MICA (P) 057/11/2011 Ref No: SGMN2012_0098 1 of 15

Phillip Securities Research Pte Ltd

Singapore

Morning Note

23 May 2012

Market Commentary - STI: +1.20% to 2923.75 - MSCI Far East ex-Japan: +1.31% to 451.6 - Euro Stoxx 50: +1.99% to 2192.85 - S&P500: +0.05% to 1316.63 China continues to send mixed signals regarding its growth rate. Although the Conference Board Leading Economic Index for China increased by 0.8 % m-m in April, some underlying leading indicators point to a slowdown in the manufacturing and real estate sectors in the near term. At the same time the coincident economic index for China fell by 0.8% m-m, owing to a decline in electricity production and industrial output. Overall, the composite indicator advanced. On balance, our view is that while the Chinese economy is mired in a soft patch, there is a less than even chance that it will enter into a hard landing. We expect further policy moves on both the monetary and fiscal front to guard the downside. In Hong Kong, the consumer price inflation (CPI) slowed from 4.9% y-y in March to 4.7% y-y in April as the pace of growth of private rentals and food prices slowed. In the near term, inflation is expected to moderate amid easing price pressures on the domestic and external front. For the whole of 2012, the government forecast CPI to rise 3.5%, lower than the 5.3% increase in the preceding year. In the UK, inflation moderated from 3.5% y-y in March to 3.0% in April. Going forward, inflation is likely to continue to moderate owing to excess capacity in the economy. We are of the view that softer-than-expected inflation data -if sustained in the months ahead- is likely to increase the odds of further easing by the Bank of England (BoE) to support the economy that is already in a technical recession. However, we warn that further QE by BoE will be a negative for the sterling. EQUITY MARKETS: The rebound may have hit a speed bump as yesterday's price action was a little negative for the S&P500 (lost the gains to put in an big indecision candle) and the STI (closed below the closing before the major gap down, may go lower to fill the gap today). Other indices were more positive including Europe, China, the JCI and KLCI. But inter-markets the signals are mixed. The negatives for equities: dollar index seems to be gaining momentum higher while commodities lost more ground. The positives: treasuries retreated and Spanish/Italian bonds gained. The ASX has opened lower at time of writing, suggesting a negative day. Looking beyond today, we lean more to the rebound continuing as the key risk of an anti-bailout win in Greece is seeing conservatives starting to put aside differences to join forces in preparation to form a coalition majority if need be. (Our general guidance in our morning notes and formal reports has been, as we weren't confident that econ/earnings data could outperform to drive markets, some combination of policy safety nets needs to occur to reverse consolidation/correction and push markets higher - QE3/Twist2, ECB intervention, further loosening by central banks to err on the side of growth as inflation recedes, a major China fiscal policy announcement. Longer term, we are still giving the heads up that post 6th November 12 USA presidential elections, markets could again be challenging going into 2013 - the US and EZ are under current law obliged to undertake tremendous fiscal tightening) For our larger trend outlook: Global Macro & Markets, 12 Apr 12. For Singapore Sector Strategy: Sector Strategy, 4 May 2012. Singapore Sector Reports: Banks / Transport / Telcos / Property / REITS / Thematic Regional Strategy: Thailand, 4 May 2012 / Indonesia, 29 March 2012 Regional Macro: Singapore Source: Phillip Securities Research Pte Ltd

Morning Note 23 May 2012

2 of 15

Source: Bloomberg

STI - Index Members

4.2%

3.9%

3.9% 3.1% 2.2%

2.2%

2.1%

2.0%

1.9%

1.8%

1.8%

1.8%

1.6%

1.5%

1.4%

1.3%

1.1%

1.0%

0.6%

0.5%

0.4%

0.3%

0.3%

0.3%

0.3%

0.3%

0.1%

0.0%

-0.3%

-1.0%

-8%

-6%

-4%

-2%

0%

2%

4%

6%

8%

10%

Wilm

ar

CD

L

Golden A

gri-R.

Olam

Ltd

UO

B

Jardine Stra.

Sem

bcorp Ind.

Sem

bcorp Mar.

