Kingdom Holdings’ Chairman Prince Alwaleed ibn Talal held a series of meetings with CEO’s of US-based IT companies. Separate meetings were held with Steve Jobs, chairman and CEO of Apple Computers Inc., Scott McNealy, chairman and CEO of Sun Microsystems, and Rick Braddock, chairman of Priceline.com. Jobs briefed Prince Alwaleed on Apple’s strategic plans adding that the company is doing well. Apple believes music will remain the key consumer interest. Prince Alwaleed has a substantial stake in Apple Computers Inc. At a separate meeting with Scott McNealy, Prince Alwaleed received a first-hand account of how Sun Microsystems was performing. In another meeting with Priceline.com’s chairman, Rick Braddock, the prince discussed the future of Priceline.com. On Sunday, President George H. W. Bush received, Prince Alwaleed in his office in Houston, Texas. Present at the meeting was James Baker, former secretary of state.
ARABIC
The Al Rajhi Banking and Investment Corporation (ARABIC) has been certified to engage in electronic trading services via the Internet. In the process, it has become among the first banks in the Kingdom to offer this type of services. The certification, BS7799, issued by London-based British Standards Institution (BSI) entitles the bank to handle security information relating to all aspects of security information. It is considered to be the first international standard and covers the full range of applications relating to e-commerce. This certificate puts the Al Rajhi Bank in the forefront of the banking sector, especially in electronic trading, as it would boost the customer’s confidence in e-commerce and electronic funds transfer. A press release issued by the bank said the certificate is considered a landmark event for the bank in terms of electronic services. It is also a tribute to the bank’s state-of-the-art technology in the field of e-commerce.
GIB
Fitch Ratings and Moody’s Investor Services have recently upgraded Gulf International Bank’s (GIB) long-term foreign currency ratings. The ratings were upgraded to “A minus” from “BBB plus” by Fitch and to “Baal” from “Baa2” by Moody’s. Fitch has also reaffirmed GIB’s short-term foreign currency rating and individual rating at “F2” and “C” respectively. GIB is a leading Middle Eastern merchant bank with its principal focus in the GCC. The six GCC states own 72.5 percent of the bank, while the Saudi Arabian Monetary Agency and J.P. Morgan Overseas Capital Corporation own 22.2 percent and 5.3 percent respectively. In addition to its main subsidiary, Gulf International Bank (UK) Ltd., the bank has branches in London, New York and Riyadh in addition to representative offices in Beirut and Abu Dhabi. The upgrades reflect the success of the bank’s new GCC-focused merchant banking strategy and the improved environment in which it operates. The implementation of a Gulf merchant banking strategy, which began at the beginning of 2002, has contributed to a strengthening of GIB’s financial position. Growth in fee and treasury-related income has led to an improvement in the quality of earnings.
KIF
With the major exhibition devoted to the reconstruction of Iraq taking place in Kuwait this month, Kuwait is poised to exploit its strategic location as a gateway in to that country. Kuwait International Fair, organizers of Rebuild Iraq 2004, claim more than 1,000 companies from 45 countries are taking part in the event, boosting Kuwait’s claim to provide an ideal staging post for those seeking contracts in every sector, from oil and gas through to education, sanitation, agriculture, medical services, IT, telecoms and hospitality. According to Hannes Yaghi, general manager for Le Meridien in Kuwait, the exhibition will not only provide immediate business, but will also set the scene for continued economic growth in the emirate.
TOSHIBA
Toshiba Corporation, which has increased its sales in Saudi Arabia by 151 percent during the third quarter of 2003 — well over double the overall market growth and narrowing the gap on the market leader to only four percentage points — has announced that its participation in the UN Global Compact Initiative has been acknowledged and accepted by the world body. The company’s participation represents its support for the nine principles of the Global Compact in respect of human, rights, labor rights and the protection of the environment, and a determination to integrate the values of the Global Compact into Toshiba’s strategy, culture and day-to-day operations. UN Secretary-General Kofi Annan proposed the Global Compact and its nine principles in an address to the World Economic Forum at Davos in January 1999. Major companies from around the world have joined the initiative, and Toshiba is the 13th company from Japan to do so. The corporation has long promoted initiatives to assure business practices that meet the highest ethical and legal standards, and that also reflect the concerns contained in the Global Compact’s nine principles.
