of getting

a job brighter than before,” commented

Tahir Hussain. Syed Zulfiqar Ali Zaidi GM

Human Resources Ufone said, “Events

like these help identify potential

employers for returning graduates while

at the same time nurture our

commitment to giving talent a fair

chance. It is indeed a very welcome

initiative by the British Council.” Ufone

believes that partnering with the British

Council is a key step in reversing the

brain drain, and bringing back our

intellect to Pakistan, he further added.

He interviewed several candidates to

give maximum opportunity to the fresh

graduates to gain experience at one of

the largest and leading cellular

companies of Pakistan. Nadia Kamran,

Country Head Education UK at British

Council Pakistan hoped to sustain and

strengthen British Council’s partnership

with Ufone for similar future events in

2014 and 2015. She said that such

corporate initiative will help in bridging

the gap between Pakistani students

studying in the UK and potential

employers in Pakistan. STAFF REPORT

UBL earning pershare grows by16pc in 2012KARACHI: The United Bank Limited

(UBL) announced 2012 unconsolidated

EPS of Rs14.7 compared to EPS of

Rs12.7 last year, up by 16%. The bank

also announced final cash dividend of

Rs3.5 per share, taking the total

payout to Rs8.5 per share for the year,

said the analysts at Topline Research

Monday. Though the net interest

income (NII) declined by 2% to

Rs38.5.2bn, 35% jump in non-interest

income to Rs17.1bn and lower

provisioning (down 43%) to Rs4.1bn

mainly contributed to the earnings

growth, they said. Despite rising

deposit, NII remained flat due to lower

spreads on account of 1) decline in

interest rates and 2) increase in

minimum deposit rates at 6%. On the

other hand, the analysts said, better

dividend income related to

treasury/trading led overall growth in

non–interest income. Moreover,

controlled lending along with improved

paying capacity of borrowers after

decline in interest rates led overall

provisioning to decline from Rs6.2bn to

Rs3.2bn. In 4Q212, UBL posted EPS of

Rs3.23, down 17%QoQ due to

declining spreads. STAFF REPORT

01

KARACHI

STAFF REPORT

PAKISTANI investors are tak-ing keen interest in setting upbusinesses in Ajman FreeZone Authority (AFZA)

where the number of international in-vestors is still increasing.

Over 7,200 companies are alreadyregistered at AFZA from around theworld and Pakistani businesses rankamongst top five AFZA’s registeredbusinesses. This was stated by Ali Hus-sain Fahmi, AFZA’s head of customerservice, while briefing media here at theKarachi Press Club Monday.

Flanked by Abdalla Yehia Goharand Rafeeah Al Suweidi, respectivelythe head of financial planning divisionand manager customer service atAFZA, Fahmi said a three-memberhigh profile delegation from the Au-thority would meet Pakistani investorsin a seminar on Tuesday, 26th February,to further explore the growing inwardinvestments from Pakistan.

“We want to enhance business rela-tions, promote trade and strengthen tieswith Pakistan’s business community. Theroad show is aimed at Pakistani business-men, entrepreneurs and investors thatwould like to spread their operations in-

ter-nation-a l l yespecially in the Mid-dle Eastern region whereby the UAEserves as a springboard and a centre pointto enter the regional markets,” he quotedMahmood Al Hashemi, Director Generalof AFZA, as saying.During their visit, the AFZA officialswould meet investors from various indus-tries, trade and service sector and show-case multiple facilities and businessinvestment opportunities available for thePakistan business community.

The convenient set-up solutions, di-verse range of licensing options along

with a tax free operation aresome of the core subjects tobe discussed with theprospective investors.

Abdalla Yehia Goharsaid with cost-effectiveset-up packages, the reg-ulations and proceduresfor investment at AFZAhave been kept simple tofacilitate the investors.

Highlighting the incen-tives for investment at the

zone, he said free zone offers100pc foreign ownership with

the facility of 100pc repatriationof capital and profit. “There is no

personal income tax for investors atAFZA,” he added. Rafeeah Al Suweiditold reporters that having a diversefocus, the Zone offered a range of li-censes to accommodate all businesstypes, which helps us in accommodat-ing companies form all fields, and wecan provide a platform across the boardin facilitating their business.He said AFZA offered Trading Licenses(Also known as commercial license) forimport and export, service licenses, in-dustrial license and national industrial li-cense. Investors can benefit from array offacilities ranging from Smart Office (deskspace), offices, Warehouse and Land.