NO

L Ltd

Noble Ltd

Keppel C

orp. Ltd

SIA

Eng.

SG

X

Jardine C&

C

HK Land

OC

BC

Capitam

alls Asia

ST E

ng.

Capitam

all Trust

DBS

Jardine Mat.

Com

fortDelG

ro

Genting S

P

Singtel

F&N

SPH

SIA

Capitaland

Starhub

GLP

Ltd

Company Results

Revenue Net Profit S/N Company Name Q/HY/FY Currency,

Units Current Previous Change (%) Current Previous Change

(%)

1 Cougar Logistic Corporation Limited FY12 S$’000 16,429 10,994 49.4 3,815 2,000 90.8

Source: SGX Masnet

Morning Note 23 May 2012

3 of 15

Company Highlights Elite KSB Holdings Limited announced that the company has entered into a conditional sale and purchase agreement with Kendo Trading Pte Ltd, for the disposal of the entire issued and paid-up shares in each of the capital of its wholly owned-subsidiaries, KSB Distribution Pte Ltd, Jordon International Food Processing Pte Ltd, Soonly Food Processing Industries Pte Ltd and SAFA Gourmet Food Pte Ltd by the company to Kendo Trading Pte Ltd for S$62 million. The purchase price is equivalent to 133% of the market capitalisation of the company on 18 May 2012, being the market day immediately preceding the date of the SPA. (Closing Price: S$0.420, -0.001%) Nordic Group Limited announced the cessation of the Group Chief Executive Officer Mr Chang Yeh Hong, but he will retain his responsibilities as Executive Chairman of the Group. This realignment is to promote high standard of corporate governance and transparency within the Group of companies. (Closing Price: S$0.080, unchanged) Singapore Telecommunications Limited announced that it has signed an agreement to acquire 100 percent of GTW Holdings Private Limited (GTW), the owners of HungryGoWhere, Singapore’s most popular food website, for a sum of S$12 million. Restaurant review portal HungryGoWhere.com is the leading food portal in Singapore, with additional online presence in Hong Kong, Malaysia, Vietnam, Cambodia and Australia. Under the agreement, GTW will become a wholly-owned subsidiary of SingTel. Its operations will be merged with inSing.com – also a subsidiary of SingTel – Singapore’s leading lifestyle and local search site. (Closing Price: S$3.130, +0.010%) Hotel Properties Limited announced that its 50%-owned associated company, Leisure Ventures Pte Ltd, has entered into a Share Sale Agreement with Hibernia Worldwide Finance BV and Ramon Investments Limited to acquire 100% of the equity of Promus Private Limited, a company incorporated in the Republic of Maldives for US$27.41 million. The above Acquisitions will allow the HPL Group to expand its presence in the Maldives with the addition of an established luxury island resort in an increasingly popular tourist destination. The Maldives is renowned for its pristine white sand, clear blue water and world-class dive sites with an abundance of marine life. (Closing Price: S$1.875, unchanged) Singxpress Land Limited announced that SingXpress Property Development Pte. Ltd, a wholly-owned subsidiary of the Company has set up a joint venture company in Singapore with Creative Investments Pte Ltd (representing 40%) and Kay Lim Realty Pte Ltd (representing 30%) with a issued and paid-up share capital of S$10,000 comprising 10,000 shares. (Closing Price: S$0.013, unchanged) Sarin Technologies Limited announced that it is presenting its integrated light performance solution at the JCK show in Las Vegas from May 31st through June 4th. The Sarin D-Light™ system assesses, grades and visualizes a diamond’s light performance characteristics – brilliance, fire, sparkle and light symmetry. The comprehensive solution offered by Sarin D-Light™ provides dazzling, visual reports and display tools to the retailer, objective information and visualization tools with advanced management and control tools for traders and wholesalers and guidance for the manufacturer. (Closing Price: S$1.185, -0.180%) Source: SGX Masnet, BT Online

Morning Note 23 May 2012

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FSSTI 2,823.75 +1.20% 12,502.81 -0.01%

