MediaCorp (c) *Nairobi Stock Exchange – Authorised Information Vendor Faida Investment Bank - Licensed Agent* *Global Overview* Finally, we get to debut Africa/Kenya on this main segment of our global analysis albeit for reasons we might not be very proud of. Mr Stuart Fletcher, President of Diageo's international business, told investors at the Dresdner Kleinwort Beverages Conference that *Africa is the main driver to Diageo's overall beer performance and is now its largest beer market, over twice the size of Ireland and Great Britain.* There it is. We drink the most, we must be proud of it and we must buy EABL shares at least for this reason. Diageo holds the controlling stake [51%] of EABL. But there is a second reason why you would wish to monitor this counter closely. Kenya is currently the breeding ground for Diageo as they attempt a second venture into the soft drinks market with Alvaro after mixed success with Malta. Angela Mwirigi (Innovations Manager) at EABL describes it as their *first real foray into the soft drinks market with an ambitious goal of grabbing at least 5% of the market* before we travel 'home' for Christmas in 2008. Armed with a modest budget of USD 3 million, EABL is about to grab its spot in the Global Markets hall of fame as the demand for Alvaro has outstripped supply by over 300% (at least from their projections). If successful, Diageo plans to market these Pineapple and Pear flavoured drinks globally. Interesting twist here…they are avoiding common flavours such as orange and strawberry and we find this rather clever. So, next time you order for yourself or a friend a Tusker, Pilsner, White Cap, Smirnoff, Johnnie Walker, Captain Morgan, Baileys, J&B, Guinness or Alvaro better do it as a shareholder in this blue chip that is expected to be one of the best performers for 2008. Incidentally, EABL reported a 22% increase in first half profit to 6.45 billion shillings, ($94.85 million), boosted by sales in its main Kenyan market. Kenya accounted for 66% of the booze sold in East Africa including Mauritius. Hep Hep Hooray!! In summary, Wall Street stocks fell on Friday to round out the worst week in three months as worries about high oil prices hammered energy-sensitive sectors and left investors on edge about inflation at the onset of a holiday weekend. The blue chip Dow Jones industrial average .DJI closed down nearly 146 points, or 1.1 percent. Prices of U.S. government bonds rose as investors shifted out of stocks, while the dollar fell and oil climbed above $131 a barrel. *Local Highlights* 1. *KCB Rights* register closure date is on 4th June 2008. Issue opens and commencement in trading in Rights at the NSE on 23rd June 2008. Announcement of Rights Issues results will be on 15th August 2008 and the listing and commencement of trading of new shares will be on 1st September 2008. 2. *Sameer* Managing Director Eric Kimani has issued a profit warning informing the general public of an anticipated major/significant fall in profit this year citing difficult times experienced and the escalating price of oil and synthetic based tyre building inputs in the world markets. 3. *CFC Bank* has announced Kshs 258 million profits for the Quarter ending 31st March 2008. Profit attributable to shareholders is at Kshs 222 million and earnings per share of KShs 1.43 4. *Pan Africa Insurance Holdings* has announced the resignations of John Burbridge with effect from 21st may 2008 and the board has appointed Mr. Norman Kelly in his place. 5. *East Africa** Cables* Managing Director – Mugo Kibati – has announced he will be resigning from his position at EAC at the end of June 2008. 6. *Diamond Trust Group* has announced un-audited results for the period ended 31st March 2008. Profit after tax 201 million and Earnings per share (basic and diluted) at Kshs 1.14. 7. *Car & General* has announced financial results for the half year ending March 2008. Profit before tax grew to Kshs 110 million from Kshs 69 million for the same period last year. Earning per share (basic and diluted) Kshs 3.50. 