Weekly Review. Outlook. Pakistan Weekly Update StockSmart. AKD Equity Research / Pakistan. 20 April AKD Research. Index & Volume Chart

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1 AKD Equity Research / Pakistan AKD Research research@akdsecurities.net Indices KSE-100 KSE-30 This w eek 45,259 22,309 Last w eek 46,072 23,031 Change -1.76% -3.13% Indices KMI-30 Allshare This w eek 76,958 32,748 Last w eek 78,677 33,097 Change -2.18% -1.05% Mkt Cap. PkRbn US$bn This w eek 9, Last w eek 9, Change -1.19% -1.19% Avg. Daily Turnover ('mn shares) This w eek Last w eek Change % Top- 5 V olume Le a de rs S ymbol V olume (mn) EPCL : LOTCHEM : UNITY : KEL : FCCL : (share mn) Apr-17 Sep-17 Volume (LHS) KSE-100 Index (Index) 53,000 51,000 49,000 47,000 45,000 43,000 41,000 39,000 37,000 35,000 33,000 Source: PSX & AKD Research Weekly Review Sentiments dampened during the outgoing week, with benchmark KSE-100 closing at 45, points (-1.76%WoW) as investors factored in heightening political noise along with seesawing budgetary expectations as the incumbent govt s tenure ends in May 18. Average daily traded volumes shrunk by 37.30%WoW to mn shares with 1) EPCL (51.64mn shares), 2) LOTCHEM (46.39mn shares), 3) UNITY (45.08mn shares), 4) KEL (43.09mn shares) and 5) FCCL (37.66mn shares) leading the board. Key news flows impacting the market during the week included: 1) current account deficit widening to US$12.03bn (up 51%YoY) for 9MFY18 reflecting mounting pressure of trade deficit, 2) expected announcement of an agriculture package in the upcoming budget with relief in taxes (on imported machinery) and a hefty subsidy to support the farmers including removal of sales taxes on tractor (from 5% currently), while the Punjab gov t increased subsidy on DAP from PkR150/bag to PkR300/bag, 3) Ghandhara Nissan signing an agreement with Renault for import of heavy commercial vehicles primarily for test & trial purposes, 4) federal government borrowing PkR34bn through auction of PIBs where many institutions were previously reluctant to lock in rates at the prevailing historic low levels, and 5) foreign exchange reserves falling to US$17.55bn (-0.53%WoW), where SBP reserves decreased by US$58.7mn ending at US$11.38bn. Performance leaders during the week were: 1) BAFL (+4.2%WoW), 2) APL (+3.17%WoW), 3) EFERT (+2.17%WoW), 4) INDU (+1.7%WoW) and 5) KAPCO (+1.1% WoW); while laggards included: 1) FFBL (-10.56%WoW), 2), DGKC (-8.38%WoW), 3) OGDC (- 6.57%WoW), 4) HBL (-5.61%WoW) and 5) FCCL (-5.4%WoW). Foreigners continued to offload their holding with majority of the selling coming from OGDC s share placement deal (~54mn shares) at PkR164/sh. Cumulative outflow was recorded at US$41.79mn during the week vs. inflow of US$17.45mn last week. (Shrs'000) 200, , , , , ,000 80,000 60,000 40,000 20,000 Index & Volume Chart - 45,682 Source: PSX & AKD Research Outlook 45,802 45,479 45,388 45, Apr 17-Apr 18-Apr 19-Apr 20-Apr Ready Volume (LHS) KSE100 Index (RHS) (Index) 45,900 45,800 45,700 45,600 45,500 45,400 45,300 45,200 45,100 45,000 44,900 Universe Gainers & Losers 6.0% 4.0% 2.0% 0.0% -2.0% -4.0% -6.0% -8.0% -10.0% -12.0% Anticipation of budgetary measures will likely drive the market in the upcoming week, where GoP is scheduled to present the federal budget on Apr Additionally, E&Ps could garner `investors attention as intl. oil prices hit their 4yr high-watermark. Moreover, investors will keep a close eye on result announcement by large cap. companies including PSO, EN- GRO, PPL, OGDC, KAPCO, HUBC, MCB, FFC, FATIMA, INDU & PSMC in the next week. BAFL APL EFERT INDU KAPCO FCCL HBL OGDC DGKC FFBL Important disclosures Important disclosures including investment banking relationships and analyst certification at end of this report. AKD Securities does and seeks to do business with companies covered in its research reports. As a result, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of the report. Investors should consider this report as only a single factor in making their investment decision. AKD Securities TREC Holder & Registered Broker Pakistan Stock Exchange REP-108 Find AKD research on Bloomberg (AKDS<GO>), firstcall.com and Reuters Knowledge Copyright 2018 AKD Securities Limited. All rights reserved. The information provided on this document is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to law or regulation or which would subject AKD Securities or its affiliates to any registration requirement within such jurisdiction or country. Neither the information, nor any opinion contained in this document constitutes a solicitation or offer by AKD Securities or its affiliates to buy or sell any securities or provide any investment advice or service. AKD Securities does not warrant the accuracy of the information provided herein.