9.31 19,039.15 +0.62%

81.76 +0.32% 1,568.50 -0.10%

91.66 -0.98% 1.767 -0.00%

Source: Bloomberg

DJI

Crude oil US Treasury 10yr Yield

HSIFSSTI (P/E)

Dollar Index Gold

2500

2700

2900

3100

3300

May-11

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

Jan-12

Feb-12

Mar-12

Apr-12

10500

11000

11500

12000

12500

13000

13500

May-11

15500

17500

19500

21500

23500

25500M

ay-11

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

Jan-12

Feb-12

Mar-12

Apr-12

6

7

8

9

10

11

May-11

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

Jan-12

Feb-12

Mar-12

Apr-12

72

74

76

78

80

82

May-11

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

Jan-12

Feb-12

Mar-12

Apr-12

1200

1350

1500

1650

1800

1950

May-11

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

Jan-12

Feb-12

Mar-12

Apr-12

70

80

90

100

110

120M

ay-11

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

Jan-12

Feb-12

Mar-12

Apr-12

1.5

2

2.5

3

3.5

May-11

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

Jan-12

Feb-12

Mar-12

Apr-12

Morning Note 23 May 2012

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Phillip Securities Research - Singapore Stocks Coverage

Company Analyst RatingTarget Price

(S$)Current

Price (S$)

Upside to Target Price

(%)DBS GROUP HOLDINGS LTD Ken Ang Accumulate M 14.900 13.250 12.5%OVERSEA-CHINESE BANKING CORP Ken Ang Neutral M 8.200 8.590 -4.5%UNITED OVERSEAS BANK LTD Ken Ang Neutral U 17.500 17.800 -1.7%GENTING SINGAPORE PLC Magdalene Choong Accumulate M 1.890 1.545 22.3%SINGAPORE EXCHANGE LTD Ken Ang Accumulate M 7.340 6.320 16.1%COMFORTDELGRO CORP LTD Derrick Heng Buy M 1.650 1.480 11.5%SMRT CORP LTD Derrick Heng Sell M 1.330 1.615 -17.6%NEPTUNE ORIENT LINES LTD Derrick Heng Neutral U 1.190 1.070 11.2%SINGAPORE AIRLINES LTD Derrick Heng Accumulate M 11.540 10.310 11.9%TIGER AIRWAYS HOLDINGS LTD Derrick Heng Reduce M 0.580 0.650 -10.8%M1 LTD Derrick Heng Reduce M 2.380 2.460 -3.3%SINGAPORE TELECOM LTD Derrick Heng Neutral D 3.310 3.130 5.8%STARHUB LTD Derrick Heng Neutral M 2.940 3.230 -9.0%SIA ENGINEERING CO LTD Derrick Heng Buy M 5.000 4.020 24.4%SINGAPORE TECH ENGINEERING Derrick Heng Accumulate M 3.370 3.010 12.0%SATS LTD Derrick Heng Buy M 2.800 2.620 6.9%COSCO CORP SINGAPORE LTD Phillip Research Team Reduce U 1.000 0.915 9.3%SEMBCORP MARINE LTD Phillip Research Team Buy M 6.100 4.570 33.5%SEMBCORP INDUSTRIES LTD Phillip Research Team Buy M 6.580 4.860 35.4%KEPPEL CORP LTD Phillip Research Team Accumulate M 11.680 10.180 14.7%GOLDEN AGRI-RESOURCES LTD Phillip Research Team Accumulate D 0.795 0.665 19.5%WILMAR INTERNATIONAL LTD Lee Kok Joo Accumulate U 4.760 3.960 20.2%CHINA SUNSINE CHEMICAL HLDGS Lee Kok Joo Neutral M 0.250 0.265 -5.7%FORELAND FABRICTECH HOLDINGS Lee Kok Joo Reduce D 0.080 0.089 -10.1%SINO GRANDNESS FOOD INDUSTRY Lee Kok Joo Accumulate M 0.490 0.405 21.0%ZIWO HOLDINGS LTD Lee Kok Joo Sell M 0.095 0.110 -13.6%COMBINE WILL INTERNATIONAL H Chan Wai Chee Buy M 1.340 0.745 79.9%HU AN CABLE HOLDINGS LTD Chan Wai Chee Buy M 0.260 0.124 109.7%HENGYANG PETROCHEMICAL LOGIS Chan Wai Chee Buy N 0.610 0.280 117.9%SUNPOWER GROUP LTD Chan Wai Chee Buy M 0.400 0.210 90.5%CAPITAMALLS ASIA LTD Bryan Go Buy M 1.750 1.395 25.4%HO BEE INVESTMENT LTD Bryan Go Neutral M 1.430 1.195 19.7%KEPPEL LAND LTD Bryan Go Neutral M 3.300 2.880 14.6%OVERSEAS UNION ENTERPRISE Bryan Go Accumulate M 2.830 2.070 36.7%SC GLOBAL DEVELOPMENTS LTD Bryan Go Neutral U 1.000 0.975 2.6%CAPITALAND LTD Bryan Go Accumulate I 2.980 2.510 18.7%CDL HOSPITALITY TRUSTS Travis Seah Accumulate M 2.000 1.790 11.7%PARKWAYLIFE REAL ESTATE Travis Seah Accumulate M 1.975 1.810 9.1%SABANA SHARIAH COMP IND REIT Travis Seah Buy M 1.050 0.955 9.9%

