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Non-Tech : SLJB - Sulja Brothers Building Supply, Inc. (Bulls Board) -- Ignore unavailable to you. Want to Upgrade?

To: rrufff who wrote (205)	8/17/2006 6:49:20 PM
From: White Bear	Read Replies (2) \| Respond to of 1521

Now for some trees and lots of them.

To: rrufff who wrote (205)	8/19/2006 1:43:53 PM
From: greenspirit	Read Replies (1) \| Respond to of 1521

Just think, are little (going to be big soon) Sulja is right in the middle of it! Dr. Robert J. Froehlich Vice Chairman, DWS Scudder Chairman, Investor Strategy Committee Dubai is a great example of why the commodity boom may continue through the next decade. The "Commod-Dubai" Boom April 17, 2006 Ever since the heyday of President Ronald Reagan's administration when his economic programs were dubbed "Reaganomics," every economic or investment boom seems to need a catchy name. I am guilty as well. I have actually created two investment words in my career. The first was "Boomernomics," a term used to explain the impact that the US baby boomers were about to have on the markets and the economy. The second word I created was "Sectornomics," a term used to explain that due to globalization the sector (health care, energy, technology etc. etc) that you invest in is now more important than the country. Well, as you have probably guessed by now, I have just invented my third word while traveling thru Dubai: "Commod-Dubai Boom". The Port of Dubai I am going to begin by giving you the conclusion first: From my perspective, Dubai is simply one more great example of why the commodity boom will not be ending anytime in the next decade. Being in Dubai, I realized that this emirate has become one of the central reasons behind the global commodity boom. I visited the Port of Dubai and what I saw there astounded me. Instead of rows upon rows of tractor trailers and cars waiting for delivery (which is typical of most ports) in Dubai it was rows upon rows upon even more rows of brand new cement mixer trucks. The reason is that the building boom in Dubai may be unsurpassed anywhere in the world today — even China. Think about this: 50% of the building cranes in use in the entire world today are in Dubai. No that is not a typo; 50% of the building cranes in use in the world today are in Dubai. (As an interesting side-note, 20% of the world’s building cranes are in Shanghai, China.) Thus I have decided to name this important development that combines the worldwide commodity boom with Dubai’s building and economic boom the Commod-Dubai Boom. Historical Perspective Now let me give you a brief historical perspective on Dubai. The earliest records on Dubai date back to 1799. In 1835 Dubai signed a maritime truce with Britain and thus Dubai came under the protection of the United Kingdom. Because of its important location en route from Britain to India it was in the United Kingdom's best interest to provide protection to Dubai. Up until the 1930s, Dubai was actually best know for its pearl exports. Then in 1966, Dubai joined the newly-independent state of Qatar and set up its own currency called the Qatar/Dubai Riyal. But even more important in 1966, oil was discovered off the coast after Dubai granted oil concessions. And the rest (from an oil perspective) is now history. Then in 1971 Dubai along with Abu Dhabi and five other emirates formed the United Arab Emirates (UAE). This was partly due to the fact that its former protector Britain also pulled out of the Persian Gulf in 1971. Then in 1973, Dubai joined the other emirates to adopt a single currency the UAE Dirham which is still in use today. The UAE geographically lies in Southwest Asia, bordering the Gulf of Oman and the Persian Gulf, between Oman and Saudi Arabia. As a fascinating side-note the country border demarcation treaties between the UAE and Saudi Arabia were never made pubic so the exact border of the two countries is known only to their governments. Economic Boom Dubai is the largest emirate in terms of population (with over 1 million people of the 4.3 million in the UAE) and the second largest in terms of land mass. What is unique to Dubai from the other emirates in the UAE is that revenue from oil accounts for less than 6% of its gross domestic product. The Dubai government does not want to depend on its oil reserves which could be exhausted by as soon as 2010. A majority of its revenues come from tourism. Dubai's decision to diversify from an oil-dependent economy to one that is service- and tourism-oriented has made real estate values soar and building development boom. For instance the Port of Dubai is the largest man-made harbor in the world. Dubai has the 12th and 24th tallest buildings in the world called the Emirates Towers. The Burj al-Arab Hotel is currently the tallest hotel in the world. And in two short years the world's tallest building will be completed in Dubai called the Burj Dubai. Dubai’s World-Famous Land Reclamation Projects Maybe the most amazing developments in Dubai—and the factor that is having the greatest impact on the commodity boom— is Dubai's land reclamation projects. First there are the famous three Palm Islands of Jemeria, Jebel Ali and Deira. When completed, these islands will be the largest man-made islands in the world, created in the shape of a palm tree. Their ingenious design will create a new coastline housing more than 100 luxury hotels, 12,000 residential villas, 10,000 shoreline apartments, luxury homes, restaurants and even theme parks. And speaking of theme parks Dubailand, an entertainment city planned off the concept of Disneyland was only opened in 2003 and is already in a major expansion. Second there is The World Archipelago, a collection of almost 300 man-made islands designed to resemble the countries and continents of the world. Each individual island will be custom-designed to create a special environment on each island. The only means of transportation between the islands will be by boat or helicopter. Third, and finally, is the Dubai Waterfront. It will be a mix of canals and islands full of hotels and residential areas that will add 500 miles of man-made waterfront. When completed it will be seven times the size of the island of Manhattan. The Dubai Waterfront alone will become the world's largest beach-front development. Together these developments will be the largest man-made offshore structures in the world. Many are predicting that once completed they will become the 8th Wonder of the World. Is it any "wonder" why the commodity boom is booming? Commodity Boom The reason I find these events so exciting for the continuation of our commodity boom is that they are still in the early stages. The Palm Island Jumeirah will not be complete until late 2007. The Palm Island Jebel Ali will not be complete until 2009 and the Palm Island Deira will not be complete until 2012. The World Island is projected to be completed by 2010 while the Dubai Waterfront will not be completed until after 2015. So the entire development will not be complete for at least a decade. Why is this so important for our commodity boom to continue? Just the fill material that will be needed to create the islands are a mind-boggling commodity demand. Keep this in mind. Just the fill material needed to make these man-made islands would be enough to create a wall over 6 1/2 feet high and almost two feet deep, circling the earth three times at the Equator. And that is just the commodities needed to make the islands with nothing on them but sand!! I believe Commod-Dubai is one more compelling reason to invest in commodities. As an investor it is now so easy to see why this commodity boom is not ending anytime soon. All you have do is open your eyes to see why. And speaking of opening your eyes to Commod-Dubai let me end with this final fact that will put everything into perspective for you. Due to their immense size each of these projects —the 3 Palm Islands of Jumeirah, Jebel Ali and Deira, the World Islands and the Dubai Waterfront— will all be visible from outer space with the naked eye. If you can see this you can surely see why commodities are still a great investment. PS: Check back soon, as my series of commentaries titled "Where in the World is Dr. Bob?" continues with my next report focusing on Oman The opinions and forecasts expressed are those of Dr. Robert J. Froehlich and not necessarily those of DWS Scudder. All opinions and claims are based upon data at the time of the publication of this article, April 17, 2006, and may not actually come to pass. This information is subject to change at any time, based on economic, market and other conditions and should not be construed as a recommendation. 44254 (4/06)