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Please read carefully the important disclosures at the end of this publication.

COMPANY UPDATE

6 October 2009

UNDERPERFORM MaintainedBerlian Laju Tanker

RP820/S$0.12 @05/10/09

Acquiring Camillo Eitzen & Co Target: Rp660/S$0.10

Tanker Shipping

INDONESIA

BLTA IJ / BLTA.JK Raymond Yap CFA +603 2084 9769 [email protected]

Maintain UNDERPERFORM; purchase of Camillo Eitzen & Co may be dilutive.We are cautious about BLTAs recently announced all-share voluntary offer forCECO in the near term as it is potentially dilutive, while CECO is highly geared andis currently losing money. There are potential longer-term benefits as BLTA willemerge as one of the largest chemical tanker operators globally, but variousimmediate concerns dampen our enthusiasm for the deal. Hence, we keep ourUNDERPERFORM rating and Rp660 target price.

Consensus is expecting CECO to be loss-making in 2010, with losses large

enough to offset our BLTA profit forecasts. Unless there is a strong earningsrecovery, a potential 71% rise in BLTAs outstanding shares could cause significantEPS/BVPS dilution. Also, CECO and its subsidiaries Eitzen Chemical and EitzenGas have debt repayment issues with their lenders. CECO has a net debt-to-equityratio of 4.2x, much higher than BLTAs 2.3x. If the global economy does not turnaround quickly, CECO may impinge on BLTAs balance sheet.

We would have preferred vessel purchases, rather than a group of companieswith ongoing issues with lenders. Worries about dilution and CECOs high gearingmay cause a stock de-rating. We have rolled forward our target price to end-2010,but continue to apply a 20% discount to our sum-of-the-parts valuation to account forpotential risks and dilution from the CECO acquisition. Our target price remainsRp660, while our earnings forecasts are unchanged pending finalisation of the deal.

Financial summaryFYE Dec 2007 2008 2009F 2010F 2011FRevenue (US$ m) 398 724 578 610 689

EBITDA (US$ m) 155 297 210 212 238EBITDA margins (%) 38.8% 41.1% 36.4% 34.7% 34.6%

Pretax profit (US$ m) 84 173 11 (92) 34Net profit (US$ m) 83 172 10 (93) 33

EPS (Rp) 183 344 18 (163) 57EPS growth (%) (33.3%) 87.7% (94.6%) (986.9%) 135.2%

P/E (x) 4.5 2.4 45.1 nm 14.4

Core EPS (Rp) 109 141 18 29 57Core EPS growth (%) (25.2%) 29.1% (86.9%) 57.0% 99.0%

Core P/E (x) 7.6 5.9 45.1 28.7 14.4Gross DPS (Rp) 51 5 0 0 0

Dividend yield (%) 6.2% 0.6% 0.0% 0.0% 0.0%

P/BV (x) 1.1 0.8 0.8 0.9 0.9ROE (%) 23.7% 38.9% 1.7% (16.9%) 6.3%Net gearing (%) 431.6% 267.1% 215.6% 278.2% 287.9%

P/FCFE (x) 3.6 (2.6) 3.8 (9.2) (10.9)

EV/EBITDA (x) 12.2 6.1 8.1 8.7 8.3CIMB/Consensus (x) 0.95 (0.18) 0.99

Note: Per share data translated into listing currency at current fx spot rates, valuation methodology based on house forex forecasts

Source: Company, CIMB Research, Bloomberg

Price chart Market capitalisati on & share price info

Market cap Rp4,394,655m/US$456m Share price perf. (%) 1M 3M 12M

12-mth price range Rp1,150/Rp375 Relative 5.2 (12.7) (54.5)

3-mth avg daily volume 30.0m Absolute 12.3 4.0 (38.4)

# of shares (m) 5,295 Major shareholders % held

Est. free float (%) 45.0 PT Tunggaladhi Baskara 59.0Conv. secs (m) N/A356.2

456.2

556.2

656.2

756.2

856.2

956.2

1056.2

1156.2

Oct-08 Ma r-09 Aug-09

0.00

0.20

0.40

0.60

0.80

1.00

1.20

V ol um e 1 0 0m ( R.H.S c a le ) B e r li a n L a ju T a nke r Source: Bloomberg Source: Company, CIMB Research, Bloomberg

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Background

BLTA yesterday announced a voluntary offer for 100% of Camillo Eitzen & CoASA (CECO). Upon conclusion of the deal, BLTA will emerge as one of the largestchemical tanker operators in the world, on par with giants like Stolt-Nielsen and Odfjell.In the longer term, BLTA may be able to harness its size to gain economies of scale inits operations. However, we are cautious in the near term, given the losses sustainedby CECO and its high gearing. We would have preferred BLTA to buy vessels, rather

than a group of companies with ongoing issues with lenders. We maintain ourUnderperform rating and target price of Rp660.

