Cyprus Stock Exchange: Review Of Developments For May 2005

On the last trading session of May 2005, the General Price Index of the Main and Parallel Market reached 1.202,04 points, representing a relative decrease of 0,71 %. The value of shares traded also exhibited a decrease of 8,22 % compared to the previous month.

It is worth mentioning however, that the highest level the index reached for the month was 1.222,03 points. The other Market Indices reached the following levels: Main Market reached 1.209,58 , Parallel Market 1.010,89 , Alternative Market 995,37 , Investment Companies 999,11 points. On a sectoral level, sub-indices reached the following levels: Banking sector 1.232,40 , Hotels 974,67 , FTSE/CySE20 403,27 and finally the FTSE Med 100 reached 7.678,08 points.

The market capitalisation of shares (excluding Investment Companies Market) reached £2,45 billion. According to this month’s results, the Main Market accounted for 36,56 % of the total market capitalisation, the Parallel Market 2,70 %, the Alternative Market 8,77 %, the Investment Companies Market 2,30 % and the Bond Market 49,52 %. Moreover the total market capitalisation, including the Investment Companies Market, Warrants and the Bond Market reached £5,099 billion compared to £5,023 billion the previous month, registering an increase of 1,52 %.

The total value of transactions during the month in review reached £6,49 million, with an average of £324,70 thousand per trading session. The Financials sector contributed 56,02% to the total value traded, which was the highest, whereas the Government Bonds sector had the lowest contribution with 0,78% . Investors primarily focused their interest on the shares of “ Bank Of Cyprus Public Company Ltd ” and “ Cyprus Popular Bank Public Company Ltd ” with 24,66 % and 12,54 % respectively.

Listed Companies news

On the 4th of May 2005, the CSE Council decided to transfer the titles of the company “Isxis Investments Public Ltd” to the “Special Trading Category” since the Company failed to release its final audited results for the year ended 31/12/2004, pursuant to Paragraph 21(1) Part III Appendix F (Regulation 81(1) of the CSE Regulations). The titles of the above company started trading in the category on Thursday, May 5, 2005. This decision was taken within the framework of the CSE Council's policy for companies that fall under the criteria of the special trading category (announced on 25/7/2004) in relation to the delay on behalf of the issuers to issue their annual report and accounts. The following companies: “Suphire Holdings Public Ltd”, “Cyprus Airways Ltd”, “Transoccer Holdings Ltd” and “Worldmax Investment Company Ltd”, which have not issued their annual report and accounts for the year ended December 31, 2004 until the 4th of May 2005 remained in the “Special Trading Category”.

On the 5th of May 2005, the company “Royal Highgate Ltd” changed its name to “Royal Highgate Public Company Ltd”.

On the 5th of May 6.00% Government Bonds 4th Series 2015 - Maturity 2015 with a date of issue on 20/4/2005 of total value £34,755,500, which have resulted from an auction held on April 18, 2005, started trading.

On the 5th of May 2005, 6.10% Government Bonds 1st Series 2005 - Maturity 2020 with a date of issue on 20/4/2005 of total value £50,000,000, which have resulted from an auction held on April 18, 2005, started trading.

On the 5th of May 2005, 5.75% Government Bonds 1st Series 2005 - Maturity 2010 with a date of issue on 20/4/2005 of total value £45,164,200, which have resulted from an auction held on April 18, 2005, started trading.

On the 5th of May 2005, 5.00% Government Bonds 3rd Series 2005 - Maturity 2007 with a date of issue on 20/4/2005 of total value £12,485,900, which have resulted from an auction held on April 18, 2005, started trading.

On the 5th of May 2005 52-week Treasury Bills (20/4/2005 - 19/4/2006) of total value £20,000,000, which have resulted from an auction held on April 18, 2005, started trading.

On the 10th of May 2005, the CSE Council decided to transfer the titles of “Palinex Trading Public Ltd” to the “Special Trading Category” since the company’s auditors did not expressed their opinion on the financial statements for the year ended December 31, 2004 due to the seriousness of certain issues. This decision was taken within the framework of the CSE Council's policy for companies that fall under the criteria of the category, announced on 25/7/2003 and in relation to the inability on behalf of the auditors to express their opinion on the financial statements for the year ended December 31, 2004.

