About the Palestine Exchange (PEX) · 2017-05-09 · 2 τ About the Palestine Exchange (PEX)...

2

τ About the Palestine Exchange (PEX)

Established in 1995 as a private company aimed at promoting investment in Palestine the PEX held its first

trading session in February 1997 In 2010 PEX transformed itself to become the second publicly traded Arab

stock exchange entirely owned by the private sector

Headquartered in Nablus the Palestine Exchange provides investors with a fair transparent and fully automated

trading venue It focuses on attracting a wide range of regional and global investors including those among

the Palestinian Diaspora With paid-up capital of US10$ mn the PEX is financially sound and able to weather

a volatile world as demonstrated by its performance relative to other MENA exchanges during the global

financial crisis

Since inception the Palestine Exchange has leveraged the latest technology to ensure maximum transparency

integrity and investor protection PEX trading is carried out via the HORIZON system and overseen by the

SMART electronic surveillance system Clearing settlement and depository functions are performed by the

Clearing Depository amp Settlement Center (CDS) using the EQUATOR system Both the trading and CDS systems

are NASDAQ OMX products and are tightly coupled The PEX developed and employs its e-disclosure system

2016

2015

2014

2013

2012

2011bull Achieves full membership in the World Federation of Exchanges (WFE)

bull Launches PEX e-IPO system (ldquoEKTITABrdquo)

bull Promoted to frontier market status by index provider FTSE Russell

bull Launches PEX e-disclosure system (ldquoIFSAHrdquo)

bull FTSE adds Palestine to its ldquoWatch Listrdquo for possible upgrade to frontier market category

bull Lists first corporate bond

bull Record USD 484mn trading session

bull Launch of cash settlement system through PEX

bull SampP and MSCI create standalone indices for Palestine

bull Palestine Securities Exchange (PSE) lists on PEX

bull PEX lists a record seven new companies

τ PSE milestones

3

IFSAH and its e-IPO system EKTITAB Four banks act as authorized custodians for securities on behalf of foreign

investors Cairo Amman Bank Bank of Palestine The National Bank and Bank of Jordan

On 31 December 2016 the PEX listed 48 companies with a total market capitalization of some US339$ bn Listed

companies are divided into five sectors banking and financial services insurance investment industry and

services Shares and bonds trade in Jordanian dinars and US dollars On 31 December 2016 eight member

securities companies (brokerage firms) with operations across the West Bank and Gaza Strip operated via the PEX

Classed as Frontier Market by FTSE Russell and as a stand-alone country within both MSCI and SampP indices

The Palestine Exchange maintains an international presence via membership in several key organizations PEX

is a full member of the World Federation of Exchanges (WFE) the Federation of Arab Stock Exchanges the

Federation of Euro-Asian Stock Exchanges (FEAS) the Forum of Islamic Stock Exchanges the Africa amp Middle

East Depositories Association (AMEDA) and the Association of National Numbering Agencies (ANNA)

The PEX is registered with the Companies Controller at the Ministry of National Economy under registration

number (562601187) and operates under the supervision of the Palestinian Capital Market Authority

2010

2009

2007

2006

2005

1997

1996

bull PEX becomes a public shareholding company and acquires a new corporate identity

bull PEX investor protection rated second best among Arab exchanges

bull Online trading commences

bull Investor Education Program launched

bull Al-Quds Index rises 306 percent outperforming all other global markets

bull First trading session

bull PEX incorporates as a private shareholding company

4

والنجـاح مسـتـمـر

55 5

6Overview 2016

14Growth Strategy

16Organizational Structure

20Achievements and Developments

28Technical Performance

35Shareholder Information

44PEX Governance

64Corporate Social Responsibility

67Audited Financial Statements

Contents

6

1

10

9

11

12

2

3

4

5

6

7

8

τ Overview 2016January ς Organized a series of economic and civil

meetings in the Gaza Strip

ς Developed the e-disclosure system laquoIFSAHraquo

for use by brokerage firms

February ς Received the inspection committee of the

World Federation of Exchanges (WFE) to explore

Palestinersquos upgrade to full membership

March ς Published the 8th edition of Palestine

Exchange e-bulletin ldquoPanorama Exchangerdquo

April ς Participated in the annual meeting of Arab

Federation of Exchanges in Jordan

May ς Convened investor relations conference

ς Published the 9th edition of Palestine

Exchange bulletin ldquoPanorama Exchangerdquo

June ς Participated in St Petersburg Economic

Conference Russia

ς Concluded the ninth session of the Trading

Simulation Contest

July ς Published 2015 Technical Report

ς Convened educational workshop on

economic media for staff of Asdaa electronic

media site

ς Concluded task force meetings on the

national strategy for financial inclusion

August ς Met with brokerage firms to update listed

company shareholder registries

ς Published tenth edition of Panorama

Exchange e-Bulletin

September ς Organized training workshop on laquoDigital

marketing and search engine optimizationrdquo

ς FTSE indices upgraded Palestine Stock

Exchange to frontier market status

ς Participated in the Investorsrsquo Relations eight

annual conference organized by Middle East

Investor Relations Association in UAE - CEO

participated as keynote speaker on the future

of investorsrsquo relations in the Middle East

October ς Convened a workshop for family businesses in

Hebron on the theme of ldquoFamily businesses ndash

Sustainability Prospectsrdquo

ς Participated in the annual meeting of the

Organization of Islamic Conference Stock

Exchanges in Turkey

November ς Participated in the 56th annual conference

of the World Federation of Exchanges (WFE)

in Colombia

ς Obtained full membership in WFE

ς PEX elected to the executive council of the

Federation of Euro-Asian Stock Exchange

(FEAS) at its annual meeting in Egypt

ς Participated in the task force of the financial sector

organized by the Ministry of National Economy

ς Published the eleventh edition of Panorama

Exchange e-Bulletin

December ς Launched PEX e-IPO system

ς Convened workshop for family businesses in

Ramallah mdash ldquoFamily Businesses Sustainability

Prospectsrdquo

ς Organized a reception on the occasion of full

membership in WFE

7

$ 0064EPS

+ 73 YOY

$ 0056ROE

+ 60 YOY

$ 984254EBITDA

+ 50 YOY

$ 642895NET PROFIT

+ 72 YOY

8

τ PEX Performance Summary

An active year 2016 saw trading volume rise by 33 percent and traded value by 39 percent compared to

2015 The table below details recent years performance

Change20152016

20162015201420132012Indicators

-2044849484948Number of listed companies

13416951079521672754881163779053815641003671523328011Number of subscribed shares

15333901223353339196379318725962432474783852859140375Market capitalization (million USD)

3894445152368320388213353917125340774269273440441Value of traded shares (million USD)

3286232817327175229463181545154202965939147304208Number of traded shares

966340103101441257 4442541442Number of concluded transactions

-041245246245241249Number of trading days

31011373104811081298967Share turnover ()

-0485301653273511775414547759Al-Quds Index (points)

395118169481302391144456014140011098154Average value of traded shares per session

3341950274712315741001842182591583Average number of traded shares per session

1032139126168184166Average number of transactions per session

00088889Number of member companies

335114341110638107755104460100620Number of accounts of (CDS)

Market Capitalization by sector 2016 Al-Quds Index 2012-2016

PSE Annual Report 2016 8

PEX Performance Summary

An active year 2016 saw trading volume rise by 33 percent and traded value by 39 percent compared to 2015 The table below details recent years performance

Change 20152016 2016 2015 2014 2013 2012 Indicators

204- 84 84 84 49 84 Number of listed companies 134 1994915941 199519589441 199595494 199891995 191914911 Number of subscribed shares 153 9491119 949149954 3187259624 9185985494 194491895 Market capitalization (million USD)

3894 88911994 1944911 353917125 895589194 159889881 Value of traded shares (million USD) 3286 119415915 159114989 181545154 11949944 18598914 Number of traded shares 966 891 1918 41257 88981 819881 Number of concluded transactions 041- 18 189 245 181 184 Number of trading days

3101 15 184 1108 1298 495 Share turnover () 048- 19 15 51177 818 8554 Al-Quds Index (points)

3951 1816948 191941 1444560 1981891 1944918 Average value of traded shares per session 3341 950274 51191 741001 4819141 4194 Average number of traded shares per session 1032 139 119 168 148 199 Average number of transactions per session 000 4 4 8 4 4 Number of member companies 335 118981 11994 107755 18989 1991 Number of accounts of (CDS)

Al-Quds Index 2012-2016

Market Capitalization by sector 2016

410420430440450460470480490500510520530540550560570580590600610

021

201

223

22

012

184

201

26

122

012

068

201

202

10

2012

021

220

1231

12

013

260

320

1320

05

2013

147

201

309

09

2013

101

120

1309

01

2014

050

320

1428

04

2014

230

620

1424

08

2014

211

020

1414

12

2014

100

220

1506

04

2015

010

620

1528

07

2015

200

920

1518

11

2015

130

120

1607

03

2016

280

420

1623

06

2016

210

820

1620

10

2016

151

220

16

3866

3035

1664

990445

ServicesBanks amp Financial ServicesInvestmentIndustryInsurance











410420430440450460470480490500510520530540550560570580590600610

021

201

223

22

012

184

201

26

122

012

068

201

202

10

2012

021

220

1231

12

013

260

320

1320

05

2013

147

201

309

09

2013

101

120

1309

01

2014

050

320

1428

04

2014

230

620

1424

08

2014

211

020

1414

12

2014

100

220

1506

04

2015

010

620

1528

07

2015

200

920

1518

11

2015

130

120

1607

03

2016

280

420

1623

06

2016

210

820

1620

10

2016

151

220

16

3866

3035

1664

990445


22كما ارتفعت قيمة التداول بما نسبته 22 حيث ارتفعت أحجام التداول 6102شهدت البورصة تداوال نشطا خالل العام 6102-6106يلي ملخص األداء الفني للفترة وفيما 6102مقارنة بالعام

2016 2015 1022 1022 1021 المؤشرات التغير10221026

عدد الشركات المدرجة28 49 28 22 28 -204

عدد األسهم المكتتب بها0226222682100 0222220112227 8357377361 8357437623118 0222017226 134

)مليون دوالر أميركي(القيمة السوقية 6282220212272 2262722782282 3187259624 338537 2221066222 153

(أميركي دوالر مليون ) المتداولة األسهم قيمة67222212220 22127722622 353917125 47311348 222026228 3894

عدد األسهم المتداولة02722122618 61622222222 181545154 876344325 626807267 3286

عدد الصفقات المنفذة202226 222262 41257 83782 22101 966

عدد جلسات التداول622 620 245 425 622 -041

معدل دوران األسهم )(227 1298 1108 8721 0272 3101

مؤشر القدس )نقطة(27722 22022 51177 647 22102 -048

معدل قيمة األسهم المتداولة لكل جلسة تداول021282022 022022110 1444560 837438 1816948 3951

معدل عدد األسهم المتداولة لكل جلسة تداول2202282 8262086 741001 784386 950274 3341

معدل عدد الصفقات لكل جلسة تداول 022 082 168 845 139 1032

عدد الشركات األعضاء2 8 8 1 8 000

عدد حسابات مركز اإليداع والتحويل0112261 0122221 107755 0012228 0022220 335

(1026-1021) مؤشر القدس

1026 التداول حسب القطاعات االقتصادية

410420430440450460470480490500510520530540550560570580590600610

021

201

215

22

012

024

201

25

172

012

037

201

216

82

012

041

020

1226

11

2012

161

201

304

03

2013

170

420

1303

06

2013

180

720

1305

09

2013

281

020

1317

12

2013

050

220

1423

03

2014

070

520

1423

06

2014

140

820

1429

09

2014

181

120

1405

01

2015

220

220

1508

04

2015

260

520

1509

07

2015

270

820

1518

10

2015

021

220

1519

01

2016

030

320

1618

04

2016

050

620

1624

07

2016

060

920

1630

10

2016

151

220

16

3866

3035

1664

990 445الخدمات

البنوك

االستثمار

الصناعة

التأمين

9


Financial Performance SummaryNet profits rose 72 percent year-over-year driven largely by trading activity Trading Commission revenues increased 38 percent while other revenues grew nine percent Below are key financial indicators

Change 20152016 2016 2015 2014 2013 2012 Indicator

891 12934931 11876356 11480780 11366673 11723148 Total assets

288 1508544 1171021 1128990 1303913 1487110 Total liabilities

67 11426387 10705335 10351790 10062760 10236038 Net equity

-402 2019 3375 1119 113 067 Liquidity ratio

169 408 349 179 5 33 Cash ratio

730 0064 0037 0024 (002) )007( Earnings per share

600 0056 0035 002 (002) )007( Return on shareholder equity

563 005 0032 002 (002) )006( Rate of return on total assets

200 12 10 10 11 13 Total liabilities to total assets

182 13 11 11 13 15 Total liabilities to total equity

497 984254 657423 590673 137219 (331851) EBITDA

Currency (USD)

Operating Revenues amp Expenses (Million USD)

Gains (losses)

316

277

241219

251

196 207 218 206

266

2012 2013 2014 2015 2016

Expenses Revenue

-701201

-219630

243224374655

642895

2012 2013 2014 2015 2016

τ Financial Performance Summary

Net profits rose 72 percent year-over-year driven largely by trading activity Trading Commission

revenues increased 38 percent while other revenues grew nine percent Below are key financial indicators

Change 2015201620162015201420132012Indicator

8911293493111876356114807801136667311723148Total assets

28815085441171021112899013039131487110Total liabilities

671142638710705335103517901006276010236038Net equity

-402201933751119113067Liquidity ratio

169408349179533Cash ratio

730006400370024(002)(007)Earnings per share

60000560035002(002)(007)Return on shareholder equity

5630050032002(002)(006)Rate of return on total assets

20012101011 13Total liabilities to total assets

1821311111315Total liabilities to total equity

497984254657423590673137219(331851)EBITDA

Operating Revenues amp Expenses (Million USD) Profits (losses)


Financial Performance Summary

Net profits rose 72 percent year-over-year driven largely by trading activity Commission revenues increased 38 percent while other revenues grew nine percent Below are key financial indicators


891 12934931 11876356 11480780 11366673 119519184 Total assets 288 1508544 1171021 1128990 19941 198459110 Total liabilities 67 11426387 10705335 10351790 1991959 191994 Net equity

-402 2019 3375 1119 113 95 Liquidity ratio 169 408 349 179 5 33 Cash ratio 730 0064 0037 0024 (002) (5) Earnings per share 600 0056 0035 002 (002) (5) Return on shareholder equity 563 005 0032 002 (002) (9) Rate of return on total assets 200 12 10 10 11 13 Total liabilities to total assets 182 13 11 11 13 15 Total liabilities to total equity 497 984254 657423 590673 137219 (331851) EBITDA


Gains (losses)

316277

241219

251

196 207 218 206

266

2012 2013 2014 2015 2016

Expenses Revenue

-701201

-219630

243224374655

642895

2012 2013 2014 2015 2016

currency USD

10

Dr Farouq Zuai terChai rman of the Board

laquoWe look forward to the challenges and opportunities ahead confident

the Palestine Exchange will build on its achievementsraquo

11

Dear Shareho lders

I would like to welcome you in the annual meeting

aimed to present the accomplishments of our

company and its financial performance in the year

2016

Many positive signs appeared in 2016 predicting

recovery of the global economy following the

financial crises of 2008 Notwithstanding the refugeesrsquo

crisis Brexit and the fluctuation of the oil prices in the

first half of 2016 global economy witnessed a growth

of 27 inflation rates in developed economies

started to rise while interest rates in US marked an

increase of 25 points following improved economic

performance and its expected to rise at equal rates

in 2017 Furthermore oil prices are expected to rise in

2017 following an agreement among oil producing

countries to cut down their production so as to support

their budgets and achieve relative revitalization of

their economies

The national economy marked a 3 growth and is

expected to preserve this trend in 2017 especially if

further funding is obtained for reconstruction efforts

in Gaza and lifting of restrictions on the mobility of

persons and goods as well as the increase of the

number of workers in Israel and continuing flow of

donorsrsquo funding

Regionally Arab stock markets recorded mostly

positive results in 2016 Egyptrsquos market rose 76 percent

Casablanca by 30 percent and Dubai 12 percent

While the Al-Quds index posted a slight decrease

of 048 percent trading in PEX-listed companies

grew 39 percent over 2016 for a total value of 445

million US Dollars Total market capitalization also

increased by 15 percent to reach 339 billion US

Dollars

Meanwhile the Palestine Exchange passed several

key milestones towards fulfillment of its strategic

vision We are most proud of having achieved full

membership in the World Federation of Exchanges

(WFE) and our upgrade to frontier markets status

within FTSE Russell indices As a small exchange

with global ambitions PEX technology initiatives

included the successful launch of its e-IPO

system Finally local investment awareness efforts

continued to reap rewards

We look forward to the challenges and opportunities

ahead confident the Palestine Exchange will

build on its achievements in support of a national

economy primed for exceptional growth I wish

to express my deep gratitude and appreciation

to my colleagues on the Board for all their

valuable contributions I also thank the executive

administration and staff for their unflagging efforts

to realize our strategic vision Finally my sincere

Thanks to our partners in the securities sector

Best wishes of success to all

Dr Farouq ZuaiterChairman of the Board

12

Dear Shareho lders On behalf of the executive management I am pleased to present your companyrsquos 2016 annual report

Despite its challenges the year saw the Palestine Exchange perform well financially and achieve key strategic

goals that position it for future advancement Our performance reflects an economy that grew 3 percent with

listed company profits climbing 7 percent to 287 million US dollars This progress would only accelerate under

improved political conditions

Ahmad AweidahCEO

13

Growth StrategyThe Exchange made substantial progress in a number

of areas but 2016 was marked by the attainment

of two key strategic objectives full membership

in the World Federation of Exchanges (WFE) and

upgrade to frontier market status within the FTSE

Russell indices These accomplishments attest to the

Exchangersquos organizational operational and legal

credibility enhancing its listed companiesrsquo appeal to

international investors Our commitment to providing

a fair and transparent market was underlined by

sponsorship of the first investor relations conference

in cooperation with the Palestine chapter of the

Middle East Investor Relations Association

The Exchange continued to enhance its electronic

environment NotablySanad Construction Resources

Company became the first firm to list using our

internally-developed e-IPO system ldquoEKTITABrdquo The

system connects banks with the CDS to ensure

production of reliable shareholder registries that

better enable companies communicate with their

shareholders It follows the successful introduction

of the ldquoIFSAHrdquo e-disclosure platform developed for

brokerage firms

The year also saw greater outreach to private family-

owned businesses critical players in market and

national development For its part our investment

awareness program was capped off by the ninth

round of the Trading Simulation Competition which

attracted 260 students representing 11 national

universities In addition we hosted 300 students

as part of our ldquoVisit the Exchangerdquo program and

organized regular workshops and awareness sessions

in addition to our electronic publications

OperationsTrading volume increased 33 percent over

2015 to 233 million shares while traded

value rose 39 percent to reach 445 million US Dollars

Daily trading marked a rise of 40 percent scoring 18

million US Dollars The Al Quds Index closed at 53016

off 048 percent Total market value of Palestine

Exchange listed firms reached 339 billion US Dollars

a 15 percent increase over 2015

Financial PerformanceRelatively brisk trading activity had a positive impact

on our financial performance boosting operational

revenues 29 percent over the previous year Other

revenue streams increased 9 percent for a net

revenue rise of 73 percent and net after tax profit of

642895 US Dollars (a 716 percent improvement)

We usher in 2017 with sustained resilience and

determination our hopes for prosperity drawn from

the creativity of our listed companies and the growing

dynamism of the financial securities sector I wish to

thank our shareholders for their highly valued trust

I would also like to express sincere appreciation to

the Board of Directors and to my colleagues at the

Palestine Exchange Lastly thanks and gratitude to the

Palestine Capital Market Authority and all our partners

in the financial securities sector

My best wishes of success to you all

Ahmad AweidahCEO

14

Growth Strategy

15

τ Growth Strategy

1 Strengthen market governance mdash legislation regulation systems operational procedures information

security and management

2 Enhance partnerships with the Palestinian Capital Market Authority (PCMA) brokerage firms and listed

companies

3 Increase market depth liquidity and investor base through

bull Continued listing initiatives focusing on family-owned enterprises

bull Inclusion in MENA frontier market indices such as those provided by MSCI SampP and FTSE

bull Encouraging investment by Diaspora Palestinians

bull Attracting national and regional institutional and retail investors

4 Diversify income streams by

bull Expanding central depository services

bull Developing data dissemination channels and providing an online trading and companies database

5 Strengthen PEX local regional and international relationships

6 Promote good governance and investor relations best practices among listed companies

16

OrganizationalStructure

General Assemply

Board of Directors

Legal AdvisorExternal Audit

Internal Audit

ClearingDepositoryamp Sattlement Center

Public Relations amp invistor Education Dept

Trading Surveillanceamp Members affairs Dept Companies Dept

Systems amp TechnologyDept

Financial ampAdministativeaffairs Dept

Chief ExecutiveOfficer

Deputy ChiefExecutive Officer

Ops Compliance Sec

BOD InvestmentCom

BOD-Remunerationsamp Goverance Com

BOD-Audit amp Risk Com

17

τ Organizational Structure

General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



18

τ Board of Directors

Dr Farouq Zuaiter

ChairmanRepresentative of (PADICO)

Dr Atef Alawneh

Board memberRepresentative of (PADICO)

Mr Ziad Turk


Mr Samir Hulileh

Vice ChairmanRepresentative of (PADICO)