2 Apr 20, ,550 45,500 45,450 45,400 45,350 45,300 45,250 45,200 45,150 45,100 Apr 19, ,539 45,462 45,385 45,308 45,231 45,154 45,077 45,000 Apr 18, ,100 46,000 45,900 45,800 45,700 45,600 45,500 45,400 45,300 9:29 9:58 10:26 10:54 11:23 11:51 12:19 12:47 13:15 13:43 14:12 14:40 15:08 15:37 16:05 Apr 17, ,939 45,862 45,785 45,708 45,631 45,554 45,477 45,400 9:29 9:53 10:17 10:41 11:04 11:28 11:51 12:15 12:39 13:02 13:26 13:50 14:13 14:37 15:01 15:25 9:29 9:54 10:19 10:44 11:09 11:34 11:58 12:23 12:48 13:13 13:38 14:03 14:27 14:52 15:17 9:29 9:54 10:19 10:44 11:09 11:34 11:59 12:24 12:48 13:13 13:38 14:03 14:28 14:53 15:18 9:29 9:54 10:19 10:44 11:09 11:34 11:59 12:23 12:48 13:13 13:38 14:03 14:28 14:52 15:17 Apr 16, ,193 46,116 46,039 45,962 45,885 45,808 45,731 45,654 45,577 45,500 Source: PSX & AKD Research This Week s Daily Reports EFOODS: 1QCY18F Result Preview, (AKD Daily, Apr 20, 2018) Previewing 1QCY18F earnings for EFOODS, we expect the company to post earnings of PkR161mn (EPS: PkR0.21), down 52%YoY. The earnings decline is likely to be a factor of lower revenues (anticipated to go down 9%YoY) as volumes are expected to continue suffering. The company has lost market share while Punjab Food Authority s campaign against substandard packaged milk/tea whiteners has further inhibited growth in this regard. While clear efforts w.r.t reimaging of Tarang are being made, we feel the impact on top-line should be more visible later in the year. Margins for 1QCY18F are expected to remain lower on YoY basis, however we expect seasonality to come into play, improving margins sequentially (+360bps QoQ to 16.5%). With budget FY19 to be announced by month end, the incoming budgetary proposal particularly with regards to increase in RD on imported milk powder can be a potential negative for dairy manufacturers. With 1QCY18F earnings expected to remain subpar, we believe price performance can likely suffer in case no major fundamental development comes through. KAPCO: 3QFY18F Result Preview, (AKD Daily, Apr 19, 2018) In its 3QFY18 meeting on Apr 24 18, we expect KAPCO s BoD to announce its interim (3QFY18) profitability of PkR2.63bn (EPS: PkR2.99), up by 1.8ppts over 3QFY17. Aggregate earnings for 9MFY18 are estimated to clock at PkR7.03bn (EPS: PkR7.99), higher by 4.0% YoY. Despite the plant operating at 57% load factor, gross profitability is anticipated to tread higher to PkR3.51bn as shifting fuel mix (RLNG at ~89% this quarter) coupled with devaluation of PkR (~5% in Dec 18) would bring gross margins at 17.76% vs % previously. Other operating income would largely be in the company s favor (+22.5%YoY) with widening differential between payables and receivables. Additionally, finance cost is expected to hover around ~PkR1bn as we believe a temporary cash injection by the GoP towards the end of the period would have been insignificant in reducing the burden of short term borrowings. Our TP of PkR63.85/sh provides a capital upside of 7.14%, while the stock offers an impressive FY18E/19F D/Y of 15.5/15.1%. HUBC: 3QFY18F Result Preview, (AKD Daily, Apr 19, 2018) HUBC is estimated to post a net profit of PkR2.39bn (EPS: PkR2.07) in 3QFY18 vs. PkR2.56bn (EPS: PkR2.21) in 3QFY17. Profitability is expected to shrink (down 6.3%YoY) as we estimate the company to have resorted to higher repair and maintenance expenditure on its boilers and engines during the review period to prepare for peak load period, effectively