Today s Highlights. Quick Bites. Outside Malaysia. Results Note Tenaga (BUY, maintain) - Multiple one-offs impacting the bottom line

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1 Jul-16 Nov-16 Mar-17 Jul July 2017 Today s Highlights Results Note Tenaga (BUY, maintain) - Multiple one-offs impacting the bottom line Economic Update ASEAN Weekly Wrap - IMF upgraded ASEAN GDP growth forecast for 2017 Quick Bites MISC: Delivery of new liquefied natural gas carrier Maybank: Maybank Indonesia s 1H17 PATAMI increased 16.3% B ursa M alaysia KLCI 52-wk range M kt Cap (RM bn) 1, Vol (m shrs) 1, Value (RMm) 1, KLCI futures (spot) 1, KLCI futures (1-mth) 1, KLC I Ind ex ( 12 - mt h) Outside Malaysia 1550 Stocks slide as volatility rises, dollar gains Narrower US goods-trade gap indicates boost to pace of growth Consumer comfort gain reflects steady US labor-market progress Japanese CPI stalls at 0.4% even as job market tightens South Korean economy slows from fastest expansion since 2015 China industrial profits surge again in boost to debt cleanup Japan recommends hiking minimum wage by 3% Oil surges above US$49 as supply draw Other Markets Key Indicators C OM M OD ITIES C U R R EN C IES Lat est chg ( %) Lat est Y t d chg ( %) CPO (RM /Tonne) RM /US$ Spot 2, RM per 100 Yen 3.85 (0.3) 3-mth futures 2, RM /S$ 3.15 (1.6) Yen/US$ Brent Crude Oil (US$/brl) Eur/US$ 0.86 (10.0) Spot RM /AUD 3.43 (5.6) 1-mth futures M A LA Y SIA IN T ER EST R A T ES Lat est Y t d chg ( b p s) Gold (US$/oz) OPR (%) Spot mth Klibor (%) mth futures M aybank BR (%) *as at 1 July 2016 T o p 5 Gainers Price ( R M ) chg ( R M ) % chg AEONCR BAT HEIM JHM CIM B T o p 5 Lo sers Price ( R M ) chg ( R M ) % chg ATLAN DLADY BKAWAN FAREAST F&N T o p 5 V alue T rad ed Price ( R M ) chg ( R M ) V al ( R M m) TENAGA CIM B PBBANK unch M AYBANK SIM E Key Equity Indices C lo se % chg Y t d chg ( %) KLCI 1, Dow Jones 21, Nasdaq 6, FTSE100 7, East. Europe 2, M exico 51, Shenzen B 1, Shanghai B 3, Hong Kong 27, Korea 2, Singapore 3, Indonesia 5, Philippines 8, Thailand 1, Vietnam India 32, Taiwan 10, Page 1 of 7

2 Quick Bites MISC: Delivery of new liquefied natural gas carrier MISC has today received the delivery of Seri Cempaka, which is the third of the five newbuild liquefied natural gas carriers (LNGCs), from Hyundai Heavy Industries Co. Ltd (HHI). Seri Cempaka will be chartered to Petroliam Nasional Berhad (PETRONAS) for the next 15 years upon delivery. This is in accordance with the agreement for the novation of shipbuilding contracts by PETRONAS and HHI to MISC, for the construction and delivery of five new LNGCs. Comment: We expect a flattish performance from the LNG segment as LNG shipping rates remain low due to additional supply coming on stream and weaker prospects of renewals. The addition of the new ship has been reflected in our earnings forecast. We maintain our SELL call with RM6.50 target price. Maybank: Maybank Indonesia s 1H17 PATAMI increased 16.3% PT Bank Maybank Indonesia Tbk ( Maybank Indonesia or the Bank ) today announced that its profit after tax and minority interests (PATAMI) increased 16.3% to Rp998.5 billion for the first semester ended 30 June 2017 from Rp858.4 billion in the previous corresponding period ended 30 June 2016 on the back of overall improvement in its core banking business. NII rose 7.0% to Rp3.8 trillion in the first semester 2017 from Rp3.6 trillion in first semester of The increase in NII was mainly a result of the Bank s discipline in loan pricing and active funding management. The Bank also reported an increase in its Net Interest Margin (NIM) to 5.3% in June 2017 compared with 5.0% in June (Source: Maybank press release) Comment: The overall 1H17 results of Maybank Indonesia was in line with our expectations. While the operating results have been more encouraging, we however note that the management remains cautious over loan quality as the Indonesian economy remains slow moving. Gross NPL and net NPL level were maintained at 3.6% and 2.4% respectively as of June We reiterate our BUY call with TP of RM10.50 based on a 2018E P/BV target multiple of 1.5x (cost of equity of 8.2%, 2018E ROE of 9.8%). Page 2 of 7