CECO is listed on the Stock Exchange of Oslo, and is 60.6% held by Eitzen Holding. Itskey asset is a 52.1% holding in Eitzen Chemical (ECHEM). Other assets include 100%stakes in Eitzen Bulk, Eitzen Gas and Eitzen Tank, and a 70.8% holding in EitzenMaritime Services (EMA). Both ECHEM and EMA are separately listed on the sameexchange. ECHEM is currently the third largest chemical tanker operator globally (BLTAis fifth), while EMA offers ship management, ship supply and insurance brokerageservices. Eitzen Bulk and Eitzen Gas are involved in bulk and gas shipping respectively.

Figure 1: Shareholding st ructure of Camillo Eitzen & Co

Source: Company, CIMB Research

Details of the deal

BLTA will offer to buy 100% of CECO, via an exchange of shares. CECOshareholders will be first issued zero-coupon Mandatory Exchangeable Bonds (MEB),that automatically convert to BLTA shares on July 2010.

The price offered for CECO is US$174m, representing NOK25 per CECO share, or a270% premium to its last closing price. Upon conversion of the MEB, BLTA will

ultimately issue 1,978m new shares (at 49.13 BLTA shares for every CECO shareacquired). This means that the acquisition of CECO values BLTA at Rp842/share, or a2.7% premium to its current share price.

The board of CECO and its main shareholders representing 76% of the voting sharessupport the non-binding offer. BLTAs 59% shareholder, PT Tunggaladhi Baskara, alsosupports the deal.

BLTA will seek a secondary listing on the Oslo Stock Exchange after the completion ofthe deal. Completion is expected by end-November 2009.

The offer to buy CECO is conditional on the following.

Shareholder approval must be obtained from both companies, with 95% acceptancerequired at CECO.

Negotiations with CECOs lenders to restructure its debt and attached covenantsneed to be concluded satisfactorily. This may include three-year principal repaymentwaivers and the waiver of all debt covenants. CECO currently has a net gearing ratioof 4.2x.

BLTA needs to place out US$200m in new equity successfully. Assuming the sameissue price of Rp842/share, BLTA may issue 2,280m new shares. The proceeds maybe used to help CECO participate in ECHEMs capital raising, as well as for its

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working capital purposes.

PT Tunggaladhi Baskaras stake in BLTA may drop from 59% to 35% after fullconversion of the MEB and the issue of US$200m in new equity, but it will remain thesingle largest shareholder. Eitzen Holding should hold a 10% stake in the mergedentity, while the remaining 55% should be held by institutional investors and the freefloats in Indonesia, Singapore and Oslo.

Figure 2: Details of acquisiti on of Camillo Eitzen & Co ASA (CECO)

Acquisition costNo of CECO shares (m) 40.266 a

Current CECO share price (NOK) 6.75

Acquisition price/share (NOK) 25 b

Premium of acquisition price (%) 270.4%

Exchange rate (NOK:US$1) 5.80 c

Acquisition price (US$ m) 173.6 d = a * b * c

Implied valuation of BLTA s hares

BLTA shares to be issued (m) 1,978.3 e

Valuation per BLTA share (US$) 0.09 f = d / e

Exchange rate (Rp:US$1) 9,600

Valuation per BLTA share (Rp) 842.2

Current BLTA share price (Rp) 820.0

Premium against current price (%) 2.7%

Increase in BLTA's share base

Existing BLTA share base (m) 5,982 x

New shares for CECO purchase (m) 1,978

New general equity placement (m) 2,280

Enlarged BLTA share base (m) 10,240 y

Less: Treasury shares (m) -476

9,764

Increase in share base (%) 71.2% z = y / x


Our comments

Acquisition price seems fair. Consensus is currently forecasting core net losses forCECO in 2009 and 2010. As a result, it is not possible to assess the implied acquisitionP/E multiples. However, from a P/BV perspective, the acquisition price of NOK25implies 0.73x FY09 and 0.95x FY10 P/BV, which appear reasonable as they are below1x (Figure 3). During 4Q08, CECO wrote down the value of its fixed assets by 22%,mainly due to a US$447.5m charge for vessel impairments as their market values fell.

