In the two weeks since our last report, the MSE Index has gained 1.54%.

Last Tuesday the index touched its lowest point for the year to date at 3,757.52, a level last seen in the first week of September 2005. In the three days between Tuesday and Friday, the index, which closed the week at 3,823.902, gained 1.8%. These percentages are relevant when compared to the month-by-month performances this year, when June, with its 1.13% gain, was the only month to end in positive territory. July had the sharpest monthly drop, losing 7.2%.

Exclusive reference to the performance of the index alone does nothing to highlight the exceptional performance for the year to date of Maltapost plc (MTP) with a gain of 50%, Fimbank plc (FIM) with a 39% gain (in US$ terms), and Grand Harbour Marina plc (GHM) with a 32% gain. Although the latter two closed the week at all-time highs, MTP is currently 22.5% off its all-time high of €0.968 reached on March 25, following its January initial public offering. Two other positive performances are Simonds Farsons Cisk plc (SFC) and Plaza Centres plc (PZC) with respective year to date gains of 10.5% and 9%.

Out of the 18 equities listed, only 11 traded last week. Yet only one, Bank of Valletta plc (BOV), was active every day. Fittingly, it was the week's best performer, up 3.6% to €4.30 on comparatively healthy turnover. FIM, the week's second best performer, was up 2.9%, clocking the week's highest turnover value at €236,108, mainly on the back of its positive interim results. RS2 Software plc (RS2) was the third and final positive performer up 1.2% to a record high of €0.83. There were only two negatives this week, Crimsonwing plc (CW) and HSBC Bank Malta plc (HSB), the former down a resounding 5.7%, while the latter saw a more reserved 1.2% drop.

All other equities however, were totally flat with the index eking out a 0.434% gain to 3,823.902.

BOV enjoyed a positive week. It opened a cent higher than its last close at €4.16 on very thin trade of just 1,410 shares, inching up to €4.18 on Tuesday. It leapt ahead on Wednesday, climbing a full 10c to €4.28 after hitting an intra-day high of €4.30 on strong turnover of over 40,000 shares.

It managed to close the week at the €4.30 level, to register the week's best performance, up 3.6%. BoV was fairly active with 53,755 shares traded for a turnover value of €229,666. At the end of trading, the best bid was for 5,000 shares at €4.271, with supply of 4,150 shares at €4.30.

HSB started the week on a slow note, shedding 3c to €3.12, then slumping a massive 11c7 (3.75%) to €3.003 on Tuesday - on just two deals for 7,060 shares. After a mid-week lull around the €3.01 mark, it recovered somewhat by Friday to close the day and the week at €3.112. This was not enough for HSB to close in positive territory, as it ended 1.2% down. Total turnover was just under 29,000 shares for a market value of €88,159. At Friday's close, bids for 1,000 shares started at €3.05, with offers for 340 shares at €3.112.

International Hotel Investments plc held on to its €1.05 price tag on the three days it traded - Tuesday, Wednesday and Friday. Turnover totalled 35,235 shares for a value of €36,997.

GO plc (GO) only traded on two days - Tuesday and Friday - closing unchanged at €2.35 on a turnover of 9,760 shares for a value of €22,946. At the close of Friday's session, the price was supported by a bid for 376 shares while offers for 5,000 shares were at €2.40.

Malta International Airport plc (MIA) started the week at €3.039 - a new 2008 low - but was back to its previous close of €3.04 for the rest of the week, to close flat. Turnover was poor at just 4,215 shares for a value of €12,813. At the end of the session, best bids for 1,000 shares were at €3.01, with offers for 1,885 shares at €3.04.

Lombard Bank plc advanced an inconsequential €0.001 to €2.90 on a 345-share trade on Monday, but fell back to €2.899 to close the week totally flat.

FIM was static at $1.886 on Monday and Tuesday on very thin trade. It burst into action on Friday after the company released its interim results for the six months to June 30 during trading hours. The price remained flat for a large part of Friday's session but climbed steadily over the last five trades, rising from $1.89 to $1.94, to close the week 2.9% ahead. Turnover for the day was a robust 183,174 shares for a value of €233,287.

The group's published results show an increase in profits after tax of an astounding 588% - up from US$3.46 million to US$23.81 million. This explains the explosive 400% increase in the basic earnings per share from US$4c01 to US$20c02. This gargantuan gain was the result of the disposal of FIM's shareholding in Global Trade Finance Ltd, which yielded a profit on disposal of US$29.2 million. Net operating income, including this one-off transaction, grew by 287% from US$12.2 million to US$47.3 million, whereas total operating expenses increased by 57%. The board considered the extraordinary nature of the gain made from the disposal of Global Trade Finance Ltd, and resolved to pay an extraordinary dividend of US$3c290924 per share by means of a scrip issue to shareholders on the books as at September 5, 2008, i.e., those who will have bought shares by September 2. This dividend can either be paid in cash or by the issue of new shares. The board resolved that the attribution price for calculating the scrip dividend entitlement be established at US$1.60, which is approximately a 15% discount to the trade-weighted average price of the company's equity securities for the past quarter.

PZC was unusually busy with all 54,717 shares exchanged on Friday. Trading started at €1.71, but the day's final and largest deal for 51,317 shares was effected at €1.70, closing the week unchanged.

CW was initially stable at €0.53 but gave up a cent by the end of Monday, falling back to €0.50 on Wednesday, the last day it traded - to end the week a heavy 5.7% lower - undoubtedly the week's worst performer.

RS2, on the other hand, had a positive week. It started out a cent lower at €0.81 but advanced to €0.83 by Wednesday, ending the week at this price, for a 1.2% gain. A neat 44,000 shares were swapped for a value of €36,388.

MTP did not rock the boat, stable at €0.75 for the three days it traded, with 6,199 shares changing hands for a value of €4,649.

Global Capital plc, 6PM plc and Datatrak plc did not trade this week. All three issued company announcements in relation to the board meetings set to consider and approve the interim financial statements as at June 30: 6PM and DTK are to meet on Tuesday, GCL will meet on Thursday.

In the Government Bond market, turnover by value amounted to €22.8 million with 72 deals struck in 16 stocks. In the corporate bond market, there were 31 deals for a total turnover value of €494,304. Turnover value in the Treasury Bill market totalled €3.03 million.

This report was provided by J.G.P. Bonello, managing director of Financial Planning Services Limited, of Marina Court, G. Cali Street, Ta' Xbiex, which is licensed by the MFSA to provide investment services, including stockbroking (IS/3608). The company is involved in acting as sponsoring stockbroker and corporate stockbroker. The directors or related parties, including the company and their clients, are likely to have an interest in securities mentioned. E-mail: info@bonellofinancial.com or 2134 4243.