SK Broadband (033630 KQ) Revenue growth to be accompanied by profit growth
Telecom Service What’s new: 3Q OP better than expected, but revenue and net profit disappoint SK Broadband’s 3Q operating profit came in better than expected , driven by a QoQ Results Comment decline in marketing expenses. Monthly net subscriber additions improved QoQ to November 3, 2014 roughly 60,000 in 3Q. New subscribers declined QoQ, but the fall was offset by a bigger drop in subscriber losses, leading to higher net subscriber growth despite reduced
marketing spend. We expect profits to continue to improve in 4Q following the (Upgrade) Buy conclusion of IPTV commission negotiations with home shopping channels. Revenue and net profit, on the other hand, were disappointing. Home telephone Target Price (12M, W) 5,500 revenue fell more sharply than anticipated, and ARPU and subscriber data were weaker than expected across most business divisions aside from IPTV. On the non-operating Share Price (10/31/14, W) 4,525 side, the company was hurt by: 1) higher interest expenses due to increased debt and 2) a one-off loss. Expected Return 22%
Catalyst: Revenue growth to be accompanied by profit growth OP (14F, Wbn) 68 Cost pressures have been rising in the domestic pay TV industry, fueled by digital Consensus OP (14F, Wbn) 65 conversion, UHD investments, and heavy marketing spending amid intense competition . In terms of investments and competition, we believe SK Broadband is better positioned EPS Growth (14F, %) 31.0 than peers. For example, its IPTV service is already digital, so the company only needs to Market EPS Growth (14F, %) 3.7 consider investing in UHD. On the fixed-line side, the company has been investing in P/E (14F, x) 83.1 gigabit internet service since 2011, so we do not expect any abrupt increase in related Market P/E (14F, x) 12.5 capex. From a competitive perspective, we still see room for growth, as SK Broadband KOSDAQ 558.70 could bundle its broadband internet with its IPTV services, or offer bundled packages Market Cap (Wbn) 1,339 with parent company SK Telecom. Shares Outstanding (mn) 296 This year, SK Broadband has focused on its corporate business, which is more efficient Free Float (%) 48.8 than its wireless business, and its IPTV business, which can leverage the growth in Foreign Ownership (%) 4.9 wireless communication. We expect the corporate and IPTV businesses to collectively Beta (12M) 0.81 52-Week Low 3,440 account for 60% of overall revenue in 2014, up 6%p YoY. As these new businesses 52-Week High 4,930 achieve economies of scale, both revenue and profitability should gather momentum in 2015. (%)(%)(%) 1M1M1M 6M6M6M 12M12M12M Absolute -3.5 5.7 -0.2 Valuation: Upgrade to Buy and Raise TP to W5,500 Relative -1.0 5.8 -4.9 We upgrade our rating on SK Broadband from Trading Buy to Buy. The IPTV business should see improved margins next year, backed by its growing subscriber base. As the 120 SK Broadband KOSDAQ 110 high growth of IPTV net subscribers continues into next year and is followed by 100 increased profits, we believe SK Broadband will attract increasing investor attention. 90 80 We raise our target price to W5,500 (from W4,300), ap plying a P/B of 1.37x to our 70 2015F BPS. Our target multiple is based on the upper end of the valuation range seen 60 after the company’s monthly IPTV net subscriber additions topped 50,000 in April 2013. 10.13 2.14 6.14 10.14
Daewoo Securities CCo.,o., Ltd. FY (Dec) 12/11 12/12 12/13 12/14F 12/15F 12/16F Revenue (Wbn) 2,286 2,492 2,539 2,695 2,886 3,043 [Telecom Service / Media] OP (Wbn) 76 82 73 68 90 114
Jee-hyun Moon OP margin (%) 3.3 3.3 2.9 2.5 3.1 3.7 +822-768-3615 NP (Wbn) 19 22 12 16 38 67 [email protected] EPS (W) 65 76 42 54 128 226 ROE (%) 1.4 1.8 1.1 1.4 3.3 5.5
P/E (x) 53.1 61.4 105.2 83.1 35.3 20.0 P/B (x) 0.7 1.2 1.1 1.2 1.1 1.1 Notes: All figures are based on non-consolidated K-IFRS Source: Company data, KDB Daewoo Securities Research estimates
Analysts who prepared this report are registered as research analysts in Korea but not in any other jurisdiction, including t he U.S. PLEASE SEE ANALYST CERTIFICATIONS AND IMPORTANT DISCLOSURES & DISCLAIMERS IN APPENDIX 1 AT THE END OF REPORT.
