UOBKayHian Regional Morning Notes Monday, January 25, 2010 Please see important notice on last page Page 1 of 24 CHINA Sector Oil & Gas Page 2 Monthly: Natural gas pricing reform and open market M&As will provide near-term opportunities. Maintain OVERWEIGHT. Update Bank of China (HOLD/HK$3.81/Fair: HK$4.50) Page 4 Larger and earlier capital-raising plan will surprise market negatively. Nine Dragons Paper (BUY/HK$12.26/Target: HK$14.07) Page 6 Gains back pricing power to pass on the increase in costs. Recovery in demand from indirect exports should have positive impact on the industry. HONG KONG Update Lee and Man Paper (BUY/HK$5.12/Target: HK$6.33) Page 8 Tight containerboard supply due to limited new capacity and demand recovery is positive for industry leaders. MALAYSIA Update Hong Leong Group Page 10 The Hong Leong Group is abuzz with M&As at Hong Leong Bank and Hume. HLI and HLFG are also ripe for potential corporate exercises. PLUS Expressways (BUY/RM3.30/Target: RM4.00) Page 12 Proposing to acquire a 74% stake in an Indian toll road company for RM74m. SINGAPORE Sector Property - Residential Page 14 Residential prices on an uptrend. Results CapitaMall Trust (BUY/S$1.78/Target: S$2.12) Page 16 4Q09: Pick-up in shopper traffic and rental rates. Update Tiger Airways (NOT RATED/S$1.58) Page 18 Initial impressions. THAILAND Sector Banking Page 20 2009: Against the strong macro headwind, sector’s operating performance remains solid with combined net profit growth of 7% Update Bumrungrad Hospital (BUY/Bt29.50/Target: Bt35.84) Page 22 4Q09 results preview: We expect impressive results. Growth momentum will carry on into 2010. Prev Close 1D % 1W % 1M % YTD % Key Indices DJIA 10173.0 (2.1) (5.0) (3.3) (2.4) S&P 500 1091.8 (2.2) (4.9) (3.1) (2.1) FTSE 100 5303.0 (0.6) (2.8) (1.8) (2.0) AS30 4771.9 (1.6) (3.2) (0.7) (2.3) CSI 300 3366.2 (1.2) (3.3) (1.7) (5.9) FSSTI 2819.7 (1.1) (3.1) (0.6) (2.7) HSI 20726.2 (0.7) (4.3) (3.7) (5.2) JCI 2610.3 (1.1) (1.4) 5.5 3.0 KLCI 1300.5 (0.6) 0.1 2.9 2.2 KOSPI 1684.4 (2.2) (1.0) 0.1 0.1 Nikkei 225 10590.6 (2.6) (3.6) 0.9 0.4 SET 714.1 (0.7) (4.3) (2.2) (2.8) TWSE 7927.3 (2.5) (5.1) (0.6) (3.2) BDI 3204 1.1 (2.9) 4.6 6.6 CPO (RM/mt) 2433 0.1 (2.8) (2.4) (6.1) Nymex Crude (US$/bbl) 7874 (2.6) (6.7) (0.4) (6.6) Source: Bloomberg Key Indices Current Target Pot. +/- Price Price (%) Ticker (lcy) (lcy) Top BUYs PetroChina 857 HK 9.17 11.30 23.2 China M