ISX, Northern Pepsi Bottler hikes trade volume, September 30 2007

Hectic trade in the shares of Northern Beverages, the Pepsi Soda bottler in north of Iraq reigned supreme in the two hour trade session in the ISX on September 30 2007. Brokers with ask and bid orders raced to execute small and large orders.

Like in the previous session the balance tilted in favor of buyers resulting in a 5% hike in price of the share. This is the second 5% rise in price of the stock of a company that has recently more then doubled its paid up capital to ID 25 billion through the issue early 2006 of new 14 billion shares which were offered to old shareholders at ID1 per share. At a close price of 0.95 the subscribers are still 5% in the red, but the stock is expected to rally in next few sessions.

Its first debut price was ID0.85. Lively trade in the stock, 46 tickets, resulted in the exchange of 331 million shares of the stock. So far a total of 750 million shares, or nearly 3% of the company outstanding number of shares exchanged hands. The company has several bottling plants in Kirkuk and Mosul in the north of Iraq. The total market value of the company is now $19 million. This is only 33% of that of its sister company Baghdad Beverages which is valued at nearly $60 million.

Trade in Northern Pepsi shares also revived trade volume in the ISX which for the first time in months has exceeded the psychological barrier of ID1 billion. Northern Pepsi trade, to the tune of ID308 million composed a chunky 30% of overall volume of ID 1022 million. Taking Northern Pepsi aside there was little trade in stocks of manufacturing companies listed in the ISX. In all the shares of ten companies were traded but that trade was confined to one or two transactions per company. Prices remained stable with the normal ID0.05 up or down movement caused by one or two contracts. The minimum unit change in prices in the ISX is 50 Fils or ID 0.05. But with prices on average are around ID1, the unit change represent a 5% change.

	current session	previous session	%change
Market Volume Traded (shares million)	716.52	630.45	13.65
Market Value Traded (ID m)	1022.47	919.54	11.19
Market Capitalization (ID billon)	1936.60	1924.48	0.63
Number of Transaction	220	306	-28.10
Market Value Traded ($m)	0.8180	0.73563	11.19
Market Capitalization ($billon)	1.549	1.54	0.63

The hike in trade on the stocks of Pepsi North was not enough to reverse the traditional domination of banking in the ISX. Trade in banking stocks, ID662 million, made up 65% of overall trade volume. There were 139 contracts struck involving the exchange of 367 million shares. Trade in the shares of Warkaa Bank was the most buoyant. Some 71 million shares were traded in this stock at a steady price of ID1.6 which is 3% lower then previous close price. The bank has 51 billion shares outstanding and has been growing fast since 2003. Among the few banks to make any advance was the Baghdad Bank. The bank with 51 billion shares outstanding and controlled by National Bank of Bahrain closed the trade session at ID 2.6 up from ID2.5. Overall, the banking sector maintained its market value estimated to be equal to $1,146 million.

DISCLAIMER: This document has been compiled and issued by Kubba Consultants, which has obtained the information from sources it believes to be reliable, but Kubba Consultants makes no guarantee as to either its accuracy or completeness and has not carried out an independent verification. Kubba Consultants accepts no responsibility or liability for losses or damages incurred as a result of opinions formed and decisions made based on information presented in this report. This document is not an offer to sell or solicitation to buy any securities. The opinions and estimates expressed herein are those of the issuer.

© Kubba Consultants 2007