REGIONAL DAILY

December 26, 2012

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

MALAYSIA

Malaysia Daybreak | 4 December 2014

▌What’s on the Table…

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Muhibbah Engineering - Still good on the port side

Amidst the negativity surrounding the fall in crude oil price, Muhibbah managed to throw out good news, announcing yesterday that it had clinched a wharf expansion contract from Westports. This supports management's guidance that the group has been actively tendering for port/marine infra jobs, which is its niche area. All eyes will next be on potential contract wins in Rapid and Pengerang, two areas that will not be affected by Petronas’s potential capex cuts as they have received the final investment decision (FID). We maintain our EPS forecasts but reduce our target price, still pegged to a 20% RNAV discount, as we update for Favelle's lower market cap. The stock remains oversold. Maintain Add. Muhibbah is our small/mid-cap pick.

Jaya Tiasa Holdings - Lower log cost in 1Q explained

Our checks with Jaya Tiasa revealed that the group’s log production cost fell in 1QFY6/15, mainly due to lower transportation cost. Its log production cost may remain low in 2QFY15 but is expected to rise in 2015, when its harvesting area shifts to the more remote parts of its concessions. This is in line with our projection that its average log production cost in FY15 will be higher than in 1QFY15. We make no changes to our FY15-17 EPS and Hold recommendation. However, our target price falls to RM1.95, as we apply a 10% discount to our SOP valuation for the worsening CPO price sentiment due to the sharp fall in crude oil price. Switch to First Resources for exposure to plantations.

▌News of the Day…

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• Muhibbah bags RM135m Westports contract

• AirAsia X upbeat on 4Q results

• Kulim sees revenue boost from oil and gas sector

• Ministry denies US claims of child labour in palm oil sector

• 1MDB plans Jan meetings with cornerstones for US$3bn energy IPO

Sources: CIMB. COMPANY REPORTS

Sources: CIMB. COMPANY REPORTS

Key Metrics

FBMKLCI Index

1,700

1,750

1,800

1,850

1,900

Dec-13 Feb-14 Apr-14 Jun-14 Aug-14 Oct-14 Dec-14

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FBMKLCI

1758.15 -27.82pts -1.56%Dec Futures Jan 15 Futures

1753.5 - (-1.98% ) 1757 - (1.00% )———————————————————————————

Gainers Losers Unchanged204 672 249

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Turnover1560.06m shares / RM1969.462m

3m avg volume traded 2138.71m shares

3m avg value traded RM2005.87m———————————————————————————

Regional IndicesFBMKLCI FSSTI JCI SET HSI

1,758 3,303 5,166 1,595 23,429 ————————————————————————————————

Close % chg YTD % chg

FBMKLCI 1,758.15 (1.6) (5.8)

FBM100 11,807.82 (1.4) (6.2)

FBMSC 15,490.75 (1.7) (1.3)

FBMMES 5,975.93 (2.0) 5.3

Dow Jones 17,912.62 0.2 8.1

NASDAQ 4,774.47 0.4 14.3

FSSTI 3,303.39 (0.6) 4.3

FTSE-100 6,716.63 (0.4) (0.5)

SENSEX 28,442.71 (0.0) 34.3

Hang Seng 23,428.62 (1.0) 0.5

JCI 5,166.04 (0.2) 20.9

KOSPI 1,969.91 0.2 (2.1)

Nikkei 225 17,720.43 0.3 8.8

PCOMP 7,360.75 0.2 25.0

SET 1,594.58 0.0 22.8

Shanghai 2,779.53 0.6 31.4

Taiwan 9,175.26 1.6 6.5————————————————————————————————

Close % chg Vol. (m)

PERISAI 0.505 (10.6) 45.5

MINETECH 0.110 0.0 43.0

IFCA MSC 0.740 (5.1) 42.0

SUMATEC 0.230 (2.1) 34.7

KNM GROUP 0.455 (3.2) 32.1

BERJAYA CORP 0.445 0.0 29.1

SYSTECH BHD 0.290 (6.5) 28.3

SAPURAKENCANA 2.440 (4.7) 25.1————————————————————————————————

Close % chg

US$/Euro 1.2311 0.00

RM/US$ (Spot) 3.4435 (0.03)

RM/US$ (12-mth NDF) 3.5381 (0.17)

OPR (% ) 3.25 0.00

BLR (% , CIMB Bank) 6.85 0.00

GOLD ( US$/oz) 1,209.71 0.02

WTI crude oil US spot (US$/barrel) 67.38 0.75

CPO spot price (RM/tonne) 2,120.00 (0.84)

Market Indices

Top Actives

Economic Statistics

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Terence WONG, CFA T (60) 3 2261 9088 E terence.wong@cimb.com

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Daybreak│Malaysia

December 4, 2014

2

Global Economic News

Companies in the US added 208,000 workers in Nov (+233,000 workers in Oct), according to figures from the ADP Research Institute. (Bloomberg)

The US Federal Reserve reported broad-based employment gains across the country’s industries and regions, according to its Beige Book business survey, based on reports gathered on or before 24 Nov.