8. *Standard Chartered Bank* results – Profit after tax and exceptional items – Kshs 902 million. 9. *Sasini *results for the first half year ended 31st March 2008 shows a loss after tax of Kshs 20.47 million. The loss is attributed to unfavourable weather in the tea growing areas combined with post election violence which saw a 30% drop in production. Coffee was profitable following satisfactory prices at the auctions. Sasini has also ventured into Coffee house business with the opening of *Savanna Coffee Lounge at Sasini House*and a second outlet at National Museums of Kenya. The board did not recommend the payment of an interim dividend. 10. *Eveready* saw an 18% reduction is revenues for the first 6 months of the year whilst profit before tax was Kshs 11 million down 91% compared to the same period last year. *[For full analysis of all listed stocks – look out for MediaCorp Stock Detective Report – June/July 2008]* *NSE highlights* Inflation is beckoning. Week 22 saw turnover declined to KSh.1.2bn from KSh.1.7bn posted the previous week, the number of shares traded stood at 32M against 38M the previous week. The NSE 20 share index was down -0.40% or 20.59 points during the week to settle at 5149.96. The NSE All share index (NASI) edged up 0.57 points during the week to stand at 106.97. Agricultural Sector This sector traded 326,000 shares, which accounted for 1.01% of the week's traded volume. Sasini was the most heavily traded counter in this sector, with 245,000 shares changing hands at between shs.13.80 and shs.16.00. Kakuzi down 12.16% to shs.32.50 moved 4,000 shares. Commercial and Services Sector Commercials had 7M shares traded, which accounted for 23.24% of the week's traded volume. CMC Holdings actively moved 3.7M shares during the week and closed at shs.18.70. AccessKenya moved 2.7M shares at between shs.32.00 and shs.34.00. Nation Media Group down 5.71% to shs.330.00 moved 33,000 shares. Financial Sector Financials had 14M shares traded and represented 43.40% of the week's volume. KCB was the week's biggest mover with 6.7M shares changing hands at between shs.29.75 and shs.33.25. Equity Bank up ten shillings to shs.270.00 moved 463,000 shares. Industrial and Allied Sector This sector had 10M shares, which accounted for 32.02% of the week's volume. Eveready (EA) slid to shs.4.00 on a volume of 556,000 shares, down from shs.5.15 posted the previous week. Mumias Sugar moved 5.2M shares at between shs.12.00 and shs.12.95. KenGen moved 2.5M shares during the week and closed at shs.25.25. ALTERNATIVE INVESTMENT MARKET SEGMENT (AIMS) Unchanged at shs.85.00, Williamson Tea moved 28,000 shares. * * * * *Price Movement This Week* * * * * * * * * * * * * * * *16th May* *19th May* *20th May* *21st May* *23rd May* *24th May* *Price Change * *Price Change * *Shares Traded Last Week* *Total Shares Issued* *Agricultural* *Code* * * * * * * * * * * * * * * * * * * * * *Unilever Tea* *UNLV* 56.00 55.50 55.50 55.50 -0.50 -0.89% 3,100 48,875,000 *Kakuzi* *KAKZ* 37.00 34.75 35.00 32.50 -4.50 -12.16% 4,066 19,599,999 *Rea Vipingo* *RVPL* 19.15 19.95 20.00 20.00 19.00 19.00 -0.15 -0.78% 74,421 60,000,000 *Sasini* *STCL* 15.50 15.25 15.55 15.05 14.50 14.20 -1.30 -8.39% 245,300 228,055,500 * * * * *Commercial & Services* * * *Access Kenya Group* *AKGL* 32.75 32.50 32.50 32.50 32.75 32.75 0.00 0.00% 2,743,463 199,885,578 *Car & Gen* *CAGR* 50.00 50.00 50.00 50.00 50.00 50.00 0.00 0.00% 50,252 22,279,616 *CMC* *CMCH* 17.95 17.85 17.75 18.00 18.80 18.70 0.75 4.18% 3,792,882 582,709,440 *Hutchings Biemer* *HUBM* 20.25 20.25 0.00 0.00% - 360,000 *Kenya Airways Ltd* *KAIR* 47.50 48.00 47.50 46.50 45.25 45.00 -2.50 -5.26% 503,895 461,615,484 *Marshalls*** *MSHL* 39.75 39.75 0.00 0.00% - 14,393,106 *Nation Media Group.