q

p

Today's Turnover (LKR mn)

Annual Average Daily Turnover (LKR mn)

Volume (mn)

Annual Average Daily Volume (mn)

Market Capitalization (LKR bn)

Net Foreign Inflow / (Outflow) [LKR mn]

- Foreign Buying (LKR mn)

- Foreign Selling (LKR mn)

YTD Net Foreign Inflow / (Outflow) [LKR bn]

0.6%

4.7%

ASPI

S&P SL 20 Index

- 14.08

+ 6.45

5,677.31

3,229.19

ASPI

Monday, March 11, 2013

865.3

% ChangePoint ChangeToday

13.9

557.0

-0.25 %

0.20 %

2,182.0

YTD Performance

S&P SL 20 Index

38.4

45.0

2.6

173.5

128.5

Level 23, East Tower, World Trade Centre, Colombo 01

Tel: +94 11 727 7000, Fax: +94 11 727 7099

Email: research@equity.softlogic.lk

CSE Diary for 11.03.2013

Colombo bourse displayed a classic range play during

trading where ASI traded in a tight range of 5,683-5,713

points. S&P SL20 journeyed a similar path though ended

marginally positive. The benchmark index dipped 14 points

to close at 5,677.31 while S&P SL20 marked a marginal gain

of 6 points to settle at 3,229.19. The dip in Nestle Lanka (-

2.2%) and the gains in Ceylon Tobacco Company (+1.50%)

was in fact accountable for the consolidated trading

pattern in most part of the day.

The premier blue chip conglomerate John Keells Holdings

contributed heavily to the daily turnover supported by two

off-market blocks transacting 300k shares dealt at prices of

LKR234.5 and LKR235.0. In addition a single midsize block of

48k shares were transacted on- board at a price of

LKR234.50 during the day. The counter is currently

consolidating around its 52-week high and closed at

LKR234.7 (+0.8%).

The banking sector giants made 36% contributions to the

daily turnover backed by Commercial Bank, Hatton

National Bank and National Development Bank. The former

recorded a single off market block carrying 686k shares at a

price of LKR108.0. Hatton National Bank added 306k shares

to the crossing board at LKR155.0. The counter closed with

a marginal dip at LKR155.0. Interest was observed in the

non-voting shares of the company as well. The counter

closed on a negative note at LKR125.7 (-0.2%)

National Development Bank displayed heavy on-board

activity during the day, recording a large single chunk of

100k shares traded at LKR153.0.

Ceylon Tobacco Company continued its rally further today

with a 1.5% gain to close at LKR812.0. However the counter

traded with low volume during the day, recording a

meager turnover level of LKR2.4mn.

Renewed retail participation was seen in penny stocks such

as PC House (+2.5%), Nation Lanka Finance (-3.1%) and

Central Investment and Finance (-6.5%).

Range play in Bourse...

Statistical Look Up

Treasury Bill (%) 08.03.2013

9.11

10.10

11.14

14.00

Inflation (%) Feb-13 9.8

8.6

All Share Price Index q

S&P SL20 Index p

Turnover (LKR mn)

Turnover (USD mn)

Volume (mn shares)

Traded Entities

Market Capitalization (LKR bn)

Foreign Purchases (LKR mn)

Foreign Sales (LKR mn)

Net Foreign Inflow (LKR mn)

Market PER (X)

Market PBV (X)