“A number of districts also noted that contacts remained optimistic about the outlook for future economic activity,” the report said.

However, even as the job market showed momentum, “overall price and wage inflation remained subdued,” the report warned. (Bloomberg)

The US Institute for Supply Management (ISM)’s non-manufacturing index rose to 59.3 in Nov (57.1 in Oct), the second-highest level since Aug 2005. (Bloomberg)

The US productivity of nonfarm workers rose at 2.3% yoy in 3Q14 (initial estimate of +2% yoy). Unit labour costs declined 1% yoy in 3Q14 (prior estimate of +0.3% yoy). (WSJ)

The US Federal Reserve Bank of Philadelphia President Charles Plosser reiterated his desire for the central bank to prepare the way for higher short-term interest rates and said people expect too much from monetary policy. "That means we should no longer be conducting monetary policy as if we were still in the midst of a financial crisis or in the depths of a recession," and the Fed should begin to move toward raising its currently near zero short- term interest rate target, he said. (WSJ)

Europe and Japan need to play a bigger role in bolstering the disappointing global recovery, US Treasury Undersecretary Nathan Sheets said.

“Although we are seeing a strengthening recovery in the US, the overall performance of the global economy continues to fall short of aspirations,” he said, echoing earlier remarks by Treasury Secretary Jacob J. Lew. (Bloomberg)

Eurozone final composite Purchasing Managers Index (PMI) fell to 51.1 in Nov (52.1 in Oct), lower than initial estimate of 51.4 for Nov. Services PMI fell to 51.1 in Nov (52.3 in Oct). (Bloomberg)

Eurozone retail sales rose by 0.4% mom in Oct (-1.2% mom in Sep) for a 1.4% yoy gain (+0.5% yoy in Sep). (Reuters)

Japan’s Markit services PMI for Nov came in at 50.6 (48.7 in Oct). Meanwhile, Composite PMI was up with a score of 51.2 in Nov (49.5 in Oct). (RTT)

China's official nonmanufacturing purchasing managers’ index (PMI) rose to 53.9 in Nov (53.8 in Oct). (WSJ)

Daybreak│Malaysia

December 4, 2014

3

China’s services PMI by HSBC and Markit climbed to 53.0 in Nov (52.9 in Oct). Composite PMI, however, fell to 51.1 in Nov (51.7 in Oct). (Bloomberg)

The HSBC India Services PMI rose to 52.6 in Nov (50.0 in Oct). Composite PMI also climbed, reaching a five-month high of 53.6 in Nov (51.0 in Oct). (India Times)

The Reserve Bank of India (RBI) is "reasonably comfortable" with the current account deficit because of lower oil prices, deputy governor H R Khan said, after the government last week unexpectedly eased its “80:20” rules on gold imports. (India Times)

India eased foreign direct investment (FDI) rules for the construction sector, with foreign investment allowed in projects with a minimum built area of 20,000 square meters, down from a previous 50,000 threshold. The minimum capital investment by foreign companies has also been halved to US$5m, according to a government statement. (Reuters)

Australia’s GDP advanced 0.3% qoq in 3Q14 (+0.5% qoq in 2Q14).

Compared with a year earlier, GDP expanded 2.7% yoy in 3Q14, the same rate as 2Q14. (Bloomberg)

South Korea’s foreign exchange reserves fell to US$363.1bn as of end-Nov (US$363.7bn as of end-Oct). (Yonhap)

South Korea's parliament has approved an 80% hike in cigarette prices, raising the average price of a packet of cigarettes from KRW2,500 (US$2.24) to KRW4,500 from 1 Jan. (AFP)

The South Korean National Assembly passed the government’s 2015 budget bill on 02 Dec, which sees an increase in government budget by 5.51% to KRW375.4tr (US$338bn) in 2015 from KRW355.8tr this year. (Korean Herald)

South Korea GDP expanded 0.9% qoq in 3Q14 (+0.5% qoq in 2Q14), matching initial estimate released earlier. On a yearly basis, GDP climbed 3.2% yoy in 3Q14 (+3.5% yoy in 2Q14). (Yonhap, RTT)

Hong Kong’s manufacturing PMI remained in contraction, albeit at a slower pace, with a score of 48.8 in Nov (47.7 in Oct). (RTT)

The Bank of Thailand (BOT) expects inflation to continue to be low in 2015 thanks to falling global oil prices and the reform of the country's energy structure, which will be positive for the balance of trade while helping businesses via lower production and logistics costs.

