INDO PREVIEW - MONDAY 21 FEBRUARY - CLSA

- The market has performed remarkably well, having risen 5days in a row. We closed off last week on a very strong note, with aggressive buying seen into the big cap names by foreign institutional investors.
- RUPIAH: one of the key performers in the last 2 weeks has been the currency. It is now trading at a 3.5year high as the Central Bank seems to allow nature takes its own course in order to battle rising inflation worries. Asset re- flation plays, like banks and property, have started to gain traction again.
- BMRI: today is the last trading day of the rights, and the last day of sub- scription of the rights.
- INDF/LSIP/IFAR: rumors confirmed last Friday. Salim Group plans to list Salim Ivomas on the Indonesian Stock Exchange. Ivomas is the holding company of LSIP (59.5%). In turn, Ivomas is 90% owned by IFAR SP, and IFAR is 68.95% owned by INDF; taking it a step further, INDF is 50.05% owned by First Pacific (142 HK)
- BLTA: signed a USD 685m term loan with 6 commercial banks.
- HUMAN INTEREST: Indo Govt plans to double import taxes on foreign movies. No more hollywood blockbusters in the theatre anymore; Not sure if that's a good thing or a bad thing, given the overal quality recently.....