REGIONAL DAILY

December 26, 2012

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

MALAYSIA

Malaysia Daybreak | 22 May 2014

▌What’s on the Table…

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Jaya Tiasa Holdings - Let down by plantations

Jaya Tiasa's 9MFY14 core net profit was below expectations as it comprised only 48% of our FY14 forecast and 43% of consensus. The underperformance was due to the weaker-than-expected FFB output and OER rate achieved at its mills. We cut our FY14-16 EPS forecasts by 4-11% after factoring in lower oil yield estimates. This lowers our SOP-based target price to RM2.40. We downgrade our rating from Hold to Reduce in reflection of the continued poor achievements by its estates. The poor 3Q results and future earnings disappointments are possible de-rating catalysts.

JT International - A greater kick with new offer

JTI's 60.4% shareholder has made a higher bid of RM8.20/share (vs. the previous offer of RM7.80/share) to take over the Malaysian tobacco producer. We find the offer to be highly attractive, especially after taking into the account the weak prospects for the Malaysian tobacco industry. We maintain our Hold call and increase our target price to the new offer price. We continue to advise shareholders to accept the offer. Switch to Gudang Garam.

Kuala Lumpur Kepong - Strong oleo earnings in 2QFY14

KL Kepong's 1HFY9/14 core net profit is broadly in line, at 54% of our full-year forecast and 49% of consensus numbers. The manufacturing division delivered better-than-expected results but this was offset by weaker yields from KLK’s estates. As expected, the group announced a 15 sen interim dividend. We nudge up our FY14 EPS by 1% but keep our SOP-based target price and Reduce call. We believe that the market has priced in KLK’s favourable long-term prospects as the stock is trading above its historical five-year average P/E of 20x.

Hong Leong Bank - Stabilised margins but lower non-interest income

Magnum Bhd - Stabilisation of the business coming through in 1Q14

MSM Malaysia Holdings - Higher prices hit domestic sales

QL Resources - Thumbs up!

Star Publications - A weak star(t)

Economic Update - CPI growth normalises in Apr

▌News of the Day…

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• JTI Holding has raised offer price 5% to RM8.20

• CIMB looks at mid-tier Philippine banks as possible acquisition targets

• Boustead Plantations will launch IPO next week

• OSV industry will add seven newbuilds in 2014-15

• Fund management industry's AUM expanded 16% yoy to RM604bn

• Advertising industry grows 5-6% on average yoy

Sources: CIMB. COMPANY REPORTS

Sources: CIMB. COMPANY REPORTS

Key Metrics

FBMKLCI Index

1,650

1,700

1,750

1,800

1,850

1,900

May-13 Jul-13 Sep-13 Nov-13 Jan-14 Mar-14 May-14

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FBMKLCI

1877.03 -4.13pts -0.22%May Futures June Futures

1877 - (-0.03% ) 1877 - (1.00% )———————————————————————————

Gainers Losers Unchanged293 502 319

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Turnover1878.01m shares / RM1951.11m

3m avg volume traded 1992.71m shares

3m avg value traded RM2111.34m———————————————————————————

Regional IndicesFBMKLCI FSSTI JCI SET HSI

1,877 3,262 4,910 1,403 22,837 ————————————————————————————————

Close % chg YTD % chg

FBMKLCI 1,877.03 (0.2) 0.5

FBM100 12,604.24 (0.2) 0.1

FBMSC 17,407.05 (0.4) 10.9

FBMMES 6,643.93 (0.5) 17.1

Dow Jones 16,533.06 1.0 (0.3)

NASDAQ 4,131.54 0.8 (1.1)

FSSTI 3,261.78 (0.1) 3.0

FTSE-100 6,821.04 0.3 1.1

Hang Seng 22,836.52 0.0 (2.0)

JCI 4,910.29 0.3 14.9

KOSPI 2,008.33 (0.1) (0.1)

Nikkei 225 14,042.17 (0.2) (13.8)

PCOMP 6,762.38 (1.7) 14.8

SET 1,402.92 0.6 8.0

Shanghai 2,024.95 0.8 (4.3)

Taiwan 8,862.42 (0.3) 2.9————————————————————————————————

Close % chg Vol. (m)

1 UTOPIA 0.060 (7.7) 195.0MAS 0.175 6.1 94.7

PDZ HOLDINGS 0.170 0.0 51.0

BIOSIS GROUP 0.105 (16.0) 48.3

YTL CORP 1.770 4.1 36.0

ETI TECH 0.120 (11.1) 34.2

SONA PETROLEUM 0.585 (4.1) 31.8

SKP RESOURCES 0.395 0.0 28.2————————————————————————————————

Close % chg

US$/Euro 1.3686 (0.01)RM/US$ (Spot) 3.2160 (0.06)

