REGIONAL DAILY

December 26, 2012

IMPORTANT DISCLOSURES, INCLUDING ANY REQUIRED RESEARCH CERTIFICATIONS, ARE PROVIDED AT THE END OF THIS REPORT.

MALAYSIA

Malaysia Daybreak | 16 July 2013

▌What’s on the Table…

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Ta Ann - Buy ahead of timber rerating Ta Ann started off as a timber company but has since diversified into oil palm. While oil palm is currently the largest profit contributor, one should not overlook the potential of its timber business which could see stronger earnings as we expect timber prices to head higher. We begin coverage on the stock with a Trading Buy call and a target price of RM4.67, based on an SOP valuation. The stock is not an Outperform as we expect it to be rerated only in the short term, driven by rising timber prices. Rerating catalysts could come in the form of stronger timber earnings in the coming quarters.

Perisai Petroleum - Barging ahead with contract extension

As largely anticipated, Perisai's derrick lay barge, Enterprise 3, will continue working for a SapuraKencana unit on an extended charter following the expiry of its primary charter last month. We continue to value the stock at 15.6x CY14 P/E, a 30% discount to the P/Es of oil & gas big-caps in view of its smaller size. Perisai remains an Outperform and our top small-cap oil & gas pick. Successful FPSO and drilling ventures are potential re-rating catalysts.

▌News of the Day…

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• RHB group MD Kellee Kam may take up RHB Bank’s ex- MD Johari Muid?

• MyEG to roll-out the custom service tax monitoring system project by end-2013

• SP Setia & Rimbunan Hijau to develop the China-Malaysia Qinzhou Industrial Park

• Zecon’s major shareholders propose to take the company private at RM0.80/share

• Major Team Holdings propose voluntary general offer at RM0.17/share

• Malaysia set crude palm oil export tax for Aug at 4.5%, unchanged since Mar

• US retail sales rose 0.4% mom in Jun, from a revised 0.5% in May

• China’s 2Q13 GDP climbed 7.5% yoy (1Q13 at 7.7%) in line with consensus expectations

Sources: CIMB. COMPANY REPORTS

Sources: CIMB. COMPANY REPORTS

Key Metrics

FBMKLCI Index

1,550

1,600

1,650

1,700

1,750

1,800

Jul-12 Sep-12 Nov-12 Jan-13 Mar-13 May-13 Jul-13

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FBMKLCI

1786.67 1.02pts 0.06%JUL Futures AUG Futures

1784.5 - (-0.28% ) 1786 - (1.00% )———————————————————————————

Gainers Losers Unchanged372 356 304

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Turnover1121.35m shares / RM1615.235m

3m avg volume traded 1309.61m shares

3m avg value traded RM1722.37m———————————————————————————

Regional IndicesFBMKLCI FSSTI JCI SET HSI

1,787 3,237 4,636 1,455 21,303 ————————————————————————————————

Close % chg YTD % chg

FBMKLCI 1,786.67 0.1 5.8

FBM100 12,184.27 0.1 7.8

FBMSC 15,226.18 0.7 32.6

FBMMES 4,804.45 0.7 14.0

Dow Jones 15,484.26 0.1 18.2

NASDAQ 3,607.49 0.2 19.5

FSSTI 3,236.82 0.0 2.2

FTSE-100 6,586.11 0.6 11.7

Hang Seng 21,303.31 0.1 (6.0)

JCI 4,635.73 0.1 7.4

KOSPI 1,875.16 0.3 (6.1)

Nikkei 225 14,506.25 0.2 39.5

PCOMP 6,619.95 0.7 13.9

SET 1,455.40 0.1 4.6

Shanghai 2,059.39 1.0 (9.2)

Taiwan 8,254.68 0.4 7.2

Close % chg Vol. (m)

LUSTER INDUSTRIES 0.100 (4.8) 58.1CHINA STATIONERY 0.285 1.8 45.6

FLONIC HI-TEC 0.105 10.5 32.3

TH HEAVY ENGINEER 0.855 1.2 25.8

EASTLAND EQUITY 0.815 0.0 16.9

MALAYSIAN AIRLINE 0.315 1.6 15.2

JAKS RESOURCES 0.510 4.1 15.1

MNC WIRELESS 0.330 3.1 14.7

Close % chg

US$/Euro 1.3061 (0.02)RM/US$ (Spot) 3.1904 (0.04)

RM/US$ (12-mth NDF) 3.2442 (0.18)

OPR (% ) 2.97 0.68

BLR (% , CIMB Bank) 6.60 0.00

GOLD ( US$/oz) 1,284 (0.04)

WTI crude oil US spot (US$/barrel) 106.32 0.35

CPO spot price (RM/tonne) 2,330 (1.27)

Economic Statistics

Market Indices

Top Actives

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Terence WONG CFA T (60) 3 20849689 E terence.wong@cimb.com

Daybreak Malaysia

July 16, 2013

2

Global Economic News…

US business inventories rose 0.1% mom in May from a revised 0.2% in Apr, exceeding consensus of no change. (Bloomberg)

