MCI (P) 129/11/2012 Ref No: SGMN2013_0033 1 of 16

Phillip Securities Research Pte Ltd

Singapore

Morning Note

19 February 2013

Morning Commentary - STI: +0.15% to 3288.1 - SET: +0.12% to 1523.3 - JCI: +0.05% to 4612.1 - KLCI: -0.43% to 1620.9 - HSCEI: -0.93% to 11735.2 - Hang Seng: -0.27% to 23381.9 - Nikkei 225: +2.09% to 11407.9 - ASX200: -0.19% to 3322.7 - India NIFTY: +0.18% to 5898.2 - S&P500: -0.10% to 1519.8 MARKET OUTLOOK: By Ng Weiwen, Macro Analyst In Singapore, the STI is likely to continue to tread along its 10dma support level in the absence of a catalyst, especially when US equity markets were closed for holiday on Mon. Markets are undecided going forth (likely in view of Italian macro risks this weekend), forming a doji at its close yesterday. Near-term support at 3250 support level. 3400 will be the immediate psychological resistance level and the next major key resistance will be 3800 (attained in 2007). In Japan, the Nikkei 225 gapped up -surging 2.1%- after the G20 final communique did not censure Japan specifically, which translated to a tacit vindication of Japan’s aggressive monetary policies. This is consistent with our view that the Nikkei 225 rally still has legs (7th Feb morning commentary). Our optimism -albeit a cautious one- takes into account the following: (i) While the Nikkei has ran up quite a fair bit since mid-November, it is important to view this rally in perspective. Specifically, the Nikkei had merely surpassed its 2011 pre-tsunami levels. There is still scope for the Nikkei to challenge the 14,000 resistance level (attained in mid 2008) before the 2008/09 global financial crisis slump. (ii) Expectations of a weaker yen with USDJPY likely to test major resistance at 95 and even possibly 100. Instead of finishing his term in April, BoJ Governor Shirakawa plans to resign the same time as his Deputy Governors in March. Thus, the stage is now set for PM Abe -with the necessary support from the opposition faction- to appoint a new BoJ Governor who will dutifully undertake aggressive monetary easing to reflate the economy. But we temper our optimism with some caution. We reckon it will be an uphill task -especially without other reforms- to revive the Japanese economy that has been plagued by prolonged deflation and unfavourable demographics. [ETF: Nomura ETF Nikkei 225; CFD: Japan 225 Index JPY100 CFD (Nikkei 225)] In Malaysia, the KLCI slipped below its 200dma support level. We think that the KLCI will continue to test the 200dma -for the umpteen time- in view of political risk ahead of 13th General Elections (GE). Wait for a break either direction. If the incumbent Barisan Nasional fails to obtain a strong mandate at the 13th GE, the Economic Transformation Program and Government Transformation Program -major pillars of the domestic demand story- may be confronted with headwinds. Pending the election outcome, we will revisit our rating for Malaysia (currently marketweight) accordingly. The immediate macro risk on the horizon is the Feb 24-25 Italian elections. With the Monte Paschi scandal, the odds of a Berlusconi victory have increased according to pre-election poll surveys. A governing majority by Berlusconi (though not our base case scenario) will cast doubt on Italian reform commitments. This might result in Italian sovereign yields to surge again to unsustainable levels owing to loss of market confidence, forcing the Italian government to have the dubious honour of being the first nation to seek aid from ECB’s OMT program. If this particular risk event materialise, it will likely jolt investor's confidence and consequently weigh on markets. (All equity indices mentioned in this note are tradable with Phillip CFDs or ETFs) SECTOR/STRATEGY REPORTS: - Sector Reports: Bank, 1 Feb / Property, 16 Jan / Gaming, 4 Jan / REIT, 31 Dec / Telecommunications, 12 Dec / Commodities, 3 Dec - Country Strategy: Thai, 7 Feb / China & HK, 28 Jan / S’pore, 26 Dec - Global Macro, Asset Strategy: 24 Jan, Update / 4 Jan / US, 21 Dec / ASEAN, 5 Dec Source: Phillip Securities Research Pte Ltd

Morning Note 19 February 2013

2 of 14

Macro Data

In Singapore, non-oil domestic declined by 6.5 % on a y-y 3mma basis in Jan 2013, following the 4.2% contraction in the preceding month. Electronics shipments fell 5.6% y-y in Jan (though the pace of decline has stabilised), while pharmaceutical exports contracted by 22.9%. In Thailand, real GDP accelerated 3.6% q-q sa in 4q12, faster than the 1.5% growth registered in the preceding quarter. We expect the central bank (BoT) to continue to stand pat, maintaining the benchmark one-day bond repurchase rate at 2.75% in view of a resilient domestic demand as well as an improving global economy.