RM/US$ (12-mth NDF) 3.2828 (0.09)

OPR (% ) 3.00 0.67

BLR (% , CIMB Bank) 6.60 0.00

GOLD ( US$/oz) 1,292 0.02

WTI crude oil US spot (US$/barrel) 104.52 2.03

CPO spot price (RM/tonne) 2,562 (0.74)

Market Indices

Top Actives

Economic Statistics

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

Daybreak│Malaysia

May 22, 2014

2

Global Economic News…

US Federal Reserve policy makers, weighing options for an eventual exit from extraordinary easing, said continued stimulus to push unemployment lower doesn’t risk sparking an undesirable jump in the inflation rate, according to minutes of its 29-30 Apr meeting.

No final decisions were taken, with the Fed merely engaged in "prudent planning" and not signaling it was ready to "normalize" monetary policy or raise interest rates any time soon.

The minutes also stated “a number of participants pointed to possible sources of downside risk to growth, including a persistent slowdown in the housing sector,” and cited risks from China’s slowing economic growth and tension between Russia and Ukraine. (Bloomberg, Reuters)

Millions of US teaching, construction and other middle-skill jobs lost in the last recession have not returned, exacerbating the already high unemployment that has been a drag on the US recovery, New York Federal Reserve President William Dudley said. (Reuters)

The rate at which the US Federal Reserve would raise interest rates in the years ahead would be "even slower" than usual if the central bank were to adopt a strategy of price-level targeting, Minneapolis Fed President Narayana Kocherlakota said.

Inflation may not climb back to 2% until 2018, so the Fed should consider overshooting that target for a few years afterward to make up for the current period of low prices, he added. (Reuters)

The US Federal Reserve should defer any decision to allow its balance sheet to shrink until after it has begun raising interest rates from their current near-zero level, San Francisco Fed President John Williams said. (Reuters)

The euro zone’s current-account balance decreased in adjusted terms to a surplus of €18.8bn (US$25.8bn) in Mar (€21.8bn surplus in Feb). For the 12-month period that ended in Mar 2014, the cumulated surplus equaled 2.5% of the euro zone's GDP (1.8% GDP in the 12 months ended Mar 2013). (WSJ)

Euro zone consumer confidence jumped to -7.1 points in May (-8.6 in Apr), the best reading since Oct 2007 when it stood at -6.2. (Reuters)

Japan’s imports rose 3.4% yoy in Apr (+18.1% yoy in Mar) while exports increased 5.1% yoy (+1.8% yoy in Mar), leaving a trade deficit of ¥808.9bn (US$8bn) (-¥1446.0bn in Mar). (Bloomberg)

The Bank of Japan (BOJ) kept its policy to expand the monetary base at a pace of ¥60tr to ¥70tr (US$691bn) per year steady and painted a slightly more optimistic view of the economy, dropping a reference to the country being in deflation and further dashing expectations it will offer more stimulus any time soon. (Reuters)

China's employment outlook is holding steady, with 4.73m new jobs created in cities in the first four months of the year, aided by a growing services sector. (WSJ)

Daybreak│Malaysia

May 22, 2014

3

China's National Development and Reform Commission has announced a list of 80 projects inviting private investment in its latest step to woo non-public funds into infrastructure facilities. The move is aimed at injecting more vitality in the economy. (Xinhua)

Australia’s consumer sentiment plunged 6.8% mom to 92.9 in May (+0.3% mom to 99.7 in Apr). (Bloomberg)

Australian wages excluding bonuses rose a seasonally adjusted 0.7% qoq in 1Q14 (+0.7% qoq in 4Q13) and rose 2.6% yoy (+2.6% yoy in 4Q13). (WSJ, Bloomberg)

The Bank of Korea governor expressed his concerns over signs of waning domestic demand over the past month in the wake of the ferry accident on 16 Apr.

“The (Sewol) ferry disaster is taking a toll on the service sector and self-employed and small-business owners in particular, along with the recent appreciation of the Korean won,” he said.

The government is now looking to spend an additional KRW7.8tr (US$7.7bn) during the first half the year as part of efforts to prop up domestic demand. (Korean Herald)

Malaysian Economic News…

Malaysia's Apr consumer price index (CPI) rose 3.4% yoy (+3.5% yoy in Mar) thanks to more expensive food and nonalcoholic beverages and nonfood items. The index was unchanged from Mar at 109.9 in Apr. (WSJ)

Please refer to our Economic Update for details.