US retail sales rose 0.4% mom in Jun from a revised 0.5% in May, half of consensus of 0.8%, whilst less autos and gas, sales dipped 0.1% mom from a revised +0.3% in May, underperforming consensus of +0.3%. (Bloomberg)

China's urban fixed-asset investment grew 20.1% yoy to Rmb18.13tr (US$2.94tr) in 1H13 (20.4% in May). (China Daily)

China’s 2Q13 GDP climbed 7.5% yoy, in line with expectations. This is down from 7.7% growth in 1Q13. (Business Insider)

China’s retail sales grew 12.7% yoy to Rmb11.08tr (US$1.8tr) in 1H13 (12.9% in May). (Xinhua)

The Reserve Bank of India increased both the marginal standing facility and the bank rate to 10.25% from 8.25%, and will conduct open market sales of government bonds worth 120bn rupees (US$2bn) on 18 Jun, a step that would drain cash from the economy. (Bloomberg)

Singapore’s retail sales in May rose 3.2% yoy, reversing the adjusted 0.3% fall in Apr. (Indo-Asian News Service)

Malaysian Economic News…

The Dewan Rakyat Monday approved a motion on operating and development expenditure estimates involving three restructured ministries totalling RM8.183bn. Deputy Finance Minister Datuk Ahmad Maslan tabled the motion in accordance with the Supply Act 2013.

The functions and agencies under the Ministry of Higher Education have been absorbed into the Ministry of Education, which is now known as the Ministry of Education.

The functions and agencies of culture under the Ministry of Information, Communications and Culture, which is now known as the Ministry of Communications and Multimedia, have been transferred to the Ministry of Tourism which is now known as the Ministry of Tourism and Culture.

The functions and agencies of urban well-being under the Ministry of Federal Territories and Urban Well-being, which is now known as the Ministry of Federal Territories, have been transferred to the Ministry of Housing and Local Government which is now known as the Ministry of Urban Well-being, Housing and Local Government.

The ministries were restructured as of 16 May. (Bernama)

The government has yet to discuss bonus for civil servants in view of the Hari Raya Aidilfitri this year, said Chief Secretary to the Government Tan Sri Dr Ali Hamsa. However, the government had announced a double salary increment for this year to civil servants, he said.

Daybreak Malaysia

July 16, 2013

3

"The double salary increment itself can be considered a bonus. However, since the government normally pays bonus at the end of the year depending on the output. It is too early to discuss," he said.

This year alone the government had allocated RM2bn for the salary increment and salary restructure.

This month, six salary schemes will see adjustments made and 81 more schemes in Nov, he added. (Bernama)

The National Unity Consultative Council (NUCC) is to be set up by the end of the year to advise the government on efforts at uniting the various ethnic groups in the country. Minister in the Prime Minister's Department Tan Sri Joseph Kurup said the National Unity and Integration Department with the cooperation of the Institute of Ethnic Studies, Universiti Kebangsaan Malaysia had held several series of dialogues and round table discussions with several parties to obtain inputs on the formation of the council. (Bernama)

The government has no plan to allow contributors to withdraw their Employees Provident Fund (EPF) savings to settle credit card debts in bankruptcy cases, the Dewan Rakyat was told Monday. Withdrawing from the EPF savings to settle credit card debts would drain the funds meant for use during retirement, Deputy Finance Minister Datuk Ahmad Maslan said.

He also said that the number of Malaysians declared bankrupt due to their inability to settle credit card debts was small, only 1,284 or 6.6% of the 19,575 declared bankrupt in 2012.

Between Jan and Mar this year, 257 people were declared bankrupt because of credit card problems. The number was 5.5% of the 4,925 people declared bankrupt, he said.

The government had no plan for automatic elimination of credit card debt during a certain period, as was done in some countries. (Bernama)

Implementation of the Open Source Software (OSS) in the public sector since 2004 has generated RM595m revenue, the Malaysia Administrative Modernisation and Management Planning Unit Director-General (MAMPU) Datuk Wira Omar Kaseh said.

He said the Multimedia Development Corporation (MDeC) also said the OSS implementation had created an export value of more than RM234m.

The OSS implementation has also developed 36 Malaysian companies with MSC status offering jobs to 6,206 knowledge workers.

The OSS implementation in the public sector also showed remarkable achievement with 99.6% or 921 government agencies being able to save more than RM370m. (Bernama)

The Trans-Pacific Partnership (TPP) agreement, which involves 12 countries, will not be signed in Oct as what was initially expected as there are many areas which have not been agreed on. Ministry of International Trade and Industry (Miti) secretary-general, Datuk Dr Rebecca Fatima Sta Maria, said the TPP negotiations were talks among equals and even if one party did not agree, there was no conclusion to the agreement.

"The most important thing is that we will not compromise Malaysia's sovereignty and that we will stick to our policy."

Daybreak Malaysia

July 16, 2013

4

The negotiations, from yesterday until 25 July, are being held behind closed doors and there is no public session, except for the stakeholder session, on 20 July.