Source: Phillip Securities Research Pte Ltd

Source: Bloomberg

STI - Index Members

1.5% 1.1%

1.0%

1.0%

0.9%

0.8%

0.6%

0.6%

0.5%

0.5%

0.2%

0.1%

0.0%

0.0%

0.0%

0.0%

0.0%

-0.2%

-0.2%

-0.2%

-0.3%

-0.3%

-0.3%

-0.4%

-0.5%

-0.5%

-0.5%

-0.6% -1.3%

-1.5%

-6%

-4%

-2%

0%

2%

4%

6%

Olam

Sem

bcorp Mar.

ST E

ng.

Jardine Mat.

Singtel

Jardine Stra.

SIA

Eng.

Jardine C&

C

Com

fortDelG

ro

DBS

Starhub

UO

B

Noble G

roup

IHH

Golden A

gri-R.

F&N

Capitaland

CD

L

Sem

bcorp Ind.

OC

BC

Keppel C

orp. Ltd

Wilm

ar

SIA

SG

X

Capitam

all Trust

Capitam

alls Asia

SPH

HK Land

Genting S

P

GLP

Morning Note 19 February 2013

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Company Results

Revenue Net Profit S/N Company Name Q/HY/FY Currency,

Units Current Previous Change (%) Current Previous Change

(%)

1 SOUP RESTAURANT GROUP LIMITED FY S$’000 35,258 33,238 6.1 3,735 1,646 126.9

2 HIAP HOE LIMITED FY S$’000 145,668 136,414 6.8 57,869 47,436 22.0

3 GSH CORPORATION LIMITED FY US$’000 102,716 98,220 4.6 4,299 (301) n.m

4 COLEX HOLDINGS LIMITED FY S$’000 45,519 41,052 10.9 1,970 1,457 35.2

Source: SGX Masnet

Company Highlights Ezion Holdings Ltd said it has secured a charter contract with a value of approximately US$79.9 million to provide a jack-up rig to support a South Asian based national oil company. The charter contract will take place over a three-year period with an additional two-year extendable option. To be deployed in the Arabian Sea in South Asia, the rig is expected to be working by the fourth quarter of 2013 after it has been refurbished and upgraded, said Ezion. Ezion added that no material impact on the group's earnings per share or net tangible assets per share for the financial year ending Dec 31, 2013 is expected. (Closing price: S$1.925, +2.9%) Jason Marine Group Limited sharpens business focus in move to turn business around and strengthen market position. The company will reorganise businesses into core focus- marine, offshore oil & gas and China, to drive revenues. There will be dedicated teams for each division to ensure continued high service quality. (Closing price: S$-,-) Oakwell Engineering Limited expects to report a net loss for FY2012 due mainly to the Shipbuilding segment. The Shipbuilding segment is anticipated to post a net loss for FY2012, as a result of delays in the delivery of its on-going projects, thereby resulting higher-than-expected operational costs accounted from these on-going projects for the Group in FY2012. (Closing price: S$0.058, -4.9%) XMH Holdings Ltd, a diesel engine, propulsion and power generating solution provider in the marine and industrial sectors, is pleased to announce that the Group has secured two contracts from one Indonesian ship owner with a total worth of approximately S$2.8 million. The recurring customer has placed an order for brand new Mitsubishi marine diesel engines with gearboxes and another order for e-Gen power generating sets worth approximately S$2.8 million. The marine diesel engines, gearboxes and power generating sets will be installed on tug boats and the delivery of the orders will be fulfilled by FY2014. With these contract wins, the total order book value of the Group is currently at approximately S$76 million. (Closing price: S$0.295,-) Source: SGX Masnet, The Business Times