Malaysia is seeking another height in Malaysia-China economic relations with the visit of Prime Minister Datuk Seri Najib Tun Razak to the mainland, end of this month, in conjunction with the 40th anniversary celebration of bilateral diplomatic relations with China.

International Trade and Industry Minister Datuk Seri Mustapa Mohamed said Malaysia wants to attract more Chinese entrepreneurs to invest in the country. "In the next few years, there will be 500 billion yuan available for investment abroad and Malaysia needs to garner a slice of this cake,” he said.

For the past five consecutive years, China has been Malaysia's single largest trading partner with a total trade value of over US$100bn. (Bernama)

Any adjustment related to the overnight policy rate (OPR) will probably be announced after the monetary policy committee meeting in Jul, Bank Negara Malaysia (BNM) Governor Tan Sri Dr Zeti Akhtar Aziz said.

"We will make all the assessment at that point in time on the future trend of the variables that we take into account," she said. "Any adjustment on the OPR will be based on the outlook for inflation, outlook for growth and risk to growth and any other risks arising from financial imbalances that may be destabilising," she added.

The monetary policy would remain accommodative, she said, adding it would not be a policy of monetary tightening. (Bernama)

Daybreak│Malaysia

May 22, 2014

4

Bank Negara Malaysia Governor Tan Sri Dr Zeti Akhtar Aziz said Asia needs to persist with the spirit of cooperation and collaboration to succeed in the second chapter marking the dawn of the Asian Century.

She said a strong commitment to cooperation and a clear focus on enhancing Asia's long-term potential is key to the bridge between Asia today and the continent in the new Asian century. She highlighted that Asia needs to be better positioned to harness the opportunities from productivity enhancement. (Bernama)

The Minister of International Trade and Industry (Miti) Datuk Seri Mustapa Mohamed will participate in the World Economic Forum (WEF) on East Asia in Manila, the Philippines. Miti in a statement said the Forum provided opportunities to further elevate Malaysia's stature as a preferred destination for trade, investment and tourism in the region.

"Malaysia will have an opportunity to showcase our experience in transforming the country through the Government Transformation Programme and the Economic Transformation Programme, with a preview of the Chairmanship of Asean next year," it added. (Bernama)

SME Corp Malaysia is on track to achieve a total of 100 companies certified with the National Mark of Malaysian Brand, a certification that depicts quality, excellence and distinction of products and services by local firms, by year-end.

Its Chief Executive Officer Datuk Hafsah Hashim said as of Apr this year, another seven companies had received their certification, bringing to 92 the total number of companies that had been certified with the mark since its inception in 2009. (Bernama)

Malaysia and Japan agreed to step up cooperation in the areas of economy, trade and investment, as well as defence and maritime security and safety.

Prime Minister Datuk Seri Najib Razak said he encouraged Japanese investments in high-technology projects as well as their expertise in the construction of energy-related projects. He said economic ties remain the most important pillar in the increasingly warm bilateral relations.

Japanese prime Minister Shinzo Abe also said Japan would support Malaysia to achieve its developed economy status by 2020 y investing in Malaysia’s economic developments. (NST)

Political News…

Parti Keadilan Rakyat (PKR) will hold fresh elections for 35 PKR divisions after the first polling exercise was suspended due to irregularities and disruptions. The fresh elections will take place from May 31 onwards. (Sun)

Datuk Seri Anwar Ibrahim has warned that action may be taken against the three PKR deputy president candidates for allegedly putting the party in jeopardy. He claimed that Umno and TV3 were capitalising on the intense rivalry between top guns Azmin Ali, Tan Sri Khalid Ibrahim and Datuk Saifuddin Nasution who were vying for PKR's No. 2 post. "I am warning the three deputy president candidates. If not, this happens. They ruin the party. And for what? For unfulfilled lust (for power)," he said. Anwar insinuated that he would not defend any of them if they were to face disciplinary action, including sacking. (Star)

Daybreak│Malaysia

May 22, 2014

5

Corporate News…

JT International Holding BV has increased its offer price for the remaining shares of its Malaysian subsidiary, JT International Bhd (JTI), by 5% to RM8.20 from RM7.80. The revised offer will remain open for acceptances until 5pm on 5 June. The revised offer price of RM8.20 represents a premium of 12-15% to the fair value of RM7.15-7.33/share ascribed by Public Investment Bank Bhd, the independent adviser for the offer. According to JTI, it has received the irrevocable undertaking to accept the revised offer from EPF, which holds an 8.1% stake in JTI, KWAP (6.8%) and Great Eastern Life Assurance (M) Bhd (4.7%). (Financial Daily)

Please see our note for more details.

