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1. BH24 Reporter
HARARE – First Mutual Hold-
ings Limited (FML) posted an
overall profit of $132 000 for
the year ended December 31,
2015, shifting from a loss
position of $5,1 million in
the prior comparable period.
Group CEO Mr Douglas Hoto
attributed the improved
performance to a number of
factors including “increased
revenue mainly in the health
and reinsurance businesses,
efficient claims manage-
ment and cost containment
strategies, including the
staff rationalisation exercise
carried out in 2014,” he said
in a statement accompanying
the results.
The group’s Gross Premiums
Written (GPW) rose 1 percent
to $116,1 million, from the
prior year figure of $115,3
million.
During the period under
review, rental income
decreased by 3 percent
from $7,5 million in 2014 to
$7,3 million, a development
management attributed to
current challenges faced by
tenants as well as the result-
ant decline in occupancy
levels and rentals per square
metre.
The average rental per
square metre decreased from
$7,86 in 2014 to $7,58 last
year.
FML incurred investment
losses of $4,7 million last
year compared to investment
losses of $3,8 million in
2014 in line with the down-
ward movement in the stock
market.
According to the CEO, the
group’s investment property
was independently re-val-
ued by the end of last year
resulting in fair value losses
of $6,6 million.
The group’s total assets
declined by 2 percent from
$213,3 million at December
2014 to $209, million by
year-end.
Management attributed the
dip to the fair value loss on
investment property of $6,6
News Update as @ 1530 hours, Thursday 24 March 2016
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First Mutual returns to the black
Mr Douglas Hoto

2. million, fair value losses of
$7,3 million on the listed
equity investments port-
folio and the $2,6 million
impairment of the investment
in Rainbow Tourism Group
(RTG).
Meanwhile, Mr Hoto con-
firmed that the group sold
its shareholding in African
Actuarial Consultants Private
Limited at the beginning of
this year.
“The Group disposed of its
entire shareholding in Afri-
can Actuarial Consultants
Private Limited to Frankmash
Enterprises (Private) Limited
effective 1 January 2016.
“AAC will maintain the same
brand name and will continue
to provide comprehensive
actuarial services to the
First Mutual Group and other
clients with no disruption
to services expected during
the transition period and
beyond,” he said.
The sell-off Of AAC is part
of FML’s broader strategy
to focus on “core business”,
which will alos see the dis-
posal of the group’s share-
holding in RTG.
The board did not declare a
dividend for the FY2015.●
2 news
Zim 2016 tobacco exports yield $223m
BH24 Reporter
HARARE -Zimbabwe has so
far exported 35, 5 million
kilogrammes worth $223 4
million of Virginia tobacco dur-
ing this current first quarter,
latest figures from the Tobacco
Industry Marketing Board
(TIMB) show.
The average export price is
$6, 28 per kg The country’s
tobacco exports so far exceeds
the 32, 7 million kg at $6,61
per to the value of $216, 3
million realised during the
parallel period last year.
Zimbabwe’s golden is currently
being was purchased by 34
countries across the world.
The figures show that China
is still the leading buyer of
Zimbabwean tobacco after it
has so far imported 20,3mil-
lion kg worth $164,7 million
at $8,12 per kg. During the
same period last year, China
had imported 19 million kg
of tobacco valued at $167
million.
South African is on the second
position being the highest
African country importer of
Zimbabwean tobacco importing
4,8 million kg of tobacco worth
$14,8 million at average price
of $3,09 per kg.
Belgium has been overtaken
by South Africa being on the
third position biggest buyer
importing 1,8 million kg worth
$9,7 million at $5,14 per
kg. Indonesia is on the forth
position having taken up a
total 1,7million kg of tobacco
worth $9,8 million at $5, 68
per kg.●

