BIMB SECURITIES RESEARCH MARKET INSIGHT

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1 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 BIMB SECURITIES RESEARCH MARKET INSIGHT PP16795/03/2013(031743) Go to Wednesday, 6 April 2016 KLCI Performance Major Highlights A-Knight to expand plastics business under new plan Petronas Dagangan's subsidiary seeks RM456m from MAHB Mudajaya eyes power generation business in West Papua MRCB to build cold storage facility for Giant hypermarket operator Chin Hin: New factory to require RM85m in investment Salutica poised for listing on Bursa Malaysia Local & Global Economic News KLCI Year-End Target: 1,780 points Bursa Malaysia Bursa Malaysia Close Change +/- Change % FBMKLCI 1, FBMEMAS 11, FBM100 11, FBMEMAS Shariah 12, FBM Hijrah Shariah 14, Volume (mn) 1, Value (RMmn) 1, FBMKLCI YTD Chg 1.51 Scoreboard Close Change+/- (+/- %) Gainers Losers Unchanged Regional Indices Close Change (+/-) Change (+/- %) YTD Chg (%) DJIA 17, NASDAQ 4, S&P 500 2, FTSE 100 6, Nikkei , HSI 20, SHCOMP 3, KOSPI 1, TWSE Closed STI 2, JCI 4, SET 1, PSEi 7, Market Valuation (PER) FY16 FY17 5Y Average FBMKLCI SHCOMP HSI JCI SET STI PSEi The Research Team bimbresearch@bimbsec.com.my Ringgit Closes Lower In Line With Regional Currencies US trade data points to weak Q1 growth Euro zone business growth barely accelerated in March German industry orders unexpectedly fall in February Bankruptcy filings more than double in Brazil as recession deepens Saudi Arabia to sign US$21.5bn energy, development deals with Egypt Regionally Key regional markets ended mostly negative yesterday. SHComp emerged as the top gainer, gained 1.45% to close at 3,053.07, followed by JCI (+0.16%). Meanwhile, N225 (-2.42%), HSI (-1.57%), SET (-1.91%), STI (-1.21%), KOSPI (-0.82%), and PSEi (-0.49%) were the losers. TWSE was closed for Make-Up holidays. Locally The FBMKLCI lost 7.16 points to close at 1, yesterday. Bursa s market breath was negative with 367 gainers against 450 losers while 376 counters were traded unchanged. PerStim (+19sen), TopGlov (+16sen) and Supermx (+15sen) led the gainers. While PPB (-26sen), Genting (-26sen) and HLBank (-22sen) led the losers. Market Preview Wall Street and Europe markets closed mostly lower yesterday, as investors eyed oil prices and awaited data and comments from key policymakers due later this week. Oil prices have been under pressure as investors are doubt whether there will be an agreement over a coordinated freeze between top oil producers at a meeting in Doha, set to take place on April 17. The DJIA closed down points, or 0.75%, to 17,603.32, with Cisco leading decliners and Pfizer, Boeing and Johnson & Johnson the only gainers. The S&P 500 closed down points, or 1.01%, at 2,045.17, with utilities leading all 10 sectors lower. Asian markets closed mostly negative, with the Nikkei 225 fell points or 2.42% to 15, and Hang Seng more than 1.57% lower to 20, In line with the regional markets, the FBMKLCI ended lower, slipped 7.16 points or 0.42% to 1, Trading participation shows net selling by local institutions and local retail while foreign institutions were net buyers. We expect the local market to trend negative today following the Wall Street and European equities overnight and expect the index to hover around 1,710-1,715. 1

2 Sector Indices Close Change+/- (+/- %) Industrial 3, Consumer Industrial Products Construction Finance 14, Property 1, Plantation 7, Technology KLCI Futures Contracts Apr-16 May-16 High 1, , Low 1, , Last 1, , Volume 5, Commodities (Most Recent Close) Close Change +/- (+/- %) Brent Crude (USD/bbl) WTI Crude (USD/bbl) Gold (USD/ounce) 1, CPO (RM/MT) 2, SMR 20 (sen/kg) Latex (sen/kg) Soybean Oil Forex (per USD1) Close Change +/- Change MYR JPY EUR SGD Active Stock Close Change+/- (+/- %) Eka Noodles Vivocom International Airasia Airasia X Borneo Oil Top Gainers Close Change+/- (+/- %) Perusahaan Sadur Timah Top Glove Supermax Fiamma Holdings Public Bank Top Losers Close Change+/- (+/- %) PPB Group Genting Hong Leong Bank Fraser & Neave Holdings Bursa Malaysia Daily Participation Participation (%) Bought (RMm) Sold (RMm) Net (RMm) Local Institution Local Retail Foreign Total , , Major Rates KLIBOR 3-mth 3.70% KLIBOR 6-mth 3.82% KLIBOR 12-mth 3.90% 5-yr MGS 3.36% 10-yr MGS 3.79% 2