CIMB Group Holdings Bhd is looking at mid-tier Philippine banks as possible acquisition targets after its failed attempt to buy into Philippines' Bank of Commerce last year, CEO Datuk Seri Nazir Razak said. "We will be looking at the mid-tier space, as opposed to large banks here. We want to buy a platform that can be integrated with our Asean platform," he said. CIMB Group depuity chief executive Lee Kwok Kwan on Tuesday declined to comment on media reports that CIMB was considering buying into Philippine National Bank, owned by the country's second-richest man Lucio Tan. (Financial Daily)

The Selangor state government yesterday submitted an action plan proposal to the federal government to ensure the restructuring of the water industry in Selangor is resolved as soon as possible after three concessionaires agreed to be acquired by the state government. In a statement yesterday, Selangor Mentri Besar Tan Sri Abdul Khalid Ibrahim said the action plan for the restructuring of the water industry, which is targeted to be completed within three to six months, has been sent to the Energy, Green Technology and Water Minister Datuk Seri Panglima Dr Maximus Ongkili. “The state government is confident to achieve a solution based on intensive discussions that are being held by the parties involved — Kumpulan Darul Ehsan Bhd (KDEB), concessionaires Puncak Niaga Sdn Bhd (PNSB) and Syarikat Bekalan Air Selangor Sdn Bhd (Syabas), and government agencies such as the Suruhanjaya Perkhidmatan Air Negara (SPAN) and Pengurusan Aset Air Bhd (PAAB) and the ministry as facilitators,” he said. (Malaysian Reserve)

Malaysia's offshore support vessel (OSV) industry will see seven newbuilds entering into service this year and 2015 on top of the current 41 rigs, said Malaysia Offshore Support Vessel Owners' Association president Dr Jamal Yusof. He expects the industry to "grow healthily amid somewhat challenging conditions" with Petronas allocating RM300bn in capex spreading from 2012-2016, which will see more contracts and tenders being awarded. "With stable oil prices hovering around US$100 per barrel in the past few years, the country is set to see seven additional firm newbuilds to be added to the current assets of OSV industry", he said. (Financial Daily)

Malaysia Airport Holdings Bhd (MAHB) said AirAsia Group CEO Tan Sri Tony Fernandes was possibly not briefed by his operational team and was not aware of the support that MAHB had provided to them. "We hope AirAsia's leadership will demonstrate the right example towards building sustainable partnership and mutual respect," the KLIA2 operator said, referring to the relentless tirade against it by the boss of the budget airline. (Star)

Daybreak│Malaysia

May 22, 2014

6

The oil palm industry will continue to be important to the Malaysian and Sabah economies, as the industry is projected to contribute an estimated RM200bn to Malaysia's export value by 2020, about three times the current value.

Chief Minister Datuk Seri Musa Aman said this was expected to be achieved by way of replacing aging oil palm trees with higher yielding oil palm fruits, improving the oil extraction rate, mechanisation in plantations to raise productivity and the promotion of downstream value-added products. (Bernama)

The advertising industry in Malaysia is growing at 5-6% on average year-on-year, says Media Specialists Association (MSA). Among all, digital advertising is developing at the fastest pace of 25-35% every year, followed by pay TV, which has 55% penetration rate among Malaysian homes, the association said in a statement. The MSA said advertisers in newspapers, print and radio have embraced digital media and technology and have become more imaginative in their approach to remain competitive. (Bernama)

Reuters news agency, quoting unnamed sources, reported yesterday that 1MDB had to seek an extension to pay the bridging loan provided by Maybank Investment Bhd because of a delay in its plan to list its power assets which was supposed to raise US$2bn. Reuters reported that the IPO, which aims to raise as much as US$2bn and is seen as critical to reducing the fund's debt load, is now expected in 2H14. "Bankers had initially said the IPO could come by mid-year, but it has been pushed back due to delays related to a tender to build a coal-fired power plant that it ultimately won, as well as delays in publishing its accounts after a change in auditors," the Reuters report said. The Edge understands that another reason for the delay in the IPO is that 1MDB may not be able to get the valuation it wants for the power plants it bought last year. (Financial Daily)

The Malaysian fund management industry saw assets under management (AUM) grow 16% to RM604bn as at 31 March 2014 from RM522bn a year ago, mainly due to an upsurge in equities. The 16% growth rate for 12 months to 31 March 2014 was slower than the 20% registered for 12 months to 31 Dec 2013. Yoy growth in AUM has been slowing over the past four quarters. AUM grew 2.7% over the three months to 31 March from RM588bn as at 31 Dec 2013, with money market placements as the single largest contributor. (Financial Daily)

