Asian Consumers. Opportunity Abounds in The North. The highlights of this update are:

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1 23 November 2012 SINGAPORE EQUITY Investment Research DMG & Partners Research Sector Update Private Circulation Only CONSUMER Tan Han Meng, CFA, CPA Asian Consumers Hong Kong Research Indonesia Research Malaysia Research Thailand Research Opportunity Abounds in The North Counters with excellent price resilience returned an average of +5%, outperforming the MSCI Asia s consumer indices for the October to mid-november period. We observe that the 3QCY12 results of consumer stocks within our coverage continued to be mixed, with more than a third of them falling below expectations. In line with our previous observation of an improving risk-reward trade-off for consumers counters in Hong Kong vis-a-vis their Southeast Asian peers, our coverage in the territory gained an average +9%. We believe their valuations are undemanding and highlight some ideas in this report. The highlights of this update are: Our consumer team issued some 40 post-results notes for the current reporting season, during which there were 15 misses vs 11 positive surprises. In terms of percentage, it was 27% above, 35% within and 38% below expectations (2QCY12 numbers were 18%, 5 and 32% respectively). In Thailand, we saw some 4 earnings disappointment within our consumer coverage, notably Charoen Pokphand Foods and Oishi, and our coverage now trades at an average of 20x FY13f PE, or more than double that of its Hong Kong peers. Summary Consumer stocks under OSK Hong Kong s coverage has gained an average of 14% over the past three months and we believe valuation remains attractive at 8x PE. Notably, among our recent intiations, luxury watch retailer Hengdeli (USD1.6bn market cap) and TV makers Skyworth (USD1.6bn) and TCL (USD0.8bn) are trading at compelling FY13f PE of 10x, 6x and 6x respectively. For Indonesia, we see mid low-end department store operator Ramayana as a potential beneficiary in the long run following a recent 40+% minimum wage hike in Jakarta. At USD0.9bn market cap, this stock currently trades at an undemanding 17x FY13 PE, which compares favourably to the average 20x of its peers. We also like Malindo Feedmill in light of increasing poultry consumption. Its 9M12 net profit account for 97% of OSK's previous estimates, and its valuation remains attractive at 8x FY13 PER, with some 6 upside potential to our IDR3,000 TP. Code Company Price Mkt Cap 3MAVol P/E (x) P/B (x) Yield (%) ROE (%) Analyst 21Nov USDm USDm 12E 13E 12E 13E 12E 13E 12E 13E 751 HK SKYWORTH DIGITAL , Robert Wang 3389 HK HENGDELI HOLDING , Ethel Ng 1070 HK TCL MULTIMEDIA T Robert Wang RALS IJ RAMAYANA LESTARI Andrey Wijaya MAIN IJ MALINDO FEEDMILL Yuniv Trenseno GUIN MK GUINNESS ANCHOR , Gan Jian Bo CAB MK CARLSBERG BREWER , Gan Jian Bo QLG MK QL RESOURCES BHD Msia Research OTB MK OLDTOWN Danny Chan OSIM SP OSIM INTL LTD Melissa Yeap CPN TB CENTRAL PATTANA , Chalie Kueyen MINT TB MINOR INTERNATIO , Chalie Kueyen TVO TB THAI VEGETABLE Thai Research PM TB PREMIER MARKET Thai Research Average 1, Source: Blomberg and OSKDMG estimates DMG & Partners Securities Pte Ltd may have received compensation from the companies covered in this report for its corporate finance or its dealing activities; this report is therefore classified as a non-independent report. Please refer to important disclosures at the end of this publication. of this publication 1

2 Nov-07 Jan-08 Mar-08 May-08 Jul-08 Sep-08 Nov-08 Jan-09 Nov-07 Jan-08 Mar-08 May-08 Jul-08 Sep-08 Nov-08 Jan-09 Mar-08 May-08 Jul-08 Sep-08 Nov-08 Jan-09 Mar-09 Mar-08 May-08 Jan-08 Mar-08 May-08 Jul-08 Sep-08 Nov-08 Jan-09 Mar-09 Jul-08 Sep-08 Nov-08 Jan-09 Mar-09 Jan-08 Mar-08 May-08 Jul-08 Sep-08 Nov-08 Jan-09 Mar-09 Other country picks include Carlsberg, Guinness Anchor, Oldtown and QL Resources in Malaysia; OSIM in Singapore; and Central Pattana, Minor International, Premier Marketing and Thai Vegetable Oil in Thailand. Price-resilient names continue their climb Since August, we have liked consumer names with excellent price-resilience to minimise the possible downside risks given the uncertain macro outlook. In the October to mid-november period, these counters gained an average of +5%, which compares favourable to the +0.2% and -2.5% registered by the MSCI AC Asia Ex-Japan Consumer Staples and Consumer Discretionary respectively. Figure 1: Selected counters returns from October to 21 November (%) Company Price Oct- Mkt 3MAvg P/E (x) P/B (x) Yield (%) Analyst MTD 21Nov % USDm USDm 12E 13E 12E 13E 12E 13E WANT WANT CHINA , Unrated* TINGYI HLDG CO , Unrated* VITASOY INTL HLD , Unrated* UNILEVER IND TBK , Unrated* MALINDO FEEDMILL Yuniv Trenseno ARWANA CITRAMULI Andrey Wijaya BRIT AMER TOBACC , Gan Jian Bo NESTLE (MALAY) , Msia Research GUINNESS ANCHOR , Gan Jian Bo QL RESOURCES BHD Msia Research AMWAY MALAYSIA H Msia Research JT INTERNATIONAL Gan Jian Bo DAIRY FARM , Unrated* CP ALL PCL , Han Meng Tan THAI VEGETABLE Thai Research Focus on priceresilient names aimed at minimising the downside risk has been rewarding Removing OISHI GROUP PCL Chalie Kueyen Average - Overall 4.6 6, Average ex-oishi 6.9 6, MXASJCD Index MXASJCS Index *Consensus estimates Figure 2: HK stocks vs HSI Hsi HK HK HK 2008 Figure 3: Msia stocks vs KLCI 2008 A Figure 4: Msia stocks vs KLCI 2008 B FBMKLCI 2008 GUIN MK 2008 RJR MK 2008 ROTH MK 2008 Figure 5: Indon stocks vs JCI 2008 Figure 6: Thai stocks vs SET 2008 A JCI 2008 ARNA IJ 2008 MAIN IJ 2008 UNVR IJ SET 2008 TVO TB FBMKLCI 2008 NESZ MK 2008 QLG MK 2008 AMW MK 2008 Figure 7: Thai stocks vs SET 2008 B SET 2008 CPALL TB 2008 DCC TB 2008 OISHI TB