Dr Mohammad Shtayyeh

Board memberRepresentative of Al-Sanabel Trad-ing and Investment Company Ltd

Mr Maher Masri


No board member holds an executive position within the PEXAll board members have Palestinian nationality except Dr Farouq Zuaiter and Mr Ziad Turk who hold Jordanian nationalityBoard of Directors permanent Committees bull Audit amp Risk Committeebull Governance and Remuneration Committeebull Investment Committee 19

Legal Advisor

Al-Zubi Law Office

Independent External Auditor

Ernst amp Young

Mr Khaled Jian

bull Deputy Chief Executive Officer

bull Manager of Financial and

Administrative Affairs Department

bull Secretary of the Board of Directors

Mrs Nagham Salameh

Manager of Trading

Surveillance and Member

Affairs Department

Mr Khalid Hamdan

Manager of Clearing

Depository amp Settlement

Center (CDS)

Mr Mohammad Khraim

bull Manager of Public Relations

amp Investor Education

bull Chairman of the Palestine

Investor Relations Chapter

Joined PEX in 01122016

Mr ldquoAhmad Samehrdquo Aweidah

Chief Executive Officer

Mr Ahmad Aker

Chief of Operations

Mr Mohammad Hijaz

Manager of Companies

Department

Mr Mohammad Obeid

Manager of Systems and

Technology Department

τ Executive Management

20

Achievements and Developments

21

τ Achievements and Developments

Full Membership in the World Federation of Exchanges (WFE)In November the World Federation of Exchanges (WFE) awarded Palestine Exchange full membership The

upgrade announced at the Federationrsquos 56th General Assembly in Colombia followed an in-depth onsite

review and evaluation International investors regard WFE membership as an important indicator of financial

market standards Since 2009 Palestine Exchange has adhered to WFE guidelines as a corresponding member

and from 2011 as an affiliate member

A Frontier Market at FTSE Russell IndicesIn September FTSE Russell upgraded Palestine Exchange to frontier markets status Underscoring the Exchangersquos

operational regulatory and legal achievements the new classification marks a milestone in improving visibility

and credibility in international markets

New e-IPO ServiceIn December Sanad Construction Resources Company became the first firm to list using the Exchangersquos

internally-developed ldquoEktitabrdquo e-IPO program The online service lets investors subscribe in companies without

the use of paper documents It seamlessly and securely connects banks with the CDS platform to ensure an

accurate shareholder registry and quality investor communications

بيان صحفي للنشر الفوري06112016 التاريخ

(WFE)

-

(World Federation of Exchanges)

201556

24112016

22

Family Business OutreachPalestine Exchange stepped up engagement with private family businesses reaching out with a series field visits

along with two workshops titled laquoFamily Business Sustainability prospectsraquo in Hebron and Ramallah The workshops

featured representatives from international accounting firms explain the advantages and responsibilities of a

public listing

IFSAH e-disclosure systemMember broker firms joined the ldquoIFSAHrdquo e-disclosure system at the beginning of 2016 streamlining financial

statement disclosure

Gaza Strip MeetingsIn January the Palestine Exchange concluded a round of meetings in the Gaza Strip with the visit of its delegate

Mr Mohammad Hijaz Director of Companiesrsquo Department Mr Hijaz held discussions with representatives

from listed and non-listed companies family-owned businesses and member brokerage firm branches The

round also included visits to partner universities the Chamber of Commerce and Industry in Gaza and the

Businessmenrsquos Association

Termination of HSBC Custodian Bank AgreementAs of 30 June 2016 following correspondence with the HSBC the Custodian Bank Agreement was terminated

following closure of HSBCrsquos offices in Palestine Based on the mechanism agreed upon with the bank all

customer accounts were closed and their shares transferred to the custodian of their choice

23


Compliance and Risk Management Operational compliance aims to enhance internal control over the Exchangersquos daily operations either through auditing or compliance verification This effort coincided with ratification by the Palestine Exchangersquos Board of Directors of the compliance and risk management and anti-money laundering policies Implementation of the instructions issued by the National Committee to Combat Money-Laundry and Terrorism Funding relating to the Exchange activities has started Explanatory notes were prepared to identify the duties and mandate of every agency of the capital market institutions relating to implementing the requirements of the UN Security Council lists Work was done to update the applications of opening accounts for natural and legal persons to produce forms consistent with internationally applicable criteria Annexes were drafted to identify customers including stakeholders users delegates and politically disposed persons in addition to the requirements of American Citizen Security Indicators and rules of dealings via a third party

Human Resources PEX employed 44 people at the end of 2016 one more than 2015 Employee data

- Staff distribution by education

- Staff distribution by age

- Staff distribution by Gender

bull Training and Development The Palestine Exchange believes in building the capacities of its staff and providing them with the necessary expertise to fulfill their tasks To this end it organizes a variety of internal and external training programs workshops conferences and symposia Last year activities included

- Training workshop on managing interest rates and FX risk- Three employees - Seminar on Islamic bonds Sukuk in Jordan organized by the Islamic Bank for

Development- Two employees - Course on data analysis and economic report preparation in Jordan organized by

PECDAR- One employee - Course on digital marketing and social media optimization- Three employees - Course toward Certified Management Accountant certification- One employee

Investment Awareness

- Media education workshop for Asdaa e-media site

18

52

14

16MasterBADiplomaHigh school

18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female

Compliance and Risk ManagementOperational compliance aims to enhance internal control over the Exchangersquos daily operations either

through auditing or compliance verification This effort coincided with ratification by the Palestine

Exchangersquos Board of Directors of the compliance and risk management and anti-money laundering policies

Implementation of the instructions issued by the National Committee to Combat Money-Laundry and Terrorism

Funding relating to the Exchange activities has started Explanatory notes were prepared to identify the duties

and mandate of every agency of the capital market institutions relating to implementing the requirements of

the UN Security Council lists Work was done to update the applications of opening accounts for natural and

legal persons to produce forms consistent with internationally applicable criteria Annexes were drafted to

identify customers including stakeholders users delegates and politically disposed persons in addition to the

requirements of American Citizen Security Indicators and rules of dealings via a third party

Human ResourcesPEX employed 44 people at the end of 2016 one more than 2015 Employee data

Staff distribution by educationStaff distribution by ageStaff distribution by Gender

Training and DevelopmentThe Palestine Exchange believes in building the capacities of its staff and providing them with the necessary

expertise to fulfill their tasks To this end it organizes a variety of internal and external training programs

workshops conferences and symposia Last year activities included

bull Training workshop on managing interest rates and FX risk- Three employees

bull Seminar on Islamic bonds Sukuk in Jordan organized by the Islamic Bank for Development- Two employees

bull Course on data analysis and economic report preparation in Jordan organized by PECDAR- One employee

bull Course on digital marketing and social media optimization- Three employees

bull Course toward Certified Management Accountant certification- One employee

Less than 30

24


ཌ Media education workshop for Asdaa e-media site

A workshop held in July was attended by 20 media practitioners working on the website to introduce them to

the Palestine Exchangersquos operations and its data and information dissemination services

ཌ Student visits

Despite school interruptions the Exchange played host to more than 300 students as part of its ldquoVisit the

Palestine Exchangerdquo program The initiative aims to familiarize students with the Palestine Exchange and the

Palestinian financial securities sector

Stock Market Simulation ContestThe competitionrsquos ninth round saw more than 260 students from 11 Palestinian universities compete for prizes in a

virtual trading environment The Arab Palestinian Investment Company (APIC) sponsored the 2016 tournament

Training Courses ཌ Digital marketing and social media optimization

Twenty professionals from listed and non-listed firms attended a three-day course organized by the Exchange

on integrating social media into corporate marketing PR and investor relations

25

ཌ Financial brokering

Delivered via videoconference the course provided employees of Wasata brokerage firm in Gaza with a

detailed explanation of the theoretical and practical aspects of CDS and trading procedures Successful

completion of the course is required for certification by the Palestine Capital Market Authority as well as the

Chartered Institute for Securities and Investment (CISI)

Media Presence and Dissemination of Informationbull Media activity The Palestine Exchange continued to be a source for information and comment on

developments at PEX and in the Palestinian securities sector

bull Networking with local media The Palestine Exchange held meetings with local media aimed at

joint cooperation and greater news coverage The following organizations were visited Al-Hayat

Newspaper Al-Ayyam Newspaper Palestine Economic Portal Birzeit University Media Center WAFa-

Palestine Official News Agency PBC-Palestine Broadcasting Corporation and Al-Hadath Newspaper

bull Reception following WFE membership upgrade Held at the Movenpick Hotel in Ramallah the

December 19th event attracted senior government and private sector officials academics and the

media

bull Data dissemination The PEX expanded its data dissemination to local and external agencies

26

Electronic Publications ཌ Technical Report

Covers listed company status performance and governance indicators in 2015 It is published in a pdf

e-version The report has particular importance for many groups for the reason of the information it provides

on the public equities listed and their application of governance

ཌ Panorama Exchange E-Bulletin

A quarterly e-bulletin ldquoPanoramardquo features in-depth coverage of issues affecting the Palestinian securities

sector It can be found here httpwwwpexpspanorama

ཌ Monthly Trading Bulletin

Provides statistical data of the trading indicators and the changes over the month and other data and news

related to market activity

ཌ Monthly Investor Bulletin

A summary of market data and company news

ཌ Monthly CDS Report

Presents data on investors shares and CDS operations

ཌ Quarterly Members Report of Financial Securities Companies

Displays statistical data and charts on the performance of member brokerage firms

Palestine Chapter of Middle East Investors Relations Association ndash MEIRAMEIRArsquos Palestine chapter held four meetings to discuss ongoing issues and events Significant chapter activities

included

bull Investor Relations Conference Held in May the conference was jointly organized by MEIRA-Palestine

chapter MEIRA-UAE and the PEX It brought together some 80 participants and featured a distinguished

group of local and foreign speakers It was widely covered by local media

bull Updating shareholder database For this purpose a meeting was held in August attended by

representatives from MEIRA-Palestine chapter the PEX as well as brokerage firms The meeting discussed

possible mechanisms to employ update and amend shareholder databases in cooperation with relevant

agencies

27

Regional and International PresenceThe Palestine Exchange enhanced its regional and international profile via participation in a variety

of forums including

bull The annual meeting of the Federation of Euro-Asian Stock Exchanges (FEAS) in Sharm El-Sheikh Egypt

during which Palestine Exchange was elected to FEASrsquos Executive Board

bull The 56th annual conference of the World Federation of Exchanges (WFE) in Cartagena Colombia during

which PEX was upgraded to full membership

bull The meeting of financial markets of the Organization of the Islamic Conference (OIC) in Istanbul

bull The eighth annual conference of the Middle East Investor Relations Association (MEIRA) in Dubai in which

the CEO delivered a keynote address

bull The St Petersburg Economic Conference upon invitation of the Ministry of National Economy in St

Petersburg Russia

bull The annual meeting of the Federation of Arab Exchanges in Jordan

Local participationbull The meetings of the national strategy task forces on financial inclusion under the presidency of the Palestine

Capital Market Authority (PCMA) and the Palestinian Monetary Authority (PMA) noting that the Palestine

Exchange is a member of the strategyrsquos advisory and technical committees

bull The committee of the financial sector held by Palestine Capital Market Authority (PCMA) and Palestinian

Monetary Authority (PMA) invited by the Ministry of National Economy to join Beirut round of services sector

28

Technical Performance

29

τ Technical Performance Al Quds Index

The PEXrsquos Al-Quds index closed the year at 53016 points a 048 percent decline from 2015 The drop largely

reflected the 694 percent fall of the services sector index The indexs peak value during 2016 was 53695

points The Al-Quds Index closed the first quarter at 50628 points a decline of 496 percent compared with

2015 The decline continued in the second quarter reaching a low of 48839 points The third quarter index

retrieved at the end of the third quarter at a rise of 294 percent from second quarter At the end of 2016 the

index increased 2627 points from first half a rise of 523 percent

The graph below shows year-over-year performance of Arab markets


PEX Technical Performance

Al Quds Index

The PEXrsquos Al-Quds index closed the year at 53016 points a 048 percent decline from 2015 The drop largely reflected the 694 percent fall of the services sector index The indexs peak value during 2016 was 53695 points The Al-Quds Index closed the first quarter at 50628 points a decline of 496 percent compared with 2015 The decline continued in the second quarter reaching a low of 48839 points The third quarter index retrieved at the end of the third quarter at a rise of 294 percent from second quarter At the end of 2016 the index increased 2627 points from first half a rise of 523 percent


48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30

Sector IndicesThe general index encompassing all listed companies closed the year up 309 points to 28517 points a 110

percent increase over 2015

All sector indices except services saw upticks The banking and financial services index increased 056 percent

to close at 14438 points The insurance index rose 3658 percent and closed at 6706 points The industry

sector index increased 1186 percent to close at 7817 points The investment sector increased 980 percent

to close at 2633 points The services sector declined 694 percent to close at 4503 points

Changeopenclose Sector

() Point

-048-2575327353016Al-Quds

1103092820828517General

0560811435714438Banking and financial services

118682969887817Industry

3658179649106706Insurance

98023523982633Investment

-694-33648394503Services

The following graph compares the insurance sector index the highest with Al-Quds index in 2016


Sector Indices

The general index encompassing all listed companies closed the year up 309 points to 28517 points a 110 percent increase over 2015 All sector indices except services saw upticks The banking and financial services index increased 056 percent to close at 14438 points The insurance index rose 3658 percent and closed at 6706 points The industry sector index increased 1186 percent to close at 7817 points The investment sector increased 980 percent to close at 2633 points The services sector declined 694 percent to close at 4503 points


485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point

-048 -257 53273 53016 Al-Quds 110 309 28208 28517 General 056 081 14357 14438 Banking and financial services

1186 829 6988 7817 Industry 3658 1796 4910 6706 Insurance 980 235 2398 2633 Investment -694 -336 4839 4503 Services

Al-Quds Index Insurance Sector Index

31

Trading ActivityThe PEX held 245 trading sessions in 2016 in which 232817327 shares valued at USD 445152368

were traded through 34010 contracts

Total listed company market capitalization reached USD 3390122335 a 153 percent rise over 2015 The

value of traded shares increased 3894 percent over 2015 amounting to USD 445152368

The Banking amp Financial Services sector accounted for 4155 percent of total trading followed by the

investment sector with 2574 percent and the services sector at 2341 percent

Value of traded shares (USD million)

Volume of Traded Shares( million)

25

دوالرا أمريكيا 22220262228سهما بقيمة 62628072267 تم خاللها تداول 6102العام تداول خالل ةجلس 245تم عقد شهر كانون فقد بلغت القيمة السوقية ألسهم الشركات المدرجة نهاية وفيما يتعلق بحجم السوق عقدا 222101نفذت من خـالل

العام نهاية نفس الفترة من عن 022نسبته بلغت بارتفاع دوالر أمريكي 2222120662222 حوالي 6102أول من العام واستحوذ 6102العام عن 2822ه نسبتبارتفاع بلغت دوالرا 22220262228المتداولة األسهم في حين بلغت قيمة 6102

حيث شكلت قيمة األسهم 6102قطاع البنوك والخدمات المالية على النصيب األكبر من قيمة األسهم المتداولة خالل العام من 6220استحوذ قطاع االستثمار على نسبة نمن إجمالي قيمة التداوالت خالل العام في حي 2022ا نسبته المتداولة م

من إجمالي قيم التداول 6220قيمة التداوالت تاله في المرتبة الثالثة قطاع الخدمات بنسبة

)قيمة األسهم المتداولة )مليون دوالر

دوالر(عدد األسهم المتداولة )مليون

25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-

paniesVolume Value (USD)

No of Transac-tions

Market Cap (USD)

Banking amp Financial Services 7 99518768 184960320 9482 1028988015

Insurance 7 11871187 29288370 618 150912500Investment 9 88912257 114562485 10505 564056509

Industry 13 4807320 12133927 2135 335468324Services 12 27707795 104207267 11270 1310696987

Total 48 232817327 445152369 34010 3390122335bull Percentage value of traded shares per sector

bull Percentage of traded shares per sector


Trading by Sector

Sector

Listed Companies Volume Value (USD) No of

Transactions Market Cap

(USD)

Banking amp Financial Services 7 99518768 184960320 9482 1028988015 Insurance 7 11871187 29288370 618 150912500 Investment 9 88912257 114562485 10505 564056509 Industry 13 4807320 12133927 2135 335468324 Services 12 27707795 104207267 11270 1310696987 Total 48 232817327 445152369 34010 3390122335

Percentage value of traded shares per sector

Percentage of traded shares per sector

BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33

Trading by Nationality

SectorListed

CompaniesVolume Value (USD)

No of Transactions

Market Cap (USD)




Total 48 232817327 445152369 34010 3390122335bull Investments at the PEX (USD million)

bull Share ownership by nationality amp type bull Shareholders by nationality amp type



Sector



(USD)


Investments at the PEX (USD million)

Share ownership by nationality amp type Shareholders by nationality amp type

125

231

163

317

100

200

62

114

Volume Value Volume Value

Sell Buy

Palestinian

Foreign

Local Individual 2353

Local Company 4212

Foreign Individual 1246

Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2

الشركات المدرجة

والتي نفذت بنك فلسطين على أثر عملية االندماج معشطب إدراج أسهم البنك التجاري الفلسطيني 2116تم خالل العام قيمتهابلغت شركة 28هو 6102جة نهاية العام وبذلك يكون عدد الشركات المدر 6102خالل شهر أيلول من العام

وال يزال 6102العام نهاية نفس الفترة من عن 022نسبته بلغت بارتفاع دوالر أمريكيمليار 2221 حواليالسوقية يليه قطاع البنوك والخدمات 2822بر من إجمالي القيمة السوقية بنسبة قطاع الخدمات يستحوذ على الحصة األك

من إجمالي القيمة 2122المالية في المرتبة الثانية بنسبة

عدد الشركات المدرجة

)مليون دوالر أمريكي( القيمة السوقية أرباحتوزيعات )الشركات )مليون دوالر

48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016

Listed CompaniesIn September PEX delisted Commercial Bank of Palestine following its merger with Bank of Palestine As of

31 December 2016 PEX listed 48 companies with a total market value of USD 339$ bn a 153 percent

increase over 2015 The services sector remained the largest in terms of market capitalization representing

3866 percent of the total The banking and financial sector ranked second at 3035 percent

Listed Companies

Dividends of listed companies (USD Million) Market Capitalization (USD Million)

35

Shareholder Information

36

τ Shareholder InformationShares and Shareholders

On 31 December 2016 the PEX had 23 shareholders that owned a total of 10 million shares The table below

provides a breakdown of shareholders and shares

ཌ Shareholders According to Volume of ShareholdingShareholding

volumeNo of

shareholdersPercentage of shareholders

Volume of shares Percentage of shares

2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100

ཌ Shareholders by nationality

ཌ Type of ShareholdersNo of Shareholders Volume of Shares Percentage of Shares

2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264

Brokerage companies 1 1 44100 44100 044 044

Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100


On 31 December 2016 the PEX had 23 shareholders that owned a total of 10 million shares The table below provides a breakdown of shareholders and shares

Shareholders According to Volume of Shareholding

Shareholding volume No of shareholders

Percentage of shareholders


2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100

Shareholders by nationality

Type of Shareholders

No of Shareholders

Volume of Shares Percentage of Shares

2016 2015 2016 2015 2016 2015Individuals 4 4 23000 23000 023 023Institutions

Companies 14 13 9759126 9259126 9759 9264 Brokerage companies 1 1 44100 44100 044 044 Banks 2 2 172674 172674 173 168 Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100

Major Shareholders

Share Volume in Share Volume in Name of Shareholding Company

4

19

7274744

2725256

Palestinian Foreigner

37

ཌ Major Shareholders

Share Volume in

31122015Share Volume in

31122016Name of Shareholding Company

7471747134474717471344Palestine Development amp Investment PADICO Holding1

170017000001700 1700000Al-Sanabel Trading and Investment Company Ltd2

500500000500 500000Capital Trust Investments Limited 3

9671967134496719671344TOTAL

ཌ Major Shareholder Overview

Palestine Development amp Investment PADICO Holding

PADICO is a limited public holding company established on 14 October 1994 according to the Liberian

nonresident company law

Among its corporate purposes is the development and promotion of investments in various sectors including

industry real estate tourism housing and services In addition it conducts technical research and provides

consultancy services through the establishment of subsidiaries or projects managed either wholly or partially

by it or through its subsidiaries

Al-Sanabel Trading and Investment Company Limited

A private limited liability shareholding company with a share capital of USD 3 mn registered in Palestine

with the Companies Controller under registration number (562482216) on 17 February 2009 Its registered

headquarters is in Ramallah City and it may establish sub-offices in Palestine and abroad in accordance with

the law

Capital Trust Investments Limited

Established and registered in 1993 in Guernsey A subsidiary of Capital Trust Group (founded in 1985) CTG

is a private equity real estate and corporate finance advisory firm operating in the UK Europe USA the

Middle East and North Africa The Group has managed nine funds to date and has offices in London Beirut

Washington and New York

38

ཌ PSE Trading ActivityThe table below shows PSE share trading activity

20152016Item


240671485Value of traded shares

23Number of executed transactions

0049 000003 Share average turnover

23Number of share trading sessions

4950000049500000Companyrsquos market value on 31 December 2012

536 536 Percentage of free shares

495495Highest trading price in 2012 (USD)

495495Lowest trading prices in 2012 (USD)

495495Closing prices on 31 December 2012 (USD)

Quarterly share price details were as follows

4th Quarter 3rd Quarter 2nd Quarter 1st QuarterStatement

495495495495Highest price (USD)

495495495495Lowest price (USD)

495495495495Closing price (USD)

ཌ Information dissemination to shareholdersThe PEX adheres to a shareholder communication policy which guarantees accurate clear and transparent

information dissemination to its shareholders and the investment community in general The PEX utilizes

available platforms including its website e-mail regular mail and landline to communicate with shareholders