US Stocks Coverage

Company Analyst RatingTarget Price

(US$)Current

Price (US$)

Upside to Target Price

(%)ACURA PHARMACEUTICALS INC Magdalene Choong Accumulate M 3.580 2.880 24.3%BANK OF AMERICA CORP Magdalene Choong Neutral M - 6.980 -CITIGROUP INC Magdalene Choong Neutral D - 26.920 -LAS VEGAS SANDS CORP Magdalene Choong Buy D 58.800 47.860 22.9%MGM RESORTS INTERNATIONAL Magdalene Choong Accumulate D 12.900 10.720 20.3%Source: Phillip Securities Research Pte Ltd

Morning Note 23 May 2012

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Director / Substantial Shareholders’ Transactions Company Substantial Shareholder / Director From (%) To (%) Lee Kim Tah Hldgs Limited Lee Kim Tah Investments Pte Ltd 66.42 66.44 Ezra Holdings Limited Lee Chye Tek Lionel 18.89 18.99 M Development Ltd. Value Capital Asset Management 0% 11.76 Olam International Limited The Capital Group Companies, Inc 4.9691 5.0171 HLN Technologies Limited Wa Kok Liang 14.16 14.18 Food Empire Holdings Limited Sudeep Nair 6.72 6.75 CNMC Goldmine Holdings Limited Ng Eng Tiong 15.09 14.98 Pacific Century Regional Devts Pacific Century Group Holdings Limited 75.761 75.777 Global Yellow Pages Limited Marathon Asset Management 9.04 8.99 Enviro-Hub Holdings Limited Raymond Ng 34.93 34.95 Silverlake Axis Limited Intelligentsia Holdings Limited 74.70 75.76 YHM Group Limited Credit Suisse AG 16.4756 15.3283 Loyz Energy Limited Kenneth Gerard Pereira 6.22 3.00 Aussino Group Limited Samcorp Capital Corporation 59.768 49.811 Source: SGX Masnet

Morning Note 23 May 2012

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FTSE ST Breakdown (% Change)

STI 1.20%

1.17%

3.38%

0.97%

-0.19%0.52%

2.29%

1.84%

0.95%

1.01%

0.99%

1.20%

0.22%

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 Technology2.08%

ST Healthcare

Source: Bloomberg

FTSE ST Market Cap. Breakdown (% Change) Top Gainers Last Chg ▲JSH 500US$ 32.080 0.680 ▲Jardine C&C 44.710 0.650 ▲CITYDEV 10.280 0.390 Top Losers Last Chg ▼Sarin 1.185 -0.180 ▼Haw Par 5.800 -0.140 ▼DairyFarm 900 U 10.450 -0.110 Top Volume Last Vol ▲JEL Corp^ 0.083 719,837 ▲Xpress 0.042 63,846 ▲GoldenAgr 0.665 60,297 TURNOVER (SHARES) 2,194,228,890