3 A mixed 3QCY12 results season so far The 3QCY12 reporting season has ended for most of the companies in Indonesia, Singapore and Thailand, although it is still ongoing for some of the companies in Hong Kong and Malaysia. To date, our consumer team has issued some 40 post-results notes, of which there were 15 misses vs 11 positive surprises. In terms of percentage, it was 27% above, 35% within and 38% below expectations. The comparable numbers for 2QCY12 numbers were 18%, 5 and 32% respectively. However, the forward PE valuation of our coverage remains high at 16x, or +1.3SD to its historical average of 13x. A mixed 3QCY12 so far 27% above, 35% within and 38% below expectations Figure 8: Hits and misses overall 38% 27% Figure 9: Forward PE for our coverage* % Above Inline Below *Top 10 companies by market capitalisation within our coverage from each office In Malaysia, five companies including British American Tobacco (M) (ROTH MK, SELL, RM56.22), Nestle (M) (NESZ MK, NEUTRAL, RM61.38) and QL Resources (QLG MK, BUY, RM4.05) have reported their 3QCY12 numbers so far, and all of them came in within expectations. Our coverage in Malaysia now trades at an average of 17x forward PE, which is at +2 SD to its 14x historical average. For Singapore, current results were mainly disappointing, with 56% coming below expectations, (2QCY12: 5). Retailers Parkson Retail Asia (PRA SP, BUY, SGD1.77) and Eu Yan Sang (EYSAN SP, SELL, SGD0.57) continued to disappoint. The former faced slower than expected spending in Vietnam, while the latter had to deal with softer sales and higher operating costs. On average, our coverage is at 14x forward PE, which is in line with its historical average. Figure 10: Hits and misses Malaysia Figure 11: Hits and misses Singapore Results in Malaysia were all within expectations so far (2QCY12: 13% above, 58% within and 29% below expectations) 56% 22% 22% 10 In Singapore, results were 22% above, 22% within and 56% below expectations (2QCY12: 3 above, within and 5 below expectations) Above Inline Below Figure 12: Forward PE Malaysia* *Top 10 companies by market capitalisation within our coverage Above Inline Below Figure 13: Forward PE Singapore*

4 Jan-11 Mar-11 May-11 Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12 Jul-12 Sep-12 Jan-11 Mar-11 May-11 Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12 Jul-12 Sep-12 Overview on Indonesia Retail sales and consumer confidence readings are at their peaks for this year Economic update Retail sales in Indonesia strengthened by 22% y-o-y in September 2012, lifting average growth YTD to 14%. Consumer confidence in October continued to trend up and reached its highest point this year at (and the second highest from available data since 2002). Bouyed by consumption and investment spending, the economy grew by 6.17% y-o-y in 3Q12. Our economists foresee upside to our 4Q12 GDP forecast of 6. from the robust domestic demand. We note that the minimum monthly wage in Jakarta will increase by 40+% from IDR1.5m to IDR2.2m in Figure 14: Consumer confidence Indonesia 125 Ind Consumer Conf Figure 15: Retail sales Indonesia 25% ID Retail Sales YoY 15% % -5% Source: Bloomberg, CEIC, and OSK DMG estimates -1 Results within expectations Most of the results in Indonesia came in within expectations, save for a few exceptions including Malindo Feedmill that outperformed our expectations Malindo Feedmill (MAIN IJ BUY IDR3,000), a producer for poultry feed, day-old chicks and chicken meat, saw its 9M12 results coming in above our forecast, with net income at IDR267bn (+76% y-o-y or -27% q-o-q) while revenue were healthily in line at IDR2.5trn (+28% y-o-y or -2% q- o-q), accounting for 97% and 77% of our FY12 estimates respectively 3Q DOC operation performance was better than our expectation, supported by high prices in the first month of 3Q. In 4Q, feed operation should do better as a series of gradual monthly ASP adjustment will be fully monetized. We reiterate our BUY recommendation for MAIN, which is our top pick in the poultry industry, with a new target price at IDR3,000, implying 12.5x FY13 PE. We are changing our forecast based on the stronger than expected industry and company performance until 9M12, with a positive view on the industry s future. We continue to like MAIN for its above industry growth potential and highly appealing valuation as it is currently trading at only 6.8x FY13 PE. Valuation On a rolling basis, the top 10 companies by market cap within our coverage are trading at an average of 17x PE that is at +1 SD to the historical average of 13x. In Indonesia, results were 25% above, 5 within and 25% below expectations (2QCY12: 8%, 77% and 15% respectively) Figure 16: Hits and misses Indonesia 25% 5 25% Above Inline Below *Top 10 companies by market capitalisation within our coverage Figure 17: Forward PE Indonesia, our coverage*