PEX communication policy is available at wwwpexps under Investor Relations

39

ཌ Dividend Distribution The PEX dividend policy depends upon profitability and the availability of sufficient reserves to

distribute dividends to shareholders Dividend distribution is not guaranteed The following table

shows dividends distributed from 2005-2008

DividendShareValue of Distributed DividendsDistribution type Fiscal year

0191900000Cash2008

0202000000Cash2007

0313112709Cash2006

2537171000Free shares2005

ཌ PEX Competitive Featuresbull Palestinian Securities Exchange successful development rests on several qualities including

bull Since inception the PEX has leveraged modern technology it was the first fully automated electronic

Arab financial market

bull PEX listed companies are among the largest and most innovative in Palestine contributing enormously

to the Exchangersquos success and evolution

bull Prospects are good for increasing the number of listed companies based on the provisions of the

Securities Law No 12 for the year 2004

bull A vital component of any economy the Exchange is a primary capital raising source for public firms

and provides investment opportunities for a multitude of investors including bank portfolios

bull The Exchange is favored by investors who seek swift and easy trading governed by clear and

transparent rules

bull The Exchange serves small and large investors alike Any amount of capital investment is possible in

a diverse range of companies

ཌ Investment PolicyThe Investment Committee of the PEX Board of Directors develops and monitors the investment policy of

the companyrsquos assets in line with the Committeersquos guidelines Most global stock markets including the PEX

depend largely on trading returns to drive revenue However the PEX strives to diversify income streams and

reduce its dependence on fees and trading commissions PEX may carry out measured investment activities

in order to upgrade and promote the efficiency of financial assets utilization and enhance its role in serving

both shareholders and the Palestinian economy

The investment policy maintains a disciplined investment philosophy based on the preservation of capital

while seeking opportunities to maximize returns Balancing investment objectives with risk analysis it seeks

40

safe liquid and long-term opportunities It avoids speculation and gives priority to promising and practical

domestic investments that serve national economic development

Areas of investment include capital productivity and service companies monetary market and debt tools

and real estate Note that PEX holds previous investments which amounted to the following as at 20161231

Investment Amount

A Financial Assets at fair value from statement of complehensive income

V Tel Co 157500

(Rawan) portfolio 955444

Dubai Financial Market 4135

B Financial Assets at amortization 7000000

ཌ Risks and ChallengesMajor risks faced by the PEX are those commonly associated with political risks the Palestinian internal

situation as well as domestic regional and international economic crises While it is difficult to find any risk-free

investment and in addition to the general familiar risks just mentioned there are special potential risks that

PEX might face which should be accommodated for irrespective of the possibility of their occurrence Nor may

they be the only risks to take into account since there could be other risks unknown to us at the moment or

risks that are intangible The realization of any of the risks mentioned below could have a substantial negative

impact on our work the outcomes of our operations and financial position

Risks of Legislation

The Exchange is supervised by the Palestinian Capital Market Authority (PCMA) and the instructions it issues

The PCMA regulates the non-banking financial sector including the securities industry securities advisors and

other persons working in the securities sector Any changes to the rules and regulations issued by the PCMA

might affect the activities of the Exchange Note that the PCMA receives fees assessed as a percentage of the

Exchangersquos commissions being the main source of income for the Exchange

Competitive Edge

Like other countries in the region except the UAE Palestine has one exchange only Considering that most other

countries have only one exchange and considering the limited number of public shareholding companies

operating in the West Bank and Gaza Strip it is not expected that a second exchange will be established

The real competition lies in nearby markets particularly Jordan Egypt and the UAE which sometimes drain

considerable local liquidity The banking sector is also considered a competing market

41

Political and Economic Trends

The Exchange is registered in Palestine with headquarters in the city of Nablus Palestine has been

influenced by political fluctuations in past years especially the Intifada which have adversely

affected the economy causing high unemployment rates leading to poverty and limited investment

Stock Price Volatility

Despite controls placed on share trading following listing prices are subject to market fluctuations There will

be no guarantee that the value of the shares will rise or that the share price does not fall

Risk of Legal Action

The Exchange has no pending legal actions Foreseeable potential legal risks that we may be exposed to

may arise from third party claims in relation to multi-party trading

ཌ Changes and Future Expected IndicatorsFuture indicators are difficult to predict given the exceptional nature of PEX work which is tightly correlated with

prevailing political and economical conditions Thus any improvement in these conditions will have a direct

impact on trading the PEXrsquos main source of income PEX income is expected to rise through new listings and

the provision of additional services

ཌ PrivilegesEven though Palestine has only one Exchange as is the case in most countries PEX has no exclusive privileges

or government protection under the Securities Act or any other laws or regulations Moreover it has no patents

or rights of excellence

ཌ Research and DevelopmentWhile PEX does not provide any products or services that require setting a written policy on research and

development it periodically allocates financial resources to update its electronic infrastructure In addition

various research initiatives are conducted through internal teams specialized committees and external

parties

ཌ Procedures and Legal IssuesThe lawsuit that was pending on PEX and other parties was lift by the plaintiff There are no pending legal

actions from previous years either taken by the PEX or held against it

42

ཌ Resolutions of Financial ImpactThere is no resolution with material impact on PEX activities

ཌ Issues Referred to Voting by ShareholdersDuring its ordinary meeting on 29032016 the General Assembly unanimously approved the Board of Direc-

torsrsquo report of PEX operations the Financial Statements and Auditorrsquos Report of 2015 The General Assembly

also re-elected Ernst amp Young as external auditors and delegated the Board of Directors to set their fees

ཌ Assets The following table shows PEX main assets on 31 December 2016 distributed between Nablus

and Ramallah

Amount (USD)Assets

1855558Real estate1

132915Decorations and leasehold improvement2

125040Furniture and office equipment3

17335Computers4

ཌ Changes in company business bull Launch PEX e-IPO system EKTITAB

bull Develop PEX e-disclosure system IFSAH for use by member brokerage firms

ཌ New products and servicesThe PEX seeks to diversify its sources of income through innovative services which are announced via a press

release in local newspapers and media agencies as well as the PEX website

ཌ Seasonal business of the companyThe PEX business is permanent throughout the year and it is indefinite by a period of time or a certain season

ཌ Business interruptionsPEX has incurred no interruptions to its business since inception

43

ཌ Operations outside PalestineThe PEX has no operations abroad

ཌ Non-Recurrent OperationsNo operations of a non-recurrent nature occurred in 2016 that do not fall within the PEXrsquos main activity

ཌ Differences between the audited financial statement and preliminary financial dataThere were no differences

ཌ Exchange RateExchange rates for daily accounting operations are taken daily from the Palestinian Monetary Authority On

20161231 the exchange rate for USDILS was 38473 and 0708 for USDJOD

44

PEX Governance

45

τ PEX Governance

Commitment to the Code of Corporate GovernanceThe PEX complies with the Code of Corporate Governance of companies in Palestine Accordingly the PEX

prepared its Governance Guide The guide aims to assist board members in carrying out their responsibilities

towards shareholders and other stakeholders by promoting thoughtful and independent decision-making

The guide has five parts Board of Directors Board Committees auditing investor relations disclosure and

transparency

Since its April 2012 stock market listing the PEX has complied with all data disclosure regulations laws and

instructions Neither the PCMA nor the Palestine Exchange has ever required clarification on any information

or disclosure of a missing item

A vital component of the Palestinian economy PEX strongly supports widespread adoption of the code of good

governance for companies in Palestine It also seeks to create a model in this respect for listed companies

and regional markets through its management of a regulated financial market under a legal structure integral

and transparent

Board of Directors ResponsibilitiesPursuant to PEX bylaws the Board of Directors consists of seven members elected by the General Assembly

by secret ballot for a term of four years The current Board was elected on 9 April 2014 and consists of seven

members representing two legal entities due to the resignation of a board representative on 20150114

members of the board became Six The term of the current Board ends in April 2018

The Board of Directors oversees PEX affairs and identifies its mission and strategy in cooperation with the

Executive Management The Board reviews internal controls of financial reports conducts risk assessment and

ensures the existence of high governance criteria The Boardrsquos tasks include the following

bull Review approve and supervise implementation of the PEX strategic plan

bull Organize PEX financial accounting and administrative matters

bull Ensure compliance to instructions and laws relevant to the PEX

bull Assess main risks and review strategies to limit them or reduce their impact

bull Appoint the CEO and eminent officials identify their executive mandate and responsibilities and assess

their performance

bull Provide high governance criteria and assess the performance of the Board its members and committees

46

Dr Farouq ZuaiterChairman

Representative of Palestine Development and Investment Co

(PADICO)

Date of Membership 14 March 2010Date of Birth 29 May 1936

Current Position ཌྷ Chairman of the Board of the Palestine Exchange ཌྷ Vice Chairman of the Cairo Amman Bank

Dr Farouq Zuaiter is an experienced investment executive having held key managerial and technical positions in the direct and in-direct investment sectors in several European American and Arab countriesDr Zuaiter currently serves as a Board Member for Paltel Group and chairs its Investment Committee He has been a Paltel director since 2002 He also served as Vice Chairman of the Board of Trustees of An Najah National University in Nablus He was CEO of Palestine Development and Investment Company (PADICO) from 1999-2008 Previously he worked as the Financial and Economic Advisor for the Arab Fund (1975-1979) and the Economic Advisor for the Kuwait Fund for Economic and Social Development (1979-1980) He was Deputy General Manager and Head of Direct Investment Depart-ment for Coast Investment amp Development Company (1979-1990) in Kuwait

Dr Zuaiter obtained his PhD in Accounting Economics and Statistics from Texas Tech University in 1974 and his MBA in Accounting from the same university

47

Mr Samir HulilehVice Chairman


(PADICO)

Membership Date 14 March 2010Date of Birth 11 May 1957

Current Position ཌྷ PADICO CEO since 2008

Current Memberships ཌྷ Chairman of the Board of Jericho Gate Real Estate investment ཌྷ Chairman of the Board of Palestine development Fund ཌྷ Member of the Board of MAS ཌྷ Member of the Board of Palestine Telecommunications (PALTEL) ཌྷ Member of the Board of Palestine Real Estate Investment Co

(PRICO) ཌྷ Member of the Board of International Chamber of Commerce

Previous Positions ཌྷ Chairman of the Board of Palestine Trade Center (PALTRADE) from

2004-2005 ཌྷ Cabinet Secretary of the Palestinian Government (2005-2006) ཌྷ Assistant Under Secretary of the Ministry of Economy and Trade

from 1994-1997 ཌྷ Managing Director of Portland Trust Office in Palestine ཌྷ Marketing Director-General at Nassar Stone Group Co ཌྷ Lecturer in Birzeit University during the 1980s

Other ཌྷ Chairman of Birzeit Alumni Association

Academic Qualifications ཌྷ MA in Economics American University Beirut 1983

48

Mr Ziad TurkBoard Member


(PADICO)

Date of Membership 14 March 2010Date of birth 28 June 1947

Current Position ཌྷ Secretary General of Palestine Development and Investment Com-

pany (PADICO) ཌྷ Regional Director for Palestine Development and Investment Com-

pany (PADICO)

Current Memberships ཌྷ Board Member of PEX ndash Nablus ཌྷ Board Member of Jerusalem for Development and Investment

(Jedico)British Islands ཌྷ Board Member of Jerusalem Tourism Investment CoJerusalem ndash Palestine ཌྷ Board Member of Trading and Investment Co (Taico) ndash Jordan ཌྷ Board Member of Al-Murafeq Investment Company ndash Jordan ཌྷ Board Member of Palestine Real Estate Investment (PRICO) ndash Jordan ཌྷ Regional Representative of PRICO ndash Jordan ཌྷ Vice Chairman of the Board of the Rum Agricultural Co ndash Jordan ཌྷ Vice Chairman of the Board and Delegated Director of the Agricul-

tural South Company ndash Jordan

Previous Positions ཌྷ Retired Civil Pilot ཌྷ Aircrews Operations Controller ཌྷ Director of Royal Eagles Club ཌྷ Director-General of Astra Transportation Co ཌྷ Deputy Director-General of Astra Construction Co ཌྷ Deputy Director-General of the Rum Agricultural Co ndash Jordan ཌྷ Administrative Manager of Sirenko Contracting company

Previous Memberships ཌྷ Board Member of Palestine Real Estate Investment Co ཌྷ Board Member of Palestine Industrial Investment Co ndash Nablus ཌྷ Board Member of Palestine Plastic Industries Co ndash Nablus ཌྷ Board Member of Palestine for Electronic amp Electrical Co ndash Nablus ndash Palestine ཌྷ Board member of Al-Rafah Microfinance Bank ndash Ramallah ndash Palestine ཌྷ Member of the executive committee of Palestine Development

and Investment Company (PADICO) ཌྷ Board Member of Mawaqif Investment Company ndash Jordan ཌྷ Vice Chairman of the Board of Directors of Palestine for Touristic

Investment Co Intercontinental Bethlehem ndash Palestine ཌྷ Board Member of Al-Mashtal Tourism Investment Co ndash Gaza

Other ཌྷ Member of the Jordanian Businessmen Association ཌྷ Member of King Hussein Club ndash Jordan

Academic Qualifications ཌྷ Civil and Commercial Aviation Certificate ཌྷ Business Administration Certificates

49

Mr Maher MasriBoard Member


(PADICO)

Membership Date 04 May 2014Date of Birth 25 December 1946

Current Position ཌྷ Chairman of the Board Palestine Islamic Bank 2014

Current Memberships ཌྷ Board Member Palestine Investment Fund since 2012 ཌྷ Board Member PEX ndash Nablus since 2014

Previous Positions ཌྷ Chairman of the Board Palestine Capital Market Authority 2006-2014 ཌྷ PNA Minister of Economy and Trade 1996-2005

Previous Memberships ཌྷ Member Palestinian Legislative Council 1996- 2006 ཌྷ Chairman Palestinian Investment Promotion Agency 1998-2005 ཌྷ Chairman Palestine Standards Institution 2002-2005 ཌྷ Chairman Industrial Estates and Free Zones 2002-2005 ཌྷ Board Member of the Palestine Investment Fund 2003-2005 ཌྷ Chairman of the Board Palestine Development Fund 1995-2006 ཌྷ Member of the MAS Board of Trustees 2001-2007 ཌྷ General Manager Vegetable Oil Industries Company in Nablus

1991- 1996 ཌྷ Various private sector positions in Jordan and Saudi Arabia 1976-1987 ཌྷ Economist planner Dar Al Handasah (Sharsquoer amp Partners) Beirut Lon-

don 1973- 1976

Academic Qualifications ཌྷ Masterrsquos Degree in Economics from the American University in Beirut

(1973) ཌྷ BA in Economics from the American University in Beirut (1969)

50

Dr Atef AlawnehBoard Member


(PADICO)

Date of Membership 04 May 2014Date of Birth 1949

Current Position ཌྷ Chairman of the board Arab Islamic Bank Since 2016

Current Memberships ཌྷ Member PEX Board of Directors since 2014 ཌྷ Board Member and Chairman of the Investment Committee Road

Accident Compensation Fund since 2014 ཌྷ Member of the board Aqariya trading Investment Company since 2015

Previous Positions ཌྷ Member of the Board Arab Islamic Bank (AIB) and Chairman of the

Internal Audit Committee2012-2016 ཌྷ Member of the Social Security National Team 2011-2016 ཌྷ Special Advisor to the Board Bank of Palestine 2009-2016 ཌྷ CEO Palestine Capital Market Authority 2005-2009 ཌྷ Director Unit to Reform the Pension Systems in Palestine 2004-2005 ཌྷ Chairman of the Economics Department An-Najah National Uni-

versity Nablus 1991-1998 ཌྷ Deputy Minister of Finance PNA 1994-2005 ཌྷ Chairman Ramallah Center Al-Quds Open University 1991-1994 ཌྷ Professor of Public Finance An-Najah National University Nablus 1990

Previous Memberships ཌྷ Board Member Palestine Institute for Financial and Banking Stud-

ies 2007-2009 ཌྷ Member National Committee for Combating Money Laundering 2007-2009 ཌྷ Member National Corporate Governance Committee 2007-2009 ཌྷ Director of the technical team of Governance in Palestine 2007-2009 ཌྷ Coordinator National Committee to Reform the Pension System 2002-2005 ཌྷ Member of the Board of Trustees Palestine Aviation Authority 2000-2004 ཌྷ Chairman of the Board Banking Services Company 2000-2002 ཌྷ Board Member Municipals Development Fund 1998-2004 ཌྷ Chairman of the licensing committee of the Palestine Certified

Public Accountants 1997-2005 ཌྷ Board Member Palestinian Industrial Estate amp Free Zone Authority 1997-2005 ཌྷ Member of the World Bank Experts Committee on Double Taxation

New York 1996-2005 ཌྷ Member of Palestine delegation to Paris economic negotiation 1993-1994 ཌྷ Board Member Palestinian Investment Promotion Authority (PIPA) 1991-2005 ཌྷ Vice Chairman Ibrahimieh College Board of Trustees 1991-2003 ཌྷ Member of the technical supportive committees of the Palestinian

negotiation delegation 1991-1994 ཌྷ Member of the Western Studies Association board of trustees 1990 -2004

Other ཌྷ Author of tens of articles and specialized books

Academic Qualifications ཌྷ PhD Economics Ludwig-Maximilians- University Munich WG 1983 ཌྷ MA Political Science Ludwig-Maximilians- University Munich WG1979 ཌྷ MA Economics Ludwig-Maximilians- University Munich WG 1977 51

Dr Mohammad ShtayyehBoard Member

Representative of Al-Sanabel Trading and Investment Company Ltd

Date of Membership 11 April 2012Date of Birth 17 January 1958

Current Position ཌྷ Minister of the Palestinian Economic Council for Development

and Reconstruction (PECDAR) since 2006 ཌྷ Governor of the Islamic Development Bank-Palestine since

2006

Current memberships ཌྷ Chairman of the Board of Trustees of the Arab American Uni-

versity ཌྷ Vice chairman of the Board of Trustees of Al Quds University

Previous Positions ཌྷ President of the Palestinian Center for Regional Studies (PCRS)

1996 - 2008 ཌྷ Former Minister of Public Works and Housing

Academic Qualifications ཌྷ PhD in Economic Development Sussex University Institute of

Development Studies Brighton UK ཌྷ Diploma in Development Studies Sussex University Institute of

Development Studies Brighton UK ཌྷ BA Economy and Business Administration Birzeit University

52

bull Executive Management

Ahmad AweidahCEO

Date of Appointment 22 June 2008Date of Birth 22 June 1970

Previous Position ཌྷ Vice Chairman of Palestinian Telecommunication Group PALTEL

(Sept 2005 - June 2008) ཌྷ Vice Chairman Head of Retail Banking Arab Bank-Palestine

(Feb 2002 - Sept 2005) ཌྷ Chairman of the Commercial Department PALTEL (June 2001 -

Feb 2002) ཌྷ Marketing and Service Development Manager Cairo Amman

Bank ndash Palestine (June 1996 - June 2001) ཌྷ Credit Officer at the Union Bank for Savings and Investment

(June 1995 - June 1996) ཌྷ Trainee Banque Societeacute Geacuteneacuterale Paris France (Nov1993 -

May 1995)

Academic Qualifications ཌྷ MA in Economics St Andrews University UK 1993

Khaled JianDeputy CEO

Date of Appointment 6 February 1996Date of Birth 5 October 1961

Previous Position ཌྷ Head of the Accounting Section at Birzeit University (December

1994 - February 1996) ཌྷ Head of the Accounting Section at the Arab Evangelical Hospi-

tal (March 1987 - November 1994)

Academic Qualifications ཌྷ MA in Tax Disputes An-Najah National University ndash Palestine 2004 ཌྷ BA in Accounting Birzeit University ndash Palestine 1986

53

Ahmad AkerChief Operations Officer

Date of Appointment 01 December 2016Date of Birth 18 July 1979

Previous Position ཌྷ Chief Assistant of the Investment Dept Bank of Palestine (2010-

2016) ཌྷ Head of securities and custody Department HSBC Middle

East(2006-2010) ཌྷ Financial Analyst Palestine Telecommunications Company

(2003-2006)

Academic Qualifications ཌྷ BA in Economics An-Najah National University Palestine 2002 ཌྷ Various training courses in Portfolio Management Operations amp

Market Risk Administration with international banks and institu-tions Euromoney Financial training

Nagham SalamehManager of Trading Surveillance and Member Affairs Department

Date of Appointment 23 July 1996Date of Birth 7 April 1974

Previous Position ཌྷ PEX (1996 - present)

Academic Qualifications ཌྷ BA Computer ProgrammingMinor in Accounting Yarmouk

University Jordan 1995

54

Mohammad HijazManager of Companies

Department

Date of Appointment 23 August 1997Date of Birth 21 April 1970

Previous Position ཌྷ Jordan Kuwait Bank General Management

Amman ndash Jordan (1995 -1997)

Academic Qualifications ཌྷ BA in Computer Sciences Princess Sumaya University

Amman ndash Jordan 1995

Khalid HamdanManager of Clearing Depository

amp Settlement Center-CDS

Date of Appointment 23 May 1998Date of Birth 26 February 1967

Previous position ཌྷ Accountant for a variety of private sector companies (1993 - 1998)

Academic Qualifications ཌྷ MBA in Business Administration An-Najah National University

ndash Palestine 2007

55

Mohammad ObeidManager of Systems and Technology Department

Date of Appointment 1 September 2004Date of Birth 1 January 1976

Previous Position ཌྷ IT Expert in the Palestinian Legislative Council Capacity Devel-

opment Project ARD Company (September 2003 - October 2004)

ཌྷ Computer Network Engineer at the IT amp Communication Cen-ter Al-Quds Open University (June 2003 - September 2004)