Morning Note 19 February 2013

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80.63 +0.06% 298.45 -0.41%

117.44 -0.38% 2.002 +0.00%

1,610.05 +0.11% 13,981.76 +0.06%

557.03 -0.18% Straits Times Index 3,288.14 +0.15%

23,381.94 -0.27% 11,407.87 2.09%

Source: Bloomberg

Gold (US$/Oz) DJI

MSCI Asia x-Japan

Hang Seng Index Nikkei 225 Index

Dollar Index ThomReuters/JefferiesCRB

Crude oil, Brent (US$/bbl) US Treasury 10yr Yield

1.201.401.601.802.002.202.40

Feb-12

Mar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

Oct-12

Nov-12

Dec-12

Jan-13

2,500

2,700

2,900

3,100

3,300

3,500

Feb-12

Mar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

Oct-12

Nov-12

Dec-12

Jan-13

12,000

13,000

14,000

15,000

Feb-12

Mar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

Oct-12

Nov-12

Dec-12

Jan-13

17,00018,00019,00020,00021,00022,00023,00024,00025,000

Feb-12

Mar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

Oct-12

Nov-12

Dec-12

Jan-13

7,500

8,500

9,500

10,500

11,500

12,500

Feb-12

Mar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

Oct-12

Nov-12

Dec-12

Jan-13

1,500

1,600

1,700

1,800

Feb-12

Mar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

Oct-12

Nov-12

Dec-12

Jan-13

78

80

82

84

Feb-12

Mar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

Oct-12

Nov-12

Dec-12

Jan-13

260

280

300

320

340

Feb-12

Mar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

Oct-12

Nov-12

Dec-12

Jan-13

80

90

100

110

120

130

Feb-12

Mar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

Oct-12

Nov-12

Dec-12

Jan-13

420440460480500520540560580

Feb-12

Mar-12

Apr-12

May-12

Jun-12

Jul-12

Aug-12

Sep-12

Oct-12

Nov-12

Dec-12

Jan-13

Morning Note 19 February 2013

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Company Analyst Date of Last Report Rating Target Price

(S$)Current Price

(S$)Difference to Target

Price (%)

GOLDEN AGRI-RESOURCES LTD Nicholas Ong 24-Dec-12 Accumulate 0.680 0.650 4.6%WILMAR INTERNATIONAL LTD Nicholas Ong 7-Jan-13 Neutral 3.70 3.65 1.4%

GENTING SINGAPORE PLC Change of Analyst 1.56COMBINE WILL INTERNATIONAL H Chan Wai Chee 20-Dec-12 Buy 0.93 0.74 25.7%

DBS GROUP HOLDINGS LTD Ken Ang 7-Feb-13 Accumulate 15.80 15.07 4.8%OVERSEA-CHINESE BANKING CORP Ken Ang 18-Feb-13 Reduce 8.84 9.97 -11.3%UNITED OVERSEAS BANK LTD Ken Ang 21-Dec-12 Accumulate 20.95 19.34 8.3%SINGAPORE EXCHANGE LTD Ken Ang 23-Jan-13 Accumulate 7.88 7.77 1.4%

CAPITALAND LTD Bryan Go 30-Nov-12 Accumulate 3.97 3.91 1.5%CAPITAMALLS ASIA LTD Bryan Go 8-Feb-13 Neutral 2.11 2.11 0.0%HO BEE INVESTMENT LTD Bryan Go 8-Nov-12 Neutral 1.44 1.91 -24.4%KEPPEL LAND LTD Bryan Go 25-Jan-13 Neutral 4.24 4.27 -0.7%OVERSEAS UNION ENTERPRISE Bryan Go 19-Nov-12 Neutral 2.83 2.93 -3.4%SC GLOBAL DEVELOPMENTS LTD Bryan Go 14-Jan-13 Neutral 1.80 1.80 0.3%GLOBAL PREMIUM HOTELS LTD Chan Wai Chee 9-Nov-12 Buy 0.305 0.27 13.0%STAMFORD LAND CORP LTD Chan Wai Chee 20-Dec-12 Buy 0.76 0.57 34.5%SINGXPRESS LAND LTD Chan Wai Chee 16-Oct-12 Restricted 0.018

CDL HOSPITALITY TRUSTS Travis Seah 31-Jan-13 Neutral 2.130 2.04 4.4%PARKWAYLIFE REAL ESTATE Travis Seah 28-Jan-13 Accumulate 2.45 2.40 2.1%SABANA SHARIAH COMP IND REIT Travis Seah 21-Jan-13 Neutral 1.19 1.26 -5.2%