3 LOCAL CORPORATE NEWS A-Knight to expand plastics business under new plan Asia Knight, whose previous regularisation plan to purchase a construction firm fell through in February, has proposed to acquire air freshener dispenser and plastic part maker Rapid Growth Technology SB for RM88m. The purchase consideration would be satisfied with RM58m in cash and RM30m via the issuance of 300m new A-Knight shares. The company is also proposing to reduce its share premium account amounting to RM2.46m and its paid-up share capital by cancelling 90sen from the par value of each RM1 share in order to give rise to credits to be used to set off against its accumulated losses. (Source: StarBiz) Petronas Dagangan's subsidiary seeks RM456m from MAHB Petronas Dagangan s subsidiary Kuala Lumpur Aviation Fuelling System SB (KAFS), whose 50-year concession period to operate the aviation fuelling system at the KLIA has been halved, is seeking an estimated RM456m from MAHB. This was due to the alleged losses and damages following the changes in the concession period under the airport facilities agreement (AFA) signed in September 2007.The amount was still subject to a comprehensive evaluation by KAFS of the quantum or amount of losses. (Source: StarBiz) Mudajaya eyes power generation business in West Papua Mudajaya Group s indirect 95%-owned subsidiary PT Mudajaya Energi Indonesia plans to develop and operate 2x7 MW coal-fired steam power plant in Manokwari, West Papua of Indonesia by acquiring a controlling interest in PT Harmoni Energi Indonesia Manokwari (PT HEIM). PT Mudajaya Energi had signed a conditional agreement to buy 73.69% equity interest in PT HEIM, which has a power purchase agreement (PPA) with PT PLN (Persero) Wilayah Papua Dan Papua Barat, from PT Indomuda Satria Internusa (PT ISI). (Source: StarBiz) MRCB to build cold storage facility for Giant hypermarket operator MRCB has secured a RM56.8m contract to build a cold storage processing and distribution centre for GCH Retail SB, the operator of the Giant chain of hypermarkets and supermarkets in Malaysia. MRCB Builders SB inked the deal with Jupiter Lagoon SB, a unit of Dairy Farm International Holdings which also owns 90% in GCH.The 140,000 sq ft cold storage processing and distribution centre will be built on a 5-acre site in Kajang, Selangor. It would feature super flat floor technology pioneered in Australia. The project is due for completion by August (Source: StarBiz) Chin Hin: New factory to require RM85m in investment Chin Hin Group has bought new high-tech machinery for its upcoming factory, which is estimated to require RM85m in investment. It signed a purchasing contract with a German-based counterpart, Wehrhahn GmbH for the purchase of supply machineries to facilitate the company s Autoclave Aerated Concrete (AAC) production line at the new factory. The contract is valued at 4m (RM18m) for 1 machine line. (Source: StarBiz) Salutica poised for listing on Bursa Malaysia Salutica, a one-stop solution provider for the manufacture of consumer electronic products in Malaysia, has received Bursa Malaysia Securities s approval for a listing on the ACE Market. The proposed listing was expected to strengthen its position as a vertically integrated consumer electronics manufacturer and further enhance its corporate reputation as well as brand name recognition. Salutica s wholly-owned subsidiary, Salutica Allied Solutions SB, is a vertically integrated manufacturer which can provide a full range of manufacturing services to its customers, as well as being principally involved in the design, development and manufacture of consumer electronic products such as Bluetooth related devices and other electronic products for internationally well-known brands. (Source: StarBiz) 3

