Asiamoneys

2013

Best Domestic

Equity House

8 May 2015

Disclosure: Bahana Securities does and seeks to do business with companies covered in its research reports. Investors should consider this report as only a single factor

in making their investment decision.

2014Finance Asia's

Best Equity House

Asiamoney's2013

Best DomesticEquity House

Alpha Southeast Asia

2014 Best Research Call FMCG Sector

Beacon Indonesia Morning Brief

IDX: 5,151 (-0.7%) Turnover: IDR4.9tn (+1.1%)

Foreign net SELL: IDR350bn (-57.6%)

SPOTLIGHT Pelayaran Tempuran Emas (TMAS IJ): Smooth sailing Analyst: Agustinus Reza Kirana Biggest listed container cargo services play with diversified client base Beneficiary of Jokowis maritime measures, lower rentals/fuel costs Cheap on 56% discount to the region; BUY on 53% upside potential To see the full version of this report, please click here

TODAYS NEWS POLITICS Commission IV recommends Minister Susi to be dismissed ECONOMICS IMF: 2015F GDP growth potentially below 5.2% y-y BI: 2015F CAD to maintain at 2.5-3.0% of GDP MoF to take legal measures to protect tax officers INDUSTRY Government asked BI to lower benchmark rates SOE construction consortium to issue IDR50tn bond OJK will cooperate with Maritime Ministry BI: Loan growth slowed to 11.4% in March 2015 Property: PPh22 threshold reduced President Jokowi signs palm-export levy to fund biodiesel APTB to stop operations in Jakarta next week Industrial-land ASP up 23.5% y-y in greater Jakarta area China to expand ban on use of coal Pertamina postpones sale of Pertalite CORPORATE

TLKM analyst meeting ASII to launch new Avanza-Xenia model in July; Daihatsu to invest

IDR1.1tn for new model KLBF allocates IDR100bn per annum for R&D SSIA 1Q15 result: IDR1.3tn revenue; IDR203.8bn net income JSMR begins Kejapan-Gempol toll-road sections operation BSDE to distribute IDR289bn in dividends

INDICES Asia Last Chg% ytd % y-y %

Hang Seng (HK) 27,290.0 (1.3) 15.6 25.5

IDX (Indonesia) 5,150.5 (0.7) (1.5) 5.9

KLCI (Mal.) 1,805.1 (0.9) 2.5 (3.0)

KOSPI (Korea) 2,091.0 (0.6) 9.2 7.8

Nikkei (Japan) 19,292.0 (1.2) 10.6 33.4

PCOMP (Phil.) 7,816.3 (0.7) 8.1 15.8

SENSEX (India) 26,590.8 (0.5) (3.3) 19.1

SET (Thailand) 1,498.3 (1.4) 0.0 6.8

SHCOMP (China) 4,112.2 (2.8) 27.1 104.6

SHENZHEN (China) 2,181.3 (1.2) 54.1 112.2

STI (Singapore) 3,432.8 (0.8) 2.0 6.1

TWSE (Taiwan) 9,704.1 (1.2) 4.3 9.1

VNI (Vietnam) 553.0 0.7 1.3 (1.2)

Europe, USA and Ems

CAC 40 (France) 4,967.2 (0.3) 16.3 10.2

DAX (Germany) 11,408.0 0.5 16.3 18.7

Dow Jones (USA) 17,924.1 0.5 0.6 8.3

FTSE 100 (UK) 6,887.0 (0.7) 4.9 0.7

IBOV (Brazil) 56,921.4 (0.3) 13.8 6.5

MEXBOL (Mexico) 44,768.8 (0.2) 3.8 7.5

NGSEINDX (Nigeria) 34,400.5 (0.1) (0.7) (11.0)

Nasdaq (USA) 4,945.5 0.5 4.4 22.1

RTSI (Russia) 1,060.7 (0.5) 34.1 (14.0)

S&P 500 (USA) 2,088.0 0.4 1.4 11.3

XU100 (Turkey) 82,570.2 0.2 (3.7) 9.0 Source: Bloomberg

ETF, ADR & COMMODITIES Last Chg% ytd % y-y %

EIDO US (USD) 25.5 0.2 (7.1) (8.3)