3 Outside Malaysia Stocks slide as volatility rises, dollar gains US stocks fell, with major benchmarks turning lower in afternoon trading as a bout of volatility shattered calm on equity markets that had surged to fresh highs. The S&P 500 decreased by 0.1% to 2, The Dow Jones Industrial Average added points (0.4%) to 21, Narrower US goods-trade gap indicates boost to pace of growth A narrower-than-projected US merchandise-trade deficit in June, together with rising inventories at wholesalers and retailers, signal positive news for economic growth, according to preliminary figures from the Commerce Department. Goods-trade gap shrank to UD$63.9bn (est. $65.5b). Exports of goods increased 1.4% mom in June while imports fell by 0.4%. Consumer comfort gain reflects steady US labor-market progress More favorable attitudes about personal finances and the economy helped bolster Americans confidence last week, according to Bloomberg Consumer Comfort Index figures. Weekly consumer comfort measure rose to 48.6 from prior week s The results reflect a labor market that continues to make progress and healthier household finances boosted by stock-market gains and home-equity appreciation. Japanese CPI stalls at 0.4% even as job market tightens Japan s key price gauge was unchanged in June, helped by rising power costs. The tight labor market may also start to help inflation, which remains far from the central bank s 2% target. Core consumer prices, which exclude fresh food, increased 0.4% in June from a year earlier in line with estimate. Excluding fresh food and energy, prices were unchanged. South Korean economy slows from fastest expansion since 2015 South Korea s economic growth slowed in the second quarter as expansion in construction investment eased and export volumes fell from the previous three months. Gross domestic product expanded 0.6% in the second quarter. From a year earlier, the economy grew 2.7%, matching the estimate by economists. China industrial profits surge again in boost to debt cleanup Chinese industrial firms kept up their heady pace of profit growth in June, underscoring the economy s momentum and helping the nation s indebted companies grapple with their giant debt load. Industrial profits increased 19.1% in June from a year earlier, accelerating from the 16.7% pace a month earlier, the nation s statistics bureau said. Japan recommends hiking minimum wage by 3% The Japanese government recommended this year s minimum wage be increased by 25 yen to 848 yen per hour (US$7.64), the same amount that it was raised last year. Prime Minister Shinzo Abe s government and the central bank want wages in Japan to rise in hopes that that will fuel consumer spending and spur inflation. Oil surges above US$49 as supply draw Oil closed above US$49 a barrel for the first time since May on growing optimism OPEC s supply cuts are trimming a supply glut. Brent for September settlement climbed US$0.52 to end the session at US$51.49 a barrel. Source: Bloomberg (Izzuddin Yussof; ; izzuddin.yussof@affinhwang.com) Page 3 of 7

4 Market Summary Table 1: Off Market transactions Shares Price (RM) Vol (m) Val (RMm) Type MAYBANK D NICE D SERBA D HLT D VOIR D EKOVEST D BKAWAN D EDEN D YINSON D MEXTER D JOHAN D Source: Bloomberg Table 2: Shares Buyback/ Resale Company* Date Units Treasury Transaction *Only FBM100 Component Stocks Table 3: ESOS Company* Date Units Transaction *Only FBM100 Component Stocks Table 4: Entitlements Company Entitlement Ex-Date Lodgement Payment Table 5: Bursa Malaysia Trade Statistics Participant (%) Bought (RMm) Sold (RMm) Net (RMm) Local Institution Local Retail Foreign Total Page 4 of 7

