MICA (P) 057/11/2011 Ref No: SGMN2012_0160 1 of 16

Morning Note

Phillip Securities Research Pte Ltd Singapore

16 AUGUST 2012

Market & Portfolio Outlook

- STI: +0.03% to 3062.9 - MSCI SE Asia: -0.14% to 825.6 - Hang Seng: -0.45% to 19962.9 - FTSE APxJ: +0.18% to 578.1 - Euro Stoxx 50: +1.08% to 2456.5 - S&P500: +0.71% to 1415.5 MARKET OUTLOOK: The S&P500 has finally used the 1400 as support, so we are heading higher there. European markets also received a boost as Chancellor Merkel repeated her support for the ECB plan to intervene in the secondary markets only if conditionality is attached. We can expect such action from the ECB in Sep. So the stage is set for the STI to renew its repeated attempts to crack thru the upper downward trendline (connect the lower highs) to head higher. ASEAN markets remain positive. The HSI, which is much more closely tied to China looks more tentative. Short-term rallies aside, the global economic trajectory is in a broad slowdown. Asia's export data has been abysmal with a big disappointment from China - NE Asia economies are suffering due to China's slowdown. EZ is for all intents and purposes in recession and a program of austerity is going to hold it back this year and next. As for the US, core capex new orders are falling, below average employment and incomes and an impending fiscal cliff make us believe in a below consensus recovery. Our SG Sector Strategist likes defensives (SCI, Comfort, Singtel), and is sector overweight Aviation Services (SIAEC, STE, SATS), and the REITS. PORTFOLIO OUTLOOK: From a medium-longer term portfolio stance we are neutral at best for stocks till 1q13 as we think absolute returns could prove fleeting due to a global slowdown and fiscal uncertainty in the US. But within the stock space we prefer & Overweight ASEAN markets - the KLCI, JCI, SETI, PSEI, STI - to be relatively more resilient. For the first 4, domestic demand and pro-growth govt policy counteracts a weak external environment. As for the STI: +60% earnings exposure to ASEAN & Emerging Markets, high dividend yields in strong business moats, and the SGD's relative safe haven status, makes the STI an attractive buy in these yield starved times. Despite the recent selloff in Treasuries as US data picked up, we are still overweight Fixed Income (ETF tickers in brackets) over Stocks, Commodities, as we think macro headwinds remain considerable. In any case, as rates are repressed in the traditional safe havens of Treasuries (TLT: NYSE), Bunds, Gilts, SGS (A35:SGX), portfolios hard pressed for yield will likely have to explore beyond the traditional safe havens, thus within the bond space we're overweight dollar denominated EM sovereigns (EMB:NYSE), dollar denominated Asian Sovereigns & Corporates (N6M:SGX and O9P:SGX), and US Corporate Debt (VCLT:NYSE). REPORTS: Global Macro, Asset Strategy: 26 July Singapore Sector Strategy: 1 Aug Singapore Sector Reports: Banks / Transport / Telcos / Property / REITS / Thematic Regional Strategy: Indon, 17 July / HK, 22 June / Thai, 18 June / S'pore, 8 June / M'sia, 30 May / China, 24 May Source: Phillip Securities Research Pte Ltd

Morning Note 17 August 2012

2 of 16

Macro Data MACRO DATA: US housing permits increased 6.8%m-m, 29.5%y-y. Housing starts declined -1.1%m-m, 21.5%y-y. Philly Mfg Index declined for the 4th month in a row, similar to the recent mfg index for New York. Housing remains the bright spot of the US economy. There has been a slight pick-up in the US especially in its coincident data, forward looking data has yet to confirm. In Euro zone, inflation stayed at 2.4% y-y pace in July, the same as June and May. Core inflation stepped up a little bit to 1.7% from the 1.6% reading in June. In Germany, inflation stepped down a little bit to 1.9% from June’s 2.0%. France also saw an easier inflation of 2.2%, from June’s 2.3%. Spain saw a hike to 2.2% from June’s 1.8% and Italy stays unchanged at 3.5%. As reported earlier, the euro-area economy contracted 0.2%in the second quarter after stalling in the previous three months as governments stepped up budget cuts, undermining consumer and company spending. In UK, retail sales unexpectedly accelerated on auto fuel sales, by 0.8% m-m, faster than the 0.1% m-m pace in June. Retail sales ex auto fuel rose by 0.5% m-m, slower than the 0.7% m-m pace in June. Predominantly food store sales advanced by 0.9% m-m, faster than the 0.1% m-m pace in June. Bank of England policy makers forecast that inflation will ease toward their 2 percent target over the next year and have left the door open to more stimulus if needed. In South Korea, unemployment rate unexpectedly fell to 3.1% in July, compared to 3.2% growth in June while the market was predicting a rise to 3.3%. The government is holding the benchmark rate at a 14 month low 3.00%. This surprise in job market does not eliminate the possibility of further cuts amid a slowing global demand. Hong Kong’s unemployment rate was unchanged at 3.2% in the 3 month period ended in July, comparing to the 3 months ended in June, while the market was predicting 3.3%. The local government has adjusted their growth prospect lower to 1-2%, from the earlier 1-3%.