November 3, 2014 SK Broadband
Earnings and forecasts
Table 1. 3Q14P results (Wbn, %, %p) 3Q143Q143Q14 PPP GGGrowth 3Q133Q133Q13 2Q142Q142Q14 Preliminary KDB Daewoo Consensus YoYYoYYoY QoQQoQQoQ Revenue 635 656 679 685 677 6.9 3.5 Operating profit 13 12 16 14 16 27.5 35.7 OP margin 2.0 1.8 2.4 2.0 2.3 0.4 0.6 Pretax profit 2 1 1 3 4 -38.9 66.7 Net profit 2 1 1 3 4 -38.9 66.7 Note: All figures are based on non-consolidated K-IFRS. Source: WISEfn, Company data, KDB Daewoo Securities Research
Table 222.2. Quarterly and annual earnings (Wbn, %, ’000 persons) 1Q131Q131Q13 2Q132Q132Q13 3Q133Q133Q13 4Q134Q134Q13 1Q141Q141Q14 2Q142Q142Q14 3Q14P 4Q14F 201320132013 2014F2014F2014F 2015F2015F2015F Revenue 605 612 635 687 634 656 679 726 2,539 2,695 2,886 Broadband 230 229 225 226 221 218 215 218 909 872 854 IPTV 73 80 87 105 106 114 122 136 345 478 595 Home telephone 56 50 47 45 43 39 37 37 197 156 124 B2B 242 250 264 272 260 282 294 293 1,028 1,129 1,253 Other 4 3 13 40 4 3 12 42 60 60 60 Operating profit 17 15 13 29 11 12 16 30 73 68 90 OP margin 2.7 2.4 2.0 4.2 1.8 1.8 2.4 4.1 2.9 2.5 3.1 Net profit 5 3 2 2 1 1 1 13 12 16 38 Net margin 0.9 0.5 0.4 0.2 0.1 0.1 0.2 1.8 0.5 0.6 1.3 YoYYoYYoY Revenue 8.3 1.0 -2.0 -0.1 4.7 7.1 6.9 5.7 1.9 6.1 7.1 Broadband -2.8 -4.0 -3.9 -2.4 -3.6 -5.0 -4.5 -3.3 -2.8 -4.1 -2.0 IPTV 56.2 53.7 47.1 56.1 44.8 42.9 40.8 29.6 56.7 38.8 24.4 Home telephone -17.5 -26.0 -22.8 -28.1 -24.1 -21.6 -21.7 -16.1 -23.2 -21.1 -20.1 B2B 17.0 11.6 9.4 8.8 7.4 12.8 11.3 7.8 10.8 9.8 11.0 Other 300.0 -85.7 -76.7 -48.3 -12.5 -9.1 -7.1 4.2 -60.7 0.0 0.0 Operating profit 3.8 -12.4 -37.0 -3.0 -33.1 -20.8 27.0 1.6 -10.7 -6.5 31.4 Net profit 420.0 5.6 -62.0 -86.7 -88.5 -74.7 -38.5 730.1 -46.8 31.3 133.8 QoQQoQQoQ Revenue -12.0 1.2 3.7 8.2 -7.8 3.5 3.5 7.0 Broadband -0.6 0.0 -2.0 0.3 -1.9 -1.5 -1.5 1.6 IPTV 9.6 8.9 8.6 20.5 1.6 7.4 7.0 11.0 Home telephone -9.5 -11.6 -5.0 -5.3 -4.5 -8.7 -5.1 1.4 B2B -3.1 3.2 5.5 3.1 -4.4 8.4 4.1 -0.1 Other -94.9 -17.5 281.8 219.8 -91.3 -14.3 290.0 259.0 Operating profit -44.7 -10.2 -15.4 131.0 -61.9 6.3 35.6 84.7 Net profit -56.7 -39.1 -28.1 -29.7 -62.5 33.3 75.0 848.6 Key indicators Broadband 4,436 4,461 4,503 4,569 4,632 4,682 4,741 4,793 4,569 4,793 4,935 IPTVsubscribers subscribers 1,569 1,727 1,903 2,096 2,268 2,426 2,614 2,786 2,096 2,786 3,388 Phone subscribers 4,528 4,566 4,532 4,568 4,556 4,550 4,530 4,518 4,568 4,518 4,485 Note:(home All & figures corporate) are based on non-consolidated K-IFRS. Source: Company data, KDB Daewoo Securities Research estimates
TableTableTable 333.3. Earning forecast revisions (Wbn, W, %) Previous Revised % chg. NotesNotesNotes 14F14F14F 15F15F15F 14F14F14F 15F15F15F 14F14F14F 15F15F15F - Lowered telephone subscriber figure; raised IPTV Revenue 2,702 2,868 2,695 2,886 -0.3 0.6 subscriber estimates Operating profit 68 85 68 90 0.0 5.9 - Raised commission payments Net profit 16 38 16 38 0.0 0.0 - Raised non-operating cost estimates EPS 53 128 54 128 1.9 0.0 OP margin 2.5 3.0 2.5 3.1 Net margin 0.6 1.3 0.6 1.3 Note: All figures are based on non-consolidated K-IFRS. Source: Company data, KDB Daewoo Securities Research estimates
KDB Daewoo Securities Research 2
November 3, 2014 SK Broadband
Key charts
Figure 111.1. SK Broadband likely to continue to receive a valuatvaluationion premium in 2015
(x) (persons) Monthly net additions above 50,000since April 2013; 1.5 SK Broadband's monthly net subscriber additions (R) similar level expected in 2015; upper-end valuation possible 70,000 SK Broadband's P/B (L) 1.4 60,000
50,000 1.3 40,000 1.2 30,000 1.1 20,000
1.0 10,000
0.9 0 10/12 1/13 4/13 7/13 10/13 1/14 4/14 7/14 10/14