SATS LTD Derrick Heng 31-Jan-13 Accumulate 3.33 2.99 11.4%SIA ENGINEERING CO LTD Derrick Heng 6-Feb-13 Buy 6.10 4.79 27.3%SINGAPORE TECH ENGINEERING Derrick Heng 18-Feb-13 Accumulate 4.50 4.04 11.4%KEPPEL CORP LTD Nicholas Ong 25-Jan-13 Accumulate 12.38 11.69 5.9%SEMBCORP INDUSTRIES LTD Change of Analyst 5.44SEMBCORP MARINE LTD Change of Analyst 4.71HU AN CABLE HOLDINGS LTD Chan Wai Chee 21-Dec-12 Buy 0.164 0.13 23.3%SUNPOWER GROUP LTD Chan Wai Chee 20-Dec-12 Buy 0.250 0.20 25.0%PAN-UNITED CORP LTD Joshua Tan 24-Dec-12 Buy 0.880 0.97 -8.8%

SINGAPORE AIRLINES LTD Derrick Heng 13-Feb-13 Accumulate 13.00 10.93 18.9%TIGER AIRWAYS HOLDINGS LTD Derrick Heng 25-Jan-13 Sell 0.65 0.73 -11.0%NEPTUNE ORIENT LINES LTD Derrick Heng 29-Oct-12 Accumulate 1.36 1.27 7.5%SMRT CORP LTD Derrick Heng 30-Jan-13 Sell 1.41 1.61 -12.4%COMFORTDELGRO CORP LTD Derrick Heng 13-Feb-13 Neutral 1.83 1.90 -3.7%HENGYANG PETROCHEMICAL LOGIS Chan Wai Chee 21-Dec-12 Buy 0.27 0.260 3.8%

SINGAPORE TELECOM LTD Ken Ang 15-Feb-13 Neutral 3.31 3.51 -5.7%STARHUB LTD Ken Ang 8-Feb-13 Reduce 3.61 4.10 -12.0%M1 LTD Ken Ang 22-Jan-13 Neutral 2.41 2.78 -13.3%

Commodities & Supply Chain Managers

Consumer Goods

Banking & Finance

Property (Developers)

Property (REITS)

Industrials (Capital Goods)

Industrials (Transportation)

Technology & Communications

Phillip Securities Research - Singapore Stocks Coverage

Source: Phillip Securities Research Pte Ltd

Morning Note 19 February 2013

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FTSE ST Breakdown (3M % Change)

STI 11.4%

12.7%

10.7%

10.2%

31.2%12.6%

13.6%

15.7%

10.3%

14.3%

14.0%

22.1%

11.5%

ST China

ST Real Estate

ST Re Invest Trust

ST Oil & Gas

ST Basic Materials

ST Industrials

ST Consumer Goods

ST Consumer Service

ST Telecommunicate

ST Utilites

ST Financials

ST Technology19.9%

ST Healthcare

Source: Bloomberg

Last % Chg0.070 18.61.200 17.60.980 14.60.133 10.80.102 8.5

Last % Chg0.600 -10.40.031 -8.80.038 -7.30.043 -6.50.141 -6.0

SINO GRANDNESS FOOD INDUSTRY

BOARDROOM LTDIPCO INTERNATIONAL LTD

HEALTHWAY MEDICAL CORP LTD

SAMKO TIMBER LTDSource: Bloomberg

XPRESS HOLDINGS LTD

CHINA SPORTS INTERNATIONALCHINA MINZHONG FOOD CORP LTD

Top Gainers (%)FTSE ST Market Cap. Breakdown (3M % Change)

Turnover ('mn shares)

Top Losers (%)