Source: Phillip Securities Research Pte Ltd

Morning Note 17 August 2012

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Company Highlights

Far East Organisation on Thursday launched the offering of 329.366 million stapled securities in Far East H-Trust, the first

and only Singapore-focused hotel and serviced residence hospitality trust. The offering consists of a placement tranche of

267.566 million stapled securities to institutional and other investors in Singapore, and a public offer of 61.8 million stapled

securities to the public in Singapore. As a result of interest received from institutional investors during the book-building

process exceeding the number of Stapled Securities offered under the Placement Tranche by approximately 30 times, the

Stapled Securities have been priced at the top end of the offering price range at 93 cents each. The Managers - FEO

Hospitality Asset Management Pte Ltd and FEO Hospitality Trust Management Pte Ltd - intend to raise gross proceeds of

S$1.49 billion.

Otto Marine Ltd made two announcements: (1) it has secured a US$10.0 million time-charter contract for its maintenance and

construction/accommodation support vessel, Seasafe Supporter. The contract will be for a firm 500 days with an option to

extend for two months, said Otto Marine. The group's wholly-owned subsidiary, Global Workboats, will charter Seasafe

Supporter to a Dutch operator which will in-turn deploy the vessel to support offshore works in Gabon, in the west coast of

Africa. (2) it has sold a 75M work maintenance vessel for US$38 million. The company has received 10 per cent of the

purchase consideration, and the balance will be paid upon delivery, scheduled for the end of August 2012. Upon the

completion of the sale, the company's other subsidiary will enter into a bareboat charter agreement with the buyer - an

unrelated party - for a charter of the vessel for a period of five years. The transactions are expected to have a positive impact

on the consolidated net tangible assets per share or earnings per share of the company for the financial year ending December

31, 2012. (Closing S$0.088, +3.53%)

Cordlife Group jumped as much as 8.2 per cent after the cord blood banking provider said it plans to buy 10 per cent of China

Cord Blood Corporation, China's largest cord blood bank operator. Cordlife has agreed to buy 10 per cent in China Cord, in

return it will sell an indirect stake in China Stem Sells (South) Co Ltd back to the company, which is an indirect subsidiary of

China Cord. The acquisition will help Cordlife expand its reach in China and boost its earnings per share to 5.85 Singapore

cents from 3.64 cents before, it said. (Closing S$0.51, +5.16%)

Metax Engineering Corporation said it expects to report a loss for the financial year 2012. "The company is expected to

report a loss for FY2012 mainly due to the company and its subsidiaries not being able to secure sufficient projects to cover

the fixed costs of the water and wastewater and hydro-engineering segments," it said in a filing to the Singapore Exchange.

The company will announce its unaudited results before August 29, 2012. (S$0.072, +0%)

Boustead Singapore Limited said it has completed the construction of a $55 million integrated logistics facility for SDV

Logistics (Singapore) Pte Ltd. The facility located at Pioneer Turn was developed by BP-SDV Pte Ltd, a wholly-owned

subsidiary of Boustead Projects Pte Ltd, which is in turn wholly-owned by Boustead Singapore. In accordance with the terms of

the contract, which was awarded in March 2011, Boustead Projects has transferred its shares in BP-SDV to SDV Logistics.

The facility has a gross floor area of approximately 42,110 square metres. It comprises five storeys and has been designed as

a ramp-up facility. (Closing S$0.955, -0.52%)

Sheng Siong Group Ltd said it has signed two new lease agreements, for the supermarkets expected to commence

operations in the fourth quarter of this year. The first lease was signed with the Housing Development Board for the premises

located at Bedok North Road. The second lease was signed with an independent third party for the premises at Yishun Central

1. When the two supermarkets commence operations, the group will have 31 stores with an aggregate retail area of

approximately 391,000 square feet. (Closing S$0.48, +4.35%)

Miyoshi Precision Limited announced that it will have to take on 80 per cent of Neworld Electronics Limited's legal costs

incurred during the arbitration proceedings. This is on top of its own legal costs after Neworld took action against wholly-owned

subsidiary Miyoshi Precision (Malaysia) Sdn Bhd for the breach of an alleged sale and purchase agreement for equipment

Morning Note 17 August 2012

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supplied by the former at a consideration of US$1.53 million. The quantum of costs to be awarded will also be reserved to a

future award, according to the arbitrator's final award on costs. (Closing S$0.05, +0%)