4 LOCAL AND GLOBAL ECONOMIC NEWS Ringgit Closes Lower In Line With Regional Currencies The ringgit continued its downtrend today, in line with other emerging Asian currencies, on renewed concerns over the fall in global oil prices. At close, the local note ended lower at /9275 against the greenback from /9090 yesterday. The global benchmark, Brent Crude, fell 31 cents to US$37.38 a barrel at 0800 GMT (4 pm Malaysia time), its lowest since March 4. The lower oil prices, due to the persistent global supply glut, has also sparked concerns over Malaysia's oil and gas revenue. Against a basket of major currencies, the ringgit also traded lower. It fell against the British pound to /5904 from /5496 on Monday and weakened against the euro at /4652 from /4457. The ringgit slid against the Singapore dollar to /8966 from /8904 and declined against the yen to /5549 from /5039. (Source: Bernama) US trade data points to weak Q1 growth The US trade deficit widened more than expected in February as a rebound in exports was offset by an increase in imports, the latest indication that economic growth weakened further in the Q1. But the growth picture should brighten in the months ahead, with other data on Tuesday showing that activity in the vast services sector picked up in March as new orders rose strongly, and sustained strength in the labor market. There are some green shoots appearing this spring in the economic data which makes us more confident that 2016 is going to be a good year after a step-down in expectations and hopes at the start of the year. The trade deficit increased 2.6% to US$47.1bn in February, worse than economists' forecasts for a reading of US$46.2bn. When adjusted for inflation, the shortfall rose to US$63.3bn, the largest since March last year, from US$61.8bn in January. (Source: Reuters) Euro zone business growth barely accelerated in March Euro zone business growth edged up last month from February's 13-month low as demand weakened, particularly for services, despite deep price cuts. The PMI will make disappointing reading for European Central Bank policymakers, coming just weeks after they eased policy on a wide front in their latest attempt to spur growth and inflation. But Markit's final composite PMI for the bloc, seen as a good guide to growth, suggested the stimulus had not yet had much effect. At 53.1, the index barely improved on February's That was above the 50-mark that divides growth from contraction but down from an earlier flash estimate of (Source: Reuters) German industry orders unexpectedly fall in February German industrial orders unexpectedly dropped in February due to weaker foreign demand, particularly from euro zone countries, data showed on Tuesday, suggesting a global slowdown and market turmoil is leaving its mark on Europe's biggest economy. Contracts for 'Made in Germany' goods were down 1.2% on the month, marking the biggest monthly fall in 6 months. The data adds depth to a picture of waning demand from abroad and follows surveys showed the manufacturing sector got off to a sluggish start in the Q1. (Source: Reuters) Bankruptcy filings more than double in Brazil as recession deepens Bankruptcy protection requests in Brazil more than doubled in the Q1 from the year-earlier period, as businesses suffered from the highest borrowing costs in a decade and a steep recession dragged down revenue. Companies filed 409 requests for court protection from creditors last quarter, the highest number since the country enacted a bankruptcy law in In the Q1 of last year, 191 companies sought bankruptcy protection. (Source: Reuters) Saudi Arabia to sign US$21.5bn energy, development deals with Egypt Saudi Arabia is expected to sign a US$20bn deal to finance Egypt's petroleum needs for the next 5 years and a US$1.5bn deal to develop its Sinai region. The agreements are tabled to be signed on Thursday during a visit to Cairo by Saudi Arabia's King Salman, a rare foreign trip. Saudi Arabia, along with other Gulf oil producers, has pumped billions of dollars into Egypt's flagging economy since the army toppled President Mohamed Mursi of the Muslim Brotherhood in 2013 after mass protests against his rule. The Gulf Arab countries see the Muslim Brotherhood as a threat. Egypt is struggling to revive an economy which unraveled following an uprising that toppled President Hosni Mubarak in (Source: Reuters) 4