Boustead Plantations Bhd will launch its initial public offering (IPO) next week, amid a recent slump in crude palm oil (CPO) prices that may dampen investor demand for the oil palm grower. According to term sheets sighted by StarBiz, Boustead Plantations is targeting a listing on Bursa Malaysia on June 26. The company will issue its prospectus on May 27. The company is offering up to 656m shares to investors at RM1.60 each, valuing its IPO at RM1.05bn. Some 492.4m shares will be offered to retail investors, including unitholders of Al-Hadharah Boustead Reit, Boustead Holdings Bhd and eligible directors and employees. The company will sell 163.57m shares to institutional investors, according to the term sheets. Only 64m shares will be opened to the public. (StarBiz)

Daybreak│Malaysia

May 22, 2014

7

Palm Springs Development Sdn Bhd, a subsidiary of Tanco Holdings Bhd will develop a water theme park and serviced suites resort in Port Dickson with an estimated total GDV of RM600m. According to the group, the project will be built on a 23-acre land parcel located within its 400-acre Palm Springs Resort City in Port Dickson. Tanco's group MD Datuk Seri Tony Tan said that the project will comprise the water theme park, serviced suites and a 250 room hotel with convention facilities to accommodate 2,000 people. (Malaysian Reserve)

ETI Tech Corp Bhd, controlled by AirAsia Bhd’s Datuk Kamarudin Meranun, is likely to be a reverse takeover (RTO) target of Zenith Construction Sdn Bhd, part of a consortium that will develop the proposed RM6.3bn Penang undersea tunnel project. Last Friday, two Zenith directors, Zarul Ikhwan Zarul Ahmad and Datuk Mohamad Amin Mohamad Salleh, were appointed to the ETI Tech board. Sources said Zarul Ikhwan and people aligned to him have gained control of ETI Tech after taking over the 10% new shares issued by the company through their privately held Hong Kong vehicle. “This is not a hostile takeover. They have briefed the major block shareholders of ETI Tech of their long-term plans for the company. (BT)

Daybreak│Malaysia

May 22, 2014

8

BMSB: Changes in shareholdings

Type of No of Ave Price

21-May-14 Date transaction securities Company (RM)

EPF 14/5-15/5 Disposed 5,754,400 AXIATA GROUP

EPF 15/5-16/5 Disposed 5,724,000 CIMB GROUP

EPF 16/5 Disposed 4,708,800 MALAYAN BANKING

EPF 16/5 Disposed 3,068,100 SAPURAKENCANA PETROLEUM

EPF 16/5 Disposed 2,648,800 YTL CORPORATION

EPF 16/5 Disposed 2,645,900 TENAGA NASIONAL

EPF 16/5 Disposed 1,512,400 DIALOG GROUP

EPF 16/5 Disposed 1,000,000 PETRONAS CHEMICALS

EPF 16/5 Disposed 929,000 ALLIANCE FINANCIAL GROUP

EPF 16/5 Disposed 626,900 BUMI ARMADA

EPF 16/5 Disposed 576,300 PERDANA PETROLEUM

EPF 14/5-15/5 Disposed 553,200 PERISAI PETROLEUM

EPF 16/5 Disposed 380,000 PETRONAS GAS

EPF 16/5 Disposed 329,300 HOCK SENG LEE

EPF 16/5 Disposed 328,800 PUBLIC BANK

EPF 16/5 Disposed 327,800 TELEKOM MALAYSIA

EPF 16/5 Disposed 310,100 DIGI.COM

EPF 16/5 Disposed 159,300 TA ANN HOLDINGS

EPF 16/5 Disposed 94,500 WCT HOLDINGS

EPF 16/5 Disposed 46,900 HARTALEGA HOLDINGS

EPF 16/5 Disposed 24,000 TAN CHONG MOTOR

EPF 16/5 Disposed 6,900 ORIENTAL HOLDINGS

EPF 16/5 Disposed 4,200 AEON CO. (M)