Cityneon Holdings Ltd said an adjudication application has been filed against its subsidiary, Themewerks Pte Ltd, for a sum

of $2.18 million. (Closing S$0.182, +0%)

OCBC Bank said its wholly-owned subsidiary, OCBC Capital (Malaysia) Sdn Bhd, is selling its 85 per cent stake in Pacific

Mutual Fund Berhad (PMFB) for RM40 million (US$12.79 million). OCBC Capital has signed two conditional sale and purchase

agreements which will see Lion Global Investors Limited (LGI) acquire a 70 per cent stake in PMFB for RM33 million, and

Koperasi Angkatan Tentera Malaysia Berhad (KAT) buy the other 15 per cent stake for RM7 million. KAT currently owns 15 per

cent of PMFB. The aggregate consideration was based on the cost at which OCSB had acquired its 85 per cent equity stake in

PMFB. The audited net tangible asset value of PMFB as at December 31, 2011 was approximately RM24 million. (Closing

S$9.35, -0.11%)

Swiber Holdings Limited said it is acquiring a further 49.5 per cent interest in Atlantis Navigation AS for US$18.3 million. With

the purchase, Swiber will hold 98.8 per cent interest in the investment holding company through wholly-owned subsidiary

Swiber International Pte Ltd. Swiber said that the move is a "strategic effort undertaken to give the group full control over the

assets in Atlantis as well as recognizing its full contribution". Atlantis, which owns two vessels, has a net tangible asset value of

US$30.6 million. (Closing S$0.625, +2.48%)

Mermaid Maritime Public Co Ltd said its CEO, Bruce Muir Gemmell, is leaving the company due to differences in

expectations on the role of a CEO at the company's current stage of growth. Mr Gemmell has also resigned from the boards of

the company's subsidiaries. He was appointed CEO on January 16, 2012, and his last day is today, August 16, 2012. The

executive committee has appointed executive vice chairman Chalermchai Mahagitsiri, as interim CEO, while they search for a

new chief. (Closing S$0.275, +3.77%)

Thakral Corporation said it will be building another 56 houses for lease to GLNG Operations Pty Ltd in Gladstone,

Queensland, Australia. Under Phase 1 of GLNG's housing project, the group had already delivered 45 houses for lease. Work

has already commenced on the 11 lots of land that it had acquired on Aug 11, while the work on the rest will begin

progressively as the lots are delivered to 51 per cent-owned subsidiary TCAP Custodians (Gladstone) No 2 Pty Ltd. The

houses are expected to be ready for occupation by "end of the early second quarter of 2013". The total capital required for the

project, A$33.6 million (US$35.22 million), inclusive of interest during the construction phase, will be fully funded from the

capital contribution of A$10 million by the group, and bank loan secured by the project. Net profit attributable to the investment

is S$698,000. (Closing S$0.028, +0%) Source: SGX Masnet, The Business Times

Morning Note 17 August 2012

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FSSTI 3,051.33 +0.50% 13,096.17 +1.69%

12.23 19,666.18 -0.12%

82.22 -0.18% 1,603.48 +0.07%

91.40 +4.90% 1.567 +0.00%Crude oil US Treasury 10yr Yield

HSIFSSTI (P/E)

