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Satchu's Rich Wrap-Up
 
 
Friday 12th of November 2010
 
Morning
Africa

www.rich.co.ke Register and its all Free.

If you are tracking the NSE Do it via RICHLIVE and use Mozilla Firefox
as your Browser.
0930-1500 KENYA TIME
Normal Board - The Whole shebang
Prompt Board Next day settlement
Expert Board All you need re an Individual stock.

I do thank Aljazeera for inviting me to yesterdays Inside Story
Program about the Robin Hood Tax. Thanking You for the Support.

Martin O-O CEO KCB at #Mindspeak RICH TV
http://www.rich.co.ke/rctools/richtv.php

Check it Out - Its gone very Viral.

The Actual Presentation that was projected onto the Screen
http://bit.ly/b8oKik

What is #Mindspeak ?
http://bit.ly/9mhe39

The Audience at #Mindspeak Twitpic
http://twitpic.com/3252bm

Thoughts on Safaricom Zain The Proxy War Vodafone Bharti Airtel #CNBC
http://bit.ly/d6Htmq

The Star E-Float QE2 The Titanic
http://www.rich.co.ke/media/docs/016NSX0811.pdf

The Latest Daily PodCast can be found here
http://www.rich.co.ke/rctools/richpod.php

Macro Thoughts

The Tape that is the Financial Markets is just so fascinating.

China sneezes across the Worlds Markets.

Home Thoughts

Dreams in a Time of War by Ngugi wa Thiong'o quoting Victor Hugo,
"There is nothing like a dream to create the future." - which was what
Mum used to tell me and even now I can hear her

'Aly-Khan Visualise it!'

I am and I have a relentlessness about me which actually 'scares' me
and reminds me of when I went into Joan Beck's Office then Vice
Chairman of CSFB and came out with a Job on a Desk under the auspices
of Bob Diamond, who began life running Repo Desks.

read more


Pakistan heads down China road Asia Times
Asia


Hence, Zardari's scheduled visit to China on November 11 takes on a
special significance. Notably, he has not sought the counsel of his
pro-US envoy in Washington, Husain Haqqani, who has consistently
advised Zardari to keep his distance from Beijing. Instead, the
president on Monday held a long meeting with Chief of Army Staff
General Ashfaq Parvez Kiani.

Zardari will attend the opening ceremony of the 16th Asian Games in
Guangzhou, as well as meet with his counterpart Hu Jintao and senior
officials.

Conclusions

Its a Strategic Alliance, in fact.

read more


“There’s talk of an interest rate hike over the weekend,” said Wu Kan Bloomberg
China


Stocks fell, led by a 2.3 percent drop in the benchmark Shanghai
index, and commodities tumbled amid speculation China is preparing to
raise interest rates. The euro retreated on concern Ireland will need
a bailout.

The MSCI Asia Pacific Index retreated 1 percent to 132.89 as of 1:30
p.m. in Tokyo and the Shanghai Composite Index sank the most in three
months. Standard & Poor’s 500 Index futures slid 0.7 percent. Zinc
slumped 4.1 percent in London. The euro touched $1.3601, the weakest
since Sept. 30, as German, French and British finance ministers held
talks at the Group of 20 nations meeting on Ireland’s debt crisis. The
Dollar Index, which tracks the U.S. currency against those of six
trading partners, rose for a sixth day.

China stocks posted the biggest losses among Asian markets, after
inflation rate rose to the fastest in two years last month, fueling
speculation an interest-rate increase is imminent. The world’s
fastest-growing major economy has rejected policy prescriptions that
fault its exchange-rate regime and criticized U.S. monetary easing,
hampering G-20 efforts to tackle currency and trade imbalances that
have threatened the global recovery.

Metals, grains and oil fell. Zinc for three-month delivery fell to
$2,438.50 a metric ton in London and tumbled 5 percent to 19,935 yuan
a ton in Shanghai after China sold 49,993 tons at auction to cool
domestic prices. Cotton dropped by the daily limit of 7.5 percent and
sugar declined 5 percent in China. Crude oil decreased 1.6 percent to
$86.42 a barrel in New York after rallying to the highest in two years
yesterday.

The yield on Irish 10-year bonds rose to a record 6.52 percentage
points above benchmark bunds yesterday. Bailing out Ireland’s
financial system could cost as much as 50 billion euros ($68 billion)
under a “stress case” scenario compiled by the finance ministry and
central bank.