nullifying the positive impact of PkR devaluation. To note, load factor for the base plant remained at just 26% while that of Narowal plant was likely at 66%. Additionally, finance cost is expected to go up by 19.8%YoY to PkR1.22bn on the back of short term financing requirements (to keep up with the required fuel availability) and previous mark ups. Tax expense due to income from other subsidiaries is further expected to drag earnings down to post an aggregate net profit of PkR7.69bn (EPS: PkR6.64) for the 9MFY18 period. Along with the results, we expect company to declare an interim dividend of PkR3/sh despite having commitments for upcoming projects. We currently have a buy stance on the company with a TP of PkR142.7/sh (37.7% upside), while its D/Y for FY18E/19F stands at 7.23% each. OMCs: 1QCY18 Retail Operations Update, (AKD Daily, Apr 18, 2018) Transportations sector demand continues to remain firmly in the driver seat for OMC volumes, as power sector demand takes the long spiral down (secular, gradual decline in FO sales, where we expect FY19-21F sales declining at CAGR of 21%). Throughput calculations suggest an uptrend in retail volumes moved, where the industry's average quarterly volume sales per outlet stood at 828.6K ltrs/outlet (+18%QoQ/+10%YoY). Daily average throughput per retail output clocked at 9,207ltrs/day where 10.3%YoY climb drives home the growth of supply chain and storage to buttress growing retail POL volumes. HASCOL/APL/SHEL/PSO added 10/6/5/13 outlets QoQ, where PSO seems to have completed the consolidation phase initiated by current management in CY16 and is enacting a retail-led penetration tactic. Prominence of transport demand makes retail level data increasingly germane to outlooks, forecasts and stance on the sector at large. Moreover, aspects of operations such as 2

3 This Week s Daily Reports outlet additions, average sales throughput underpin an OMC s strategy, supporting CAPEX plans, fuel availability, and market share movements (in a post-fsa world). Pakistan Economy: Growth remains on track, (AKD Daily, Apr 17, 2018) Based on provisional PBS data for 8MFY18, the GoP expects GDP growth for FY18E to settle at 5.8%YoY crossing the 11 year high-watermark for growth vs 5.4%YoY (revised upwards) in FY17A. Key catalysts for growth remain ongoing implementation of early harvest infrastructure projects under the ambit of CPEC, net energy supply growth (net generated units up 11.3%YoY for 8MFY18), and sustained credit uptick (8MFY18 private sector credit stock grew 9.9% since Jun 17, adding PkR391.3bn offtake during the period increasing 8.3%YoY). Ancillary support factors including contained law and order situation aided by heightened confidence allowed broad based economic growth momentum with all three constituents on an upward trajectory (services/industrial/ agriculture up 6.4%/5.8%/3.8%YoY). Consequently, nominal GDP is projected to stand at PkR34.4trn, up by 7.6%YoY (vs PkR32.0trn in FY17), reflecting per capita income of PkR180k. For FY19F, we expect GDP growth to remain ~5.8%YoY (vs. GoP target of 6.2%YoY) lifted by multipliers emanating from transport, power and value-add manufacturing/agriculture growth; likely spillovers from CPEC, associated investments. Even so, persistent downward pressures remain major blemishes, from looming external pressures, an inflation-prone backdrop with the economy being highly vulnerable to event risk. Pakistan