ཌྷ Head of Information Systems amp Computer Networks at Al-Manara Holding Group (July 2001 - June 2003)

ཌྷ Computer Networks Technician Arab American University Jenin (April 2001 - July 2001)

Academic Qualifications ཌྷ Certified Systems Engineer Microsoft 1999 ཌྷ BA Computer Science An-Najah National University ndash Pales-

tine 1999

Mohammad KhraimManager of Public Relations amp

Investor Education

Date of Appointment 5 October 2008Date of Birth 12 August 1969

Previous Position ཌྷ Various administrative posts - Cairo Amman Bank Regional

Management (February 1995 - October 2008) ཌྷ Accountant at an auditing firm (January 1992 - January 1995)

Academic Qualifications ཌྷ Executive MBA Indiana University of Pennsylvania - USA 2015 ཌྷ Certified Anti-Money Laundering Specialist (CAMS) American As-

sociation of Anti-Money Laundering Specialists Florida-USA 2008 ཌྷ Certified Quality Representative Quality Austria - Austria 2008

56

τ Board Committees1 Audit amp Risk Committee

agrave Date of composition August 1st 2016

agrave Members of the Committee

Head of CommitteeBoard MemberMr Ziad Turk

MemberVice ChairmanMr Samir Hulileh

MemberBoard MemberDr Atef Alawneh

agrave Powers and Responsibilities

1 The Audit Committee has the following powers and responsibilities

2 Review the financial statements prior to submission to the Board of Directors meet with external auditors

and make recommendations about the financial statements to the Board

3 Examine and approve the internal annual audit plan review internal audit reports and follow up action

taken thereon

4 Present recommendations to the Board of Directors on PEX accounting policies and review accounting

cases that have a significant impact in the financial statements

5 Supervise the internal surveillance and control systems and verify their adequacy to the state of affairs of

internal and external audit

6 Present recommendations to the Board of Directors on the appointment termination of contract internal

auditor reward and objectively assess the external audit while taking into account any other actions the

external audit has carried out outside the scope of audit

7 Receive and follow up compliance and internal surveillance reports relevant to compliance management

(ie supervise the application of the instructions of the Capital Market Authority)

8 Ensure the safety of internal surveillance and control procedural operations

9 Ensure the efficaciousness of procedures and implemented policies relevant to administrative affairs and

personnel matters

10 Communicate and report remarks on financial statements to the Financial Department

11 Discuss financial statements and present relevant recommendations to the Board of Directors

12 Review the scope results and adequacy of PEX internal and external audit

13 Examine the fees paid to the external auditor to ensure that they have no impact on his independence

and integrity and that he has not undertaken any action that could affect his independence

14 Approve the additional operations of the external audit provided that they do not affect his independence

and their wages

15 Perform any other tasks assigned to it by the Board of Directors57

2 Governance and Compensation Committee

agrave Date of Composition August 1st 2016


Head of CommitteeBOD ChairmanDr Farouq Zuaiter

MemberBoard MemberDr Mohammad Shtayyeh

MemberBoard MemberMr Maher Masri


Governance 1 Ensure the availability and application of high standards of corporate governance in PEX

2 Constantly review work procedures to verify their compatibility and efficiency

3 Develop policies ensuring adherence to laws and regulations and ensure the application of those policies

in order to upgrade staff performance

4 Issue a report on the Boardrsquos performance check the attendance of the members in the meetings of the

Board as well as in the meetings of the sub-committees and appraise their contribution to discussion and

issuance of resolutions in order to assist the Board in assessing its own performance at least once a year

5 Verify compliance with the norms of disclosure and transparency as well as with all the regulations laws

bylaws and governance code and prepare relevant reports

6 Ensure that the employment and management system adopted by PEX guarantees compliance with

the laws regulations and instructions on the one hand and respect for the rights of other stakeholders

on the other The employment and management system must include clear and transparent minimum

employment announcement procedures and eliminate favoritism or discrimination in appointments

Remuneration 1 The Compensation Committee is responsible for ensuring the existence of a clear and well-defined

compensation policy whereby rewards and salaries are sufficient to attract qualified personnel to work in

PEX The rewards and salary scale must be consistent with that of similar companies

2 Develop clear policies for the compensation and rewards of Board members and senior executive officers

The development of the policies must accommodate for the use of norms relevant to performance

Moreover the Committee shall undertake review and amendment of the salary scale in the market

3 The Compensation Committee shall recommend rewards (including the monthly salary and other benefits)

for the Executive Manager In addition the Committee shall revise and approve the salary scale

4 Disclose a summary on the rewards policy used by PEX in its Annual Report and present recommendations

to the Board of Directors on rewards for Board members and members of the Executive Management

Moreover the remuneration received by the members of the Board including allowances and other

financial and in-kind privileges shall be determined

58

3 Investment Committee




MemberBoard MemberMr Samir Hulileh

MemberCEOMr Ahmad Aweidah


1 Study the assets of the company and develop an investment strategy and relevant policies in line with the

interest of the company and obtain the approval of the Board of Directors

2 Directly supervise the companyrsquos investments internally and abroad

3 Ensure the safety of investment procedures and develop relevant controls in order to ensure the interest

of the company

4 Appoint an efficient service provider to perform specific investment tasks in accordance with laws and

regulations

5 Select a service provider or terminate their contract according to the orientation of the Committee and

for the benefit of the company

6 Determine the fees and commissions of the service provider

7 Make recommendations on signing of contracts with the service provider in line with the companyrsquos

strategy and policies

8 Receive and follow up the reports and recommendations submitted by the service provider

9 Monitor and periodically assess the performance of the service provider against investment returns

10 Regularly follow up the assessment of the performance of the investment portfolio of the company and

periodically present relevant reports to the Board of Directors

11 Whenever necessary submit recommendations to the Board of Directors concerning the amendment of

the investment strategy and relevant policies

12 Review the Investment Committee Guide and make necessary recommendations for its amendment

13 Perform any other relevant task assigned to it by the Board of Directors

59

τ Board of Directors Meetings and DecisionsDuring 2016 the Board of Directors held six meetings Following are the Boardrsquos main decisions

Meeting Date Time Main Decisions

First 02022016 1200bull Approved financial statements of 2015bull Scheduled PEX General Assembly meeting and approved its agendabull Approved 2015 financial statements and annual report of the savings fund

Second 29032016 1100

bull Approved Compliance Risk management and Anti Money Laundering policiesbull Approved increasing the custodian bank annual membership feesbull Approved Central Depository instructions and fees for stocks of non listed

companies

Third 29032016 1400bull Delegated both the chairman and the CEO to set the fees of the external

auditors (Ernst ampYoung) for 2016

Fourth 01082016 1200

bull Approved financial statements as at 30062016bull Renew the investment agreement with Rawan Company until the end of 2017bull Extend Board committees validity for two more years bull Approved the saving fund committee for the next two yearsbull Approved PEX Governance Guide

Fifth 26102016 1200 bull Approved financial statements as at 30092016

Sixth 20122016 1200 bull Approved PEX 2017 holidays

τ Board and Sub-Committee Meeting AttendanceThe members of the Board of Directors attended meetings either in person or through tele-conference to

contribute to drawing up PEX strategies and policies and take actions necessary for its operations The table

below describes each Board Memberrsquos attendance record

InvestmentCommittee

Governance amp Remu-neration Committee

Audit amp RiskCommittee

Board ofDirectors

3246Number of Meetings

3322-66Dr Farouq Zuaiter

33-4466Mr Samir Hulileh

--4466Mr Ziad Turk

-22-66 Mr Maher Masri

--4465 Dr Atef Alawneh

-22-64Dr Mohammad Shtayyeh

33---Mr Ahmad Aweidah

60

τ Board of Directors Meeting Compensation PolicyThe policy is based on Decision No 201128 issued by the Board of Directors of Palestine Securities Exchange

plc on 27 December 2011 concerning the reimbursement compensation and reward system for the

members of the Board of Directors approved by the General Assembly on 3 April 2012 The decision provides

for reimbursing members of the Board for the meetings attended with the amount of USD 1500 for each

member and USD 2000 for the Chairman of the Board The reimbursement includes all expenses incurred in

order to attend the meeting wherever held

Benefits and Remuneration of the Board of Directors

Board Member TitleAttendance

Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration

Annual Travel Expenses

(USD)

Total Annual Benefits (USD)

Dr Farouq Zuaiter Chairman 12000 - - 10160 1 22160

Mr Samir Hulileh Vice Chairman 9000 - - - 9000

Mr Ziad Turk Board member 9000 - - - 9000

Mr Maher Masri Board member 9000 - - - 9000

Dr Atef Alawneh Board member 7500 - - - 7500

Dr Mohammad Shtayyeh Board member 6000 - - - 6000

Mr Khalid Jian Board Secretary 3000 2 - - - 3000

1 Travelling expenses not related to board meetings 2 The Secretary of the board reimbursement for 2016

Note USD 67000 was recorded in 2016 accounts as accrued reimbursement for the board but wasnrsquot spent by 20161231

τ Senior Management Benefits and Remuneration

Change ()20152016Item

2375451059558190Salaries (USD)

67683706962161End-of-service indemnity (USD)

The amount contains bonuses of USD 96500 and salaries of USD 461690

τ Transactions by the Board of Directors in SecuritiesPursuant to Articles (90 11) of the Securities Act No 12 of 2004 and the disclosure instructions issued by the

Palestinian Capital Market Authority as well as the valid disclosure system in the Palestine Exchange each

member of the PEX Board of Directors their representatives and relatives of the first degree shall be committed

to the disclosure of their transactions in securities in listed companies in general and in the PEX in particular

Disclosure shall take place before both the Palestinian Capital Market Authority and the PEX within three work

61

days as of the date of dealing with securities noting that based on the disclosure instructions issued by

the Palestinian Capital Market Authority members of the PEX Board their representatives and relatives

of the first degree as well as the PEX employees and their relatives of the first degree shall be prohibited

from selling purchased shares before one month of owning them in order to avoid taking advantage of any

insider information

It is noted the PEX Board of Directors made no transactions of PEX shares in their personal capacity

τ Relationship between Board Members and Executive Management StaffThere is no blood relationship or affinity between any of the Board Members and the Executive Management staff

τ Transactions with Related PartiesTransactions with relevant parties in 2016 compared to 2015

2015 (USD)2016 (USD)Item

70000007000000Financial Assets at amortization1

15601560Accounts receivable from key shareholders2

177321177044Amounts receivable from sister companies3

877511955444Available-for-sale investments4

τ DominancyPalestine Development and Investment Company (PADICO) own approximately 7471 percent of PEX shares

The Board of Directors considers broadening the investor base as a strategic goal

τ SubsidiariesThe PEX has no subsidiaries

τ Shareholding in companies with over 10 percent of its capitalThe PEX is not a shareholder in any company with over 10 percent of its capital

τ PEX shareholdingsCompany Amount (USD)

V Tel Co 157500



62

τ Internal Surveillance and Compliance Systems PEX activities are monitored by three external and one internal party to ensure its adherence to relevant

instructions as well as to verify the efficiency of the internal surveillance and control systems The parties include

1 External Auditor

Audits and reviews the accounts of PEX annually to ensure accuracy and compliance with IFRS

2 PADICOrsquos Internal Audit Department

The Audit department at the Palestine Development and Investment Company PADICO conducts the internal

audit in PEX and regularly submits its reports to the Boardrsquos Audit amp Risk Committee The audit mechanism

covers all financial aspects to ensure the efficiency of available control systems

3 Operations Compliance Section

The Operations Compliance Section reviews all daily technical operations to ensure compliance with Exchange

and Palestinian Capital Market Authority instructions and regulations It also monitors PEX operating risks and

develops risk management procedures

4 Palestinian Capital Market Authority

The Palestinian Capital Market Authority conducts an audit that covers all technical departments and the operations

compliance section to ensure PEX compliance with laws and regulations as well as with relevant instructions

ldquoNo substantial observations or irregularities were found in the results of the 2016 auditrdquo

τ Standards that Ensure Timely DisclosureAs a public shareholding company the Palestine Securities Exchange plc is committed to the PEX disclosure

regulations and PCMA related instructions including disclosure nature and timing As the PEX seeks to be a

role model to listed companies in applying the code of good governance it ensures the highest level of

integrity and transparency in its business

τ Standards that Ensure Disclosing the Conditions of ListingThe Palestine Securities Exchange plc was classified in the second market in light of its inability to comply with

first market requirements Second market listing conditions

1 The companyrsquos capital shall be over 500000$ USD

2 The companyrsquos capital shall be fully paid or all shares installments are overdue for payment by shareholders

3 The shareholdersrsquo equity net shall not be less than 50 percent of the companyrsquos paid up capital

63

τ Key Providers and Clients

Top five service providers in 2016

Transaction PercentageVolume of Transactions (USD)Providerrsquos Name

1372100820Palestine Capital Market Authority1

12228983457Trust International Insurance Co (TRUST)2

9116696290Al-Takaful Palestinian Insurance Co(TIC)3

81660000Smarts (Asia) Limited4

6004408310Palestine Telecommunications Co (PALTEL)5

Top five clients in 2016

Transaction percentageName of Client

1534Lotus Financial Investment Co1

1486Al Wasata securities company2

1085Sahem Trading and Investment Company 3

1021United Securities Co4

738Target Jordan Palestine Securities company5

τ Claims and Provisions Against Board Members and Executive ManagementNone of the board members or executive management declared bankruptcy there are no suits or provisions

issued against any of them and no decree has been issued to prevent any of them from doing business or

certain administrative activities during the last five years

τ Employment ContractsEmployment contracts are permanent and compatible with Palestine labor law

64

Corporate Social Responsibility

65

τ Corporate Social Responsibility

bull PolicyThe Palestine Securities Exchange recognizes its vital role in the national economy and society Social

responsibility remains a priority based on the following components

1 The ExchangeTo sustain a viable and innovative Palestinian financial market as the backbone of the Palestinian economy by

adopting best practices in governance transparency integrity and investor protection The Exchange seeks

to be a model amongst listed companies through its CSR financial and technical mandates

2 Staff The PSE is proud of our team and maintains an inspiring working environment characterized by fair non-

discriminatory employment policies The PSE safeguards its employees rights and invests in their capacities

The PSE provides a healthy and safe work place and adheres to all labor laws

3 CommunityThe PSE deploys its financial human and technical resources to enhance sustainable community development

The PSE encourages its employees to participate in volunteer activities The PSE promotes mutual partnerships

with other institutions and provides financial and in-kind sponsorships based on available resources

4 EnvironmentPSE activities and operations do not harm the surrounding environment it uses energy and water resources

wisely and avoids pollution Among other workplace initiatives the PSE strives in particular to reduce paper

waste

66

bull PEX Social Responsibility Activities Include Stock Simulation Competition

Since 2009 more than 1800 university commerce students have participated in the annual competition A

unique opportunity to refine academic skills with practical exercises in a competitive environment winners

receive financial awards

ldquoVisit the ExchangerdquoThis program aims to raise investment awareness among Palestinian high school and university students PEX

staff provides a comprehensive overview of equity capital markets finance and the role of the Exchange The

PEX hosted about 300 students throughout 2016

Donations and ScholarshipsPEX made the following donation

Donation (USD)Beneficiary

779At-Tadamun Charitable Society-The Orphan fund1

bull Staff Social Committee PEX staff annually elects a social committee Funded with both employee and PEX contributions the social

committee organizes recreational and social activities that strengthen links among PEX employees and

deepen their sense of company pride and spirit The PEX contribution was USD 3000 during the year

bull Protection of our EnvironmentThe PEX strives to improve the environment in which it operates by

Leveraging environment-friendly technologiesThe PEX operates an electronic work environment that minimizes paperwork

Creating a healthy work environment The PEX adopted a nonsmoking policy forbidding smoking inside its offices

67

Audited Financial Statements

68

Ernst amp Young

PO Box 1373 7th Floor PADICO House Bldg Al-Masyoun Ramallah-Palestine

Tel +972 22421011 Fax +972 22422324 wwweycom

A member firm of Ernst amp Young Global Limited

To the Shareholders of Palestine Securities Exchange Company PLC Opinion We have audited the financial statements of Palestine Securities Exchange Company PLC (PSE) which comprise the statement of financial position as at December 31 2016 and the statement of comprehensive income statement of changes in equity and statement of cash flows for the year then ended and notes to the financial statements including a summary of significant accounting policies In our opinion the accompanying financial statements present fairly in all material respects the financial position of PSE as at December 31 2016 and its financial performance and its cash flows for the year then ended in accordance with International Financial Reporting Standrds (IFRS)

Basis for Opinion We conducted our audit in accordance with International Standards on Auditing (ISA) Our

for the Audit of the Financial Statements section of our report We are independent of PSE in accordfor Professional Accountants (IESBA Code) and we have fulfilled our other ethical responsibilities in accordance with the IESBA Code We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion

Key Audit Matters Key audit matters are those matters that in our professional judgment were of most significance in our audit of the financial statements as at December 31 2016 We have determined that there are no key audit matters to communicate in our report

other than the fi

Our opinion on the financial statements does not cover the other information and we will not express any form of assurance conclusion thereon In connection with our audit of the financial statements our responsibility is to read the other information identified above when it becomes available and in doing so consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated

Responsibilities of Management and the Board of Directors for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with IFRSs and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement whether due to fraud or error In preparing the financial statements

disclosing as applicable matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate PSE or to cease operations or has no realistic alternative but to do so

reporting process

69

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement whether due to fraud or error and to issue

gh level of assurance but is not a guarantee that an audit conducted in accordance with ISA will always detect a material misstatement when it exists Misstatements can arise from fraud or error and are considered material if individually or in the aggregate they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements As part of an audit in accordance with ISA we exercise professional judgment and maintain professional skepticism throughout the audit We also

Identify and assess the risks of material misstatement of the financial statements whether due to fraud or error design and perform audit procedures responsive to those risks and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error as fraud may involve collusion forgery intentional omissions misrepresentations or the override of internal control

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances but not for the purpose of

ernal control Evaluate the appropriateness of accounting policies used and the reasonableness of

accounting estimates and related disclosures made by management

accounting and based on the audit evidence obtained whether a material uncertainty

continue as a going concern If we conclude that a material uncertainty exists we are

financial statements or if such disclosures are inadequate to modify our opinion Our conclusions are based on the audit evidence obtained up to the date of our auditorreport However future events or conditions may cause PSE to cease to continue as a going concern

Evaluate the overall presentation structure and content of the financial statements including the disclosures and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation

We communicate with the Board of Directors regarding among other matters the planned scope and timing of the audit and significant audit findings including any significant deficiencies in internal control that we identify during our audit We also provide the Board of Directors with a statement that we have complied with relevant ethical requirements regarding independence and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence and where applicable related safeguards From the matters communicated with the Board of Directors we determine those matters that were of most significance in the audit of the financial statements as at December 31

report unless law or regulation precludes public disclosure about the matter or when in extremely rare circumstances we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication

Ernst amp Young Middle East License 2062012

Ramallah Palestine February 20 2017

70

Palestine Securities Exchange Company PLC STATEMENT OF FINANCIAL POSITION December 31 2016

The attached notes 1 to 26 form part of these financial statements 1

2016 2015 Notes USD USD Assets Non-current assets Property and equipment 3 2130848 2329654 Financial assets at fair value through other

comprehensive income 4

1117079 1038922 Advance payment on purchase of land 5 500000 - 3747927 3368576

Current assets

Financial assets at amortized cost 6 7000000 7000000 Accounts receivable 7 75732 422697 Other current assets 8 254527 204439 Cash and cash equivalents 9 1856745 880644 9187004 8507780 Total assets 12934931 11876356

Equity and liabilities

Equity Paid-in share capital 10 10000000 10000000 Statutory reserve 11 1712037 1647747 Fair value reserve (315120) (393277) Retained earnings (accumulated losses) 29470 (549135) Net equity 11426387 10705335

Non-current liabilities

Provision for employees indemnity 12 1053568 918971 1053568 918971

Current liabilities

Accounts payable 13 27054 33800 Other current liabilities 14 303025 184393 Income tax provision 15 124897 33857 454976 252050 Total liabilities 1508544 1171021 Total equity and liabilities 12934931 11876356






Current assets






Current liabilities


71






Current assets






Current liabilities


Palestine Securities Exchange Company PLC INCOME STATEMENT For the Year Ended December 31 2016


2016 2015 Notes USD USD Revenues Trading and transfer commissions 16 1790066 1294269 Membership and registration fees 17 619984 566084 Securities collateral commission 123737 96755 Other operating revenues 18 125394 99444

2659181 2056552 General and administrative expenses 19 (2313295) (1984061) Depreciation 3 (200670) (205144)

145216 (132653)

Other Revenues

Investment income 386515 350000 Interest revenue 61164 23532 Other revenues net 20 190689 211400 Profit for the year before Income Tax 783584 452279 Income tax expense 15 (140689) (77624) Profit for the year 642895 374655 Basic and diluted earnings per share for the

profit of the year

21

0064 0037

72

Palestine Securities Exchange Company PLC STATEMENT OF COMPREHENSIVE INCOME For the Year Ended December 31 2016


2016 2015 USD USD

Profit for the year 642895 374655 Other comprehensive income Items not to be reclassified to profit or loss in

subsequent periods Change in fair value 78157 (21110) Total other comprehensive income 78157 (21110) Net comprehensive income for the year 721052 353545






Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

Exch

ange

Com

pany

PL

C

STA

TEM

ENT

OF

CHA

NG

ES IN

EQ

UIT

Y

For

the

Yea

r En

ded

Dec

embe

r 31

201

6

The

atta

ched

not

es 1

to 2

6 fo

rm p

art o

f the

se fi

nanc

ial s

tate

men

ts

4

Pa

id-in

sh

are

capi

tal

St

atut

ory

rese

rve

Fa

ir v

alue

re

serv

e

Reta

ined

Ea

rnin

gs

(Acc

umul

ated

lo

sses

)

N

et

Equi

ty

U

SD

U

SD

U

SD

U

SD

U

SD

2016

As

at J

anua

ry 1

201

6 10

000

000

164

774

7

(393

277

)

(549

1)

10

705

335

Pr

ofit

for

the

year

-

-

-

64

289

5

642

895

Tota

l oth

er c

ompr

ehen

sive

inco

me

-

-

781

57

-

78

157

N

et c

ompr

ehen

sive

inco

me

for

the

year

-

-

78

157

642

895

72

105

2 Tr

ansf

erre

d to

sta

tuto

ry r

eser

ve

-

642

90

-

(6

429

0)

-

As

at D

ecem

ber

31 2

016

100

000

00

1

712

037

(3

151

20)

29

470

114

263

87

2015

A

s at

Jan

uary

1 2

015

100

000

00

1

610

281

(3

721

67)

(886

324

)

103

517

90

Prof

it fo

r th

e ye

ar

-

-

- 37

465

5

374

655

Tota

l oth

er c

ompr

ehen

sive

inco

me

-

-

(21

110)

-

(2

111

0)

Net

com

preh

ensi

ve in

com

e fo

r th

e ye

ar

-

-

(21

110)

37

465

5

353

545

Tran

sfer

red

to s

tatu

tory

res

erve

-

37

466

- (3

746

6)

-

As

at D

ecem

ber

31 2

015

100

000

00

1

647

747

(3

932

77)

(549

135

)

107

053

35

Pale

stin

e Se

curi

ties

Exch

ange

Com

pany

PL

C

ST

ATE

MEN

T O

F FI

NA

NCI

AL

POSI

TIO

N

Dec

embe

r 31

201

6

The

atta

ched

not

es 1

to 2

6 fo

rm p

art o

f the

se fi

nanc

ial s

tate

men

ts

1

20

16

20

15

N

otes

U

SD

U

SD

A

sset

s

N

on-c

urre

nt a

sset

s

Prop

erty

and

equ

ipm

ent

3

213

084

8

232

965

4 Fi

nanc

ial a

sset

s at

fair

val

ue th

roug

h ot

her

com

preh

ensi

ve in

com

e

4

111

707

9

103

892

2 A

dvan

ce p

aym

ent o

n pu

rcha

se o

f lan

d 5

50

000

0

-

374

792

7

336

857

6

Curr

ent

asse

ts

Fina

ncia

l ass

ets

at a

mor

tized

cos

t 6

7

000

000

7

000

000

Acc

ount

s re

ceiv

able

7

757

32

42

269

7 O

ther

cur

rent

ass

ets

8

25

452

7

204

439

Cash

and

cas

h eq

uiva

lent

s

9

185

674

5

880

644

9

187

004

8

507

780

Tota

l ass

ets

129

349

31

11

876

356

Equi

ty a

nd li

abili

ties

Equi

ty

Pa

id-in

sha

re c

apita

l

10

10

000

000

100

000

00

Stat

utor

y re

serv

e

11

1

712

037

1

647

747

Fair

val

ue r

eser

ve

(315

120

)

(393

277

) Re

tain

ed e

arni

ngs

(acc

umul

ated

loss

es)

294

70

(5

491

35)

Net

equ

ity

11

426

387

107

053

35

Non

-cur

rent

liab

iliti

es

Prov

isio

n fo

r em

ploy

ees

inde

mni

ty

12

1

053

568

91

897

1

105

356

8

918

971

Curr

ent

liabi

litie

s

Acc

ount

s pa

yabl

e

13

27

054

338

00

Oth

er c

urre

nt li

abili

ties

14

303

025

18

439

3 In

com

e ta

x pr

ovis

ion

15

124

897

33

857

454

976

25

205

0 To

tal l

iabi

litie

s

150

854

4

117

102

1 To

tal e

quit

y an

d lia

bilit

ies

129

349

31

11

876

356

74

Palestine Securities Exchange Company PLC STATEMENT OF CASH FLOWS For the Year Ended December 31 2016


2016 2015 USD USD Operating activities Profit for the year before income tax 783584 452279 Adjustments for Depreciation 200670 205144 Interest revenue (61164) (23532) Investment income (386515) (350000)

indemnity 138280 83253 (Gain) loss on disposal of property and equipment (27) 1408 Other non-cash items (1842) 80

672986 368632 Working capital adjustment Accounts receivable 346965 (250190) Other current assets (50088) 7048 Accounts payable (6746) (5084) Other current liabilities 118632 (35107) Income tax payments (47807) -

(3683) (34888)

Net cash from operating activities 1030259 50411 Investing activities Purchase of property and equipment (1864) (6615) Proceeds from sale of property and equipment 27 - Advance payment on purchase of land (500000) - Investment income 386515 350000 Interest revenue received 61164 23532

Net cash (used in) from investing activities (54158) 366917 Increase in cash and cash equivalents 976101 417328 Cash and cash equivalents beginning of year 880644 463316

Cash and cash equivalents end of year 1856745 880644






Current assets






Current liabilities


75

6

Palestine Securities Exchange Company PLC

NOTES TO THE FINANCIAL STATEMENTS December 31 2016

1 Activities Palestine Securities Exchange Company PLC (PSE) is a limited liability public shareholding company located in Nablus registered and incorporated as private shareholding company in Palestine on March 27 1995 under registration No 563108810

On April 27 2006 PSE General Assembly decided to amend the Article of Incorporation to become a public shareholding company On February 4 2010 PSE was registered as public shareholding company at the Companies Registrar in Palestine under registration No

PSEs objectives include the establishment of a securities exchange market in Palestine and the organization of issuance and trading of securities The operations of the security exchange market commenced on February 18 1997

PSE is a subsidiary of Palestine Development and Investment Company PLC (PADICO) which owns 7471 of PSEs share capital PSEs financial statements are consolidated with PADICOs financial statements

financial statements for the year ended December 31 2016 were authorized for issuance by the Board of Directors on February 2 2017

21 Basis of preparation The financial statements have been prepared in accordance with International Financial Reporting Standards (IFRSs) as issued by the International Accounting Standards Board(IASB)

The financial statements have been presented in United States Dollar (USD) which is the functional currency of PSE

The financial statements are prepared under the historical cost convention except for the measurement of financial instruments investments at fair value

22 Changes in accounting policies The accounting policies adopted are consistent with those of the previous financial year except that PSE has adopted the following amendments Amendments to IAS 16 and IAS 38 Clarification of Acceptable Methods of Depreciation and Amortization The amendments clarify the principle in IAS 16 and IAS 38 that revenue reflects a pattern of economic benefits that are generated from operating a business (of which the asset is part) rather than the economic benefits that are consumed through use of the asset As a result a revenue-based method cannot be used to depreciate property plant and equipment and may only be used in very limited circumstances to amortize intangible assets IAS 1 Presentation of Financial Statements Amendments to IAS 1 The amendments to IAS 1 include narrow-focus improvements related to

Materiality

Disaggregation and subtotals

Notes structure

Presentation of items of other comprehensive income (OCI) arising from equity accounted investments

76

7

Standards Issued and not yet Effective Some standards amendments and interpretations have been issued but are not yet mandatory and have not been adopted by PSE The following standard is the one that PSE reasonably expects it to have an impact on disclosures financial position or performance when applied at a future date PSE intends to adopt this standard when it becomes effective

IFRS 15 Revenue from Contracts with CustomersUnder IFRS 15 revenue is recognized at an amount that reflects the consideration to which an entity expects to be entitled in exchange for transferring goods or services to a customer The principles in IFRS 15 provide a more structured approach to measuring and recognizing revenue The new revenue standard is applicable to all entities and will supersede all current revenue recognition requirements under IFRS except for contracts that are entitled to other

The new revenue standard will supersede the following standards and amendments

ISA (11) Construction contracts

ISA (18) Revenue

IFRIC (13) Customer loyalty program

IFRIC (15) Agreements for the construction of real estate

IFRIC (18) Transfer of assets from customers

SIC (31) Revenue Barter transactions involving advertising services

Application is required for annual periods beginning on or after 1 January 2018 with early adoption permitted

IFRS 16 Leases sets out the principles

for the recognition measurement presentation and disclosure of leases

IAS 17 Lessors will continue to classify all leases using the same classification principle as in IAS 17 and distinguish between two types of leases operating and finance leases where each is treated differently

IFRS 16 requires the lessee to recognize the assets and the liabilities for all leases exceeding 12 months period except for those of a low value It requires the lessee to recognize the right-of-use of the asset representing the recognition of the leased assets and a liability to make lease payments

IFRS 16 is effective for annual periods beginning on or after 1 January 2019 with early adoption permitted

Significant accounting judgments estimates and assumptions The preparation of PSEs financial statements requires management to make judgments estimates and assumptions that affect the reported amounts of revenues expenses assets and liabilities and the disclosure of contingent liabilities at the reporting date However uncertainty about these assumptions and estimates could result in outcomes that could require a material adjustment to the carrying amount of the asset or liability affected in the future The key areas involving a higher degree of judgment or complexity are described below

Providing for impairment of receivables Estimates based on historical experience are used in determining the level of debts that PSE believes will not be collected

77

8

Useful lives of tangible and intangible assets PSEs management reassesses the useful lives of tangible and intangible assets and makes adjustments if applicable at each financial year end

Provision for income tax management uses certain estimates in determining the provision for income tax

management believes that the estimates and assumptions used are reasonable Fair value of financial instruments When the fair values of financial assets and financial liabilities cannot be measured based on quoted prices in active markets their fair value is measured using valuation techniques including the DCF model The inputs to these models are taken from observable markets where possible but where this is not feasible a degree of judgment is required in establishing fair values Judgments include considerations of inputs such as liquidity risk credit risk and volatility Changes in assumption about these factors could affect the reported fair value of financial instruments Summary of significant accounting policies

Revenue recognition Revenues from security trading and transfer commissions memberships of brokerage firms registration fees for listed companies and collateral commissions are recognized when the outcome of the transaction can be estimated reliably by reference to the stage of completion of the transaction at date of the financial statements

Interest revenue is recognized as the interest accrues using the effective interest method

Dividend revenue is recognized when the right to receive the dividend is established

Rent revenue is recognized over the renting period based on the straight line method

Expense recognition Expenses are recognized based on the accrual basis of accounting

Current versus non-current classification PSE presents assets and liabilities in statement of financial position based on currentnon-current classification An asset is classified as current when it is

Expected to be realised or intended to be sold or consumed in normal operating cycle

Held primarily for the purpose of trading

Expected to be realised within twelve months after the reporting period Or

Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period

All other assets are classified as non-current

A liability is current when

It is expected to be settled in normal operating cycle

It is held primarily for the purpose of trading IAS

It is due to be settled within twelve months after the reporting period Or

There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period

78

9

PSE classifies all other liabilities as non-current Deferred tax assets and liabilities are classified as non-current assets and liabilities

Income tax PSE provides for income tax in accordance with the Income Tax Law and IAS (12) which requires recognizing the temporarily differences at the reporting date between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes as deferred taxes

Income tax expense represents the accrued income tax which is calculated based on PSE taxable income Taxable income may differ from accounting income as the later includes non-taxable income or non-deductible expenses Such incomeexpenses may be taxabledeductible in the following years

Securities trading software systems Securities trading software system is stated at cost and amortized using the straight line method over its estimated useful life

Property and equipment Property plant and equipment are stated at cost net of accumulated depreciation andor accumulated impairment losses if any Such cost includes the cost of replacing part of the property plant and equipment and borrowing costs for long-term construction projects if the recognition criteria are met All other repair and maintenance costs are recognized in the income statement as incurred Depreciation is calculated on a straight line basis over the estimated useful lives of the assets as follows

Years Real estate 33 Decorations and leasehold improvement 10 Computers 5 Office equipment and furniture 10 Motor vehicles 5

An item of property plant and equipment and any significant part initially recognized is derecognized upon disposal or when no future economic benefits are expected from its use or disposal Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the income statement when the asset is derecognized

financial year end and adjusted prospectively if appropriate

Investment in Financial assets Financial assets investments are initially measured at fair value plus cost of acquisition if they are not classified at fair value through profit or loss (FVTPL) Subsequent to initial recognition all financial assets are stated at fair value or amortized cost as follows

Financial assets at fair value This item includes equity instruments and financial derivatives that are recognized at FVTPL The entity can irrevocably elect to designate equity instruments not held for trading through other comprehensive income

If PSE elects to designate equity instruments at fair value through other comprehensive income (FVOCI) PSE recognizes change in fair value in a special account in equity Where the asset is disposed of the gain or loss is not reclassified to the income statement but is reclassified directly to retained earnings These financial instruments do not apply to impairment loss test

79

10

Dividends on these investments in equity instruments are recognized in the statement of income when PSE s right to receive the dividends is established

Financial assets at amortized cost Debt instruments are measured at amortized cost if both of the following conditions are met

The asset is held within a business model whose objective is to hold assets in order to collect contractual cash flows and

The contractual terms of the instrument give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding

If either or both of the two conditions are not met the financial instrument is classified as at FVTPL Even if the instrument meets the two conditions PSE has the option to classify the financial asset as at FVTPL if this designation reduces any inconsistency recognition Subsequent to initial recognition debt instruments are measured at amortized cost using the effective interest method net of impairment losses if any PSE determines whether there is any evidence that the financial assets are impaired If this is the case PSE calculates the amount of impairment and recognizes the amount in the income statement Interest revenue from the financial assets at amortized cost is recognized in the income statement

Derecognition of financial assets PSE derecognizes a financial asset only when the contractual rights to the cash flows from the asset expire or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another entity If PSE neither transfers nor retains substantially all the risks and rewards of ownership and continues to control the transferred asset PSE recognizes its retained interest in the asset and an associated liability for the amounts it may have to pay If PSE retains substantially all the risks and rewards of ownership of a transferred financial asset PSE continues to recognize the financial asset Fair value measurement PSE measures most of its financial instruments at fair value at each reporting date

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either - In the principal market for the asset or liability or - In the absence of a principal market in the most advantageous market for the asset or

liability

The principal or the most advantageous market must be accessible to by PSE

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability assuming that market participants act in their economic best interest

PSE uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair value hierarchy described as follows

Level 1 Quoted (unadjusted) market prices in active markets

Level 2 Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable

Level 3 Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable

80

11

For assets and liabilities that are recognized in the financial statements on a recurring basis PSE determines whether transfers have occurred between levels in the hierarchy by re-assessing categorization (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting period

For the purpose of fair value disclosures PSE has determined classes of assets and liabilities on the basis of the nature characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above

Accounts receivable Accounts receivable are stated at original invoice amount less a provision for any uncollectible amounts An estimate for impairment of receivables is made when collection of the full amount is no longer probable Impaired receivables are written off when there is no possibility of recovery

Cash and cash equivalents For the purpose of the statement of cash flows cash and cash equivalents consist of cash in hand bank balances and short-term deposits with an original maturity of three months or less net of outstanding bank overdrafts if any

Accounts payable and accruals Liabilities are recognized for amounts to be paid in the future for goods or services received whether billed by the supplier or not

Provisions Provisions are recognized when PSE has an obligation (legal or constructive) arising from a past event and the costs to settle the obligation are both probable and able to be reliably measured

Foreign currencies Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction Monetary assets and liabilities denominated in foreign currencies are translated into USD using the rate of exchange ruling at the financial statements date All differences are recognized in the income statement

Earnings per share Basic earnings per share is calculated by dividing net profit for the year attributable to ordinary equity holders of PSE by the weighted average number of ordinary shares outstanding during the year Diluted earnings per share amounts are calculated by dividing the profit attributable to ordinary equity holders of PSE (after deducting interest on the convertible preference shares) by the weighted average number of ordinary shares that would be issued on the conversion of all the dilutive potential ordinary shares into ordinary shares

81

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6 D

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5

83

14

4 Financial assets at fair value through other comprehensive income

This portfolio is managed by a sister company Rawan International Investment Company which is a subsidiary of PADICO

Movement on fair value reserve was as follows

2016 2015 USD USD

Balance beginning of year (393277) (372167) Change in fair value 78157 (21110) Balance end of year (315120) (393277)

5 Advance payment on purchase of land This item represents on advance payment made during 2016 to purchase a land lot at USD 1190000 which should be settled in three installments due within three months The legal title of the land will be transferred to PSE after removing any mortgages or retentions outstanding over the land

6 Financial assets at amortized cost This item represents an investment in financial assets at amortized cost through an investment portfolio managed by a sister company The financial asset at amortized costs is due on December 31 2016 and bear a minimum annual interest rate of 5 payable every months

7 Accounts receivable 2016 2015 USD USD

Trade receivables 104653 451281 Provision for impairment of receivables (34209) (34209) 70444 417072 Due from related parties 3604 3881 Other receivables 1684 1744 75732 422697

Most of trade receivables represent unimpaired receivables that are due within 30 Days Unimpaired receivables are expected on the basis of past experience to be fully recovered It is not the practice of PSE to obtain collateral over receivables and the vast majority are therefore unsecured

2016 2015 USD USD

Quoted securities 4135 3911 Units in a portfolio of financial investments 955444 877511 Unquoted securities 157500 157500 1117079 1038922

84

15

8 Other current assets 2016 2015 USD USD

Accrued revenue 175000 175000 Prepaid expenses 72465 21627 Other 7062 7812 254527 204439

9 Cash and cash equivalents Cash and cash equivalents in the statement of cash flows consist of the following amounts

2016 2015 USD USD

Cash on hand 780 645 Cash at banks 111288 16988 Short term deposits 1744677 863011 1856745 880644

Short term deposits represent deposits in US Dollar with an original maturity of three

months or less The average interest rate during 2016 was 343

10 Paid-in share capital PSEs authorized subscribed and paid share capital amounted to 10000000 ordinary shares (one USD per share) as of December 31 2016 and 2015

11 Statutory reserve Statutory reserve represents accumulation of profits transferred at 10 of annual profit in accordance with the Corporate Law This reserve is not available for distribution to shareholders

12 Provision for employees indemnity 2016 2015

USD USD Balance beginning of year 918971 870606 Additions during the year 138280 83253 Payments during the year (3683) (34888) Balance end of year 1053568 918971

13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16

14 Other current liabilities 2016 2015 USD USD

Deferred revenues 43377 48624 43801 36793

Accrued expenses 41267 46000 Accrued bonuses 166900 - Due to Value Added Tax Department 7680 52976

303025 184393

15 Income tax Following is the movement on the provision for income taxadvances to Income Tax Department for the year ended December 31 2016 and 2015

2016 2015 USD USD

Balance beginning of year 33857 (43847) Income tax for the year 140689 77624 Payment during the year (23303) - Tax payment for prior years (24504) - Currency variances (1842) 80 Balance end of year 124897 33857

Following are the balances of provision for income tax and advances to Income Tax Department

2016 2015 USD USD

Provision for income tax 148835 85770 Advance payments to Income Tax Department (23938) (51913) Net balance 124897 33857

During 2016 PSE reached a final settlement with Income Tax Department for its operation up to December 31 2015

16 Trading and transfer commissions 2016 2015 USD USD

Securities trading commission 1725566 1218287 Securities transfer commission 64500 75982 1790066 1294269

17 Membership and registration fees 2016 2015 USD USD

Registration fees 4 9984 446084 Annual membership fees 120000 120000 619984 566084

86

17

18 Other operating revenues

19 General and administrative expenses 2016 2015 USD USD

Salaries and related expenses 1481518 1235929 Membership and license fees 161707 175460 Rent 82425 82425 Insurance 68803 62069 Trading software expenses 60000 60000 Board of Directors remuneration 122500 60000 Maintenance 38752 41460 Professional and consulting fees 56950 57950 Water electricity and air conditioning 52756 47931 Mail telephone and internet 39175 41225 Accommodation travel and transportation 47677 32033 Vehicles expenses 34252 30317 Conferences investment awareness and other activities 25244 23090 Stationery and printing 3700 4218 Donations 779 791 Training 8612 1200 Other 28445 27963 2313295 1984061

20 Other revenues net 2016 2015 USD USD

Rent revenue 176000 176000 Gains (losses) from disposal of property and equipment 27 (1408) Foreign currency exchange differences 3157 (877) Other revenues 11505 37685 190689 211400

21 Basic and diluted earnings per share for the profit of the year Basic and diluted earnings per share for the years ending December 31 2016 and 2015 were as follows

2016 2015 Gain for the year (USD) 642895 374655 Weighted average of subscribed shares 10000000 10000000 Basic and diluted earnings per share for the profit of the year 0064

0037

2016 2015 USD USD

Cash settlement revenue 45658 41083 Activities sponsorship revenue 27931 15000 Data Dissemination revenue 7559 5506 Other 44246 37855 125394 99444

87

18

22 Related party transactions Related parties represent major shareholders directors and key management personnel of PSE and entities controlled jointly controlled or significantly influenced by such parties Pricing policies and terms of these transactions are approved by PSEs management

Balances with related parties included in the statement of financial position are as follows

Nature of

relationship

December 312016

December 31 2015

USD USD Due from major shareholders Parent company 1560 1560

Financial assets at amortized cost Managed by sister

company 7000000 7000000 Accrued revenues Sister company 175000 175000 Due from related parties Sister companies 2044 2321

Financial assets through other comprehensive income

Managed by sister company 955444 877511

Transactions with related parties included in the income statement are as follows

Nature of relationship

2016 2015 USD USD

Revenues Registration fees

Parent and sister companies

75663

68782

Securities collateral commission Parent company 24597 7000 Investment revenue Sister company 386356 350000 Other Income