Huge jump in outstanding shares. We calculate that BLTAs share base will rise71.2% from 5,982m to 10,240m shares after the completion of the acquisition, with1,978m new shares issued as the purchase consideration and another 2,280m newshares issued in conjunction with the private placement (Figure 2).

Figure 3: CECOs financial projections (using consensu s forecasts)

2008A 2009F 2010F

Core net profit (US$ m) 17.4 -127.4 -55.7

No of shares (m) 40.266 40.266 40.266

Core EPS (US$) 0.43 -3.16 -1.38

Core EPS (NOK) 2.51 -18.35 -8.02

Acquisition core P/E (x) 9.97 n/a n/a

2008A 2009F 2010F

Shareholders' equity (US$ m) 365.2 237.8 182.1

No of shares (m) 40.266 40.266 40.266

Book value per share (US$) 9.07 5.91 4.52

Book value per share (NOK) 52.60 34.25 26.23

Acquisition P/BV (x) 0.48 0.73 0.95


The consolidated BLTA and CECO may not be profitable in 2010, if consensusearnings forecasts are accurate. Our forecast for BLTAs core net profit is US$16.5m in2010, against the consensus forecast of a US$55.7m core net loss for CECO. As aresult, the combined entity may suffer a core net loss of US$39.2m (Figure 4).

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However, this does not take into account potential cost synergies that may materialisefrom the operational merger. We understand that CECOs operational costs are high, asit employs expensive all-European crew and subcontracts ship management services tothird parties as opposed to the cheaper alternative of internally managing the ships.These arrangements may be reviewed once BLTA gains ownership. Nevertheless,when the combined entity ultimately becomes profitable, BLTA will have to contend withthe substantial increase in its share base that could depress EPS for some time.

From a book-value perspective, we expect BVPS to be diluted 35% fromUS$0.11/share in 2009 to US$0.07, assuming that the deal completes at the start of

2010. As a result, P/BV should rise from 0.8x to 1.2x. However, if group earnings turnout better than forecast, the book value dilution may be lower.

Figure 4: Impact of acquis ition on consoli dated EPS and BVPS

2008A 2009F 2010F

BLTA core net profit (US$ m) 70.4 9.9 16.5

CECO core net profit (US$ m) - - -55.7

Combined core net profit (US$ m) 70.4 9.9 -39.2

WA no of shares (m) 4,819 5,162 9,764 excl. treasury shares

Combined core EPS (US$) 0.01 0.00 0.00

Combined core EPS (Rp) 140.25 18.32 -38.55

Combined core P/E (x) 5.85 44.75 n/a

BLTA shh equity (US$ m) 530.4 598.8 505.6

CECO shh equity (US$ m) - - 182.1

Combined shh equity (US$ m) 530.4 598.8 687.7

Year-end no of shares (m) 4,819 5,506 9,764 excl. treasury shares

BVPS (US$) 0.11 0.11 0.07

BVPS (Rp) 1,056.53 1,044.06 676.13

P/BV (x) 0.78 0.79 1.21


The combined entitys gearing will increase, but remain manageable. Assumingthe acquisition was completed on 30 June 2009, net gearing would have risen from2.33x to 2.87x, which should still be manageable since covenants from rupiah-denominated bonds prescribe a maximum net gearing of 3.5x. This underlines theimportance of BLTAs US$200m private placement, without which we believe the

merged entity will breach its gearing limit.Eitzen group of companies have to restructure the terms of their debt. ECHEMand Eitzen Gas earlier received temporary waivers from financial covenants and thepostponement of instalments until 1 October 2009. Meanwhile, CECO was in breach ofits value-adjusted equity ratio for 2Q09 due to the lower market value of chemicalvessels. Negotiations are ongoing with lenders on a long-term financial plan, and thecompanies may seek three-year principal repayment waivers and the waiver of all debtcovenants. If these negotiations do not succeed, BLTA has the option to walk awayfrom its offer for CECO.