Banks_1QCY18 Result Previews (AKD Daily, Apr 16, 2018) Commencing this week, the AKD Banking Universe is scheduled to declare its 1QCY18F results; first up being UBL (Apr 18'18). We expect the B-6 banks to post combined NPAT of PkR21.2bn, down 12%YoY. Significant decline in NFI is likely to be a key factor leading to earnings decline where lower capital gains utilization during the quarter (expected to go down by 67%YoY) is the key culprit. Asset quality pressures (particularly for MCB and UBL) further inhibited growth with provisions during the quarter rising to PkR3.0bn vs. reversal of PkR832mn in 1QCY17. On the positive side however, we see expenses to come down by 2% YoY/3%QoQ, coming off from high base. That said, earnings deviation could come through should the banks choose to book the revised pension related obligation this quarter. With 1QCY18F earnings expectations remaining unexciting, we feel May 18 MPS will be an important checkpoint for the sector, determining the course of future rate hikes. 3

4 Apr-17 Sep-17 Apr-17 AKD Securities Limited Regional Valuations (2018) EPS Growth PE(x) Pakistan 15% 8.69 Indonesia 10% Malaysia 12% Philippines 7% Vitenam 13% India 19% China 14% % ROE Divd Yld Pakistan 15.8% 6.02 Indonesia Malaysia Philippines Vitenam India China Source: Bloomberg & AKD Universe PkR/US$ Trend TRJ-CRB Index Source: Bloomberg Source: Bloomberg Major World Indices Performance Country Bloomberg Code WoW CYTD Pakistan KSE100 Index 45,259 46, % 11.8% Srilanka CSEALL Index 6,541 6, % 2.7% Thailand SET Index 1,801 1, % 2.7% Indonesia JCI Index 6,338 6, % -0.3% Malaysia FBMKLCI Index 1,888 1, % 5.1% Philippines PCOMP Index 7,727 7, % -9.7% Vietnam VNINDEX Index 1,120 1, % 13.8% Hong Kong HSI Index 30,418 30, % 1.7% Singapore FSSTI Index 3,573 3, % 5.0% Brazil IBX Index 35,198 34, % 11.3% Russia RTSSTD Index 14,749 14, % 7.9% India SENSEX Index 34,416 34, % 1.1% S&P SPX Index 2,670 2, % -0.1% DJIA INDU Index 24,460 24, % -1.0% UK UKX Index 7,368 7, % -4.2% Germany DAX Index 12,541 12, % -2.9% Qatar DSM Index 9,197 8, % 7.9% Abu Dhabi ADSMI Index 4,707 4, % 7.0% Dubai DFMGI Index 3,082 3, % -8.5% Kuwait KWSEIDX Index 6,633 6, % 3.5% Oman MSM30 Index 4,760 4, % -5.7% Saudi Arabia SASEIDX Index 8,277 7, % 14.5% MSCI EM MXEF Index 1,184 1, % 2.2% MSCI FM MXFM Index % 1.6% International Major Currencies Commodities Source: Bloomberg SPOT Chg +/- WoW CYTD Dollar Index % -1.96% USD/PkR % 4.67% USD/JPY % -4.49% EUR/USD % 2.30% GBP/USD % 3.86% AUD/USD % -1.84% NZD/USD % 1.49% CHF/USD % 0.06% CAD/USD % 1.40% USD/KRW 1,067 1, % -0.33% CNY/USD % -3.23% Source: Bloomberg SPOT Units WoW CYTD TRJ-CRB Points % 4.04% Nymex (WTI) US$/bbl % 13.08% ICE Brent US$/bbl % 10.31% N. Gas Henry Hub US$/Mmbtu % % Cotton USd/Pound % 2.34% Gold US$/Tr.Oz % 2.59% Sliver US$/Tr.Oz % 1.37% Copper US$/MT % -3.68% Platinum US$/Oz % -0.31% Coal US$/MT % -0.42% Source: Bloomberg 4

5 Apr-17 Apr-17 Sep-17 Sep-17 AKD Securities Limited Chart Bank Earnings Yield vs. T-Bill (12M) Differential (%) Advance to Decline Ratio Apr-17 Sep-17 Apr-17 FIPI Flows for the week LIPI Flows for the week (US$'000) 5,000 - (5,000) (314) (3,146) M.Funds, (10,000) (15,000) (20,000) Ind., (25,000) (30,000) (35,000) Bank/DFI, 3.20 Others, 5.83 (40,000) (45,000) (39,454) (5.00) Co., (3.14) NBFC, (0.31) Ins, (2.12) Prop. Trading, (1.48) AKD Universe vs. KSE-100 Index KSE-100 vs. MSCI-EM & MSCI-FM 8% 3% -2% -7% 40% 30% 20% KSE100 MSCI FM MSCI EM -12% -17% -22% -27% -32% 10% 0% -10% -20% -30% KSE-All Share Index AKD Universe 5