On the 13th of May 2005, 555 new bonds (2011) of the “Hellenic Bank Ltd” of nominal value £100 each, which have resulted from the reinvestment of interest paid for the period 1/01/05 - 31/03/05, started trading.

On the 13th May 2005, 7,000,000 ordinary shares of nominal value £0.20 of “Liberty Life Insurance Public Ltd”, which have been issued to strategic investors, started trading.

On the 17th of May 2005, the CSE Council announced that the company “Marketrends Financial Services Ltd” has changed its name to “MFS Holdings Public Company Ltd”. That change became effective on Monday, May 23, 2005.

On the 20th of May 2005, the CSE Council in agreement with the SEC decided to suspend the trading of titles of “Chris Cash & Carry Public Ltd” on the above date, pursuant to Article 29(1) of the CSE Law, to protect the investing public after the Company's request to be granted time in order to inform its shareholders about the Public Offer by “Guedo Holdings Ltd” for the acquisition of a maximum 100% and a minimum 75% of the issued capital of “Chris Cash & Carry Public Ltd”. The titles of the company started trading on May 23, 2005.

On the 25th of May 2005, the CSE announced that “Confine Investments Ltd” has changed its name to “Confine Investments Public Ltd”. That change has been effective since Tuesday, May 31, 2005.

Listed Companies’ Business Plans & Presentations

On the 12th of May 2005, listed company “K. Athienitis Contractors Developers Public Ltd” (Parallel Market) presented in the CSE seminar room, its business strategic plan to the media, institutional private investors and other interested parties.

On the 19th of May 2005, listed company “SFS Group Public Company Ltd” (Main Market) presented in the CSE seminar room, its business strategic plan to the media, institutional private investors and other interested parties.

On the 26th of May 2005, listed company “Universal Bank Public Ltd” (Parallel Market) presented in the CSE seminar room, its business strategic plan to the media, institutional private investors and other interested parties.

Semi-Annual Review of Indices

(i) Regional Index FTSE MED 100

On the 17th May 2005, the representatives of the Athens Stock Exchange, the Tel-Aviv Stock Exchange, the Cyprus Stock Exchange and the FTSE Group, met at the premises of the Cyprus Stock Exchange, for the third meeting of the Advisory Committee on the FTSE-Med 100 Index. The FTSE - Med 100 Index which was launched on the 19/6/2003, is composed of 100 stocks of the three Exchanges, some of which are also listed on US and other European securities markets. The Advisory Committee of the index consists of representatives from the three Exchanges and from the Global Index provider “FTSE Group”. During this meeting, the committee reviewed the operation of the index for the six-month period between November 2004 - April 2005, in accordance with the Ground Rules, which are based on international standards. It was commonly agreed that during the period of operation of the FTSE Med 100 Index, the index achieved the basic aim of strengthening the cooperation between the three Exchanges in the region, offering at the same time a useful tool to the investors in the three countries and internationally, to assess trends and developments in these markets. Having applied the Index Ground Rules Scitex Corporation Ltd, a stock listed on the Tel-Aviv Stock Exchange will be added to the index for the next semester (until November 2005) and Elbisco Holding S.A., a stock listed on the Athens Exchange, will be deleted. The Index is now composed of 48 stocks listed on the Tel-Aviv Exchange, 47 stocks listed on the Athens Stock Exchange and 5 stocks listed on the Cyprus Stock Exchange. The report covering analytical data and past performance of the FTSE Med 100 Index will be available on the web-site of FTSE www.ftse.com, two weeks after the meeting of the Advisory Committee.