A media conference is scheduled on 25 July, hosted by the TPPA chief negotiators to provide an opportunity to update the media on TPPA developments. (Bernama)

PM Datuk Seri Najib Tun Razak said the Chinese government had also decided that the Qinzhou Industrial Park in China would become the hub for the processing and determination in terms of laboratory tests for the entry of swiftlet's nest into that country. "This is a special approval given by the Chinese government to Malaysia," he said. (Bernama)

PM Datuk Seri Najib Tun Razak yesterday announced that the Chinese government has given approval to 11 Malaysian companies to resume the export of swiftlet nests to that country, subject to several conditions. He said the decision would enable the country's swiftlet nest industry to be revived after exports of the product to China had been delayed for more than two years. He would ask the Agriculture and Agro-based Industry Ministry and the Health Ministry to take follow-up action on the matter immediately. (Bernama)

The Ministry of Agriculture and Agro-based Industry (MOA) has issued licence with immediate effect to 34 companies to import chicken from producing countries, such as China, Thailand, Australia and the EU. Its minister, Datuk Seri Ismail Sabri Yaakob, said the move was taken to stabilise the price of chicken in the local markets, which had reached RM10/kg.

"It is hoped that the companies can bring in between 2.2m to 2.4m of chickens daily, not only to stabilise the price of chicken, but also to meet the demands of Muslims during the Ramadan and Hari Raya celebration," he said.

He refuted Federation of Malaysian Consumers Associations (Fomca) deputy president Muhammad Shaani Abdullah's allegation that the demand for chicken has declined during Ramadan. Actually, the demand for chicken had increased from 1.4m to 2.2m. (Malaysia Insider)

The government allocates about RM20bn annually on public health, the Dewan Rakyat was told yesterday. Health Minister Datuk Seri Dr S. Subramaniam said even though it was a big sum, it was still not enough to fulfil or finance everything related to public healthcare. The government absorbs almost 98% of the costs for public healthcare, he said. (NST)

The Agriculture and Agro-based Industry Ministry has initiated efforts to develop a local poultry feed industry to reduce dependency on feed import. In light of the recent increase in poultry prices, Minister Datuk Seri Ismail Sabri Yaakob said the rising price of chicken feed was a major contributing factor.

The price of poultry feed imported from Thailand and Australia had increased from RM1.70/kg to RM3.00/kg because of the heatwave in the region and the shortage of corn and soy that affected the production of chicken feed.

He said the ministry had signed an agreement with a company from India to produce poultry feed locally.

At present, Malaysia relies solely on imported feed and 70% of broiler price was related to the price of the feed, he added. (NST)

Daybreak Malaysia

July 16, 2013

5

Malaysia Automotive Institute (MAI), an agency under the Ministry of International Trade and Industry (MITI) yesterday signed a Memorandum of Understanding (MoU) with Dassault Systemes to collaborate in harnessing the industry's collective intelligence. Through the MoU, Dassault Systemes -- a 3D design software, 3D digital mock up and product lifecycle management solutions company, launched an automotive apps via MAI Social Networking Platform to enhance productivity and user-experience for industry professionals based on the 3DExperience platform.

MAI CEO Madani Sahari said the collaborative social innovation platform would serve as a medium for professionals to discuss and gain information on the latest updates in the automotive industry. (Bernama)

Political News…

The DAP wants the Prime Minister to make his stand on several recent controversial issues instead of asking his cabinet ministers to deal with them. DAP national publicity secretary Tony Pua said that Datuk Seri Najib Razak also has to deliver the reforms he promised in May’s general election.

“The nation is like a rudderless ship crying out for a leader to put his foot down and yet what Malaysians are getting are feuding first officers in the absence of their captain,” he said. Pua said the government, instead of seizing the initiative and giving directions to the country, is stumbling and fumbling from one controversy to another.

Pua said since then Najib had failed to put his own house in order because, for example, even cabinet ministers have been split into two factions over the promised repeal of the Sedition Act, Pua said.

“The Barisan Nasional (BN) ministers were also publicly squabbling over the tabling of the Administration of Islamic Law (Federal Territories) Amendment Bill 2013 which allowed for the unilateral conversion of a minor to a Muslim by a single parent.

He said Najib publicly called for a national reconciliation after the general election but failed to condemn the extremist elements in Umno and BN. Pua singled out Najib’s failure to condemn Umno mouthpiece Utusan Malaysia for continuing to spew racist insults against the minorities and inflammatory comments to incite hatred.

He added that Najib also let the debate over the Independent Police Complaints and Misconduct Commission (IPCMC) as well as his repeal of the Emergency Ordinance (EO) rage on unchecked.

