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From The Chair

Khalid Al-Zayani Chairman

Registration number ISSN 1985-9929

Dear Members,


Welcome to the Summer edition of the BBBF magazine. A number of you will shortly be taking a well earned opportunity to visit the United Kingdom and cooler climates on vacation. No doubt you will have time to reflect on the challenging year so far. Despite the recent uncertainty, we strongly believe that we have in place the economic fundamentals and entrepreneurial spirit to build a solid path to achieving Vision 2030. No visionary objective is without challenge and I urge each and every one of you and your businesses to step up to the plate.

The 2011-2012 Executive Committee ......2

I have just learned of the excellent news that the World Motor Sports Council will reinstate the Bahrain Grand Prix on 30th October 2011. This is a welcome shot in the arm for both the local and regional economy and will benefit many businesses big and small alike in many different sectors. The race represents a fantastic opportunity to showcase Bahrain at its very best and to let the worldwide business community know that we are very much open for business.

Advertiser Index ..............2 From Her Majesty’s Ambassador ....................3 Farewell Kelly ..................3 Welcome to new members ..................4 Diary Dates......................5 Member Benefits .............6 Why join the BBBF? ........7 SIG Security ....................8

A special mention also to Gulf Air and HSBC, our 2011 corporate sponsors, who continue to be a great source of financial support and generous encouragement. Their support allows us the financial security to increase the number of initiatives and enhances the quality and number of events that we organise. We hope that you enjoy this Forum edition and the Committee is looking forward to seeing you, and your guests, at forthcoming BBBF functions and hearing more about how we can serve you better. Despite the traditionally slower summer vacation period, the BBBF will continue to run events throughout the warmer months and I do sincerely hope that if you are in town, then you and your guests will be able to join us. I wish those of you travelling safe and relaxing journeys. Please see page 5 for details of forthcoming events. With kind regards Khalid Al-Zayani Chairman

BCS ...............................10 National Racing Finals ..12 Financial News ..............14 HSBC enters Islamic finance market ...............16 UK Certification in Bahrain ......................20 Going abroad - an important guide ......22 News from the E.P ........26 Health Matters ...............28 The Report - Bahrain 2011 ...............30 Hotel & Leisure News ....32 Bahrain News ................38 And Finally.....................48

Cover Image: Drivers at the BIC show their support for the return of F1 to Bahrain BBBF Tel: +973 1781 3488, Fax: +973 1781 3489, Email: Bahrain British Business Forum, P. O. Box 10051, Manama, Kingdom of Bahrain



The 2011-12 BBBF Executive Committee

Chairman Khalid Al Zayani

Deputy Chairman Austin Rudman Mob: 3969-9475

Treasurer Peter Petyt Mob: 3657-1105

Hon-Secretary Jill Boggiss Mob: 3604-4100

Member Rob Grey Mob: 3966-3452

Member Julia Atherton-Dandy Mob: 3966-0598

Member Nasser Al Arayedh Tel: 1727-2575

Embassy Representative Rebecca Topping Mob: 3975-0496

Executive Manager Dena Wales Tel: 3969-6191 This edition of the BBBF Forum magazine was compiled by Andrew Mead at Mead Management Services Ltd. email: UK Mob: 0044 7940 559 925 KSA Mob: 00966 506 271 151 Bahrain Mobile: 00973 3638 7595 and produced in cooperation with Krishnan Surendran at Jumana House, Riyadh, KSA Tel 009661 292 0451 Fax: 00966 1 472 6962 If you would like to contribute to a future edition please telephone or send an email to A full page advert is charged at BD300. A half page advert at BD180, A quarter page advert at BD100 A small panel at BD50 Please note: The BBBF nor its agents do not warrant the services of any of the individual or corporate members of the BBBF. The views and opinions expressed by independent contributors must not be regarded as those of the BBBF or its agents. Publication of any article or advertisement does not imply any endorsement of the views, products or services described therein.



Our thanks to all the advertisers in this edition of Forum. Without their support, this issue would not have been possible. Please give them yours. 2 Connect ........................................Inside Front Cover Al Jazira Supermarket ..................................... page 43 Allied Pickfords................................................ page 23 Almoayed Wilelmsen Ltd................................. page 38 American Mission Hospital .............................. page 29 AXA Insurance ............................. Outside Back Cover Batelco ............................................................ page 15 Bellisimo Cosmetics ........................................ page 41 Best Western Hotel ......................................... page 36 bmi................................................................... page 27 BMMI ............................................................... page 45 British School of Bahrain ................................... page 5 Crown Relocations .......................................... page 24 DHL ................................................................. page 47 Diplomat Hotel................................................. page 35 EuroGulf .......................................... Inside Back Cover Euromotors...................................................... page 11 Gulf Agency Co ............................................... page 19 Gulf Hotel ........................................................ page 33 Gulf Markets International ............................... page 31 HSBC .............................................................. page 17 Insure Direct .................................................... page 25 InterContinental Regency Hotel ...................... page 37 Mansouri Mansions ......................................... page 34 NHSC .............................................................. page 21 Phil Weymouth Photography............................. page 6 Sue Anderson Consultants.............................. page 30

From Her Majesty's Ambassador was amply justified. I have made many friends here. It is with great sadness that I find myself writing my last foreword. I have been in Bahrain for nearly five years, I believe longer than any other British Ambassador. From the outset I found that Bahrain’s reputation as a friendly and open society

The last four months have been traumatic ones for Bahrain, and hugely damaging for Bahrain’s economy. It was a great relief to all of us when the Government was able to re-establish order on the streets in March. But

Bahrain’s biggest challenge lies ahead, of healing the divisions in its society and creating the durable stability that is essential for the peace and prosperity of all its people. I wish the country every success in this task. With great affection, Farewell Bahrain.

Jamie Bowden British Ambassador

UKTI News UKTI Bahrain said farewell to Kelly Botham on 19 May. Kelly has worked as one of three Trade & Investment Officers in the team since August 2008. She left the Embassy, and Bahrain, on 19 May, in order to return to the UK with her husband Pete who works for the Foreign and Commonwealth Office. Kelly supported a number of BBBF events during her time at the UKTI team, perhaps most notably she helped to coordinate the Business Bazaar at the British Embassy in October 2010 and the Duke of York visit in May 2010. Within the Embassy, one of her roles was to monitor Bahrain’s infrastructure projects, which led towards UKTI’s Water Trade Mission to Bahrain in January 2011 and UKTI’s Airports Trade Mission to Bahrain in February 2011 (see last Forum Magazine for details of the Trade Missions). She will be greatly missed within the Embassy and by those she worked with outside the Embassy. We all wish her well in her move to the UK. Sanya Cooper has now replaced Kelly as Trade &

Investment Officer covering infrastructure projects. Sanya has lived in Bahrain for 3 years and previously worked at Capivest Investment Bank. She will be familiar to some BBBF members as an attendee of some BBBF lunches. Sanya comes with prior experience of working in a Commercial Section of a different British Embassy, as well as a good working knowledge of business in Bahrain. A warm welcome to Sanya! The annual social “Curry Evening” for BBBF members and their guests was held at the British Embassy on 4 May. Many thanks to Patrick Gallagher, CEO and all the team at HSBC for their sponsorship of the event, and to Gulf Brands International for sponsoring the beverages. Approximately 120 members and guests attended the evening. We hope all that attended enjoyed the informal social evening and, for those who couldn’t make it, book your tickets early next year!” Forum




Hassan Al - Jundi Account Manager Hill & Knowlton Tel: 1753 3532 Fax: 1753 3370 Mob: 3321 4443 hassan.aljundi@

Mark Clune General Manager, Tonnage Gases Middle East Air Products Bahrain WLL Tel: 1757 0665 Fax: 1753 2259 Mob: 3837 2700

Ali Faieq Alzayani Faieq Alzayani Co. WLL Tel: 1731 1566 Fax: 1731 1577 Mob: 3661 1552

Mark Egginton Account Director Cluttons Tel: 1756 2878 Fax: 1758 7055 Mob: 3653 2016

Heather Barraclough Sales Manager Servcorp Tel: 1750 3000 Fax: 1750 3030 Mob: 3928 8221

Kalyanaraman Kunjithapatham Director Protiviti Member Firm Bahrain Tel: 1710 0050 Fax: 1710 0051 Mob: 3604 2984 kalyan.raman@

Arvind Benani Associate Director Protiviti Member Firm Bahrain Tel: 1715 2641 Fax: 1710 0051 Mob: 3947 4276

Simon Licence Principal Landscape Architect Landscape Solutions Consult. W.L.L. Tel: 1731 2286 Fax: 1731 2296 Mob: 3942 5360 simon@

Tina Benjamin-Lea Plans Manager Middle East Aegis Specialist Risk Management Tel: 1729 4621 Fax: 1729 4631 Mob: 3995 4132

Lucy Methven Solicitor Charles Russell LLP Tel: 1713 3200 Fax: 1713 3201 Mob: 3604 3168 lucy.methven@

Christopher Charlton Assistant General Manager Saudi Arabian Insurance Co BSC Tel: 1756 2525 Fax: 1756 4989 Mob: 3977 1966

Rajagopal Parthasarathy Director Protiviti Member Firm Bahrain Tel: 1715 2640 Fax: 1710 0051 Mob: 3902 7611 raj.parthasarathy@

Welcome to New Members Nicola Thompson General Manager Protiviti Member Firm Bahrain Tel: 1710 0050 Fax: 1710 0057 Mob: 3604 5400 nicola.thompson@

Diary Dates June 7th - Business Lunch Speaker: H M Ambassador Jamie Bowden Venue: Crown Plaza Hotel Time: 12 noon for 1pm Costs: Members BD12 / Guests BD15 Sponsor: Gulf Brands International July 5th - Business Lunch Speaker: tbc Venue: InterContinental Regency Hotel Time: 12 noon for 1pm Costs: Members BD12 / Guests BD15 Sponsor: Gulf Brands International August - Ramadan Evening Date: tbc Venue: British Club Note: Ticket Only event for Members Sponsor: Gulf Brands International September 20th - Business Lunch Speaker: tbc Venue: tbc Sponsor: Gulf Brands International




Benefits for BBBF Members Benefits for all our members may be obtained on production of their Membership card at the concerned outlet. We would like to hear your feedback concerning these discounts. Please do not hesitate to offer your services to our members by contacting the BBBF office. If any member has any difficulty obtaining a discount, please contact the BBBF office so we can rectify the situation. Azrek Search Associates 20% discount on search and headhunting services. Contact: Rory Adamson Tel: 1758 3885 Email: AXA Insurance 10% discounts to members on personal lines insurances. (excluding medical) Terms & Conditions Apply. Contact: Stephen Wagstaff Tel: 1758 8222 Email: Bahrain Kuwait Insurance Company (BKIC) Special schemes have been arranged with Bahrain Kuwait Insurance Company (BKIC) for BBBF members for the following classes of insurance: House & Contents, Domestic Servants & Motor Insurance. Special terms are available on production of your membership card. Bateel Bahrain 10% off on production of your membership card. Bateel offers a wide selection of classic and customised gifts for corporate functions, weddings and special occasions. Contact: Mahboob Shareef Email: Tel: Alaali Shopping 1758-0845 Citycentre Mall: 1717-9181 BFG Commercial Services Special Discounts available on current stock of Patio / Outdoor furniture & Area Rugs. Contact: Lynne Biddle Tel: 1774 1484 British Club Entrance Fee waivered when booking Business lunches in the Ascot Restaurant. (pre-booking only) Group booking welcomed. Contact: Reception Tel: 1771-3999 Craig Consultants 10% discount for members on 1-on-1 Executive Coaching, Contact: Kevin Craig Tel: 36199980 Email: Conscious Connections 5% discount on Crystal Therapy and Awareness, 10% discount for group bookings and group workshops. Contact: Julie Lomas Mobile: 3960 6712 Email:



DHL 25% discount from the cash tariff for any personal shipments being sent from Bahrain to anywhere in the world available on production of your membership card. Contact Andy Broughton DHL Customer Service 1736 4100 Expat Angels 10% discount on all packages and services. Contact: Tel: 3832-0439 / 3991-3211 Hasan Mansouri 10% discount to members at Mansouri Mansions Hotel and Country Club. Contact: Karim Mansouri Tel: 1772 8144 Email: National Hotel Services (NHSC) 5% on beers, 15% on wines and spirits with the exception of products already on special offer. Contact: Ian Bricklebank Tel: 1781-5929 Email: Protection Insurance Service offers BBBF members special rates on their personal insurance (motor, home, travel and any other insurance cover). Members will just call to select the cover type, share the credit card number and we will deliver the policy documents to his / her office. Please call 3904-3446 or 3645-4282 Royal Over-Seas League The Royal Over-Seas League has clubhouses in London and Edinburgh which include hotel-style accommodation.Reduced rates for BBBF members. Application forms for membership are obtainable from the Membership Secretary at: Royal Over-Seas League, Over-Seas House, Park Place, St James’s Street, London SW1A 1LR Tel: 0044 20 7408 0214 Fax: 0044 20 7499 6738 Email:

Why Join The BBBF?