Meanwhile, the proposal to change the BOT’s inflation target from core to headline inflation next year is awaiting approval from the Cabinet. The BOT's current core-inflation target for the year is 0.5-3%. (The Nation)

Daybreak│Malaysia

December 4, 2014

4

Malaysian Economic News

With the free-floating mechanism causing daily fluctuations in the pump price of fuel, industrial and business players will face problems pricing their products, said Deputy Finance Minister Datuk Chua Tee Yong. The government recently announced that the retail price of RON95 petrol and diesel would follow the managed float system from 1 Dec onwards, using an automated pricing mechanism formula. "We need to have a gradual change to see how it fits the current context and the market's reaction to it," he said. (Malaysian Insider)

The drop in world oil prices should not have an adverse effect on our country's deficit as the average price from Jan to Nov has met the expectations set. Deputy Finance Minister Datuk Chua Tee Yong said that speculators should not be confused as Malaysia relies on the Tapis Crude and not Brent Crude. "The average price for Tapis Crude has been above USD100 (RM344) per barrel between Jun to Nov and this meets our expectations," he said. (Bernama)

Deputy Finance Minister Datuk Chua Tee Yong said the federal government is considering requests to exempt high-rise residential management bodies from imposing the goods and services tax (GST), amid concern that it would burden those living in apartments and condominiums. He said various organisations such as the House Buyers Association (HBA) and the Board of Valuers, Appraisers and Estate Agents Malaysia (BOVAEA) have argued that it is not feasible to charge GST on joint management bodies (JMB) or management boards as they are typically not profit-driven.

“They have requested that we relook at (imposing) GST because most of the JMBs and management boards are not in it for profit but just to manage the properties, and the work is voluntary,” he said. (Malay Mail)

The federal government will have the final say on state oil firm Petroliam Nasional Bhd's (Petronas) decision to cut the company's dividend payout to the government and capital expenditure (capex) reduction, according to second finance minister Datuk Seri Ahmad Husni Hanadzlah. “They've not decided on that. We must bear in mind that Petronas is a state oil firm under the government. So let the government decide on how much the company would pay,” he said. (Malaysian Reserve)

Malaysia's conducive business climate, proven track record and Chairmanship of Asean next year, are among factors highlighted by Deputy Prime Minister Tan Sri Muhyiddin Yassin to further lure China's trade and investment players to the country. He noted that Malaysia is among the first group of countries to have approved settlement of trade in the renminbi through the proposed setting up of a yuan - as the currency is also called - clearing bank recently. "The move to facilitate and reduce the cost of doing business is a tremendous boost for the private sector," he said (Bernama)

The Malaysia External Trade Development Corp (Matrade), in collaboration with Malaysia Petroleum Resources Corp (MPRC), will organise the participation of 14 Malaysian companies in a specialised mission for oil and gas (O&G) sector to Nay Pyi Taw and Yangon, Myanmar. "The three-day event, which begins today, is to facilitate Malaysian companies' registration process with the Ministry of Energy, Myanmar Oil and Gas Enterprise and Energy Planning Department," it said. (Bernama)

Daybreak│Malaysia

December 4, 2014

5

Malaysia does not condone any act of forced labour and child labour in oil palm plantations as alleged by the reports of the United States Department of Labour (DoL). In the past five reports in the US DoL’s List of Goods Produced by Child Labour or Forced Labour for 2009, 2010, 2011, 2012 and 2013, Malaysia has been listed as one of the countries practising forced labour in the oil palm industry. In its latest report on Dec 1, the US DoL has again listed Malaysia as one of the countries practising not only forced labour but also child labour in the said industry. (NST)

An additional 12,000 Bangladeshi workers will be allowed to work in the plantations sector in Sarawak said Prime Minister Datuk Seri Najib Tun Razak. Najib said Sarawak needed 62,000 workers in the sector and Malaysia may bring in more workers from the country to meet this demand.