Market Dividend Yield

SECTOR INDICES

Banks, Finance & Insurance q

Beverage, Food & Tobacco q

Construction & Engineering p

Diversified q

Healthcare q

Hotels & Travels q

Land & Property q

Manufacturing q

Plantation q

Telecom p

587.3 589.7 -0.41% 595.9 -1.44%

780.7 784.4 -0.47% 771.1 1.25%

2,549.1

3,343.9

-1.82%

3,329.8

458.5

-1.49%2,612.4

3 months

6 months

12 months

YoY Change

Annual Avg

AWPLR

Excess Liquidity (LKR 'bn) as at 11.03.2013

Today

-26.87

168.7

2.3

2,573.5

16,222.6

2,720.4

1,845.9

12,782.0

Pre Day

4.35%

167.3 167.70.78%

12,757.6

16,249.9

1,848.3

3,348.6

467.0

-0.56%

2,787.2

1,847.3

-0.05%

-0.17%

0.18%

-0.13%

2,715.6

15,633.3

462.9

749.0

543.0

206.1

Change %

5,691.4

3,222.7

2.4

-0.23% 15.2

Pre Day

Week ending

-2.40%

-28.48%

3.08%

0.85%

0.79%

0.81%

227

2,163.7

5,631.9

3,203.8

19.4

0.84%

0.00%

0.20%

2,182.0

2.4

173.5

-54.11%

-54.11%

-62.61%

-1.27%

4.4

13.9

234

3,229.2

1,213.8

9.6

237

557.0

-0.23%

-76.83%

-76.33%

Today

45.0

2.1

128.5

15.4

5,677.3

2,187.0

37.1

-48.24%

-48.24%

% WoW

ChangeLast Week

1,076.1

8.5

0.19%

3.77%

-0.25%

0.54%

-0.08%

-0.42%

-0.95%

% WoW

ChangeLast Week

0.85%

-80.20%

609.85%

-94.76%

876.4

0.96%

2.1

18.1

858.3

12,788.5

% Change

-0.23%2.1

-78.16%

15.4

5500

5600

5700

5800

5900

Ind

ex

ASPI

314031603180320032203240326032803300

Ind

ex

S&P SL20

0.0

20.0

40.0

60.0

80.0

100.0

120.0

140.0

0

500

1,000

1,500

2,000

2,500

3,000

Vo

lum

e ('m

n)

Turn

ove

r LK

R (

'mn

)

Turnover Volume

Softlogic Equity Research Page | 2.

High Index Calibre ≥ USD350 Mn

Price Gainers Price Losers

Top 05 Performers for the Day

JKH

COMMERCIAL BANK

HNB

NAT. DEV. BANK

C T HOLDINGS

Most Active

4.50 + 0.50 12.50% INFRASTRUCTURE 106.00 - 44.50 -29.57%

-14.45%

-20.88%

-25.00%

-20.94%

15.40

23.00

22.30

+ 0.80

4.10

Today Pre Day

1.50

107.90

3.10

+ 9.40

DISTILLERIES

4,683

18,038

AMANA TAKAFUL 1.50

Company

22,407

42,881

91

BOGALA GRAPHITE

CIT

Company Today

1.5%

ORIENT FINANCE

MALWATTE [X]

951,765

553.84

13.68

3,005 2,425.66

1.4%

Change

111.50

Company% of

Mkt CapVolume

1,066.55

2.50%

2.17%

108.40

-0.06%

1.7%

2.3%

Change

- 0.10

- 18.80

- 14.20

- 22.40

% Change

233.30

151.00

130.00

155.10

ASCOT HOLDINGS

+ 1.20

S M B LEASING [X]

69.30

118.10

1,653.30

108.40

450.00

1,690.00

51,628.25

3,887.67

3.9%

2.2%

1.2%

33,234

212,675

332,933

110,021

4.1%

179.90

57.00

3.4%

173.60

55.30

436.70

3.5%

19.13

1,635.00

109.00

13,211.52

0.97

LOLC

AITKEN SPENCE 120.10

2.4% 30.67

123.44

157.50

17.91

2,013.55

0.14

15.88

428.00

730.00

9.10

JOHN KEELLS HOLDINGS 576,361

SAMPATH BANK

ASIAN HOTELS & PROPERTIES 301,603

1.4%

41

1,221

2,905

9.2%

7.0%CEYLON TOBACCO

CARSON CUMBERBATCH

NESTLE LANKA

SRI LANKA TELECOM

COMMERCIAL BANK [V]

3.9%

3.4%BUKIT DARAH

DIALOG AXIATA

HNB [V]