TLK US (IDR) 2,833 2.7 (4.2) 5.3

Aluminum (USD/mtn) 1,883.0 (2.0) 1.6 6.4

Coal (USD/t) 58.3 (2.3) (6.4) (21.0)

Corn (USD/mtn) 136.0 (1.4) (5.0) (31.0)

Coffee (USD/t) 2,696.0 (5.4) (17.4) (30.0)

Copper (USD/t) 6,437.0 0.6 1.2 (4.9)

Cotton (USD/t) 1,444.7 (0.5) 8.7 (29.2)

CPO (MYR/t) 2,173.0 1.1 (5.4) (17.3)

Gold (USD/oz.) 1,183.7 (0.6) (0.1) (8.2)

Iron ore (USD/mtn) 59.3 1.4 (14.4) (41.9)

Milk (USD/cwt) 17.0 0.8 8.2 (4.8)

Nickel (USD/t) 13,915.0 (3.5) (6.8) (30.8)

Oil Brent (USD/barrel) 65.6 (3.2) 14.5 (39.2)

Oil WTI (USD/barrel) 59.0 (2.3) 10.8 (41.1)

Rice (IDR/kg) 8,600.0 0.0 1.2 1.8

Rubber (USD/t) 1,525.0 (2.0) 0.7 (8.4)

Silver (USD/oz) 16.3 (1.2) 3.8 (15.0)

Soybean oil (USD/t) 718.3 (1.0) 1.9 (20.8)

Steel (USD/t) 406.5 (0.3) (15.5) (26.0)

Sugar (USD/t) 376.8 (0.8) (6.0) (21.5)

Tins (USD/t) 16,055.0 0.2 (17.7) (31.1)

Wheat (USD/t) 173.5 (1.5) (21.0) (37.7) Source: Bloomberg

ECONOMIC INDICATORS MARKET DATA

14A 15F 16F

14A 15F 16F

Cur acc bal (%GDP) (3.0) (2.3) (2.5) Op.prof.gwt.(%) 10.9 10.5 11.7

Fiscal bal (%GDP) (2.3) (2.2) (2.2) EPS growth (%) 12.3 10.3 9.5

GDP growth (%y-y) 5.0 5.0 5.3 P/E (x) 21.7 20.9 17.4

Private spending (%) 5.1 5.0 5.2 PEG (x) 1.8 2.0 1.8

Investment (%y-y) 4.1 4.1 4.7 EV/EBITDA (x) 11.7 9.4 8.6

Total exports (%y-y) 1.0 0.8 0.9 P/BV (x) 13.4 8.6 7.4

Total imports (%y-y) 2.2 (1.8) (2.1) P/BV exc. 3.5 3.1 2.7

Inflation (%y-y) 8.4 4.3 5.1 Div. Yield (%) 2.2 2.3 2.6

IDR/USD 12,385 13,000 13,150 Net gearing (%) 19.3 17.8 14.6

BI rate (% p.a.) 7.75 7.25 7.25 ROAE (%) 30.2 33.2 30.5

Brent Oil (Usd/bbl) 57.3 65.0 75.0 ROAA (%) 11.2 11.6 11.5

FX reserve (USDb) 111.9 114.0 120.5 ROIC (%) 23.3 26.8 29.6 Source: Bahana estimates, Source: Bahana estimates

CURRENCIES & RATES Last Prev. Ytd % y-y %

AUD/USD 0.789 0.795 3.4 15.8

EUR/USD 1.125 1.134 7.0 18.7

IDR/USD 13,151 13,035 (6.2) (13.6)

JPY/USD 119.740

119.380

0.0 (17.8)

SGD/USD 1.333 1.324 (0.5) (6.8)

JIBOR (%) 5.66 5.68 (0.2) (0.2)

BI rate (%) 7.50 7.50 (0.3) 0.0

TD 1 month (%) 7.23 7.32 0.1 0.4

CDS (bps) 167.63 162.72 4.6 10.2 Source: Bloomberg

http://asiaresearch.daiwacm.com/eg/cgi-bin/files/20150507id_PelayaranTempuranEmas.pdf#page=1