TURNOVER (S$) 1,121,739,358

UP 282

DOWN 97

1.40%

1.03% 1.37%

ST All Share

ST Fledgling

ST Small Cap

ST Mid Cap

STI1.20%

1.18%

UNCHANGED 401

Source: Bloomberg Source: SGX

Morning Note 23 May 2012

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Source: Bloomberg

Major World Indices

JCI 2.06% 4,021.10

HSI 0.62% 19,039.15

KLCI 0.52% 1,546.84

KOSPI 1.64% 1,828.69

NIKKEI 1.10% 8,729.29

SET -0.32% 1,131.52

SHCOMP 1.06% 2,373.31

SENSEX -0.97% 16,026.41

ASX 1.16% 4,121.00

FTSE 100 1.86% 5,403.28

DOW -0.01% 12,502.81 S&P 500 0.05% 1,316.63 NASDAQ -0.29% 2,839.08

COLOMBO -1.00% 5,155.61

STI 1.20% 2,823.75

ETF % Change Change LastDB X-TRACKERS CSI300 ETF +0.61 +0.05 8.19DB X-TRACKERS FTSE CHINA 25 +1.13 +0.28 24.99DB X-TRACKERS MSCI INDONE +2.45 +0.34 14.23DB X-TRACKERS MSCI TAIWAN +0.61 +0.10 16.62DB X-TRACKERS S&P 500 INV DA -1.11 -0.44 39.06ISHARES MSCI INDIA INDEX ETF -2.68 -0.14 5.08LYXOR ETF CHINA ENTERPRISE +0.82 +0.10 12.30NIKKO AM SINGAPORE STI ETF +0.35 +0.01 2.87SPDR GOLD TRUST -0.79 -1.22 153.25SPDR STRAITS TIMES INDEX ETF +0.70 +0.02 2.88UNITED SSE 50 CHINA ETF +1.20 +0.02 1.69

ETF Performance

Source: Bloomberg

Morning Note 23 May 2012

9 of 15

Commodities % Chg Chg Last Price of S$1 Price of US$1GOLD SPOT (US$/OZ) -0.10 -1.63 1,568.50 0.7981 0.9865SILVER SPOT (US$/OZ) -0.43 -0.12 28.18 0.8023 1.0191WTI Cushing Crude Oil Spot Price (US$/bbl) -0.98 -0.91 91.66 0.6181 1.2736

0.4988 1.57830.7873 1.0000

Commodities % Chg Chg Last 4.9760 6.3200Malaysian Rubber Board Standard (MYR/kg) +0.80 +8.25 1,036.75 6.1128 7.7648PALM OIL (MYR/Metric Tonne) +0.93 +28.50 3,109.00 62.9700 79.9900

917.3988 1166.3300Index % Chg Chg Last 2.4622 3.1285 DOLLAR INDEX SPOT +0.32 +0.26 81.76 24.6969 31.3600Source: Bloomberg

JAPANESE YENKOREAN WONMALAYSIAN RINGGITTHAI BAHT

US DOLLARCHINA RENMINBIHONG KONG DOLLAR

CANADIAN DOLLAREUROBRITISH POUND

CurrenciesAUSTRALIAN DOLLAR

Commodities & Currencies

Maturity Today Yesterday Last Week Last Month3 Months 0.04 0.04 0.06 0.056 Months 0.12 0.12 0.12 0.112 Years 0.29 0.28 0.27 0.263 Years 0.41 0.39 0.37 0.395 Years 0.76 0.74 0.73 0.8410 Years 1.77 1.74 1.73 1.9630 Years 2.86 2.81 2.91 3.12

Yield Spread (10 yrs - 3 mths)Yield Spread (10 yrs - 2 yrs)