Najib said there were almost 300,000 Bangladeshi working legally in various sectors including construction and manufacturing. He said the new workers will start arriving early next year. He also said both Malaysia and Bangladesh agreed to expand bilateral trade including working towards a Free Trade Agreement. (NST)

Political News

Former Law Minister Datuk Mohd Zaid Ibrahim has claimed that Umno is responsible for the racial divide between ethnic Malays and Chinese in Malaysia - a divide which caused much wailing and gnashing of teeth at the Umno general assembly recently.

Mohd Zaid said their performance at the recent general assembly convinced him that Isma, Datuk Ibrahim Ali and their Umno sponsors had "succeeded in changing the once proud and great Malay political party into a senseless and directionless organisation".

Referring to, what he called "inane speeches", Mohd Zaid said Umno deputy president Tan Sri Muhyiddin Yassin, among others, had lambasted the private sector for not employing Malays or employing them at lower salaries than non-Malays.

Mohd Zaid said this was a staple of Umno assemblies and asked why, if it were true, the party did not change laws or formulate policies on employment to end this so-called discrimination. "Why? Are they unwilling to enact anti-discrimination laws because they themselves discriminate against the Chinese in the public sector?"

He also addressed the "loony" suggestion that ethnic Chinese do not know how to speak Bahasa Malaysia. "The proper observation is that the Chinese do know Bahasa Malaysia. "Even in Chinese schools they have Bahasa Malaysia classes. In public universities they have to be good at Bahasa Malaysia if they want to succeed. (The Rakyat Post)

Malaysian Chinese have become "bold and aggressive" as they have gained confidence from the success of DAP's chauvinistic movement, says a former Information Minister. Tan Sri Zainuddin Maidin stated this in his blog Zamkata today, linking the so called present day Chinese chauvinism to the now defunct Parti Komunis Malaya (PKM) spearheaded by the late Chin Peng.

He referred to a statement made by Penang deputy police chief A. Thaiveegan, who revealed that a small group of the nation's second largest population had recently thrown a dinner party to celebrate PKM's leader.

Zainuddin added former Prime Minister Tun Dr Mahathir Mohamad's decision to sign a peace treaty with the communist group 25 years ago had caused the nation to now, be forced to face the Chinese community's "bestiality".

Daybreak│Malaysia

December 4, 2014

6

The former Utusan Malaysia group editor said although most Malaysian Chinese would not take part in communism, they were already doing so when they joined in the "chauvinistic movement that denies the Royal Institutions and by fighting for equal rights with the Malays based on the spirit of The People's Republic of China. (The Rakyat Post)

Sabah has the most expensive homes in Malaysia, said PKR-powered think tank Institut Rakyat, with the average home in the country's easternmost state costing 11x more than a family's median annual income of RM34,320. Citing official data from the fourth quarter of 2012, Institut Rakyat executive director Yin Shao Loong said homes in Sabah were twice as unaffordable as the national average of RM251,731. He added that Sarawak and Kuala Lumpur followed on the list. Yin said by the end of 2012, the average house price was 5.79x the annual income of the median household. By the first half of this year, the national housing affordability index improved slightly to 5.52x. (Financial Daily)

Corporate News

Muhibbah Engineering has secured a RM135m contract from Westports to build a container terminal at Port Klang. The contract was to build the first 300 metres of container terminal 8 wharf and access bridges and associated works. Westports has an option within six months from the date of site possession for Part A to award to Muhibbah the second 300 meter of Container Terminal 8 wharf with a total contract value of RM256m. This container terminal 8 expansion plan is to be carried out in two parts. When fully operational, the container handling capacity of Westports will increase from the present 11m TEU to 13.8m TEU. (StarBiz)

Please refer to our note for comments.

AirAsia X, the long-haul low-cost arm of AirAsia Group, is optimistic of delivering better fourth-quarter results this year against the same period last year. Its CEO, Azran Osman-Rani, said the quarter would reflect the maturity of many of the airline’s initial loss-making start-up routes introduced late last year.

“In our long-haul low-cost model, it takes about a year on average to break even whenever we expand new routes or flight frequencies because we have to stimulate some 100,000 new passengers on every aircraft that is in use, he said, “so, after about a year, we would start to recover or break even. The big part of our expansion had been in the fourth quarter of last year. By the end of this year, the one-year period would be complete. I am optimistic about the fourth-quarter results.” (BT)

Plantation group Kulim (Malaysia) Bhd is optimistic that its bold move into new ventures in the oil and gas (O&G) sector will contribute 50% of its total revenue within the next 10 years. Its managing director Ahamad Mohamad said the company is on the lookout for a local partner for its upstream O&G business ventures. The company has received a greenlight from its shareholders for the disposal of its 49% equity in New Britain Palm Oil Ltd (NBPOL) to Sime Darby Bhd for RM2.75bn.

