Jakarta Daily Wednesday, December 8, 2010

Morning Brief
IDX (12/06/2010) 3,722.35

Change : 26.09 (0.71%)

Transaction Volume (bn) : 4.91

Transaction Value (Rp tn) : 6.19

Market Cap (Rp tn) : 3,222

Global Indices Chg (%)

Dow Jones (12/07) 11,359.16 -3.03 -0.03%

Nasdaq (12/07) 2,598.49 3.57 0.14%
Market Review
S&P 500 (12/07) 1,223.75 0.63 0.05%
IDX managed to kept its positive trend in 4 days in a row as it managed to
FTSE 100 (12/07) 5,808.50 38.2 0.66% be closed positive yet again on last Monday’s trading session just before
Muharam holiday yesterday. Driven by the foreign net buy position
DAX (12/07) 7,001.91 47.53 0.68% amounted Rp 726.06 billion, IDX succesfully followed Straits Times, Taiwan
CAC 40 (12/07) 3,810.50 61.27 1.63% and Shanghai composite which also closed positively differ compare to
other Asian bourses such as Nikkei, Hang Seng and Kospi which closed
Nikkei (12/07) 10,141.10 -26.13 -0.26% negatively. The following stocks which drove IDX to positive zone are BUMI,
Hang Seng (12/07) 23,428.15 190.46 0.82% ASII, ADRO, BMRI and ITMG.
Straits Times (12/07) 3,191.88 10.47 0.33%
Market Outlook
Kospi (12/07) 1,962.52 8.88 0.45%
• US stocks markets ended mixed on yesterday’s trading session on
Commodity Prices (*) Chg (%) the fear of the result from Wall Street insider trading probe as
Crude Oil (US$/Barrels) 88.28 -0.41 -0.46%
Federal Authorities have claimed that they were already ramping
up the case. US stocks markets at the opening trading session
Gold (US$/Troy Ounce) 1,401.90 -7.10 -0.50% actually have experienced a gain following White House
Nickel LME (US$/MT) 24,050 600 2.56%
preliminary agreement with congressional officials to extend
income and dividend tax cuts, as well as payroll taxes and
Tin LME (US$/MT) 26,180 720 2.83% unemployment benefits despite President Obama had to face of
CPO BMD (MYR/Ton) 3,610 94 2.67%
strong democratic opposition. This compromise has removed
some uncertainty and made a positive impact on the market as
(*) : - Nickel & Tin Closing Price per Dec 7, 2010 investors believe that this is going to turn the economy around.
- Crude Oil & Gold Closing Price per 08:30 Local Time

Dual Listing (NYSE) Chg Rp • The US extended tax cuts also made a positive impact on
European stocks markets as European shares succesfully hit 4-
TLKM (US$) 36.41 0.01 8,201
week closing high as investors in Europe see this as economic
ISAT (US$) 31.99 0.10 5,765 recovery hopes on global economy. But some of the investors still
remain wary as uncertainty about the Euro Zone debt crisis could
Key Interest Rates Latest Previous make an instant fall on the stocks markets.

BI-Rate 6.50% 6.50%

• While Asian stocks markets at this morning’s opening trading
Fed-Rate 0-0.25% 0-0.25% session seen mixed with Nikkei and KLSE seen advancing by
0.77% and 0.48% while Straits Times, Hang Seng and Kospi seen
Exchange Rate Rp Chg (%) lower by 0.04%, 0.28% and 0.13% per 09:05 local time.
US$/IDR (08:30 Local Time) 9,010 10.00 0.11%
• We expect IDX to make a consolidative move at today’s trading
KRW/IDR (08:30 Local Time) 7.95 0.04 0.46% session although IDX still remain on the positive trend for a mid-
term period. We expect IDX to move between support level 3,703-
3,709 and resistance level 3,735-3,741.