Figure 5: Impact of merger on net gearing (proform a as at 30 June 2009)

BLTA CECO Combined

Net debt (US$ m) 1,367.6 1,383.0 2,750.6

Equity (US$ m) - Indon GAAP 586.1 331.2 959.7 See below for calculationNet gearing (x) 2.33 4.18 2.87

US$ m

BLTA's equity as at 30 June 2009 - Indon GAAP 586.1

Add: Cost of CECO acquisition 173.6

Add: Private placement 200.0

Combined equity 959.7


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Chemical shipping giant emerges... The combination of BLTA and CECO will createone of the worlds largest chemical tanker operators. Based on 31 December 2008data, BLTAs fleet of chemical tankers will increase from 61 to 147, not countingnewbuildings, while deadweight tonne capacity will rise 135% to 2.3m dwt (Figure 6). Incomparison, Odfjell operates chemical tankers totalling 2.5m dwt , while Stolt-Nielsenoperates 2.2m dwt and Tokyo Marine operates 1.1m dwt.

In gas shipping, BLTAs capacity will rise by 88%, from 210,626 cubic metres to395,358 cu m. CECO also operates chartered-in bulk tonnage, with orders for severalnewbuildings.

Figure 6: Combined operating capacity o f BLTA and CECO (owned and leased)

BLTA CECO Combined Increase

Chemical tankers (no of ships) 61 86 147 141.0%

Chemical tankers (dwt) 960,086 1,297,613 2,257,699 135.2%

Gas tankers (no of ships) 12 35 47 291.7%

LPG gas tankers (cbm) 55,626 62,327 117,953 112.0%

LNG gas tankers (cbm) 155,000 - 155,000 0.0%

Ethylene gas tankers (cbm) - 122,405 122,405 nm

Total gas capacity (cbm) 210,626 184,732 395,358 87.7%

Oil tankers and others (no of ships) 15 7 22 46.7%

Bulk carriers (no of ships) 0 52 52 nm


but where are the profits? Despite the impressive chemical and gas tanker assetsthat CECO will bring, both these divisions lost money in 1H09. In fact, all of CECOprofits came from bulk shipping and ship management (Figure 7). In contrast, BLTA hadbeen much more profitable at the EBIT level. The challenge for BLTA is to restructureECHEM and Eitzen Gas and restore them to profitability.

Figure 7: Segment report (US$ m): 1H09

Revenue EBIT

BLTA CECO Total BLTA CECO Total

Chemical shipping 227.0 125.3 352.3 63.0 -16.2 46.8

Gas shipping 20.7 57.6 78.3 8.5 -2.7 5.8

Oil shipping 57.1 0.0 57.1 10.4 0.0 10.4Bulk shipping 0.0 110.5 110.5 0.0 16.2 16.2

Ship management 0.0 251.0 251.0 0.0 7.8 7.8

Others 0.9 -5.0 -4.1 -12.4 0.0 -12.4

305.7 539.4 845.1 69.5 5.1 74.6


Figure 8: Segmental breakdown BLTA

US$ m, FYE Dec 2008 2009F 2010F 2011F

Chemical 534.4 435.2 460.4 528.2Crude/Product/FPSO 151.4 101.7 105.9 110.2

LPG/LNG 36.8 39.6 42.4 49.3Others 1.3 1.0 1.0 1.0

Total revenue 724.0 577.5 609.7 688.7Chemical 165.2 93.3 105.2 125.4

Crude/Product/FPSO 52.3 25.2 27.2 29.5

LPG/LNG 14.4 13.3 13.0 12.3Others (37.0) (22.7) (34.0) (34.0)

Total EBIT 194.8 109.2 111.3 133.2


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Valuation and recommendation

Maintain UNDERPERFORM and target price of Rp660. We roll forward our targetprice to end-2010, though continuing to apply a 20% discount to our sum-of-the-partsvaluation to account for potential risks and dilution from the CECO acquisition. Ourtarget price of Rp660 remains, while our earnings forecasts are unchanged pending thecompletion of the deal.

BLTA is very hungry for growth. In late 2007, it wrapped up a US$850m debt-and-cash

acquisition of Chembulk, which in hindsight was purchased at the peak of the market.The current acquisition of CECO is much smaller at only US$174m, and is also better-timed as current second-hand vessel values are depressed. However, we are stillworried for several reasons.