5 Jan-11 Mar-11 May-11 Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12 Jul-12 Sep-12 Jan-11 Mar-11 May-11 Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12 Jul-12 Overview on Thailand Retail sales grew 14% in August and consumer confidence improved to 77.8 in October, although still below the 2011 pre-flood levels. Economic update Retail sales in Thailand grew at a healthy pace of 14% y-o-y in August 2012, close to its 13% average growth YTD. After dipping for the past three months to a low of 77.0 in September, consumer confidence improved to 77.8 in October. However, the readings so far this year are still below the pre-flood levels in The Thai economy expanded by 3. in 3Q12 from an upwardly revised 4.4% in 2Q12. This was in line with market expectations but slightly lower than the 3.5% our economists were expecting as the robust domestic demand was partially offset by weaknesses on the external front. Figure 18: Consumer Confidence Thailand 9 TH Consumer Conf Figure 19: Retail Sales Thailand 3 TH Retail Sales YoY Source: Bloomberg, CEIC, and OSK DMG estimates -3 Mixed results Thailand saw a mixed results season, with some 4 earnings disappointments. Notably, Oishi (OISHI TB, NEUTRAL, THB190) fell unexpectedly into the red as its operations took longer than expected to recover from the 2011 flood. In addition, Charoen Pokphand Foods saw steep margin compression arising from soft selling prices and escalating raw material prices Charoen Pokphand Foods (CPF TB, SELL, TP THB24.00), a leading meat producer in Thailand, reported recurring 3Q12 net profit of THB1.3bn (-74% y-o-y, -52% q-o-q) that fell way short of our THB3.8bn forecast due to the worse-than-expected gross profit margin erosion in its farm business. Although meat prices have recovered from their lows in October, the anticipated positive impact on margins is likely be mitigated by higher input costs until 1H13. We cut our FY12-FY13 GPM assumptions to 12.6%-13.4%, which reduces our recurring earnings estimates by 39%-23% to THB7.6bn-THB13.3bn respectively. We expect recurring earnings in the seasonally weak 4Q to disappoint at THB1.2bn, or down 39% y-o-y. In view of the limited price visibility going into 2013, we find the company s risk-reward profile not enticing at 34x-20x FY12-FY13 PEs. We retain our non-consensus SELL at a THB24.00 TP, pegged to a 14x FY13 PE. Valuation On a rolling basis, the top 10 companies by market capitalisation within our coverage are trading at an average of 23x PE that is at +2.6 SD to the historical average of 12x. We deem the risk-reward trade-off as unfavourable on concerns over earnings outlook, following the 4 earnings disappointment in 3QCY12. In Thailand, results were 39% above, 17% within and 44% below expectations (2QCY12: 8%, 67% and 25% respectively) Figure 20: Hits and misses Thailand 44% *Top 10 companies by market capitalisation within our coverage Source: Bloomberg and See OSK DMG important estimates disclosures at the end of this publication 17% 39% Above Inline Below Figure 21: Forward PE Thailand, our coverage*