Research Analyst : Teuku Hendry Andrean

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Jakarta Daily Morning Brief Wednesday, December 8, 2010

News
SMGR will Pay Interim Dividend Rp 58 per Share on January 4, 2011
PT Semen Gresik (Persero) Tbk (SMGR) will distribute an interim dividend of fiscal year
2010 from net income as of 30 September 2010 amounting to Rp 2.52 trillion. The interim
dividend that will be paid in the amount of Rp 58 per share or equivalent to Rp 344.03 billion.
Cum Dividend in the regular market and negotiations set on December 27, 2010 and on
December 30, 2010 on cash market. The beginning of period stock trading without dividend
rights (Ex-Dividend) in the regular market and negotiations set on December 28, 2010 and in
the cash market on January 3, 2011. Interim dividend payment date set at January 4, 2011.

TINS is Expected to Allocate Capex More Than IDR 800 Billion in This Year
PT Timah Tbk (TINS) is expected to allocate capital expenditure (capex) more than IDR 800
billion in 2010 to continue its business expansion. Several expansions to do next year
include finishing the construction of Tin Chemical facility in Banten, assembling production
equipment, and constructing bucket wheel drive. One work to continue is procuring
production suction vessel. The company target to own 5 units. But, the company will possibly
have only 3 units, and the remaining 2 units will be acquire in 2011. Through September,
Timah had absorbed not more than 50% of the capital expenditure (capex) allocated this
year as much as IDR 800 billion. The assumed low capex was caused by slow business
realization, which has been maximized since the fourth quarter of 2010.

PT Martina Berto Plans to do an IPO on January 13, 2011

Cosmetics maker PT Martina Berto plans to dispose 355 million new shares or 33.17%
stakes worth IDR 270 billion via initial public offering scheduled on January 13 2011. PT
Trimegah Securities is a single underwriter for Martina Berto. Considering the IPO proceed,
Martina Berto might offer the IPO at IDR 760 per share. Referring to the prospectus, Martina
requires IDR 135 billion from the proceed to build new plant at Cikarang as well as the
purchase of machinaries and production equipments. The company will use IDR 54 billion
from the proceed to settle its debt to PT Bank CIMB Niaga Tbk and IDR 81 billion will be
required to support working capital. Post IPO, PT Marthana Megahayu Inti controls 66.82%
holding in Martina Berto, PT Marthana Megahayu and PT Bringin Wulanki Ayu hold minority
stake, and public shareholders own 33.17%. Martina Berto posted IDR 257.87 billion sales
as of June 2010, IDR 137.38 billion gross profit, and IDR 17.36 billion operating profit, and
IDR11.82 billion net profit.

Stock Pick
CODE CLOSE S2 S1 R1 R2 REC

BUMI 3075 2950 3025 3125 3150 Hold

MPPA 1750 1660 1710 1780 1820 Reduce

BBRI 11500 11350 11450 11550 11650 Hold

Disclaimer : This document is for infoma-
tion only and for the use of the recipient. It
is not to be reproduced or copied or made SMGR 9550 9400 9450 9650 9750 Buy
available to others. Under no circum-
stances is it to be considered as an offer to
sell or solicitation to buy any security, Any Trading
KLBF 3725 3625 3675 3775 3825
recommendation contained in this report Buy
may not to be suitable for all investors.
Moreover, although the information Remarks : S2 = Support 2 REC Definitions : Buy = Enter a long position with full amount
contained herein has been obtained from S1 = Support 1 Accumulate = Enter a long position with portion of the amount
sources believed to be reliable, its accu- R1 = Resistance 1 Hold = Do not cover or sell current position / Do not initiate new position
racy, completeness and reliability cannot R2 = Resistance 2 Reduce = Sell a portion of a position
be guaranteed. All rights reserved by PT REC = Recommendations Sell = Sell the full position
Woori Korindo Securities Indonesia Sell On Strength = Sell the position in R1 or R2 Level
Trading Buy = Speculative Buy and Sell the position at R1 or R2 Level

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