Dollar Index Gold

DJI

Source: Bloomberg

2500

2700

2900

3100

Aug-11

Sep-11

Oct-1

1

Nov-11

Dec-11

Jan-1

2

Feb

-12

Mar-1

2

Apr-1

2

May-1

2

Jun-1

2

Jul-1

2

10500

11000

11500

12000

12500

13000

13500

Aug-11

Sep-11

Oct-1

1

Nov-11

Dec-11

Jan-1

2

Feb

-12

Mar-1

2

Apr-1

2

May-1

2

Jun-1

2

Jul-1

2

15500

17500

19500

21500

23500

Aug-11

Sep-11

Oct-1

1

Nov-11

Dec-11

Jan-1

2

Feb

-12

Mar-1

2

Apr-1

2

May-1

2

Jun-1

2

Jul-1

2

6

7

8

9

10

11

12

13

Aug-11

Sep-11

Oct-1

1

Nov-11

Dec-11

Jan-1

2

Feb

-12

Mar-1

2

Apr-1

2

May-1

2

Jun-1

2

Jul-1

2

72

74

76

78

80

82

84

86

Aug-1

1

Sep-1

1

Oct-1

1

Nov-1

1

Dec-1

1

Jan-1

2

Feb

-12

Ma

r-12

Apr-1

2

Ma

y-12

Jun-1

2

Jul-1

2

1200

1350

1500

1650

1800

1950

Aug-11

Sep-11

Oct-1

1

Nov-11

Dec-11

Jan-1

2

Feb

-12

Mar-1

2

Apr-1

2

May-1

2

Jun-1

2

Jul-1

2

70

80

90

100

110

120

Aug

-11

Sep

-11

Oct-1

1

Nov-1

1

Dec-1

1

Jan-1

2

Feb-1

2

Mar-1

2

Apr-1

2

May-1

2

Jun-1

2

Jul-1

2

1.5

2

2.5

Aug-11

Sep-11

Oct-1

1

Nov-11

Dec-11

Jan-1

2

Feb

-12

Mar-1

2

Apr-1

2

May-1

2

Jun-1

2

Jul-1

2

Morning Note 17 August 2012

6 of 16

Phillip Securities Research - Singapore Stocks Coverage

Company Analyst RatingTarget Price

(S$)

Current

Price (S$)

Difference to

Target Price

(%)

DBS GROUP HOLDINGS LTD Ken Ang Accumulate M 15.100 14.750 2.4%

OVERSEA-CHINESE BANKING CORP Ken Ang Reduce D 8.200 9.400 -12.8%

UNITED OVERSEAS BANK LTD Ken Ang Reduce D 17.500 19.970 -12.4%

GENTING SINGAPORE PLC Magdalene Choong Buy U 1.750 1.310 33.6%

SINGAPORE EXCHANGE LTD Ken Ang Accumulate M 6.720 6.690 0.4%

COMFORTDELGRO CORP LTD Derrick Heng Buy M 1.650 1.700 -2.9%

SMRT CORP LTD Derrick Heng Sell M 1.350 1.620 -16.7%

NEPTUNE ORIENT LINES LTD Derrick Heng Neutral U 1.190 1.170 1.7%

SINGAPORE AIRLINES LTD Derrick Heng Buy U 13.300 10.880 22.2%

TIGER AIRWAYS HOLDINGS LTD Derrick Heng Reduce M 0.550 0.705 -22.0%

M1 LTD Ken Ang Reduce M 2.380 2.550 -6.7%

SINGAPORE TELECOM LTD Derrick Heng Neutral D 3.310 3.540 -6.5%

STARHUB LTD Derrick Heng Neutral M 2.940 3.840 -23.4%

SIA ENGINEERING CO LTD Derrick Heng Buy M 5.000 4.200 19.0%

SINGAPORE TECH ENGINEERING Derrick Heng Accumulate M 3.370 3.290 2.4%

SATS LTD Derrick Heng Neutral D 2.650 2.540 4.3%

COSCO CORP SINGAPORE LTD Phillip Research Team Reduce U 1.000 0.980 2.0%

SEMBCORP MARINE LTD Phillip Research Team Buy M 6.100 4.830 26.3%

SEMBCORP INDUSTRIES LTD Phillip Research Team Buy M 6.580 5.290 24.4%

KEPPEL CORP LTD Phillip Research Team Accumulate M 11.680 11.270 3.6%

GOLDEN AGRI-RESOURCES LTD Phillip Research Team Accumulate M 0.770 0.650 18.5%

WILMAR INTERNATIONAL LTD Phillip Research Team Buy U 4.370 3.240 34.9%

CHINA SUNSINE CHEMICAL HLDGS Lee Kok Joo Not Rated D - 0.255 -

FORELAND FABRICTECH HOLDINGS Lee Kok Joo Reduce D 0.080 0.051 56.9%

SINO GRANDNESS FOOD INDUSTRY Lee Kok Joo Accumulate M 0.490 0.455 7.7%

ZIWO HOLDINGS LTD Lee Kok Joo Sell M 0.095 0.088 8.0%

COMBINE WILL INTERNATIONAL H Chan Wai Chee Buy M 1.340 0.695 92.8%

HU AN CABLE HOLDINGS LTD Chan Wai Chee Buy U 0.275 0.136 102.2%

HENGYANG PETROCHEMICAL LOGIS Chan Wai Chee Buy I 0.610 0.225 171.1%

SUNPOWER GROUP LTD Chan Wai Chee Buy M 0.400 0.205 95.1%

STAMFORD LAND CORP LTD Chan Wai Chee Buy I 0.795 0.540 47.2%

CAPITAMALLS ASIA LTD Bryan Go Buy M 1.820 1.670 9.0%

HO BEE INVESTMENT LTD Bryan Go Neutral M 1.430 1.255 13.9%

KEPPEL LAND LTD Bryan Go Neutral M 3.300 3.460 -4.6%

OVERSEAS UNION ENTERPRISE Bryan Go Accumulate M 2.830 2.530 11.9%

SC GLOBAL DEVELOPMENTS LTD Bryan Go Neutral U 1.000 0.980 2.0%

CAPITALAND LTD Bryan Go Accumulate M 3.270 3.120 4.8%

CDL HOSPITALITY TRUSTS Travis Seah Accumulate D 2.000 2.010 -0.5%

PARKWAYLIFE REAL ESTATE Travis Seah Neutral D 2.010 1.995 0.8%

SABANA SHARIAH COMP IND REIT Travis Seah Accumulate D 1.040 1.010 3.0%

US Stocks Coverage

Company Analyst RatingTarget Price

(US$)