6 Jan-11 Mar-11 May-11 Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12 Jul-12 Sep-12 Jan-11 Mar-11 May-11 Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12 Jul-12 Sep-12 Overview on China/Hong Kong Economic update Retail sales in China grew at a healthy pace of 14% y-o-y in October 2012, close to its 14% average growth YTD. After dipping to a low of 98.2 in July, consumer confidence improved sharply to in October. Figure 22: Consumer confidence PRC PRC Consumer Conf Figure 23: Retail sales PRC 25% CN Retail Sales YoY 15% 1 5% Source: Bloomberg, CEIC, and OSK DMG estimates OSK Hong Kong introduces two names that would ride on TV replacement cycle in China. The two have market capitalisation of USD1.6bn and USD0.8bn respectively, and trade at an attractive 6x FY13f PER each, - Skyworth Digital (751 HK, BUY, HKD5.65). We initiate coverage on Skyworth Digital (Skyworth) with a BUY call and TP of HKD5.65 (28% potential upside). Based on 1H2012 LCD TV shipments, Skyworth is China's 2 nd largest TV maker and world's 9th largest. It recently reported strong October TV shipments of 0.97m units, up 25.3% y-o-y. TV shipments hit 6.0m (+16.6% y-o-y) in 7MFY3/13 (Apr-Oct 2012) and are on track to achieve our full-year forecast of 10.8m (+16.4% y-o-y). Skyworth's strength lies in its: i) strong technology and innovation capabilities, especially in China's high-end TV market, ii) ongoing sales mix optimization towards higher priced TVs, and iii) an extensive distribution network in the faster-growing lower-tier cities. Our TP is based on 8x FY3/14 i) similar to the 8x FY12/13F we have set for its HK-listed rival TCLM (1070HK, BUY, TP: HKD5.86), and ii) a 18.4% discount to China s TV sector s 9.8x FY13 (Bloomberg consensus).... We expect potential share drivers to be i) the continual strong monthly shipment data, and ii) upgrades to the current conservative FY3/14F and FY3/15F street estimates. - TCL Multimedia (1070 HK, BUY, HKD5.86) is ranked no.1 in China and no.4 globally in terms of total shipments of all types of TVs in 1H12. TCLM released another stellar set of October data total LCD TV shipments rose 39.1% y-o-y (Sep: +43.8%) to 1.33m units. 10M12 unit sales increased by 5% y-o-y and accounted for 79.6% (10M11: 74.8%) of our FY12F unit sales of 15.3m units (+40.7% y-o-y). With two months of the traditional peak period remaining, it is likely that TCLM s shipments will comfortably meet our full-year target. Along with stronger domestic shipments growth, higher priced smart TVs in October comprised 30.5% of the total LCD TV shipments vs. 29.9% in September. TCLM s shares currently trade at an undemanding 7x/6x FY12F/13s, which despite superior forecast growth rates, are below Skyworth's (751HK, NR) 7.3x FY3/13F and China TV sector s 12.3x. It also offers a decent 4.7% FY12F dividend yield. Our TP for the counter is unchanged at HKD5.86 (8x FY13). We see TCLM s upcoming release of an optimistic 2013 shipment forecast to be a re-rating catalyst as the street s estimates are too conservative in our view. 6

7 We also note an interesting thesis for a luxury watch retailer, - Hengdeli Holdings (3389 HK, BUY, HKD3.20) is the largest watch retailer of international renowned brands in China and Greater China, with a 37% share in the mid-luxury watch retail market in Mainland China. Management revealed that 3Q12 sales recorded double-digit growth y-o-y, an improvement from the 6.3% y-o-y growth in 1H12. The growth was mainly fuelled by stronger mid-end sales in China. Sales in Hong Kong (25% of Hengdeli s 1H12 sales revenue), which focuses on high-end watches, are still in negative territory y-o-y. We expect the improvement in Hengdeli's sales performance in 3Q12 to continue. We remain bullish on Hengdeli for its: i) leadership position in HK/China s mid-luxury watch retail industry, ii) extensive product range, and iii) strong presence in China's lower tier cities. Stock impact: Positive. We expect the market to continue to react favourably to Hengdeli's better 3Q12 sales performance. The counter is currently trading at 12.4x FY12F and 10.7x FY13R. We reiterate our BUY rating on the counter with an unchanged TP of HKD3.20, based on 12x FY13R, 1 SD below its past five-year forward mean. Valuation On a rolling basis, the top 10 companies by market cap within our HK coverage are trading at an average of 10x PE that is below -0.5SD to the historical average of 13x. Figure 24: Forward PE HK* Jan-08 Jul-08 Jan-09 Jul-09 Jan-10 Jul-10 Jan-11 Jul-11 Jan-12 Jul-12 *Top 10 companies by market capitalisation within our coverage 7

8 Risk-reward trade-off remains attractive for HK consumer stocks The forward PEs of the 55 common component stocks of regional consumer indices that we track average around 17x, which is near +1 SD to their historical mean of 15x. Consumer names in Indonesia, Malaysia and Thailand remained above their +1 SD levels respectively in September, while those in Singapore were near their historical average and Hong Kong s remained at -0.5 SD. The PE valuation spread between Hong Kong and Thailand consumer counters has narrowed to 6.5 from 7.1 in September. We see attractive risk-reward trade-off for consumer names listed in the territory compared with their Southeast Asian peers. Figure 25: Forward PE spread between Hong Kong and Thailand s consumer stocks - - For the key indices stocks, Indonesian, Malaysian and Thai counters are above +1 SD of their respective PE means, while those in Singapore are at their historical average and HK at SD. -1 Jan-02 Dec-02 Nov-03 Oct-04 Sep-05 Aug-06 Jul-07 Jun-08 May-09 Apr-10 Mar-11 Feb-12 Figure 26: Forward PE HK Figure 28: Forward PE MY Figure 30: Forward PE TH Figure 27: Forward PE - ID Figure 29: Forward PE SG Figure 31: Forward PE ALL Note: Sample of some 55 stocks HK 22, Indo 12, MY 11, SG 4, TH 6, with average USD5.1bn market cap as of July