Ahamad said Kulim has earmarked RM680m from the proceeds to finance its expansion into new areas of opportunity in the O&G sector, especially in Indonesia. Another RM170m will set aside for buying land in Indonesia, Sabah and Sarawak to increase its plantation landbanks. The company will distribute RM1bn of the disposal proceeds to its shareholders as dividends in a staggered basis over the next two years. (BT)

Daybreak│Malaysia

December 4, 2014

7

There is no child or forced labour in Malaysia's palm oil sector, Putrajaya said, in response to a US Department of Labour list that cites the country's billion-ringgit industry for employing children.

The Plantation Industries and Commodities Ministry said a six-month survey completed in June this year on 68 plantations and smallholdings in several states found that there was no forced or child labour in the sector. The survey was conducted in Selangor, Perak, Johor, Pahang, Sabah and Sarawak and covered 1,632 workers.

"In the case of Sabah, the study shows children of foreign workers accompanying their parents to the work area due to lack of supervision at home and assisting in simple tasks such as loose fruit collection. "However, this is only allowed after school hours, weekends and holidays," the ministry said in a statement. (Malaysian Insider)

The Malaysian Palm Oil Board (MPOB) will take legal action against two palm oil traders in Sarawak, who will be brought to court on suspicion of trading fresh fruit bunches (FFB) without license.

The traders’ premises were raided by MPOB enforcement teams during Ops Sawit Kenyalang held to curb the theft of FFB in the state.

During the raid, a total of 32.01 tonnes of FFB worth RM11,270.55 were confiscated due to failure in presenting valid documents for buying and selling FFBs, MPOB said in a statement yesterday.

In a separate raid on a palm oil nursery, MPOB enforcement also seized 15,979 seedlings worth around RM250,000 on suspicion of producing palm oil crops without an MPOB license. (Borneo Post)

Penang property developers will adopt a “wait-and-see” approach in rolling out new property projects next year in view of various factors, including rising power costs, fuel subsidy cuts and house buyers’ cautious stance. "We are cautious and will launch our new projects accordingly next year as house buyers appear to be cautious and there is still confusion over the effects of property prices once the Goods and Services Tax is implemented,” said IJM Land northern region general manager Datuk Toh Chin Leong.

The Real Estate and Housing Developers Association (Rehda) has expressed concern over bureaucratic red tape involved in obtaining developers’ licences and advertising permits for new launches, in addition to being saddled with rising construction and compliance costs. “Since August, the issuance of advertising permits for new launches is taking longer than two weeks and run up to more than two months, while plans for fire safety now have to be vetted by the Ministry of Housing and Local Government as opposed to local council previously,” Rehda Penang chairman Datuk Jerry Chan said. (BT)

Cellular phone service coverage in Malaysia has reached 98% while broadband coverage has reached 84%, the Dewan Negara heard today. Deputy Minister of Communications and Multimedia Datuk Jailani Johari said this was possible after the completion of 949 telecommunication towers nationwide as of November this year. “The broadband coverage was achievable following the construction of a tower under Project Time 3,” he said. (NST)

Daybreak│Malaysia

December 4, 2014

8

1Malaysia Development Bhd is planning meetings in January with potential cornerstone investors for the US$3bn IPO of its power business 1MDB Energy, said sources familiar with the matter.

The initial public offering is aimed at helping the state investor, known as 1MDB, reduce a debt burden that exceeds US$11bn. Plans for the sale had been delayed several times, bankers say, due to a longer-than-expected due diligence process and debt refinancing negotiations.

Raising US$3bn could place the 1MDB Energy IPO as Southeast Asia's fifth-biggest listing ever, according to Thomson Reuters data. (Starbiz)

Glomac has posted a RM13.2m net profit for its 2Q ended 31 Oct 14 on the back of RM86.3m revenue. In the same quarter last year, the property developer recorded RM39.2m net profit and RM155.8m revenue. Glomac group executive chairman Tan Sri FD Mansor said the company expects its sales momentum to pick up in the second half of its financial year ending 30 Apr 15, where it has targeted RM824m new launches. “More than two-thirds of launches will be landed residential developments, including new phases at Lakeside Residences and our maiden launch at the Saujana KLIA affordable township project,” he said. (BT)