Separate reports may show GDP growth in Germany, Europe’s biggest
economy, slipped to 0.8 percent in the third quarter from 2.2 percent
in the second, while in France, the expansion dipped to 0.5 percent
from 0.7 percent.

“People are starting to price in slowdown signs in the euro zone,”
said Naoto Minatogawa, a currency analyst at Himawari Securities Inc.
in Tokyo. “Market attention is switching back to negative factors for
the euro.”

Conclusions

Quite a Rout.

China sneezes.

read more


Currency Markets at a Glance WSJ
World Currencies

Euro 1.3611 This is the lowest since early October. The single
currency is down 2.7% this week.
Pound 1.6053
Yen 82.31
Aussie 0.9900 -> In My Buy Zone 0.9840 is the optimal Level to get
Long I venture
Rand 6.927 -> Optimal Buy Level is with a 7.00 handle
India Rupee 44.625
South Korea Won 1126.25
Brazil Real 1.7153

The dollar index which measures the greenback against a basket of six
major currencies, rose to 78.164 from 77.621 late Wednesday. It
earlier rose to 78.287, the highest since Oct. 19.This index has
advanced 2.1% this week, even though the week isn’t over.

Irish government bond yields continued to soar on Thursday, with the
10-year hitting 8.9%, according to analysts, as investors dumped bonds
of the so-called peripheral countries. The cost of insuring
Portuguese, Irish and Spanish debt against default rose sharply in
early activity but then moderated.

Conclusions

Serious Turbulence and China Inflation Data tipped it further.

Euro Dollar Chart INO 1.3621
http://bit.ly/bkZ8Eg

read more


World Equity Markets at a glance
World Of Finance

The Dow industrials fell 73.94 points, or 0.65%, to 11283.10 after a
dismal outlook from Cisco Systems.

read more


Western Union, MoneyGram May Lose as Fed Sets Remittance Rules Bloomberg
World Of Finance

The Federal Reserve may force money- transfer firms to more fully
disclose fees and exchange rates, which may lower costs for customers
and reduce earnings at Western Union Co. and MoneyGram International
Inc.The rules will be among the first changes in consumer finance to
emerge from the Dodd-Frank regulatory overhaul signed by President
Barack Obama in July. The Fed has begun discussing the regulations
with industry and advocacy groups because the Consumer Financial
Protection Bureau is not yet in place, according to three people
briefed on the matter.

Western Union and MoneyGram are the biggest players in cross-border
remittances often used by foreign workers to send money home.
Customers of money-transfer services sent $414 billion globally in
2009, the World Bank reported Nov. 8.

With little federal regulation of the transfers, “You put your money
in and take your chances,” Elizabeth Warren, the White House special
adviser charged with setting up the consumer bureau, said in a
briefing last month.

“How much money comes out at the other end depends on what kinds of
fees and what kinds of exchanges have been added in -- things that are
not necessarily exposed to the consumer up front,” Warren said Oct. 22
at the State Department’s Foreign Press Center in Washington.

Remittance companies make money from fees and exchange rates. A
Western Union customer who wants to send $100 to Mexico pays a $9.99
fee in the U.S., according to the company’s website. The recipient in
Mexico would get pesos, and Western Union would make additional money
on the spread between the wholesale and retail exchange rates.
The spread’s role in remittance costs has long been an issue. Western
Union in 2000 agreed to change some practices and pay more than $400
million, mostly to Mexican immigrants in the United States, to settle
a lawsuit alleging that the company’s advertising falsely represented
the costs. Western Union resolved the claims without admitting or
denying wrongdoing.

Consumer groups that lobbied for the provision in Dodd- Frank said the
changes would prevent money-transfer firms from taking advantage of
customers with limited resources. “People have to get the information
before they actually commit the money,” said Janis Bowdler, deputy
director of the wealth- building project at the National Council of La
Raza, a Washington-based advocacy group for Latinos.

Western Union has about 20 percent of the global money- transfer
market, said Manuel Orozco, director of the remittances program at
Inter-American Dialogue, a nonprofit policy group in Washington.
Remittances from the U.S. to Mexico totaled $21.1 billion in 2009, a
19 percent drop from 2008, Orozco said.