9 Other country picks include: For the big caps, OSK Thailand highlights Central Pattana (CPN TB, BUY, THB90) a manager for 19 shopping malls with total leaseble area of 1.0m sqm as its impressive 3Q12 earnings would likely trigger a new round of valuation rerating, particularly in anticipation of the high seasonal earnings in 4Q. Increasing its rental rates/sqm will enable CPN to keep revenue and earnings growth accelerated in the long run. Minor International (MINT TB, BUY, THB20) Thailand s largest hospitality and leisure company is expected to benefit from strong tourist arrivals, the breakeven of loss making units and an increase of rooms by 8.5% p.a. over the next four years. In addition, OSK Thailand offers two small-cap ideas, both at 9x FY13 PE, that might do well in 4Q12 and 1Q13. Premier Marketing (PM TB, BUY, THB8.80) a manufacturer and distributor of consumer products offers a yield of close to 8% for After its stock price corrected from its peak of THB27 level in August 2012 to THB23 currently, Thai Vegetable Oil (TVO TB, BUY, THB28.00) engages in soybean crushing and the distribution of soy meal and soybean oil now offers a yield of around 7.2%. Its 9MFY12 net profit of THB1.539bn beat our expectations and account for about 86% of our FY12 forecasts. While its 9MFY12 revenue was up 10.3% y-o-y, its net profit soared by 127% y-o-y, boosted by higher crushing margins following the increases in soybean oil and meal prices. 9

10 Figure 32: Hong Kong s valuation table: Part 1 Code Company Price Rec TP Mkt 3MAvg P/E (x) P/B (x) Yield (%) 21Nov USDm USDm 12E 13E 12E 13E 12E 13E 669 HK TECHTRONIC INDS BUY , HK ZHONGSHENG GROUP 9.75 NEUTRAL , HK BAOXIN AUTO GROU 5.65 BUY , HK SHENGUAN HOLDING 4.05 BUY , HK BIOSTIME INTERNA BUY , HK SKYWORTH DIGITAL 4.48 BUY , HK HENGDELI HOLDING 2.80 BUY , HK CHINA ZHENGTONG 8 BUY , HK CHINA YONGDA AUT 7.19 BUY , HK TRINITY LTD 5.37 NEUTRAL , HK TCL MULTIMEDIA T 4.55 BUY HK TIANNENG POWER 4.99 BUY HK CPMC HOLDINGS 5.48 BUY HK SUNNY OPTICAL 5.26 BUY HK CHINA LILANG LTD 4.23 BUY HK PRINCE FROG INTL 2.94 BUY HK REAL NUTRICEUTIC 2.53 NEUTRAL Na Na Na Na Na Na 873 HK INTERNATIONAL TA 2.36 BUY Na Na Na Na Na Na 82 HK VODONE LTD 0.72 SELL HK STELUX HLDG INTL 1.94 BUY HK ORIENTAL WATCH 2.48 NEUTRAL HK TANG PALACE HLDG 1.39 BUY Average 1, Figure 33: Hong Kong s valuation table: Part 2 Code Company Price Mkt 3MAvg ROE (%) Price Chg (%) Analyst 21Nov USDm USDm 12E 13E 1M 3M 1YR YTD 669 HK TECHTRONIC INDS , Jason Tan 881 HK ZHONGSHENG GROUP , Tan E Wuen 1293 HK BAOXIN AUTO GROU , Na Tan E Wuen 829 HK SHENGUAN HOLDING , Eva Lau 1112 HK BIOSTIME INTERNA , Eva Lau 751 HK SKYWORTH DIGITAL , Robert Wang 3389 HK HENGDELI HOLDING , Ethel Ng 1728 HK CHINA ZHENGTONG 8 1, Tan E Wuen 3669 HK CHINA YONGDA AUT , Na Na Tan E Wuen 891 HK TRINITY LTD , Ethel Ng 1070 HK TCL MULTIMEDIA T Robert Wang 819 HK TIANNENG POWER Niki Yeung 906 HK CPMC HOLDINGS Ethel Ng 2382 HK SUNNY OPTICAL Ky Ng 1234 HK CHINA LILANG LTD Ethel Ng 1259 HK PRINCE FROG INTL Eva Lau 2010 HK REAL NUTRICEUTIC Jason Siu 873 HK INTERNATIONAL TA Ethel Ng 82 HK VODONE LTD Billy Leung 84 HK STELUX HLDG INTL Ethel Ng 398 HK ORIENTAL WATCH Ethel Ng 1181 HK TANG PALACE HLDG Eva Lau Average 1,