Skim Amanah Saham Bumiputera 15/5-16/5 Disposed 5,350,000 AXIATA GROUP

Skim Amanah Saham Bumiputera 19/5 Disposed 2,500,000 TELEKOM MALAYSIA

Skim Amanah Saham Bumiputera 19/5 Disposed 1,850,000 DIGI.COM

Skim Amanah Saham Bumiputera 19/5 Disposed 800,500 SIME DARBY

Skim Amanah Saham Bumiputera 15/5 Disposed 500,000 UMW HOLDINGS

Kumpulan Wang Persaraan 14/5-15/5 Disposed 3,493,700 IJM CORPORATION

Kumpulan Wang Persaraan 15/5 Disposed 302,000 PETRONAS GAS

Great Eastern Holdings Limited 16/5-19/5 Disposed 70,000 SALCON

FELDA ASSET HOLDINGS CO S/B 16/5 Disposed 182,401,608 FELDA GLOBAL VENTURES

Berjaya Group Berhad 20/5 Disposed 115,000,000 BERJAYA AUTO

FIL Limited 14/5 Disposed 637,900 JOBSTREET CORPORATION

KASI A/L K L PALANIAPPAN 20/5 Disposed 1,852,500 MK LAND HOLDINGS

Mitsubishi UFJ Financial Group, Inc 15/5 Disposed 186,100 CIMB GROUP

Mitsubishi UFJ Financial Group, Inc 15/5 Disposed 118,000 SHANGRI-LA HOTELS

Mitsubishi UFJ Financial Group, Inc 15/5 Disposed 2,300 UNITED PLANTATIONS

EPF 16/5 Acquired 2,000,000 AIRASIA

EPF 15/5-16/5 Acquired 1,582,000 MAXIS

EPF 16/5 Acquired 1,451,500 IJM CORPORATION

EPF 16/5 Acquired 1,000,000 UEM SUNRISE

EPF 16/5 Acquired 933,600 SIME DARBY

EPF 16/5 Acquired 900,400 IOI PROPERTIES GROUP

EPF 16/5 Acquired 345,200 IOI CORPORATION

EPF 16/5 Acquired 343,800 PAVILION REIT

EPF 16/5 Acquired 300,000 TH PLANTATIONS

EPF 16/5 Acquired 210,400 POS MALAYSIA

EPF 16/5 Acquired 201,100 PRESTARIANG

EPF 16/5 Acquired 200,000 GAMUDA

EPF 16/5 Acquired 200,000 KPJ HEALTHCARE

EPF 16/5 Acquired 116,300 SUNWAY REIT

EPF 16/5 Acquired 108,800 TIME DOTCOM

EPF 16/5 Acquired 100,000 BRITISH AMERICAN TOBACCO 

EPF 16/5 Acquired 90,000 GENTING PLANTATIONS

EPF 16/5 Acquired 30,000 IJM PLANTATIONS

SOURCES: BMSB

Daybreak│Malaysia

May 22, 2014

9

BMSB: Changes in shareholdings

Type of No. of Ave Price

21-May-14 Date transaction securities Company (RM)

EPF 16/5 Acquired 20,000 HONG LEONG BANK

EPF 16/5 Acquired 20,000 SUPERMAX CORPORATION

EPF 16/5 Acquired 10,200 IHH HEALTHCARE

EPF 16/5 Acquired 10,000 KUALA LUMPUR KEPONG

Skim Amanah Saham Bumiputera 19/5 Acquired 42,614,086 SP SETIA

Skim Amanah Saham Bumiputera 19/5 Acquired 400,000 WCT HOLDINGS

Permodalan Nasional Berhad 19/5 Acquired 32,591,367 SP SETIA

Kumpulan Wang Persaraan 15/5 Acquired 1,000,000 IGB REIT

Kumpulan Wang Persaraan 14/5 Acquired 704,100 DAYANG ENTERPRISE

Kumpulan Wang Persaraan 14/5 Acquired 500,000 WCT HOLDINGS

Kumpulan Wang Persaraan 15/5 Acquired 13,800 POS MALAYSIA

Lembaga Tabung Haji 12/5 Acquired 4,000,000 BRAHIM'S HOLDINGS

Kin Kee Holdings Sdn Bhd 20/5 Acquired 2,088,000 KINSTEEL

Providence Capital Sdn Bhd 21/5 Acquired 19,800 ESTHETICS INTERNATIONAL 1.20

GATERICH SDN BHD 21/5 Acquired 90,000 LBS BINA GROUP

Mitsubishi UFJ Financial Group, Inc 15/5 Acquired 9,600 POS MALAYSIA

Mitsubishi UFJ Financial Group, Inc 15/5 Acquired 3,900 BRITISH AMERICAN TOBACCO

KPJ HEALTHCARE 21/5 Shares Buy Back 99,800 KPJ HEALTHCARE 3.35

MY E.G. SERVICES 21/5 Shares Buy Back 50,000 MY E.G. SERVICES 2.58

DAIBOCHI PLASTIC 21/5 Shares Buy Back 1,000 DAIBOCHI PLASTIC 4.31

SOURCES: BMSB

BMSB: Off-market transactions

21-May-14 Vol

IDMENSN 52,162,210

BIOOSMO 10,800,000

KRETAM 6,500,000

PRTASCO 3,672,600

PDZ 3,000,000

PELIKAN 1,500,000

Notes:CN-Crossing deal on board lots

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

SOURCES: BMSB

BMSB: ESOS & others

22-May-14 No Of New Shares Date of Listing Nature of transaction

MEDIA PRIMA 74,392 23-May-14 Exercise of ESOS

SOURCES: BMSB

BMSB: Proposed cash calls & trading of rights…

SOURCES: BMSB

Daybreak│Malaysia

May 22, 2014

10

BMSB: Dividends

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

KLCC PROPERTY 1st interim dividend - single tier 3.73 9-May-14 23-May-14 27-May-14 18-Jun-14