Current

Price (US$)

Upside to

Target Price

(%)

BANK OF AMERICA CORP Magdalene Choong Neutral M - 7.430 -

CITIGROUP INC Magdalene Choong Neutral D - 27.400 -

LAS VEGAS SANDS CORP Magdalene Choong Neutral D 40.000 38.750 3.2%

WYNN RESORTS LTD Magdalene Choong Neutral D - 95.560 -

MGM RESORTS INTERNATIONAL Magdalene Choong Accumulate D 12.900 9.260 39.3%

Source: Phillip Securities Research Pte Ltd

Morning Note 17 August 2012

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Director / Substantial Shareholders’ Transactions

Company Substantial Shareholder / Director From (%) To (%)

SAN TEH LIMITED KAO SHIN PING 16.205 16.496

LH GROUP LIMITED Tan Yong Kee 0.99 0.94

ASPIAL CORPORATION LIMITED Koh Wee Seng 14.19 14.20

ES GROUP (HOLDINGS) LIMITED Low Chee Wee 21.31 21.35

Source: SGX Masnet

Morning Note 17 August 2012

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FTSE ST Breakdown (% Change)

STI 0.03%

-0.08%

1.21%

0.47%

0.23%0.11%

0.70%

0.32%

-0.49%

-0.36%

0.07%

2.22%

-1.50%

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 Technology0.49%

ST Healthcare

Source: Bloomberg

FTSE ST Market Cap. Breakdown (% Change)