Consumer-to-consumer transfers accounted for 85 percent of Western
Union’s total revenue in 2009, according to a filing with the U.S.
Securities and Exchange Commission. Such transfers made up 76 percent
of MoneyGram’s revenue that year, Michielutti said.

The changes come as Western Union and MoneyGram face increasing
competition from new technologies such as pre-paid cards,
Internet-based transfers and payments with cell phones, analysts said.
Western Union’s “core money transfer business will be cannibalized by
emerging alternatives,” Bill Carcache of Macquarie Group Ltd. wrote in
a Sept. 30 research note.

The Fed may formalize the new rules by July; if not, the consumer
bureau will take over when it opens its doors that month, said one of
the people briefed on the matter, who declined to be identified
because the process hasn’t been made public.

Conclusions

Western Unions “core money transfer business will be cannibalized by
emerging alternatives” Carcache.

read more


Living in the Lap of Luxury WSJ
Misc.

Imagine if your apartment made you feel like a VIP. Walk in and your
freshly laundered clothes are neatly stacked in your drawers. Your
fridge is stocked with your favorite delicacies and a bubble bath is
waiting for you—at precisely the perfect temperature.A new breed of
ultra-luxury zero-maintenance developments in Europe is turning this
fantasy into reality. Residents enjoy a five-star hotel
experience—with 24-hour concierge, cleaning and laundry, and in-house
spas—included in the asking price.

"Being at home feels like living in a James Bond movie," says Tony
Parker, an NBA San Antonio Spurs basketball star. Last month, he
bought one of the new apartments in the Du Parc Kempinski Private
Residences development, at the top of Mont-Pèlerin overlooking Lake
Geneva.

A computer-generated rendering of a view of the balconies at
CityLife's luxury residences in Milan.

read more


Commodity Markets at a Glance WSJ
Commodities

A Singular Rout and Reverse. China Inflation Pounding.

First a Sugar High, Then a Crash India Surprise Sparks Biggest One-Day
Selloff Since 1980.

Sugar March 2011 INO 5 Day Chart -12.59%
http://bit.ly/aBSgBZ

Last Price    29.66
Open    32.85
High    33.39
Volume    105,576
Time    2010-11-11 13:51:32
Expiration    2011-02-28
Open Int.    252437
Contract High    33.39 Contract High Date    2010-11-11
First Delivery    2011-05-15

Conclusions

High Beta Sell off.

Cotton Dec 2010 5 day chart INO 140.45 Last
http://bit.ly/9qszSR

Last Price    140.45
Open    142.86
High    142.86
Expiration    2010-12-07
Low    139.76
Open Int.    74401
Contract High    157.23 Contract High Date    2010-11-09
Contract Low    53.87
First Delivery    2010-12-21

Conclusions

Went Limit Down.

read more


Live Crude Oil chart 86.20 last
Minerals, Oil & Energy

The price of the light, sweet crude-oil futures contract for December
delivery settled at $87.81 a barrel on the New York Mercantile
Exchange, after touching as high as $88.63 intraday

read more


Gold Live 24 Hour Spot Quote KITCO 1388.30
Commodities

Its a Buy below 1400.00 on a Trading Basis.

read more


G-20 Welcome Dinner Keeps Korean Food (and Caviar) Off the Menu WSJ
Food, Climate & Agriculture

Off the G-20 menu Kimchee

“Since it is a working dinner, we try to avoid any complicated,
long-course menu,” said An Pyeong-eok, a committee spokesman. “It is
likely to be a simple Western-style, three-course meal.”Korea’s prime
beef from persimmon-fed-and-raised cattle will be used for steak, but
no caviar or foie gras for fear of raising an eyebrow of
environmentalists, according to the committee.

read more


Found Vase Sets $83 Million China Art Record in Auction Battle Bloomberg
China

A battle between Asian buyers last night pushed a Qianlong-dynasty
vase to a price of 51.6 million pounds ($83.2 million), an auction
record for Chinese art.

The vase had been discovered during a routine house clearance in the
suburb of Pinner in London. Rather than being offered at the central
salerooms of Christie’s International or Sotheby’s, it was sold by
Bainbridges, a west London auction house, with an estimate of 800,000
pounds to 1.2 million pounds. It made 40 times as much, at a hammer
price of 43 million pounds. After a Bloomberg preview report, dealers
traveled to the provincial sale from Asia. Others were in town for
Asian Art in London’s schedule of gallery exhibitions, shows and
lectures.