11 Figure 34: Indonesia s valuation table: Part 1 Code Company Price Rec TP Mkt 3MAvg P/E (x) P/B (x) Yield (%) 21Nov USDm USDm 12E 13E 12E 13E 12E 13E ASII IJ ASTRA INTERNATIO 7700 BUY , GGRM IJ GUDANG GARAM TBK NEUTRAL , SMGR IJ SEMEN GRESIK TBK BUY , INTP IJ INDOCEMENT TUNGG BUY , CPIN IJ CHAROEN POK INDO 3120 BUY , INDF IJ INDOFOOD SUKSES 5550 BUY , ICBP IJ INDOFOOD CBP SUK 7200 BUY , MNCN IJ MEDIA NUSANTARA 2500 NEUTRAL , SCMA IJ SURYA CITRA MEDI 2300 NEUTRAL , Na Na Na Na Na Na MYOR IJ MAYORA INDAH BUY , IMAS IJ INDOMOBIL SUKSES 5250 BUY , JPFA IJ JAPFA COMFEED 5450 BUY , MAPI IJ MITRA ADIPERKASA 6800 BUY , IDKM IJ INDOSIAR KARYA M 1060 hold , Na Na Na Na Na Na RALS IJ RAMAYANA LESTARI 1200 BUY GJTL IJ GAJAH TUNGGAL 2220 BUY ROTI IJ NIPPON INDOSARI 6000 NEUTRAL SMSM IJ SELAMAT SEMPURNA 2470 BUY MASA IJ MULTISTRADA ARAH 380 NEUTRAL Na Na MAIN IJ MALINDO FEEDMILL 1940 BUY ARNA IJ ARWANA CITRAMULI 1470 BUY INDS IJ INDOSPRING TBK 4100 BUY MBTO IJ MARTINA BERTO TB 370 BUY Average 3, Figure 35: Indonesia s valuation table: Part 2 Code Company Price Mkt 3MAvg ROE (%) Price Chg (%) Analyst 21Nov USDm USDm 12E 13E 1M 3M 1YR YTD ASII IJ ASTRA INTERNATIO , Andrey Wijaya GGRM IJ GUDANG GARAM TBK , Willinoy Sitorus SMGR IJ SEMEN GRESIK TBK , Andrey Wijaya INTP IJ INDOCEMENT TUNGG , Andrey Wijaya CPIN IJ CHAROEN POK INDO , Yuniv Trenseno INDF IJ INDOFOOD SUKSES , Andrey Wijaya ICBP IJ INDOFOOD CBP SUK , Andrey Wijaya MNCN IJ MEDIA NUSANTARA , Andrey Wijaya SCMA IJ SURYA CITRA MEDI , Na Na Andrey Wijaya MYOR IJ MAYORA INDAH , Andrey Wijaya IMAS IJ INDOMOBIL SUKSES , Andrey Wijaya JPFA IJ JAPFA COMFEED , Yuniv Trenseno MAPI IJ MITRA ADIPERKASA , Andrey Wijaya IDKM IJ INDOSIAR KARYA M , Na Na Andrey Wijaya RALS IJ RAMAYANA LESTARI Andrey Wijaya GJTL IJ GAJAH TUNGGAL Yuniv Trenseno ROTI IJ NIPPON INDOSARI Andrey Wijaya SMSM IJ SELAMAT SEMPURNA Yuniv Trenseno MASA IJ MULTISTRADA ARAH Yuniv Trenseno MAIN IJ MALINDO FEEDMILL Yuniv Trenseno ARNA IJ ARWANA CITRAMULI Andrey Wijaya INDS IJ INDOSPRING TBK Yuniv Trenseno MBTO IJ MARTINA BERTO TB Lydia Suwandi Average 3,

12 Figure 36: Malaysia s valuation table: Part 1 Code Company Price Rec TP Mkt 3MAvg P/E (x) P/B (x) Yield (%) 21Nov USDm USDm 12E 13E 12E 13E 12E 13E ROTH MK BRIT AMER TOBACC SELL , NESZ MK NESTLE (MALAY) NEUTRAL , ASTRO MK ASTRO MALAYSIA 2.65 BUY ,501 Na UMWH MK UMW HLDG BHD 9.93 BUY , PKS MK PARKSON HOLDINGS 4.60 BUY , GUIN MK GUINNESS ANCHOR BUY , AEON MK AEON CO (M) BHD NEUTRAL , CAB MK CARLSBERG BREWER BUY , MSM MK MSM MALAYSIA 6 NEUTRAL , KFC MK KFC HLDGS MALAYS 3.96 NEUTRAL , TCM MK TAN CHONG MOTOR 4.38 BUY QLG MK QL RESOURCES BHD 3.16 BUY MPR MK MEDIA PRIMA BHD 2.43 NEUTRAL STAR MK STAR PUBLICATION 3.01 NEUTRAL AMW MK AMWAY MALAYSIA H NEUTRAL RJR MK JT INTERNATIONAL 6.97 BUY MBM MK MBM RESOURCES 3.41 BUY SYS MK SEG INTERNATIONA 2.00 NEUTRAL PAD MK PADINI HLDGS 2.02 NEUTRAL OTB MK OLDTOWN 1.87 BUY BON MK BONIA CORP BHD 2.45 BUY HAIO MK HAI-O ENTERPRISE 2.09 NEUTRAL DV MK DELLOYD VENTURES 3.29 BUY Na 0.7 Na 3.6 Na HELP MK HELP INTERNATION 2.00 NEUTRAL PRES MK PRESTARIANG BHD 1.23 BUY EKC MK ENG KAH CORP BHD 3.50 BUY Na MSH MK MULTI SPORTS HOL 0.32 BUY Average 1, Figure 37: Malaysia s valuation table: Part 2 Code Company Price Mkt 3MAvg ROE (%) Price Chg (%) Analyst 21Nov USDm USDm 12E 13E 1M 3M 1YR YTD ROTH MK BRIT AMER TOBACC , Gan Jian Bo NESZ MK NESTLE (MALAY) , Msia Research ASTRO MK ASTRO MALAYSIA ,501 Na Na Na Na KongHeng Siong UMWH MK UMW HLDG BHD , AhmadM Usman PKS MK PARKSON HOLDINGS , Msia Research GUIN MK GUINNESS ANCHOR , Gan Jian Bo AEON MK AEON CO (M) BHD , Msia Research CAB MK CARLSBERG BREWER , Gan Jian Bo MSM MK MSM MALAYSIA 6 1, Gan Jian Bo KFC MK KFC HLDGS MALAYS , Msia Research TCM MK TAN CHONG MOTOR AhmadM Usman QLG MK QL RESOURCES BHD Msia Research MPR MK MEDIA PRIMA BHD Msia Research STAR MK STAR PUBLICATION Msia Research AMW MK AMWAY MALAYSIA H Msia Research RJR MK JT INTERNATIONAL Gan Jian Bo MBM MK MBM RESOURCES AhmadM Usman SYS MK SEG INTERNATIONA KongHeng Siong PAD MK PADINI HLDGS Msia Research OTB MK OLDTOWN Danny Chan BON MK BONIA CORP BHD Msia Research HAIO MK HAI-O ENTERPRISE Msia Research DV MK DELLOYD VENTURES AhmadM Usman HELP MK HELP INTERNATION KongHeng Siong PRES MK PRESTARIANG BHD KongHeng Siong EKC MK ENG KAH CORP BHD Chaw Sook Ting MSH MK MULTI SPORTS HOL Msia Research Average 1,