Top Gainers Last Chg

0.65%

0.03% 0.28%

ST All Share

ST Fledgling

ST Small Cap

ST Mid Cap

STI

0.03%

0.06%

▲APB 50.490 0.340

▲Venture 7.890 0.100

▲Capitaland 3.070 0.050

Top Losers Last Chg

▼JMH 400US$ 53.650 -0.430

▼CITYDEV 11.450 -0.380

▼DBS 14.620 -0.360

Top Volume Last Vol

▲Genting SP 1.310 96,846

▼Noble Grp 1.230 90,263

▲GoldenAgr 0.710 71,983

TURNOVER (SHARES) 1,988,577,770

TURNOVER (S$) 1,433,287,188

UP 223

DOWN 137

UNCHANGED 431

Source: Bloomberg

Source: SGX

Morning Note 17 August 2012

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Source: Bloomberg

Major World Indices

JCI 0.45% 4,160.51

HSI -0.45% 19,962.95

KLCI -0.22% 1,650.09

NIKKEI 0.32% 9,121.72

KOSPI 0.14% 1,960.63

SET -0.20% 1,224.40

SHCOMP -0.32% 2,112.20

SENSEX -0.40% 17,657.21

ASX 1.14% 4,330.17

FTSE 100 0.03% 5,834.51

DOW 0.65% 13,250.11

S&P 500 0.71% 1,415.51

NASDAQ 1.04% 3,062.39

COLOMBO -0.63% 4,908.72

STI 0.03% 3,062.89

ETF % Change Change Last

DB X-TRACKERS CSI300 ETF -0.42 -0.03 7.16

DB X-TRACKERS FTSE CHINA 25 -1.34 -0.36 26.42

DB X-TRACKERS FTSE VIETNAM +0.56 +0.13 23.43

DB X-TRACKERS MSCI INDONE +1.08 +0.16 14.97

DB X-TRACKERS MSCI JAPAN TRN +0.68 +0.24 35.33

DB X-TRACKERS S&P 500 INV DA -0.72 -0.26 36.06

DB X-TRACKERS S&P CNX NIFTY +0.38 +0.37 98.41

ISHARES MSCI INDIA INDEX ETF +1.45 +0.08 5.58

LYXOR ETF CHINA ENTERPRISE -1.77 -0.23 12.77

LYXOR ETF COMMODITIES CRB-CD +1.78 +0.05 2.86

LYXOR ETF MSCI INDIA -0.24 -0.03 12.36

SPDR GOLD TRUST +0.56 +0.87 155.70

SPDR STRAITS TIMES INDEX ETF +0.65 +0.02 3.11

UNITED SSE 50 CHINA ETF +2.60 +0.04 1.58

ETF Performance

Source: Bloomberg

Morning Note 17 August 2012

10 of 16

Commodities % Chg Chg Last Price of S$1 Price of US$1

GOLD SPOT (US$/OZ) +0.10 +1.60 1,615.10 0.7612 1.0516

SILVER SPOT (US$/OZ) +0.06 +0.02 28.22 0.7901 0.9873

WTI Cushing Crude Oil Spot Price (US$/bbl) +1.35 +1.27 95.60 0.6475 1.2361

0.5086 1.5737

0.8003 1.0000

Commodities % Chg Chg Last 5.0960 6.3673

Malaysian Rubber Board Standard (MYR/kg) +0.86 +6.50 759.75 6.2080 7.7567

PALM OIL (MYR/Metric Tonne) +0.18 +5.00 2,723.00 63.4500 79.2700

907.1635 1133.4100

Index % Chg Chg Last 2.5054 3.1304

DOLLAR INDEX SPOT +0.04 +0.04 82.39 25.1881 31.4600

Source: Bloomberg

CANADIAN DOLLAR

EURO

BRITISH POUND

Currencies

AUSTRALIAN DOLLAR

Commodities & Currencies

JAPANESE YEN

KOREAN WON

MALAYSIAN RINGGIT

THAI BAHT

US DOLLAR

CHINA RENMINBI

HONG KONG DOLLAR

Maturity Today Yesterday Last Week Last Month

3 Months 0.06 0.06 0.09 0.07

6 Months 0.12 0.13 0.13 0.13

2 Years 0.29 0.28 0.27 0.23

3 Years 0.42 0.41 0.38 0.33

5 Years 0.82 0.80 0.73 0.62

10 Years 1.84 1.81 1.65 1.51

30 Years 2.95 2.92 2.76 2.60

Yield Spread (10 yrs - 3 mths)

Yield Spread (10 yrs - 2 yrs)

US Treasury Yields

1.78

1.55

Source: Data provided by ValuBond – http://w w w .valubond.com

EX Date Company Type Net Amount Currency Frequency Record Date Payout Date

8/17/2012 TRANSIT-MIXED CONCRETE LTD Final 0.0100 SGD Semi-Anl 8/22/2012 9/7/2012

8/17/2012 ELEC & ELTEK INT CO LTD Interim 0.0900 USD Semi-Anl 8/22/2012 9/6/2012

8/17/2012 UNITED OVERSEAS INSURANCE Interim 0.0300 SGD Semi-Anl 8/22/2012 9/3/2012

8/17/2012 RICKMERS MARITIME Distribution 0.0060 USD Quarter 8/22/2012 9/5/2012

8/17/2012 PETRA FOODS LTD Interim 0.0211 USD Semi-Anl 8/22/2012 N.A.

8/17/2012 PERENNIAL CHINA RETAIL TRUST Distribution 0.0190 SGD Semi-Anl 8/22/2012 9/12/2012

8/17/2012 COMFORTDELGRO CORP LTD Interim 0.0290 SGD Semi-Anl 8/22/2012 8/31/2012

8/17/2012 PSL HOLDINGS LTD Regular Cash 0.0010 SGD Annual 8/22/2012 N.A.

8/17/2012 ABR HOLDINGS LTD Special Cash 0.3000 SGD Semi-Anl 8/22/2012 9/7/2012

8/17/2012 SINGAPORE TECH ENGINEERING Interim 0.0300 SGD Semi-Anl 8/22/2012 9/13/2012

8/17/2012 COMFORTDELGRO CORP LT-ES1208 Interim 0.0290 SGD Irreg 8/22/2012 8/31/2012

8/21/2012 GREAT EASTERN HOLDINGS LTD Interim 0.1000 SGD Semi-Anl 8/23/2012 9/5/2012

8/21/2012 INNOVALUES LTD Interim 0.0060 SGD Annual 8/23/2012 9/12/2012

8/21/2012 STX OSV HOLDINGS LTD Special Cash 0.1300 SGD Semi-Anl 8/23/2012 9/10/2012