Pua said there was not a word from Najib when Transparency International released the latest Global Corruption Barometer (GCB) report which showed an even greater number of Malaysians believed that corruption was prevalent in the country. (Malaysian Insider)

In an unparalleled and extraordinary move, Pakatan Rakyat has sought to nullify the results of all 222 parliamentary seats in the general election on May 5. The opposition coalition and five individuals filed the action at the High Court yesterday. In their 56-page statement of claim filed by Messrs Tommy Thomas, the plaintiffs said the indelible ink fiasco caused massive cheating, destroyed the integrity of GE13 and deprived the opposition pact of a legitimate opportunity to form the federal government. (Sun)

Daybreak Malaysia

July 16, 2013

6

DAP national publicity secretary Tony Pua wants to know why the award of the RM1bn rail project for Iskandar Malaysia was not conducted through an open tender process. Instead, he revealed that the project was awarded through direct negotiations to a company called Metropolitan Commuter Network, which is a joint venture outfit owned by Masteel Bhd (60%) and KUB Bhd (40%).Pua said at the parliament lobby that Umno has an interest in KUB Bhd.

He wanted to know why the government made the award through direct negotiations. "Why not through an open tender for a project of this scale?"

Pua said Masteel's main business was not in the rail sector but in the manufacturing of steel. The rail service will encompass 20 stations at Kulai, Gelang Patah, Nusajaya, Johor Baru and Masai, among others. (Malaysian Insider)

Corporate News…

MyEG Services (MyEG) is looking to roll-out the custom service tax monitoring system project (CSTM) in early-2014. The company is also in the process of commissioning its service for the registration of new cars and a new bidding system for new car number plates. Sources said the government has agreed in principle but the letter of award it not out yet.

The CSTM is targeted to link close to 100,000 point of sales terminal from about 20,000 restaurant and entertainment outlets nationwide. The company is also working with a local bank to launch a mobile payment system called iPayEasy that its compatible to the CSTM system. (Financialdaily)

The proposed CSTM project is not a surprise. Management has been working on this project over the past few years and if all goes well, the CSTM project should start in end-2013. The company is expected to sign the concession on the CSTM soon. Please refer to our Jun 19 MyEG report for further details.

RHB Bank Bhd MD Johari Abdul Muid tendered his resignation last Thursday, leaving the top three seats empty at the country's fifth largest banking group, sources say. His resignation comes three months before his contract at the bank ends, reported The Edge Malaysia. The RHB group - in which the Employees Provident Fund is the biggest shareholder - does not have a chief executive officer for its recently enlarged investment bank, RHB Investment Bank Bhd, or its Islamic Bank, RHB Islamic Bank Bhd.

Sources say RHB group MD Kellee Kam may take up Johari's position, in an additional role. Another possible contender is Sulaiman Tahir, who is currently an executive director at CIMB Bank Bhd. (Malaysian Insider).

SP Setia and the Rimbunan Hijau Group have signed a Sino-foreign joint venture contract with Qinzhou Jingu Investment Co, Ltd to develop the China-Malaysia Qinzhou Industrial Park (QIP). The Sino-foreign JV company will develop the QIP and is expecting to general a gross revenue of RM2.7bn from the QIP's start-up phase. SP Setia said the RM2.7bn income would be derived from land sales to industrial and commercial entities seeking to set up business in the QIP.

It also said that the start-up phase, spanning over 787ha comprising industrial and residential projects as well as schools, hotels, community centres, parks, playgrounds and green spaces, is expected to take three years to be completed. (Starbiz)

Daybreak Malaysia

July 16, 2013

7

Mah Sing Group has opened its first property gallery in Singapore at TripleOne Sommerset. The gallery, launched yesterday, would initially feature three of its latest projects in Iskandar Malaysia and the Klang Valley - The Meridin@Medini in Johor, Icon City in Petaling Jaya and M City in Kuala Lumpur. The launch of the gallery is in line with the group's strategy to boost revenue from international investors to 30% within two to give years. (Starbiz)

The latest Manulife Investor Sentiment Index in Asia (Manulife ISI) shows that cash is king among Malaysians. The survey also showed Malaysia remains the second most optimistic country in Asia despite a modest decline since the last survey in March this year. Malaysian investors hold over half of their assets in cash, excluding their primary residences - the most compared to all Asian markets surveyed. Malaysian respondents also showed their preference for cash by giving it the highest sentiment index score of all asset classes.

Nevertheless, compared with the last survey in March, respondents have rebalanced their cash with more stocks. This rebalancing was led by those aged 25 to 39, whose stock holdings, as a proportion of assets, rose from three to 11%.

Apart from this, Malaysian investors have not significantly increased their investments in other investment vehicles or asset classes such as property and unit trusts, despite the positive sentiment towards these asset classes.

"This increase of investments in stocks may have stemmed from the post-election stock market rally. Despite this increase, stocks and equity still constitute a small and less-than-optimal percentage of Malaysian investors' overall investment portfolio," said Mark O'Dell, group CEO of Manulife Holdings Bhd. (BT)

Malaysia will set its crude palm oil export tax for August at 4.5%, unchanged since March, a government circular showed on Monday. The Southeast Asian country calculated a reference price of 2,383.84 ringgit per tonne for crude palm oil for August, effectively keeping the rate unchanged. (Reuters)

Palm oil shipments fell 23% in first 15 days of July from 709,860 tons in same period in June, Intertek says in e-mailed statement. (Bloomberg)