GD Express Carrier (GDex) is exploring options to raise about RM200m in the next 12 months to speed up the express delivery company's plans to expand its footprint into the Southeast Asia region. "We are looking at possibilities for aggressively expanding to the whole ASEAN region, look at how to raise additional capital through borrowings or other instruments,” managing director Teong Teck Lean told reporters at the company's AGM yesterday. It is considering the option of issuing new shares of up to 10% of its issued share capital and well as its existing cash pile of RM41m to support the setting up of its ground operations in Indonesia, making it the third country where the company has full-fledged operations in. GDex has operations in Malaysia, Singapore and a representative office in Jakarta, Indonesia. (Financial Daily)

K&N Kenanga Holdings’ (KNKH) wholly-owned subsidiary, Kenanga Capital, has disposed of its 100% equity interest in Capital Investment Bank (Labuan) Ltd to Amanie Corporate Advisors for a total cash consideration of RM6.7m. The disposal will not have a material effect on the earnings or net assets of KNKH Group for the financial year ending 31 Dec. (BT)

Daybreak│Malaysia

December 4, 2014

9

BMSB: Changes in shareholdings

Type of No of Ave Price

3-Dec-14 Date transaction securities Company (RM)

EPF 28/11 Disposed 4,563,000 AIRASIA

EPF 28/11 Disposed 3,719,200 BUMI ARMADA

EPF 28/11 Disposed 2,355,900 SP SETIA

EPF 28/11 Disposed 1,825,000 MAH SING GROUP

EPF 28/11 Disposed 1,547,100 DIALOG GROUP

EPF 28/11 Disposed 1,000,800 MBM RESOURCES

EPF 28/11 Disposed 1,000,000 SUNWAY REIT

EPF 28/11 Disposed 805,400 SAPURAKENCANA PETROLEUM

EPF 28/11 Disposed 679,400 AFG

EPF 28/11 Disposed 670,000 DIGI.COM

EPF 28/11 Disposed 636,600 CAPITAMALLS MALAYSIA TRUST

EPF 28/11 Disposed 436,600 IOI PROPERTIES GROUP

EPF 28/11 Disposed 365,700 KPJ HEALTHCARE

EPF 28/11 Disposed 309,300 MALAYSIA AIRPORTS

EPF 28/11 Disposed 167,800 AEON CO. (M)