Corporate Action : Dividend

Source: Bloomberg

Morning Note 17 August 2012

11 of 16

Name Expected Report Date

Chosen Holdings Ltd 8/17/2012

Brothers Holdings Ltd 8/17/2012

Union Steel Holdings Ltd 8/17/2012

British & Malayan Trustees Ltd 8/17/2012

Ley Choon Group Holdings Ltd 8/17/2012

Mary Chia Holdings Ltd 8/17/2012

Kitchen Culture Holdings Ltd 8/17/2012

Next-Generation Satellite Communications Ltd 8/17/2012

WE Holdings Ltd 8/17/2012

S I2I Ltd 8/17/2012

Intelligent Communication Enterprise Corp 8/17/2012

Miclyn Express Offshore Ltd 8/20/2012

Meiban Group Ltd 8/21/2012

Wee Hur Holdings Ltd 8/21/2012

Wee Hur Holdings Ltd 8/21/2012

Capital Drilling Ltd 8/21/2012

SciGen Ltd 8/22/2012

Zingmobile Group Ltd 8/22/2012

FJ Benjamin Holdings Ltd 8/22/2012

Guangzhao Industrial Forest Biotechnology Group Ltd 8/22/2012

Singapura Finance Ltd 8/22/2012

Koon Holdings Ltd 8/22/2012

Saizen REIT 8/23/2012

Digiland International Ltd 8/23/2012

Avi-Tech Electronics Ltd 8/23/2012

Santak Holdings Ltd 8/23/2012

Lion Teck Chiang Ltd 8/23/2012

Tiong Woon Corp Holding Ltd 8/23/2012

Kian Ann Engineering Ltd 8/24/2012

Goldtron Ltd 8/24/2012

PEC Ltd 8/24/2012

Ryobi Kiso Holdings Ltd 8/24/2012

Sin Ghee Huat Corp Ltd 8/24/2012

Ellipsiz Ltd 8/24/2012

Plato Capital Ltd 8/24/2012

Ausgroup Ltd 8/24/2012

HupSteel Ltd 8/24/2012

LC Development Ltd 8/24/2012

Lantrovision Singapore Ltd 8/24/2012

Eu Yan Sang International Ltd 8/24/2012

Teho International Inc Ltd 8/24/2012

Koda Ltd 8/24/2012

Hartaw an Holdings Ltd 8/24/2012

Magnus Energy Group Ltd 8/24/2012

Goodpack Ltd 8/24/2012

GuocoLand Ltd 8/24/2012

Gems TV Holdings Ltd 8/24/2012

Jaya Holdings Ltd 8/24/2012

Metech International Ltd 8/24/2012

Sin Heng Heavy Machinery Ltd 8/24/2012

Lasseters International Holdings Ltd 8/24/2012

Elite KSB Holdings Ltd 8/24/2012

Mclean Technologies Bhd 8/24/2012

Lum Chang Holdings Ltd 8/24/2012

Health Management International Ltd 8/24/2012

Epicentre Holdings Ltd 8/24/2012

GRP Ltd 8/24/2012

St James Holdings Ltd/Singapore 8/24/2012

Earning Announcement – Singapore

Morning Note 17 August 2012

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Date Statistic For Survey Prior Date Statistic For Survey Prior

8/17/2012 U. of Michigan Confidence Aug P 72.3 72.3 8/17/2012 Electronic Exports (YoY) Jul 0.60% 1.60%

8/17/2012 Leading Indicators Jul 0.20% -0.30% 8/17/2012 Non-oil Domestic Exports (YoY) Jul 5.00% 6.80%

8/20/2012 Chicago Fed Nat Activity Index Jul -- -0.15 8/17/2012 Non-oil Domestic Exp SA (MoM) Jul -5.60% 6.70%

8/22/2012 MBA Mortgage Applications 17-Aug -- -4.50% 8/23/2012 CPI (MOM) - NSA Jul -- 0.00%

8/22/2012 Existing Home Sales Jul 4.50M 4.37M 8/23/2012 CPI (YoY) Jul -- 5.30%

8/22/2012 Existing Home Sales MoM Jul 3.00% -5.40% 8/23/2012 Automobile COE Open Bid Cat A 23-Aug -- 73501

8/23/2012 Minutes of FOMC Meeting 8/23/2012 Automobile COE Open Bid Cat B 23-Aug -- 94502

8/23/2012 Initial Jobless Claims 18-Aug -- -- 8/23/2012 Automobile COE Open Bid Cat E 23-Aug -- 95034

8/23/2012 Continuing Claims 11-Aug -- -- 8/24/2012 Industrial Production MoM SA Jul -- 3.90%

8/23/2012 Markit US PMI Preliminary Aug -- -- 8/24/2012 Industrial Production YoY Jul -- 7.60%

8/23/2012 Bloomberg Consumer Comfort 19-Aug -- -- 8/31/2012 Credit Card Bad Debts Jul -- 18.0M

8/23/2012 House Price Purchase Index QoQ 2Q -- 0.60% 8/31/2012 Credit Card Billings Jul -- 3188.3M

8/23/2012 New Home Sales Jul 362K 350K 8/31/2012 Bank Loans & Advances (YoY) Jul -- 20.90%

8/23/2012 House Price Index MoM Jun -- 0.80% 8/31/2012 M1 Money Supply (YoY) Jul -- 6.60%

8/23/2012 New Home Sales MoM Jul 3.40% -8.40% 8/31/2012 M2 Money Supply (YoY) Jul -- 6.50%