First, CECO is expected to incur losses in 2009 and 2010. Both ECHEM and EitzenGas were loss-making in 1H09, in contrast to BLTAs profits. Despite the promise ofsynergies from scale, we are unsure how long it would take for CECO to turn profitable,or whether cultural issues might emerge in the process of the merger.

Second, CECO and its subsidiaries ECHEM and Eitzen Gas have debt repaymentissues with their lenders. CECO has a net debt-to-equity ratio of 4.2x, much higher thanBLTAs 2.3x. If the global economy does not turn around quickly, CECO may have tofall back on BLTAs balance sheet to solve its problems. It may become an unwelcomeburden on BLTAs shareholders. Already, we suspect part of BLTAs upcoming

US$200m equity placement could be used to support ECHEMs cash call.Last, a potential 71.2% rise in its share base from 5,982m shares to 10,240m shares tofinance the purchase could make it more difficult for the acquisition to be EPS andBVPS-accretive in the absence of a strong earnings recovery.

These concerns may in the near term dampen enthusiasm for the emergence of BLTAas a chemical tanker operator in the league of Odjfell and Stolt-Nielsen. We would havepreferred BLTA to buy vessels, rather than a group of companies with ongoing issueswith lenders. We expect this to be a de-rating catalyst.

Figure 9: Sum-of-the-parts valuation

Notes

US$ m

Current market value of owned fleet 2,298.8 As at 30 Jun 09Expected price correction from peak (%) 20.0%

Expected market value of owned fleet 1,839.0

+ Cost of vessels under construction 87.2 As at 30 Jun 09

+ Other fixed assets - at NBV 17.6 As at 30 Jun 09

1,943.8

+ Earnings of chartered-in fleet @ 4x P/E 54

+ Cash (end-10) 187

+ Available for sale investments (end-10) 129

- Debt (end-10) -1,862

+ Other net current assets (end-10) 39

Total RNAV (US$ m) 492

Exchange rate (Rp: US$1) 10,000

Total RNAV (Rp bn) A 4,925No of shares (m) B 5,981.6 Including treasury shares

Per share value (Rp) A / B 823.36

Discount for risk (%) 20.0%

Target price (Rp) 658.69


Figure 10: Sector comparisons

Target Core 3-yr EPS P/BV ROE Div

Bloomberg Price price Mkt cap P/E (x) CAGR (x) (%) yield (%)ticker Recom. (Local) (Local) (US$ m) CY2009 CY2010 (%) CY2009 CY2009 CY2009

BLTA BLTA IJ U 820 660 456 45.1 28.7 (25.8) 0.8 1.7 0.0

MISC MISC MK U 8.88 8.00 9,495 22.1 16.9 18.9 1.6 7.2 5.3

Simp le average 51.9 26.7 (6.9) 1.2 4.0 2.4

O = Outperform, N = Neutral, U = Underperform, TB = Trading Buy and TS = Trading SellSource: Company, CIMB Research

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Financial tables

PROFIT & LOSS KEY RATIOS

(US$ m, FYE Dec) 2007 2008 2009F 2010F 2011F (FYE Dec) 2007 2008 2009F 2010F 2011F

Revenue 398 724 578 610 689 Revenue growth (%) 18.7 81.7 (20.2) 5.6 13.0

Operating expenses (244) (427) (367) (398) (450) EBITDA growth (%) 5.9 92.3 (29.3) 0.7 12.7

EBITDA 155 297 210 212 238 Pretax margins (%) 21.1 23.9 1.9 (15.1) 4.9

Depreciation & amortisation (56) (102) (101) (100) (105) Net profit margins (%) 20.8 23.7 1.7 (15.3) 4.8

EBIT 99 195 109 111 133 Interest cover (x) 1.8 1.7 1.0 1.0 1.2

Net interest & invt income (44) (101) (101) (98) (103) Effective tax rates (%) 1.2 0.6 9.2 N/A 3.0Associates contribution 0 (17) 3 4 4 Net dividend payout (%) 19.5 1.0 0.0 N/A 0.0

Exceptional items 34 101 0 (110) 0 Debtors turnover (days) 60.6 43.1 54.1 46.7 45.2

Others (4) (5) 0 0 0 Stock turnover (days) 8.8 6.4 7.4 6.7 6.6

Pretax profi t 84 173 11 (92) 34 Creditors turnover (days) 11.5 8.1 10.0 9.2 9.0

Tax (1) (1) (1) (1) (1)