EPF 28/11 Disposed 166,200 UEM SUNRISE

EPF 28/11 Disposed 158,100 HONG LEONG BANK

EPF 28/11 Disposed 154,500 GAMUDA

EPF 28/11 Disposed 150,200 WCT HOLDINGS

EPF 28/11 Disposed 18,400 TIME DOTCOM

EPF 28/11 Disposed 14,600 GENTING PLANTATIONS

Skim Amanah Saham Bumiputera 18/11 Disposed 3,000,000 FRASER & NEAVE

Kumpulan Wang Persaraan 26/11 Disposed 102,900 TOP GLOVE

Kumpulan Wang Persaraan 26/11-27/11 Disposed 251,000 PRESTARIANG

T. Rowe Price Associates, Inc 26/11 Disposed 9,800 ASTRO MALAYSIA

Aberdeen Asset Management PLC 25/11-27/11 Disposed 113,800 GUINNESS ANCHOR

Mitsubishi UFJ Financial Group, Inc 27/11 Disposed 136,900 CIMB GROUP

Mitsubishi UFJ Financial Group, Inc 26/11-27/11 Disposed 48,100 GUINNESS ANCHOR

EPF 27/11-28/11 Acquired 5,421,400 MALAYAN BANKING

EPF 28/11 Acquired 1,859,700 TELEKOM MALAYSIA

EPF 28/11 Acquired 625,900 BERJAYA AUTO

EPF 28/11 Acquired 376,000 PUBLIC BANK

EPF 28/11 Acquired 250,500 MISC

EPF 28/11 Acquired 157,400 AMMB HOLDINGS

EPF 28/11 Acquired 95,100 SUNWAY BERHAD

EPF 28/11 Acquired 59,800 IHH HEALTHCARE

EPF 28/11 Acquired 50,300 IJM CORPORATION

EPF 28/11 Acquired 23,200 UOA REIT

EPF 28/11 Acquired 21,700 BAT

EPF 28/11 Acquired 10,400 KUALA LUMPUR KEPONG

Kumpulan Wang Persaraan 26/11 Acquired 1,000,000 SP SETIA

Kumpulan Wang Persaraan 26/11-27/11 Acquired 710,900 GAMUDA

Kumpulan Wang Persaraan 26/11 Acquired 240,000 AXIS REIT

Kumpulan Wang Persaraan 26/11 Acquired 56,600 TIME DOTCOM

YTL CORPORATION BERHAD 2/12 Acquired 67,725,000 YTL POWER 

Great Eastern Holdings Limited 27/11-28/11 Acquired 184,600 STAR PUBLICATIONS

WELLINGTON MANAGEMENT CO, LLP 25/11-28/11 Acquired 132,380 AIRASIA

BIZURAI BIJAK (M) SDN BHD 28/11-1/12 Acquired 1,181,600 BERJAYA SPORTS TOTO

Mitsubishi UFJ Financial Group, Inc 27/11 Acquired 3,500 BAT

WAH SEONG CORPORATION 3/12 Shares Buy Back 25,100 WAH SEONG CORPORATION 1.53

EKSONS CORPORATION 3/12 Shares Buy Back 20,000 EKSONS CORPORATION 1.37

WCT HOLDINGS 3/12 Shares Buy Back 19,200 WCT HOLDINGS 1.80

DAIBOCHI PLASTIC 3/12 Shares Buy Back 7,000 DAIBOCHI PLASTIC 4.31 SOURCES: BMSB

BMSB: New Listing

Company Issue price Listing sought Tentative

Public Issue Offer for sale Private placement listing date

E.A.TECHNIQUE 0.65 114,000,000 15,000,000 93,800,000 Main Market 11-Dec-14

KRONOLOGI ASIA 0.29 59,247,000 - - ACE Market 15-Dec-14

ONLY WORLD GROUP 0.88 56,408,900 - 43,158,900 Main Market 18-Dec-14

No of shares

SOURCES: BMSB

Daybreak│Malaysia

December 4, 2014

10

BMSB: Off-market transactions

3-Dec-14 Vol

GOB-OR 22,600,000

BONIA 16,000,000

JIANKUN-OR 13,000,000

HUBLINE 5,000,000

CARMIN 1,250,000

FREIGHT 1,000,000

PMBTECH 1,000,000

PFCE 848,000

ZECON 517,000 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

KOSSAN Interim dividend - single tier 3.50 20-Nov-14 8-Dec-14 10-Dec-14 23-Dec-14

TA ANN 2nd interim dividend - single tier 10.00 25-Nov-14 8-Dec-14 10-Dec-14 29-Dec-14

UZMA Interim dividend - single tier 3.78 25-Nov-14 8-Dec-14 10-Dec-14 9-Jan-15

SIME DARBY Final dividend 30.00 26-Nov-14 8-Dec-14 10-Dec-14 5-Jan-15

AXIS REIT 4th interim income distribution 2.70 26-Nov-14 8-Dec-14 10-Dec-14 8-Jan-15

PRESTARIANG Interim dividend - single tier 1.00 26-Nov-14 9-Dec-14 11-Dec-14 2-Jan-15

KAREX Final dividend - single tier 25.00 5-Nov-14 10-Dec-14 12-Dec-14 22-Dec-14

GUINNESS ANCHOR Final dividend - single tier 44.50 5-Nov-14 10-Dec-14 12-Dec-14 31-Dec-14

MEDIA PRIMA 2nd interim dividend - single tier 3.00 6-Nov-14 10-Dec-14 12-Dec-14 30-Dec-14

JOBSTREET CORP 3rd interim dividend - single tier 1.75 27-Nov-14 10-Dec-14 12-Dec-14 24-Dec-14

JOBSTREET CORP Special dividend 265.00 27-Nov-14 10-Dec-14 12-Dec-14 24-Dec-14

AFFIN HOLDINGS Interim dividend - single tier 15.00 24-Nov-14 11-Dec-14 15-Dec-14 6-Feb-15

AFG 1st interim dividend - single tier 9.00 26-Nov-14 11-Dec-14 15-Dec-14 30-Dec-14

WELLCALL Special interim dividend - single tier 2.30 28-Nov-14 11-Dec-14 15-Dec-14 23-Dec-14

BIMB HOLDINGS Interim dividend - single tier 14.70 2-Dec-14 12-Dec-14 16-Dec-14 16-Jan-15

MCIL Interim dividend - single tier 1.44 26-Nov-14 15-Dec-14 17-Dec-14 15-Jan-15

TENAGA NASIONAL  Final dividend - single tier 19.00 20-Nov-14 17-Dec-14 19-Dec-14 31-Dec-14

LAFARGE MALAYSIA 3rd interim dividend - single tier 8.00 18-Nov-14 17-Dec-14 19-Dec-14 14-Jan-15

SUPERMAX  Interim dividend - single tier 4.00 7-Nov-14 26-Dec-14 30-Dec-14 28-Jan-15