BAHRAIN The Pearl of the Gulf has had a long standing relationship with Britain and is still a major trading partner. BRITISH Trade with Bahrain is now subject to significant competition in this era of globalisation particularly from countries in Europe and from the USA.

Membership directories are distributed to members of visiting Trade Missions and are available to businessmen visiting Bahrain through the Embassy and business centres in five star hotels. Simply click on “Sign Up” on our website complete the application form and click submit. Sounds simple, it is, it must be worth it.

BUSINESS between Bahrain and Britain must be promoted in order for Britain to maintain its dominant position. The BBBF has been formed to help in whatever way it can to do this and through its close cooperation with the British Embassy seeks to promote exchange of trade and good relations between Bahrain and Britain.

Cost of membership Individual Membership: BD 75 per annum, with an additional BD 40 once-only registration fee.

FORUM Is defined in the Collins English Dictionary as, “an assembly or meeting to discuss topics of public concern”. The BBBF provides through its monthly meetings a platform for networking amongst its members and the exchange and dissemination of useful business leads and opportunities. In addition, in return for a modest subscription, members receive the benefit of inclusion in an annual directory describing the products and services they have to offer and a listing on the BBBF website again with a description of activities, contact numbers and useful links.

Corporate Sponsorships Three levels of sponsorship are available:

BBBF Membership Application Please complete the membership form and send it to: BBBF Administration Manager, Fax: (00973) 1781 3489, or Email: For further information call (00973) 1781 3488, Web site:

Corporate Membership: BD 200 per annum (up to 5 individuals) plus BD 40 for each applicant up to a maximum of 10, with an additional BD 100 once-only registration fee.

Platinum: BD 2500 each year for three years Gold: BD 2500 for one year Silver: BD 1250 for one year Sponsor packages include a variety of advertisement opportunities in the Membership Directory, the Forum magazine, the BBBF website and at the regular lunch meetings. Full details are available on request.

Corporate Membership please complete separate form for each applicant

Individual Membership

Company Name

Website address of business (if applicable)

Title and full name (Surname first)

Describe how you / your company contribute to substantial business interests in Bahrain (Maximum 150 words)

Position in business Nationality

Date of Birth

CPR Number Address of business (P.O.Box & Town) Business telephone


Home telephone


E-mail address

I agree to abide by the BBBF Constitution & Internal regulations. Applicants Signature

Please note that the granting of individual or corporate membership is subject to BBBF Committee approval.




Special Interest Group - Security not allow passengers to board flights if their passport does not meet this requirement. • Check the latest travel advice for your destination on your Embassy websites • Familiarise yourself with the local laws and customs of the countries to which you are traveling.

Call it what you like but the “Arab Spring” is impacting on the Globe as government’s reaffirm, or as we are seeing in some cases, re-align their strategies and alliances. On the back of this Corporates are reviewing their business plans for the future as security concerns hit staff retention and recruitment. With this all in mind a call has gone out to Security Risk Management companies for help in Business Continuity and Relocation Plans, subjects that were both touched on in the last edition of Forum. Remember short term planning may work for the immediate company concerns but one needs to plan for the long term. At the same time “new” Governments are already being challenged in their infancy. This does not mean that we should “close up shop” rather take a positive approach focused on new opportunities with an increased security awareness of requirements and surroundings being put forward to the forefront of your company staff orientations and more specialised briefings and 8


training for your complete Crisis and Corporate Communications Teams. Choose your consultant wisely and complete your due diligence before signing that agreement.

• Make 2 photocopies of your passport identification page. This will facilitate replacement if your passport is lost or stolen. Leave one copy at home. Carry the other with you in a separate place from your passport. • Leave a copy of your itinerary with your family or friends at home so that you can be contacted in case of an emergency.

The heat of summer is upon us early this year and with that our thoughts focus on the great “heat” escape - a long relaxing break but at least this “early warning” gives us more time to prepare. As security at airports and hotels are cranked up, here are some travel safety tips that you may find useful. • Make sure you have a signed, valid passport and visas, if required. • Ensure your passport has at least six months’ validity from your planned date of return. Some countries will refuse entry on arrival and some airlines will

• Notify by phone or register in person with your Embassy (UK on Locate) or consulate upon your arrival. Know their location and contact details and programme them into your mobiles. • Don’t leave luggage unattended in public areas. • Don’t accept packages from strangers. • Don’t be a target! Avoid conspicuous clothing and expensive jewellery and don’t carry excessive amounts of money or unnecessary credit cards. • In order to avoid violating local laws, deal only with authorised agents when you exchange money or purchase art or antiques.

• If you do get in some sort of trouble contact your respective consulate Partnerships:

Although we live in testing times we were still able to hold two meetings where subjects such as Regional & Local Security issues were discussed including the increase in crime related issues. The March meeting went ahead under some unusual circumstances at the Dilmun Club which resulted in an excellent attendance with the format being one of an “Open Forum”. This was to facilitate the chance of more questions being asked of the Committee which resulted in some candid answers which were well received by one and all. The May meeting took place at the InterContinental Regency Hotel where we were very fortunate to have two guest speakers: • Hasith Panditharatne of the British Computer Society (BCS) • James McDonald, the General Manager of the recently refurbished Intercontinental Regency Hotel & Spa Bahrain, Hasith was kind enough to come in at short notice as part of our partnership programme to give us a brief insight of what value the BCS can bring to the table in these times of social media and the impact that it is having. Not forgetting cyber-awareness such as the recent massive attack on Lockeed Martin.

ASIS Bahrain Chapter 276

We have included a briefing note from the BCS further on in this article for those of you who may want to know more about their group here in Bahrain. It is also hoped that the BCS membership will be encouraged to join the BBBF SIG (IT) going forward.

James presented an indepth insight to the Risk Management processes brought to bear by the InterContinental Hotel Group during the continued crisis in the Middle East. This was an excellent presentation that certainly highlighted lessons that we can all learn from. The presentation was very well received by all those attending and generated some really good feedback. The social networking session that followed proved to be even more informative and once again well received. Our sincere thanks to both the Dilmun Club & InterContinental Regency Hotel for hosting the meetings. We remain indebted to their professionalism, excellent support and the warmth afforded to us all.

The American Society of Industrial Security (ASIS International) is the preeminent organisation for security professionals. Founded in 1955, ASIS is dedicated to increasing the effectiveness and productivity of security professionals by developing educational programmes and materials that address broad security interests, such as the ASIS Annual Seminar and Exhibits,(next Middle East Security Conference – ASIS Dubai 19-21 February 2012) as well as specific security topics. ASIS administers three internationally accredited certification programmes. The Certified Protection Professional (CPP) indicates board certification in security management, and is widely recognised as the highest designation accorded a security practitioner. Two specialty certifications are available: the Professional Certified Investigator (PCI) and the Physical Security Professional (PSP). During the latter half of last year a few ASIS International members living in Bahrain came together with the view of establishing a new Chapter within the Kingdom of Bahrain. Following the necessary protocols, ASIS Chapter 276 (Bahrain), became the newest member to join over 200 other chapters around the Globe. On 9 th March 2011 the first Chapter

meeting was held at the Ritz Carlton Hotel & Spa to formally elect the Chapter committee and receive the presentation of the Chapter Charter from Jeff Lee, CPP the ASIS Assistant Regional Vice President, and the Chairman of Region 072 Khalid A Bouali. So what does the future hold for Chapter 276? The Chapter will, as per its charter, help develop and promote the education and ‘best practice’ standards to its membership and the industry. This will involve its partnership with OSAC and the BBBF (SIG Security) as well as holding Chapter meetings and training programmes. Currently a Certified Protection Professional (CPP) review programme is planned to start in Sept 2011. This programme is aimed at those who are eligible to study towards the CPP Certification to be assisted by volunteer current CPP certified professionals to study towards sitting the CPP exam.

ASIS Chapter 276 Executive Committee Members • Chairperson: Jean Perois, CPP, PSP • Vice Chairperson: Devlin Zents • Secretary: Andrew (Andy) Deamer, CPP • Treasurer: Rajinder Singh ASIS Chapter 276 Committee Officers • Membership Chair: Adam Radicic • Programme Chair: Glen Harwood • Newsletter: Arwind Sharma • Legislative Rep: Rajinder Singh • Law Enforcement liaison: Adam Radicic • Webmaster: Glen Harwood

For those who are current ASIS members or wish to know more regarding the benefits of membership, CPP/PSP/PCI certification or joining the Bahrain Chapter, further information is available on the ASIS website or contact one of the committee members. Forum


Special Interest Group - Security continued qualifications.

The British Computer Society (BCS) is the Chartered Institute for IT promoting wider social and economic progress through the advancement of IT science and practice. Its membership and activities are not confined to the UK, having over 70,000 members worldwide, including practitioners, businesses, academics and students. There is a BCS presence in the Middle East, centred in Abu Dhabi but each country has its own particular set of circumstances and Bahrain is no exception. There is a strong case for Bahrain having an active and effective BCS group locally to serve the needs of Bahrain, bringing together industry, academics, practitioners and government departments to share knowledge, promote new thinking, inform and design new curricula, shape public policy and inform the public. BCS is also a leading IT qualification body offering a range of widely recognised

• The Impact of Global Food Insecurity – “hunger & insecurity are the worst enemies of peace” – Secretary of State George Marshall.

These benefits to Bahrain would emerge from a thriving, active and responsive local BCS group, giving strong rationale to the current initiative to establish ourselves. There are more than 30 BCS members already in Bahrain and currently their needs are not being met by BCS in the region. This initiative, to establish a BCS Bahrain group, independent of the regional group would provide an agenda and motivation to bring these individuals together for the greater good of Bahrain. BCS Bahrain group has the intention to join with other local IT groups and academic bodies with the intention of promoting joint activities which can benefit the members and the wider public. BC - The Chartered Institute for IT recently held a presentation titled ‘IT Project Management challenges when commissioning a modern hospital’. The presentation was held at the RCSI Bahrain campus

• Water Scarcity & Conflict – Imagine turning a faucet and seeing brown water emerge. Worse, imagine turning a faucet, hearing the pipes rattle, but seeing nothing trickle out. To make matters worse your neighbor has a bountiful supply… • Hotel Security – What enhancements will be required after the alledged Strauss-Khan incident and how much will it cost? in Busaiteen. Shay Moriarty, ICT Director at the King Hamad University Hospital (KGUH), was the presenter. Over 70 BCS members and guests attended the presentation. The presentation was sponsored by RCSI Bahrain, Hilal Computers and Continental Office Equipment & Systems. As the professional membership and accreditation body for IT, BCS serves over 70,000 members including practitioners, businesses, academics and students, in the UK and internationally. BCS acts as a leading IT qualification body, offering a range of widely recognised professional and end-user qualifications. For more information on BCS please visit To obtain details on BCS activities in Bahrain please send an email to hasith.panditharatnew

10 Forum

Weathered Eye – Courtesy of OSAC:

• Cyber Awareness – Is nobody safe - Lockheed Martin Acknowledges a ‘Significant’ Cyber Attack”. Look Forward: Keep an eye out for future partnership developments and guest articles from within the security fraternity as we follow up with organisations such as IISS, CRG & Olive. Unfortunately due to circumstances beyond our control we had to postpone the Aviation Security themed meeting, scheduled for May, but we do now hope to follow up on this subject at the July meeting so please get in touch with all your aviation contacts and pass the word. • Wednesday 27th July Formal Meeting • Wednesday 17th August Social Networking Gathering For further information please do not hesitate to contact Tony Palys on

Bahrain International Circuit invited all members of the public to enjoy a day of top-class racing and family entertainment, completely free of charge, in May, at ‘The Home of Motorsport in the Middle East’ in Sakhir. The first-ever ‘National Racing Finals’ was held, bringing together two of the Kingdom’s most popular local racing series including the Bahrain International Circuit 2000cc Challenge and the Bahrain National Drag Racing Championship. Each series staged its final round of the current season, making for a truly exciting experience for all motorsport fans and entertainment seekers who witnessed first hand all the intense on track battles. Apart from the chance to watch the best of Bahraini racing, the day marked an opportunity for the public to sign a book created by a group of motor sport fans supporting the return of 2011 Formula One Gulf Air Bahrain Grand Prix and pledge their loyalty, 12 Forum

love and belonging to the Kingdom of Bahrain and to the country’s leadership.