SINOSTAR PEC HOLDINGS LTD

UNCHANGED

LOTTVISION LTD

Source: Bloomberg Source: SGX

4,4771,318

245246465

Turnover (S$'mn)UPDOWN

21.9%

13.2% 33.9%

ST All Share

ST Fledgling

ST Small Cap

ST Mid Cap

STI11.4%

12.3%

Morning Note 19 February 2013

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Source: Bloomberg

World Index

JCI 0.05% 4,612.05

HSI -0.27% 23,381.94

KLCI -0.43% 1,620.93

NIKKEI 2.09% 11,407.87

KOSPI 0.04% 1,981.91

SET 0.12% 1,523.29

SHCOMP -0.45% 2,421.56 SENSEX 0.17% 19,501.08

ASX 0.59% 5,063.42

FTSE 100 -0.16% 6,318.19

DOW 0.06% 13,981.76

S&P 500 -0.10% 1,519.79

NASDAQ -0.21% 3,192.03 COLOMBO -0.95% 5,774.59

STI 0.15% 3,288.14

ETF % Change Change LastABF SINGAPORE BOND INDX FUND -0.42 -0.01 1.18DB X-TRACKERS CSI300 UCITS -1.37 -0.12 8.64DB X-TRACKERS FTSE VIETNAM +0.87 +0.24 27.79DB X-TRACKERS MSCI EUROPE IN -0.22 -0.11 49.86DB X-TRACKERS MSCI JAPAN TRN -0.87 -0.34 38.82DB X-TRACKERS MSCI WORLD TRN -0.28 -0.01 3.59DB X-TRACKERS S&P 500 INV DA -0.15 -0.05 32.64DB X-TRACKERS S&P CNX NIFTY -1.01 -1.12 109.86DBX-TRACKERS EURO STXX 50 -0.48 -0.20 41.17ISHARES MSCI INDIA INDEX ETF +0.31 +0.02 6.38LYXOR ETF CHINA ENTERPRISE -0.97 -0.15 15.35LYXOR ETF COMMODITIES CRB-CD -2.81 -0.08 2.77LYXOR ETF JAPAN TOPIX +0.79 +0.01 1.02LYXOR ETF MSCI AC ASIA EX JP +0.41 +0.02 4.88LYXOR ETF MSCI INDIA -2.09 -0.30 14.05LYXOR ETF MSCI KOREA-USD B +3.27 +0.17 5.37NIKKO AM SINGAPORE STI ETF +0.60 +0.02 3.35SPDR GOLD TRUST -1.07 -1.69 156.41SPDR STRAITS TIMES INDEX ETF +0.30 +0.01 3.30UNITED SSE 50 CHINA ETF -1.03 -0.02 1.92

ETF Perform ance

Source: Bloomberg

Morning Note 19 February 2013

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EX Date Company Type Net Amount Currency Frequency Record Date Payout Date2/20/2013 BOARDROOM LTD Interim 0.0100 SGD Semi-Anl 2/22/2013 3/15/20132/20/2013 BRIT & MALAYAN TRUSTEES LTD Interim 0.0150 SGD Semi-Anl 2/22/2013 3/11/20132/21/2013 PERENNIAL CHINA RETAIL TRUST Distribution 0.0196 SGD Semi-Anl 2/25/2013 3/18/20132/22/2013 TOTAL ACCESS COMM-FOREIGN Regular Cash 1.4940 THB Irreg 2/26/2013 4/12/20132/25/2013 WESTMINSTER TRAVEL LTD Interim 0.0928 HKD Irreg 2/27/2013 3/12/20132/25/2013 SILVERLAKE AXIS LTD 2nd Interim 0.0070 SGD Quarter 2/27/2013 3/15/20132/25/2013 LUM CHANG HOLDINGS LTD Interim 0.0075 SGD Semi-Anl 2/27/2013 3/14/20132/26/2013 COSMOSTEEL HOLDINGS LTD Regular Cash 0.0125 SGD Annual 2/28/2013 3/14/20132/27/2013 DIAGEO PLC-SPONSORED ADR Regular Cash 1.1272 USD Semi-Anl 3/1/2013 4/12/20133/4/2013 TAI SIN ELECTRIC LTD Interim 0.0075 SGD Semi-Anl 3/6/2013 3/15/2013