DFCC BANK

CARGILLS

Turnover

USD ('000)

0.309.21%

Intraday

Low (LKR)

Turnover

LKR ('000)

102,829.54

2,414.48

811.10

188.75

797.00

135,215.28

Intraday

High (LKR)

235.00

104.21

118.00

230.10

120.00

173.00

42.80

9.00

% Change

21,112.73

407.23

23,928.97

1,921.64

19.04

Today

5.48%

Turnover

(LKR)

150.30

15.16

0.11

107.60

55.00

150.00

41.80

4,188.99

71.00

232.10

154.00

42.50

720.00

69.30

53.80

132.60

TodayCompany

150.60

HUEJAY

71.00

33.04

166.53

102,829,541

2,681,426

4.37

SERENDIB HOTELS

MIRAMAR

Pre Day

0.73%233.00 6.2%0.58

Volume (mn)% Change

5.50%

+ 1.30 6.19%

234.70

CompanyContribution to

Total T/O

120.00

0.1%

0.3%

0.89

0.97

0.95

9.20

0.46%107.90

0.33

0.271.99%

0.66

0.00%

0.46%

-6.45%

1.9%

1.2%

4.7%

Contribution to

Total T/O

6,131,308

0.00%

4.00

TEXTURED JERSEY 9.40

155.00

154.00

130.00

CIFL 2.90

COMMERCIAL BANK 108.40

% Change

PC HOUSE

135,215,285

40,970,861

25,121,728

102,829,541

51,628,253

0.82

0.95

0.19

0.2% 3,347,755

1,449,702

4.7%

Volume (mn)

0.1%

Turnover

(LKR)

2.4%

155.00

120.00

726.20

9.10

819.90

Close

234.70

812.00

233.00

Softlogic Equity Research Page | 3.

Currency Board Announcements

Local - Indicative Rate against LKR Dividends

Dollar Ceylon Tea Services PLC

Yuan 0

Euro 0

Rupee 0

Yen 0

Ringgit 0

Rouble 0

Riyal 0

Dollar Rights Issues / Scrip Dividend / Sub division / Capitalization

Franc Company

Baht No Announcements

Pound 0

Dollar 0

Source: www.cbsl.gov.lk

Global Markets

p

p

q

p

p

p

* Time is as at ET Source: www.bloomberg.com

Commodity Markets

Crude Oil (Brent) q

Crude Oil (WTI) q

ICE Cotton #2 q

CBOT Wheat p

COMEX Gold q

COMEX Silver q

COMEX Copper q

* Time is as at ET Source: www.bloomberg.com

Australia

1,576.50 -0.20

METALS

ENERGY

Commodity

23,090.8

Units

0

-19.3

Proportion

00-Jan-00

00-Jan-00

0.00

0.00

0.47%

0.45%

67.6

Russia

Saudi Arabia

Japan

348.20

USD/t oz.

USD/t oz. -0.11

699.00

-2.70

28.84

Index

Dow Jones Industrial Average

S&P 500 Index

EUROPE

EURO STOXX 50 Price EUR

12,349.1

Value

14,397.1

1,551.2

USD/bbl.

USd/lb.

USd/lb.

AMERICA

2.00

6.9

Change

-0.86%-0.75

0

-0.29

Change %

-0.77%

Change %

0.29%

-0.37%

-0.64%

-0.32%

0.53%

0.00%

-0.01%

06:37

05:37

05:37

0-Jan

0-Jan

05:32

05:31

Time*

05:37

05:37

05:37

0.01%

05:38

Company

00-Jan-00

1/0/1900

1/0/1900

6,483.8

Singapore

Switzerland

Thailand

UK

-0.71

-1.1

0

2,709.5

133.22

1/0/1900

1/0/1900

4.26

USA

01:28

0.4

1/0/1900

Change

-0.71%

65.4

03:01

0

Payment DateDPS (LKR) XD Date

189.12

10.00

0.00 0

19-03-2013

126.78

0.0033.81

Malaysia

4.12

129.56

20.39

2.34

1.32

40.72

India

Currency

164.77

Indicative Rate

11.03.2013

China

0

USd/bu.

