Friday, July 05, 2013

Today 6,048.18 3,383.46 Point Change - 24.99 - 16 % Change -0.41 % q -0.47 % q

ASPI S&P SL 20 Index YTD Performance ASPI S&P SL 20 Index

Level 23, East Tower, World Trade Centre, Colombo 01 Tel: +94 11 727 7000, Fax: +94 11 727 7099 Email: [email protected]

7.2% 9.7% 570.2 907.9 19.6 40.0 2,322.8 278.9 340.3 61.4 15.5

Today's Turnover (LKR mn) Annual Average Daily Turnover (LKR mn) Volume (mn) Annual Average Daily Volume (mn) Market Capitalization (LKR bn) Net Foreign Inflow / (Outflow) [LKR mn] - Foreign Buying (LKR mn) - Foreign Selling (LKR mn) YTD Net Foreign Inflow / (Outflow) [LKR bn]

Indices on a downtrend

CSE Diary for 05.07.2013

Early drop and a later recovery: Indices considerably dipped in the early trading session dropping as much as nearly 60 points and recovered in the latter session to erase some of its losses. However at the end of the day ASPI settled at 6,048.18 with a loss of 25 points. Heavy losses denoted in John keels Holdings (2.0%) considerably affected the performances of the indices followed by Ceylinco Insurance (-3.7%) and Dialog Axiata (-2.0%). Crossings in different sectors; crossing board was dominated by United Motors Lanka backed by two off-board transactions totaling 2mn shares which was transacted at LKR121.0. Chevron Lubricants too denoted a single 86k share transaction which was dealt at LKR305.0. Few off-board interests were seen in John Keells Hotels with a single crossing of 1.7mn shares which changed hand at LKR13.4. However, all these counters displayed minimal on-

board interest. BFI sector spearheads daily turnover: Notable onboard interest was seen in John Keells Holdings and the BFI sector. Hatton National Bank topped the on-board activity in the BFI sector with a single transaction of 149k shares which was traded at LKR158.0. Hatton National Bank closed at LKR158.0 with a loss of 1.2%. Further selling pressure was seen in Sampath Bank where the counter further dipped by 0.6% to end at LKR195.8. National Development bank and Nations trust bank too displayed on board interest during the day with marginal dips. Retailers on the sidelines: Retail interest was centered in Touchwood investments, Central Investments and Finance and Nation Lanka Finance. Touchwood Investments further dipped and settled at LKR3.6 with a loss of 10.0%

Statistical Look Up
Treasury Bill (%) 3 months 6 months 12 months AWPLR Excess Liquidity (LKR 'bn) Inflation (%) Jun-13 as at 05.07.2013 YoY Change Annual Avg Week ending 05.07.2013 8.65 10.66 12.09 -32.59 6.8 8.6 9.70

6400 6300

Index

6200 6100 6000 5900

ASPI
3600 3550 3500 3450 3400 3350 3300 3250

Turnover LKR ('mn)

4,000 3,000 2,000 1,000 0

120.0 100.0 80.0 60.0 40.0 20.0 0.0

Volume ('mn)

Index

S&P SL20

Turnover

Volume

Today All Share Price Index S&P SL20 Index Turnover (LKR mn) Turnover (USD mn) Volume (mn shares) Traded Entities Market Capitalization (LKR bn) Foreign Purchases (LKR mn) Foreign Sales (LKR mn) Net Foreign Inflow (LKR mn) Market PER (X) Market PBV (X) Market Dividend Yield SECTOR INDICES Banks, Finance & Insurance Beverage, Food & Tobacco Construction & Engineering Diversified Healthcare Hotels & Travels Land & Property Manufacturing Plantation Telecom 6,048.2 3,383.5 570.2 4.4 19.6 235 2,322.8 340.3 61.4 278.9 16.3 2.2 2.3 Today 13,166.3 19,112.4 2,795.6 1,933.3 654.1 3,384.3 590.3 3,073.0 756.0 155.7

Pre Day 6,073.2 3,399.5 738.1 5.7 25.1 219 2,332.4 269.6 227.9 41.7 16.5 2.2 2.3 Pre Day 13,192.4 19,156.5 2,804.8 1,946.5 657.9 3,399.3 591.6 3,093.8 758.9 156.2

Change % -0.41% q -0.47% q -22.75% -22.75% -21.91% 7.31% -0.41% 26.21% -73.06% 568.54% -1.14% -1.11% 0.00% % Change -0.20% -0.23% -0.33% -0.68% -0.58% -0.44% -0.22% -0.67% -0.39% -0.33% q q q q q q q q q q

Last Week 6,121.0 3,431.7 265.9 2.0 12.7 191 2,350.7 152.0 53.6 98.5 16.6 2.3 2.3 Last Week 13,337.9 19,081.4 2,817.8 1,958.4 679.1 3,430.8 611.2 3,089.0 793.1 159.9

% WoW Change -1.19% -1.41% 114.41% 114.41% 53.81% 23.04% -1.19% 123.85% 14.67% 183.24% -1.92% -1.88% 0.00% % WoW Change -1.29% 0.16% -0.79% -1.28% -3.69% -1.35% -3.43% -0.52% -4.69% -2.60% Page | 2.