Major Team Holdings has proposed a voluntary withdrawal from the Main Market of Bursa Malaysia via a voluntary general offer at 17 sen per share, a 21.4% premium to yesterday's closing price of 14 sen. "The joint offerors believe that the proposed delisting will provide greater flexibility for the offerors to review and implement restructuring plans." (Financial Daily)

The EPF has adopted a no-gift policy, prohibiting the giving and acceptance of gifts between the fund's 5,200 employees nationwide and external parties in relation to official duties, with immediate effect. The EPF is the first government agency to implement the policy to uphold good corporate governance and keep with best business practices. (Financial Daily)

The crude distillation unit of the Melaka refinery, owned by Petronas and US oil firm Phillips 66, has restarted after being shut since mid-June. The unit, which processes 100,000 barrels per day, was shut after a fire at the refinery and was expected to be restarted by early July. But the refinery has been hit with "technical issues" which caused the unit to be shut longer than expected.

Daybreak Malaysia

July 16, 2013

8

The shutdown of the unit came at a time of strong demand from Indonesia, Asia’s top gasoline importer, causing a severe supply crunch. The deep supply dent had pushed the Asian gasoline margin on 12 July to more than a four-year high of US$16.74 a barrel as the downtime in Melaka resulted in imports of about 1.2m barrels of gasoline. (Reuters)

Sources said that Al-Hadharah Boustead REIT will be taken private by its parent company, Boustead Holdings Bhd, making it the first REIT in the country to be privatised. They speculated that the rationale for the exercise was the illiquid nature of Al-Hadharah’s shares. Boustead is likely to justify the exercise as an opportunity for shareholders to cash out at a price that was higher than the REIT's market value. Al-Hadharah, listed in 2007, is the country’s first Islamic plantation-based REIT and invests largely in plantation estates and mills. (StarBiz)

The Education Ministry has created a lucrative oil well for YTL Corporation providing for revenues up to RM9bn over a five year period without competitive tenders. While acknowledging YTL has expertise in utilities, construction, property development and recently internet services, Bukit Bendera MP Zairil Khir Johari questioned the company's role as an expert in education services.

He wants the ministry to immediately respond to the issues to allay concerns over what is set to become a very expensive projects that is not only funded by the public purse but which will also affect every school-going child in the country. (Sun Biz)

Malaysia may need to open up its utilities and infrastructure sectors to foreign players to cope with future demand from consumers, according to YTL Corp MD Tan Sri Francis Yeoh. He urged the authorities to open the water, electricity, Internet, public transportation and housing sectors in order to attract foreign investments, stating that this would keep the prices of utilities at competitive rates. (Malaysian Reserve)

Tight supply due to declining production has driven Sarawak’s tropical log prices sharply higher this year. The export price of meranti logs has soared to US$280 per cu m from US$180 per cu m a year ago or up by nearly 60%, according to Jaya Tiasa Holdings senior manager (sales and marketing) Woung Lik Chiong. He said the meranti species made up between 30% and 40% of Jaya Tiasa’s log production volume. (Starbiz)

Ingress Corp's joint-offerors intending to take the company private have notified it that they would be compulsorily acquiring it for RM1.85 a share. The acquisition is to be satisfied by cash. (Starbiz)

Scomi Energy Services, a subsidiary of Scomi Group, has secured a bulk coal affreightment contract worth RM158.7m from TNB Fuel Services. The company was for a period of two years commencing 1 Sept, with an option to be extended for another one year. (Starbiz)

Biosis Group Bhd is looking to buy a new off-market patent, said its managing director Shahfie Ahmad. A media report quoting Shahfie reported that Biosis is eyeing new off-market patent worth more than US$440m (RM1.4 bn). Biosis is a contract manufacturer for Pharmaniaga Bhd, the country's largest integrated local healthcare company. (BT)

Daybreak Malaysia

July 16, 2013

9

Zecon Bhd's major shareholders have proposed to take the construction company private via a selective capital reduction (SCR) and repayment exercise. Zecon said it had received a letter yesterday proposing the privatisation exercise from its major shareholders via its group managing director Datuk Zainal Abidin Ahmad and Dalwa Capital Sdn Bhd together with parties acting in concert. The two non-entitled shareholders are Tan Sri Tommy Bugo and Zainurin Ahmad, who are the group's director and deputy managing director respectively.

Under the proposed SCR, all entitled shareholders will receive a capital repayment of RM35.8m or 80 sen per Zecon share held. This will result in the reduction of Zecon's capital to 74.4m shares from 119.1m, by way of cancelling a total 44.7m shares.