Minority interests 0 0 0 0 0

Net profi t 83 172 10 (93) 33

Adj. wt. shares (m) 4,368 4,819 5,162 5,506 5,506

Unadj. year-end shares (m) 4,159 4,589 5,506 5,506 5,506

BALANCE SHEET KEY DRIVERS

(US$ m, end Dec) 2007 2008 2009F 2010F 2011F (FYE Dec) 2008 2009F 2010F 2011FFixed assets 1,683 1,858 1,817 1,831 1,994 Fleet size (number of vessels) 87 91 95 104Intangible assets 80 42 42 42 42 No of chemical tankers 61 64 66 73

Other long-term assets 22 28 31 35 39 No of petroleum tankers 13 13 13 13

Total non-cu rrent assets 1,785 1,928 1,889 1,908 2,074 No of LPG ships 11 11 13 15

Cash and equivalents 240 64 239 187 144 No of offshore vessels 1 1 1 1

Stocks 13 13 11 12 13 No of LNG tankers 1 2 2 2

Trade debtors 76 95 76 80 91

Other current assets 86 146 146 146 146

Total curr ent assets 415 318 472 426 394

Trade creditors 15 17 15 16 18

Short-term borrowings 486 359 335 350 365

Other current liabilities 52 70 70 70 70

Total curr ent liabi liti es 553 446 419 436 453

Long-term borrowings 1,277 1,122 1,195 1,244 1,329

Other long-term liabilities 17 148 148 148 148Total long -term liabil ities 1,294 1,270 1,343 1,392 1,477

Shareholders fund s 353 530 599 506 538

Minority interests 0 0 0 0 0

NTA/share (Rp) 608 978 976 812 870

CASH FLOW 12M - FORWARD FD CORE P/E (X)

(US$ m, FYE Dec) 2007 2008 2009F 2010F 2011F

Pretax profit 84 173 11 (92) 34

Depreciation & noncash adj. 56 102 101 100 105

Working capital changes (23) (17) 19 (4) (10)

Cash tax paid (1) (3) (1) (1) (1)

Others (41) 33 98 204 99

Cash flow from operatio ns 76 288 228 207 228Capex (820) (408) (60) (115) (268)

Net investments & sale of FA (214) 229 0 0 0

Others 4 (58) 0 0 0

Cash flow from investing (1,030) (237) (60) (115) (268)

Debt raised/(repaid) 1,149 (80) 50 (46) 100

Equity raised/(repaid) (59) 6 59 0 0

Dividends paid (17) (23) 0 0 0

Cash interest & others (89) (130) (101) (98) (103)

Cash flow from financ ing 984 (227) 7 (144) (3)

Chang e in cash 30 (176) 175 (52) (44)

Chang e in net cash /(debt ) (1,119) (95) 125 (6) (144)

Ending net cash /(debt ) (1,523) (1,416) (1,291) (1,407) (1,550)

9.0

14.0

19.0

24.0

29.0

34.0

39.0

Oct-06 Feb-07 Jun-07 Oct-07 Feb-08 Jun-08 Oct-08 Feb-09 Jun-09 Oct-09

Source: Company, CIMB Research, Bloomberg

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DISCLAIMER

This report is not directed to, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in any locality, state, country or otherjurisdiction where such distribution, publication, availability or use would be contrary to law or regulation.

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The term CIMB shall denote where applicable the relevant entity distributing the report in that particular jurisdiction where mentioned specifically below shall be a CIMBGroup Sdn Bhds affiliates, subsidiaries and related companies.

(i) As of 5 October 2009, CIMB has a proprietary position in the following securities in this report:

(a) Berlian Laju Tanker(ii) As of 6 October 2009, the analyst, Raymond Yap who prepared this report, has an interest in the securities in the following company or companies covered or

recommended in this report:

(a) -.

The information contained in this research report is prepared from data believed to be correct and reliable at the time of issue of this report. This report does not purportto contain all the information that a prospective investor may require. CIMB or any of its affiliates does not make any guarantee, representation or warranty, express orimplied, as to the adequacy, accuracy, completeness, reliability or fairness of any such information and opinion contained in this report and accordingly, neither CIMBnor any of its affiliates nor its related persons shall be liable in any manner whatsoever for any consequences (including but not limited to any direct, indirect orconsequential losses, loss of profits and damages) of any reliance thereon or usage thereof.