5 ECONOMIC CALENDAR Date Time Country Event Survey Actual Prior Revised 04/06/ :00 UR CPI MoM Mar 0.80% 1.04% 1.60% -- 04/06/ :00 UR CPI YoY Mar 10.34% 10.60% 10.23% -- 04/06/ :00 CO Exports FOB Feb $2, $2, $1, /06/ :15 AR Vehicle Exports Adefa Mar /06/ :15 AR Vehicle Domestic Sales Adefa Mar /06/ :15 AR Vehicle Production Adefa Mar /06/ :01 UK BRC Shop Price Index YoY Mar % -2.00% -- 04/06/ :00 NZ QV House Prices YoY Mar % -- 04/06/ :00 CO CPI YoY Mar 7.70% % -- 04/06/ :00 CO CPI MoM Mar 0.70% % -- 04/06/ :00 CO CPI Core MoM Mar % -- 04/06/ :00 CO CPI Core YoY Mar % -- 04/06/ :45 CH Caixin China PMI Services Mar /06/ :45 CH Caixin China PMI Composite Mar /06/ :30 HK Nikkei Hong Kong PMI Mar /06/ :00 MA Exports YoY Feb 2.90% % -- 04/06/ :00 MA Imports YoY Feb -1.50% % -- 04/06/ :00 MA Trade Balance MYR Feb 6.80b b -- 04/06/ :00 IN Nikkei India PMI Services Mar /06/ :00 IN Nikkei India PMI Composite Mar /06/ :00 JN Leading Index CI Feb P /06/ :00 JN Coincident Index Feb P /06/ :00 RO Wages Net YoY Feb % -- 04/06/ :00 GE Industrial Production SA MoM Feb -1.80% % -- 04/06/ :00 GE Industrial Production WDA YoY Feb 0.40% % -- 04/06/ :00 CZ Trade Balance National Concept Feb 19.7b b -- 04/06/ :00 HU Industrial Production SA MoM Feb 3.50% % -- 04/06/ :00 HU Industrial Production WDA YoY Feb 5.30% % -- 04/06/ :00 AS Wholesale Price Index MoM Mar % -- 04/06/ :00 AS Wholesale Price Index YoY Mar % -- 04/06/ :30 GE Markit Germany Construction PMI Mar /06/ :00 UK New Car Registrations YoY Mar % -- 04/06/ :00 SI Automobile COE Open Bid Cat A 6-Apr /06/ :00 SI Automobile COE Open Bid Cat B 6-Apr /06/ :00 SI Automobile COE Open Bid Cat E 6-Apr /06/ :10 GE Markit Germany Retail PMI Mar /06/ :10 EC Markit Eurozone Retail PMI Mar /06/ :10 FR Markit France Retail PMI Mar /06/ :10 IT Markit Italy Retail PMI Mar /06/ :20 TA Foreign Reserves Mar $428.82b -- 04/06/ :00 IC Trade Balance Mar P /06/ :00 IR Consumer Confidence Index Mar /06/ :00 US MBA Mortgage Applications 1-Apr % -- 04/06/ :00 RU CPI Weekly YTD 4-Apr % -- 04/06/ :00 RU CPI WoW 4-Apr % -- 04/06/ :00 ED CPI MoM Mar % -- 04/06/ :00 ED CPI YoY Mar % -- 04/06/ :00 CA Ivey Purchasing Managers Index SA Mar /06/ :20 BZ Vehicle Production Anfavea Mar /06/ :20 BZ Vehicle Sales Anfavea Mar /06/ :20 BZ Vehicle Exports Anfavea Mar /06/2016 PD Poland Base Rate Announcement 6-Apr 1.50% % -- 04/04/ /15 NA M2 Money Supply YoY Feb % -- Source: Bloomberg, BIMB Securities 5

6 Stocks Closing Price PIVOT POINT ANALYSIS Pivot S3 S2 S1 Point R1 R2 R3 Est. Weighting. FBMKLCI Index n.a. FBM Hijrah Shariah n.a. Autos APM Automotive n.a. n.a. n.a. n.a. n.a. n.a. n.a % Delloyd Ventures n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % MBM Resources n.a. n.a. n.a. n.a. n.a. n.a. n.a. 0.28% Tan Chong % UMW % Building Materials Ann Joo Resource % Alum Co of Malay % Choo Bee Metal % CSC Steel % Eksons Corp % Engtex Group % Goh Ban Huat n.a. n.a. n.a. n.a. n.a. n.a. n.a % Hiap Teck % Jaks Resources % Java % Kim Hin Ind % Kinsteel % Lafarge M Cement % Lion Corp % Lion Industries % Malaysia Smelting n.a. n.a. n.a. n.a. n.a. n.a. n.a % Masteel % Melewar Ind % MTD ACPI % Pantech % Perwaja % Press Metal % Southern Steel % Tasek % Tong Herr % Conglomerates Cahya Mata Sarawak % Lion Diversified % Hap Seng Cons % MMC % Sime Darby % YTL Corp % Construction AZRB % Ekovest % Fajar Baru % Favelle Favco % Gamuda % Hock Seng Lee % IJM Corp % Kimlun % KKB Engineer % MRCB % 6

