Jakarta Daily Thursday, December 2, 2010

Morning Brief
IDX (12/01/2010) 3,619.09

Change : 87.88 (2.49%)

Transaction Volume (bn) : 8.27

Transaction Value (Rp tn) : 8.51

Market Cap (Rp tn) : 3,139

Global Indices Chg (%)

Dow Jones (12/01) 11,255.78 249.76 2.27%

Nasdaq (12/01) 2,549.43 51.2 2.05%
Market Review
S&P 500 (12/01) 1,206.07 25.52 2.16%
IDX at yesterday’s trading session managed to record an impressive
FTSE 100 (12/01) 5,642.50 114.23 2.07% technical rebound as it gained more than 2%. IDX was able to embraced
the positive trend from other Asian bourses and the positive opening from
DAX (12/01) 6,866.63 178.14 2.66% European stocks markets which encouraged by the positive economic data
CAC 40 (12/01) 3,669.29 58.85 1.63% from China as its manufacturing activity rose to a 7-month high with 55.2 in
November 2010 from 54.7 in October 2010. although this latest news put
Nikkei (12/01) 9,988.05 51.01 0.51% more concern about potential interest rate hike, but it was able to brought
Hang Seng (12/01) 23,249.80 241.81 1.05% back investor’s apetite for stocks for now.
Straits Times (12/01) 3,181.94 37.24 1.18%
Market Outlook
Kospi (12/01) 1,929.32 24.69 1.30%
• US stocks markets ended significantly higher as US investors
Commodity Prices (*) Chg (%) embraced positively on solid manufacturing data from China along
Crude Oil (US$/Barrels) 86.55 2.37 2.82%
with the comment from European Central Bank President about
support for the eurozone financial system as he also made hints of
Gold (US$/Troy Ounce) 1,391.60 4.80 0.35% increased bond purchases. The positive gain from US stocks
Nickel LME (US$/MT) 23,305 710 3.14%
markets also spurred by the latest Fed’s Beige Book result with 10
of The Fed’s 12 regions reported US economic growth at a “slight
Tin LME (US$/MT) 25,125 990 4.10% to modest” pace which is considered as a stronger pace compared
CPO BMD (MYR/Ton) 3,486 74 2.17%
to the previous Fed’s Beige Book report.

(*) : - Nickel & Tin Closing Price per Dec 1, 2010

- Crude Oil & Gold Closing Price per 08:30 Local Time • After opened positively, European stocks markets ended their
trading session by a significant gain with FTSE 100, DAX and CAC
Dual Listing (NYSE) Chg Rp 40 closed higher more than 1%-2% spurred by the positive
manufacturing data from China and solid growth on US labor data.
TLKM (US$) 36.58 0.59 8,231
The solid growth on US labor data was based on ADP Employment
ISAT (US$) 29.67 -0.63 5,341 Report per November which shown a 93,000 private sector jobs,
higher than previous period with 82,000 and also higher than
Key Interest Rates Latest Previous consensus figures with 58,000.

BI-Rate 6.50% 6.50%

• This morning Asian stocks markets seen advancing with Nikkei,
Fed-Rate 0-0.25% 0-0.25% Hang Seng and Kospi gaining 1.85%, 1.31% and 0.88% per 09:05
local time.
Exchange Rate Rp Chg (%)

US$/IDR (08:30 Local Time) 9,000 -35.00 -0.39%

• We expect IDX to have a big chance to proceed its positive trend
on today’s trading session following the positive trend on global
KRW/IDR (08:30 Local Time) 7.80 0.00 0.00% and regional stocks markets. We expect IDX to move between
support level 3,560-3,575 and resistance level 3,648-3,677.

Research Analyst : Teuku Hendry Andrean

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Jakarta Daily Morning Brief Thursday, December 2, 2010

News
Moody’s Investors Service Plans to Upgrade PGAS
Moody's Investors Service has placed PT Perusahaan Gas Negara Tbk (PGN-PGAS) Ba2
corporate family rating on review for possible upgrade. The rating action follows Moody's
decision to place the Indonesian government's Ba2 rating on review for possible upgrade.
Driven by its solid operating profile, strong market position, favorable trends in gas demand,
and the relatively stable nature of the transmission and distribution business, PGN's credit
rating is strongly positioned at the Ba2 level. The rating also considers PGN's very high
dependence and strong support from the Indonesian Government, given the Ministry of State
Owned Enterprises' (MSOE) 57% ownership, and its strategic importance as the country's
main distributor of natural gas. As such, the potential upgrade in Indonesian Government's
rating will impact PGN's rating as well.

Indonesia-South Korea Experienced a Trade Deficit Worth USD 19.5 Million in October
Although the conflict in South Korea (ROK) and North Korea (North Korea) just happened
mid-November, it turns out that the Indonesia-South Korea's trade balance has recorded a
deficit in October 2010. Based on data from the Central Statistics Agency (BPS), Indonesia's
trade balance deficit, South Korea up to USD 19.5 million for October 2010. However, if
based on the period from January to October 2010 is still recorded a trade surplus of USD
4.51 billion. That is why if the conflict continues, the potential depreciation of trade between
the two countries will widen. The reason is because South Korea is the second largest
country to cntribute to Indonesia's trade surplus after the United States.

ELSA’s 3Q2010 Net Income Fell to Rp 12 Billion

PT Elnusa Tbk (ELSA) in the third quarter 2010, net earnings fell to Rp 72 billion from Rp
256 billion in the same period a year ago. For net income in the third quarter 2010 fell to Rp
12 billion from Rp 493 billion in the same period last year. Net income dropped significantly
beacue in the year 2009 the company booked other profit from the divestment of its
subsidiary, PT Infomedia amounting to Rp 334 billion. For the third quarter 2010 gross profit
fell to Rp 266 billion from Rp 426 billion in the same period last year. Gross profit fell 38%
due to the decrease in revenue from GDL (Geodata Seismic Land) which provide a
significant contribution to the GPM (Gross Profit Margin) and the loss of high-tech rig project.

Stock Pick
CODE CLOSE S2 S1 R1 R2 REC

BSDE 960 910 930 980 1010 Hold

ELTY 162 156 159 164 166 Hold

BBCA 6400 6050 6250 6550 6650 Accumulate

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 INDF 4800 4500 4650 4875 4950 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
recommendation contained in this report
BBRI 10850 10150 10450 11150 11450 Accumulate
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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