This report is general in nature and has been prepared for information purposes only. It is intended for circulation amongst CIMB and its affiliates clients generally anddoes not have regard to the specific investment objectives, financial situation and the particular needs of any specific person who may receive this report. Theinformation and opinions in this report are not and should not be construed or considered as an offer, recommendation or solicitation to buy or sell the subject securities,related investments or other financial instruments thereof.

Investors are advised to make their own independent evaluation of the information contained in this research report, consider their own individual investment objectives,financial situation and particular needs and consult their own professional and financial advisers as to the legal, business, financial, tax and other aspects before

participating in any transaction in respect of the securities of company(ies) covered in this research report. The securities of such company(ies) may not be eligible forsale in all jurisdictions or to all categories of investors.

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RECOMMENDATION FRAMEWORK #1*

STOCK RECOMMENDATIONS SECTOR RECOMMENDATIONS

OUTPERFORM: The stock's total return is expected to exceed a relevant

benchmark's total return by 5% or more over the next 12 months.

OVERWEIGHT: The industry, as defined by the analyst's coverage universe, is

expected to outperform the relevant primary market index over the next 12months.

NEUTRAL: The stock's total return is expected to be within +/-5% of a relevantbenchmark's total return.

NEUTRAL: The industry, as defined by the analyst's coverage universe, isexpected to perform in line with the relevant primary market index over the next12 months.

UNDERPERFORM: The stock's total return is expected to be below a relevantbenchmark's total return by 5% or more over the next 12 months.

UNDERWEIGHT: The industry, as defined by the analyst's coverage universe,is expected to underperform the relevant primary market index over the next 12months.

TRADING BUY: The stock's total return is expected to exceed a relevantbenchmark's total return by 5% or more over the next 3 months.

TRADING BUY: The industry, as defined by the analyst's coverage universe, isexpected to outperform the relevant primary market index over the next 3months.

TRADING SELL: The stock's total return is expected to be below a relevantbenchmark's total return by 5% or more over the next 3 months.

TRADING SELL: The industry, as defined by the analyst's coverage universe,is expected to underperform the relevant primary market index over the next 3months.

* This framework only applies to stocks listed on the Singapore Stock Exchange, Bursa Malaysia, Stock Exchange of Thailand and Jakarta Stock Exchange. Occasionally, it is permitted for the total expected returns to betemporarily outside the prescribed ranges due to extreme market volatility or other justifiable company or industry-specific reasons.

CIMB-GK Research Pte Ltd (Co. Reg. No. 198701620M)

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RECOMMENDATION FRAMEWORK #2**

STOCK RECOMMENDATIONS SECTOR RECOMMENDATIONS

OUTPERFORM: Expected positive total returns of 15% or more over the next12 months.

OVERWEIGHT: The industry, as defined by the analyst's coverage universe,has a high number of stocks that are expected to have total returns of +15% orbetter over the next 12 months.

NEUTRAL: Expected total returns of between -15% and +15% over the next12 months.

NEUTRAL: The industry, as defined by the analyst's coverage universe, haseither (i) an equal number of stocks that are expected to have total returns of+15% (or better) or -15% (or worse), or (ii) stocks that are predominantlyexpected to have total returns that will range from +15% to -15%; both over thenext 12 months.

UNDERPERFORM: Expected negative total returns of 15% or more over thenext 12 months.

UNDERWEIGHT: The industry, as defined by the analyst's coverage universe,has a high number of stocks that are expected to have total returns of -15% orworse over the next 12 months.

TRADING BUY: Expected positive total returns of 15% or more over the next 3months.

TRADING BUY: The industry, as defined by the analyst's coverage universe,has a high number of stocks that are expected to have total returns of +15% orbetter over the next 3 months.

TRADING SELL: Expected negative total returns of 15% or more over the next3 months.

TRADING SELL: The industry, as defined by the analyst's coverage universe,has a high number of stocks that are expected to have total returns of -15% orworse over the next 3 months.

** This framework only applies to stocks listed on the Hong Kong Stock Exchange and China listings on the Singapore Stock Exchange. Occasionally, it is permitted for the total expected returns to be temporarily outside theprescribed ranges due to extreme market volatility or other justifiable company or industry-specific reasons.

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BerlianLaju-061009(1)