* *NATN* 350.00 333.00 331.00 325.00 330.00 330.00 -20.00 -5.71% 33,275 71,305,260 *Scangroup Ltd* *SCGP* 31.50 31.25 31.25 31.25 31.25 31.75 0.25 0.79% 255,444 160,000,000 *Standard Group Ltd * *STDG* 53.00 51.00 52.50 54.50 53.00 53.00 0.00 0.00% 21,432 73,275,029 *TPS Eastern Africa (Serena) Ltd* *TPEA* 68.50 67.50 68.50 69.50 71.50 72.00 3.50 5.11% 86,310 105,864,742 *Uchumi Supermarkets* *UCHM* 14.50 14.50 0.00 0.00% 180,000,000 * * * * *Financial* * * *Barclays Bank* *BARC* 73.00 72.50 73.00 72.50 72.50 72.00 -1.00 -1.37% 932,817 1,357,884,000 *CFC Bank* *CFCB* 116.00 116.00 112.00 118.00 116.00 118.00 2.00 1.72% 106,868 273,684,211 *Diamond Trust* *DTBK* 96.00 95.00 94.00 92.50 96.00 96.00 0.00 0.00% 457,338 163,037,108 *Equity Bank Ltd* *EQTY* 260.00 259.00 262.00 269.00 273.00 270.00 10.00 3.85% 463,565 362,209,905 *Housing Finance* *HFCK* 29.75 30.00 30.25 30.25 29.75 29.75 0.00 0.00% 400,021 115,000,000 *Centum Limited* *CENT* 26.25 26.50 26.75 26.50 27.00 27.00 0.75 2.86% 1,329,110 549,951,880 *Jubilee Holdings Ltd* *JBLH* 198.00 197.00 194.00 196.00 191.00 -7.00 -3.54% 17,800 45,000,000 *K.C.B Bank* *KCBL* 30.00 30.25 30.25 30.25 30.50 31.00 1.00 3.33% 6,706,873 1,996,000,000 *Kenya** Re* *KERE* 15.70 15.60 15.75 15.65 15.80 15.85 0.15 0.96% 2,134,548 600,000,000 *National Bank* *NBKL* 55.00 57.00 55.00 55.50 56.00 56.00 1.00 1.82% 445,018 200,000,000 *National Industrial Credit* *NICB* 60.00 61.00 61.50 62.00 62.00 62.50 2.50 4.17% 657,553 296,692,383 *Pan Africa Insurance Holdings Ltd* *PAIH* 80.00 73.50 73.00 78.00 75.00 72.50 -7.50 -9.38% 25,200 48,000,000 *Standard Chartered Bank* *SCBL* 210.00 210.00 210.00 210.00 211.00 211.00 1.00 0.48% 302,595 271,967,810 * * * * *Industrial & Allied* * * *Athi River Mining Ltd* *ARML* 96.00 97.00 97.50 98.00 98.50 98.00 2.00 2.08% 125,640 94,000,000 *BOC (K)* *BOCK* 160.00 160.00 0.00 0.00% - 19,525,446 *Bamburi* *BMBR* 190.00 193.00 188.00 189.00 189.00 -1.00 -0.53% 270,000 362,959,275 *British American Tobacco* *BATK* 160.00 159.00 159.00 160.00 160.00 160.00 0.00 0.00% 77,235 100,000,000 *Carbacid* *CARB* 137.00 137.00 0.00 0.00% - 11,326,755 *Crown Berger * *CRBG* 43.25 43.00 43.00 44.75 45.00 44.75 1.50 3.47% 14,340 23,727,000 *E.A.Cables* *EACL* 42.75 42.50 42.75 42.00 41.50 41.00 -1.75 -4.09% 359,920 202,500,000 *E.A.Portland* *EAPC* 109.00 110.00 110.00 110.00 110.00 1.00 0.92% 4,900 90,000,000 *E.A.Breweries* *EABL* 179.00 179.00 179.00 179.00 181.00 180.00 1.00 0.56% 467,979 790,774,356 *Eveready East Africa Ltd* *EEAL* 5.15 5.00 4.80 4.65 4.20 4.00 -1.15 -22.33% 556,433 210,000,000 *Kenol* *KOCL* 92.50 93.00 92.50 92.50 92.50 92.50 0.00 0.00% 25,020 147,176,120 *K.Pow.& L.* *KPLC* 206.00 201.00 203.00 204.00 205.00 207.00 1.00 0.49% 119,509 79,128,000 *KenGen* *KEGN* 24.75 24.75 24.75 25.00 25.00 25.25 0.50 2.04% 2,514,862 2,198,361,456 *Mumias* *MSCL* 12.20 12.25 12.20 12.15 12.15 12.15 -0.05 -0.41% 5,282,997 1,530,000,000 *Olympia** Capital Holdings* *OCHL* 13.60 13.10 13.00 13.50 13.05 13.10 -0.50 -3.68% 100,750 40,000,000 *Sameer Africa Ltd* *SAMR* 11.05 11.00 10.90 10.60 10.95 10.95 -0.10 -0.90% 97,021 278,342,393 *Total* *TOTL* 34.00 34.25 34.25 34.00 33.50 33.50 -0.50 -1.47% 250,180 175,064,706 *Unga* *UNGA* 14.25 14.20 13.85 14.20 14.40 13.85 -0.40 -2.81% 46,850 63,090,728 * * * * *Alternative Investment Market Sector (AIMS)* *A.Baumann* *ABCL* 11.10 11.10 0.00 0.00% - 3,840,066 *City Trust * *CITL* 150.00 150.00 150.00 150.00 0.00 0.00% 2,400 5,207,558 *Eaagads* *EAGD* 37.00 37.00 37.00 0.00 0.00% 200 8,039,250 *Express * *EXPK* 20.50 20.00 20.50 20.50 21.00 21.00 0.50 2.44% 64,872 35,403,790 *Williamson Tea* *WTKL* 85.00 85.00 85.00 0.00 0.00% 28,100 8,756,320 *Kapchorua* *KTCL* 76.00 78.00 2.00 2.63% - 3,912,000 *K.Orchads* *KEOL* 3.00 3.00 0.00 0.00% 10,000 12,868,124 *Limuru Tea* *LTCL* 338.00 338.00 0.00 0.00% - 600,000 Bildad Kagai MD - MediaCorp Limited Nairobi Stock Exchange Authorised Information Vendor Suite B2, Tetu Apartments, State House Avenue S1°18.166 E36°49.797 P. O. Box 20311 - 00200 Nairobi, Kenya Tel. 254 20 272 8332 Fax. Rendered Obsolete www.mediacorp.co.ke