86.13

Price

110.16

91.67

USD/bbl.

101.41

AGRICULTURE

Hong Kong Hang Seng Index

Nikkei 225

ASIA

FTSE 100 Index

EU

28-03-2013

1/0/1900

1/0/1900

00-Jan-00

Description

0.00

0.00

0 1/0/1900

0

XR Date

00-Jan-00

00-Jan-00

00-Jan-0000-Jan-00

Renunciation

00-Jan-00

0.00

Time*

00-Jan-00

Softlogic Equity Research Page | 4.

Softlogic Equity Research Page | 5 5

CSE Announcements

Merchant Bank of Sri Lanka [MBSL:LKR16.9]: The CSE has approved in principal an application for 10mn unsecured redeemable debentures at LKR100 of the company accounting for LKR2 bn.

Renuka Agri Foods [RAL: LKR4.3] : The company has bought 4.9mn shares of Richlife Diaries (24% stake) for LKR100mn making it now a 100% owned subsidiary.

Material Dealings of Related Parties:

Local News

New motor vehicle registration plunges 24% in 2012: Sri Lanka’s new motor vehicle registrations dipped 24.4 percent Year-on-Year (YoY) to 128, 126 units in 2012 amid higher import duties and slow economic growth. The registration of motor cars saw a steep fall of 45.5 percent YoY to 26, 340 units in 2012 while registration of buses and three wheelers also fell 27.1 percent and 28.6 percent respectively. The registration of motor cycles fell 24.1 percent to 61, 047 units while registration of good transport vehicles fell18.2 percent 2, 471 units. During the early part of 2012, the government imposed new taxes of as much as 100 percent the import value on most of the imported motor vehicles to ease congestion on roads and reduce the oil import bill to avert a balance of payment crisis. According to analysts, the number of new vehicles registrations would have been much less if not for concessionary vehicle permits enjoyed by the country’s public sector officials.

[Source: www.dailymirror.lk]

Sri Lanka CPC owed LKR30.9bn by state airlines: Sri Lanka's state-run Ceylon Petroleum Corporation, to which state-run airlines owe LKR30.9bn and petroleum utility LKR28.3bn will limit credit to state agencies this year, a media report said. State agencies with revenue will have to open their own letters of credit and import fuel. The newspaper said loss-making state-run SriLankan Airlines owed the utility LKR27.4bn, Mihin Air, another loss making state budget carries owed it LKR3.5bn. The Ceylon Electricity Board owed it LKR28.3bn. The CPC also sold the CEB subsidized furnace oil. Minister Yapa said the CPC was paying interest to state banks on loans taken to cover unpaid dues from state agencies. Officials have said that last year CPC paid LKR18bn in interest.

[Source: www.lbo.lk]

Amana Bank chosen as the ‘Best Islamic Bank’ in Sri Lanka: Sri Lanka’s Amana Bank has been chosen as the Best Islamic bank to be operated in the Island during the year 2012, by the Islamic Finance News Awards, conducted by the Malaysian based RedMoney Group. In a statement issued, Amana Bank says, this is the second consecutive time, it has won this title, awarded based on a global poll held in 2012. Established in 2005, this Poll recognizes the best supporting providers to the Islamic financial services industry globally as voted by the readers of Islamic Finance news, a unit of RedMoney. The competition invites, Islamic financial institutions, investors, corporate and government bodies from around the world to cast their votes.