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High Index Calibre USD350 Mn

Company
JOHN KEELLS HOLDINGS CEYLON TOBACCO CARSON CUMBERBATCH NESTLE LANKA SRI LANKA TELECOM COMMERCIAL BANK [V] BUKIT DARAH DIALOG AXIATA HNB [V] AITKEN SPENCE DISTILLERIES LOLC CARGILLS DFCC BANK SAMPATH BANK ASIAN HOTELS & PROPERTIES

% of Mkt Cap 9.2% 8.1% 3.7% 4.5% 3.1% 3.9% 3.0% 2.9% 2.2% 2.2% 2.5% 1.2% 1.6% 1.5% 1.4% 1.4%

Volume 214,979 4,145 100 46 505 59,238 456 65,512 149,051 14,932 3,024 100 1,301 16,655 90,657 3,486

Turnover LKR ('000) 53,685.16 4,142.35 43.00 88.75 19.72 6,703.01 313.94 543.76 23,550.06 1,866.01 577.62 5.99 216.17 2,187.86 17,693.43 250.34

Turnover USD ('000) 411.09 31.72 0.33 0.68 0.15 51.33 2.40 4.16 180.33 14.29 4.42 0.05 1.66 16.75 135.49 1.92

Intraday High (LKR) 253.50 1,000.00 435.00 1,949.50 40.00 115.00 695.00 8.40 159.50 126.00 193.00 59.90 168.00 132.90 197.90 74.00

Intraday Low (LKR) 248.20 981.00 425.00 1,925.00 39.00 112.50 685.00 8.30 158.00 124.50 190.00 59.90 166.00 130.00 194.10 71.50

Close 249.00 999.40 435.00 1,947.60 39.70 113.30 685.70 8.30 158.00 125.00 190.70 59.90 166.10 131.50 195.80 72.00

Price Gainers
Company Today Change + 163.30 + 17.00 + 50.00 + 29.60 + 2.20

Price Losers
% Change Company 15.55% 13.60% 11.11% 8.22% 8.06%
TANGERINE CEYLON LEATHER [W 0014] TOUCHWOOD LANKA CERAMIC ENVI. RESOURCES [W 0003]

Today 51.10 2.50 3.60 108.90 1.00

Change - 11.90 - 0.40 - 0.40 - 11.10 - 0.10

% Change -18.89% -13.79% -10.00% -9.25% -9.09%

E B CREASY 1,213.30 COLOMBO INVESTMENT TRUST 142.00 UNION CHEMICALS 500.00 CEYLINCO INS. [X] 389.60 LANKA ALUMINIUM 29.50

Top 05 Performers for the Day

Company
UNITED MOTORS JKH CHEVRON CENTRAL FINANCE HNB

Today 120.00 249.00 305.50 183.00 158.00

Pre Day 120.00 253.90 307.60 182.00 160.00

% Change 0.00% -1.93% -0.68% 0.55% -1.25%

Volume (mn) 2.01 0.21 0.11 0.15 0.15

Contribution to Total T/O 10.5% 2.3% 1.4% 1.2% 1.0%

Turnover (LKR) 243,047,394 53,685,160 33,149,868 28,277,729 23,550,063

Most Active
Company
S M B LEASING UNITED MOTORS TOUCHWOOD KEELLS HOTELS PANASIAN POWER

Today 0.80 120.00 3.60 13.40 2.40

Pre Day 0.80 120.00 4.00 13.00 2.50

% Change 0.00% 0.00% -10.00% 3.08% -4.00%

Volume (mn) 2.31 2.01 1.94 1.71 1.29

Contribution to Total T/O 0.1% 10.5% 0.3% 1.0% 0.1%

Turnover (LKR) 1,849,668 243,047,394 7,145,235 22,926,855 3,101,740

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Page | 3.

Currency Board
Local - Indicative Rate against LKR
Currency Australia China EU India Japan UK USA Dollar Yuan Euro Rupee Yen Pound Dollar Indicative Rate 05.07.2013 119.36 21.31 168.46 2.17 1.30 196.48 130.59

CSE Announcements
Dividends
Company Lanka Floortiles PLC Ceylon Tea Services PLC 0 0 0
Company Description