Note: October 2014 estimate is average of the preceding three months’ data Source: Company data, Thomson Reuters, KDB Daewoo Securities Research
Figure 222.2. KT Skylife receivereceivedddd a valuation premium when monthly net subscriber additions reached 50,000
(x) KT Skylife's monthly net subscriber additions (R) (person) 5.5 KT Skylife's P/B (L) 70,000
5.0 60,000 Monthly net additions below20,000 since December 2013; 4.5 unlikely to see a surge in 2015; margin expansion and 50,000 subscriber increase needed 4.0 40,000
3.5 30,000
3.0 20,000
2.5 10,000
2.0 0 10/12 1/13 4/13 7/13 10/13 1/14 4/14 7/14 10/14
Note: October 2014 estimate is average of the preceding three months’ data Source: Company data, Thomson Reuters, KDB Daewoo Securities Research
Figure 333.3. SK BroadBroadband’band’band’ss home shopping revenue will increase on the back ofof both subscriber growth and higher revenue/subscriber
Note: 2014 data are estimates Source: Company data, SK Broadband, KDB Daewoo Securities Research
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November 3, 2014 SK Broadband
SK Broadband (033630 KQ/Buy/TP: W5,500)
Comprehensive Income Statement (Summarized) Statement of Financial Condition (Summarized) (Wbn) 12/13 12/14F 12/15F 12/16F (Wbn) 12/13 12/14F 12/15F 12/16F Revenue 2,5392,5392,539 2,6952,6952,695 2,8862,8862,886 3,0433,0433,043 Current Assets 542542542 732732732 733733733 987987987 Cost of Sales 000 000 000 000 Cash and Cash Equivalents 68 231 197 421 Gross Profit 2,5392,5392,539 2,6952,6952,695 2,8862,8862,886 3,0433,0433,043 AR & Other Receivables 418 442 473 499 SG&A Expenses 2,4662,4662,466 2,6262,6262,626 2,7962,7962,796 2,9292,9292,929 Inventories 25 26 28 30 Operating Profit (Adj) 737373 686868 909090 114114114 Other Current Assets 31 33 35 37 Operating Profit 737373 686868 909090 114114114 NonNonNon-Non ---CurrentCurrent Assets 2,5022,5022,502 2,4252,4252,425 2,2892,2892,289 2,1402,1402,140 NonNonNon-Non ---OperatingOperating Profit ---61 -616161 ---52-525252 ---52-525252 ---47-474747 Investments in Associates 20 21 23 24 Net Financial Income -46 -45 -38 -28 Property, Plant and Equipment 2,191 2,110 1,970 1,819 Net Gain from Inv in Associates -1 0 0 0 Intangible Assets 172 170 170 170 Pretax Profit 12 16 38 67 Total Assets 3,0443,0443,044 3,1583,1583,158 3,0223,0223,022 3,1263,1263,126 Income Tax 0 0 0 0 Current Liabilities 944944944 865865865 686686686 720720720 Profit from Continuing Operations 12 16 38 67 AP & Other Payables 260 275 294 310 Profit from Discontinued Operations 0 0 0 0 Short-Term Financial Liabilities 418 309 91 92 Net Profit 12 16 38 67 Other Current Liabilities 266 281 301 318 Controlling Interests 12 16 38 67 NonNonNon-Non ---CurrentCurrent Liabilities 973973973 1,1511,1511,151 1,1561,1561,156 1,1601,1601,160 Non-Controlling Interests 0 0 0 0 Long-Term Financial Liabilities 907 1,082 1,082 1,082 Total Comprehensive Profit 181818 141414 383838 676767 Other Non-Current Liabilities 66 69 74 78 Controlling Interests 18 14 38 67 Total Liabilities 1,9171,9171,917 2,0162,0162,016 1,8431,8431,843 1,8801,8801,880 Non-Controlling Interests 0 0 0 0 Controlling Interests 1,1281,1281,128 1,1411,1411,141 1,1791,1791,179 1,2461,2461,246 EBITDA 540 543 530 516 Capital Stock 1,480 1,480 1,480 1,480 FCF (Free Cash Flow) -35 113 187 226 Capital Surplus 309 314 314 314 EBITDA Margin (%) 21.3 20.1 18.4 17.0 Retained Earnings -665 -649 -611 -544 Operating Profit Margin (%) 2.9 2.5 3.1 3.7 NonNonNon-Non ---ControllingControlling Interests 000 000 000 000 Net Profit Margin (%) 0.5 0.6 1.3 2.2 Stockholders' Equity 1,1281,1281,128 1,1411,1411,141 1,1791,1791,179 1,2461,2461,246