Circuit 2000cc Challenge, which featured some of the Kingdom’s best drivers in high-octane circuit racing.

The event was the perfect day for families to enjoy plenty of off track entertainment which catered to people of all ages, especially young children.

A massive crowd witnessed Shaikh Hamad win the coveted 2000cc title for the first time in his career. He secured the crown after claiming the second of the day’s two races, held under sweltering conditions in the Sakhir desert race track.

On the track, racing commenced in the morning with the final round of the 2010/2011 Bahrain International

Tim Birkin was the winner of the

opening event. That helped him finish as the runner-up to Shaikh Hamad in the championship. While the pair were the top two drivers in Class A, Hisham Al Othman improved his chances of claiming the Class B title after winning both his category’s events. Both Birkin and Al Othman were in first place in their classes after Friday’s first 15-lap race. Shaikh Hamad started from pole but it was Birkin and an inspired Hussain Karimi who led the field to the checkered flag. Birkin, driving a Honda Integra, managed to overtake Shaikh Hamad during the race, and he was closely followed by Karimi, who was behind the wheel of a Honda CRX. They did well to keep their lead all the way up until the end, when Birkin recorded a winning time of 20mins 59.076secs, narrowly outpacing Karimi to the top of the time sheet by a mere 0.296secs. Shaikh Hamad, driving a Honda Civic, came third 58.401 seconds behind. Ahmed Kuzbar, driving a Ford Focus 2.0, was fourth but trailed by an entire lap. The Class B race win was claimed by Al Othman, driving a Honda CRX, in 21mins 23.434secs. Rashid Al Jowder was second Driving his Honda Civic, he completed the race 0.812secs behind Al Othman. Third went to Raed Himmo, driving a Honda CRX. He finished a lap behind the leading pair.

In race two, Shaikh Hamad made up for his earlier disappointment to take the checkered flag and cap the long season in style with celebrations atop the podium.

Starting from the middle of the field, Shaikh Hamad displayed why he is the new champion by storming to the front at the lights, and leaving everyone else in his tracks. He won the second 15-lap race in 20mins 55.084secs. It was his ninth win out of 12 races in this year’s championship. His unbelievable streak of eight success victories was snapped with Birkin’s victory earlier in the round, but it was the perfect finish to the season. Karimi was this time in second place, finishing 14.523secs behind, while Birkin was a distant third, 55.041secs from Shaikh Hamad’s winning mark. Kuzbar was fourth, 1min 27.631secs back. In Class B, Al Othman emerged victorious in 22mins 15.160secs. Himmo was second 36.511secs behind, while Al Jowder did not make the final classification. With the tight battles in their division, the new champion will be announced soon by organisers, following their official calculation of points. All three drivers headed into the final round with a chance to win their crown. Members of the public also signed another book, created by a group of local motorsport fans, supporting the quick return of the Formula One Gulf Air Bahrain Grand Prix to the island.

Forum 13

Financial News

First AXA Shop in Bahrain

SCB honors 55 staff at Award Ceremony

As part of AXA’s continuous efforts to provide its customers with unique customer experience and reaching customers wherever they are, AXA opened its first shop in Bahrain on Jan 5th, 2011. The new shop provides customers with a more convenient location, as part of the brand new Ramli shopping mall complex, where they can engage directly for purchases and renewals of retail policies. This is certainly a new customer experience

in buying insurance. It differentiates AXA from all local competitors and

Standard Chartered Bank launches Regional Custody Services in the Middle East Standard Chartered Bank announced today the launch of regional custody services for investors and intermediaries in the Middle East. Standard Chartered’s new offering will give customers a single entry point to access custody services in multiple markets. The key benefits include a single point of contact; single contract and consolidated reporting for multiple markets through one provider. Custody services play an integral role in the development of capital markets by providing securities market access to investors. This covers a range of services including equity and fixed income securities settlements, safekeeping, corporate actions, income and entitlements collection, cash 14 Forum

management, reporting, and information services to clients. Commenting on the expansion of Standard Chartered Bank’s Regional Custody Service Offerings, Stewart Adams, Regional Head of Investors and Intermediaries, Standard Chartered MENA, said: “Our regional custody hub currently caters for 26 countries and we are continuously expanding our coverage to meet customer demand. The regional custody offering aims to facilitate client access to regional and global markets, leveraging our footprint across the world’s most dynamic markets. It is also a clear indication of our commitment to our brand promise: Here for Good – Here for Clients.” Shikkoh Malik, Regional

Standard Chartered Bank Bahrain recently celebrated the Bank’s employees at a “Long service award ceremony” where awards were presented to 55 employees of the bank celebrating their length of service and loyalty ranging from five to 35 years of service while also recognising their exceptional performance. enhances it’s image of being attentive, reliable and available. Product Head of Investors & Intermediaries, MENA, added: “The regional custody product offering from our DIFC Branch adopts best international practice and comes with our award-winning Straight2Bank internet platform, a web-based electronic portal, which gives clients on-demand access to comprehensive transactional and reporting capabilities. With the stateof-art technology, highly experienced staff and extensive service coverage, we are well positioned to offer best in class custody services to our clients.” Standard Chartered has operated in the Middle East for more than 90 years, with a presence across the region. Out of its office in the Dubai International Financial Centre (DIFC), the Bank runs the largest trading floor in the Middle East region and is an active player in developing an Arab talent pool capable of leading the bank and the industry in general.

The commemorative event was hosted by the Bank’s Chief Executive Officer, Jonathan Morris and senior management and was held at the prestigious Capital Club, Bahrain Financial Harbour. During the event, Jonathan Morris said “Our staff really are our most important asset. I am delighted to recognise their commitment and loyalty to Standard Chartered Bank and to congratulate them on their long service awards. Their dedication underpins the continuing growth of our business in Bahrain and our drive to deepen our relationships with our customers and clients. “Here for good, our brand promise, captures the essence of who we are and how we live this brand promise at our workplace every day for the benefit of our staff, our clients and customers and other stakeholders. With more than 90 years of history in Bahrain, I am proud to say that we’re really here for good.”

Financial News

HSBC Bahrain – a strong entry into the Islamic finance market HSBC Bahrain experienced a remarkable start to its corporate Islamic banking proposition. In January, or just one month after the launch of a full suite of Islamic products for corporates, the bank concluded a major deal for Shariah-compliant financing with VIVA Bahrain. HSBC arranged a 7 year USD 100 million Islamic finance facility for Viva Bahrain. This is a high profile transaction and is the single largest corporate lending as well as Islamic financing extended by HSBC Bahrain. VIVA Bahrain, STC Saudi Arabia’s wholly owned

subsidiary has positioned itself as one of the top operators in Bahrain capturing a healthy market share during its year of operations. The facility was seen as a highly sought after opportunity to establish long term business partnership with VIVA. There was intense competition amongst some of the most reputable financial institutions in the region.

HSBC Group’s global network and resources were the main factors behind the selection of the Bank to provide the financing. Drawing on that, HSBC Amanah is uniquely

positioned to understand, structure, and distribute financial services that are compatible with the requirements of Shariah (Islamic Law). Patrick Gallagher, CEO of HSBC Bahrain said, “We are glad that we could utilise

our new corporate Amanah proposition and meet VIVA’s requirements. The deal provides a key milestone in our relationship with VIVA and also demonstrates our capability and commitment to supporting customers wishing to bank in a Shariahcompliant manner."

Bahrain Financing Company opens new outlet in the Kingdom

Bahrain Financing Company (BFC) has announced the opening of its new retail shop in Bahrain. The branch was inaugurated by Mr. Ebrahim Nonoo, Managing Director and CEO of BFC Group Holdings in the presence of senior officials from the company and customers. With the opening of the new branch, residents of Budaiya 16 Forum

and its surrounding area will now enjoy the convenience of a BFC shop, which will remain open between 9.00am and 1.00pm and from 4.00pm - 8.00pm, 7 days a week. In order to relocate to this new location on Budaiya Highway, BFC has closed its shop at the Country Mall in the same locality. Speaking on the occasion Mr.

Ebrahim Nonoo, Managing Director and CEO of BFC said, “Building on our strong distribution network of 25 shops across the Kingdom of Bahrain, we are pleased to announce the opening of BFC’s new retail shop in Budaiya. Recognising the importance of visibility for all BFC branches and in line with our market penetration strategy the Budaiya Highway was chosen for easy accessibility to customers. Going forward, the convenience of customers remains our top priority and we will continue to expand our network and services across the region to give our customers one stop international payment solutions using marketleading technology.“ In line with the look and feel of the company’s new corporate identity, the new state-of-the-art

shop is located on the main Budaiya Highway, adjacent to the Med Cafe. Offering BFC’s standard personalised services, the shop is equipped with many customer-friendly features including five transaction counters. BFC recently introduced the Kingdom’s first dedicated online money transfer service BFC Smart Money that guarantees best exchange rates, and allows customers to securely remit money online to anywhere in the world. In addition, BFC has launched its official Facebook page - BFC Bahrain - as well as a dedicated Twitter account, where customers can now follow the latest offers, promotions, service updates, live exchange rates and currency converting services online.

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Financial News BiB mena announce Project Completion BiB mena are delighted to announce that they have concluded a major project to identify the senior management team for an established GCC based Investment Bank seeking to expand their existing operations further into the GCC, after the Bank gained initial regulatory licensing approval by the new host regulator to do so. “We are confident that our knowledge of the region’s finance industry and its regulatory requirements, as well as our strong network and methodologies which are based on the

knowledge that people are the cornerstone of our business, are what has underpinned our ability to conclude these assignments within the tight deadlines required by our client. Meeting these deadlines allows our client to meet their licensing obligations and business objectives at this pivotal stage of their expansion”, said Helen Undy, MD of BiB mena. The conclusion of this phase of the project means that BiB mena are well placed to commence the second tranche of the search

assignment and maintain their market position as one of the GCC’s leading Executive Search firms. “We were delighted to be referred to this particular client by a third party, external to both our businesses as ‘specialists in our area’ and this has reinforced the opinions expressed to us by many of our clients throughout the MENA region that while we are a Bahrain based company, our ethos and expertise as specialists in our field is both sought after and highly appreciated by them” said

Karen Kingstone, MD of BiB mena. “While it is not ethical for us to identify our clients and we stand firm that our ethics are the foundation of our business, the success of this assignment further demonstrates that regional entities clearly appreciate the local knowledge and expertise that BiB mena offers and that the advice and guidance we are able to give to individuals outside of the region considering relocating, is invaluable to both parties and not always available in search firms outside of the region with limited relevant market experience.

American Express® Middle East and North Africa extends partnership with British Airways to offer flight savings As the mercury begins its annual upward climb, residents across the GCC have begun to plan for the upcoming summer holidays and are on the lookout for interesting travel offers and discounts. American Express® MENA has decided that this is the opportune time to extend its long-term partnership with British Airways to offer Cardmembers special discounts on online air fares, until the end of the year. Cardmembers travelling in British Airways World Traveller, economy class cabin, World Traveller

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Plus, premium economy, and Club World business class from Bahrain, Doha, Kuwait, Muscat, Riyadh or Jeddah will be eligible for a 10% discount on the fare, when they book their tickets online through: bh The discounts are valid

both on return and one way tickets, originating from the GCC countries. “With summer travel on the horizon, leisure travel is expected to be on the rise in the GCC countries,” said Deepak Jain, VP Merchant Business and Strategic Partnerships, American

Express MENA. “This provides American Express with an excellent opportunity to build on our relations with existing partners and design travel-related deals that offer exceptional value to our Cardmembers. British Airways remains one of our trusted long-term partners, and we are pleased to tie-up with them once again for this special discount.” “We are excited to partner once again with American Express, which is among the top brands in the world,” said Paolo Derenzis, Area Commercial Manager Middle East, British Airways. “This announcement is particularly well timed, coming just ahead of the busy summer travel season in the region, and we look forward to servicing both individual and corporate Cardmembers on their journeys to the UK, US and Canada.”