7 Stocks Closing Price S3 S2 S1 Pivot Point R1 R2 R3 Est. Weighting Mudajaya % Muhibbah % Naim Hold % Sunway Hldgs % TRC Synergy % TSR Capital Bhd % Zelan % Consumer/Retail Aeon Co (M) % Ajinomoto % Apollo Food % Bonia % CI Holdings % Cocoaland % Dutch Lady % Guan Chong % Hai-O Ent % Hovid % Hup seng Inds % K-Star Sports n.a. n.a. n.a. n.a. n.a. n.a. n.a % Multi Sports % Padini % Parkson Holdings % Pelikan International % Poh Kong % QL Resources % Silver Bird n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Three-A Resource % Xingquan Int l % Yee Lee Corp % Zhulian % Education HELP Int l n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Masterskill n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % SEG Int l % Finance BIMB Hold % Syarikat Takaful % Healthcare Apex Healthcare % CCM Duopharma % KPJ Healthcare % Faber Group n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Manufacturing CBIP % Chin Well % Daibochi Plastic % Evergreen Fibre % George Kent % Guh Holdings % Hil Industries n.a. n.a. n.a. n.a. n.a. n.a. n.a % Hong Leong Ind % 7

8 Stocks Closing Price S3 S2 S1 Pivot Point R1 R2 R3 Est. Weighting KYM Hldgs Bhd n.a. n.a. n.a. n.a. n.a. n.a. n.a % MWE Hold % Muda Hold % NTPM Hold % Nylex Malaysia % Perstima % Scientex % Sino Hua-an % SLP Resources % Wellcall % Media Media Chinese % Star Publication % Utusan Melayu % Oil & Gas Alam Maritim % Daya Materials % Dayang Ent % Deleum % Dialog group % ESSO Malaysia % KNM Group % MMHE % Perisai Petroleum % Petra Energy % Pet Chem % Pet Dag % Pet Gas % Ramunia Hold % SAAG Cons. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Sapurakencana % Scomi Eng % Scomi Group % Shell Refining % Tanjung Offshore % Wah Seong % Petra Perdana n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Plantation Batu Kawan % BLD Plantation n.a. n.a. n.a. n.a. n.a. n.a. n.a % Cepat Wawasan % Genting Plant % Golden Land % Gopeng % Hap Seng Plant % IJM Plant % Inch Ken Kajang % IOI % Keck Seng Malay % Kim Loong % Kretam Holdings % KLK % Kulim Malaysia % Rimbunan Sawit % 8

9 Stocks Closing Price S3 S2 S1 Pivot Point R1 R2 R3 Est. Weighting Riverview Rubber n.a. n.a. n.a. n.a. n.a. n.a. n.a % Sarawak Plant % TDM % TH Plant % Tradewinds Plant n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % United Plant % Power TNB % YTL Power % Property A & M Realty % Am Corp Prop % Symphony Life Bh % Crescendo Corp % Daiman Develop % Damansara Realty % Dijaya n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Dutaland % E&O % Global Oriental % Glomac n.a. n.a. n.a. n.a. n.a. n.a. n.a % Hunza Properties n.a. n.a. n.a. n.a. n.a. n.a. n.a % IJM Land n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Ivory Properties % KLCC Property n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % KSL Hold % Kump Hartanah n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Kump Perangsang % LBS Bina Group % Magna Prima % Mah Sing % Malton n.a. n.a. n.a. n.a. n.a. n.a. n.a % MK Land % Nadayu n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Plenitude % Selangor Prop % Selangor Dredging % SP Setia % Sunway Bhd % Suria Capital % Talam Corp n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Tebrau Teguh n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % UEM Land n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % WCT n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Wing Tai n.a. n.a. n.a. n.a. n.a. n.a. n.a % YNH Property % YTL Land & Dev % Rubber Glove Adventa % Hartalega % Kossan % Latexx Partners n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Rubberex % Supermax Corp % 9