3. BH243

4. BH244

5. By Funny Hudzerema
HARARE -Government will
this year acquire 42 000
metric tonnes of seed for the
2016/2017 farming season.
In a presentation read on
his behalf during the second
stakeholders meeting yester-
day, permanent secretary in the
Ministry of Agriculture, Mecha-
nisation and Irrigation Devel-
opment Mr Ringson Chitsiko
said Government is mobilising
funds to support the 2016/2017
growing season by providing
the required seeds.
He said there was also need to
enhance irrigation development
in view of limitations high-
lighted by the past two farming
seasons.
“A projected 42 000 tonnes of
seed maize is expected this
season which is in line with the
national requirement.
“There is need to mobilise
resources to support farmers
during the 2016/2017 cropping
season following two consecu-
tive poor seasons,” he said.
Yesterday’s meeting was a
follow-up to a meeting which
was held in January this year
to carry out a comprehen-
sive overview of humanitarian
needs, gaps and challenges
in the 2015/2016 drought
response and initiated mul-
ti-sectoral planning for the
2016 agriculture season.
“There are huge stocks of ferti-
lizers held by the local fertilizer
industry and there is need to
assist farmers to access those
inputs. “AMA is expected to
float Agro-Bills so that GMB is
availed with funds to purchase
grains in the upcoming market-
ing season,” he said.
He added that preparations for
resources for 2016 farming sea-
son by Government and devel-
oping partners are at advanced
stages with other projects
expected to be completed soon
in the irrigation sector.
“Under the PSIP Drought Emer-
gency Projects, a total of 15
projects with total of 500 hec-
tares can be completed within
a period of 6 months at a total
of $1,1 million to finance the
rehabilitation.
“The Smallholder Irrigation Pro-
gramme is being implemented
in collaboration with FAO. The
target is to commission 550
hectares by June and 1 200
hectares by December 2016,”
he said.●
5 news
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Govt to acquire 42 000t seed for 2016/17 season

6. BH246

7. BH247

8. BH24 Reporter
HARARE– Zimre Property
Investments (ZPI) posted a
loss-after-tax of $3 million
for the year ended Decem-
ber 31, 2015 as the property
sector continued to struggle.
Weak demand for leased
space and real estate prod-
ucts in general contributed
to ZPI’s rising voids and
debtors, which negatively
affected the firm’s revenues
during the period under
review.
The property firm’s voids
rose to 22 percent from 18,
5 percent in 2014.
Total revenue for FY2015
declined 4 percent to $5,4
million from $5,7 million in
the prior comparable period.
However, despite the pres-
sure on rental rates and an
increase in voids, rental
income marginally declined
by 1 percent to $3,5 million
from $3,6 million in 2014,
said ZPI.
Projects income last year
stood at $1,6 million, down
from $2 million in 2014, a
decline of 19 percent.
“The performance of project
sales was negatively affected
by the non-availability of
new stand stocks, particu-
larly in Harare,” said chair-
man Mr Buzwani Mothobi in
a statement accompanying
the results.
Administration costs rose 3
percent to $3 million from
$2,9 million in the prior
comparable period.
Operating profit declined
33 percent to $0,68 million
from $1 million in 2014.
Going forward, ZPI says it
has embarked on a number
of new projects to ensure
income diversification and
also adopting several stra-
tegic initiatives to contain
costs.
The board has declared a
dividend of US0,012 cents
per share for the FY2015.●
8 news
ZPI posts $3m loss
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10. BH2410

11. BH24 Reporter
HARARE – Listed construc-
tion firm Masimba Holdings’
loss position worsened after it
posted a $1,1 million loss for
the year ended December 31,
2016, from the $552 423 loss
prior year.
The company has been
negatively affected by con-
strained capital for infrastruc-
ture projects as well as the
poor performance of the local
mining sector due to the weak
commodity prices that pre-
vailed last year.
Masimba’s turnover during the
period under review declined to
$10 million, from $14,8 million
in 2014.
EBIDTA and fair value adjust-
ments were maintained at prior
year levels at $245 467.
“The decline in turnover is a
reflection of the depressed
built environment that pre-
vailed in the country particu-
larly in the first half of the
year...The level of business
activities significantly improved
in the final quarter of the year
following the implementation
of own initiated projects and
a general improvement in
the built environment,” said
chairman Mr Greg Sebborn in
a statement accompanying the
results.
He said, as a result of the
improved fourth quarter, 46
percent of Masimba’s turnover
was earned in that last quarter.
Management expects its steel
re-enforcing business – Rein-
forcing Steel Contractors
Zimbabwe – which commenced
operations in May last year
to boost Masimba’s earnings
going forward.
The company’s board has
decided not to declare a final
cash dividend for the year
ended. ●
11 news
Masimba Holdings loss position worsens
Mr Greg Sebborn