8248

6823

2016 2015

USD USD Expenses Services expenses Sister company 11250 7000

Compensation of key management personnel Salaries and related benefits 558190 451059 Employees end-of-service benefits 62161 37069 Board of Directors remuneration and transportation 122500 60000

88

19

23 Fair value measurement financial assets

as of December 31 2016 and 2015 Fair value Measurement using

2016

Date of Measurement Total

Quoted Prices in active markets (Level 1)

Significant observable

inputs (Level2)

Significant unobservable

inputs (Level3)

USD USD USD USD Financial assets

measured at fair value

Financial assets at FVOCI ( note 4)

Quoted December 31 2016 4135 4135 - - Unquoted December 31 2016 157500 - - 157500 Units in a portfolio of financial investment

December 31 2016

955444 - 955444 -

Fair value Measurement using

2015




inputs (Level2)


inputs (Level3)





December 31 2015

877511 - 877511 - There have been no transfers between Level 1 Level 2 and level 3 during the year

89

20

24 Fair value of financial instruments Set out below is a comparison by financial instruments carried in the financial statements as of December 31 2016 and 2015

Carrying amount Fair value 2016 2015 2016 2015 USD USD USD USD Financial assets Financial assets at FVOCI

Quoted 4135 3911 4135 3911 Unquoted 157500 157500 157500 157500 Units in a portfolio of financial investments 955444 877511 955444 877511

Financial assets at amortized costs 7000000 7000000 7000000 7000000

Accounts receivable 75732 422697 75732 422697 Other financial assets 182062 182812 182062 182812 Cash and cash equivalents 1856745 880644 1856745 880644

10231618 9525075 10231618 9525075

Financial liabilities Accounts payable 27054 33800 27054 33800 Other financial liabilities 215847 98976 215847 98976 242901 132776 242901 132776 The fair value of the financial assets and liabilities are included at the amount at which the instrument could be exchanged in a current transaction between willing parties other than in a forced or liquidation sale

The fair values of accounts receivable other financial assets cash and cash equivalents accounts payable and other financial liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments

The fair values of quoted financial assets through other comprehensive income were based on their price quotations at the reporting date

The fair values of the units in a portfolio of financial investments were determined by referring to PSE the net assets value of the portfolio investments (NAV)

The fair value of the financial assets at amortized cost is estimated by discountingfuture cash flows using rates currently available for debt on similar terms and creditrisk

The fair values of unquoted financial assets are stated at FVOCI using appropriate valuation techniques

25 Risk Management

Interest rate risk PSEs is exposed to interest rate risk on assets subjected to fluctuation in interest rate The financial assets of the company are measured at fixed interest rates so there is no interest rate risk on these assets

90

21

Credit risk PSE seeks to limit its credit risk with respect to customers by setting credit limits and monitoring outstanding receivables PSEs 9 major customers which are brokerage firms account for 98 of trade accounts receivable as of December 31 2016 and 2015

With respect to credit risk arising from the other financial assets including cash and cash equivalents and accounts receivable and other receivablearises from default of the counterparty with a maximum exposure equal to the carrying amount of these other financial assets

Liquidity risk PSE limits its liquidity risk by ensuring bank deposits are available PSEs terms of credit required amounts to be paid within 5 days of the date of the invoice Trade payables are normally settled within 20 days of the date of purchase due within 3 months of the financial statement date

Equity price risk The following table demonstrates the sensitivity of the cumulative changes in fair value to reasonably possible changes in equity prices with all other variables held constant

The effect of decreases in equity prices is expected to be equal and opposite to the effect of the increases shown

2016

Change in equity price

Effect on equity

USD Equity instruments listed in Dubai Market +10 414 Unquoted equity instruments +10 15750 Units in portfolio of financial investments +10 95544

2015

Equity instruments listed in Dubai Market +10 391 Unquoted equity instruments +10 15750 Units in portfolio of financial investments +10 87751

Foreign currency risk PSE maintains its major assets and liabilities in USD or JD However the JD currency is linked to the USD currency with a consistent rate therefore there is no effect resulting from the fluctuations in USD rate on PSE financial statements

Capital Management The primary objective of PSEs capital management is to ensure that it maintains healthy capital ratios in order to support its business and maximize shareholders value

PSE manages its capital structure and makes adjustments to it in light of changes in business conditions No changes were made in the objectives policies or processes during the years ended December 31 2016 and 2015 Capital comprises paid in share capital other reserves net of accumulated losses and is measured at USD 11426387 as at December 31 2016 against USD 10705335 as at December 31 2015

26 Concentration of risk in geographic area PSE is carrying out all of its activities in Palestine The instability of the political and economic situation in the area increases the risk of carrying out business and may adversely affect PSEs performance

91

NOT E S

92

NOT E S

4

والنجـاح مسـتـمـر

55 5

6Overview 2016

14Growth Strategy

16Organizational Structure

20Achievements and Developments

28Technical Performance

35Shareholder Information

44PEX Governance

64Corporate Social Responsibility

67Audited Financial Statements

Contents

6

1

10

9

11

12

2

3

4

5

6

7

8
















Conference Russia


Simulation Contest




media site






Exchange e-Bulletin















Exchanges in Turkey



in Colombia








Exchange e-Bulletin




Prospectsrdquo


membership in WFE

7

$ 0064EPS

+ 73 YOY

$ 0056ROE

+ 60 YOY

$ 984254EBITDA

+ 50 YOY

$ 642895NET PROFIT

+ 72 YOY

8




Change20152016

20162015201420132012Indicators








31011373104811081298967Share turnover ()


















410420430440450460470480490500510520530540550560570580590600610

021

201

223

22

012

184

201

26

122

012

068

201

202

10

2012

021

220

1231

12

013

260

320

1320

05

2013

147

201

309

09

2013

101

120

1309

01

2014

050

320

1428

04

2014

230

620

1424

08

2014

211

020

1414

12

2014

100

220

1506

04

2015

010

620

1528

07

2015

200

920

1518

11

2015

130

120

1607

03

2016

280

420

1623

06

2016

210

820

1620

10

2016

151

220

16

3866

3035

1664

990445












410420430440450460470480490500510520530540550560570580590600610

021

201

223

22

012

184

201

26

122

012

068

201

202

10

2012

021

220

1231

12

013

260

320

1320

05

2013

147

201

309

09

2013

101

120

1309

01

2014

050

320

1428

04

2014

230

620

1424

08

2014

211

020

1414

12

2014

100

220

1506

04

2015

010

620

1528

07

2015

200

920

1518

11

2015

130

120

1607

03

2016

280

420

1623

06

2016

210

820

1620

10

2016

151

220

16

3866

3035

1664

990445



2016 2015 1022 1022 1021 المؤشرات التغير10221026









مؤشر القدس )نقطة(27722 22022 51177 647 22102 -048








410420430440450460470480490500510520530540550560570580590600610

021

201

215

22

012

024

201

25

172

012

037

201

216

82

012

041

020

1226

11

2012

161

201

304

03

2013

170

420

1303

06

2013

180

720

1305

09

2013

281

020

1317

12

2013

050

220

1423

03

2014

070

520

1423

06

2014

140

820

1429

09

2014

181

120

1405

01

2015

220

220

1508

04

2015

260

520

1509

07

2015

270

820

1518

10

2015

021

220

1519

01

2016

030

320

1618

04

2016

050

620

1624

07

2016

060

920

1630

10

2016

151

220

16

3866

3035

1664


البنوك

االستثمار

الصناعة

التأمين

9




891 12934931 11876356 11480780 11366673 11723148 Total assets


67 11426387 10705335 10351790 10062760 10236038 Net equity

-402 2019 3375 1119 113 067 Liquidity ratio

169 408 349 179 5 33 Cash ratio






497 984254 657423 590673 137219 (331851) EBITDA

Currency (USD)


Gains (losses)

316

277

241219

251

196 207 218 206

266

2012 2013 2014 2015 2016

Expenses Revenue

-701201

-219630

243224374655

642895

2012 2013 2014 2015 2016





8911293493111876356114807801136667311723148Total assets


671142638710705335103517901006276010236038Net equity

-402201933751119113067Liquidity ratio

169408349179533Cash ratio






497984254657423590673137219(331851)EBITDA









Gains (losses)

316277

241219

251

196 207 218 206

266

2012 2013 2014 2015 2016

Expenses Revenue

-701201

-219630

243224374655

642895

2012 2013 2014 2015 2016

currency USD

10




11

Dear Shareho lders




2016














their economies







donorsrsquo funding









Dollars























12






Ahmad AweidahCEO

13























brokerage firms




































Ahmad AweidahCEO

14

Growth Strategy

15

τ Growth Strategy




companies











16


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



17


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



18


Dr Farouq Zuaiter


Dr Atef Alawneh


Mr Ziad Turk


Mr Samir Hulileh




Mr Maher Masri



Legal Advisor

Al-Zubi Law Office


Ernst amp Young

Mr Khaled Jian





Mrs Nagham Salameh

Manager of Trading


Affairs Department

Mr Khalid Hamdan

Manager of Clearing


Center (CDS)

Mr Mohammad Khraim








Mr Ahmad Aker

Chief of Operations

Mr Mohammad Hijaz


Department

Mr Mohammad Obeid




20


21















(WFE)

-


201556

24112016

22




public listing











23













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female





















Less than 30

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

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263

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1 2

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100

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1

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281

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1

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120

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loss

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294

70

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Net

equ

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11

426

387

107

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liab

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12

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129

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31

11

876

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74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

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9

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5

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the

year

67

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507

65

35

800

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Dec

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r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

6

1

10

9

11

12

2

3

4

5

6

7

8
















Conference Russia


Simulation Contest




media site






Exchange e-Bulletin















Exchanges in Turkey



in Colombia








Exchange e-Bulletin




Prospectsrdquo


membership in WFE

7

$ 0064EPS

+ 73 YOY

$ 0056ROE

+ 60 YOY

$ 984254EBITDA

+ 50 YOY

$ 642895NET PROFIT

+ 72 YOY

8




Change20152016

20162015201420132012Indicators








31011373104811081298967Share turnover ()


















410420430440450460470480490500510520530540550560570580590600610

021

201

223

22

012

184

201

26

122

012

068

201

202

10

2012

021

220

1231

12

013

260

320

1320

05

2013

147

201

309

09

2013

101

120

1309

01

2014

050

320

1428

04

2014

230

620

1424

08

2014

211

020

1414

12

2014

100

220

1506

04

2015

010

620

1528

07

2015

200

920

1518

11

2015

130

120

1607

03

2016

280

420

1623

06

2016

210

820

1620

10

2016

151

220

16

3866

3035

1664

990445












410420430440450460470480490500510520530540550560570580590600610

021

201

223

22

012

184

201

26

122

012

068

201

202

10

2012

021

220

1231

12

013

260

320

1320

05

2013

147

201

309

09

2013

101

120

1309

01

2014

050

320

1428

04

2014

230

620

1424

08

2014

211

020

1414

12

2014

100

220

1506

04

2015

010

620

1528

07

2015

200

920

1518

11

2015

130

120

1607

03

2016

280

420

1623

06

2016

210

820

1620

10

2016

151

220

16

3866

3035

1664

990445



2016 2015 1022 1022 1021 المؤشرات التغير10221026









مؤشر القدس )نقطة(27722 22022 51177 647 22102 -048








410420430440450460470480490500510520530540550560570580590600610

021

201

215

22

012

024

201

25

172

012

037

201

216

82

012

041

020

1226

11

2012

161

201

304

03

2013

170

420

1303

06

2013

180

720

1305

09

2013

281

020

1317

12

2013

050

220

1423

03

2014

070

520

1423

06

2014

140

820

1429

09

2014

181

120

1405

01

2015

220

220

1508

04

2015

260

520

1509

07

2015

270

820

1518

10

2015

021

220

1519

01

2016

030

320

1618

04

2016

050

620

1624

07

2016

060

920

1630

10

2016

151

220

16

3866

3035

1664


البنوك

االستثمار

الصناعة

التأمين

9




891 12934931 11876356 11480780 11366673 11723148 Total assets


67 11426387 10705335 10351790 10062760 10236038 Net equity

-402 2019 3375 1119 113 067 Liquidity ratio

169 408 349 179 5 33 Cash ratio






497 984254 657423 590673 137219 (331851) EBITDA

Currency (USD)


Gains (losses)

316

277

241219

251

196 207 218 206

266

2012 2013 2014 2015 2016

Expenses Revenue

-701201

-219630

243224374655

642895

2012 2013 2014 2015 2016





8911293493111876356114807801136667311723148Total assets


671142638710705335103517901006276010236038Net equity

-402201933751119113067Liquidity ratio

169408349179533Cash ratio






497984254657423590673137219(331851)EBITDA









Gains (losses)

316277

241219

251

196 207 218 206

266

2012 2013 2014 2015 2016

Expenses Revenue

-701201

-219630

243224374655

642895

2012 2013 2014 2015 2016

currency USD

10




11

Dear Shareho lders




2016














their economies







donorsrsquo funding









Dollars























12






Ahmad AweidahCEO

13























brokerage firms




































Ahmad AweidahCEO

14

Growth Strategy

15

τ Growth Strategy




companies











16


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



17


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



18


Dr Farouq Zuaiter


Dr Atef Alawneh


Mr Ziad Turk


Mr Samir Hulileh




Mr Maher Masri



Legal Advisor

Al-Zubi Law Office


Ernst amp Young

Mr Khaled Jian





Mrs Nagham Salameh

Manager of Trading


Affairs Department

Mr Khalid Hamdan

Manager of Clearing


Center (CDS)

Mr Mohammad Khraim








Mr Ahmad Aker

Chief of Operations

Mr Mohammad Hijaz


Department

Mr Mohammad Obeid




20


21















(WFE)

-


201556

24112016

22




public listing











23













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female





















Less than 30

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

Exch

ange

Com

pany

PL

C

STA

TEM

ENT

OF

CHA

NG

ES IN

EQ

UIT

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Yea

r En

ded

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embe

r 31

201

6

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atta

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lo

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SD

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SD

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SD

2016

As

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anua

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6 10

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000

164

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277

)

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the

year

-

-

-

64

289

5

642

895

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-

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57

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78

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N

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78

157

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72

105

2 Tr

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ry r

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ve

-

642

90

-

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429

0)

-

As

at D

ecem

ber

31 2

016

100

000

00

1

712

037

(3

151

20)

29

470

114

263

87

2015

A

s at

Jan

uary

1 2

015

100

000

00

1

610

281

(3

721

67)

(886

324

)

103

517

90

Prof

it fo

r th

e ye

ar

-

-

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465

5

374

655

Tota

l oth

er c

ompr

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inco

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(21

110)

-

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111

0)

Net

com

preh

ensi

ve in

com

e fo

r th

e ye

ar

-

-

(21

110)

37

465

5

353

545

Tran

sfer

red

to s

tatu

tory

res

erve

-

37

466

- (3

746

6)

-

As

at D

ecem

ber

31 2

015

100

000

00

1

647

747

(3

932

77)

(549

135

)

107

053

35

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Exch

ange

Com

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PL

C

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AL

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Dec

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6

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1

20

16

20

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N

otes

U

SD

U

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A

sset

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s

Prop

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and

equ

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3

213

084

8

232

965

4 Fi

nanc

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sset

s at

fair

val

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roug

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com

preh

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com

e

4

111

707

9

103

892

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ount

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ceiv

able

7

757

32

42

269

7 O

ther

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ass

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8

25

452

7

204

439

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and

cas

h eq

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lent

s

9

185

674

5

880

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9

187

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8

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Tota

l ass

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129

349

31

11

876

356

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ty a

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10

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100

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00

Stat

utor

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serv

e

11

1

712

037

1

647

747

Fair

val

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eser

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(315

120

)

(393

277

) Re

tain

ed e

arni

ngs

(acc

umul

ated

loss

es)

294

70

(5

491

35)

Net

equ

ity

11

426

387

107

053

35

Non

-cur

rent

liab

iliti

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Prov

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n fo

r em

ploy

ees

inde

mni

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12

1

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568

91

897

1

105

356

8

918

971

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yabl

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13

27

054

338

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14

303

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124

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33

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976

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102

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129

349

31

11

876

356

74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

Pro

pert

y an

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amp

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Co

st

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224

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0

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974

52

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0

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26

4

586

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Add

ition

s

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3

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1

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51

316

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50

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670

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)

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(127

) A

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6 38

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2

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1

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5 2

240

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51

467

5

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4

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78

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586

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A

ccum

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A

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015

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705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

ion

for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

-

(1

959

)

-

-

(19

59)

At D

ecem

ber 3

1 2

015

317

074

33

044

4

117

981

6

351

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78

026

225

688

1

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ook

valu

e

At D

ecem

ber 3

1 2

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192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

8




Change20152016

20162015201420132012Indicators








31011373104811081298967Share turnover ()


















410420430440450460470480490500510520530540550560570580590600610

021

201

223

22

012

184

201

26

122

012

068

201

202

10

2012

021

220

1231

12

013

260

320

1320

05

2013

147

201

309

09

2013

101

120

1309

01

2014

050

320

1428

04

2014

230

620

1424

08

2014

211

020

1414

12

2014

100

220

1506

04

2015

010

620

1528

07

2015

200

920

1518

11

2015

130

120

1607

03

2016

280

420

1623

06

2016

210

820

1620

10

2016

151

220

16

3866

3035

1664

990445












410420430440450460470480490500510520530540550560570580590600610

021

201

223

22

012

184

201

26

122

012

068

201

202

10

2012

021

220

1231

12

013

260

320

1320

05

2013

147

201

309

09

2013

101

120

1309

01

2014

050

320

1428

04

2014

230

620

1424

08

2014

211

020

1414

12

2014

100

220

1506

04

2015

010

620

1528

07

2015

200

920

1518

11

2015

130

120

1607

03

2016

280

420

1623

06

2016

210

820

1620

10

2016

151

220

16

3866

3035

1664

990445



2016 2015 1022 1022 1021 المؤشرات التغير10221026









مؤشر القدس )نقطة(27722 22022 51177 647 22102 -048








410420430440450460470480490500510520530540550560570580590600610

021

201

215

22

012

024

201

25

172

012

037

201

216

82

012

041

020

1226

11

2012

161

201

304

03

2013

170

420

1303

06

2013

180

720

1305

09

2013

281

020

1317

12

2013

050

220

1423

03

2014

070

520

1423

06

2014

140

820

1429

09

2014

181

120

1405

01

2015

220

220

1508

04

2015

260

520

1509

07

2015

270

820

1518

10

2015

021

220

1519

01

2016

030

320

1618

04

2016

050

620

1624

07

2016

060

920

1630

10

2016

151

220

16

3866

3035

1664


البنوك

االستثمار

الصناعة

التأمين

9




891 12934931 11876356 11480780 11366673 11723148 Total assets


67 11426387 10705335 10351790 10062760 10236038 Net equity

-402 2019 3375 1119 113 067 Liquidity ratio

169 408 349 179 5 33 Cash ratio






497 984254 657423 590673 137219 (331851) EBITDA

Currency (USD)


Gains (losses)

316

277

241219

251

196 207 218 206

266

2012 2013 2014 2015 2016

Expenses Revenue

-701201

-219630

243224374655

642895

2012 2013 2014 2015 2016





8911293493111876356114807801136667311723148Total assets


671142638710705335103517901006276010236038Net equity

-402201933751119113067Liquidity ratio

169408349179533Cash ratio






497984254657423590673137219(331851)EBITDA









Gains (losses)

316277

241219

251

196 207 218 206

266

2012 2013 2014 2015 2016

Expenses Revenue

-701201

-219630

243224374655

642895

2012 2013 2014 2015 2016

currency USD

10




11

Dear Shareho lders




2016














their economies







donorsrsquo funding









Dollars























12






Ahmad AweidahCEO

13























brokerage firms




































Ahmad AweidahCEO

14

Growth Strategy

15

τ Growth Strategy




companies











16


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



17


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



18


Dr Farouq Zuaiter


Dr Atef Alawneh


Mr Ziad Turk


Mr Samir Hulileh




Mr Maher Masri



Legal Advisor

Al-Zubi Law Office


Ernst amp Young

Mr Khaled Jian





Mrs Nagham Salameh

Manager of Trading


Affairs Department

Mr Khalid Hamdan

Manager of Clearing


Center (CDS)

Mr Mohammad Khraim








Mr Ahmad Aker

Chief of Operations

Mr Mohammad Hijaz


Department

Mr Mohammad Obeid




20


21















(WFE)

-


201556

24112016

22




public listing











23













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female





















Less than 30

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

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ties

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263

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1 2

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1

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294

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11

426

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107

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74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

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9

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67

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65

35

800

512

10

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6

184

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47

158

175

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329

654

Prop

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158

999

of f

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dep

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ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

10




11

Dear Shareho lders




2016














their economies







donorsrsquo funding









Dollars























12






Ahmad AweidahCEO

13























brokerage firms




































Ahmad AweidahCEO

14

Growth Strategy

15

τ Growth Strategy




companies











16


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



17


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



18


Dr Farouq Zuaiter


Dr Atef Alawneh


Mr Ziad Turk


Mr Samir Hulileh




Mr Maher Masri



Legal Advisor

Al-Zubi Law Office


Ernst amp Young

Mr Khaled Jian





Mrs Nagham Salameh

Manager of Trading


Affairs Department

Mr Khalid Hamdan

Manager of Clearing


Center (CDS)

Mr Mohammad Khraim








Mr Ahmad Aker

Chief of Operations

Mr Mohammad Hijaz


Department

Mr Mohammad Obeid




20


21















(WFE)