“Everyone was excited about this vase,” David Baker, one of the 37
dealers exhibiting at Asian Art in London, said in an interview. “It’s
an exceptional Imperial piece in perfect condition with the most
amazing reticulated decoration. It’s exactly what Chinese buyers want
at the moment.”

A white jade seal used by the Emperor Qianlong. It was used to make
impressions in the corners of his artworks. Carved with the
inscription ``Self-Strengthening Never Ceases,'' was estimated to
fetch between 2 million pounds and 3 million pounds at the Nov. 11
auction of Chinese art held by Bonhams during the Asian Art in London
event. It sold for 2.7 million pounds including fees. Source: Bonhams
via Bloomberg

A vase made in the imperial palace, Beijing, during the reign of the
Emperor Yongzheng. The vase sold for about the asking price of $25
million in an exhibition of Chinese masterworks, the London-based
dealer Eskenazi Ltd. said. Photographer: Mike Bruce/Eskenazi Ltd. via
Bloomberg

read more



South Africa Nears Land Deal With Congo Republic News24 Says Bloomberg
Food, Climate & Agriculture

South Africa may make a land deal with the Congo Republic this month,
allowing farmers to start operating in the Central African nation,
News24 reported, citing Agri SA Deputy President Theo de Jager.The
transaction would give South African farmers the opportunity to expand
and help to improve that country’s food security, the
Johannesburg-based online news agency said. South African farmers may
be able to lease land for as long as 105 years to grow corn, soy,
poultry and dairy, it said.

read more


IMF may lend Kenya $497 mln for reserves: paper Reuters
World Of Finance

The International Monetary Fund (IMF) may loan Kenya 40 billion
shillings to shore up its foreign exchange reserves, which are below
the statutory minimum level, a local daily reported on Friday.The
Central Bank of Kenya said negotiations were ongoing but that the
details as reported were what east Africa's largest economy was
working towards.
The Daily Nation cited the IMF's mission chief for Africa, Domenico
Fanizza, as saying the money would be disbursed over the next three
years and repaid over 10 years.

"They are coming to negotiate a program that will provide balance of
payments support for the next three years," central bank Governor
Njuguna Ndung'u told Reuters.

Kenya's balance of payments recorded a $665 million surplus in the
year to July, latest official data showed.Foreign exchange reserves
have been stuck for months at 3.5 months of import cover, below the
statutory requirement of 4 months.At the end of last week, central
bank held official usable reserves of $3.492 billion, enough to cover
imports for 3.471 months.The Central Bank of Kenya has been buying
foreign exchange from the market regularly this year to bolster its
reserves, it says.

The IMF was not immediately available to confirm the report.

read more



Athi River Mining reports 3rd Quarter EPS +15% share data here
N.S.E Equities - Industrial & Allied

Par Value:                  5/-
Closing Price:          171.00
Total Shares Issued:          99,055,000
Market Capitalization:        16,938M
EPS:            6.52
PE:                26.227

read more


Twitter becomes a Kenyan trend CIO
Information & Communication Technology

Kenya has long been at the forefront of ICT usage and innovation in
Africa. While Nigeria and South Africa may lead the continent in terms
of accesibility, data from Opera Mobile and other sources has shown
Kenyans to be leaders in terms of per capita usage and amount of time
spend online. This has been evident in the last few days as Kenyan
topics have trended twice in the last seven days.

Tuesday this week saw Kenyans attempting to come up with their own
KCPE Questions and Answer on the microblogging site under the
trendline #kcpe2010. The hash tag quickly rose to become a top 10
trending topic worldwide and went as far as to hold the number 3
position for several hours in the afternoon.Thursday was also another
day that saw huge activity from the Kenyan tweeps, as at times they
prefer to call themselves. This time round, as Ruto jetted to the
Hague, Kenyans on Twitter were in an attempt to guess what music was
playing on his iPod. This was in the form of the #rutoplaylist hashtag
that went ahead to hold on for several hours as the third most
trending topic.
Uptake of social media has been exponential over the last several
months. Kenya's presumably first trending topics were #raila and
#uhurupark which coincidentally happened during the promulgations of
the country's new constitution on September 24th 2010. Comparatively ,
Nigeria also trended during their 50th anniversary celebrations, while
Didier Drogba has been a regular feature on the trendline, though not
necessarily due to input from Africa.