The offer price of 80 sen per share represents a 18% premium to the stock's closing price of 68 sen yesterday, and a 33% discount to its unaudited net asset per share of RM1.20 as at March 31, 2013. (Sun)

Daybreak Malaysia

July 16, 2013

10

BMSB: Changes in shareholdings

Type of No of Ave Price

15-Jul-13 Date transaction securities Company (RM)

EPF 10/7 Disposed 3,217,100 MAXIS

EPF 10/7 Disposed 3,000,000 YTL POWER INTERNATIONAL

EPF 10/7 Disposed 2,477,500 AXIATA GROUP

EPF 10/7 Disposed 2,359,800 AMMB HOLDINGS

EPF 10/7 Disposed 2,026,500 YTL CORPORATION

EPF 10/7 Disposed 1,950,000 DIALOG GROUP

EPF 10/7 Disposed 896,100 BUMI ARMADA

EPF 10/7 Disposed 662,800 WCT

EPF 10/7 Disposed 494,900 SP SETIA

EPF 10/7 Disposed 300,000 TELEKOM MALAYSIA

EPF 10/7 Disposed 217,100 SIME DARBY

EPF 9/7-10/7 Disposed 185,800 BIMB HOLDINGS

EPF 10/7 Disposed 115,700 HARTALEGA HOLDINGS 

EPF 10/7 Disposed 96,500 PETRONAS DAGANGAN

EPF 10/7 Disposed 50,000 IJM LAND

EPF 10/7 Disposed 17,300 IJM CORPORATION

KUMPULAN WANG PERSARAAN 8/7 Disposed 7,400 PETRONAS GAS

Great Eastern Holdings Limited 10/7 Disposed 53,000 WTK HOLDINGS

Lembaga Tabung Angkatan Tentera 8/7-11/7 Disposed 619,200 DKSH HOLDINGS (MALAYSIA)

Lembaga Tabung Angkatan Tentera 8/7-11/7 Disposed 222,800 TIEN WAH PRESS HOLDINGS

Aberdeen Asset Management Asia 11/7-12/7 Disposed 13,300 SHANGRI-LA HOTELS

Aberdeen Asset Management PLC 11/7-12/7 Disposed 103,600 SHANGRI-LA HOTELS

Mitsubishi UFJ Financial Group 9/7 Disposed 1,998,000 CIMB GROUP

Mitsubishi UFJ Financial Group 9/7 Disposed 62,000 SHANGRI-LA HOTELS

Mitsubishi UFJ Financial Group 9/7 Disposed 4,400 POS MALAYSIA

Mitsubishi UFJ Financial Group 9/7 Disposed 2,700 AEON CO. (M)

Mitsubishi UFJ Financial Group 9/7 Disposed 963 BRITISH AMERICAN TOBACCO

EPF 10/7 Acquired 4,261,500 IHH HEALTHCARE

EPF 10/7 Acquired 3,000,000 AIRASIA

EPF 10/7 Acquired 1,988,700 DIGI.COM

EPF 10/7 Acquired 1,872,900 SAPURAKENCANA PETROLEUM

EPF 10/7 Acquired 1,838,200 CIMB GROUP

EPF 10/7 Acquired 1,352,100 MALAYAN BANKING

EPF 10/7 Acquired 1,000,000 AFFIN HOLDINGS

EPF 10/7 Acquired 732,000 ALLIANCE FINANCIAL GROUP

EPF 10/7 Acquired 618,300 PUBLIC BANK

EPF 10/7 Acquired 300,000 LAFARGE MALAYSIA

EPF 10/7 Acquired 286,000 ORIENTAL HOLDINGS

EPF 10/7 Acquired 200,000 POS MALAYSIA

EPF 10/7 Acquired 171,000 WAH SEONG CORPORATION

EPF 10/7 Acquired 100,000 HAP SENG PLANTATIONS

EPF 10/7 Acquired 50,800 UNITED PLANTATIONS

EPF 10/7 Acquired 21,200 BRITISH AMERICAN TOBACCO

EPF 10/7 Acquired 17,500 KULIM (MALAYSIA)

EPF 10/7 Acquired 16,700 MALAYSIA AIRPORTS

EPF 10/7 Acquired 12,600 PETRONAS GAS

KUMPULAN WANG PERSARAAN 9/7 Acquired 44,500 GENTING PLANTATIONS

T. Rowe Price Associates, Inc 8/7-9/7 Acquired 3,423,500 ASTRO MALAYSIA HOLDINGS

Great Eastern Holdings Limited 9/7-10/7 Acquired 533,000 CYPARK RESOURCES

Mitsubishi UFJ Financial Group 9/7 Acquired 16,800 SP SETIA

Mitsubishi UFJ Financial Group 9/7 Acquired 11,000 UNITED MALACCA

HAP SENG CONSOLIDATED 15/7 Shares Buy Back 1,400,000 HAP SENG CONSOLIDATED 1.96

MUDAJAYA GROUP 15/7 Shares Buy Back 20,000 MUDAJAYA GROUP 2.58 SOURCES: BMSB

Daybreak Malaysia

July 16, 2013

11

BMSB: ESOS & others

16-Jul-13 No Of New Shares Date of Listing Nature of transaction

IJM LAND 219,540 17-Jul-13 Exercise of Warrants-13

MUHIBBAH ENGINEERING 206,000 16-Jul-13 Exercise of ESOS

LITRAK 104,000 16-Jul-13 Exercise of ESOS SOURCES: BMSB

BMSB: Off-market transactions

15-Jul-13 Vol

PJDEV 9,795,975

SCOPE 4,700,000

CHINWEL 3,000,000

KRETAM 1,000,000

YNHPROP 1,000,000

HARNLEN 1,000,000

BOILERM 700,000

CRESBLD 600,000 Notes:CN-Crossing deal on board lots

MN-Married deal on board lots MO-Married deal on odd lots

SOURCES: BMSB

BMSB: Dividends

Company Particulars Gross DPS (Sen) Ann Date Ex-Date Lodgement Payment

Berjaya Sports Toto Fourth interim - single tier 4.00 18-Jun-13 16-Jul-13 18-Jul-13 1-Aug-13