5 Fig 6: Shareholdings change Substantial shareholder Date Transaction Units Company EPF 24-Jul-17 Disposed 1,021,400 AIRPORT EPF 24-Jul-17 Acquired 1,900,000 ARMADA EPF 24-Jul-17 Acquired 276,800 ASTRO EPF 24-Jul-17 Disposed 220,100 ASTRO EPF 24-Jul-17 Disposed 151,700 BAT LTH 25-Jul-17 Acquired 500,000 CMSB EPF 24-Jul-17 Acquired 3,711,600 DIALOG EPF 24-Jul-17 Acquired 1,403,300 DIGI EPF 21-Jul to 24-Jul-17 Disposed 1,648,288 DIGI EPF 24-Jul-17 Acquired 453,600 GAMUDA EPF 24-Jul-17 Acquired 1,700 HLBANK LTH 25-Jul-17 Acquired 26,000 HSPLANT EPF 24-Jul-17 Disposed 104,100 IGBREIT EPF 24-Jul-17 Acquired 1,623,800 IJM EPF 24-Jul-17 Disposed 1,203,900 IOICORP EPF 24-Jul-17 Acquired 391,400 KLK EPF 20-Jul to 24-Jul-17 Acquired 3,265,400 MAXIS EPF 21-Jul to 24-Jul-17 Acquired 72,700 NESTLE EPF 21-Jul to 24-Jul-17 Disposed 24,500 NESTLE EPF 24-Jul-17 Acquired 1,554,000 PBBANK EPF 24-Jul-17 Disposed 5,404,800 PBBANK EPF 27-Jul-17 Disposed 500,000 PETGAS EPF 24-Jul-17 Acquired 23,800 PPB EPF 24-Jul-17 Acquired 3,173,700 SIME EPF 21-Jul-17 Acquired 2,642,900 SIME KWAP 24-Jul-17 Acquired 3,000,000 SIME EPF 24-Jul-17 Disposed 3,905,600 SIME EPF 21-Jul-17 Disposed 1,199,900 SIME EPF 24-Jul-17 Disposed 225,000 SPSETIA EPF 24-Jul-17 Disposed 1,000,000 SUNWAY EPF 24-Jul-17 Disposed 10,600 TAKAFUL Page 5 of 7

6 Fig 7: Dividend Entitlement Stocks Particulars DPS (sen) Announce Ex-Date Lodge Payment EVERGRN Final Dividend Apr Jul-17 2-Aug Aug-17 NPC Final Dividend Jul-17 1-Aug-17 3-Aug Aug-17 WPRTS First Interim Dividend Jul-17 1-Aug-17 3-Aug Aug-17 PANTECH Final Dividend Jun-17 2-Aug-17 4-Aug Aug-17 KESM Interim Dividend Jul-17 2-Aug-17 4-Aug Aug-17 AYS Final Dividend Jul-17 2-Aug-17 4-Aug Aug-17 AMBANK Final Dividend Jun-17 4-Aug-17 8-Aug Aug-17 PERSTIM Final Dividend Jul-17 4-Aug-17 8-Aug Aug-17 AXREIT Income Distribution Jul-17 4-Aug-17 8-Aug Aug-17 PBBANK First Interim Dividend Jul-17 7-Aug-17 9-Aug Aug-17 BURSA Special Dividend Jul-17 8-Aug Aug Aug-17 BURSA Interim Dividend Jul-17 8-Aug Aug Aug-17 PAVREIT Income Distribution Jul-17 8-Aug Aug-17 6-Sep-17 KMLOONG Final Dividend Mar-17 9-Aug Aug Aug-17 CRESNDO Final Dividend Mar-17 9-Aug Aug Aug-17 ZHULIAN Second Interim Dividend Jul-17 9-Aug Aug-17 8-Sep-17 KIPREIT Income Distribution Jul-17 9-Aug Aug Aug-17 YTLREIT Income Distribution Jul-17 9-Aug Aug Aug-17 ATRIUM Income Distribution Jul-17 9-Aug Aug Aug-17 BAT Second Interim Dividend Jul Aug Aug Aug-17 LBS Final Dividend Apr Aug Aug Aug-17 KERJAYA Interim Dividend Jul Aug Aug Aug-17 IKHMAS Final Dividend Apr Aug Aug Aug-17 ELKDESA Final Dividend Jun Aug Aug Sep-17 MSNIAGA First Interim Dividend Jun Aug Aug Aug-17 TASEK Interim Dividend Jul Aug Aug-17 8-Sep-17 PANSAR First and Final Dividend Jun Aug Aug-17 6-Sep-17 PTRANS Second Interim Dividend Jun Aug Aug Sep-17 BOILERM Final Dividend Jul Aug Aug Sep-17 MAXIS Interim Dividend Jul Aug Aug Sep-17 HOMERIZ Second Interim Dividend Jul Aug Aug Sep-17 MAHSING First and Final Dividend Apr Aug-17 4-Sep Sep-17 DIGI Second Interim Dividend Jul Aug-17 4-Sep Sep-17 LUXCHEM Interim Dividend Jul Aug-17 4-Sep Sep-17 DOMINAN Final Dividend Jul Aug-17 5-Sep Sep-17 AJI First and Final Dividend Jul Aug-17 5-Sep Sep-17 AJI Special Dividend Jul Aug-17 5-Sep Sep-17 FIMACOR Final Dividend Jul Aug-17 5-Sep Sep-17 FIMACOR Special Dividend Jul Aug-17 5-Sep Sep-17 SYMLIFE First and Final Dividend Jul-17 4-Sep-17 6-Sep Sep-17 FAVCO First and Final Dividend Apr-17 5-Sep-17 7-Sep Sep-17 MUHIBAH First and Final Dividend Apr-17 5-Sep-17 7-Sep Sep-17 RCECAP Final Dividend Jul-17 5-Sep-17 7-Sep Sep-17 AMPROP Final Dividend Jul-17 5-Sep-17 7-Sep Sep-17 KFIMA Final Dividend Jul-17 7-Sep Sep Sep-17 QL Final Dividend Jul-17 8-Sep Sep Sep-17 HEIM Interim Dividend Jul Sep Sep-17 9-Oct-17 ATTA Final Dividend Jun Sep Sep Oct-17 E&O First and Final Dividend Jul Sep Sep Oct-17 PANTECH First Interim Dividend Jul Sep Sep Oct-17 WEIDA First and Final Dividend Jun-17 5-Oct-17 9-Oct Sep-17 LAYHONG Final Dividend Jun Oct Oct-17 8-Nov-17 KEINHIN First and Final Dividend Jun Oct Oct Nov-17 YLI First and Final Dividend Jul Nov Nov Nov-17 APOLLO First and Final Dividend Jun-17 8-Dec Dec-17 9-Jan-18 Page 6 of 7