-


201556

24112016

22




public listing











23













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female





















Less than 30

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

Exch

ange

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263

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1 2

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1

610

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294

70

(5

491

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equ

ity

11

426

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107

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35

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1

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91

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129

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31

11

876

356

74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

Pro

pert

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4

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1

179

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35

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51

316

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50

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Add

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A

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967

9

114

597

5

300

311

78

026

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369

6 D

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for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

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-

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(1

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)

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At D

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317

074

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044

4

117

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6

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026

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192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

12






Ahmad AweidahCEO

13























brokerage firms




































Ahmad AweidahCEO

14

Growth Strategy

15

τ Growth Strategy




companies











16


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



17


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



18


Dr Farouq Zuaiter


Dr Atef Alawneh


Mr Ziad Turk


Mr Samir Hulileh




Mr Maher Masri



Legal Advisor

Al-Zubi Law Office


Ernst amp Young

Mr Khaled Jian





Mrs Nagham Salameh

Manager of Trading


Affairs Department

Mr Khalid Hamdan

Manager of Clearing


Center (CDS)

Mr Mohammad Khraim








Mr Ahmad Aker

Chief of Operations

Mr Mohammad Hijaz


Department

Mr Mohammad Obeid




20


21















(WFE)

-


201556

24112016

22




public listing











23













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female





















Less than 30

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

Exch

ange

Com

pany

PL

C

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TEM

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OF

CHA

NG

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6 10

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31 2

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100

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00

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(3

151

20)

29

470

114

263

87

2015

A

s at

Jan

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1 2

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100

000

00

1

610

281

(3

721

67)

(886

324

)

103

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90

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465

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e fo

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(21

110)

37

465

5

353

545

Tran

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-

37

466

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6)

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31 2

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100

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1

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77)

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107

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3

213

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8

232

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31

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11

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Fair

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(315

120

)

(393

277

) Re

tain

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arni

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(acc

umul

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loss

es)

294

70

(5

491

35)

Net

equ

ity

11

426

387

107

053

35

Non

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liab

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Prov

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inde

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12

1

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568

91

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1

105

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8

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102

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129

349

31

11

876

356

74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

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pert

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967

9

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5

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6 D

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for

the

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67

369

507

65

35

800

512

10

-

20

514

4 D

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-

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(1

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At D

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4

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6

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192

292

6

184

231

47

158

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Prop

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999

of f

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dep

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ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

14

Growth Strategy

15

τ Growth Strategy




companies











16


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



17


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



18


Dr Farouq Zuaiter


Dr Atef Alawneh


Mr Ziad Turk


Mr Samir Hulileh




Mr Maher Masri



Legal Advisor

Al-Zubi Law Office


Ernst amp Young

Mr Khaled Jian





Mrs Nagham Salameh

Manager of Trading


Affairs Department

Mr Khalid Hamdan

Manager of Clearing


Center (CDS)

Mr Mohammad Khraim








Mr Ahmad Aker

Chief of Operations

Mr Mohammad Hijaz


Department

Mr Mohammad Obeid




20


21















(WFE)

-


201556

24112016

22




public listing











23













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female





















Less than 30

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

Exch

ange

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263

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1 2

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1

610

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(315

120

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) Re

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(acc

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loss

es)

294

70

(5

491

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equ

ity

11

426

387

107

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35

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568

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31

11

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74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

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9

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5

300

311

78

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369

6 D

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for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

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-

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(1

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At D

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6

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158

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Prop

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of f

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ated

ass

ets

that

are

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nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

16


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



17


General Assemply

Board of Directors


Internal Audit








Ops Compliance Sec

BOD InvestmentCom



18


Dr Farouq Zuaiter


Dr Atef Alawneh


Mr Ziad Turk


Mr Samir Hulileh




Mr Maher Masri



Legal Advisor

Al-Zubi Law Office


Ernst amp Young

Mr Khaled Jian





Mrs Nagham Salameh

Manager of Trading


Affairs Department

Mr Khalid Hamdan

Manager of Clearing


Center (CDS)

Mr Mohammad Khraim








Mr Ahmad Aker

Chief of Operations

Mr Mohammad Hijaz


Department

Mr Mohammad Obeid




20


21















(WFE)

-


201556

24112016

22




public listing











23













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female





















Less than 30

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

Exch

ange

Com

pany

PL

C

STA

TEM

ENT

OF

CHA

NG

ES IN

EQ

UIT

Y

For

the

Yea

r En

ded

Dec

embe

r 31

201

6

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atta

ched

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es 1

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f the

se fi

nanc

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tate

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rnin

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lo

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)

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et

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ty

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SD

U

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2016

As

at J

anua

ry 1

201

6 10

000

000

164

774

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(393

277

)

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1)

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the

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-

-

-

64

289

5

642

895

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78

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78

157

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72

105

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642

90

-

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429

0)

-

As

at D

ecem

ber

31 2

016

100

000

00

1

712

037

(3

151

20)

29

470

114

263

87

2015

A

s at

Jan

uary

1 2

015

100

000

00

1

610

281

(3

721

67)

(886

324

)

103

517

90

Prof

it fo

r th

e ye

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-

-

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465

5

374

655

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l oth

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(21

110)

-

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111

0)

Net

com

preh

ensi

ve in

com

e fo

r th

e ye

ar

-

-

(21

110)

37

465

5

353

545

Tran

sfer

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to s

tatu

tory

res

erve

-

37

466

- (3

746

6)

-

As

at D

ecem

ber

31 2

015

100

000

00

1

647

747

(3

932

77)

(549

135

)

107

053

35

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Exch

ange

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PL

C

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AL

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Dec

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6

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ts

1

20

16

20

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otes

U

SD

U

SD

A

sset

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Prop

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and

equ

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ent

3

213

084

8

232

965

4 Fi

nanc

ial a

sset

s at

fair

val

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roug

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her

com

preh

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ve in

com

e

4

111

707

9

103

892

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7

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Curr

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at a

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7

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Acc

ount

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ceiv

able

7

757

32

42

269

7 O

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ass

ets

8

25

452

7

204

439

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and

cas

h eq

uiva

lent

s

9

185

674

5

880

644

9

187

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8

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l ass

ets

129

349

31

11

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356

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l

10

10

000

000

100

000

00

Stat

utor

y re

serv

e

11

1

712

037

1

647

747

Fair

val

ue r

eser

ve

(315

120

)

(393

277

) Re

tain

ed e

arni

ngs

(acc

umul

ated

loss

es)

294

70

(5

491

35)

Net

equ

ity

11

426

387

107

053

35

Non

-cur

rent

liab

iliti

es

Prov

isio

n fo

r em

ploy

ees

inde

mni

ty

12

1

053

568

91

897

1

105

356

8

918

971

Curr

ent

liabi

litie

s

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s pa

yabl

e

13

27

054

338

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nt li

abili

ties

14

303

025

18

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15

124

897

33

857

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25

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4

117

102

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ies

129

349

31

11

876

356

74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

Pro

pert

y an

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tate

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amp

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furn

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l 20

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USD

USD

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USD

USD

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Co

st

A

t Jan

uary

1 2

016

224

000

0

514

675

1

226

974

52

686

0

780

26

4

586

535

Add

ition

s

-

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186

4

-

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186

4 D

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27)

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(1

27)

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ber 3

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224

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514

675

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838

52

673

3

780

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4

588

272

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dep

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n

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anua

ry 1

201

6 31

707

4

330

444

1

179

816

35

152

1

780

26

2

256

881

Dep

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atio

n fo

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e ye

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673

68

51

316

316

87

50

299

-

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670

Dis

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-

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(127

)

-

(127

) A

t Dec

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6 38

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2

381

760

1

211

503

40

169

3

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457

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185

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8

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915

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130

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Prop

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195

933

of f

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ass

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are

stil

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Dec

embe

r 31

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6

82

13

Pro

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USD

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Co

st

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t Jan

uary

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015

224

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508

729

1

229

672

52

686

0

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26

4

583

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Add

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s

-

594

6

669

-

-

6

615

Dis

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ls

-

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(33

67)

-

-

(3

367

) A

t Dec

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r 31

201

5 2

240

000

51

467

5

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697

4

526

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78

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586

535

A

ccum

ulat

ed d

epre

ciat

ion

A

t Jan

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1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

ion

for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

-

(1

959

)

-

-

(19

59)

At D

ecem

ber 3

1 2

015

317

074

33

044

4

117

981

6

351

521

78

026

225

688

1

N

et b

ook

valu

e

At D

ecem

ber 3

1 2

015

192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

18


Dr Farouq Zuaiter


Dr Atef Alawneh


Mr Ziad Turk


Mr Samir Hulileh




Mr Maher Masri



Legal Advisor

Al-Zubi Law Office


Ernst amp Young

Mr Khaled Jian





Mrs Nagham Salameh

Manager of Trading


Affairs Department

Mr Khalid Hamdan

Manager of Clearing


Center (CDS)

Mr Mohammad Khraim








Mr Ahmad Aker

Chief of Operations

Mr Mohammad Hijaz


Department

Mr Mohammad Obeid




20


21















(WFE)

-


201556

24112016

22




public listing











23













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female





















Less than 30

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

Exch

ange

Com

pany

PL

C

STA

TEM

ENT

OF

CHA

NG

ES IN

EQ

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r En

ded

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embe

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201

6

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atta

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es 1

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f the

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umul

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lo

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ty

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2016

As

at J

anua

ry 1

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6 10

000

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164

774

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(393

277

)

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1)

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the

year

-

-

-

64

289

5

642

895

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ompr

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781

57

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78

157

N

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-

78

157

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72

105

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642

90

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429

0)

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As

at D

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31 2

016

100

000

00

1

712

037

(3

151

20)

29

470

114

263

87

2015

A

s at

Jan

uary

1 2

015

100

000

00

1

610

281

(3

721

67)

(886

324

)

103

517

90

Prof

it fo

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-

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465

5

374

655

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0)

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ve in

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e fo

r th

e ye

ar

-

-

(21

110)

37

465

5

353

545

Tran

sfer

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to s

tatu

tory

res

erve

-

37

466

- (3

746

6)

-

As

at D

ecem

ber

31 2

015

100

000

00

1

647

747

(3

932

77)

(549

135

)

107

053

35

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Exch

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Com

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PL

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Dec

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6

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ts

1

20

16

20

15

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otes

U

SD

U

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A

sset

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nt a

sset

s

Prop

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and

equ

ipm

ent

3

213

084

8

232

965

4 Fi

nanc

ial a

sset

s at

fair

val

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roug

h ot

her

com

preh

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ve in

com

e

4

111

707

9

103

892

2 A

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l ass

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ount

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ceiv

able

7

757

32

42

269

7 O

ther

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ass

ets

8

25

452

7

204

439

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and

cas

h eq

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lent

s

9

185

674

5

880

644

9

187

004

8

507

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l ass

ets

129

349

31

11

876

356

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ty a

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abili

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ty

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id-in

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l

10

10

000

000

100

000

00

Stat

utor

y re

serv

e

11

1

712

037

1

647

747

Fair

val

ue r

eser

ve

(315

120

)

(393

277

) Re

tain

ed e

arni

ngs

(acc

umul

ated

loss

es)

294

70

(5

491

35)

Net

equ

ity

11

426

387

107

053

35

Non

-cur

rent

liab

iliti

es

Prov

isio

n fo

r em

ploy

ees

inde

mni

ty

12

1

053

568

91

897

1

105

356

8

918

971

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liabi

litie

s

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s pa

yabl

e

13

27

054

338

00

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abili

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14

303

025

18

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15

124

897

33

857

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976

25

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4

117

102

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ies

129

349

31

11

876

356

74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

Pro

pert

y an

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st

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224

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0

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1

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974

52

686

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4

586

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Add

ition

s

-

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52

673

3

780

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4

588

272

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6 31

707

4

330

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1

179

816

35

152

1

780

26

2

256

881

Dep

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atio

n fo

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e ye

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673

68

51

316

316

87

50

299

-

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670

Dis

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ls

-

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(127

)

-

(127

) A

t Dec

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6 38

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2

381

760

1

211

503

40

169

3

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457

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8

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Prop

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of f

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6

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Pro

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st

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uary

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52

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4

583

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Add

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615

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(33

67)

-

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367

) A

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r 31

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5 2

240

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51

467

5

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697

4

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78

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586

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A

ccum

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ed d

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ciat

ion

A

t Jan

uary

1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

ion

for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

-

(1

959

)

-

-

(19

59)

At D

ecem

ber 3

1 2

015

317

074

33

044

4

117

981

6

351

521

78

026

225

688

1

N

et b

ook

valu

e

At D

ecem

ber 3

1 2

015

192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

20


21















(WFE)

-


201556

24112016

22




public listing











23













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female





















Less than 30

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

Exch

ange

Com

pany

PL

C

STA

TEM

ENT

OF

CHA

NG

ES IN

EQ

UIT

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For

the

Yea

r En

ded

Dec

embe

r 31

201

6

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atta

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not

es 1

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f the

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nanc

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atut

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rese

rve

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ir v

alue

re

serv

e

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ined

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rnin

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umul

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lo

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)

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et

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SD

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SD

2016

As

at J

anua

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201

6 10

000

000

164

774

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(393

277

)

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1)

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the

year

-

-

-

64

289

5

642

895

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ompr

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57

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78

157

N

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for

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year

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-

78

157

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72

105

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sta

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-

642

90

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429

0)

-

As

at D

ecem

ber

31 2

016

100

000

00

1

712

037

(3

151

20)

29

470

114

263

87

2015

A

s at

Jan

uary

1 2

015

100

000

00

1

610

281

(3

721

67)

(886

324

)

103

517

90

Prof

it fo

r th

e ye

ar

-

-

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465

5

374

655

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l oth

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ompr

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-

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(21

110)

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111

0)

Net

com

preh

ensi

ve in

com

e fo

r th

e ye

ar

-

-

(21

110)

37

465

5

353

545

Tran

sfer

red

to s

tatu

tory

res

erve

-

37

466

- (3

746

6)

-

As

at D

ecem

ber

31 2

015

100

000

00

1

647

747

(3

932

77)

(549

135

)

107

053

35

Pale

stin

e Se

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ties

Exch

ange

Com

pany

PL

C

ST

ATE

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F FI

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AL

POSI

TIO

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Dec

embe

r 31

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6

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atta

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es 1

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tate

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ts

1

20

16

20

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otes

U

SD

U

SD

A

sset

s

N

on-c

urre

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sset

s

Prop

erty

and

equ

ipm

ent

3

213

084

8

232

965

4 Fi

nanc

ial a

sset

s at

fair

val

ue th

roug

h ot

her

com

preh

ensi

ve in

com

e

4

111

707

9

103

892

2 A

dvan

ce p

aym

ent o

n pu

rcha

se o

f lan

d 5

50

000

0

-

374

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7

336

857

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Curr

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l ass

ets

at a

mor

tized

cos

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7

000

000

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Acc

ount

s re

ceiv

able

7

757

32

42

269

7 O

ther

cur

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ass

ets

8

25

452

7

204

439

Cash

and

cas

h eq

uiva

lent

s

9

185

674

5

880

644

9

187

004

8

507

780

Tota

l ass

ets

129

349

31

11

876

356

Equi

ty a

nd li

abili

ties

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ty

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id-in

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apita

l

10

10

000

000

100

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00

Stat

utor

y re

serv

e

11

1

712

037

1

647

747

Fair

val

ue r

eser

ve

(315

120

)

(393

277

) Re

tain

ed e

arni

ngs

(acc

umul

ated

loss

es)

294

70

(5

491

35)

Net

equ

ity

11

426

387

107

053

35

Non

-cur

rent

liab

iliti

es

Prov

isio

n fo

r em

ploy

ees

inde

mni

ty

12

1

053

568

91

897

1

105

356

8

918

971

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liabi

litie

s

Acc

ount

s pa

yabl

e

13

27

054

338

00

Oth

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abili

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14

303

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18

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ion

15

124

897

33

857

454

976

25

205

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litie

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150

854

4

117

102

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tal e

quit

y an

d lia

bilit

ies

129

349

31

11

876

356

74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

Pro

pert

y an

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amp

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Com

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Co

st

A

t Jan

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1 2

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224

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675

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974

52

686

0

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26

4

586

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ition

s

-

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186

4

-

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838

52

673

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707

4

330

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1

179

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35

152

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780

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2

256

881

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673

68

51

316

316

87

50

299

-

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670

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(127

)

-

(127

) A

t Dec

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6 38

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2

381

760

1

211

503

40

169

3

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457

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8

132

915

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125

040

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Prop

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Co

st

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uary

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1

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52

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4

583

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Add

ition

s

-

594

6

669

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6

615

Dis

posa

ls

-

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(33

67)

-

-

(3

367

) A

t Dec

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r 31

201

5 2

240

000

51

467

5

122

697

4

526

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78

026

586

535

A

ccum

ulat

ed d

epre

ciat

ion

A

t Jan

uary

1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

ion

for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

-

(1

959

)

-

-

(19

59)

At D

ecem

ber 3

1 2

015

317

074

33

044

4

117

981

6

351

521

78

026

225

688

1

N

et b

ook

valu

e

At D

ecem

ber 3

1 2

015

192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

22




public listing











23













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female













18

52

14


18

34

39

9

59-50

49-40

39-30

Less than 3066

34Male

Female





















Less than 30

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

Exch

ange

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pany

PL

C

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CHA

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EQ

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6 10

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)

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-

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31 2

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100

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1

712

037

(3

151

20)

29

470

114

263

87

2015

A

s at

Jan

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1 2

015

100

000

00

1

610

281

(3

721

67)

(886

324

)

103

517

90

Prof

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-

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465

5

374

655

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(21

110)

37

465

5

353

545

Tran

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-

37

466

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746

6)

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ber

31 2

015

100

000

00

1

647

747

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932

77)

(549

135

)

107

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35

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Dec

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r 31

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1

20

16

20

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otes

U

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A

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3

213

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8

232

965

4 Fi

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fair

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com

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4

111

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9

103

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l ass

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7

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ount

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ceiv

able

7

757

32

42

269

7 O

ther

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ass

ets

8

25

452

7

204

439

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and

cas

h eq

uiva

lent

s

9

185

674

5

880

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9

187

004

8

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l ass

ets

129

349

31

11

876

356

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l

10

10

000

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100

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Stat

utor

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serv

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11

1

712

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1

647

747

Fair

val

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eser

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(315

120

)

(393

277

) Re

tain

ed e

arni

ngs

(acc

umul

ated

loss

es)

294

70

(5

491

35)

Net

equ

ity

11

426

387

107

053

35

Non

-cur

rent

liab

iliti

es

Prov

isio

n fo

r em

ploy

ees

inde

mni

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12

1

053

568

91

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1

105

356

8

918

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s pa

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13

27

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303

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124

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33

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976

25

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4

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102

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ies

129

349

31

11

876

356

74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

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pert

y an

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amp

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224

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256

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316

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670

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) A

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6 38

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2

381

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st

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583

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Add

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s

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594

6

669

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6

615

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ls

-

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(33

67)

-

-

(3

367

) A

t Dec

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r 31

201

5 2

240

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51

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5

122

697

4

526

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78

026

586

535

A

ccum

ulat

ed d

epre

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A

t Jan

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1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

ion

for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

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(1

959

)

-

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(19

59)

At D

ecem

ber 3

1 2

015

317

074

33

044

4

117

981

6

351

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78

026

225

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1

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valu

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At D

ecem

ber 3

1 2

015

192

292

6

184

231

47

158

175

339

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329

654

Prop

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and

equ

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ent i

nclu

de U

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158

999

of f

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dep

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ated

ass

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that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

24





ཌ Student visits









25














media


26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



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74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

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5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

26


















included







agencies

27


of forums including









Petersburg Russia







28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

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74






(3683) (34888)









Current assets






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75

6












Materiality


Notes structure


76

7





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77

8




















78

9












79

10








liability







80

11









81

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5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

28


29











Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016



Al Quds Index



48504875490049254950497550005025505050755100512551505175520052255250527553005325535053755400

030

120

1612

01

2016

200

120

1628

01

2016

070

220

1615

02

2016

230

220

1602

03

2016

100

320

1620

03

2016

280

320

1605

04

2016

130

420

1621

04

2016

020

520

1611

05

2016

190

520

1629

05

2016

060

620

1614

06

2016

220

620

1630

06

2016

130

720

1621

07

2016

310

720

1608

08

2016

160

820

1624

08

2016

010

920

1618

09

2016

260

920

1605

10

2016

131

020

1623

10

2016

311

020

1608

11

2016

171

120

1627

11

2016

051

220

1614

12

2016

221

220

16

-150-100

-500050

100150200250300350400450500550600650700750800

EGYPT

DAMASCUS

CASABLANCA

DUBAI

TUNIS

MUSCAT

SUDAN

ABU DHABI

SAUDI

BEIRUT

KUWAIT

AMM

AN

BAHRAIN

QATAR

PALESTINE

IRAQ

53016

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

Exch

ange

Com

pany

PL

C

STA

TEM

ENT

OF

CHA

NG

ES IN

EQ

UIT

Y

For

the

Yea

r En

ded

Dec

embe

r 31

201

6

The

atta

ched

not

es 1

to 2

6 fo

rm p

art o

f the

se fi

nanc

ial s

tate

men

ts

4

Pa

id-in

sh

are

capi

tal

St

atut

ory

rese

rve

Fa

ir v

alue

re

serv

e

Reta

ined

Ea

rnin

gs

(Acc

umul

ated

lo

sses

)

N

et

Equi

ty

U

SD

U

SD

U

SD

U

SD

U

SD

2016

As

at J

anua

ry 1

201

6 10

000

000

164

774

7

(393

277

)

(549

1)