The 10 per cent discount on British Airways fares from the GCC countries to the UK, USA, Canada and select European destinations, is only available on payments made using a valid American Express Card, and are only applicable on the fare. Cardmembers who are British Airways Executive Club members can also earn BA Miles and Tier Points in accordance with the Executive Club terms and conditions. This latest offer follows closely from the recently concluded partnership between American Express MENA and British Airways which offered Cardmembers 30 per cent bonus BA miles upon the transfer of their Membership Rewards ® points to the British Airways Executive Club programme.

UK based certification Body sets up regional office in Bahrain Economic Development Board (EDB) presented with certificate in recognition of the EDB’s commitment to quality and excellence QMF Global Consultants WLL, an independent certification and consultancy body specialising in providing quality assurance services to SME’s and NGO’s worldwide, has successfully acquired a Commercial Registration (CR) to deliver its product and services to businesses in the Kingdom of Bahrain as well as neighbouring GCC countries such as Qatar, Abu Dhabi, Saudi Arabia and Kuwait. Following this, QMF Global Consultants WLL has set up an office in Bahrain to provide services to organisations across the region. QMF Global Consultants WLL’s primary products are certification, auditing, consultancy and development services, principally in the field of international quality standards such as ISO 9001:2008, ISO 14001:

2004, 2007.



The department for UK Trade & Investment (UKTI) welcomed the services provided by QMF Global Consultants WLL. HM Ambassador to Bahrain Jamie Bowden said: “UK products and services are well known for their quality and consultancy services of companies like QMF Global have supported many UK companies to achieve that high quality. We wish QMF well in assisting Bahraini companies in a similar way.” QMF Global Consultants WLL Directors Yousaf Razaq and Faisal Riaz said “We are delighted to have presented this quality award to the Bahrain Economic Development Board (EDB). Any organisation demonstrating high calibre of leadership

and commitment to quality of service deserves to be recognised.” The EDB works to introduce business into the Kingdom of Bahrain in accordance with the Vision 2030 - which was launched by His Majesty the King - was instrumental in playing a pivotal role in bringing QMF Global Consultants WLL to the GCC market. The Directors of QMF Global Consultants WLL - Mr Yousaf Razaq and Mr Faisal Riaz presented the EDB with the certificate of excellence in recognition of the Boards’ commitment and dedication to customer service. Vivian Jamal – Director of Business Development at the EDB stated, “Within the Gulf Co-operation Council, Bahrain is becoming established as a service centre for the region and we are pleased that QMF have

chosen to set up in Bahrain and that the EDB has been recognised for its support of companies wishing to set up in the Kingdom.” For businesses, SME’s and NGO’s interested in pursuing or wishing to find out more about attaining an international quality standard such as ISO 9001:2008 or other services provided by QMF Global Consultants WLL please visit QMF Global Consultants WLL was setup in 2009 to help SME’s worldwide attain internationally recognised quality standards.Since conception QMF Global Consultants WLL has worked on a multitude of projects in Europe, Asia and the Middle-East.

Measurable Marketing the Digital way Digital marketing consists of the promotion of brands, products and services via digital media channels. This newest evolution in marketing has been embraced by industries throughout the world thanks to its cost effective approach, huge reach and the ability to track return on investment. East Innovations explores how the Middle East region has utilised digital marketing in the past, and what the future may hold for those organisations who make the most of it in the future. With 56% of MENA based companies increasing their digital marketing budgets 20 Forum

by 20-50% over 2011, it would seem that the Middle East region has begun to invest considerably in the use of online communication channels. Whether organisations are optimising their web design by incorporating content management systems (CMS), utilising search engine marketing and pay-per-click advertising to attract online audiences, engaging with target markets through social media or increasing sales with e-commerce facilities; digital marketing is fast becoming an integral cog in many businesses marketing strategy. A recent report

demonstrated that 80% of companies in the MENA region have invested in email marketing, more than 50% are utilising social media and search engine optimisation (SEO), and almost 40% use display advertising and pay-perclick (PPC strategies). In 2010 alone between $110 and $130 million was spent

on online advertising, a figure that is set to increase by 20-40% over the current financial year.

Further analysis is available from Mark Warman at East Innovations - See BBBF Directory for full contact information

How engaged are the Ministry of Works employees? ACK Solutions helps find out

ACK Solutions with the Ministry of Works Employee Engagement Survey Team and the winners of the ‘Your Opinion Counts’ survey prize draw

ACK Solutions recently completed the first organisation-wide employee engagement survey at the Ministry of Works (MoW). The survey had an impressive 792 participants, indicating a 72% response rate. The survey sought to confidentially gauge employee alignment to the Ministry’s mission, vision,

and values and will be a reliable indicator of emotional and intellectual commitment to the organisation and its success. By identifying areas where improvements to the physical and psychological environment can be made, the Ministry will be able to target improvements that will optimize morale and therefore the overall performance of all employees.

The methodology used to develop and implement the survey first involved determining and prioritising key engagement drivers that were relevant to the MoW organisation. Questions were then developed and tested amongst a sample of employees to ensure a common understanding throughout all organisational layers and departments within the MoW.

With stakeholder buy-in and communication representing such as critical part of the project, a ‘Your Opinion Counts’ promotional campaign was launched on the MoW’s intranet. Posters were also placed at key locations within the Ministry to maximise awareness of the survey. To further encourage participation, all participants were automatically entered into a random prize draw. “The experience and enthusiasm of the MoW team has made creating relevant and representative surveys with them a rewarding experience for all concerned. The subsequent response to the data we have gathered and actions taken by the Ministry has been very impressive” commented Julian ClarkeJervoise, Partner at ACK Solutions.

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Going abroad under a full time employment contract Is performing UK duties a problem? Speedread Recent Press reports have inaccurately represented the effect of new draft guidance from the UK’s HM Revenue and Customs (“HMRC”) as to the non-UK residence status of individuals working abroad under full time employment contracts. In particular, according to the Press reports, such individuals may no longer maintain non-UK residence status if they work in the UK in more than ten days per tax year. In reality the position is not as serious, nor as simple, as such reports suggest.

abroad under other circumstances not involving such a full time contract, then to establish non-UK residence they must normally demonstrate a clean break from the UK. This might involve taking a number of steps such as selling or letting their house in the UK and staying outside the UK for a full tax year with no return visits. When going abroad under a full time employment contract, these other more stringent requirements are not normally needed. Meaning of “work abroad”

The draft guidance is set out in full later in this briefing note.

What if a person going abroad under such a contract has to return to the UK sometimes for work? Until now there has been no guidance on the meaning of “working abroad” for these purposes . In other contexts a distinction is made between “incidental” duties, which may be carried out in the UK, and substantive duties, such as attending board meetings, which if done in the UK will undermine a person’s claim to be working full time abroad. Some advisers take the view that work in the UK which is merely “incidental” can be treated as part of the “full time work abroad” and that any substantive duties carried out in the UK will undermine a person’s claim to be working full time abroad. However, the position is not clear cut. Nor has it been clear, if substantive duties in the UK are permitted, how many days may be spent undertaking such duties in the UK without jeopardising one’s non-UK residence status. The new draft guidance therefore seeks to address these issues.


New draft guidance

If the current draft guidance is adopted it will definitely apply for 2011/2012. For earlier tax years it is unclear whether it will apply in precisely this form for determining an individual’s residence status. From April 2012 a new statutory residence test is due to be enacted which might or might not include a “10-day rule”. The position should become clearer once the Government consultation is published in June 2011.

The new draft guidance states

In brief if the draft guidance is adopted in its current form it confirms, in relation to an individual who has gone abroad under a full time contract of employment, that • • •

such individual may work in the UK for up to 10 days without jeopardizing their non-UK residence status Work in the UK may comprise substantive and not merely incidental duties, (Here substantive duties include, for example, attending board meetings). If a person works for longer than 10 days in the UK this will not automatically make them UK resident. Whether or not they become UK resident will depend on all of the circumstances.

What is the relevance of going abroad under a full time employment contract? Under current HMRC practice one of the ways in which an individual can become non-UK resident is by leaving the UK to work full time abroad as an employee. Such an individual becomes non-UK resident from the day after departure provided the employment contract is for at least one full tax year (that is from 6 April in one year to 5 April in the following year). Certain other conditions must also be satisfied including that return visits must be limited to under 91 days per tax year on average and less than 183 days in any one tax year Going abroad under a full time contract satisfying such conditions is enough to establish a break from the UK so as to become non-UK resident. When an individual goes 22 Forum

“Non-residence and full time work abroad You can become non-UK resident if you make a break with the UK through working full time abroad. ‘Full time work abroad’ means a genuine, full time, foreign employment. This could be either a contract with a foreign employer or a formal secondment to a non-UK position by a UK employer. If you claim that you have left the UK to work full time abroad we will expect you to be able to demonstrate that you are working equivalent hours to full time foreign employees, at the same level in the same line of business, in the country concerned. It is expected that this will normally be a minimum of 35 hours a week. If you are working abroad you may still have to physically return to the UK sometimes to do some work here. You will be expected to show that the amount and nature of any work carried out in the UK do not prevent the overseas work from satisfying the criteria required for it to be considered to be full time. (contined overleaf)

The evidence required to demonstrate that you are in full time work abroad may include the following: • • • • •

A description of the nature of your work and responsibilities The results of your work Timetables of activities, including time spent and nature of work done in the UK Reports that you made to your employer on your performance A record of the annual leave you took

Duties in the UK

Given that •

Residence is a long term issue affecting the entirety of a tax year and individuals and companies will have planned actions on the basis of HMRC guidance, and The government has announced that it will consult on a statutory residence test to codify the rules on residence

HMRC can confirm that for 2011/12 this practice will continue. It will however, be reviewed for future years having regard to the outcome of the consultation on a statutory residence test.”

HMRC accept that it has a practice whereby non residence can be demonstrated by working abroad full time even though some of the duties carried on in the UK are substantive. Although this is not in accordance with the definition of full time work at section 830 Income Tax Act 2007, HMRC’s guidance on ceasing to be UK resident covers a wider range of issues than that section.1


How much work can be carried on in the UK depends upon the facts and circumstances relevant to each individual. However HMRC will generally accept that working in the UK for fewer than 10 days in a year will not by itself prevent an individual claiming they have made a break with the UK because they are working full time abroad. If more days than this are worked in the UK, whether an individual is working full time abroad will depend upon their particular circumstances.

Also helpful is the indication that employees may carry out substantive duties in the UK without this affecting their residence status. Previously there had been some doubt about this. It should mean for example that company directors may attend board meetings in the UK, provided they do not exceed the 10 day limit, without jeopardising their residence status.

Although allowing 10 days work in the UK is not particularly generous, it is at least helpful to have specific guidance as to the number of days which may be spent working in the UK without jeopardising residence status. Previously there was no such clarity.