BUSINESS

BTuesday, 26 February, 2013

After signing memoranda of understanding with Russia

and other countries, the production of Pakistan Steel Mills

would be enhanced up to 50 percent. – Anwar Ali Cheema

Pakistani businessesamongst top five at UAE-basedAjman Free Zone: Fahmi

KARACHI

STAFF REPORT

In pursuance of its mandate to encourageand promote investment, the Securities andExchange Commission of Pakistan (SECP)has been working on an initiative to pro-vide a one-window operation to foreign en-tities for obtaining security clearancecertificate for incorporation in Pakistan.

In this regard, the SECP organized animportant meeting on Monday with the con-

cerned officials representing the ministry ofinterior, corporate sector and legal fraternity.

With Federal Interior Minister AbdulRehman Malik in the chair, the meeting wasattended among others by SECP ChairmanMuhammad Ali and Commissioner Com-pany Law Division Tahir Mahmood.

The participants compared notes on de-vising a mechanism for expeditious securityclearance for foreign-funded businesses.They also discussed the resolution of casespending for processing of security clearanceof foreign investors at the earliest. Promi-nent business leaders who attended themeeting expressed their concern to the inte-rior minister regarding the lengthy proce-dure for obtaining security clearance.

Currently, all foreign companies set-ting up businesses in Pakistan and foreignnationals interested in investing in localcompanies are required to obtain a securityclearance (NoC) from the security agen-

cies, which is a prerequisite before regis-tration and acceptance of statutory returns.

Under the 1973 Rules of Business, theministry of interior is primarily responsiblefor regulating entry and exit of foreigners;therefore, the SECP as a matter of policyforwards the cases to ministry of interiorfor security clearance.

Besides, it is also incumbent on for-eign companies to obtain a prior NOCfrom the Board of Investment before start-ing their business activities.

The SECP in coordination with the in-terior ministry has been striving to stream-line the process of obtaining securityclearance and to remove unnecessary bar-riers in the way of foreign investment. Thedelay in security clearance is also exposedto public litigation and many complaintsfrom the general public and chartered ac-countant firms have also been received.

The SECP believes that due to rela-

tively lower domestic investment and re-sources, the Foreign Direct Investment(FDI) is critical to spurring country’s pro-ductivity and growth.

The encouragement of foreign invest-ment in the country and development ofcorporate sector and capital market in Pak-istan is possible only through coordinatedefforts of all stakeholders.

To facilitate investors, the SECPchairman requested the interior ministrythat the SECP may be allowed to proceedwith incorporation of companies/registra-tion of statutory returns having foreigninvestment/directors and appointment offoreign directors by making it mandatoryto file all relevant documents necessaryfor security clearance along with an un-dertaking that in case of refusal of secu-rity clearance by the interior ministry, therelevant returns shall be de-registeredforthwith and directorship cancelled.

CFOs want newrecruits to becomplete financeprofessionals, findsnew ACCA research

ISLAMABAD

STAFF REPORT

The majority of Chief Financial Officers(CFOs) looking to appoint new staff fortheir businesses say they should ideallyhave both a breadth and depth of financeexpertise and capabilities, a new reportfrom ACCA (the Association of CharteredCertified Accountants) reveals.ACCA asked CFOs what was important tothem when it comes to appointing newlyqualified accountants and what skills enablethem to grow their business, particularlysince the financial crisis. The resultingreport, The Complete Finance Professional:Why breadth and depth of finance capabilitymatter in today’s finance functionhttp://www.accaglobal.com/content/dam/acca/global/pdf-campaigns/cfo-survey.pdfoutlines why broad-based financequalifications remain valuable ineconomically turbulent times.

