SRI LANKA - COLOMBO SHARES UP BY 0.48% HOTELS SHARES MOVED UP

                                   DAILY MARKET REVIEW

05/03/2010 - Colombo Share Market was up today on back of retailers buying on to selected hotel sector company shares. Hotel sector index was up by 3.78 % second only to Trading sector index, which was up by 4.2 % on thin volumes.

Hotel sector index movement during the day

ASI was up by 18.32 points to close at 3824.17 & Milanka price index was up by 25.40 to close at 4387.63.

Turnover for the day was Rs 1.0 b.n.

Foreigners purchased shares to the value of Rs 92 m.n. & sold shares to the value of Rs 171 m.n. resulting a net foreign out flow of Rs 79 m.n. 

There were 108 positive contributors as against 55 negative contributors.

   TOP FIVE GAINERS FOR THE DAY                          TOP FIVE LOSERS FOR THE DAY

    LARGE VOLUMES FOR THE DAY

   CROSSINGS FOR THE DAY

ANNUAL REPORTS FOR THE YEAR ENDED 31/12/2009

CLOSER LOOK

• Prices of hotel sector shares appreciated  today on back improved tourists arrivals to the country.

• We believe that this sector will benefit mostly  from the post war scenario in the country & in the long run investors can reap above average returns by investing in shares in hotel sector companies.

• THE KANDY HOTELS COMPANY (KHC)
• 
  
• OWNERS OF QUEENS HOTEL & HOTEL SUISSE - KANDY ) 

•  Has reported improved profits for the nine months ended 31/12/09. Nine months reported profit was Rs 2,696 as against Rs (3,319) reported in Year 2008, an improvement of 181% YOY. 
• The last quarter reported profit was (Dec quarter) Rs 1,382 as against Rs (1,699) reported in year 2008.
• Net Asset value of the share was Rs 255.49 as at 31/12/2009.

• Top Five share holders as at 31/12/2009

• 1 Ceylon Hotels Corporation PLC -- 12,628,350  -- 76.54

• 2 Morgan Grenfell & Co. Ltd A/c 02  --  1,541,000  --    9.34

• 3 Cyril Gardiner Limited  -- 232,000  -- 1.41

• 4 HSBC Intl. Nom. Ltd - UBS Ag Singapore Branch (EX S B C ) --  209,000   --  1.27

• 5 Mercantile Fortunes (Private) Limited  -- 134,400  --  0.81

 LAST QUARTER PERFORMANCE OF THE COMPANY SHARE PRICE

• The share has a strong support level at around Rs 100 levels.
• Highest traded price in its history was Rs 283.00
• The company has a issued share capital of 16,500,000.
• Apart from the 20 largest share holders others are held only 5.13% or 846 ,500 shares.
• Queens hotel is located in historical Kandy city, right in front of the temple of tooth relic of lord buddha, gives an additional value to the company.
• Queens hotel Kandy property has been identified as one of  the finest properties in Kandy.
• We believe that the KHC has a hidden value & advise to have the share in your investment basket  to reap long term benefits.
• Last traded price was Rs 114.75 on 05/03/2010.

                                                                                                                source - www.cse.lk,annual report khc