12. BH2412

13. HARARE -The local bourse’s
mainstream industrial index
closed lower at 98.18 points
after losing 0.60 on the hol-
iday-shorted week, ahead of
the Easter Holidays.
Dragging down the index was
Natfoods, which slid $0,2113
to trade at $2,2000 and
cement manufacturer PPC,
which retreated $0,0675 to
close at $0,7000.
Also trading in the red was
African Sun, which lost
$0,0020 to $0,0150.
On the upside, giant tele-
coms, Econet added $0,0011
to settle at $0,2416 and
conglomerate Innscor mar-
ginally went up by $0,0004
to close at $0,1829.
The mining index was again
unchanged at 19.53 as Bind-
ura, Falgold, Hwange and
RioZim all maintained previ-
ous price levels at $0,0100,
$0,0050, $0,0300 and
$0,1040 respectively
- BH24 Reporter ●
ZSE13
Industrials end shortened week on a low

14. Movers CHANGE Today Price USc SHAKERS Change TODAY Price USc
Econet 0.45 24.16 African Sun -11.76 1.50
Innscor 0.21 18.29 PPC -8.79 70.00
Natfoods -8.76 220.00
Index Previous Today Move Change
Industrial 98.78 98.18 -0.60 points -0.61%
Mining 19.53 19.53 +0.00 points +0.00%
14 zse tables
ZSE
Indices
Stock Exchange
Previous
today
BH24 Will Return On Tuesday 29 March
2016
We Wish You A Happy
Easter Holiday

15. 15 DIARY OF EVENTS
The black arrow indicate level of load shedding across the country.
POWER GENERATION STATS
Gen Station
24 March 2016
Energy
(Megawatts)
Hwange 539 MW
Kariba 285 MW
Harare 30 MW
Munyati 0 MW
Bulawayo 19 MW
Imports 0 - 300 MW
Total 1194 MW
• Thursday 24 March 2016 - Annual General Meeting of Willdale Limited; Place: Boardroom, Willdale Administration Block,
19.5km peg Lomagundi Road, Mount Hampden; Time: 1100 hours...
• Analyst briefing - Old Mutual Zimbabwe, Steward Room, Meikles Hotel, March 30, 1430hrs
THE BH24 DIARY

16. JOHANNESBURG - South
Africa's rand retreated
against the dollar in early
trade today, mainly reflect-
ing the greenback's gains
spurred by expectations of
higher US interest rates this
year.
Stocks opened softer at 0700
GMT, with the JSE securities
exchange's Top-40 index
easing 0,4 percent from the
previous day's levels.
The rand was at 15,4240 to
the dollar, down 0,4 percent
from its New York close on
Wednesday.
Government bonds were sim-
ilarly weak, with the yield
for debt maturing in 2026
adding 4 basis points to
9,365 percent.
The rand took its cue from
emerging Asian currencies,
which slid as Federal Reserve
officials fanned expectations
of more US interest rate
hikes later this year and
China weakened the yuan.
Johannesburg traders and
analysts expected the cur-
rency to remain on the back
foot in thin trading ahead
of the Easter holiday, which
would see financial markets
closed on Friday and Mon-
day.
"With the long weekend
approaching for many major
markets around the world,
risk appetite is slightly
reduced," Standard Bank
said in a note.
"Naturally the rand, and
other EM currencies, are on
the back foot into the long
weekend," it added, predict-
ing support for dollar/rand at
15,2000/15,0600 and resist-
ance around 15,4500/5000.
- Reuters●
regioNAL News16
Rand softer in line with EM currencies