US Treasury Yields

1.731.48

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

EX Date Company Type Net Amount Currency Frequency Record Date Payout Date5/23/2012 ETIKA INTERNATIONAL HLDGS Interim 0.0050 SGD Semi-Anl 5/25/2012 6/6/20125/24/2012 HANWELL HOLDINGS LTD Regular Cash 0.0100 SGD Annual 5/28/2012 6/12/20125/24/2012 AMTEK ENGINEERING LTD Interim 0.0230 SGD Irreg 5/28/2012 6/8/20125/24/2012 CORDLIFE GROUP LTD Interim 0.0180 SGD Irreg 5/28/2012 6/13/20125/25/2012 CHINA MERCHANTS PROPERTY D-B Regular Cash 0.2000 CNY Annual 5/29/2012 5/29/20125/25/2012 SUNPOWER GROUP LTD Regular Cash 0.0030 SGD Annual 5/29/2012 6/20/20125/28/2012 SP AUSNET Income 0.0216 AUD Semi-Anl 5/30/2012 6/29/20125/28/2012 TPV TECHNOLOGY LTD Final 0.0091 USD Semi-Anl 5/30/2012 6/8/20125/28/2012 SILVERLAKE AXIS LTD 3rd Interim 0.0050 SGD Quarter 5/30/2012 6/20/20125/28/2012 ASIA PACIFIC BREWERIES LTD Interim 0.3000 SGD Semi-Anl 5/30/2012 6/18/20125/28/2012 PETROCHINA CO LTD -ADR Regular Cash 2.3264 USD Semi-Anl 5/30/2012 N.A.5/29/2012 CHINA UNICOM HONG KONG-ADR Regular Cash 0.1427 USD Annual 5/31/2012 6/25/20125/29/2012 GMG GLOBAL LTD Regular Cash 0.0022 SGD Annual 5/31/2012 6/14/20125/29/2012 KEONG HONG HOLDINGS LTD Interim 0.0050 SGD Irreg 5/31/2012 6/18/20125/30/2012 SHANGRI-LA ASIA LTD Final 0.1000 HKD Semi-Anl 6/1/2012 6/13/2012

Corporate Action: Dividend

Source: Bloomberg

Morning Note 23 May 2012

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Name Expected Report DateBukit Sembaw ang Estates Ltd 5/23/2012Global Premium Hotels Ltd 5/23/2012KSH Holdings Ltd 5/23/2012Singapore Shipping Corp Ltd 5/23/2012AEC Education PLC 5/24/2012Cougar Logistics Corp Ltd 5/24/2012Global Logistic Properties Ltd 5/24/2012Hour Glass Ltd/The 5/24/2012Japan Foods Holding Ltd 5/24/2012Pollux Properties Ltd 5/24/2012Sunlight Group Holding Ltd 5/24/2012United Envirotech Ltd 5/24/2012Adampak Ltd 5/25/2012Addvalue Technologies Ltd 5/25/2012Armarda Group Ltd 5/25/2012Artivision Technologies Ltd 5/25/2012Asiatic Group Holdings Ltd 5/25/2012Azeus Systems Holdings Ltd 5/25/2012Ban Leong Technologies Ltd 5/25/2012Chasen Holdings Ltd 5/25/2012Cortina Holdings 5/25/2012Datapulse Technology Ltd 5/25/2012Elektromotive Group Ltd 5/25/2012Fischer Tech Ltd 5/25/2012Global Yellow Pages Ltd 5/25/2012Hiap Seng Engineering Ltd 5/25/2012Informatics Education Ltd 5/25/2012Jason Marine Group Ltd 5/25/2012Jasper Investments Ltd 5/25/2012King Wan Corp Ltd 5/25/2012Lereno Bio-Chem Ltd 5/25/2012Metro Holdings Ltd/Singapore 5/25/2012Nordic Group Ltd 5/25/2012Pow ermatic Data Systems Ltd 5/25/2012Renew able Energy Asia Group Ltd 5/25/2012Row sley Ltd 5/25/2012Stamford Land Corp Ltd 5/25/2012Sun East Group Ltd 5/25/2012Transcu Group Ltd 5/25/2012Travelite Holdings Ltd 5/25/2012Tritech Group Ltd/Singapore 5/25/2012Ultro Technologies Ltd 5/25/2012Boustead Singapore Ltd 5/28/2012Tat Hong Holdings Ltd 5/28/2012Tung Lok Restaurants 2000 Ltd 5/28/2012Biosensors International Group Ltd 5/29/2012China Healthcare Ltd 5/30/2012CPH Ltd 5/30/2012Eastern Holdings Ltd 5/30/2012GP Batteries International Ltd 5/30/2012GP Industries Ltd 5/30/2012Infinio Group Ltd 5/30/2012Mclean Technologies Bhd 5/30/2012New Wave Holdings Ltd 5/30/2012Next-Generation Satellite Communications Ltd 5/30/2012Old Chang Kee Ltd 5/30/2012Sky One Holdings Ltd 5/30/2012Stratech Systems Ltd 5/30/2012TT International Ltd 5/30/2012Yoma Strategic Holdings Ltd 5/30/2012Source: Bloomberg