Furthermore, if a person spends more than 10 days working in the UK they might still be treated as non-UK resident, depending on their other circumstances including of course their links with the UK. We understand that HMRC have indicated that if an individual spends time in the UK carrying out duties that are merely incidental to the overseas employment, these will not be counted towards the 10 days. Examples of incidental duties include periods of training. Note too the contexts in which carrying out any substantive duties at all in the UK, even for under 10 days, appears to remain problematical. For example, if a person carries out any substantive duties in the UK, then they no longer enjoy the protection of s 830 Income Taxes Act 2007. This means in practice that any accommodation they have available for their use in the UK must be taken into account in determining their residence status. Presumably too any substantive duties at all carried out in the UK are problematical in relation to “dual contract” arrangements which UK resident non-domiciliaries might enter into (which are beyond the scope of this briefing note). Of course rather than relying on HMRC guidelines, it would be much better if the law of residence were clear. It is to be hoped that from April 2012, when the introduction of a statutory residence test is anticipated, the current heavy reliance on guidance and case law to determine residence status will be a thing of the past. see opposite for postcript:

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Going abroad under a full time employment contract...continued POSTSCRIPT: BAHRAIN, EGYPT, LIBYA AND TUNISIA AND UK RESIDENCE RULES HMRC has announced that extra days spent in the UK by an individual as the result of evacuation from Bahrain, Egypt, Libya or Tunisia in view of the current political situation will constitute “exceptional circumstances” for the purpose of determining such individual’s UK residence status. Normally a person who spends on average 91 days or more in the UK per tax year (a tax year runs from 6 April in one year to 5 April the following year) can expect to be treated as UK resident for UK tax purposes. In HMRC’s guidance this “91 day test” is expressed to be relevant to an individual who starts to visit the UK and to a person who has left the UK under a full time employment contract but makes return visits to the UK. However, in accordance with the HMRC guidance, days spent by a person in the UK for “exceptional circumstances” can be left out of account. “Exceptional circumstances” will only apply for the period that individuals were advised by the Foreign and Commonwealth Office (“FCO”) to leave Bahrain, Eygpt, Libya or Tunisia and the week thereafter. You should check

the FCO’s website to find out the relevant periods of time and the areas affected. It is not clear whether substantive employment duties carried out by a person whilst in the UK under the above “exceptional circumstances” concession can also be ignored in determining their residence status. Unless and until clarified by HMRC you should assume that such work days must count towards a person’s residence status under the “full time employment abroad” principles described in the main part of this briefing. Note that a person is automatically treated as UK resident in any tax year in which they spend more than 182 days in the UK. In that instance the “exceptional circumstances” concession does not apply. Note too that there are many factors besides “day-counting” that are relevant to a person’s residence status so that even if a person averages many fewer than 91 days in the UK, he or she could still be treated as UK resident by HMRC.

This information has been prepared by Charles Russell LLP as a general guide only and does not constitute advice on any specific matter. We recommend that you seek professional advice before taking action. No liability can be accepted by us for any action taken or not taken as a result of this information. Charles Russell LLP is not authorised under the Financial Services and Markets Act 2000 but we are able in certain circumstances to offer a limited range of investment services to clients because we are members of the Law Society. We can provide these investment services if they are an incidental part of the professional services we have been engaged to provide.

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News from the Eastern Province

Since my last notes, Bahrain has been through significant turmoil and I am pleased to see that life is now hopefully starting to settle back to normality. Unfortunately, many business sectors were adversely affected and hopefully the road to full economic recovery is short. Thankfully, Eastern Province has been largely unaffected by the problems experienced around the region with the business world continuing to be very busy. It was a pleasure to welcome HMS Somerset into Jubail in early October and the on board reception provided an early opportunity for the British community to meet new ambassador, Sir Tom Phillips. Thanks to the Officers and crew for their hospitality.

In November, we were very fortunate to welcome Mr Edward Oakden, former HM Ambassador to UAE and currently Managing Director, Sectors Group, UKTI, as guest speaker at our November business dinner. Edward made a very interesting presentation covering a diverse range of topics including trade opportunities, politics, challenges for the new UK coalition government and even the potential impact of wikileaks. In January, we welcomed Paul Williams, Director of Trade and Investment, British Embassy, Riyadh as our guest speaker. Paul has been a civil servant for 42 years, of which 30 were spent in the Foreign Office. Paul gave a very entertaining valedictory address outlining his thoughts on his career, Middle East and his pending retirement. We wish Paul and Barbara well and especially a very long and happy retirement. In late November, I represented the BBA at the Annual Gulf Commercial Officers Conference (GCOC) in Dubai and on the following day, attended the “Britain in the Region”

Saudi Arabia Snippets Saudi Arabia’s Soliman Fakeeh Hospital has opened the first private tobacco addiction clinic in Jeddah, Arab News has reported. The new clinic will give evidence-based treatment and counselling with regards to smoking cessation. News Corp has raised its 26 Forum

stake in Saudi media group Rotana, majority-owned by Prince Alwaleed, to 14.5% for $35m as it seeks to boost its presence in the fast-growing regional media market. According to official figures, KSA’s annual inflation has moved up to 4.8% in April due to a rise in food and

The British Business Association (BBA) - Eastern Province P.O.Box 1868, AlKhobar 31952 Tel: 03 882 5288 ext 1651 Fax: 03 882 5384 Email: Website:

symposium where I again represented the BBA on the Saudi Arabia panel providing an insight into doing business in KSA. It was good to get together with Commercial Officers, British Business leaders and companies from around the Gulf and compare notes. “Britain in the Region” was an excellent event for selling UK plc and was extremely well attended. The annual Poppy Ball was held at the Crowne Plaza, Bahrain in November and once again proved to be a very enjoyable event and successful evening. As in the past, the event was run jointly with the Bahrain British Business Forum with the proceeds being donated to the Royal Chelsea Hospital Building Fund, London and the Earl Haig Poppy Fund in Scotland. Before we know it the next Poppy Ball will be upon us!

transport costs. Asking prices for homes in some Saudi Arabia suburbs have jumped by more than half in the past year as demand grows for affordable housing. The biggest price increases were for small villas, defined as houses between 300 and 400 m2, according to the latest report. In some areas of Riyadh the average asking prices for a small villa have

The first ever Volvo European Challenge golf tournament was held at the Royal Golf Club, Riffa in Bahrain at the end of January and the BBA were fortunate to receive tickets for the event from marketing organization, MEMAC, Bahrain. Many members took advantage of this offer and enjoyed a day out watching some of the best players in the World – the 19th also seemed to be a popular gathering point! Great day and we are all looking forward to next year. If you have any other ideas or suggestions for the BBA or need to contact us then feel free to call me directly, send an email to our Secretary at or via the website Geoff Fennah Chairman, EPBBA

grown by 59% since the first half of last year. King Abdullah has approved designs for thousands of new housing units he has ordered to be built in different provinces in Saudi Arabia. A number of royal decrees issued in March called for 500,000 low-cost housing units, costing SR250bn, to be established to solve the country’s housing problem.

Health Matters New hospital now on the scene Royal Bahrain Hospital is the newest addition to Bahrain’s medical sector, a project initiated by KIMS group and a number of Bahraini partners. On January 15 th , 2011, the hospital had its ‘soft’ opening, where the Orthopedics, Plastic Surgery, Dentistry, Physiotherapy and Rehabilitation and 24 hour clinic were the first to function. Back then, the hospital announced that the rest of the departments will open in rapid succession, and rapid it was. The ENT, Urology, Nutrition and Dietetics, Internal Medicine, Obstetrics and Gynecology, Pediatrics, General Surgery, Pulmonology and Sleep Medicine departments are all finally open thanks to a growing list of international and national doctors. The catalog of services is boosted with laboratory, radiology, pharmacy, 24 emergency and ambulatory services, as well as the addition of various treatments to many of the

departments. The Plastic Surgery department was given a facelift of its own, now known as the Royal Aesthetic Centre, offering a variety of invasive procedures as well as noninvasive services, such as the Thermage, Fraxel, and Velasmooth Pro devices for treating blemishes, scarring and cellulite. The main question is: what is it that Royal Bahrain Hospital has to offer that would allow it to compete with various other medical services providers? The answer is by featuring various advanced techniques and equipment for treatment. Taking advantage of its custom-built facility and roster of international and national doctors, the hospital is adding advanced medical techniques and technology to their catalog of treatments. In terms of technology some are simple in concept yet advanced in benefit, such as the “ClearPath” invisible braces and sleep disorders studies in the high-tech

Alice V sleep lab. Others are slightly complex, like using Thermage, Fraxel and Velasmooth Pro devices to treat scarring, blemishes and cellulite in a noninvasive manner. Finally, there are the intricate endoscopic procedures and laparoscopic surgeries on offer, which use small cameras to explore the body and provide a minimally invasive alternative to most conventional surgeries.

needle-less vasectomy, laser treatment for prostate and stone disease, as well as a plethora of small yet effective changes that make the healing process more efficient and less painful. “Our doctors are well aware of the newest treatments and technologies available in medicine” a spokesperson states, “and whenever it is deemed appropriate and beneficial we want to introduce them to Bahrain.”

Whereas within the technique category the list is abundant of simple yet clever ways to make treatments and surgeries easier for the doctor and the patient. Nose surgeries without nasal packing postoperation, scalpel-less and

New departments opening, a mounting list of doctors and professionals, highend catalogs of services, and an update for many of the departments has transformed this hospital from ‘new kid on the block’ to worthy competitor.

International Hospital of Bahrain launches its new Loyalty Programme In association with BMI Bank the International Hospital of Bahrain (IHB) launched its new Loyalty programme in May. Any patient using their BMI Bank credit or debit card benefits from very preferential rates at the IHB. The programme is exclusive to the IHB. Benefits include a flat rate consultation fee of BD10, 18% off medical services and 40% off surgical services. Additionally members benefit from IHB Loyalty Points, redeemable against 28 Forum

future services. Insurance claim forms are completed electronically and available upon request. The ‘fast track’ service is another IHB innovation where the patient can attend to their pre-booked appointment by going directly to the clinic, bypassing the Business Office. The member simply needs to initially register their finger impression and can then avail of the fast track service.

“We are very pleased to work with BMI Bank on the design and implementation of our new Loyalty Programme, incorporating innovation

and fast track service to our patients”, says Mr. Chris Lewis, IHB Chief Operating Officer.

E. coli As the magazine goes to press the news channels are full of an outbreak of e-coli which has affected more than 2000 people and resulted in 19 deaths. So what is this all about? What is E. coli? Escherichia coli (commonly referred to as E. coli) is a type of bacteria that can be found in the intestines of many animals including people. Some strains can cause illness in people. Usually people suffer from diarrhoea which settles within seven days without treatment. However some strains can cause serious kidney and blood complications, such as haemolytic-uraemic syndrome (HUS). Where does E. coli come from? All people normally carry harmless strains of E. coli in their intestine. Both the harmless strains and the strains that cause diarrhoea are acquired primarily through ingestion of contaminated food or water. Person-to-person and animal-to-human transmission is through the oral-faecal route. How does this bacteria get onto the vegetables? Generally bacteria can get on to vegetables either through contaminated water or there may be faecal material in the soil in which they are grown. Washing alone won’t remove all traces of the bacteria and there could be small amounts left on the vegetable. Even small amounts of these strains of E. coli can cause illness.

How can I avoid food poisoning of this kind? It’s important to always apply good food safety principles. While washing won’t always remove all traces of E. coli it’s still a good idea to wash vegetables and fruit well in water and always wash your hands before preparing food. • Start by keeping your kitchen countertops, refrigerator, cookware and cutlery clean. • Always wash your hands before preparing meals and handling fruits and vegetables. • Keep fresh greens, fruits and vegetables away from uncooked meats to avoid crosscontamination. • Wait until just before you eat or prepare your fruits and vegetables to wash them. Fruits and vegetables have natural coatings that keep moisture inside, and washing them will make them spoil sooner. • Wash all pre-packaged fruits and vegetables, even if the label claims they are pre-washed. • Wash all parts of your fruits and vegetables, even if you don’t plan on eating them. Bacteria can live on the skin of a cucumber, for example. Though you may peel it away and toss it in the trash, the bacteria can be transferred from the outside of the fruit or vegetable to the knife you use to cut them, and then onto the parts you will be eating. Forum 29

The Report: Bahrain 2011 to explore key role high-tech industries and small businesses will play in economic expansion A billion-dollar ‘technology city’ slated for Bahrain International Investment Park is expected to boost growth in hightech, knowledge-based industries, according to Dr. Esam Abdulla Fakhro, Chairman of the Bahrain Chamber of Commerce and Industry (BCCI). Fakhro said that the project, which is a joint venture between the Economic Development Board and Kuwait Finance House-Bahrain, would bolster the Kingdom’s plans to make its industrial sector more competitive and shift the economy away from a reliance on oil. The Chairman of the BCCI was speaking exclusively to Oxford Business Group (OBG), the global publishing, research and

consultancy firm. The full interview with Fakhro appears in The Report: Bahrain 2011, OBG’s forthcoming guide on the Kingdom’s economic activity and investment opportunities. Fakhro said that the ‘technology city’ project formed part of Bahrain’s bid to tap industrial investment and increase the role of the private sector in line with the Kingdom’s long-term economic roadmap, the Bahrain Economic Vision 2030. “The project will focus on the manufacturing and assembly of computers, electronics, pharmaceuticals and medical supplies,” he said. “It will also aim to embrace SMEs. The private sector plays a major role in establishing and

promoting industry through technological projects.” Fakhro voiced his confidence that SMEs would be a driving force in propelling growth across Bahrain’s economy, pointing out that structures had been put in place which would enable them to play a key part in its expansion. “SMEs will continue to play a major role in creating jobs. They provide an alternative way to improve standards of living and mitigate negative effects of unemployment, particularly for young people,” he said. “With the BCCI’s support, SMEs in Bahrain are set to achieve great success commercially and become a global model emulated by countries around the world.” Fakhro said that expanding Bahrain’s heavy industries, spearheaded by the key aluminium segment, was a priority for the Kingdom. He acknowledged there were concerns about finite energy reserves, but said plans to expand Bahrain’s aluminium industry would drive forward the development of valueadded products, ensuring gas exploitation brought maximum economic benefit.