Arif Masud Mirza, Head of ACCAPakistan said: “ The environment inwhich finance professionals now work –one which is increasingly volatile,complex and competitive - requires themto have a broader range of finance skills -and this is certainly the case in Pakistan.Finance functions have to excel in a widerange of capabilities, including supportingbusinesses, managing risk, developingeffective strategies for growth, drivingfinancial insight and ensuring statutoryand regulatory responsibilities are met.Key findings from the 500 global financeprofessionals surveyed for the report show:96% said newly qualified financeprofessionals should know about financialmanagement; 94% said it was important tohave a good understanding ofprofessionalism and ethics. Managementskills scored 73%. 61% said the bestgrounding for a newly qualified financeprofessional to become a future leader was afull appreciation of financial andmanagement accounting. 89% said thatunderstanding the links between all areas offinance enabled recruits to minimise futurefinancial risks, with 88% saying it enabledthem to deal with financial challenges. 80%said it would enable their new recruit to taketheir career in any direction they chose.When it comes to sustainable businessgrowth, 76% said it ‘*really adds value totheir business’ for finance professionals tohave the complete finance knowledge andskills set, from both financial and strategicmanagement accounting. Mirza said: “The fact that finance staffshould have a broad range of skills andexpertise is important to CFOs – shouldalso ensure it is of equal importance toindividuals looking to plan their careersand maximise their employability.”Adamjee Yakoob, FCCA and CFO ofCitibank Pakistan, said: “A strong groundingin accountancy, finance and management aswell as the regulatory and legal context iswhat gives me confidence in new hires.

We want to enhance business relations, promote trade and

strengthen ties with Pakistan’s business community. The road show isaimed at Pakistani businessmen,

entrepreneurs and investors that wouldlike to spread their operations

internationally especially in the MiddleEastern region whereby the UAE serves

as a springboard and a centre point to enter the regional

markets

Govt moves to facilitate foreign investorsMINISTRY OF INTERIOR,SECP AGREE ON ONE-WINDOW SECURITYCLEARANCE OPERATIONFOR FOREIGN INVESTORS

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BUSINESSTuessday, 26 February, 2013

Major Gainers

COMPANY OPEN HIGH LOW CLOSE CHANGE TURNOVERUnilever Food 4125.00 4255.00 4255.00 4255.00 130.00 20UniLever Pak 10518.18 10595.00 10361.00 10550.00 31.82 120National Foods 315.00 330.75 323.00 323.60 8.60 20,200Sapphire Fiber XD 166.26 174.49 174.00 174.49 8.23 500Sunrays Textile 181.00 188.90 188.90 188.90 7.90 500

Major LosersColgate Palmolive 1600.00 1520.00 1520.00 1520.00 -80.00 50Clariant Pak 280.41 290.00 266.39 266.39 -14.02 17,900MithchellsFruit XDXB 309.01 309.01 300.00 301.01 -8.00 1,300Pak Services 190.12 190.12 185.00 185.00 -5.12 700AL-Abbas Sugar XD 101.75 96.70 96.70 96.70 -5.05 1,000

Volume Leaders

Telecard Limited 7.10 8.10 7.25 7.96 0.86 35,048,500National Bank Pak 53.39 55.90 52.80 54.74 1.35 31,380,000P.T.C.L.A 23.97 24.59 23.30 23.64 -0.33 27,841,000Jah.Sidd. Co. 18.62 19.18 18.56 18.74 0.12 21,070,500Azgard Nine 7.69 8.69 7.75 8.59 0.90 17,566,000

Interbank RatesUSD PKR 98.1863GBP PKR 148.6344JPY PKR 1.0458EURO PKR 129.9496

ForexBUY SELL

US Dollar 99.1 99.25Australian Dollar 102.5 105Canadian Dollar 98.1 98.6UK Pound Sterling 153 154.2Euro 132.5 133.3Japanese Yen 1.055 1.11Saudi Riyal 26.35 26.6UAE Dirham 27.05 27.3China Yuan 13.5 14

NBP announces profit

and payout ratio of

97.2% for FY 2012KARACHI: Board of Directors’ of National Bank of

Pakistan in their meeting held on February 25, 2012

at the bank’s Head Office Karachi approved the

financial statements of the Bank for the year ended

December 31, 2012 and announced a payout of 15

% Bonus shares and 70% (Rs. 7.0 per share) cash

dividend to the shareholder’s as final dividend for

the year 2012 which translates into payout ratio of

97.2%. The Central bank reduced its policy rate by

250 bps in 2012 making reduction of 450 bps in the

last 15 months. The State Bank of Pakistan

increased the minimum profit rate on deposit from

5% to 6%. Due to these factors the bank’s interest

margin like all other banks remained under

pressure. This reduction was partially offset through

volume growth and improving deposit mix. After tax

profit stood at Rs. 16.2 billion, consequent to the

adjustment in discount rate. Total assets of the bank

increased to Rs.1.31trillion at the year end, up by

14% from year end 2011, an appreciable growth

given the competition and growth in overall banking

sector. The bank’s total deposits increased by Rs.