Corporate Action : Dividend

Source: Bloomberg

Morning Note 19 February 2013

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Name Expected Report DateAsia Pacific Brew eries Ltd February 19, 2013BH Global Marine Ltd February 19, 2013Cedar Strategic Holdings Ltd February 19, 2013Colex Holdings Ltd February 19, 2013Hubei Minkang Pharmaceutical Ltd February 19, 2013Roxy-Pacif ic Holdings Ltd February 19, 2013S I2I Ltd February 19, 2013Top Global Ltd February 19, 2013Allied Technologies Ltd/Singapore February 20, 2013Asiamedic Ltd February 20, 2013Broadw ay Industrial Group Ltd February 20, 2013Dynamic Colours Ltd February 20, 2013Food Junction Holdings Ltd February 20, 2013GMG Global Ltd February 20, 2013Haw Par Corp Ltd February 20, 2013OKP Holdings Ltd February 20, 2013Raffles Medical Group Ltd February 20, 2013Riverstone Holdings Ltd February 20, 2013Scintronix Corp Ltd February 20, 2013Sim Lian Group Ltd February 20, 2013Soup Restaurant Group Ltd February 20, 2013Tiong Seng Holdings Ltd February 20, 2013Yeo Hiap Seng Ltd February 20, 2013AP Oil International Ltd February 21, 2013Armarda Group Ltd February 21, 2013Bonvests Holdings Ltd February 21, 2013CapitaLand Ltd February 21, 2013CEFC International Ltd February 21, 2013Chemoil Energy Ltd February 21, 2013Cosco Corp Singapore Ltd February 21, 2013Eucon Holding Ltd February 21, 2013Ezion Holdings Ltd February 21, 2013Food Empire Holdings Ltd February 21, 2013Genting Singapore PLC February 21, 2013HG Metal Manufacturing Ltd February 21, 2013HLH Group Ltd February 21, 2013InnoTek Ltd February 21, 2013Kinergy Ltd February 21, 2013Megachem Ltd February 21, 2013Moya Asia Ltd February 21, 2013Mun Siong Engineering Ltd February 21, 2013NSL Ltd/Singapore February 21, 2013Overseas Union Enterprise Ltd February 21, 2013Plato Capital Ltd February 21, 2013QAF Ltd February 21, 2013SembCorp Marine Ltd February 21, 2013Adventus Holdings Ltd February 22, 2013Dyna-Mac Holdings Ltd February 22, 2013JEP Holdings Ltd February 22, 2013Koh Brothers Group Ltd February 22, 2013OM Holdings Ltd February 22, 2013Otto Marine Ltd February 22, 2013Rokko Holdings Ltd February 22, 2013UPP Holdings Ltd February 22, 2013Viking Offshore and Marine Ltd February 22, 2013Source: Bloomberg

Earning Announcement – Singapore

Calendar

Morning Note 19 February 2013

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Date Statistic For Survey Prior Date Statistic For Survey Prior2/19/2013 Revisions of Consumer Price Index 2/20/2013 Automobile COE Open Bid Cat A 13-Feb -- 871092/19/2013 NAHB Housing Market Index Feb 48 47 2/20/2013 Automobile COE Open Bid Cat B 13-Feb -- 9290119-23 FEB Mortgage Delinquencies 4Q -- 7.40% 2/20/2013 Automobile COE Open Bid Cat E 13-Feb -- 9489019-23 FEB MBA Mortgage Foreclosures 4Q -- 4.07% 2/22/2013 GDP (annualized) (QoQ) 4Q F 1.80% 1.80%2/20/2013 MBA Mortgage Applications 15-Feb -- -6.40% 2/22/2013 GDP (YoY) 4Q F 1.20% 1.10%2/20/2013 Housing Starts Jan 922K 954K 2/25/2013 CPI (MOM) - NSA Jan -- 0.70%2/20/2013 Housing Starts MOM% Jan -3.40% 12.10% 2/25/2013 CPI (YoY) Jan -- 4.30%2/20/2013 Building Permits Jan 920K 903K 2/26/2013 Industrial Production MoM SA Jan -- 5.40%2/20/2013 Building Permits MOM% Jan 1.20% 0.30% 2/26/2013 Industrial Production YoY Jan -- -0.60%2/20/2013 Producer Price Index (MoM) Jan 0.30% -0.20% 2/28/2013 M1 Money Supply (YoY) Jan -- 9.00%2/20/2013 PPI Ex Food & Energy (MoM) Jan 0.20% 0.10% 2/28/2013 M2 Money Supply (YoY) Jan -- 7.20%2/20/2013 Producer Price Index (YoY) Jan 1.50% 1.30% 2/28/2013 Credit Card Bad Debts Jan -- 19.1M2/20/2013 PPI Ex Food & Energy (YoY) Jan 1.70% 2.00% 2/28/2013 Credit Card Billings Jan -- 3694.5M