At the moment, Kenya seems to be the continental leader in terms of
trending topic source in the last 3 months. Ronald Osumba, Safaricom's
Sector Manager  Media , ICT & Education attributes this to the fact
that its easier and cheaper to Tweet than send an SMS. However, while
Osumba describes Twitter and Facebook as lifestyle applications, he
says that the pick-up exhibited by youth is due to the two been
fashionable.

Osumba says that he expects relevant local applications developed
specifically for this market to be key drivers in terms of usage. He
advises corporates looking to push their bands and get brand loyalty
or follow should look to Twitter as a tool. Twitter's advantage is put
as the flow of real time information. Top Kenyan brands on Twitter
include Safaricom, Kenya Airways, AccessKenya. It is also important to
note how Alykhan Satchu has developed himself into a powerful brand on
Twitter.

Conclusions

Thank You for the Kind Mention. I think Twitter is a Pre Eminent
Flattener of the c21st and is democratic in the way it allows any
Voice anywhere to gain Traction and Momentum.
Aly-Khan Satchu
www.rich.co.ke

read more


Last bid to save language of Kenyan ex-cave dwellers By Boris Bachorz (AFP)
Africa

DOLDOL, Kenya — Half a dozen old men, draped in traditional blankets,
are chatting under an acacia tree here in the foothills of Mount
Kenya; when they die the Yaaku language will die with them.

Its disappearance is unlikely to make headlines: over the past three
generations more than 200 languages have disappeared and 2,500 others
are in danger of disappearing, out of a total of 6,000 in existence,
according to the Atlas of the World's Languages in Danger, published
by UNESCO.Except that these elders -- many of whom are so old they no
longer have teeth -- have decided to fight for the survival of Yaaku.

"We are the last Yaaku speakers and before our generation disappears
we need to pass our knowledge on to the children," 87-year-old Johana
Saroney Ole Matunge told AFP.

The Yaaku are a tribe of hunter-gatherers and beekeepers who lived in
caves in their forest until the intermixing of different peoples in
the 20th century changed their way of life.

From the 1930s the Yaaku were assimilated into the culture of the
Maasai, a warrior tribe with expansionist tendencies. They took to
keeping cattle and to wearing the checked magenta and scarlet blankets
sported by the Maasai.They neglected Yaaku, a tongue from a language
group called Cushitic, in favour of the Maasai's language Maa, which
is radically different with roots in another group called
Nilotic.Behind this willingness to be assimilated was a profound
feeling of inferiority.It is only recently that the Yaaku realised it
was time they make their voices heard.

"We are marginalised, seen by the Maasai as a people with no identity.
So I said to myself if we are not Maasai, who are we? Can we
re-discover our Yaaku culture?," explained Manasseh Matunge, a
48-year-old former primary school teacher who is the driving force
behind the Yaaku cultural renewal.

In the late 1960s, a German linguist Bernd Heine tried to revive the
Yaaku language by convincing a tribesman by the name of Koisa ole
Lengei to accompany him to Nairobi University and teach him the Yaaku
language.

Lengei, who had spent his childhood in a cave, disappeared after two
weeks in the capital, thought to have fallen victim to criminals, and
the language project fell through.
In 2004 a team of Dutch linguists managed to put together a manual of
the Yaaku language.Manasseh Matunge, despite not being a fluent Yaaku
speaker himself, has been teaching weekly classes in the language at
the local school but his classes are limited to basic vocabulary.A
small museum built in 2009 houses, among other items, equipment for
bee keeping, the speciality and pride of the Yaaku.

"The Maasai are afraid of bees," Matunge says with a proud smile.

Cultural museum notwithstanding, the last three real Yaaku speakers
identified by the Dutch linguists six years ago are now dead.

But an extinct language can reappear, UNESCO says, and this is what
the Yaaku are trying to achieve. They have obtained funding from the
French embassy in Kenya to build a classroom to house the language
lessons the elders intend to give to schoolchildren.

"I'm afraid we have too little data on Yaaku grammar to revive the
original language. The furthest we could get is to use the material we
have and somehow 'mix' it with Maasai, which all Yaaku speak fluently
nowadays," said Hans Stoks, who has worked with the Maasai and Yaaku
community since 1979 and who was part of the team of Dutch linguists.