110 billion or 12%. Despite the economic challenges

the bank’s non performing loans (NPL) remained at

the year 2011 level with NPL ratio improving to

12.2% from 14.9% last year. Provision coverage is

at 82% which improved from 76% of year 2011.

During 2012 several major I.T. initiatives were

undertaken including conversion of almost all the

branches to the online network, expansion of ATM

network, establishment of full fledge 24/7 call center

.The benefits of the said I.T. initiatives coupled with

ongoing I.T. improvement will be further explored in

2013 in the form of further market penetration and

product development. Going forward the bank will

emphasize on reducing administrative and

manpower cost, increasing Current & Saving (CASA)

deposit ratio, reduction in NPLs, increase in

agriculture, SME and consumer advances, capturing

more trade business, and further improvement of

I.T. infrastructure etc. PRESS RELEASE

Emirates says ‘HelloRussia’ to promote flightsto Moscow, St PetersburgKARACHI: Emirates, one of the world’s fastest

growing airlines, and The Consulate of the Russian

Federation have joined together to promote

Pakistani tourism in Russia. The ‘Hello Russia’ event

was organized at the Russian Center of Science &

Culture - Friendship House, Karachi to showcase the

attractions of the two biggest cities in Russia,

Moscow & St. Petersburg. From the historical

landmarks of the capital city of Russia to the

renowned museums and exquisite art galleries of St.

Petersburg, the event highlighted the mixture of

culture and history which the two cities offer, making

visitors’ stays unique and memorable. PRESS RELEASE

Sindh Bank earns Rs 1.290b operating profitKARACHI: The Board of Directors of the Bank has

approved the financial results for the year ended Dec

31, 2012. During the year the bank earned a profit

before tax for Rs 1.290 Billion registering an increase

of 13% over the profit of Rs 1.140 Billion in the last

period comprising of fourteen months. Profit-after-tax

and earnings per share was reported at Rs 887 Million

and Rs 0.89 respectively. The bank’s deposits on Dec

31, 2012 stand at Rs 31.469 Billion as compared to

Rs 23.517 Billion on Dec 31, 2011 registering an

increase of 33.8%. Total no of accounts stand at

77,365 of which 79% are current accounts as on Dec

31, 2012. The banks focus during the year 2012 was

on expansion of network and to expand business

volumes. A total of 110 branches were opened during

the year 2012. Sindh Bank now has a presence in 80

cities across the country with 160 real time on-line

branches providing innovative products and services.

Further approval of 40 branches across the country

has been received from the State Bank of Pakistan

(SBP) for the year 2013 making a total network of

200 branches. The Credit portfolio has also registered

a commendable growth and amounted to Rs 19.282

Billion as on December 31, 2012 as compared to Rs

7.259 Billion as on Dec 31, 2011. During the year the

Board of Directors had approved an interim cash

dividend of Rs 0.60 per share. Such dividend

amounting to Rs 600 million was paid to the sole

owner of the bank i.e. Government of Sindh (GoS) in

July 2012. PRESS RELEASE

Samsung UHD TV

mesmerizes MENA

participantsKARACHI:

Samsung

Electronics Co.

Ltd., a global

leader in digital

media and

convergence

technologies,

unveiled

numerous

innovative

products at the

Samsung

Middle East and

North Africa

(MENA) Forum

2013. Among

these, the revolutionary UHD TV has completely

redefined the concept of home-entertainment, as

it emerges from a new vision for the consumer-

electronics industry. Samsung has introduced its

first 85-inch Ultra High Definition Television (UHD

TV) – the 85S9, which presents a stunning,

Timeless Gallery design, and sets a new standard

for Television craftsmanship. The UHD TV appears

to float within its frame and juxtaposes its classic

minimalism with the imposing 85-inch display

screen. UHD TV 85S9 offers four times the

resolution of Full HD displays to deliver

unmatched picture detail and clarity. It also

includes an up-scaling engine that can

automatically up-convert HD and Full HD content

to UHD resolution, offering a whole new world of

viewing experiences. PRESS RELEASE

Etihad Cargo postsrecord January tonnageKARACHI: Etihad Cargo, a division of United

Arab Emirates flag carrier Etihad Airways, has

posted record monthly uplift figures for January

of 32,613 tonnes, a 27 per cent increase on

January 2012 (25,600 tonnes). In its annual

results announced two weeks ago, Etihad Cargo

reported annual tonnage growth of 19 per cent

for 2012 on the back of a capacity increase of 14

per cent in Available Tonnage Kilometres. Etihad

Airways’ Chief Strategy and Planning Officer,

Kevin Knight, said: “2012 was a record-

breaking year for Etihad Cargo and based on

projections, demand will be greater again in

2013. The impressive tonnage figures for

January were driven largely by increased

demand into and out of China and India.