Astro Malaysia Holdings Final dividend - single tier 2.00 12-Jun-13 16-Jul-13 18-Jul-13 2-Aug-13

Bintulu Port Holdings Interim dividend - single tier 7.50 28-May-13 17-Jul-13 19-Jul-13 6-Aug-13

Mudajaya Group First interim dividend - single-tier  3.00 21-May-13 17-Jul-13 19-Jul-13 16-Aug-13

Kuala Lumpur Kepong Interim dividend - single tier 15.00 22-May-13 19-Jul-13 23-Jul-13 14-Aug-13

Hap Seng Consolidated First interim dividend - single-tier  8.00 6-Jun-13 19-Jul-13 23-Jul-13 6-Aug-13

UMW Holdings Final dividend - single tier 25.00 27-Jun-13 23-Jul-13 25-Jul-13 15-Aug-13

Alliance Financial Group First interim dividend - single tier 7.50 10-Jul-13 25-Jul-13 29-Jul-13 16-Aug-13

Oriental Holdings Final dividend - single tier 4.00 28-Feb-13 29-Jul-13 31-Jul-13 30-Aug-13

Muhibbah Engineering First and final dividend 5.00 5-Jun-13 16-Aug-13 20-Aug-13 29-Aug-13

- less 25% income tax 

Mah Sing Group First and final dividend - single tier 7.20 31-May-13 5-Sep-13 9-Sep-13 20-Sep-13

& 0.4 sen less income tax of 25%  0.40 SOURCES: BMSB

BMSB: New Listing

Company Issue price Listing sought Tentative

Public Issue Offer for sale Private placement listing date

ABM Fujiya 0.60 23,000,000 9,000,000 17,000,000 Main Market 23-Jul-13

Ranhill Energy & Resources 1.85 330,000,000 77,000,000 - Main Market 31-Jul-13

Sona Petroleum 0.50 Up to 1,100,000,000 * - Up to 959,000,000 ** Main Market 30-Jul-13

* together with up to 1,100,000,000 free detachable warrants

** together with up to 959,000,000 free detachable warrants

No of shares

SOURCES: BMSB

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Corporate Actions

July 2013

SUN MON TUE WED THU FRI SAT

1 2 3 4 5 6

External Reserves, External Trade

7 8 9 10 11 12 13

MPC, IPI, Manufacturing Sales

14 15 16 17 18 19 20

CPI Tenaga 3Q & briefing DiGi 2Q

21 22 23 24 25 26 27

External Reserves Kuala Besut by-election

28 29 30 31

Money Supply, PPI

Source: Company, BNM, DOS, CIMB estimates

SOURCES: Company, BNM, DOS, CIMB estimates

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Corporate Actions

August 2013

SUN MON TUE WED THU FRI SAT

1 2 3

4 5 6 7 8 9 10

External Trade External Reserves, IPI, Manufacturing Sales

Hari Raya Puasa Hari Raya Puasa

11 12 13 14 15 16 17

18 19 20 21 22 23 24

GDP, BOP, CPI External Reserves

25 26 27 28 29 30 31

E&O 1Q Mah Sing 2Q UEM Sunrise 2Q Money Supply, PPI National Day

Source: Company, BNM, DOS, CIMB estimates

SOURCES: Company, BNM, DOS, CIMB estimates

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Corporate Governance Report:

The disclosure of the survey result of the Thai Institute of Directors Association (―IOD‖) regarding corporate governance is made pursuant to the policy of the Office of the Securities and Exchange Commission. The survey of the IOD is based on the information of a company listed on the Stock Exchange of Thailand and the Market for Alternative Investment disclosed to the public and able to be accessed by a general public investor. The result, therefore, is from the perspective of a third party. It is not an evaluation of operation and is not based on inside information.

The survey result is as of the date appearing in the Corporate Governance Report of Thai Listed Companies. As a result, the survey result may be changed after that date. CIMBS does not confirm nor certify the accuracy of such survey result.

Score Range 90 – 100 80 – 89 70 – 79 Below 70 or No Survey Result

Description Excellent Very Good Good N/A

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sale of investments under any subscription agreement or the conclusion of any other contract of whatsoever nature within the territory of the United Arab Emirates.

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Recommendation Framework #1 *

Stock Sector OUTPERFORM: The stock's total return is expected to exceed a relevant benchmark's total return by 5% or more over the next 12 months.

OVERWEIGHT: The industry, as defined by the analyst's coverage universe, is expected to outperform the relevant primary market index over the next 12 months.