6 Market PER Chart 2018 (x) Jul-07 Apr-08 Feb-09 Dec-09 Oct-10 Aug-11 Jun-12 Apr-13 Feb-14 Dec-14 Oct-15 Aug-16 Source: AKD Research Market P/BVS Chart 2018 (x) Jul-07 Apr-08 Feb-09 Dec-09 Oct-10 Aug-11 Jun-12 Apr-13 Feb-14 Dec-14 Oct-15 Aug-16 Source: AKD Research 6

7 AKD Universe Active Coverage Cluster s Valuations Stock Symbol Price TP Stance EPS(PkR) PE(x) PB(x) DY(%) (PkR) (PkR) 17 18F 19F 17 18F 19F 17 18F 19F 17 18F 19F Automobile and Parts Indus Motors INDU 1, , Accumulate Pak Suzuki Motors PSMC Buy Cements DG Khan Cement DGKC Buy Lucky Cement LUCK Buy Maple Leaf Cement Factory MLCF Buy Fauji Cement Company Ltd. FCCL Buy Pioneer Cement Limited PIOC Buy Cherat Cement Co Limited CHCC Accumulate Gharibwal Cement Ltd GWLC Buy Engineering Amreli Steels Ltd. ASTL Buy Fertilizers Engro Corporation ENGRO Accumulate Engro Fertilizers Limited EFERT Accumulate Fauji Fert. Bin Qasim Ltd. FFBL Accumulate Fauji Fertilizer Company FFC Neutral Fatima Fertilizer FATIMA Buy Food Producers Engro Foods Limited EFOODS Reduce Oil & Gas Oil & Gas Development Co. OGDC Accumulate Pak Oilfields POL Neutral Pakistan Petroleum PPL Accumulate Hascol Petroleum HASCOL Accumulate Attock Petroleum APL Accumulate Pakistan State Oil PSO Buy Power Hub Power Co. HUBC Buy K-Electric Co. KEL 6.87 UT UT UT UT UT UT UT UT UT UT UT UT UT UT Kot Addu Power Company KAPCO Accumulate Fixed Line Telecommunication Pakistan Telecommunication PTC UT UT UT UT UT UT UT UT UT UT UT UT UT UT Personal Goods Nishat Mills NML Accumulate Nishat Chunian Ltd. NCL Buy Banks Allied Bank Limited ABL Neutral Bank AlFalah BAFL Reduce Habib Bank Limited HBL Buy MCB Bank Limited MCB Accumulate National Bank of Pakistan NBP Buy United Bank Ltd UBL Buy UR Under Review Source: AKD Research 7

8 AKD Universe Coverage Cluster s Performance S toc ks S ymbol P ric e Absolute P e rforma nc e (%) 1 Y e a r 1 Y e a r Apr- 18 1M 3M 6M 12 M CY TD High Low KS E Inde x 4 5, , , Automobile a nd P a rts Indus Motors INDU Pak Suzuki Motors PSMC Ce me nts DG Khan Cement DGKC Lucky Cement LUCK Maple Leaf Cement Factory MLCF Fauji Cement Company Ltd. FCCL Pioneer Cement Limited PIOC Cherat Cement Limited CHCC Gharibwal Cement Limited GWLC Engine e ring Amreli Steel Ltd ASTL Fe rtilize rs Dawood Hercules DAWH Engro Fertilizers Ltd. EFERT Engro Chemical ENGRO Fatima Fertilizer FATIMA Fauji Fert. Bin Qasim Ltd. FFBL Fauji Fertilizer Company FFC Food P roduc e rs Engro Foods Limited EFOODS Oil & Ga s Oil & Gas Development Co. OGDC Pak Oilfields POL Pakistan Petroleum Ltd. PPL Pakistan State Oil PSO Attock Petroleum Ltd. APL Hascol Petroleum HASCOL P owe r Hub Power Co. HUBC K- Electric Limited KEL Kot Addu Power Company KAPCO Fixe d Line Te le c ommunic a tion Pakistan Telecommunication PTC P e rsona l Goods Nisaht (Chunian) Ltd. NCL Nishat Mills NML Ba nks Allied Bank Limited ABL Bank AlFalah BAFL Habib Bank Limited HBL MCB Bank Limited MCB National Bank of Pakistan NBP United Bank Ltd UBL Source: PSX & AKD Research 8