7 Equity Rating Structure and Definitions BUY Total return is expected to exceed +10% over a 12-month period HOLD Total return is expected to be between -5% and +10% over a 12-month period SELL Total return is expected to be below -5% over a 12-month period NOT RATED Affin Hwang Investment Bank Berhad does not provide research coverage or rating for this company. Report is intended as information only and not mendation The total expected return is defined as the percentage upside/downside to our target price plus the net dividend yield over the next 12 months. OVERWEIGHT Industry, as defined by the analyst s coverage universe, is expected to outperform the KLCI benchmark over the next 12 months NEUTRAL Industry, as defined by the analyst s coverage universe, is expected to perform inline with the KLCI benchmark over the next 12 months UNDERWEIGHT Industry, as defined by the analyst s coverage universe is expected to under-perform the KLCI benchmark over the next 12 months This report is intended for information purposes only and has been prepared by Affin Hwang Investment Bank Berhad (14389-U) ( the Company ) based on sources believed to be relia by the Company, and as such the Company does not give any guarantee, representation or warranty (express or implied) as to the adequacy, accuracy, reliability or completeness of th Facts, information, views and/or opinion presented in this report have not been reviewed by, may not reflect information known to, and may present a differing view expressed by other personnel. Reports issued by the Company, are prepared in accordance with the Company s policies for managing conflicts of interest arising as a result of publication and distribution o Company, its associates and/or any person related to it be liable in any manner whatsoever for any consequences (including but are not limited to any direct, indirect or consequential lo reliance on the information and/or opinion provided or rendered in this report. Any opinions or estimates in this report are that of the Company, as of this date and subject to change with construed as an offer to sell or a solicitation of an offer to buy any securities. The Company and/or any of its directors and/or employees may have an interest in the securities mentione take proprietary positions that are inconsistent with the recommendations or views in this report. Comments and recommendations stated here rely on the individual opinions of the ones providing these comments and recommendations. These opinions may not fit to your financial s evaluation is essential. Investors are advised to independently evaluate particular investments and strategies and to seek independent financial, legal and other advice on the informatio participating in any of the securities or investment strategies or transactions discussed in this report. Third-party data providers make no warranties or representations of any kind relating to the accuracy, completeness, or timeliness of the data they provide and shall not have liability fo The Company s research, or any portion thereof may not be reprinted, sold or redistributed without the consent of the Company. The Company, is a participant of the Capital Market Development Fund-Bursa Research Scheme, and will receive compensation for the participation. This report is printed and published by: Affin Hwang Investment Bank Berhad (14389-U) A Participating Organisation of Bursa Malaysia Securities Berhad 22nd Floor, Menara Boustead, 69, Jalan Raja Chulan, Kuala Lumpur, Malaysia. T : F : research@affinhwang.com Page 7 of 7