13 Figure 38: Singapore s valuation table: Part 1 Code Company Price Rec TP Mkt 3MAvg P/E (x) P/B (x) Yield (%) 21Nov USDm USDm 12E 13E 12E 13E 12E 13E SPH SP SINGAP PRESS HGS 4.08 NEUTRAL , OLAM SP OLAM INTERNATION 1.70 BUY , SUPER SP SUPER GROUP LTD 3.12 NEUTRAL , OSIM SP OSIM INTL LTD 1.67 BUY PRA SP PARKSON RETAIL 1.35 BUY CFG SP CHINA FISHERY 0.68 BUY SSG SP SHENG SIONG GROU 0.49 BUY CAL SP CHINA ANIMAL HEA 0.25 NEUTRAL EYSAN SP EU YAN SANG INTL 0.59 SELL FJB SP FJ BENJAMIN 0.27 BUY HWA SP HTL INTL HLDGS 0.32 NEUTRAL AST SP ASIATRAVEL.COM 0.29 BUY Average Figure 39: Singapore s valuation table: Part 2 Code Company Price Mkt 3MAvg ROE (%) Price Chg (%) Analyst 21Nov USDm USDm 12E 13E 1M 3M 1YR YTD SPH SP SINGAP PRESS HGS , Joshua Low OLAM SP OLAM INTERNATION , LengSengChoon SUPER SP SUPER GROUP LTD , Han Meng Tan OSIM SP OSIM INTL LTD Melissa Yeap PRA SP PARKSON RETAIL Melissa Yeap CFG SP CHINA FISHERY Joshua Low SSG SP SHENG SIONG GROU Melissa Yeap CAL SP CHINA ANIMAL HEA Han Meng Tan EYSAN SP EU YAN SANG INTL Melissa Yeap FJB SP FJ BENJAMIN Lynette Tan HWA SP HTL INTL HLDGS Melissa Yeap AST SP ASIATRAVEL.COM Lynette Tan Average

14 Figure 40: Thailand s valuation table: Part 1 Code Company Price Rec TP Mkt 3MAvg P/E (x) P/B (x) Yield (%) 21Nov USDm USDm 12E 13E 12E 13E 12E 13E CPALL TB CP ALL PCL 40 NEUTRAL , CPF TB CHAROEN POK FOOD SELL , CPN TB CENTRAL PATTANA BUY 900 5, BIGC TB BIG C SUPERCENTE SELL , BEC TB BEC WORLD PCL SELL , BJC TB BERLI JUCKER PCL BUY , TUF TB THAI UNION FROZE BUY , HMPRO TB HOME PRODUCT CEN BUY 100 2, MINT TB MINOR INTERNATIO BUY 200 2, CENTEL TB CENTRAL PLAZA HT NEUTRAL , GLOBAL TB SIAM GLOBAL HOUS SELL , OISHI TB OISHI GROUP PCL NEUTRAL MCOT TB MCOT PCL BUY KSL TB KHON KAEN SUGAR BUY TVO TB THAI VEGETABLE BUY DCC TB DYNASTY CERAMIC NEUTRAL MAJOR TB MAJOR CINEPLEX SELL GRAMMYTB GMM GRAMMY PCL SELL Na SAT TB SOMBOON ADVANCE BUY GFPT TB GFPT PCL 7.15 NEUTRAL SITHAI TB SRITHAI SUPERWAR NEUTRAL WORK TB WORKPOINT ENTERT NEUTRAL TRU TB THAIRUNG UNION BUY RS TB RS PCL 5.40 SELL PM TB PREMIER MARKET 6.70 BUY IHL TB INTERHIDES PCL 8.90 NEUTRAL Average 2, Figure 41: Thailand s valuation table: Part 2 Code Company Price Mkt 3MAvg ROE (%) Price Chg (%) Analyst 21Nov USDm USDm 12E 13E 1M 3M 1YR YTD CPALL TB CP ALL PCL 40 11, Han Meng Tan CPF TB CHAROEN POK FOOD , Han Meng Tan CPN TB CENTRAL PATTANA , Chalie Kueyen BIGC TB BIG C SUPERCENTE , Han Meng Tan BEC TB BEC WORLD PCL , Thai Research BJC TB BERLI JUCKER PCL , Chalie Kueyen TUF TB THAI UNION FROZE , Chalie Kueyen HMPRO TB HOME PRODUCT CEN , Thai Research MINT TB MINOR INTERNATIO , Chalie Kueyen CENTEL TB CENTRAL PLAZA HT , Thai Research GLOBAL TB SIAM GLOBAL HOUS , Thai Research OISHI TB OISHI GROUP PCL Chalie Kueyen MCOT TB MCOT PCL Wanida Geisler KSL TB KHON KAEN SUGAR Thai Research TVO TB THAI VEGETABLE Thai Research DCC TB DYNASTY CERAMIC Thai Research MAJOR TB MAJOR CINEPLEX Wanida Geisler GRAMMYTB GMM GRAMMY PCL Thai Research SAT TB SOMBOON ADVANCE Thai Research GFPT TB GFPT PCL Thai Research SITHAI TB SRITHAI SUPERWAR Thai Research WORK TB WORKPOINT ENTERT Thai Research TRU TB THAIRUNG UNION Thai Research RS TB RS PCL Thai Research PM TB PREMIER MARKET Thai Research IHL TB INTERHIDES PCL Thai Research Average 2,