9 Economic Snapshot End Month Data Units Sep-17 T-bill 3M % M % n.a n.a 12M % n.a n.a PIB 10Y % n.a n.a n.a n.a n.a KIBOR 6M % Discount rate % Policy rate % Inflation Headline inflation % Core inflation % Food inflation % 2.4 (0.10) External Indicators Export (PBS) US$ (mn) 1,912 1,631 1,866 1,675 1,888 1,974 1,977 1,971 1,902 Import (PBS) US$ (mn) 4,534 4,835 4,952 4,473 4,929 4,898 4,910 5,607 4,797 Trade Deficit (PBS) US$ (mn) (2,622) (3,204) (3,086) (2,798) (3,041) (2,924) (2,933) (3,636) -2,895 Export (SBP) 1,865 1,828 2,104 2,194 2,380 2,546 2,464 2,111 n.a Import (SBP) 5,054 4,720 4,262 4,712 5,258 5,346 5, n.a Trade Deficit (SBP) (3,189) (2,892) (2,158) (2,518) (2,878) (2,800) (2,676) (2,763) n.a Home Remittances US$ (mn) 1,840 1,542 1,955 1,294 1,654 1,577 1,724 1,639 1,450 Current Account US$ (mn) (1,431) (2,051) (550) (1,097) (1,315) (1,441) (1,256) -1,617 n.a Banking Sector Deposits PkR (bn) 11,981 11,702 11,651 11,980 11,777 11,969 12,362 12,002 11,933 Advances PkR (bn) 6,176 6,028 6,035 6,137 6,151 6,280 6,530 6,556 6,629 Investments PkR (bn) 8,166 7,989 8,145 8,338 8,342 8,475 8,542 7,637 8,127 W. A. lending rate % n.a W. A. deposit rate % n.a Spread rate % n.a Public Finance Tax collection PkR (mn) 511, , , , , , ,472 n.a n.a Direct taxes PkR (mn) 247, , , , , , ,736 n.a n.a Indirect Taxes PkR (mn) 264, , , , , , ,736 n.a n.a Currency Fx Reserves US$ (mn) 21,402 20,223 20,401 19,775 19,584 18,774 20,154 18,957 18,413 USDPkR - Interbank PkR/USD Source: SBP, PBS & AKD Research 9

10 Analyst Certification We, the AKD Research Team, hereby individually & jointly certify that the views expressed in this research report accurately reflect our personal views about the subject securities and issuers. We also certify that no part of our compensation was, is,or will be, directly or indirectly, related to the specific recommendations or views expressed in this research report. We further certify that we do not have any beneficial holding of the specific securities that we have recommendations on in this report. AKD Research Team Analyst Tel no. Coverage Umer Pervez (693) Executive Director Research & Business Development Zoya Ahmed (603) Banks, Telecoms & Consumers Haris Imtiaz (639) Economy Ali Asghar Poonawala (646) OMCs & Automobiles Waqas Imdad Ali (634) Cements & Fertilizer M.Daniyal Kanani (602) Oil & Gas & Power Umer Farooq (637) Textiles & Steel Bilal Ahsan Elahi (685) Automobiles Qasim Anwar (680) Technical Analysis Nasir Khan (639) Research Production Tariq Mehmood (643) Library Operations DISCLOSURES & DISCLAIMERS This publication/communication or any portion hereof may not be reprinted, sold or redistributed without the written consent of AKD Securities Limited. AKD Securities Limited has produced this report for private circulation to professional and institutional clients only. The information, opinions and estimates herein are not directed at, or intended for distribution to or use by, any person or entity in any jurisdiction where doing so would be contrary to law or regulation or which would subject AKD Securities Limited to any additional registration or licensing requirement within such jurisdiction. The information and statistical data herein have been obtained from sources we believe to be reliable and complied by our research department in good faith. Such information has not been independently verified and we make no representation or warranty as to its accuracy, completeness or correctness. Any opinions or estimates herein reflect the judgment of AKD Securities Limited at the date of this publication/ communication and are subject to change at any time without notice. This report is not a solicitation or any offer to buy or sell any of the securities mentioned herein. 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