10

705

335

Pr

ofit

for

the

year

-

-

-

64

289

5

642

895

Tota

l oth

er c

ompr

ehen

sive

inco

me

-

-

781

57

-

78

157

N

et c

ompr

ehen

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inco

me

for

the

year

-

-

78

157

642

895

72

105

2 Tr

ansf

erre

d to

sta

tuto

ry r

eser

ve

-

642

90

-

(6

429

0)

-

As

at D

ecem

ber

31 2

016

100

000

00

1

712

037

(3

151

20)

29

470

114

263

87

2015

A

s at

Jan

uary

1 2

015

100

000

00

1

610

281

(3

721

67)

(886

324

)

103

517

90

Prof

it fo

r th

e ye

ar

-

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5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

30








() Point

-048-2575327353016Al-Quds

1103092820828517General


118682969887817Industry

3658179649106706Insurance


-694-33648394503Services



Sector Indices



485

490

495

500

505

510

515

520

525

530

535

540

48

50

52

54

56

58

60

62

64

66

68

03012016

18012016

01022016

15022016

29022016

14032016

28032016

11042016

25042016

11052016

25052016

08062016

22062016

11072016

25072016

08082016

22082016

05092016

26092016

11102016

25102016

08112016

23112016

07122016

Al-Q

uds

Inde

x

Insu

ranc

e Se

ctor

Inde

x

Change open close

Sector () Point




31









25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

25







25 69150 189

74 45 58201

2096

1067

813

1185

500 451366

273341 354 320

445

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

10 17

6993

3319

40

104

370

223

299

339

239 231

185

147

203182 175

233

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

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11

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107

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74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

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27)

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838

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3

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4

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Acc

umul

ated

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anua

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6 31

707

4

330

444

1

179

816

35

152

1

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26

2

256

881

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673

68

51

316

316

87

50

299

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670

Dis

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) A

t Dec

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6 38

444

2

381

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1

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169

3

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185

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132

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17

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125

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130

848

Prop

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equ

ipm

ent i

nclu

de U

SD 1

195

933

of f

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ated

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ets

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are

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Dec

embe

r 31

201

6

82

13

Pro

pert

y an

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ent

Re

al

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te

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amp

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Com

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O

ffic

e fu

rnitu

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eq

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ent

M

otor

ve

hicl

es

Tota

l 20

15

USD

USD

USD

USD

USD

USD

Co

st

A

t Jan

uary

1 2

015

224

000

0

508

729

1

229

672

52

686

0

780

26

4

583

287

Add

ition

s

-

594

6

669

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6

615

Dis

posa

ls

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(33

67)

-

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(3

367

) A

t Dec

embe

r 31

201

5 2

240

000

51

467

5

122

697

4

526

860

78

026

586

535

A

ccum

ulat

ed d

epre

ciat

ion

A

t Jan

uary

1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

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the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

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(1

959

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59)

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ecem

ber 3

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317

074

33

044

4

117

981

6

351

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78

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225

688

1

N

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ook

valu

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At D

ecem

ber 3

1 2

015

192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

32

Trading by Sector

SectorListed Com-


No of Transac-tions

Market Cap (USD)







Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190


Trading by Sector

Sector



(USD)




BNK4155

INS658

INV2574

IND273

SRV2341

BNK4275

INS510

INV3819

IND206

SRV1190

33


SectorListed


No of Transactions

Market Cap (USD)








Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051



Sector



(USD)




125

231

163

317

100

200

62

114


Sell Buy

Palestinian

Foreign


Local Company 4212


Foreign Company 217

NA 019


Local Company 072


Foreign Company 026

NA 051

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

stin

e Se

curi

ties

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ange

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29

470

114

263

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1

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324

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103

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465

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37

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5

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545

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107

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32

42

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8

25

452

7

204

439

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lent

s

9

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5

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9

187

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8

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129

349

31

11

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utor

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serv

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11

1

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1

647

747

Fair

val

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(315

120

)

(393

277

) Re

tain

ed e

arni

ngs

(acc

umul

ated

loss

es)

294

70

(5

491

35)

Net

equ

ity

11

426

387

107

053

35

Non

-cur

rent

liab

iliti

es

Prov

isio

n fo

r em

ploy

ees

inde

mni

ty

12

1

053

568

91

897

1

105

356

8

918

971

Curr

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liabi

litie

s

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s pa

yabl

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13

27

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338

00

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abili

ties

14

303

025

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439

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com

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x pr

ovis

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15

124

897

33

857

454

976

25

205

0 To

tal l

iabi

litie

s

150

854

4

117

102

1 To

tal e

quit

y an

d lia

bilit

ies

129

349

31

11

876

356

74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

Pro

pert

y an

d eq

uipm

ent

Real

es

tate

Dec

orat

ions

amp

leas

ehol

d im

prov

emen

t

Com

pute

rs

O

ffic

e

furn

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amp

equ

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ent

M

otor

ve

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es

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l 20

16

USD

USD

USD

USD

USD

USD

Co

st

A

t Jan

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1 2

016

224

000

0

514

675

1

226

974

52

686

0

780

26

4

586

535

Add

ition

s

-

-

186

4

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186

4 D

ispo

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(1

27)

At D

ecem

ber 3

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016

224

000

0

514

675

1

228

838

52

673

3

780

26

4

588

272

Acc

umul

ated

dep

reci

atio

n

At J

anua

ry 1

201

6 31

707

4

330

444

1

179

816

35

152

1

780

26

2

256

881

Dep

reci

atio

n fo

r th

e ye

ar

673

68

51

316

316

87

50

299

-

200

670

Dis

posa

ls

-

-

-

(127

)

-

(127

) A

t Dec

embe

r 31

201

6 38

444

2

381

760

1

211

503

40

169

3

780

26

2

457

424

Net

boo

k va

lue

At D

ecem

ber 3

1 2

016

185

555

8

132

915

17

335

125

040

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2

130

848

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

195

933

of f

ully

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ated

ass

ets

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are

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l ope

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s of

Dec

embe

r 31

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6

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Pro

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l 20

15

USD

USD

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USD

USD

USD

Co

st

A

t Jan

uary

1 2

015

224

000

0

508

729

1

229

672

52

686

0

780

26

4

583

287

Add

ition

s

-

594

6

669

-

-

6

615

Dis

posa

ls

-

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(33

67)

-

-

(3

367

) A

t Dec

embe

r 31

201

5 2

240

000

51

467

5

122

697

4

526

860

78

026

586

535

A

ccum

ulat

ed d

epre

ciat

ion

A

t Jan

uary

1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

ion

for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

-

(1

959

)

-

-

(19

59)

At D

ecem

ber 3

1 2

015

317

074

33

044

4

117

981

6

351

521

78

026

225

688

1

N

et b

ook

valu

e

At D

ecem

ber 3

1 2

015

192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

34

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

2







48

49

48

49

48

2012 2013 2014 2015 2016

2859

32473187

33393390

2012 2013 2014 2015 2016

140155

172 171180

2012 2013 2014 2015 2016

140155

172 172 180

2012 2013 2014 2015 2016





Listed Companies


35


36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








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70






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Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






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14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

36





volumeNo of



2016 2015 2016 2015 2016 2015 2016 2015

1-5000 7 7 3043 3043 9362 9362 009 009

5001-10000 4 4 1739 1739 34332 34332 034 034

10001-50000 5 5 2174 2174 213200 213100 213 213

50001-100000 2 2 870 870 110700 110800 111 111

100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



2016 2015 2016 2015 2016 2015

Individuals 4 4 23000 23000 023 023

Institutions

Companies 14 13 9759126 9259126 9759 9264


Banks 2 2 172674 172674 173 168

Funds 2 3 1100 501100 001 501

TOTAL 23 23 10000000 10000000 100 100







2016 2015 2016 2015 2016 2015 2016 2015 1-5000 7 7 3043 3043 9362 9362 009 009 5001-10000 4 4 1739 1739 34332 34332 034 034 10001-50000 5 5 2174 2174 213200 213100 213 213 50001-100000 2 2 870 870 110700 110800 111 111 100001 amp above 5 5 2174 2174 9632406 9632406 9633 9633

TOTAL 23 23 100 100 10000000 10000000 100 100



No of Shareholders




TOTAL 23 23 10000000 10000000 100 100

Major Shareholders


4

19

7274744

2725256


37


Share Volume in






9671967134496719671344TOTAL













the law






38


20152016Item




















39





0191900000Cash2008

0202000000Cash2007

0313112709Cash2006












transparent rules











40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

Pale

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e Se

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ties

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As

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6 10

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Cash

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9

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11

876

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Equi

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11

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1

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Fair

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umul

ated

loss

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294

70

(5

491

35)

Net

equ

ity

11

426

387

107

053

35

Non

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liab

iliti

es

Prov

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n fo

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ploy

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12

1

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568

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1

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8

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971

Curr

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13

27

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338

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Oth

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14

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18

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15

124

897

33

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976

25

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0 To

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150

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4

117

102

1 To

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ies

129

349

31

11

876

356

74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

Pro

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316

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87

50

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670

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December 31 2015








2016 2015 USD USD



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Investment Amount


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parties



42






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44

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Second 29032016 1100


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Fourth 01082016 1200







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Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

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61





insider information














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13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

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16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

40





Investment Amount


V Tel Co 157500

















Competitive Edge






41





















parties



42






and Ramallah

Amount (USD)Assets

1855558Real estate1



17335Computers4







43






44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

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72



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2016 2015 USD USD


87

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Nature of

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December 31 2015








2016 2015 USD USD



75663

68782



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88

19



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inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


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inputs (Level3)





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89

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10231618 9525075 10231618 9525075







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90

21






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91

NOT E S

92

NOT E S

42






and Ramallah

Amount (USD)Assets

1855558Real estate1



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transparency







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taken thereon












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58












of the company


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59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














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71






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(3683) (34888)









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75

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Materiality


Notes structure


76

7





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77

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78

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2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

44

PEX Governance

45

τ PEX Governance





transparency







and transparent













their performance


46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

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e Se

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ties

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2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

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16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

46



(PADICO)





47



(PADICO)










48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

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72



2016 2015 USD USD








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129

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31

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876

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74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









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329

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Prop

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stil

l ope

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s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

48



(PADICO)




pany (PADICO)










49



(PADICO)







don 1973- 1976



50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


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2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

50



(PADICO)




















2006








52


Ahmad AweidahCEO








May 1995)








53






(2003-2006)








54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








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Current liabilities


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2016 2015 USD USD


87

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Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

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inputs (Level3)





December 31 2016

955444 - 955444 -


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89

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taken thereon












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58












of the company


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59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














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62



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71






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2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

54


Department












55









tine 1999


Investor Education






56












taken thereon












personnel matters







and their wages


































58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

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74






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75

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76

7





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77

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78

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2016 2015 USD USD


87

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Nature of

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December 312016

December 31 2015








2016 2015 USD USD



75663

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88

19



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inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


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inputs (Level3)





December 31 2015


89

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91

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of the company


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Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














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62



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71






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2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

58












of the company


regulations














59




Second 29032016 1100


companies



Fourth 01082016 1200







InvestmentCommittee



Board ofDirectors




--4466Mr Ziad Turk





60









Reimbursement(USD)

Annual Transfer

Allowance

Annual Remuneration


(USD)













2375451059558190Salaries (USD)








61





insider information














V Tel Co 157500



62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

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74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

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2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



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88

19



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inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


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December 31 2015


89

20






10231618 9525075 10231618 9525075







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90

21






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91

NOT E S

92

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60









Reimbursement(USD)

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61





insider information














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2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

62



1 External Auditor























63




















64


65















waste

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







Current assets






Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








Current assets






Current liabilities


73

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2016 2015 USD USD


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Nature of

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December 31 2015








2016 2015 USD USD



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inputs (Level3)





December 31 2016

955444 - 955444 -


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December 31 2015


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76

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2016 2015 USD USD







2016 2015 USD USD


84

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2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

66

















67


68

Ernst amp Young


Tel +972 22421011 Fax +972 22422324 wwweycom






other than the fi




reporting process

69















70






Current assets






Current liabilities







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Current liabilities


71






Current assets






Current liabilities






145216 (132653)

Other Revenues


profit of the year

21

0064 0037

72



2016 2015 USD USD








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Current liabilities


73

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December 31 2015








2016 2015 USD USD



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December 31 2016

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2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

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303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

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0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

70






Current assets






Current liabilities







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Current liabilities


71






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145216 (132653)

Other Revenues


profit of the year

21

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72



2016 2015 USD USD








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2016 2015 USD USD

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303025 184393


2016 2015 USD USD



2016 2015 USD USD







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0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

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10231618 9525075 10231618 9525075







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90

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91

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Current liabilities


75

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Materiality


Notes structure


76

7





ISA (18) Revenue













77

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78

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14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

74






(3683) (34888)









Current assets






Current liabilities


75

6












Materiality


Notes structure


76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

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367

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t Dec

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201

5 2

240

000

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467

5

122

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4

526

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78

026

586

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ulat

ed d

epre

ciat

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A

t Jan

uary

1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

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year

67

369

507

65

35

800

512

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(1

959

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6

351

521

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ecem

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1 2

015

192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

76

7





ISA (18) Revenue













77

8




















78

9












79

10








liability







80

11









81

12

3

Pro

pert

y an

d eq

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ent

Real

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orat

ions

amp

leas

ehol

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prov

emen

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Com

pute

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O

ffic

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M

otor

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16

USD

USD

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USD

USD

USD

Co

st

A

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224

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514

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Add

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Acc

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707

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152

1

780

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256

881

Dep

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r th

e ye

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673

68

51

316

316

87

50

299

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Dis

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(127

) A

t Dec

embe

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201

6 38

444

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381

760

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211

503

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169

3

780

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2

457

424

Net

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At D

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ber 3

1 2

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185

555

8

132

915

17

335

125

040

-

2

130

848

Prop

erty

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equ

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SD 1

195

933

of f

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Dec

embe

r 31

201

6

82

13

Pro

pert

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Re

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orat

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ffic

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M

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hicl

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l 20

15

USD

USD

USD

USD

USD

USD

Co

st

A

t Jan

uary

1 2

015

224

000

0

508

729

1

229

672

52

686

0

780

26

4

583

287

Add

ition

s

-

594

6

669

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-

6

615

Dis

posa

ls

-

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(33

67)

-

-

(3

367

) A

t Dec

embe

r 31

201

5 2

240

000

51

467

5

122

697

4

526

860

78

026

586

535

A

ccum

ulat

ed d

epre

ciat

ion

A

t Jan

uary

1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

ion

for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

-

(1

959

)

-

-

(19

59)

At D

ecem

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1 2

015

317

074

33

044

4

117

981

6

351

521

78

026

225

688

1

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valu

e

At D

ecem

ber 3

1 2

015

192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

78

9












79

10








liability







80

11









81

12

3

Pro

pert

y an

d eq

uipm

ent

Real

es

tate

Dec

orat

ions

amp

leas

ehol

d im

prov

emen

t

Com

pute

rs

O

ffic

e

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iture

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equ

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ent

M

otor

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hicl

es

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l 20

16

USD

USD

USD

USD

USD

USD

Co

st

A

t Jan

uary

1 2

016

224

000

0

514

675

1

226

974

52

686

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780

26

4

586

535

Add

ition

s

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186

4

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186

4 D

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27)

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000

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514

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52

673

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780

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4

588

272

Acc

umul

ated

dep

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atio

n

At J

anua

ry 1

201

6 31

707

4

330

444

1

179

816

35

152

1

780

26

2

256

881

Dep

reci

atio

n fo

r th

e ye

ar

673

68

51

316

316

87

50

299

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200

670

Dis

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-

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(127

)

-

(127

) A

t Dec

embe

r 31

201

6 38

444

2

381

760

1

211

503

40

169

3

780

26

2

457

424

Net

boo

k va

lue

At D

ecem

ber 3

1 2

016

185

555

8

132

915

17

335

125

040

-

2

130

848

Prop

erty

and

equ

ipm

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195

933

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ated

ass

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that

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embe

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201

6

82

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Pro

pert

y an

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Re

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prov

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es

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l 20

15

USD

USD

USD

USD

USD

USD

Co

st

A

t Jan

uary

1 2

015

224

000

0

508

729

1

229

672

52

686

0

780

26

4

583

287

Add

ition

s

-

594

6

669

-

-

6

615

Dis

posa

ls

-

-

(33

67)

-

-

(3

367

) A

t Dec

embe

r 31

201

5 2

240

000

51

467

5

122

697

4

526

860

78

026

586

535

A

ccum

ulat

ed d

epre

ciat

ion

A

t Jan

uary

1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

ion

for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

-

(1

959

)

-

-

(19

59)

At D

ecem

ber 3

1 2

015

317

074

33

044

4

117

981

6

351

521

78

026

225

688

1

N

et b

ook

valu

e

At D

ecem

ber 3

1 2

015

192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

80

11









81

12

3

Pro

pert

y an

d eq

uipm

ent

Real

es

tate

Dec

orat

ions

amp

leas

ehol

d im

prov

emen

t

Com

pute

rs

O

ffic

e

furn

iture

amp

equ

ipm

ent

M

otor

ve

hicl

es

Tota

l 20

16

USD

USD

USD

USD

USD

USD

Co

st

A

t Jan

uary

1 2

016

224

000

0

514

675

1

226

974

52

686

0

780

26

4

586

535

Add

ition

s

-

-

186

4

-

-

186

4 D

ispo

sals

-

-

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(1

27)

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(1

27)

At D

ecem

ber 3

1 2

016

224

000

0

514

675

1

228

838

52

673

3

780

26

4

588

272

Acc

umul

ated

dep

reci

atio

n

At J

anua

ry 1

201

6 31

707

4

330

444

1

179

816

35

152

1

780

26

2

256

881

Dep

reci

atio

n fo

r th

e ye

ar

673

68

51

316

316

87

50

299

-

200

670

Dis

posa

ls

-

-

-

(127

)

-

(127

) A

t Dec

embe

r 31

201

6 38

444

2

381

760

1

211

503

40

169

3

780

26

2

457

424

Net

boo

k va

lue

At D

ecem

ber 3

1 2

016

185

555

8

132

915

17

335

125

040

-

2

130

848

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

195

933

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

6

82

13

Pro

pert

y an

d eq

uipm

ent

Re

al

esta

te

Dec

orat

ions

amp

leas

ehol

d im

prov

emen

t

Com

pute

rs

O

ffic

e fu

rnitu

re amp

eq

uipm

ent

M

otor

ve

hicl

es

Tota

l 20

15

USD

USD

USD

USD

USD

USD

Co

st

A

t Jan

uary

1 2

015

224

000

0

508

729

1

229

672

52

686

0

780

26

4

583

287

Add

ition

s

-

594

6

669

-

-

6

615

Dis

posa

ls

-

-

(33

67)

-

-

(3

367

) A

t Dec

embe

r 31

201

5 2

240

000

51

467

5

122

697

4

526

860

78

026

586

535

A

ccum

ulat

ed d

epre

ciat

ion

A

t Jan

uary

1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

ion

for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

-

(1

959

)

-

-

(19

59)

At D

ecem

ber 3

1 2

015

317

074

33

044

4

117

981

6

351

521

78

026

225

688

1

N

et b

ook

valu

e

At D

ecem

ber 3

1 2

015

192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

82

13

Pro

pert

y an

d eq

uipm

ent

Re

al

esta

te

Dec

orat

ions

amp

leas

ehol

d im

prov

emen

t

Com

pute

rs

O

ffic

e fu

rnitu

re amp

eq

uipm

ent

M

otor

ve

hicl

es

Tota

l 20

15

USD

USD

USD

USD

USD

USD

Co

st

A

t Jan

uary

1 2

015

224

000

0

508

729

1

229

672

52

686

0

780

26

4

583

287

Add

ition

s

-

594

6

669

-

-

6

615

Dis

posa

ls

-

-

(33

67)

-

-

(3

367

) A

t Dec

embe

r 31

201

5 2

240

000

51

467

5

122

697

4

526

860

78

026

586

535

A

ccum

ulat

ed d

epre

ciat

ion

A

t Jan

uary

1 2

015

249

705

27

967

9

114

597

5

300

311

78

026

205

369

6 D

epre

ciat

ion

for

the

year

67

369

507

65

35

800

512

10

-

20

514

4 D

ispo

sals

-

-

(1

959

)

-

-

(19

59)

At D

ecem

ber 3

1 2

015

317

074

33

044

4

117

981

6

351

521

78

026

225

688

1

N

et b

ook

valu

e

At D

ecem

ber 3

1 2

015

192

292

6

184

231

47

158

175

339

-

2

329

654

Prop

erty

and

equ

ipm

ent i

nclu

de U

SD 1

158

999

of f

ully

dep

reci

ated

ass

ets

that

are

stil

l ope

ratio

nal a

s of

Dec

embe

r 31

201

5

83

14




2016 2015 USD USD







2016 2015 USD USD


84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

84

15




2016 2015 USD USD








13 Accounts payable

2016 2015 USD USD

Trade payable 27054 33800 27054 33800

85

16




303025 184393


2016 2015 USD USD



2016 2015 USD USD







86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

86

17








0037

2016 2015 USD USD


87

18



Nature of

relationship

December 312016

December 31 2015








2016 2015 USD USD



75663

68782



8248

6823

2016 2015



88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

88

19



2016




inputs (Level2)


inputs (Level3)





December 31 2016

955444 - 955444 -


2015




inputs (Level2)


inputs (Level3)





December 31 2015


89

20






10231618 9525075 10231618 9525075







25 Risk Management


90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

90

21






2016


Effect on equity


2015






91

NOT E S

92

NOT E S

92

NOT E S

About the Palestine Exchange (PEX) · 2017-05-09 · 2 τ About the Palestine Exchange (PEX)...

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Transcript of About the Palestine Exchange (PEX) · 2017-05-09 · 2 τ About the Palestine Exchange (PEX)...