2/21/2013 Fed Releases Minutes from Jan 29-30 FOMC Meeting

2/28/2013 Bank Loans & Advances (YoY) Jan -- 16.70%

2/21/2013 Consumer Price Index (MoM) Jan 0.10% 0.00% 3/4/2013 Electronics Sector Index Feb -- 49.9Source: BloombergSource: Bloomberg

US SingaporeEconomic Announcement

Morning Note 19 February 2013

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Important Information This publication is prepared by Phillip Securities Research Pte Ltd., 250 North Bridge Road, #06-00, Raffles City Tower, Singapore 179101 (Registration Number: 198803136N), which is regulated by the Monetary Authority of Singapore (“Phillip Securities Research”). By receiving or reading this publication, you agree to be bound by the terms and limitations set out below. This publication has been provided to you for personal use only and shall not be reproduced, distributed or published by you in whole or in part, for any purpose. If you have received this document by mistake, please delete or destroy it, and notify the sender immediately. Phillip Securities Research shall not be liable for any direct or consequential loss arising from any use of material contained in this publication. 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Phillip Securities Research, or persons associated with or connected to Phillip Securities Research, including but not limited to its officers, directors, employees or persons involved in the preparation or issuance of this report, may provide an array of financial services to a large number of corporations in Singapore and worldwide, including but not limited to commercial / investment banking activities (including sponsorship, financial advisory or underwriting activities), brokerage or securities trading activities. Phillip Securities Research, or persons associated with or connected to Phillip Securities Research, including but not limited to its officers, directors, employees or persons involved in the preparation or issuance of this report, may have participated in or invested in transactions with the issuer(s) of the securities mentioned in this publication, and may have performed services for or solicited business

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from such issuers. Additionally, Phillip Securities Research, or persons associated with or connected to Phillip Securities Research, including but not limited to its officers, directors, employees or persons involved in the preparation or issuance of this report, may have provided advice or investment services to such companies and investments or related investments, as may be mentioned in this publication. Phillip Securities Research or persons associated with or connected to Phillip Securities Research, including but not limited to its officers, directors, employees or persons involved in the preparation or issuance of this report may, from time to time maintain a long or short position in securities referred to herein, or in related futures or options, purchase or sell, make a market in, or engage in any other transaction involving such securities, and earn brokerage or other compensation in respect of the foregoing. Investments will be denominated in various currencies including US dollars and Euro and thus will be subject to any fluctuation in exchange rates between US dollars and Euro or foreign currencies and the currency of your own jurisdiction. Such fluctuations may have an adverse effect on the value, price or income return of the investment. To the extent permitted by law, Phillip Securities Research, or persons associated with or connected to Phillip Securities Research, including but not limited to its officers, directors, employees or persons involved in the preparation or issuance of this report, may at any time engage in any of the above activities as set out above or otherwise hold a interest, whether material or not, in respect of companies and investments or related investments, which may be mentioned in this publication. Accordingly, information may be available to Phillip Securities Research, or persons associated with or connected to Phillip Securities Research, including but not limited to its officers, directors, employees or persons involved in the preparation or issuance of this report, which is not reflected in this material, and Phillip Securities Research, or persons associated with or connected to Phillip Securities Research, including but not limited to its officers, directors, employees or persons involved in the preparation or issuance of this report, may, to the extent permitted by law, have acted upon or used the information prior to or immediately following its publication. Phillip Securities Research, or persons associated with or connected to Phillip Securities Research, including but not limited its officers, directors, employees or persons involved in the preparation or issuance of this report, may have issued other material that is inconsistent with, or reach different conclusions from, the contents of this material. The information, tools and material presented herein are not directed, intended for distribution to or use by, any person or entity in any jurisdiction or country where such distribution, publication, availability or use would be contrary to the applicable law or regulation or which would subject Phillip Securities Research to any registration or licensing or other requirement, or penalty for contravention of such requirements within such jurisdiction. Section 27 of the Financial Advisers Act (Cap. 110) of Singapore and the MAS Notice on Recommendations on Investment Products (FAA-N01) do not apply in respect of this publication. This material is intended for general circulation only and does not take into account the specific investment objectives, financial situation or particular needs of any particular person. The products mentioned in this material may not be suitable for all investors and a person receiving or reading this material should seek advice from a professional and financial adviser regarding the legal, business, financial, tax and other aspects including the suitability of such products, taking into account the specific investment objectives, financial situation or particular needs of that person, before making a commitment to invest in any of such products. Please contact Phillip Securities Research at [65 65311240] in respect of any matters arising from, or in connection with, this document. This report is only for the purpose of distribution in Singapore.