"As a matter of fact the past generation of Yaaku speakers in the past
two or three decades were already doing that. There is nothing wrong
with mixing languages. It is done almost everywhere."

The resuscitation of their language would help the Yaaku regain a
sense of identity and in turn re-take possession of "their" forest
Mukogodo (35,000 hectares or 86,000 acres), currently managed by
Kenya's forest authority.

Kenya's new constitution, adopted in a referendum three months ago,
recognizes indigenous peoples' rights to their ancestral lands. The
Yaaku have learned that cultural identity is a weapon.

read more


Karuturi Eyes East African Markets for Crops Grown in Ethiopia Bloomberg
Food, Climate & Agriculture

Karuturi Global Ltd., an Indian food processor, plans to exploit East
Africa’s market potential by selling crops grown on land leased from
Ethiopia’s government within the region, Chief Executive Officer Sai
Ramakrishna Karuturi said.The company, based in Bangalore, will
produce commodities including palm oil, sugar and rice on 312,000
hectares of rented land. The intention is to sell the crops within the
19-member Common Market for Eastern and Southern Africa, Karuturi said
in an interview on Nov. 10 in Addis Ababa, the capital.

Neighboring and regional countries are increasingly becoming the
largest buyers of Ethiopian goods, according to Access Capital.
Somalia and Sudan, for example, are both individually larger export
markets for Ethiopia than the U.S., Italy, or Great Britain, the Addis
Ababa-based research company said in a report last month.Karuturi has
an agreement to provide 40,000 tons of rice to neighboring Djibouti
and a proposed Comesa customs agreement may lead to domestically
produced rice gaining preferential access to Kenya, he said. The
company also sees “large potential” in the Ethiopian palm oil, rice
and sugar market. Average annual sugar consumption in the country is 6
kilograms (13.2 pounds) per capita, compared with 30 kilograms
internationally.

“There are still a lot of Ethiopians who don’t know what sugar tastes
like,” Karuturi said. Rice consumption may expand to 100,000 tons from
22,000 tons “if I can deliver rice at 10 birr ($0.61) a kilogram,” he
said.Per capita edible oil consumption is also relatively low in
Ethiopia, according to Karuturi. The intention is to sell the 80,000
tons of palm oil produced on an Ethiopian market that he expects to
expand threefold to 300,000 tons per year.

Ethiopia plans to rent out 3 million hectares (5 million acres) of
land, an area the size of Belgium, over the next five years to private
investors to grow cash crops and generate foreign exchange, the
Agriculture Ministry said last month.

Karuturi plans to have a third of its 300,000-hectare plot in
Gambella, in western Ethiopia, developed by April 2013 and the whole
farm ready for planting by April 2015, the CEO said. The company has
invested $90 million dollars in the project so far and has budgeted a
further $260 million, he said.Water is abundant in Gambella and the
company will build its own irrigation and energy infrastructure rather
than rely on an “over-burdened government,” Karuturi said.Two tug
boats have been purchased to transport goods via the Baro River to
destinations including Lake Victoria on the Ugandan border and Port
Sudan on the Red Sea coast.

The Baro River is the “only navigable” waterway in Ethiopia, Karuturi
said. “It puts us right into the heart of East Africa.”

Critics of Ethiopia’s land leasing program have said the process has
displaced residents. Solidarity Movement for a New Ethiopia, a
Washington-based advocacy group, said the government has told many
people in Gambella they will be removed from their homes to make way
for the Karuturi farm.

Karuturi said no one has been displaced as Gambella is the “most
thinly populated area in this part of the world.”

Ethiopia is Africa’s second-most populous nation, with about 80
million inhabitants, according to the U.S. State Department’s website.

read more


Kenya traffic suffers amid major cable cuts Telecompaper
Information & Communication Technology

