Jakarta Daily Monday, November 22, 2010

Morning Brief
IDX (11/19/2010) 3,725.05

Change : 47.14 (1.28%)

Transaction Volume (bn) : 9.03

Transaction Value (Rp tn) : 6.88

Market Cap (Rp tn) : 3,206

Global Indices Chg (%)

Dow Jones (11/19) 11,203.55 22.32 0.20%

Nasdaq (11/19) 2,518.12 3.72 0.15%
Market Review
S&P 500 (11/19) 1,199.73 3.04 0.25%
IDX managed to be closed with a significant gain on last Friday’s trading
FTSE 100 (11/19) 5,732.83 -35.88 -0.62% session responding to the positive trend from global markets a day before
as IDX responded with a 1.28% gain while other asian bourses have a
DAX (11/19) 6,843.55 11.44 0.17% mixed closed situation. The clearer situation on Euro Zone regarding Ireland
CAC 40 (11/19) 3,860.16 -7.81 -0.20% wilingness to open for EU, ECB and IMF to investigate on its debt condition
and the succesfull come back of GM to US stocks markets eventually
Nikkei (11/19) 10,022.39 8.76 0.09% brought positive trend on global stocks markets a day before last Friday and
Hang Seng (11/19) 23,605.71 -31.68 -0.13% in the end also brought positive effect on IDX.
Straits Times (11/19) 3,197.37 -17.85 -0.56%
Market Outlook
Kospi (11/19) 1,940.96 13.1 0.68%
• US stocks markets ended up higher on last Friday’s trading
Commodity Prices (*) Chg (%) session to end its flat weekly movement. The certainty from Euro
Crude Oil (US$/Barrels) 82.41 0.41 0.50%
Zone as Ireland government has admited that they would receive a
bailout from EU and IMF with amount would be less than 100
Gold (US$/Troy Ounce) 1,357.50 0.10 0.01% billion Euros or smaller than the bailout amount of Greece spurred
Nickel LME (US$/MT) 21,685 185 0.86%
US stock markets to ended positive last week. But reflecting on flat
weekly situation, investors in US stocks markets likely remain
Tin LME (US$/MT) 25,250 -145 -0.57% cautious as they still worry on a potential slowdown in Chinese
CPO BMD (MYR/Ton) 3,326 8 0.24%
Growth and sovereign debt concerns in Euro zone remain high as
investors now turn their eyes on Portugal and Spain as both
(*) : - Nickel & Tin Closing Price per Nov 19, 2010 countries also have large budget deficits like Greece and Ireland.
- Crude Oil & Gold Closing Price per 08:25 Local Time

Dual Listing (NYSE) Chg Rp • Meanwhile European shares ended mixed as Chinese decision to
raise its banking reserve requirements hurting mining companies
TLKM (US$) 37.44 0.13 8,354
and the decision from Ireland’s government to receive a bailout
ISAT (US$) 31.89 -0.31 5,692 made investors worry about the potential spreading to countries
like Portugal and Spain.
Key Interest Rates Latest Previous

BI-Rate 6.50% 6.50%

• Asian stocks markets on this morning’s opening trading session
seen mixed as investors feeling cautious by the latest move from
Fed-Rate 0-0.25% 0-0.25% Chinese Government to tackle its inflation by raising its banking
reserve requirements by 50 basis points starting beginning on
Exchange Rate Rp Chg (%) November 29. This morning Kospi and Taiwan seen advancing by
0.43% and 0.46% while Straits Times and Shanghai seen lower by
US$/IDR (08:25 Local Time) 8,925 -8.00 -0.09% 0.40% and 0.75% per 09:00 local time.
KRW/IDR (08:25 Local Time) 7.88 0.00 -0.06%
• We expect IDX on today’s trading session will likely volatile with a
potential profit taking after having a significant gain on last Friday.
We expect IDX to move between support level 3,694-3,701 and
resistance level 3,740-3,748.

Research Analyst : Teuku Hendry Andrean

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Jakarta Daily Morning Brief Monday, November 22, 2010

News
Shareholders have Approved BSDE’s Plan to Acquire Three Affiliated Companies
Property developer PT Bumi Serpong Damai (BSDE) will become the largest property
company in Indonesia by acquiring three affiliated companies namely PT Duta Pertiwi
(DUTI), PT Sinar Mas Wisesa (SMW), and PT Sinar Mas Teladan (SMT). This plan has been
approved by the company’s shareholders in a general meeting of extraordinary shareholders
(RUPS) held last Friday. Shareholders of BSDE also approved the plan of rights issue with
total value amounting IDR 4.98 trillion with a rights issue price of IDR 760 per share as much
as IDR 6.56 billion shares. About 87.4% of the right issue funds or IDR 4.36 billion will be
used to finance the acquisition of three companies DUTI, SMW, and SMT. The remaining
12.6% or a total of IDR 628.3 billion will be used for working capital to support the phase II of
infrastructure development and housing development.

ADRO has Signed Three Long Term Coal Barging Contracts

PT Adaro Energy Tbk (ADRO) last Friday announced that its wholly-owned PT Adaro
Indonesia has signed three long term coal barging contracts last Friday in a bid to strengthen
the barging segment of the coal supply chain and lower freight rates by an estimated 15%.
The deals were done to support growth, improve efficiency, and lengthen the maturity of
contracted barging volumes. Following a tender process and negotiations, Adaro
simultaneously signed contracts with three of its six existing contractors, PT Pulau Seroja
Jaya, subsidiary of Singapore-listed Seroja Investments Pte Ltd, PT Mitra Bahtera Segara
Sejati (MBSS), and PT Mandiri Abadi Maritim.

Vice President of ECB Predicts Ireland Bailout will not Reduce Financial Pressure
Vice President of the European Central Bank (ECB), Vitor Constancio predicts Ireland bailout
will not reduce financial pressure on the euro area. Analysts from Citigroup Inc. and Nomura
International Plc said, any assistance to the Irish will be short-lived as investors change their
focus to a country with weak financial system next, referring to Portugal. The market showed
bond yields 10-year Portugal at 6.89 percent, far smaller than the 8.25 percent and 11.67
percent owned by Ireland and Greece, who received the rescue funds in May from the
European Union and the International Monetary Fund (IMF). Portuguese Finance Minister
Fernando Teixeira dos Santos said on last November 15 that it would be no risk of
transmission, it does not mean these countries will be vying for financial assistance.

Stock Pick
CODE CLOSE S2 S1 R1 R2 REC

BUMI 2850 2750 2775 2925 2975 Reduce

Trading
DOID 1200 1020 1110 1260 1320
Buy

BRAU 530 500 510 530 540 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 UNVR 17450 16650 17050 17650 17950 Accumulate
available to others. Under no circum-
stances is it to be considered as an offer to
sell or solicitation to buy any security, Any Sell On
KLBF 3200 3050 3150 3250 3275
recommendation contained in this report Strength
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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