DPS (LKR) 2.60 10.00 0.00 0.00 0.00

Proportion 0 0

XD Date 15-07-2013 01-08-2013 0 00-Jan-00 00-Jan-00

XR Date

Payment Date 25-07-2013 12-08-2013 1/0/1900 00-Jan-00 00-Jan-00

Renunciation

Rights Issues / Scrip Dividend / Sub division / Capitalization

No Annoucements 0 0 0 0 0 1/0/1900 1/0/1900 1/0/1900 1/0/1900 1/0/1900 1/0/1900

Source: www.cbsl.gov.lk

New Listing
Company No New Listings 0 Type of Security Code 1/0/1900 1/0/1900 Board 1/0/1900 1/0/1900 Offer Price 1/0/1900 1/0/1900

Key Corporate Diclosures

No Corporate Disclosures

Material Dealings by Related Parties of Listed Companies

Company L B FINANCE Name Mr. W D N H Perera 0 0 Relationship Director 0 Transaction Purhcase 0 Quantity 11,050 0 Price (LKR) 129.94 0 Date 04-07-2013 0

Global Markets
Index AMERICA Dow Jones Industrial Average EUROPE EURO STOXX 50 Price EUR FTSE 100 Index ASIA Nikkei 225
* Time is as at ET

Value 14,988.6 2,639.1 6,453.0 14,310.0

Change 56.1 -7.4 31.3 291.0

Change % 0.38% p -0.28% q 0.49% p 2.08% p

Time* 14:05 07:18 07:18 02:28

Source: www.bloomberg.com

Commodity Markets
Commodity ENERGY Crude Oil (WTI) AGRICULTURE ICE Cotton #2 CBOT Wheat METALS COMEX Gold COMEX Copper
* Time is as at ET

Units USD/bbl. USd/lb. USd/bu. USD/t oz. USd/lb.

Price 101.81 85.74 665.00 1,238.70 310.90

Change 0.57 1.02 6.75 -13.20 -6.55

Change % 0.56% p 1.20% p 1.03% p -1.05% q -2.06% q

Time* 07:05 14:29 12:59 07:04 07:05 Page | 4.

Source: www.bloomberg.com

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TOP STORIES
Local
CB to keep rupee stable despite outflows Sri Lanka can maintain exchange rate stability and there is little sign that outflows resulting from foreign investors selling government securities will pose a significant risk, Central Bank Governor Ajith Nivard Cabraal said on Thursday. We are well equipped to handle any possible outflow, Cabraal told a Thomson Reuters Global Market Forum on Thursday. We have shown that capability and capacity in the past. [Source: www.ft.lk] Gem and jewellery exports increase Sri Lankas gem, diamond and jewellery export sector has recorded an overall growth of more than 50 percent as at end of 2012. Revenue has increased significantly in comparison to the corresponding years figure of Rs.24,459 million in 2011.Therefore, Sri Lanka could be promoted as a gem and jewellery hub in the region, a senior official said. The export of gemstones brought in revenue of Rs 1,635 million recording a 39 percent growth while jewellery exports generated revenue of Rs 301 million showing an impressive 121 percent growth. [Source: www.dailynews.lk] Japan overtakes China as largest lender to Lanka Overtaking China, Japan became the single largest development finance provider to Sri Lanka during the first four months. The total financing commitment made by the bilateral development partner was as much as US $ 500 million during January to April 2013, almost the total amount provided by Japan during the entire year of 2012, according to the Finance Ministry.

[Source: www.dailymirror.lk] Treasurys operational cash deficit grows 48% to Rs. 131bn The Treasury reported an operational net cash outflow of Rs. 131 billion for the five months ending May 31, 2013, up 48.35 percent from Rs. 88.3 billion a year earlier, the Mid-Year Fiscal Position Report of the Ministry of Financing and Planning showed. Revenue and other receipts during the five-month period January to May 2013 amounted to Rs. 371.6 billion, down 1.27 percent from Rs. 376.4 billion a year ago. [Source: www.island.lk]

Global
Japan Expects 3% Inflation in 2014 in Sign Reflation May Succeed Japanese consumers inflation expectations remained at 3 percent for a second quarter in June, in a sign that Bank of Japan Governor Haruhiko Kurodas reflationary drive may be succeeding. People expect prices to climb 3 percent over the next 12 months, the same as in March, according to the median result in a Bank of Japan survey released today in Tokyo. The indicator doesnt include the effects of a planned increase in the sales tax to 8 percent in April from the current 5 percent. [Source: www.bloomberg.com] Payroll Gains in U.S. Probably Sustained as Confidence Improved Employers probably increased staff in June at almost the same pace as in the prior month amid growing confidence the U.S. economy will overcome fiscal and global headwinds. Payrolls grew by 165,000 workers after rising by 175,000 in May, according to the median forecast of 87 economists in a Bloomberg survey. The report may also show the unemployment rate fell to 7.5 percent, matching Aprils four-year low, from Mays 7.6 percent, according to the survey. [Source: www.bloomberg.uk] Page | 5.

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Dimantha Mathew [email protected] +94 11 7277030 Kavindu Ranasinghe [email protected] +94 11 7277031 Imalka Hettiarachchi

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+94 11 7277032

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