10 Stocks Closing Price S3 S2 S1 Pivot Point R1 R2 R3 Est. Weighting Top Glove % Technology Compugates % D&O Green Tech % ETI Tech n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Formis Resources n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Formosa Prosonic % Frontken % Globetronics % JCY Int l % Key Asic % MPI % Notion V-Tec % Panasonic Man % Supportive n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Symphony House n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Uchi Tech Bhd % Unisem % VS Industry % Telcos Axiata Group % DiGi.Com % Green Packet % Maxis % Telekom Malaysia % Time Dotcom % Timber Jaya Tiasa % Subur Tiasa n.a. n.a. n.a. n.a. n.a. n.a. n.a % WTK % Transport/Logistics Bintulu Port % Airasia % Century Logistic % Cycle & Carriage % Hubline % Integrated Log % Integrax n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Konsortium n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Maybulk % MISC % NCB Hold n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Scomi Energy Ser % Water & Infrastructure PBA Hold % Puncak Niaga % Salcon % Taliworks Corp n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Lingkaran Trans n.a. n.a. n.a. n.a. n.a. n.a. n.a % Protasco % 10

11 Stocks Closing Price S3 S2 S1 Pivot Point R1 R2 R3 Est. Weighting Others Ancom % Asia File bhd % Boustead Heavy % Eden Inc % Fima Corp n.a. n.a. n.a. n.a. n.a. n.a. n.a % Kumpulan FIMA % KUB Malaysia % Pie Industrial % Southern Acids % Mega First % Coastal Contract % Time Engineering n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a % Sealink Int'l % Shin Yang % Jobstreet Corp % Myeg Services % Pos Malaysia % Picorp % Lion Forest % Note: R S Est. Weight = Resistance = Support = Based on FBMah Mkt. Cap 11

12 DEFINITION OF RATINGS BIMB Securities uses the following rating system: STOCK RECOMMENDATION BUY Total return (price appreciation plus dividend yield) is expected to exceed 10% in the next 12 months. TRADING BUY Share price may exceed 15% over the next 3 months, however longer-term outlook remains uncertain. HOLD Share price may fall within the range of +/- 10% over the next 12 months TAKE PROFIT Target price has been attained. Fundamentals remain intact. Look to accumulate at lower levels. TRADING SELL Share price may fall by more than 15% in the next 3 months. SELL Share price may fall by more than 10% over the next 12 months. NOT RATED Stock is not within regular research coverage. SECTOR RECOMMENDATION OVERWEIGHT The Industry as defined by the analyst s coverage universe, is expected to outperform the relevant primary market index over the next 12 months NEUTRAL The Industry as defined by the analyst s coverage universe, is expected to perform in line with the relevant primary market index over the next 12 months UNDERWEIGHT The Industry as defined by the analyst s coverage universe, is expected to underperform the relevant primary market index over the next 12 months Applicability of ratings The respective analyst maintains a coverage universe of stocks, the list of which may be adjusted according to needs. Investment ratings are only applicable to the stocks which form part of the coverage universe. Reports on companies which are not part of the coverage do not carry investment ratings as we do not actively follow developments in these companies. Disclaimer The investments discussed or recommended in this report may not be suitable for all investors. This report has been prepared for information purposes only and is not an offer to sell or a solicitation to buy any securities. The directors and employees of BIMB Securities Sdn Bhd may from time to time have a position in or either the securities mentioned herein. Members of the BIMB Group and their affiliates may provide services to any company and affiliates of such companies whose securities are mentioned herein. The information herein was obtained or derived from sources that we believe are reliable, but while all reasonable care has been taken to ensure that stated facts are accurate and opinions fair and reasonable, we do not represent that it is accurate or complete and it should not be relied upon as such. No liability can be accepted for any loss that may arise from the use of this report. All opinions and estimates included in this report constitute our judgements as of this date and are subject to change without notice. BIMB Securities Sdn Bhd accepts no liability for any direct, indirect or consequential loss arising from use of this report. Published by BIMB SECURITIES SB ( X) A Participating Organisation of Bursa Malaysia Securities Berhad Level 32, Menara Multi Purpose, Capital Square, No. 8 Jalan Munshi Abdullah, Kuala Lumpur Tel: Fax: Kenny Yee Head of Research 12