Kenyan communications traffic has been severely disrupted after
operators Safaricom and Orange Kenya suffered cuts to copper and fibre
cables. Safaricom said it will delay a M-Pesa upgrade after on 10
November a minimum of four cable cuts were reported in Nairobi. By 11
November the operator was still receiving reports of further cuts from
engineers in the field of areas affected. As a result of the cut-off,
subscribers in the areas served by the cables have been unable to
originate or terminate calls, while in other areas the quality of
Safaricom services have been affected. Also affected are M-Pesa,
access to data, top-up and other services. Orange Kenya announced that
its engineers are working round the clock to repair vandalized cables.
The company experienced five fibre cuts that heavily affected services
across all its platforms. Due to the incidence 32 Orange Kenya
wireless sites, over 2,200 fixed lines and 14 GSM sites were affected
requiring the company to divert traffic where possible to other
redundant links. By 11 November, Orange said it spent KES 180 million
repairing cables destroyed in the 10 November incident, which saw a
cumulative disruption period of over 267 hours. The Ministry of
Information and Communication announced plans for tougher legislation
to deal with the suspected sabotage. The ministry said it had
established that the recent cuts were the result of sabotage by some
operators out to disrupt the operations of competitors. The Permanent
Secretary Bitange Ndemo said the law would be amended to fall under
the Anti-Corruption and Economics Crimes Act where offenders could
face life imprisonment if convicted and a fine of KES 1 million. Ndemo
pointed out that the vandals were now going after redundant lines
which operators would use in case of a cut. He said there have been
arrests of former employees as well as employees of other companies,
and that is where the security forces are beginning to investigate.
The new law should be in place by the end of the year, and any
operator found to be engaging in sabotage risks losing its license if
convicted.

Conclusions

The Permanent Secretary is not mincing his words.
Aly-Khan Satchu
www.rich.co.ke

read more



 
 
N.S.E Today

The NSE20 turned 7.79 points higher to close at 4595.28 and 110 points
off its 2010 High.
The NASI rose 0.42 points to close at 101.79 with EABL closing at
217.00 +1.88% and at a New Life Time Closing High. I expect the Big
Caps Safaricom [Relief Rebound through 5.00] and EABL to push on to
both underpin the market into Year End.
Market cap was 1.214211 Trillion versus 1.209089 Trillion last time around.
Equity Turnover was 364.576m versus 334.722m.



N.S.E Equities - Agricultural

Sasini Tea traded 55,600 shares and closed 3.33% firmer at 13.95.
Kakuzi was unchanged at 90.00 and traded 500 shares.
Rea Vipingo firmed 20 cents to close at 17.50 and traded 1,600 shares.



N.S.E Equities - Commercial & Services

SAFARICOM

shares volume     8,729,100
total turnover     41,465,096
avg price     4.75 Closing Price 4.75 Unchanged
high price     4.80
low price     4.75
last price     4.75

Conclusions

Safaricom was the 2nd most active share and closed unchanged at 4.75.I
believe we are set to regain 5.00+ and that the Results outperformed
the Street Estimates by quite a Margin. They have proven adept at
playing Defence on Voice and Offence via Data. I think the price had a
steep concession built into it ahead of the 1st Half Results and that
will be put back in the Price which is worth at least 10% on the
Price.

ScanGroup traded 3rd at the Bourse. ScanGroup firmed 2.16% to close at
71.00 and traded shares in a 69.50-74.00 and range and good volume of
541,200 shares worth 38.469m. ScanGroup has Martin Sorrell's WPP Group
as its Anchor Shareholder and Scangroup looks like an Africa Version
of WPP and its Consolidator on the Continent. ScanGroup has posted a
190.477% 1 Year Return and is one of the Outperformers at the Bourse.

ScanGroup share price data www.rich.co.ke
http://bit.ly/c1tlje

Par Value:                  1/-
Closing Price:          69.50
Total Shares Issued:          234,570,016
Market Capitalization:        16,303M
EPS:            1.81
PE:                38.398

TPS Serena traded 324,500 shares worth 21.904m and eased 0.74% to
close at 67.50. TPS Serena has ridden just under 100% higher over the
last 1 Year on a Rising Regional Tourism Tide. TPS Serena remains the
only listed share that Gives Investors exposure to Tourism.

Kenya Airways closed 1.1169% easier at 42.25 and traded 47,600 shares
with over 700,000 shares being shown on the Board for sale. Kenya
Airways was unable to sustain its post 1st Half Results Bounce and has
now given all of that back. I thought the results deserved a Move
towards 50.00.

Marshalls traded 153,000 shares and all unchanged at 14.10. There has
been a great deal of Activity in Marshalls and I was quite amazed when
William Wallis of the FT saw fit to mention it a week or so ago.

CMC Holdings improved 5 cents and closed at 13.05 and traded 110,200 shares.
CarGen did not trade.