KLCC REIT 1st interim income distribution 4.92 9-May-14 23-May-14 27-May-14 18-Jun-14

MSM MALAYSIA Final dividend - single tier 14.00 19-May-14 25-May-14 27-May-14 11-Jul-14MALAYSIAN BULK

CARRIERSFinal dividend - single tier 3.00 29-Apr-14 26-May-14 28-May-14 19-Jun-14

HARTALEGA HOLDINGS 3rd interim dividend - single tier 3.50 6-May-14 26-May-14 28-May-14 18-Jun-14

MAXIS Interim dividend - single tier 8.00 7-May-14 28-May-14 30-May-14 27-Jun-14

UEM SUNRISE First and final dividend - single tier 4.00 1-Apr-14 28-May-14 30-May-14 20-Jun-14

PHARMANIAGA 1st interim dividend - single tier 4.00 14-May-14 29-May-14 2-Jun-14 16-Jun-14

TAN CHONG MOTOR Final dividend - single tier 12.00 29-Apr-14 30-May-14 3-Jun-14 23-Jun-14

WELLCALL HOLDINGS 2nd interim dividend - single tier 2.00 16-May-14 30-May-14 3-Jun-14 26-Jun-14

AXIATA GROUP Final dividend - single tier 14.00 5-May-14 2-Jun-14 4-Jun-14 19-Jun-14

AIRASIA First and final dividend - single tier 4.00 23-Apr-14 2-Jun-14 4-Jun-14 3-Jul-14

DAIBOCHI PLASTIC Interim dividend - single tier 3.50 12-May-14 2-Jun-14 4-Jun-14 26-Jun-14

UNISEM Final dividend - single tier 2.00 28-Apr-14 3-Jun-14 5-Jun-14 20-Jun-14

TUNE INS Final dividend - single tier 3.86 26-Mar-14 4-Jun-14 6-Jun-14 4-Jul-14

MEDIA PRIMA Final dividend - single tier 5.00 31-Mar-14 4-Jun-14 6-Jun-14 27-Jun-14

MAGNUM 1st interim dividend - single tier 5.00 21-May-14 5-Jun-14 9-Jun-14 27-Jun-14

SUPERMAX CORPORATION Final dividend - single tier 6.00 9-May-14 10-Jun-14 12-Jun-14 30-Jun-14

DIALOG GROUP Cash dividend - single tier 1.10 15-May-14 10-Jun-14 12-Jun-14 26-Jun-14

BUMI ARMADA Final dividend - single tier 3.25 14-May-14 11-Jun-14 13-Jun-14 3-Jul-14

UCHI TECHNOLOGIES Final dividend - single tier 6.00 29-Apr-14 26-Jun-14 30-Jun-14 24-Jul-14

GENTING MALAYSIA Final dividend - single tier 3.90 6-May-14 26-Jun-14 30-Jun-14 22-Jul-14

KOSSAN RUBBER IND. Final dividend - single tier 3.50 23-Apr-14 1-Jul-14 3-Jul-14 18-Jul-14

FRASER & NEAVE Interim dividend - single tier 22.00 7-May-14 16-Jul-14 18-Jul-14 8-Aug-14

ORIENTAL HOLDINGS Final dividend - single tier 3.50 14-May-14 11-Jul-14 16-Jul-14 8-Aug-14