Source: Bloomberg

US Singapore

Economic Announcement

Source: Bloomberg

Morning Note 17 August 2012

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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. The information contained in this publication has been obtained from public sources, which Phillip Securities Research has no reason to believe are unreliable and any analysis, forecasts, projections, expectations and opinions (collectively, the “Research”) contained in this publication are based on such information and are expressions of belief of the individual author or the indicated source (as applicable) only. Phillip Securities Research has not verified this information and no representation or warranty, express or implied, is made that such information or Research is accurate, complete, appropriate or verified or should be relied upon as such. Any such information or Research contained in this publication is subject to change, and Phillip Securities Research shall not have any responsibility to maintain or update the information or Research made available or to supply any corrections, updates or releases in connection therewith. In no event will 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, (i) be liable in any manner whatsoever for any consequences (including but not limited to any special, direct, indirect, incidental or consequential losses, loss of profits and damages) of any reliance or usage of this publication or (ii) accept any legal responsibility from any person who receives this publication, even if it has been advised of the possibility of such damages. You must make the final investment decision and accept all responsibility for your investment decision, including, but not limited to your reliance on the information, data and/or other materials presented in this publication. Any opinions, forecasts, assumptions, estimates, valuations and prices contained in this material are as of the date indicated and are subject to change at any time without prior notice. Past performance of any product referred to in this publication is not indicative of future results. This report does not constitute, and should not be used as a substitute for, tax, legal or investment advice. This publication should not be relied upon exclusively or as authoritative, without further being subject to the recipient’s own independent verification and exercise of judgment. The fact that this publication has been made available constitutes neither a recommendation to enter into a particular transaction, nor a representation that any product described in this material is suitable or appropriate for the recipient. Recipients should be aware that many of the products, which may be described in this publication involve significant risks and may not be suitable for all investors, and that any decision to enter into transactions involving such products should not be made, unless all such risks are understood and an independent determination has been made that such transactions would be appropriate. Any discussion of the risks contained herein with respect to any product should not be considered to be a disclosure of all risks or a complete discussion of such risks. Nothing in this report shall be construed to be an offer or solicitation for the purchase or sale of any product. Any decision to purchase any product mentioned in this research should take into account existing public information, including any registered prospectus in respect of such product.

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

Morning Note 17 August 2012

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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.

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Contact Information (Singapore Research Team)

Chan Wai Chee Lee Kok Joo, CFA Joshua Tan CEO, Research Head of Research Macro Strategist

Special Opportunities S-Chips, Strategy Global Macro, Asset Strategy +65 6531 1231 +65 6531 1685 +65 6531 1249

yebo@phillip.com.sg leekj@phillip.com.sg joshuatan@phillip.com.sg

Magdalene Choong, CFA Go Choon Koay, Bryan Derrick Heng Investment Analyst Investment Analyst Investment Analyst

Gaming, US Property Transportation, Telecom. +65 6531 1791 +65 6531 1792 +65 6531 1221

magdalenechoongss@phillip.com.sg gock@phillip.com.sg derrickhengch@phillip.com.sg

Ken Ang Travis Seah Research Assistant Investment Analyst Investment Analyst General Enquiries

Financials REITS +65 6531 1240 (Phone) +65 6531 1793 +65 6531 1229 +65 6336 7607 (Fax)

kenangwy@phillip.com.sg travisseahhk@phillip.com.sg research@phillip.com.sg

Ng Weiwen Roy Chen Macro Analyst Macro Analyst

Global Macro, Asset Strategy Global Macro, Asset Strategy +65 6531 1735 +65 6531 1535

ngww@phillip.com.sg roychencz@phillip.com.sg

Morning Note 17 August 2012

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Contact Information (Regional Member Companies)

SINGAPORE

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250, North Bridge Road #06-00 Singapore 179101

Tel : (65) 6533 6001 Fax : (65) 6535 6631

Website: www.poems.com.sg

MALAYSIA

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Kuala Lumpur Tel (603) 21628841 Fax (603) 21665099

Website: www.poems.com.my

HONG KONG

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11/F United Centre 95 Queensway Hong Kong

Tel (852) 22776600 Fax (852) 28685307

Websites: www.phillip.com.hk

JAPAN

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Website:www.phillip.co.jp

INDONESIA

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Jl Jend Sudirman Kav 33A Jakarta 10220 – Indonesia

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CHINA

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Ocean Tower Unit 2318, Postal code 200001

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THAILAND

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849 Silom Road, Silom, Bangrak, Bangkok 10500 Thailand

Tel (66-2) 6351700 / 22680999 Fax (66-2) 22680921

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FRANCE

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

Paris France Tel (33-1) 45633100 Fax (33-1) 45636017

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UNITED KINGDOM

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

120 Cannon Street, London, EC4N 6AS

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UNITED STATES

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AUSTRALIA

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