BRIDGESTONE
Bridgestone Corporation, headquartered in Tokyo, has begun raising the prices of its tire products in Asia, Oceania, the Middle East, Africa and Russia. The prices will be raised by around five percent and the increases vary by product and by market. They pertain to radial and bias tires for passenger cars, light-trucks, trucks and buses that Bridgestone sells under the Bridgestone and Firestone brands, according to a company announcement. Bridgestone is implementing the price increases in stages from last month. The price increases are a measure to compensate for the rising costs of natural rubber and other raw materials. The company claims to be the world’s largest manufacturer of tires and other rubber products. Tires account for 80 percent of Bridgestone Group sales worldwide. The company also manufactures industrial rubber and chemical products, sporting goods, and other diversified products. Its tires and other products are sold in more than 150 countries.
WIPRO
Qatar Petroleum has selected Wipro, one of India’s leading IT services companies, to provide technology-consulting services for its prestigious Ras Abu Aboud Development Project. The duration for the project is estimated to be around 12 months and will involve Wipro consultants working on designing, architecting and testing the solution in Qatar. “This project is very critical to the overall Ras Abu Aboud Development Project and we’re happy to have selected Wipro,” Qatar Petroleum’s Ras Aboud Development Project Manager Nasser A. Kamal said. “Wipro is delighted to be associate with Qatar Petroleum. We’re extremely committed to the Qatar market and look forward to adding value through out technology services to customers in Qatar,” Rajat Mathur, VP, international operations, Wipro Infotech, said. Wipro launched its Middle East operations in early 2001 in Dubai Internet City and since then has expanded its business across the Middle East to include the Kingdom, Qatar, Oman and Kuwait and other Arab Countries.
NESTLE
Nestle, a leading food and beverage company, is commemorating its 70th anniversary in the Middle East with the launch of a “Win your dream” promotion that offers the grand prize of a million riyals and 1,000 commemorative 22K gold coins. The promotion continues up to Feb. 29. “It’s with great pride that George Kordahi, a media personality and presenter of ‘Who Wants to be a Millionaire,’ has joined us in our promotion,” Alexander J. Cantacuzene, CEO, Nestle Middle East, said. “We selected George Kordahi as he represents the same family values that Nestle stands for both globally and regionally.” It is open to all consumers in the Kingdom, Bahrain, Jordan, Kuwait, Lebanon, Oman, Qatar, Syria, the UAE and Yemen. 500 gold coins were awarded in the draws held in the participating countries yesterday and the remaining 500 gold coins will be awarded on March 15 in similar draws. Kordahi will present the grand prize in Dubai on March 30. Promotion participants need to collect Nestle logos (the proof of purchase) from any five Nestle products, excluding infant formula brands, complete the envelope shaped entry form found in participating stores, enclose the proofs of purchase and place the sealed envelope into the promotional Nestle drop box at one of the participating outlets or post it to any of the addresses detailed on the entry form. Consumers must retain the section of the entry form that shows the commemorative Nestle 70-year flag.
HONDA JAZZ
Honda reaffirmed its determination to establish its supremacy in every car segment in the Middle East by introducing the much-awaited Honda Jazz 2004 in Dubai recently. With the small-sized Jazz joining Honda’s formidable automobile heritage, the company is now in a position to offer something for all tastes and budgets. “With the launch of the Jazz, Honda offers the most versatile supermini that is incredibly practical, economical and reliable,” Yukio Honda, GM, Honda Motor Co. Ltd., Middle East Office, said. “Capturing the essence of a small-sized car, the Jazz is truly a novel and engineering masterpiece with clever design and innovative features designed to provide the ultimate driving experience.” Honda Jazz joins a highly contested but important small car market with a fresh new design that is spunky and youthful. It comes in two models - 1.3LS and 1.3ES.
FIRSTGULFBANK
FirstGulfBank, one of UAE’s fastest growing financial institutions, has announced a 50% increase in its net profit, reaching 120.9 million dirhams in 2003 compared to last year’s net profit of 80.6 million dirhams. Abdulhamid Saeed, FGB’s Chief Executive Officer stated: “Our strategic planning and focused execution through three profit centers — corporate, treasury and investment and retail banking has proved successful. This is reflected in our financial results and financial ratios.” Total operating income reached AED 268.5 million — 63% higher than last year. Net interest income reached 175.6 million while other income reached 93 million dirhams compared to last years figures of 113.9 million dirhams and 50.7 million dirhams respectively. The contribution of non-interest income has moved up from 31% in 2002 to 35% in 2003 that is in line with the bank’s strategic direction.