17. The US dollar continued to
bounce back due to risk-off
sentiment and profit taking
activities before the Easter
long weekend. As a result,
commodity prices lowered
across the board.
Oil prices sank after inven-
tory data from U.S. Depart-
ment of Energy showed a
build of +9.36 million barrels
for crude oil, much larger
than the expected +2.48
million. This depressed
prices further aftera similar
number from the American
Petroleum Institute yester-
day. A few positive signs
including shortfall in Cushing
and gasoline inventories did
not manage to deter bearish
sentiment. Canadian dollar
and Russian rubble were sold
off accordingly. There is little
hindrance on the downside
from here toward a support
area of 37,71-38,21.
Copper prices slid together
with other metals on the
back of stronger US dollar
and losses in Asian equities.
The Shanghai Composite,
Hang Seng, ASX and Nikkei
were in the red as growth
concerns resurfaced and
investors sold risk assets
including commodities. Low
liquidity before the holidays
made matters worse. Never-
theless, a firm support level
at 2,2035 may restrict the
downside until next week.
Gold was the second worst
performer among metals
with a 1,1 percent loss, only
second to iron ore which
was down 3,7 percent. Gold
prices traded near one-
month low after a string
of hawkish remarks from
Federal Reserve members,
the latest comments came
from St Louis Fed Presi-
dent Bullard that a hike in
April is possible. Optimistic
statements from other Fed
members: Lacker, Williams,
Lockhart and Evans also
raised market’s expectation
for future rate hikes.
GOLD TECHNICAL ANALY-
SIS – Gold prices dropped
well below the support trend
line to approach a support
area of 1191-1207.6. Down-
ward momentum highlights
weakness in gold prices,
even as risk assets are post-
ing losses. Investors should
be cautious of a stagnation –
Dailyfx.com●
internatioNAL News17
Gold price slumps on hawkish remarks from Fed members, oil shrinks

18. By Mohamed A. El-Erian
The reaction of financial mar-
kets to the terrorist attacks
in Brussels on Tuesday was
calm and mature, showing
that they have learned the
lessons of such tragedies,
which have become all too
common. Nonetheless, mar-
kets will find it increasingly
difficult to price the longer-
term effects, including unu-
sual political developments
that could affect the global
economy.
The markets' relatively
muted reaction signaled that
macroeconomic effects would
be limited. This forecast of a
contained impact is consist-
ent with the after-effects of
other such outrages, includ-
ing those that followed the
attacks in London, Madrid
and Paris. In previous cases,
the impact on overall gross
domestic product has usually
been limited and transitory,
fading with time.
Investors and traders also
reacted maturely at the
sector level. The price action
in markets on Tuesday was
characterised by notable
differentiation, again illus-
trating the extent to which
the marketplace has learned
from previous attacks in
Europe. For example, travel
and leisure stocks under-
performed the market as a
whole while health care and
technology outperformed.
But even though markets
responded rationally in the
short run, there now could
be a greater sense of uncer-
tainty about what is ahead.
The effects of that incerti-
tude are not easy to predict
and price.
The main question concerns
the ways in which national
politics will be influenced by
geopolitical developments
that are perpetrated by non-
state disruptors rather than
traditional nation-states.
Such changes could have
consequences for economic
policy, growth and corpo-
rate earnings. In this case,
it is likely that the Brussels
attacks will further fuel the
rise of non-traditional and
anti-establishment political
movements on both sides of
the Atlantic.
In continental Europe, this
is likely to translate into
a greater empowerment of
fringe parties that, in coun-
tries such as Denmark and
France, already have become
serious electoral contenders.
In the UK, the disruption will
embolden the anti-immigra-
tion message of those who
want their nation to leave
the European Union. In the
US, it could lead to greater
support for Donald Trump in
the Republican presidential
nomination contest.
None of these develop-
ments has yet reached an
unambiguous tipping point.
But the horror on Tuesday
brings such an outcome a
step closer. And these events
complicate the role of tra-
ditional parties, including
those now in office, even
as a comprehensive policy
approach is needed to take
over from the increasingly
overburdened central banks.
– Bloomberg●
18 analysis18 analysis
Assessing market reactions to Brussels