UMW OIL & GAS  Interim dividend - single tier 1.00 24-Nov-14 26-Dec-14 30-Dec-14 15-Jan-15

KPJ HEALTHCARE Interim dividend - single tier 2.00 25-Nov-14 29-Dec-14 31-Dec-14 22-Jan-15

MY E.G. SERVICES Final dividend - single tier 2.00 24-Nov-14 6-Jan-15 8-Jan-15 30-Dec-14

TOP GLOVE  Final dividend - single tier 9.00 11-Nov-14 12-Jan-15 14-Jan-15 29-Jan-15

BENALEC HOLDINGS Final dividend - single tier 0.30 27-Nov-14 26-Jan-15 28-Jan-15 23-Feb-15

KUALA LUMPUR KEPONG Final dividend - single tier 40.00 19-Nov-14 19-Feb-15 23-Feb-15 17-Mar-15 SOURCES: BMSB

BMSB: Proposed cash calls & trading of rights…

4-Dec-14 Ann Date Proposed

ECO WORLD 25-Apr-14 1 Rights @ 2, 4 Free Warrants @ 5, Private Placement

ASIA FILE CORP 6-Aug-14 Bonus issue 3:5

EASTERN & ORIENTAL 5-Sep-14 Bonus issue 1:10, Free Warrants 1:5

BUMI ARMADA 12-Sep-14 1 Rights : 2 shares @ RM1.35

BENALEC HOLDINGS  12-Sep-14 > RM200m of 7-year Redeemable Convertible Secured Bonds

TH HEAVY ENGINEERING 24-Sep-14 Private placement of up to 10% of the issued shares of THHE

TH HEAVY ENGINEERING 3-Oct-14 Rights issue with bonus issue, 1 bonus issue : 5 Rights shares

MY E.G. SERVICES 30-Oct-14 Bonus issue 1:1

MAH SING GROUP 20-Nov-14 Rights issue with Warrants; Bonus issue 1:4

MALAYSIA AIRPORTS 28-Nov-14 Right issue 1:5 SOURCES: BMSB

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Corporate Actions

December 2014

SUN MON TUE WED THU FRI SAT

1 2 3 4 5 6

External Trade, External Reserves (month-end data)

7 8 9 10 11 12 13

Eco World 13-mths results & briefing

Astro 3Q & conf. call, Industrial Production

14 15 16 17 18 19 20

SP Setia 4Q CPI

21 22 23 24 25 26 27

Foreign Reserves (mid-month data)

Christmas Day

28 29 30 31

Money Supply

Source: Company, BNM, DOS, CIMB estimates

SOURCES: Company, BNM, DOS, CIMB estimates

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12

Corporate Actions

January 2015

SUN MON TUE WED THU FRI SAT

1 2 3

New Year Prophet Muhammad’s Birthday

4 5 6 7 8 9 10

11 12 13 14 15 16 17

18 19 20 21 22 23 24

25 26 27 28 29 30 31

BNM OPR

Source: Company, BNM, DOS, CIMB estimates

SOURCES: Company, BNM, DOS, CIMB estimates

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course of, and for the purposes of their business, habitually invest money pursuant to Section 3(2)(a)(ii) of the Securities Act 1978.

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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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CIMB Recommendation Framework

Stock Ratings Definition

ADD The stock’s total return is expected to exceed 10% over the next 12 months.

HOLD The stock’s total return is expected to be between 0% and positive 10% over the next 12 months.

REDUCE The stock’s total return is expected to fall below 0% or more over the next 12 months.

The total expected return of a stock is defined as the sum of the: (i) percentage difference between the target price and the current price and (ii) the forward net dividend yields of the stock. Stock price targets have an investment horizon of 12 months.

*Prior to December 2013 CIMB recommendation framework for 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 were based on a stock’s total return relative to the relevant benchmarks total return. Outperform: expected to exceed by 5% or more over the next 12 months. Neutral: expected to be within +/-5% over the next 12 months. Underperform: expected to be below by 5% or more over the next 12 months. Trading Buy: expected to exceed by 3% or more over the next 3 months. Trading Sell: expected to be below by 3% or more over the next 3 months. For stocks listed on Korea Exchange, Hong Kong Stock Exchange and China listings on the Singapore Stock Exchange. Outperform: Expected positive total returns of 10% or more over the next 12 months. Neutral: Expected total returns of between -10% and +10% over the next 12 months. Underperform: Expected negative total returns of 10% or more over the next 12 months. Trading Buy: Expected positive total returns of 10% or more over the next 3 months. Trading Sell: Expected negative total returns of 10% or more over the next 3 months.