Cash Flows (Summarized) Forecasts/Valuations (Summarized) (Wbn) 12/13 12/14F 12/15F 12/16F 12/13 12/14F 12/15F 12/16F Cash Flows from Op Activities 440 528 487 476 P/E (x) 105.2 83.1 35.3 20.0 Net Profit 12 16 38 67 P/CF (x) 2.3 2.4 2.6 2.7 Non-Cash Income and Expense 562 532 478 430 P/B (x) 1.1 1.2 1.1 1.1 Depreciation 467 475 440 402 EV/EBITDA (x) 4.7 4.6 4.4 4.0 Amortization 0 0 0 0 EPS (W) 42 54 128 226 Others 95 57 38 28 CFPS (W) 1,941 1,853 1,743 1,678 Chg in Working Capital -90 22 10 8 BPS (W) 3,810 3,857 3,985 4,211 Chg in AR & Other Receivables -50 -28 -31 -25 DPS (W) 0 0 0 0 Chg in Inventories -94 -16 -2 -2 Payout ratio (%) 0.0 0.0 0.0 0.0 Chg in AP & Other Payables 58 -44 0 0 Dividend Yield (%) 0.0 0.0 0.0 0.0 Income Tax Paid 000 000 000 000 Revenue Growth (%) 1.9 6.1 7.1 5.4 Cash Flows from Inv Activities -329 -427 -302 -252 EBITDA Growth (%) -2.9 0.6 -2.4 -2.6 Chg in PP&E -468 -413 -300 -250 Operating Profit Growth (%) -11.0 -6.8 32.4 26.7 Chg in Intangible Assets -11 0 0 0 EPS Growth (%) -44.7 28.6 137.0 76.6 Chg in Financial Assets 163 -2 -2 -2 Accounts Receivable Turnover (x) 6.4 6.3 6.4 6.3 Others ---13 -131313 ---12-121212 000 000 Inventory Turnover (x) 77.5 105.8 106.5 105.7 Cash Flows from Fin Activities -129 63 -218 1 Accounts Payable Turnover (x) 0.0 0.0 0.0 0.0 Chg in Financial Liabilities -125 66 -218 1 ROA (%) 0.4 0.5 1.2 2.2 Chg in Equity 3 5 0 0 ROE (%) 1.1 1.4 3.3 5.5 Dividends Paid 0 0 0 0 ROIC (%) 3.1 2.9 4.1 5.5 Others ---7 -777 ---8-888 000 000 Liability to Equity Ratio (%) 170.0 176.6 156.2 150.9 Increase (Decrease) in Cash -18 163 -34 224 Current Ratio (%) 57.4 84.7 106.9 137.1 Beginning Balance 87 68 231 197 Net Debt to Equity Ratio (%) 110.8 100.9 82.0 59.7 Ending Balance 686868 231231231 197197197 421421421 Interest Coverage Ratio (x) 1.3 1.3 1.8 2.4 Source: Company data, KDB Daewoo Securities Research estimates
KDB Daewoo Securities Research 4
November 3, 2014 SK Broadband
APPENDIX 1
Important Disclosures & Disclaimers 222-2---YearYear Rating and Target Price History
Company (((Code)(Code)Code)Code) DateDateDate RatingRatingRating Target Price (W) SK Broadband SK Broadband (033630) 11/02/2014 Buy 5,500 8,000 08/03/2014 Trading Buy 4,300 06/11/2013 Trading Buy 6,000 6,000 No Coverage 4,000
2,000
0 Nov 12 Nov 13 Nov 14
Stock Ratings Industry Ratings Buy : Relative performance of 20% or greater Overweight : Fundamentals are favorable or improving Trading Buy : Relative performance of 10% or greater, but with volatility Neutral : Fundamentals are steady without any material changes Hold : Relative performance of -10% and 10% Underweight : Fundamentals are unfavorable or worsening Sell : Relative performance of -10% Ratings and Target Price History (Share price ( ─), Target price ( ▬), Not covered ( ■), Buy ( ▲), Trading Buy ( ■), Hold ( ●), Sell ( ◆)) * Our investment rating is a guide to the relative return of the stock versus the market over the next 12 months. * Although it is not part of the official ratings at Daewoo Securities, we may call a trading opportunity in case there is a technical or short-term material development. * The target price was determined by the research analyst through valuation methods discussed in this report, in part based on the analyst’s estimate of future earnings. * The achievement of the target price may be impeded by risks related to the subject securities and companies, as well as general market and economic conditions.
Disclosures As of the publication date, Daewoo Securities Co., Ltd and/or its affiliates do not have any special interest with the subjec t company and do not own 1% or more of the subject company's shares outstanding.