Access Kenya closed 10 cents firmer at 17.00 and traded 29,700 shares.

Nation traded 11,300 shares and was unchanged at 168.00.
Standard firmed 25 cents to close at 45.50 and traded 17,100 shares.



N.S.E Equities - Finance & Investment

COOP Bank traded 4th after reporting 3rd Quarter at +55% yesterday.
COOP Bank was unchanged at 20.00 and traded a 19.95-20.25 range and
1.673m shares worth 33.529m.
KCB was unchanged at 22.00 and traded 441,700 shares. Volumes have
thinned out and the Price poised to turn higher.
Equity Bank was unchanged at 26.75 and traded 468,100 shares.
Barclays Bank traded 80,000 shares and closed 0.769% easier at 64.50.
Standard Chartered closed a shilling better at 270.00 and traded 5,300 shares.

CFC StanBic traded 251,100 shares worth 22.089m and closed 2.339%
firmer at 87.50. Investors are unlikely to sell shares ahead of the
Insurance Spin Off.
NIC traded 0.52% firmer to close at 48.75 and on good volume of
324,000 shares worth 15.858m.
DTB rallied 2.36% after posting 9 month EPS running at over +110% to
close at 130.00 and traded 27,700 shares.
HFCK traded 90,100 shares and closed at 27.25. HFCK has retreated from
above 30.00 highs and saw its Bond open for Trading this week.
NBK traded 12,300 shares and closed at 40.50 and unchanged.

Centum traded a chunky 518,700 shares and closed 1.075% better at 23.50.

Kenya Re closed 15 cents better at 11.65 and traded 347,400 shares.
Jubilee closed 0.5% firmer at 201.00 and traded 23,700 shares.
PanAfric traded 6,000 shares and closed at 70.00



N.S.E Equities - Industrial & Allied

ABL traded 5th at the Bourse. EABL rallied 1.88% to close at 217.00
which is a New Life Time Closing High. EABL traded a 217.00-218.00
range and 149,600 shares worth 32.463m. EABL had Buyers at 217.00 at
the Finish for more than was traded through the entire session. EABL
has posted a 61.582% 1 Year return and targets 220.00 its all time
High Trade Print from this Month.

Bamburi Cement was the most actively traded share at the Nairobi Stock
Exchange. Bamburi Cement improved 1% to close at 202.00 and traded a
200.00-203.00 range and 254,800 shares worth 51.71m.
ARM reported 9 month EPS +15% yesterday and closed 2.34% firmer at
175.00 on 2,400 shares.
Portland did not trade.

Mumias Sugar fell 1.49% to close below 10.00 at 9.90 and traded 1.285m
shares. There has been incredible Drama on the Sugar Futures markets
where Sugar at one point was down over 12.5% through Thursday and
Friday. Mumias Sugar lagged that Rally by a very wide margin,
however.Mumias touched 15.50 in August and has fallen 36.12% from that
August Peak.

BAT traded 0.346% firmer to close at 290.00 with 43,700 shares
changing hands. BAT pays the highest Dividend at the Bourse and has
posted a 74.24% 1 Year Return.

KenGen closed 5 cents better at 17.10 and traded 315,300 shares.
KPLC closed down 2 shillings at 212.00 and traded 28,700 shares.
Investors have been given all sides of the Restructuring Equation
except for the Discount to be applied to the Rights Issue shares,
which Issue the Government will forgo. That Discount is material and
the price has retreated a little ahead of that Announcement.
Cables closed at 181.5 and traded 15,900 shares.

KenolKobil closed at 10.75 and traded 96,400 shares.
Total traded 17,800 shares at 30.00 unchanged.

BOC Kenya retreated 2.77% to close at 140.00 and traded 1,400 shares.
Carbacid traded 1,600 shares unchanged at 150.00.
Crown Berger did not trade.
Eveready traded 18,900 shares and closed at 13.40.
Sameer traded 3,400 shares and closed at 7.95.
Unga traded 5,100 shares and closed at 11.80.



by Aly Khan Satchu (www.rich.co.ke)
 
 
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November 2010
 
 
 
 
 
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  aly khan says:
november 13th, 2010 at 02:30 pm
#Aljazeera Inside Story The Robin Hood Tax with Dareen Abughaida
http://bit.ly/abX4b1