PT Bahana Securities Equity Research Bahana Beacon - The Daily 2

2014Finance Asia's

Best Equity House

Asiamoney's2013

Best DomesticEquity House

Alpha Southeast Asia

2014 Best Research Call FMCG Sector

POLITICS

Commission IV recommends Minister Susi to be dismissed

Commission IV of the House, in charge of forestry, fishery and food, has recommended the Minister of

Maritime Industry, Susi Pudjiastuti to be dismissed. Deputy Head of Commission IV, Herman Khaeron stated

that, Susi and Amran, the Agriculture Minister has not been able improve peoples welfare. (Vivanews.co.id)

ECONOMICS

IMF: 2015F GDP growth potentially below 5.2% y-y

The International Monetary Fund (IMF) though its Deputy for Asia and Pacific region, Kalpana Kochhar,

stated that Indonesias 2015 GDP growth could potentially only expand by 5%, below the current IMFs

estimate of 5.2% y-y, due to sluggish global economies, especially in China and Japan. (The Jakarta Post)

BI: 2015F CAD to maintain at 2.5-3.0% of GDP

The Central Bank of Indonesia (BI) plans to maintain 2015F CAD at 2.5-3.0% of GDP amid higher forex

demand in 2Q15 for foreign debt payments. Additionally, BI also urges all institutions to anticipate inflation

hike in 3Q15 from Ramadhan and Lebaran. (Koran Tempo, Indonesia Finance Today)

MoF to take legal measures to protect tax officers

President Jokowis administration through the MoF is preparing to issue a Presidential Instruction (Inpres),

to assure officials at the tax directorate general would not be criminalized by other government agencies.

Bambang Brodjonegoro, the Finance Minister, stated that this Inpres is aimed to provide legal certainty to

tax officers, on collections free from criminalization. (Jakarta Globe)

INDUSTRY

Government asked BI to lower benchmark rates

The government and The Central Bank of Indonesia (BI) clashed regarding where interest rates should go as

the slowdown in Southeast Asias biggest economy deepened. Vice President, Jusuf Kalla, stated that

authorities will gradually cut borrowing costs and should do so without deterring people from putting money

in the bank. Meanwhile, BI Governor, Agus Martowardjojo, countered with a pledge to maintain a tight

monetary stance. (Bloomberg, Kontan)

SOE construction consortium to issue IDR50tn bond

The Minister of State-Owned Enterprises (SOE), Rini Soemarno, stated that a SOE construction consortium,

including Hutama Karya, Waskita (WSKT IJ-HOLD-IDR1,775-TP:IDR1,900), Jasa Marga (JSMR IJ-BUY-

IDR6,300-TP:IDR7,500), and Wijaya Karya (WIKA IJ-REDUCE-IDR3,020-TP:2,500), is planning to issue

IDR50tn in bonds in August 2015. The proceeds of the issuance would be used to finance the Trans Sumatra

mega project. Rini also stated that stand-by buyers are two banks from China, ICBC and CBD.

(Metrotvnews.com)

OJK will cooperate with Maritime Ministry

The Financial Services Authority (OJK) will cooperate with the Maritime Ministry to establish loans for the

maritime sector program (Jaring Program). Note that there are 8 interested banks to join this program,

including Bank Rakyat Indonesia (BBRI IJ-BUY-IDR11,625-TP:IDR14,200), Bank Negara Indonesia (BBNI IJ-

BUY-IDR6,650-TP:IDR7,700), Bank Mandiri (BMRI IJ-BUY-IDR11,275-TP:IDR12,800), Bank Danamon

(BDMN IJ-HOLD-IDR4,100-TP:IDR4,500), Bank Tabungan Pensiunan Negara (BTPN IJ-HOLD-IDR4,000-

TP:IDR4,200), and Bank Bukopin (BBKP IJ-HOLD-IDR690-TP:IDR700). (Kontan)

BI: Loan growth slowed to 11.4% in March 2015

The Central Bank of Indonesia indicated March 2015 total loans of IDR3,714tn, up 11.4% y-y, a deceleration

when compared to March 2014s loan growth of 19.4% y-y and February 2015s level of 12.0% y-y.

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