Director Directives

The Amman Stock Exchange continued to witness profit taking activity, while some investors began to build new positions. Approximately 15.8 million shares, worth JD38.7 million, changed hands during the week, as the AMI retracted 3.4% and the ASMI slipped 5.46%.

The Arab Bank (ARBK) ranked first in terms of trading volume, however, the stock declined 2.92% to JD333. On the other hand, the Jordan Kuwait Bank (JOKB)'s new shares were listed at the ASE on Sunday, March 14th, with an open price of JD8.40. Thin volumes allowed the stock to drop 4.76% to JD8.

Jordanian Electric Power (JOEP) managed to end the week unchanged at JD3.40 despite active trading. Meanwhile, despite Arab East Investment (AEIV)'s board of directors proposing a 10% cash and a 20% stock dividend, AEIV slid significantly to end the week at JD2.69.

Arab Potash (APOT) announced that in 2003 net income retracted by 15% to reach JD13 million, although its sales had picked up 9%, totaling JD154.5 million. The company attributed the decline in its bottom line to extraordinary losses. Only 16,000 of APOT's shares were exchanged during trading, which caused the stock to drop 2.75% to JD4.25.

In the meantime, Middle East Pharmaceutical Industries (MPHA) enjoyed healthy activity with more than 0.5 million shares changing hands, though the stock could not sustain its price level shedding 7% to JD1.25. Jordan Cement Factories (JOCM) followed suit with a slight drop of 0.64% to JD6.20. JOCM invited its shareholders to its annual general meeting on 8 April 2004. Middle East Complex for Eng. Electronics & Heavy Ind. (MECE) faced extensive demand, but pressure gave way causing the stock to fall to JD1.42.

The Jordan Securities Commission (JSC) announced on Tuesday the issuance of the new 'Directives of Disclosure, Auditing and Accounting Standards'. These regulations, which were implemented on 1 March 2004, will replace those set in 1998. The new directives intend to improve trading transactions while concentrating on prohibiting several insider parties form using companies' internal information for their own benefit.