(ii) FTSE / CySE 20 Index

On the 16th of May 2005, the CSE Council announced the new composition of the FTSE/CySE20 Index, pursuant to the evaluation carried out on Monday, 16, 2005 by the FTSE/CySE20 Advisory Committee with the participation of a representative of FTSE International. The Advisory Committee has reviewed the operation of the index for the six-month period between October 2, 2004 and March 31, 2005. It is noted that the index consists of 20 selected titles of the CSE, which comprise a representative sample of the Cyprus stock market. Following the review, it has been decided that the composition of the FTSE index for the next six months will be as follows: Bank of Cyprus Public Company Ltd (1.00), 2. Cyprus Popular Bank Public Company Ltd (0.75), 3. Hellenic Bank Ltd (0.75), 4. Louis Public Co Ltd (0.40), 5. Vision International People Public Company Ltd (0.40), 6. Muskita Aluminium Industries Ltd (0.40), 7. Pandora Investment Public Ltd (0.40), 8. A.Tsokkos Hotels Ltd (0.40), 9. Lanitis Bros Public Ltd (0.40), 10. Cyprus Trading Corporation Ltd (0.75), 11. Petrolina (Holdings) Public Ltd (0.40), 12. A. Zorpas & Sons Public Ltd (0.40), 13. SFS Group Public Company Ltd (0.75), 14.F.W.Woolworth & Co ( Cyprus ) Ltd (0.75), 15. Orfanides Public Co Ltd (0.40), 16. Multichoice ( Cyprus ) Public Company Ltd (0.40), 17. Libra Holidays Group Public Ltd (0.50), 18. KEO Public Ltd (0.40), 19. Leptos Calypso Hotels Public Ltd (0.50), 20. D.H. Cyprotels Public Ltd (0.50). The figures in brackets are the adjusted free floats. The Advisory Committee has also decided to adopt the proposal concerning the introduction of the Reserve List, which contains the next five selectable and larger in capitalization shares that were not included in the index during the date of its evaluation. The reserve list is: Logicom Public Ltd (0.50), Alkis H. Hadjikyriacos (Frou Frou Biscuits) Ltd (0.40), Options Cassoulides Public Company Ltd (0.50), Atlantic Insurance Co. Ltd (0.40), Global Consolidator Ltd (0.40).

Members News

CSE Events

On the 16th of May 2005, the CSE informed the listed companies that the CSE would organise two seminars on June 2005 regarding the following issues: The first seminar will be on the 8th of June 2005, and refers to “The Revised (IAS) Standards and Financial Instruments (IAS 32/39)” and the second seminar will be on the 9th of June 2005, and refers “International Financial Reporting Standards (IFRSs) and IFRICs”. Further information regarding the seminars outline and application form are available through the CSE web-site
(www.cse.com.cy).

In accordance with a relevant decision which has been taken on 25th of May 2005 by the Annual General Meeting of the Federation of European Securities Exchanges - FESE in Brussels, Mr. Nondas Cl. Metaxas, the Director General - CEO of the Cyprus Stock Exchange has been nominated and unanimously elected by the General Meeting of this Federation, as a member of the Budget and Audit Committee of the Federation.

Based on the suggestion, which had been submitted to the General Meeting by the relevant Committee of FESE, the nomination had been made on the basis of seniority and trust in the personal integrity of the persons referred to, and not on the basis of any geographical or political criteria. The Committee consists of three members and the other two members come from the London Stock Exchange and the Irish Stock Exchange.

(The Annual General Meeting of the Federation of European Securities Exchanges - FESE has unanimously elected Cyprus Stock Exchange's (CSE) Director General Nondas Cl. Metaxas as a member of the Budget and Audit Committee of the Federation. According to a CSE press release, the decision to elect Mr. Nondas Cl. Metaxas was taken on the May 25th, 2005, during the FESE's General Meeting in Brussels ).

From the May 2005, the Cyprus Stock Exchange publishes a monthly file, in the CSE website (www.cse.com.cy) in the section Announcements/Appointments and Resignations, the appointment, information regarding the resignations of the members of the Board of Directors of listed companies at CSE.

Companies’ Business Plan Presentations

On the 6th of April 2005, the Cyprus Stock Exchange announced that the corporate presentations plan for 2005 has been prepared. The plan is attached below:

The presentations will be given to the institutional private investors and other interested parties. It is noted that the presentation of business plans by the listed companies is deemed necessary due the new competitive environment after the Cyprus accession in the EU, which demands the adoption of competitive models of development and viability by the listed companies, which will be based on a feasible and dynamic strategic plan.

The presentations will be held at the CSE seminar room and will start at 3:00 pm.