SOURCES: BMSB

BMSB: New Listing

Company Issue price Listing sought Tentative

Public Issue Offer for sale Private placement listing date

7-ELEVEN MALAYSIA 1.38 181,385,000 348,940,000 - Main Market 30-May-14

No of shares

SOURCES: BMSB

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11

Corporate Actions

May 2014

SUN MON TUE WED THU FRI SAT

1 2 3

Labour Day

4 5 6 7 8 9 10

Hartalega 4Q, PetDagangan 1Q, PetGas 1Q

MMHE 1Q, F&N 2Q, Maxis 1Q, External Trade

Media Prima 1Q, Unisem 1Q, F&N briefing, PetChem 1Q, External Reserves, MPC

MISC 1Q, GAB 3Q, KLCC Property 1Q

11 12 13 14 15 16 17

Daibochi 1Q, IPI, Manufacturing Sales

Wesak Day PKR party election results

Tan Chong 1Q, Pharmaniaga 1Q, Daibochi 1Q briefing, GDP, BOP

MAS 1Q & conf. call, Gas Malaysia 1Q, Dialog 3Q, Perisai 1Q

Wellcall 2Q

18 19 20 21 22 23 24

AirAsia X 1Q, UMW Oil & Gas 1Q, Affin 1Q, MRCB 1Q

AirAsia 1Q, AMMB 4Q & briefing, MRCB 1Q briefing, YTL Corp 3Q, YTL Power 3Q

KLK 2Q, Star 1Q, Magnum 1Q, MSM 1Q, Jaya Tiasa 3Q, HL Bank 3Q, CPI

IOI Corp 3Q, Uchi 1Q, Eco World 2Q, Perdana 1Q, Jobstreet 1Q, Tomypak 1Q, Lafarge 1Q, WCT 1Q, HL Bank 3Q conf. call, External Reserves

E&O 4Q & briefing, Bumi Armada 1Q, Kossan 1Q, UMW 1Q, Karex 3Q, FGV 1Q & conf. call, WCT 1Q briefing

25 26 27 28 29 30 31

Bukit Gelugor by-election

UEM Sunrise 1Q & conf. call, SBC Corp 4Q, Mudajaya 1Q, Ta Ann 1Q, Signature 3Q, Ann Joo 1Q & briefing

UOA Dev 1Q, CAB 1Q, QL Res 4Q, IJM Corp 4Q & briefing, Wah Seong 1Q, Lafarge 1Q & briefing, Alam Maritim 1Q

Prestariang 1Q, Genting Plant 1Q, Eksons 4Q, Star analyst briefing

Genting group 1Q, Sime Darby 3Q, Mah Sing 1Q, MCIL 4Q, DRB-Hicom 4Q, Prestariang 1Q briefing

MCIL 4Q briefing, Muhibbah 1Q, Money Supply, PPI

Teluk Intan by-election

Source: Company, BNM, DOS, CIMB estimates

SOURCES: Company, BNM, DOS, CIMB estimates

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12

Corporate Actions

June 2014

SUN MON TUE WED THU FRI SAT

1 2 3 4 5 6 3

External Trade, External Reserves

8 9 10 11 12 13 10

Invest Malaysia 2014 Invest Malaysia 2014 IPI, Manufacturing Sales

15 16 17 18 19 20 17

CPI External Reserves

22 23 24 25 26 27 24

29 30 31

Awal Ramadhan Money Supply, PPI

Source: Company, BNM, DOS, CIMB estimates

SOURCES: Company, BNM, DOS, CIMB estimates

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13

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14

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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.

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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 Stock Recommendation Framework #2 * 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. Neutral The stock's total return is expected to be within +/-5% of a relevant benchmark's total return. 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. Trading Buy The stock's total return is expected to exceed a relevant benchmark's total return by 3% or more over the next 3 months. Trading Sell The stock's total return is expected to be below a relevant benchmark's total return by 3% or more 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)

CIMB Stock Recommendation Framework #3 ** 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. ** 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.

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Corporate Governance Report of Thai Listed Companies (CGR). CG Rating by the Thai Institute of Directors Association (IOD) in 2013. AAV – Good, ADVANC - Excellent, AMATA - Very Good, ANAN – Good, AOT - Excellent, AP - Very Good, BANPU - Excellent , BAY - Excellent , BBL - Excellent, BCH – Good, BCP - Excellent, BEC - Very Good, BGH - not available, BJC – Very Good, BH - Very Good, BIGC - Very Good, BTS - Excellent, CCET – Very Good, CENTEL – Very Good, CK - Excellent, CPALL - Very Good, CPF – Excellent, CPN - Excellent, DELTA - Very Good, DTAC - Excellent, EGCO – Excellent, GLOBAL - Good, GLOW - Very Good, GRAMMY – Excellent, HANA - Excellent, HEMRAJ - Excellent, HMPRO - Very Good, INTUCH – Excellent, ITD – Very Good, IVL - Excellent, JAS – Very Good, KAMART – not available, KBANK - Excellent, KKP – Excellent, KTB - Excellent, LH - Very Good, LPN - Excellent, MAJOR – Very Good, MAKRO – Very Good, MCOT - Excellent, MINT - Excellent, 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 – Very Good, SPALI - Excellent, STA - Good, STEC - Very Good, TCAP - Excellent, THAI - Excellent, THCOM – Excellent, TICON – Very Good, TISCO - Excellent, TMB - Excellent, TOP - Excellent, TRUE - Excellent, TTW – Excellent, TUF - Very Good, VGI – Excellent, WORK – Good.