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“The issue of limited energy is certainly a concern, but efforts are under way to find and utilise economically feasible alternatives,” he said. “Despite their heavy reliance on hydrocarbons, continued investments in these sectors are critical due to their important role in the national economy. The key is to facilitate the continued expansion of Bahrain’s heavy industries.” The Report: Bahrain 2011 will mark the culmination of more than ten months of on-the-ground research by a team of analysts from OBG. It will provide information on opportunities for foreign direct investment into Bahrain’s economy and will be a guide to the many facets of the Kingdom, including its macroeconomics, infrastructure, banking and sectoral developments. The Group’s report will include a detailed, sectorby-sector guide for foreign investors, together with a wide range of interviews with the most prominent economic and business leaders. The Report will be distributed to all BBBF members complimentary as an additional benefit of membership.

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Hotel & Leisure News

Marriott to manage third property in Bahrain Marriott International (NYSE/MAR) plans to introduce its Residence Inn by Marriott lodging brand for extended stay travellers in Bahrain later this year, under a long term management agreement with International Trading And Investment Co. W.L.L. The 78-unit property will open in the Juffair district of Manama and will be the first Residence Innbranded property in the Middle East. “We’re thrilled by the continued expansion of our presence in Bahrain and are excited to introduce our third lodging brand in the country, giving travellers a growing choice in accommodation when they visit the country,” said Ed Fuller, President & Managing Director for International Lodging at Marriott. Sheikh Hisham Abdulrahman Al-Khalifa, Chairman of International Trading & Investment Co., said, “We are delighted to develop the first Residence Inn by Marriott in the Middle East. This reflects our full confidence in the economic growth of Bahrain

and a restaurant that serves breakfast and small snacks for lunch and dinner. A business centre including a 20-square metre meeting room, a “Grab and Go” kiosk/market offering snacks and basic food items for those in a hurry, and retail space for sundry items will also be available as part of the lobby.

Ed Fuller, President and Managing Director-International Lodging, for Marriott International, and Sheikh Hisham Abdulrahman Al-Khalifa, Chairman of International Trading & Investment Company.

under the leadership of His Majesty King Hamad bin Isa Al-Khalifa. We are grateful to the Marriott team for their support to develop the Residence Inn. After the success of the Marriott Executive Apartments, the opening of the Residence Inn by Marriott will provide more options of branded serviced apartments in Bahrain and will further strengthen our valuable association with Marriott.” The Residence Inn by Marriott Juffair will be located

adjacent to the Marriott Executive Apartments and will offer a mix of spacious and stylishly appointed studios, one-, two- and three-bedroom suites. Designed for stays of five days or more, each suite will have a fully-equipped kitchen and separate living area, flat screen TV and state-of-the-art connectivity. Rates will vary depending on length of stay.

Recreational amenities will include an outdoor swimming pool and a health and leisure club with men’s/women’s lockers with separate sauna and whirlpool. Residence Inn is Marriott International’s second largest lodging brand with more than 600 properties in North and Central America and the Caribbean with additional development underway in Europe and the Middle East and Africa.

A special feature will be the Residence Inn lobby with its club-like atmosphere

Marriott International currently manages the following hotels in Bahrain: • The Ritz-Carlton, Bahrain Hotel and Spa • Marriott Executive Apartments Manama

Bahrain, the hotel is located close to a nature reserve, in

a protected area with crystalclear turquoise waters.

Sofitel Bahrain Zallaq Thalassa Sea & Spa now open The hotel, which has been under construction for the past two years, had its soft opening around the end of February. General Manager Guy Poujoulat said “There is nothing else quite like it. This is the first hotel within the Gulf Cooperation Council countries (GCC) to offer thalassotherapy and we 32 Forum

hope that visitors and local residents will enjoy it.” The 262 room hotel, which features nine restaurants and bars, operates on one of the country’s natural beaches and is an important opening for the company, following its re-positioning three years ago. Situated on the west coast of

Hotel & Leisure News MODA Mall announces new Luxury Stores

MODA Mall, Bahrain’s ultra-exclusive shopping destination today announced the opening of six new luxury regional and international stores at its premises at the Bahrain World Trade Center (BWTC). World leading brands Chopard, Christophi Jewellery, De Beers, Atelier de Courcelles, Al Othman and Bottega Veneta opened their new outlets at MODA Mall. Located at the mall’s Jewellery Court, world’s leading diamond suppliers De Beers and Christophi’s offer a range of exclusive diamond jewellery designed for all occasions. In addition

renowned for its creativity, state-of-the-art-technology and the excellence of craftsmanship the Chopard store features an extensive collection of high-end watches and accessories. In addition to jewellery brands MODA Mall unveiled three leading designer stores showcasing haute couture and ready to wear apparel for all ages. Atelier de Courcelles, a multi brand store concept dedicated to high-end childrenswear offers the most premium and trendy children’s collections ranging from infant wear to 16 years. Al Othman the region’s leading fashion retail store features

the latest fashion trends by some of the leading international apparel designers. Preparations are underway to open its exclusive bridal shop at the mall in the coming months. Bottega Veneta internationally renowned for its signature leather goods, is once again open for business and will continue to offer a range of exclusive handbags, luggage and leather wallets. MODA Mall’s latest addition to its array of services is the opening of “Heads Up” salon which offers a wide range of hair and beauty services exclusively for women. Located on the ground floor of the BWTC East Tower, the salon is open from 10am to 8pm, 7-days a week. The salon specialises in haircut, haircolour and bridal makeup using top of the line hair and beauty products. MODA Mall is home to exclusive brand-name boutiques and provides savvy and sophisticated shoppers with access to the finest designer clothing

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and jewellery brands, in addition to the sounds and sensations of the most glamorous destinations on the fashion map. The mall also offers shoppers a luxury experience in dining choices. Currently, shoppers can choose from Patisserie Valerie, Lina’s, Vivel Patisserie, Abd el Wahab and Maki, in addition to Espressamente illy Café at Sheraton Hotel overlooking the mall’s Jewellery Court. Offering a 1,700 space car park shared with the adjoining Bahrain World Trade Center, MODA Mall is open all days of the week from 10 a.m. till 10 p.m.

CURRY NIGHT WINNERS The winners of the Intercontinental Regency Friday Brunch Vouchers were: Simon Roberts Myna Al Mehaiza Niall McMorrow

The Diplomat Summer The Diplomat Radisson Blu Hotel, Residence and Spa, Bahrain is once again ready with a selection of fabulous benefits for all guests during the summer months of July and August. We have designed a selection of specially tailored packages for visitors to Bahrain allowing us to offer something for everyone. It does not matter if you are traveling alone, as a couple or bringing the family, we have rooms to suit your needs from only BD49++ for a Standard room single or double inclusive of breakfast and BD85++ for one of our beautiful One Bedroom Suites with breakfast! For those of you who want the royal touch, why not upgrade to our Royal Club Rooms

and enjoy private check-in, personal assistance and private access to our Royal Club Lounge. Experience the comfort and elegant furnishings of our two or three bedroom residence suites from BD 150++ and BD 250++ . Enjoy our Middle Eastern hospitality upon your arrival as our staff offer each guest complimentary welcome amenities and a special ice cream treat for all children upon check-in. Sample lavish Food and Beverage offerings at breakfast, lunch and dinner in our range of internationally acclaimed outlets all complete with kids’ menus and will leave you spoilt for choice. Should you prefer to dine

in the comfort and privacy of your room, suite or apartment, make your choice from our extensive room service menu and let our One Touch Service do the rest. Our renowned therapists at The Diplomat Spa will revive and rejuvenate you this summer with treatments and packages designed for both men and women featuring the luxury products,

Phytomer. Whilst you indulge in one of our bespoke Spa packages which start from as little as BD 20+, why not treat your kids to a unique diving experience of a free one hour under water scuba session in collaboration with Scuba Master exclusively for our resident guests. A warm Arabian welcome awaits as we look forward to you spending time with us this summer.

Leisure-Inc to combat Bahrain child obesity Leisure-Inc, the Bahrainbased leisure development and consultancy group, has added three new interactive fitness systems to its portfolio in a bid to help tackle child obesity.

The firm has entered into an exclusive agreement to distribute Dance Mats, Sport Wall and Expresso Bikes supplied by UK-based ZigZag. Leisure-Inc now hopes that the equipment will increase activity among young people in Bahrain, with 33% of children (that is equal to 63,000 children) said to be considered obese. With children’s obesity and diabetes reaching record levels in Bahrain, children’s

health, wellness and fitness needs to be addressed. The World Health Organisation (WHO) recently referred to the obesity crisis as an “epidemic”. “Children want to have fun rather than getting fit so our interactive systems for children incorporate group activity that is engaging fun, whilst at the same time, burns calories,” said Leisure-Inc CEO Rohun Beven. Ben Bradshaw, the former UK Secretary of State for Culture, Media and Sport, revealed that the “Dancing on Mats project has been a huge success and a survey revealed that 84% of children who tried the system wished to continue taking part in future”. Forum 35

Hotel & Leisure News InterContinental Regency Bahrain awarded the best business hotel in Bahrain InterContinental Regency Bahrain beats a highly competitive field to win the Business Traveller Award for ‘Best business hotel in Manama”, during a ceremony held in Dubai on May 1st, 2011 in the presence of the regions’ top hoteliers and hospitality professionals. Organised annually by the Business Traveller magazine and decided by readers’ votes, the awards, which are considered to be the most prestigious of their kind within the hospitality sector, recognise industry

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excellence across multiple categories and regions. “We are truly privileged to receive this prestigious award. The award recognises the commitment and professionalism of the InterContinental Regency team. We will continue anticipating and recognising our guests’ needs in order to remain the hotel of choice for business travellers”, said James McDonald, General Manager at InterContinental Regency Bahrain.

Bahrain News New Editor for The Bahrain Banker The Bahrain Association of Banks, which brings together banking institutions of all sizes and charters in the Kingdom of Bahrain and works towards enhancing Bahrain’s image as the financial hub of the Middle East, has appointed a new editor for its quarterly magazine, The Bahrain Banker.

for private banks, wealth managers and offshore law firms.

James Grant-Morris, who took over from outgoing editor Nigel Gibson in November, 2010 joined the Association after a distinguished career in financial journalism in London and the Far East. Following stints at Reuters, Dow Jones Newswires and Euromoney, he was most recently editor of thewealthnet, an online news and analysis service

James edits The Bahrain Banker as well as planned handbooks on topics such as Islamic insurance, corporate governance and project finance. He also works with the Association’s events team on putting together roundtables and seminars. He looks forward to contributing to the activities of the BBBF and can be contacted on:

Yateem Air Conditioning to open new sales & service centre in Sitra The new premises will be located in a purpose built showroom on the ground and mezzanine floors of the new Yateem Building, located close to the traffic lights for Al Bander and Bahrain Yacht

Club in Sitra. This will allow the group to showcase many additional product lines and services and offer greater convenience to customers who do not wish to travel into town.