15 DMG & Partners Research Guide to Investment Ratings Buy: Share price may exceed 1 over the next 12 months Trading Buy: Share price may exceed 15% over the next 3 months, however longer-term outlook remains uncertain Neutral: Share price may fall within the range of +/- 1 over the next 12 months Take Profit: Target price has been attained. Look to accumulate at lower levels Sell: Share price may fall by more than 1 over the next 12 months Not Rated: Stock is not within regular research coverage DISCLAIMERS This research is issued by DMG & Partners Research Pte Ltd and it is for general distribution only. It does not have any regard to the specific investment objectives, financial situation and particular needs of any specific recipient of this research report. You should independently evaluate particular investments and consult an independent financial adviser before making any investments or entering into any transaction in relation to any securities or investment instruments mentioned in this report. The information contained herein has been obtained from sources we believed to be reliable but we do not make any representation or warranty nor accept any responsibility or liability as to its accuracy, completeness or correctness. Opinions and views expressed in this report are subject to change without notice. This report does not constitute or form part of any offer or solicitation of any offer to buy or sell any securities. DMG & Partners Research Pte Ltd is a wholly owned subsidiary of DMG & Partners Securities Pte Ltd, a joint venture between OSK Investment Bank Berhad and Deutsche Asia Pacific Holdings Pte Ltd (a subsidiary of Deutsche Bank Group). DMG & Partners Securities Pte Ltd is a Member of the Singapore Exchange Securities Trading Limited. DMG & Partners Securities Pte Ltd and their associates, directors, and/or employees may have positions in, and may effect transactions in the securities covered in the report, and may also perform or seek to perform broking and other corporate finance related services for the corporations whose securities are covered in the report. As of the day before 23 November 2012, DMG & Partners Securities Pte Ltd and its subsidiaries, including DMG & Partners Research Pte Ltd, do not have proprietary positions in the subject companies, except for: a) OSIM b) Nil As of the day before 23 November 2012, none of the analysts who covered the stock in this report has an interest in the subject companies covered in this report, except for: Analyst Company a) Nil b) Nil DMG & Partners Research Pte. Ltd. (Reg. No N) Kuala Lumpur Hong Kong Singapore Malaysia Research Office Sdn. Bhd. 6 th Floor, Plaza OSK Jalan Ampang Kuala Lumpur Malaysia Tel : +(60) Fax : +(60) OSK Securities Hong Kong Ltd. 12 th Floor, World-Wide House 19 Des Voeux Road Central, Hong Kong Tel : +(852) Fax : +(852) DMG & Partners Securities Pte. Ltd. 10 Collyer Quay #09-08 Ocean Financial Centre Singapore Tel : +(65) Fax : +(65) Jakarta Shanghai Phnom Penh PT OSK Nusadana Securities Indonesia Plaza CIMB Niaga, 14th Floor, Jl. Jend. Sudirman Kav.25, Jakarta Selatan 12920, Indonesia. Tel : (6221) Fax : (6221) OSK (China) Investment Advisory Co. Ltd. Suite 4005, CITIC Square 1168 Nanjing West Road Shanghai China Tel : +(8621) Fax : +(8621) OSK Indochina Securities Limited No. 1-3, Street 271, Sangkat Toeuk Thla, Khan Sen Sok, Phnom Penh, Cambodia Tel: (855) Fax: (855) Bangkok OSK Securities (Thailand) PCL 10th Floor, Sathorn Square Office Tower, 98 North Sathorn Road Bangrak, Bangkok Thailand Tel: +(66) Fax : +(66)