Earning Announcement – Singapore

Calendar

Morning Note 23 May 2012

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Date Statistic For Survey Prior Date Statistic For Survey Prior5/23/2012 MBA Mortgage Applications 18-May -- 9.20% 5/23/2012 CPI (MOM) - NSA APR 0.30% 0.80%5/23/2012 House Price Index MoM MAR 0.30% 0.30% 5/23/2012 CPI (YoY) APR 5.20% 5.20%5/23/2012 House Price Purchase Index QoQ 1Q 0.10% -0.10% 5/23/2012 Automobile COE Open Bid Cat A 23-May -- 626005/23/2012 New Home Sales APR 337K 328K 5/23/2012 Automobile COE Open Bid Cat B 23-May -- 920505/23/2012 New Home Sales MoM APR 2.60% -7.10% 5/23/2012 Automobile COE Open Bid Cat E 23-May -- 889905/24/2012 Durable Goods Orders APR 0.20% -4.20% 5/25/2012 Industrial Production MoM SA APR 0.60% 2.70%5/24/2012 Durables Ex Transportation APR 0.80% -1.10% 5/25/2012 Industrial Production YoY APR 4.10% -3.40%5/24/2012 Cap Goods Orders Nondef Ex Air APR 0.80% -0.80% 5/31/2012 Credit Card Bad Debts APR -- 17.7M5/24/2012 Cap Goods Ship Nondef Ex Air APR -1.00% 2.60% 5/31/2012 Credit Card Billings APR -- 3173.8M5/24/2012 Initial Jobless Claims 19-May 370K 370K 5/31/2012 Bank Loans & Advances (YoY) APR -- 26.00%5/24/2012 Continuing Claims 12-May 3250K 3265K 5/31/2012 M1 Money Supply (YoY) APR -- 10.20%5/24/2012 Markit US PMI Preliminary MAY -- -- 5/31/2012 M2 Money Supply (YoY) APR -- 9.70%5/24/2012 Bloomberg Consumer Comfort 20-May -- -43.6 6/5/2012 Electronics Sector Index MAY -- 51.55/24/2012 Kansas City Fed Manf. Activity MAY 5 3 6/5/2012 Purchasing Managers Index MAY -- 49.75/25/2012 U. of Michigan Confidence MAY F 77.8 77.8 6/6/2012 Automobile COE Open Bid Cat A 6-Jun -- --