Hill & Knowlton Bahrain join organisations across the globe to mark Earth Day 2011

Hill & Knowlton Bahrain, the largest and longest established public relations and communications consultancy in Bahrain, held a walkathon in support of Earth Day 2011, which fell on Friday 22 nd April 2011. The Hill & Knowlton team, led by Deputy General Manager Julia AthertonDandy, walked around Bahrain’s Amwaj Islands to promote healthy living, eco friendly transportation and environmental advocacy. The team also signed a Green Charter, committing to environmentally friends acts in every day working life, such as car pooling, saving paper, lowering the carbon footprint of the office and recycling. Earth Day has been celebrated across the globe since 1970, with this year’s theme being the largest environmental service

Servcorp has launched its first ever iPhone application ‘Meetings’, download it for a flexible and user-friendly business tool which allows

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campaign so far, to commit a "billion acts of green", such as planting a community garden, installing solar panels or organising a green awareness event. Julia Atherton-Dandy, Deputy General Manager of Hill & Knowlton Bahrain, commented: "Bahrain has come on in leaps and bounds in recent years in terms of environmental progress, with more parks and gardens planted, increased focus on green issues in schools, readily available recycling bins and the great work of initiatives such as the United Nations Development Program in environment. H&K globally takes Earth Day seriously as a way of showing our commitment to the communities we operate in, hence we wanted the entire team to show their support for this great cause."

Construction of warehouse facility Charles Russell has been doing its underway at Bahrain Logistics Zone bit to promote the “Bahrain Back in Piling work is underway and Business” effort. is progressing well. The BLZ will support and monitor the construction process, as with all our clients, as part of the BLZ’s overall aim of establishing a benchmark for high-quality logistical operations.

Shaikh Daij bin Salman Al Khalifa The General Organisation of Sea Ports (GOP) announced in March that foundation work on the Almoayed Wilhelmsen Ltd. warehouse facility has begun and is progressing steadily at the Kingdom’s only dedicated customsfree, value-added logistics park. The project at the Bahrain Logistics Zone (BLZ) is scheduled for completion by December this year. Almoayed Wilhelmsen Ltd. was founded in 1976 as a joint venture between one of Bahrain’s leading families A. K. Almoayed and Wilhelmsen Ships Servce, a Norwegian company based in Oslo. Wilhelmsen Ships Service has the world’s largest maritime services network, servicing 2,200 ports in 125 countries. Commenting on the announcement, Shaikh Daij bin Salman Al Khalifa, Chairman of GOP said: “We are proud to announce that Almoayed Wilhelmsen Ltd remains committed to the development of their presence in the Bahrain Logistics Zone, and is moving ahead with the construction of its new warehouse facility on site.

“We have signed a 20-year lease agreement and are confident that Almoayed Wilhelmsen Ltd will positively contribute to Bahrain’s growing national economy. With the commencement of construction, we are certain that the project will add value as it progresses in terms of generating investments, creating new job opportunities and further solidifying Bahrain’s position as a viable logistics hub in the Gulf,” he added. Dr. Tawfeeq Abdulrahman Almoayed, Chairman of Almoayed Wilhelmsen Ltd said: “We look forward to expanding our business here in the Gulf, and are determined to complete the construction of our new warehouse facility at the BLZ according to schedule. This will help us achieve maximum benefit in terms of operational efficiency here in the region. We are positive that the Kingdom of Bahrain will play a major role as a transhipment hub, supporting the logistics activities over the next 20 years, and we will be able to contribute effectively to those activities through our new warehouse. This new facility, when completed, will contribute to the realisation of Bahrain’s Economic Vision 2030, and will allow us to offer a wider product and service portfolio to our customers.”

We recently participated in the Wave Challenge Regatta Championship organised by the Bahrain Maritime Sports Association under the kind patronage of Sheikh Khalifa Bin Abdulla Al Khalifa. The event took place at the Bahrain Sailing Club near Al Jazayer beach in Zallaq and involved seven teams sailing J24 boats. Other participants included the Kuwait Finance House, Tatweer Petroleum and the Emerging Market Partnership. The firm hosted a construction law seminar at the Regency Hotel on May 16. The aim of the seminar was to provide a more detailed look at the key risks - from the client’s / employer’s perspective of the three main forms of FIDIC contract in use around the world. It also included a separate presentation on the availability and structuring of Shari’ah compliant finance options in construction projects. The seminar was well received and attracted guests from across the Bahrain business community. The next seminar will be held in the second week of June and will include a

presentation on drafting commercial contracts and Force Majeure clauses. This should prove highly topical given recent disruptions in the region. Charles Russell will also be looking to organise further events with the BBBF later in the year. More information will be circulated in due course. The Bahrain office recently welcomed Lucy Methven and Charlie Marlow to the team. Lucy is a corporate and commercial lawyer and her experience covers general corporate and commercial work for a mixture of private and public companies. Charlie is a property lawyer and has experience of working on a variety of commercial property transactions and regularly advises a number of high profile clients on landlord and tenant matters, including in relation to investment management, high street retail, shopping centre and development premises. He is currently on a secondment to the Bahrain Airport Company where he oversees the legal aspects of the property related matters.

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Bahrain News Norton Rose (Middle East) LLP in Bahrain Building our practice

International legal practice Norton Rose Group recently promoted 15 associates to partner in a global partnership round, which included seven female promotions. Two associates were promoted in the Middle East, one of whom is based in Bahrain. Joanne Emerson Taqi (Construction and Infrastructure, Bahrain) Joanne’s main areas of focus are non-contentious projects and construction

in the real estate and infrastructure sectors. She has been based in Bahrain since 2006.

Joanne advises on all types of developments, including commercial, industrial and public, and all forms of contract, including the FIDIC suite of agreements, NEC, JCT and the Australian Standards. She has developed specific expertise in the water (including wastewater, desalination and district cooling), waste (including waste to energy) and housing (including

social housing and worker/ staff accommodation) sectors and in PPP procurement. She also has experience advising government institutions, concessionaires, project companies, developers, contractors, consultants and financial institutions. Joanne is a regular contributor to Gulf Construction magazine and Arabian Homes magazine and regularly presents at international and regional conferences including, most recently, the MEED Project

Finance 2010 Conference and the Infrastructure Public Private Partnership 2010 conference. She has been ranked as a leading individual in Chambers Global since 2008. Campbell Steedman, Head of Norton Rose Group’s Middle East practice commented: “We are delighted that two of these promotions are in the Middle East highlighting the continued growth of the region and the strategic importance of the Middle East globally”. The promotions will create two new partners in the Middle East (Abu Dhabi

Alosra hosts grand opening of its state-of-the-art outlet Alosra Supermarket, the fresh and friendly subsidiary of BMMI, welcomed H.E. Dr. Hassan Fakhro, Minister of Industry and Commerce, together with other notable dignitaries, to the grand opening of its state-of-the-art outlet on Amwaj. Guests were given a tour of the supermarket to experience first-hand the unparalleled shopping experience offered at Alosra. Strategically located at the entrance to Amwaj, the

store boasts breathtaking sea views, ample parking spaces, and modern, spacious interiors. Wellstocked shelves, spacious aisles, clearly labelled sections, fresh produce, and friendly staff all come together to present customers with a premium shopping experience. “Having welcomed our first customers over a month ago, we have received a lot of positive feedback about the look and feel of our new outlet,” said Jaffar Al

Jaffar Al Asfoor answers questions during the press conference 40 Forum

Asfoor, General Manager of Alosra. “The team has worked hard to create a contemporary store design based on global trends and customer preferences, source world-class equipment, and benchmark our creative concept

against internationally acclaimed supermarkets in Europe. We have gone to great lengths to ensure we provide our customers with a wholesome shopping experience, and I can confidently say that we have succeeded.”

H.E. Dr Hassan Fakhro is given a tour of the new supermarket

and Bahrain), five new partners in Asia Pacific (two in Canberra, one in Shanghai, one in Singapore and one in Sydney), four new partners in London and four in Europe (Amsterdam, Athens, Munich and Paris). Events and briefings Norton Rose (Middle East) LLP - Breakfast Briefing Series Programme - 2011 We have developed a package of breakfast briefings on various construction, projects, real estate and dispute resolution related topics designed for industry stakeholders in the Middle East that we will be running over the next year. The first briefing was held on Wednesday 4 May 2011 and explored the consequences of civil unrest on contractual obligations and examined the relevance of the UK

Bribery Act 2010 for Gulf based business. This was a successful event with attendees from key global and Bahrain institutions such as Arab Banking Corporation, First Bahrain Real Estate, Kuwait Finance House and HSBC.

events in the different jurisdictions have occurred for differing reasons and have manifested themselves in different ways, and it would be wrong to draw generalisations about the causes or contributing factors to the situations.

The next Breakfast Briefing will be held in June on PPP procurement strategies. Date and further details upon request.

There is, however, one common consequence for business as a result of such events: it makes it more difficult (or temporarily impossible) to do business. This result can have commercial and legal consequences including delays, disputes, insurance claims and allegations that an event of force majeure has occurred upon which a party may seek to rely to excuse its non-performance or cancel a contractual obligation. Norton Rose (Middle East) LLP have been instrumental in advising businesses in Bahrain and

Norton Rose (Middle East) LLP - Unrest in the MENA region: is your business protected? The past few months have seen a period of unprecedented political, economic and social changes throughout a number of countries across the Middle East and North Africa. Although regarded widely as being a common view towards change across the region, the witnessed

globally on the legal issues to consider when dealing with business interruption in the circumstances described above. We recently held a high level round table including senior representatives from HSBC, PWC and Kuwait Finance House where we discussed these and other related issues. A Norton Rose (Middle East) LLP client briefing on these issues is available on request. Norton Rose (Middle East) LLP Women’s Roundtable Group Following on from our successful introductory meeting last year, our event at the World Islamic Banking Conference in October 2010, and our International Women’s Day celebrations on 8 March 2011, we are holding our next Women’s Roundtable event on Tuesday 7 June 2011.

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Bahrain News

80 students join Access Programme

The American Cultural and Educational Centre were pleased to welcome 80 new students to their two year Access programme this year. Welcome certificates were presented to the students by Rachel Graaf

from the US Embassy who fund the programme and the Principal of ACEC, Elgin Vande Wiele. The ceremony was attended by parents of the students, teachers and staff from ACEC. A lunch of light

refreshments was provided by ACEC and all enjoyed an afternoon break from the curriculum and getting to know each other socially. The American Cultural and Educational Centre in Juffair

and its sister company Manama Training Centre stress the importance of not only English language skills but also interaction in the community and observance of other cultures. The 2 centres have over 25 teachers who hold qualifications from some of the world’s most prestigious universities. Many students of ACEC and MTC continue their studies by attending Universities both locally and abroad. The courses also help individual students to progress into the local working environment. The Manama Training Centre has been licensed by the Ministry of Labour. This enables companies sending students to the centre in Adliya to receive a levy back from the Ministry upon completion of courses. Due to recent events in Bahrain the MTC

Condor working on two major projects Condor Technology can genuinely claim to be one of Bahrain’s leading Telecommunications and IT (known as ICT) solution providers. They continue to work with some of the biggest companies in Bahrain Currently, they are working on projects with two of the biggest: Batelco and Tatweer. Condor is working with Batelco deploying a fiber distribution solution in new high rise residential buildings. This innovative solution enables fiber to be distributed right through to the customer’s apartment. This clever technology, where the fibers are “drawn out” of the main 42 Forum

Above Left: Condor Engineer working on Fiber Distribution solution. Above Right: Solar Panel providing power

cable, is fast to deploy and extremely reliable making it very attractive to the high rise developers. Condor is also working with the giant oil company Tatweer. As you may have noticed, there are many new

oil wells springing up around the country as Tatweer roll out their vast expansion. It is essential that all of the wells have communications back to a central control point, and this is done via a complex Wireless Radio Network. Condor is heavily

involved with Tatweer on this project not only on the communications side but many other aspects as well including the provision of a solar power solution to the sites where conventional power cannot reach.

has also started performing courses on company sites. This alleviates students travelling to Adliya and the teachers travelling to the various company work sites. MTC has found this to be very productive as it ensures better attendance and prompter feedback from the teachers to the companies sponsoring the students. The inception of the American Cultural and Educational Centre and the subsequent Manama Training Centre was set up by a group of Bahraini businessmen in 2000. Their goal was to improve upon the vision of the U.S. Embassy to bring the ‘best of the west’ in terms of teaching practices to all sections of the Bahraini community who may not otherwise have had the opportunity.