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Contact Information (Singapore Research Team)

Chan Wai Chee Joshua Tan Derrick Heng CEO, Research Head of Research Deputy Head of Research

Special Opportunities Global Macro, Asset Strategy SG Equity Strategist & Transport

+65 6531 1231 +65 6531 1249 +65 6531 1221 yebo@phillip.com.sg joshuatan@phillip.com.sg derrickhengch@phillip.com.sg

Go Choon Koay, Bryan Travis Seah Ken Ang

Investment Analyst Investment Analyst Investment Analyst Property REITs Financials, Telecoms

+65 6531 1792 +65 6531 1229 +65 6531 1793 gock@phillip.com.sg travisseahhk@phillip.com.sg kenangwy@phillip.com.sg

Ng Weiwen Roy Chen Nicholas Ong

Macro Analyst Macro Analyst Investment Analyst Global Macro, Asset Strategy Global Macro, Asset Strategy Commodities, Offshore & Marine

+65 6531 1735 +65 6531 1535 +65 6531 5440 ngww@phillip.com.sg roychencz@phillip.com.sg nicholasonghg@phillip.com.sg

Research Assistant

General Enquiries +65 6531 1240 (Phone) research@phillip.com.sg

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Contact Information (Regional Member Companies)

SINGAPORE

Phillip Securities Pte Ltd Raffles City Tower

250, North Bridge Road #06-00 Singapore 179101 Tel +65 6533 6001 Fax +65 6535 6631

Website: www.poems.com.sg

MALAYSIA

Phillip Capital Management Sdn Bhd B-3-6 Block B Level 3 Megan Avenue II, No. 12, Jalan Yap Kwan Seng, 50450

Kuala Lumpur Tel +603 2162 8841 Fax +603 2166 5099

Website: www.poems.com.my

HONG KONG Phillip Securities (HK) Ltd

Exchange Participant of the Stock Exchange of Hong Kong 11/F United Centre 95 Queensway

Hong Kong Tel +852 2277 6600 Fax +852 2868 5307

Websites: www.phillip.com.hk

JAPAN

Phillip Securities Japan, Ltd. 4-2 Nihonbashi Kabuto-cho Chuo-ku,

Tokyo 103-0026 Tel +81-3 3666 2101 Fax +81-3 3666 6090

Website:www.phillip.co.jp

INDONESIA

PT Phillip Securities Indonesia ANZ Tower Level 23B,

Jl Jend Sudirman Kav 33A Jakarta 10220 – Indonesia

Tel +62-21 5790 0800 Fax +62-21 5790 0809

Website: www.phillip.co.id

CHINA

Phillip Financial Advisory (Shanghai) Co. Ltd No 550 Yan An East Road,

Ocean Tower Unit 2318, Postal code 200001

Tel +86-21 5169 9200 Fax +86-21 6351 2940

Website: www.phillip.com.cn

THAILAND Phillip Securities (Thailand) Public Co. Ltd

15th Floor, Vorawat Building, 849 Silom Road, Silom, Bangrak,

Bangkok 10500 Thailand Tel +66-2 6351700 / 22680999

Fax +66-2 22680921 Website www.phillip.co.th

FRANCE

King & Shaxson Capital Limited 3rd Floor, 35 Rue de la Bienfaisance 75008

Paris France Tel +33-1 45633100 Fax +33-1 45636017

Website: www.kingandshaxson.com

UNITED KINGDOM

King & Shaxson Capital Limited 6th Floor, Candlewick House,

120 Cannon Street, London, EC4N 6AS

Tel +44-20 7426 5950 Fax +44-20 7626 1757

Website: www.kingandshaxson.com

UNITED STATES

Phillip Futures Inc 141 W Jackson Blvd Ste 3050

The Chicago Board of Trade Building Chicago, IL 60604 USA

Tel +1-312 356 9000 Fax +1-312 356 9005

AUSTRALIA

PhillipCapital Level 12, 15 William Street,

Melbourne, Victoria 3000, Australia Tel +61-03 9629 8288 Fax +61-03 9629 8882

Website: www.phillipcapital.com.au