US SingaporeEconomic Announcement

Source: Bloomberg Source: Bloomberg

Morning Note 23 May 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

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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. 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, from time to time maintain a long or short position in securities referred to herein, or in related futures or options, purchase or sell, make a market in, or engage in any other transaction involving such securities, and earn brokerage or other compensation in respect of the foregoing. Investments will be denominated in various currencies including US dollars and Euro and thus will be subject to any fluctuation in exchange rates between US dollars and Euro or foreign currencies and the currency of your own jurisdiction. Such fluctuations may have an adverse effect on the value, price or income return of the investment. To the extent permitted by law, 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 at any time engage in any of the above activities as set out above or otherwise hold a interest, whether material or not, in respect of companies and investments or related investments, which may be mentioned in this publication. Accordingly, information may be available to 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, which is not reflected in this material, and 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, to the extent permitted by law, have acted upon or used the information prior to or immediately following its publication. 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, may have issued other material that is inconsistent with, or reach different conclusions from, the contents of this material. The information, tools and material presented herein are not directed, intended for distribution to or use by, any person or entity in any jurisdiction or country where such distribution, publication, availability or use would be contrary to the applicable law or regulation or which would subject Phillip Securities Research to any registration or licensing or other requirement, or penalty for contravention of such requirements within such jurisdiction. Section 27 of the Financial Advisers Act (Cap. 110) of Singapore and the MAS Notice on Recommendations on Investment Products (FAA-N01) do not apply in respect of this publication. This material is intended for general circulation only and does not take into account the specific investment objectives, financial situation or particular needs of any particular person. The products mentioned in this material may not be suitable for all investors and a person receiving or reading this material should seek advice from a professional and financial adviser regarding the legal, business, financial, tax and other aspects including the suitability of such products, taking into account the specific investment objectives, financial situation or particular needs of that person, before making a commitment to invest in any of such products. Please contact Phillip Securities Research at [65 65311240] in respect of any matters arising from, or in connection with, this document. This report is only for the purpose of distribution in Singapore.

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Contact Information (Singapore Research Team)

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

Special Opportunities S-Chips, Strategy +65 6531 1249 +65 6531 1231 +65 6531 1685 joshuatan@phillip.com.sg

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

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

SG & US Financials, Gaming 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 Peter Lee Investment Analyst Investment Analyst Research Assistant

Financials REITS General Enquiries +65 6531 1793 +65 6531 1229 +65 6531 1240 (Phone)

kenangwy@phillip.com.sg travisseahhk@phillip.com.sg +65 6336 7607 (Fax) research@phillip.com.sg

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Contact Information (Regional Member Companies)

SINGAPORE

Phillip Securities Pte Ltd Raffles City Tower

250, North Bridge Road #06-00 Singapore 179101

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

Website: www.poems.com.sg

MALAYSIA

Phillip Capital Management Sdn Bhd B-3-6 Block B Level 3 Megan Avenue II, No. 12, Jalan Yap Kwan Seng, 50450

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

Website: www.poems.com.my

HONG KONG Phillip Securities (HK) Ltd

Exchange Participant of the Stock Exchange of Hong Kong 11/F United Centre 95 Queensway

Hong Kong Tel (852) 22776600 Fax (852) 28685307

Websites: www.phillip.com.hk

JAPAN

Phillip Securities Japan, Ltd. 4-2 Nihonbashi Kabuto-cho Chuo-ku

Tokyo 103-0026 Tel (81-3) 3666-2101 Fax (81-3) 3666-6090

Website:www.phillip.co.jp

INDONESIA

PT Phillip Securities Indonesia ANZ Tower Level 23B,

Jl Jend Sudirman Kav 33A Jakarta 10220 – Indonesia

Tel (62-21) 57900800 Fax (62-21) 57900809

Website: www.phillip.co.id

CHINA

Phillip Financial Advisory (Shanghai) Co. Ltd No 550 Yan An East Road,

Ocean Tower Unit 2318, Postal code 200001

Tel (86-21) 51699200 Fax (86-21) 63512940

Website: www.phillip.com.cn

THAILAND Phillip Securities (Thailand) Public Co. Ltd

15th Floor, Vorawat Building, 849 Silom Road, Silom, Bangrak,

Bangkok 10500 Thailand Tel (66-2) 6351700 / 22680999

Fax (66-2) 22680921 Website www.phillip.co.th

FRANCE

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

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

Website: www.kingandshaxson.com

UNITED KINGDOM

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

120 Cannon Street, London, EC4N 6AS

Tel (44-20) 7426 5950 Fax (44-20) 7626 1757

Website: www.kingandshaxson.com

UNITED STATES

Phillip Futures Inc 141 W Jackson Blvd Ste 3050

The Chicago Board of Trade Building Chicago, IL 60604 USA

Tel +1.312.356.9000 Fax +1.312.356.9005

AUSTRALIA

PhillipCapital Australia Level 37, 530 Collins Street,

Melbourne, Victoria 3000, Australia Tel (613) 96298380 Fax (613) 96148309

Website: www.phillipcapital.com.au