Seef Mall Holds First Raffle Draw of “Seef Summer Surprises” Seef Mall held the first raffle draw of its “Seef Summer Surprises” promotion on Thursday (May 19th). The raffle was the first of three monthly draws leading up to the grand draw in July. “The campaign has proven to be a fantastic success so far with our customers,” said Seef Properties General Manager Robert Addison. “We, working alongside our tenants, have invested a lot of time and effort to provide our shoppers with a unique experience through a wide range of family entertainment activities while at the same time rewarding them for their loyalty. Congratulations to the winners and best of luck to everyone in the upcoming draws.”

Daneel Abdulla (left) receives his prize from Seef Mall’s Customer Service representative, Fouad Abdulameer

“Seef Summer Surprises” will run until July 15 th . Customers are rewarded with one raffle coupon for every BD 20 spent at the mall or night spent at Fraser Suites Seef. Each month, 40 prizes ranging from popular electronics and gaming consoles and shopping vouchers are given away, culminating in a final draw

for the overall grand prize: a Mercedes ML 350 2011. Seef Mall also holds daily interactive kid-friendly activities for the duration of the promotion, including clown and magic acts, races, arts and crafts lessons, face painting, and the everpopular Seef Express train, among others.

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Bahrain News BMMI in the Pursuit of Excellence

The Group kicks off project to support implementation of an Integrated Management System BMMI has laid the ground to become the first company in its industry in Bahrain to implement an Integrated Management System (IMS) that incorporates all the common elements of four management standards under a framework that facilitates this integration. Under IMS, BMMI will integrate its management system for Quality (ISO 9001), Occupational Health & Safety (OHSAS 18001), Environment (ISO 14001) and Food Safety (ISO 22000), to create a holistic structure in which the processes, interfaces, structures and documentation of the individual systems are integrated into one standard management system.

“BMMI needs to have effective management systems in place not only to achieve our goals and objectives but also to satisfy the needs of all our stakeholders,” explains Laura Mejia, Quality Systems Manager at BMMI. “With IMS and its accompanying certifications, we can better position ourselves as the company of choice for partners, customers, suppliers and employees by demonstrating that BMMI is committed to excellence in the management of all aspects of quality, health & safety, environment and food safety.”

the Group with systematic control of its activities and processes to ensure that customer expectations and requirements are consistently met, while OHSAS 18001 enables BMMI to demonstrate its commitment to maintaining a safe and healthy workplace for employees and the surrounding community. Similarly, ISO 14001 will help the company reduce the environmental impact of its products and services and ISO 22000 will enable the consistent provision of products that are safe for consumption.

Each of the four management systems under IMS is of vital importance to BMMI. ISO 9001 provides

“While the group has already achieved certifications for its Quality and Health & Safety management systems, with the implementation of IMS, BMMI is making a public commitment to customers and communities to enhance the reach of its management systems to include Food Safety and Environment.”

continue to secure. Recent instructions have included deals for BNP Paribas’ first regional private equity fund, Tadhamon Capital, Arcapita and Oasis Capital Bank.

after stints in our London headquarters, as well as new starter, Tom Reynolds who recently completed his training contract at the firm.

Our Corporate team has recently been supplemented by the return to Bahrain of associates Brian Howard and Deborah Howard,

Islamic Finance News Leading Lawyers The Islamic Finance News Leading Lawyers 2011 list has been announced. Three

As part of its business development plan for 2011, BMMI has also embarked on a series of Information Technology (IT) initiatives in order to increase the Group’s operational efficiencies. “We are glad that BMMI has taken on board an IMS and we realize that IT will play a very important function in supporting with automation whenever possible to create more streamlined processes. In order to facilitate this, we have begun a number of important IT updates such as an upgrade to Windows 7 and Microsoft Office 2010, the purchase and implementation of Oracle iStore, and lastly, stepping up our IT operations in our African locations where, up until now, the division has faced a major challenge due to the lack of adequate IT infrastructure,” added Mike Kruger, IT Manager at BMMI.

Trowers & Hamlins boost corporate team The Bahrain office of Trowers & Hamlins has continued to remain active on a number of fronts, despite the recent unrest. We were able to keep our office open throughout the period, except for a few days when the Bahrain World Trade Centre was not accessible. We are delighted to have been ranked the only firm in Bahrain with top-tier status for Corporate/M&A work in Bahrain in the 2011 edition of the well-known directory Legal 500 Europe Middle East and Africa. We believe this reflects the high quality of mandates that we 44 Forum

partners from Trowers & Hamlins’ Bahrain office have been included across a range of categories: Neale Downes (asset and fund management, banking and capital markets), Abdul-Haq Mohammed (real estate and property) and Jeremy Ingham (asset and fund management, banking and capital markets).

Dubai FDI, DHL launch fully automated DHL SERVICE POINT 24/7 in Dubai as part of City Logistics partnership Dubai FDI of the Department of Economic Development (DED) in association with DHL Express, the world leading express company, has launched five fullyautomated DHL SERVICE POINT 24/7 outlets in Dubai as part of a pilot project. The joint initiative is aimed at elevating Dubai’s logistics capacity through the development of innovations that drive efficiencies within the industry sector. The initiative stems from the City Logistics programme developed by DHL’s innovation unit, DHL Solutions & Innovations (DSI) in partnership with the DED in 2009. In the launch phase, the DHL SERVICE POINT 24/7 can potentially yield a combined carbon reduction of 80 tons per annum. In the expanded phase the reduction in carbon is expected to rise to 280 tons per year. H.E Sami Al Qamzi, Director General, DED said, "Dubai is an inspiring model for sustainable business growth, a centre for global trade. To further scale up the competencies and competitiveness of Dubai, and to reiterate the city’s position as the hub of the Middle East, several concerted efforts are being made to strengthen all aspects of the economy. The logistics sector plays a vital role in growing our economy and the commencement of groundbreaking services such as

DHL SERVICE POINT 24/ 7 cements Dubai’s position as a pioneer and thoughtleader in the region.” “Dubai is the first city outside of Germany to pilot the deployment of DHL SERVICE POINT 24/7 and DHL is proud to be leading the introduction of new logistics innovations to our customers in the UAE, in collaboration with the Department of Economic Development.” said FrankUwe Ungerer, Country Manager, DHL Express United Arab Emirates. “In addition to harnessing the power of technology to improve logistics solutions, DHL SERVICE POINT 24/7 offers our customers more flexibility and convenience to help maintain their competitive advantage.” “The logistics sector plays a key role in driving the sustainable growth of Dubai. As the hub for the global logistics, we have already set international best practices in the industry, and DHL SERVICE POINT 24/7 highlights how competitive economic activity can be successfully interfaced with sustainability, especially in areas related to Carbon reduction. The deployment of the automated outlets further underscores the commitment of Dubai FDI to promote investments in all key growth sectors and thus strengthen Dubai’s competitiveness,” said Mr Fahad Al Gergawi, CEO of Dubai FDI

Created in Germany by DHL, SERVICE POINT 24/7 is a pioneering urban logistics solution in the form of a secure standalone outlet that gives customers the convenience and flexibility of collecting and dropping-off their shipments whenever it suits. DHL has been using these service points in Germany since 2001. Today, there are more than 2,500 service points in Germany and around one and half million customers that use them frequently. The DHL SERVICE POINT 24/7 pilot is the second initiative of the City Logistics programme, targeted at three areas critical to Dubai’s growth: reducing congestion, improving convenience and minimizing carbon footprint. This follows the successful initiative led by DED in 2010 in developing the UAE’s first carbon neutral warehouse at Dnata Cargo’s FreightGate-51. The introduction of this automated first and last mile delivery concept in the UAE is a breakthrough in logistics technology, designed to offer a simple but sustainable shipping service for individual consumers, SME customers from a wide range of industries, as well as enterprises such as banks, embassies and government offices. DHL’s Frank-Uwe Ungerer added: “Innovations such

as the DHL SERVICE POINT 24/7 bring to life DHL’s strategy to be ‘The Logistics Company for the World’ by demonstrating our commitment to delivering simplified services and sustainable solutions to our customers.” Beyond offering UAE businesses and individual customers a convenient service that fits into their unique lifestyle or business operation models, DHL SERVICE POINT 24/7 is also an environmentally friendly shipment collection and delivery solution. By consolidating shipments at designated locations, the number of courier trips made by vehicles is greatly reduced, which contributes to a reduction in congestion and carbon footprint. Such innovations also help drive efficiencies in the logistics sector and aligns with the Dubai Strategic Plan 2015’s focus on management growth and development and emphasis on environment, planning and efficient infrastructure. The five unique DHL SERVICE POINT 24/7 outlets operate 24 hours a day, seven days a week, allowing users a greater freedom of choice. The outlets are conveniently located at the Deira City Centre and Khalid Bin Waleed RTA metro stations, DIFC Building 5, Dubai Internet City Block 11 and the Emarat Service Station on Al Wasl Road.

In April 2010, the Department of Economic Development (DED) led the initiative to transform a Dnata Cargo site - the FreightGate-5 airport cargo terminal - to develop the first carbon neutral warehouse in the UAE. This initiative was part of an agreement between DED and DHL to develop logistics innovation initiatives that drive efficiencies within the logistics sector through better policy management.


46 Forum

New Inventions that could change your life Time magazine recently ran a list of the best 50 inventions of 2010. From flying cars to waterless washing machines here are a few of the ones that caught my eye.

muscular wearer to lift 200-lb. weights without breaking a sweat and, as seen in demonstration videos that have gone viral, punch through slabs of wood that a person would be at pains to even saw through ordinarily. Raytheon hopes to roll out the XOS 2 first to the military, allowing soldiers in theatres of operation to lift heavy ordnance or other equipment with ease. The affordable home model, alas, is still the stuff of geek dreams.

From the beginnings of time man has been obsessed with flying and every depiction of future transport since Buck Rogers includes a jet pack. The Martin Jetpack positions itself as the planet’s first practical jet pack. Martin’s version doesn’t look practical: he appears to have welded two enormous leaf blowers together and thrown on a harness. Theoretically, the Martin Jetpack could take its operator up 8,000 ft. Since it holds only 30 minutes’ worth of fuel, though, you won’t want to linger. The Jetpack will sell for about $100,000; field tests start in 2011. Sticking with transport, the Terrafugia Transition could redefine the convertible. And doorto-door travel. The Transition is a streetlegal, airworthy, airbagand-parachute-equipped flying car that at $200,000 is priced less than a Lamborghini. The first models will be delivered next year. True, with its wings retracted like football goalposts, the Transition, whose 100horsepower engine gets

it 35 m.p.g. on terra firma, isn’t going to be a match for an Italian sports car. But extend the vehicle’s gull wings — and you are requested to do this at an airport — and the rear-propeller-powered Transition can fly two passengers about 500 miles at a cruising speed of 105 m.p.h. After you land, you will not be heading to the rental counter.

Sticking to the geeky stuff take a look at the XOS 2. An honest-to-goodness Iron Man suit, the XOS 2 allows even its least 48 Forum

And Finally

Rather more mundane but possible more likely to end up in a home near you is the Waterless (well almost) washing machine. “Dry” cleaning is set to become a domestic activity with a washing machine that uses 90% less water than a normal laundry cycle and could be available by the end of 2011. The device, developed by Leeds-based Xeros Ltd, replaces water with tiny plastic beads that suck up stains and its producers claim it will shift stubborn pounds from household energy bills as well.

And in case you want to actually go out and pay for this stuff, there might not be a piece of tech more due for an update than the cash register. Enter Square, a payment platform created by Twitter co-founder Jack Dorsey. With the aid of a tiny magnetic card reader that attaches to a smart phone, Square lets anyone process credit cards. It might not do away with paper entirely — plenty of people still prefer cash — but you certainly don’t need to wait for a receipt: sign on the screen, and Square sends a copy straight to e-mail.

BBBForum Sum 2011  
BBBForum Sum 2011