“Looking ahead, our forecasts point to continued

strong demand in key exporting and importing

markets such as China, India, Southeast Asia

and Europe, and we remain confident that we

have the right product and fleet strategy to

match customers’ expectations.” PRESS RELEASE

Establishment of

Industrial chair at QAU

ISLAMABAD: Dr Salim-uz-Zaman Siddiqui,

renowned Scientist of Earth Sciences Department

of Quaid-e-Azam University, Islamabad has been

honoured by establishing a chair in recognition

of his services by OGDCL and Government

Holding Private Limited (GHPL) here today at

Islamabad. Dr. Asim Hussain advisor to Prime

Minister was the Chief Guest to grace the

occasion, the ceremony was organized at Quaid-

e-Azam University, Islamabad. Masood Siddiqui

MD OGDCL and Vice Chancellor inked the

Memorandum of Understanding (MOU) in the

presence of Chief Guest. The chair was

sponsored by OGDCL and GHPL with donation of

RS 3.58 million. The objective of chair is to

bridge gap between industry and university and

to initiate research activities in earth sciences

department. PRESS RELEASE

CORPORATE CORNER

02

B

I will make efforts to put the country’s economy

on the right track during my short term in

office. — Finance Minister Saleem Mandviwalla

Indus Motors

announces financial

results for first half

FY 2012-13

KARACHI: The Board of Directors of

Indus Motor Company Limited have

announced the company’s financial and

operating performance for the year ended

December 31, 2012. After a record FY

2011-12, the sales and production of

Indus Motor Company for the first half

year of the current FY 2012-13 ended on

a depressing note. The sales of Toyota

brand (CKD and CBU) vehicles were down

by 38% to 14,994 units compared to

24,341 units sold in the same period last

year. The presence of used imported car

models in the category of Corolla class

also played a part in impacting the sales

of the company and severely restricted

IMC’s market share of locally

manufactured vehicles that declined to

25% compared to 30% achieved for

corresponding period last year. The

sluggish market demand forced the

Company to shut down the plant facility

for 53 non-production days. However, the

Company remained steadfast in its

commitment to its employees and did not

allow any worker layoff which was

appreciated by the entire workforce and

the government. The Company net sales

revenue for first half year ended

December 2012 decreased by 26% to Rs

24 billion as compared to Rs 33 billion for

the same period last year, while profit

after tax amounted to Rs 0.98 billion

versus Rs 1.77 billion for the same period

last year. PRESS RELEASE

ISLAMABAD: Pakistan TelecommunicationsCompany Limited (PTCL) organized a seminar on‘Prevention and Awareness of Hepatitis’ at a localschool in Karachi as part of the company’s CorporateSocial Responsibility (CSR) initiatives. PTCL is or-ganizing a nation-wide drive to create awarenessabout Hepatitis and its preventive measures. Dr.Tariq Saeed of PTCL Medical Services while givinginformation to students said, “Hepatitis is growingat an ever alarming rate now, with women and chil-dren at an increasing risk”. “More than 12 millionPakistanis are infected with hepatitis due to frequentuse of therapeutic injections, re-use of syringes, in-appropriate sterilization practices and poor hospitalwaste management,” Dr Tariq said. “At the commu-

nity and individual level, certain behavioral practicesincrease the risk of these infections substantially andit is the responsibility of every single one of us toconfront this disease”, Dr. Tariq added. Syed MazharHussain, PTCL Senior Executive Vice President(SEVP) HR commented, “PTCL believes in em-powering the youth of the country and the currentdrive is a continuation of this vision. The companybelieves in conducting its business in a mannerwhere it is positively contributing towards thegrowth and development of the society.” It is worthmentioning here that the PTCL is one of few com-panies in Pakistan which has dedicated medical cen-ters catering to the health needs of its employees andtheir families nationwide. PRESS RELEASE

PTCL holds Hepatitisawareness drive

KARACHI: The senior management of DHL

Global Forwarding Pakistan at the induction

ceremony of six 50-footer trucks. PR

KARACHI: Tara Uzra Dawood, president of

Dawood Global, addresses a press conference

to announce the 5th Ladies Fund Women’s

Award for Pakistan. STAFF PhOTO

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