NEUTRAL: The stock's total return is expected to be within +/-5% of a relevant benchmark's total return.

NEUTRAL: The industry, as defined by the analyst's coverage universe, is expected to perform in line with the relevant primary market index over the next 12 months.

UNDERPERFORM: The stock's total return is expected to be below a relevant benchmark's total return by 5% or more over the next 12 months.

UNDERWEIGHT: The industry, as defined by the analyst's coverage universe, is expected to underperform the relevant primary market index over the next 12 months.

TRADING BUY: The stock's total return is expected to exceed a relevant benchmark's total return by 5% or more over the next 3 months.

TRADING BUY: The industry, as defined by the analyst's coverage universe, is expected to outperform the relevant primary market index over the next 3 months.

TRADING SELL: The stock's total return is expected to be below a relevant benchmark's total return by 5% or more over the next 3 months.

TRADING SELL: The industry, as defined by the analyst's coverage universe, is expected to underperform the relevant primary market index over the next 3 months.

* This framework only applies to stocks listed on the Singapore Stock Exchange, Bursa Malaysia, Stock Exchange of Thailand, Jakarta Stock Exchange, Australian Securities Exchange, Taiwan Stock Exchange

and National Stock Exchange of India/Bombay Stock Exchange. Occasionally, it is permitted for the total expected returns to be temporarily outside the prescribed ranges due to extreme market volatility or other

justifiable company or industry-specific reasons.

CIMB Research Pte Ltd (Co. Reg. No. 198701620M)

Recommendation Framework #2 **

Stock Sector

OUTPERFORM: Expected positive total returns of 10% or more over the next 12 months. OVERWEIGHT: The industry, as defined by the analyst's coverage universe, has a high number

of stocks that are expected to have total returns of +10% or better over the next 12 months.

NEUTRAL: Expected total returns of between -10% and +10% over the next 12 months. NEUTRAL: The industry, as defined by the analyst's coverage universe, has either (i) an equal

number of stocks that are expected to have total returns of +10% (or better) or -10% (or worse), or

(ii) stocks that are predominantly expected to have total returns that will range from +10% to -10%;

both over the next 12 months.

UNDERPERFORM: Expected negative total returns of 10% or more over the next 12 months. UNDERWEIGHT: The industry, as defined by the analyst's coverage universe, has a high number

of stocks that are expected to have total returns of -10% or worse over the next 12 months.

TRADING BUY: Expected positive total returns of 10% or more over the next 3 months. TRADING BUY: The industry, as defined by the analyst's coverage universe, has a high number

of stocks that are expected to have total returns of +10% or better over the next 3 months.

TRADING SELL: Expected negative total returns of 10% or more over the next 3 months. TRADING SELL: The industry, as defined by the analyst's coverage universe, has a high number

of stocks that are expected to have total returns of -10% or worse over the next 3 months.

** This framework only applies to stocks listed on the Korea Exchange, Hong Kong Stock Exchange and China listings on the Singapore Stock Exchange. Occasionally, it is permitted for the total expected returns

to be temporarily outside the prescribed ranges due to extreme market volatility or other justifiable company or industry-specific reasons.

Corporate Governance Report of Thai Listed Companies (CGR). CG Rating by the Thai Institute of Directors Association (IOD) in 2012.

AAV – not available, ADVANC - Excellent, AEONTS – Good, AMATA - Very Good, ANAN – not available, AOT - Excellent, AP - Very Good, BANPU - Excellent , BAY - Excellent , BBL - Excellent, BCH – not available, BCP - Excellent, BEC - Very Good, BGH - not available, BJC – Very Good, BH - Very Good, BIGC - Very Good, BTS - Excellent, CCET - Good, CENTEL – Very Good, CK - Very Good, CPALL - Very Good, CPF - Very Good, CPN - Excellent, DELTA - Very Good, DTAC - Very Good, EGCO – Excellent, ERW – Excellent, GLOBAL - Good, GLOW - Very Good, GRAMMY – Excellent, HANA - Very Good, HEMRAJ - Excellent, HMPRO - Very Good, INTUCH – Very Good, ITD – Very Good, IVL - Very Good, JAS – Very Good, KAMART – not available, KBANK - Excellent, KK – Excellent, KTB - Excellent, LH - Very Good, LPN - Excellent, MAJOR - Good, MAKRO – Very Good, MCOT - Excellent, MINT - Very Good, PS - Excellent, PSL - Excellent, PTT - Excellent, PTTGC - Excellent, PTTEP - Excellent, QH - Excellent, RATCH - Excellent, ROBINS - Excellent, RS – Excellent, SAMART – Excellent, SC – Excellent, SCB - Excellent, SCC - Excellent, SCCC - Very Good, SIRI - Good, SPALI - Very Good, SRICHA – not available, SSI – not available, STA - Good, STEC - Very Good, TCAP - Very Good, THAI - Excellent, THCOM – Very Good, TICON – Very Good, TISCO - Excellent, TMB - Excellent, TOP - Excellent, TRUE - Very Good, TTW – Very Good, TUF - Very Good, VGI – not available, WORK – Good.

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