[Source: www.news360.lk]

Company Name Relationship Transaction Quantity Price (LKR) Date

Renuka Holdings [RHL:LKR30.9] Renuka Group Common Directors Sale 381,302 30.9 08.03.13

PC House [PCH:LKR4.1] Mr. S H M Rishan Director Sale 383,645 3.9 06.03.13

PC House [PCH:LKR4.1] PCH Holdings Parent Sale 4,000,000 3.9 07.03.13

Softlogic Equity Research Page | 6 6

Global News

China inflation rate hits 10-month high in February: China's inflation rate hit a 10-month high in February, as Lunar New Year festivities drove up food prices. Consumer prices rose 3.2% from a year earlier, with food prices up by 6%. Inflation has been a hot political issue in China. There have been concerns that if consumer prices rise too much, it may prompt Beijing to tighten monetary policies, which in turn may hurt China's growth. "We expect limited market and policy impact as investors and officials understand the Lunar New Year distortions quite well," Bank of America Merrill Lynch analysts said in a note after the data was released over the weekend. "Though policymakers should be wary of inflation later this year with economic growth recovery, it's too early to call for significant monetary tightening at present," they said.

[Source: www.bbc.co.uk]

EU Chiefs Seeking to Stave Off Euro Crisis Turn to Cyprus: European leaders grappling with political deadlock in Italy and spiraling unemployment in France will turn to a financial rescue for Cyprus in an effort to stave off a return of market turmoil over the debt crisis. European Union leaders will meet for a March 14-15 summit in Brussels to discuss terms for Cyprus, including the island nation’s debt sustainability and possibly imposing losses on depositors. That comes as Italy struggles to form a government after an inconclusive Feb. 24-25 election and as concern over the French economy mounts with unemployment at a 13-year high. “We haven’t turned the corner yet, but we’re on a good path,” German Finance Minister Wolfgang Schaeuble told Austria’s Der Standard newspaper in a March 8 interview. “It would be wrong at this point to change course.”

[Source: www.bloomberg.com]

Softlogic Equity Research Page | 7 7

Softlogic Equity Research

Dimantha Mathew dimantha.mathew@equity.softlogic.lk +94 11 7277030 Kavindu Ranasinghe kavindu.ranasinghe@equity.softlogic.lk +94 11 7277031 Imalka Hettiarachchi imalka.hettiarachchi@equity.softlogic.lk +94 11 7277032

Softlogic Equity Sales

Branches

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Dihan Dedigama dihan.dedigama@equity.softlogic.lk +94 11 7277010, +94 77 7689933 Chandima Kariyawasam chandima.kariyawasam@equity.softlogic.lk +94 11 7277058, +94 77 7885778 Shafraz Basheer shafraz.basheer@equity.softlogic.lk +94 11 7277054, +94 77 2333233 Sonali Abayasekera sonali.abayasekera@equity.softlogic.lk +94 11 7277059, +94 77 7736059 Thanuja De Silva thanuja.desilva@equity.softlogic.lk +94 11 7277053, +94 77 3120018

The report has been prepared by Softlogic Stockbrokers (Pvt) Ltd. The information and opinions contained herein has been compiled or arrived at based upon information obtained from sources believed to be reliable and in good faith. Such information has not been independently verified and no guaranty, representation or warranty, express or implied is made as to its accuracy, completeness or correctness. All such information and opinions are subject to change without notice. This document is for information purposes only, descriptions of any company or companies or their securities mentioned herein are not intended to be complete and this document is not, and should not be construed as, an offer, or solicitation of an offer, to buy or sell any securities or other financial instruments. Softlogic Stockbrokers (Pvt) Ltd may, to the extent permissible by applicable law or regulation, use the above material, conclusions, research or analysis in which they are based before the materialized disseminated to their customers. Not all customers will receive the material at the same time. Softlogic Stockbrokers, their respective directors, officers, representatives, employees, related persons and/or Softlogic Stockbrokers, may have a long or short position in any of the securities or other financial instruments mentioned or issuers described herein at any time and may make a purchase and/or sale, or offer to make a purchase and/or sale of any such securities or other financial instruments from time to time in the open market or otherwise, in each case either as principal or agent. Softlogic Stockbrokers may make markets in securities or other financial instruments described in this publication, in securities of issuers described here in or in securities underlying or related to such securities. Softlogic Stockbrokers (Pvt) Ltd may have recently underwritten the securities of an issuer mentioned herein. This document may not be reproduced, distributed, or published for any purposes.