Analyst Certification The research analysts who prepared this report (the “Analysts”) are registered with the Korea Financial Investment Association and are subject to Korean securities regulations. They are neither registered as research analysts in any other jurisdiction nor subject to the laws and regulations thereof. Opinions expressed in this publication about the subject securities and companies accurately reflect the personal views of the Analysts primarily responsible for this report. Daewoo Securities Co., Ltd. policy prohibits its Analysts and members of their households from owning securities of any company in the Analyst’s area of coverage, and the Analysts do not serve as an officer, director or advisory board member of the subject companies. Except as otherwise specified herein, the Analysts have not received any compensation or any other benefits from the subject companies in the past 12 months and have not been promised the same in connection with this report. No part of the compensation of the Analysts was, is, or will be directly or indirectly related to the specific recommendations or views contained in this report but, like all employees of Daewoo Securities, the Analysts receive compensation that is impacted by overall firm profitability, which includes revenues from, among other business units, the institutional equities, investment banking, proprietary trading and private client division. At the time of publication of this report, the Analysts do not know or have reason to know of any actual, material conflict of interest of the Analyst or Daewoo Securities Co., Ltd. except as otherwise stated herein.
Disclaimers This report is published by Daewoo Securities Co., Ltd. (“Daewoo”), a broker-dealer registered in the Republic of Korea and a member of the Korea Exchange. Information and opinions contained herein have been compiled from sources believed to be reliable and in good faith, but such information has not been independently verified and Daewoo makes no guarantee, representation or warranty, express or implied, as to the fairness, accuracy, completeness or correctness of the information and opinions contained herein or of any translation into English from the Korean language. If this report is an English translation of a report prepared in the Korean language, the original Korean language report may have been made available to investors in advance of this report. Daewoo, its affiliates and their directors, officers, employees and agents do not accept any liability for any loss arising from the use hereof. This report is for general information purposes only and it is not and should not be construed as an offer or a solicitation of an offer to effect transactions in any securities or other financial instruments. The intended recipients of this report are sophisticated institutional investors who have substantial knowledge of the local business environment, its common practices, laws and accounting principles and no person whose receipt or use of this report would violate any laws and regulations or subject Daewoo and its affiliates to registration or licensing requirements in any jurisdiction should receive or make any use hereof. Information and opinions contained herein are subject to change without notice and no part of this document may be copied or reproduced in any manner or form or redistributed or published, in whole or in part, without the prior written consent of Daewoo. Daewoo, its affiliates and their directors, officers, employees and agents may have long or short positions in any of the subject securities at any time and may make a purchase or sale, or offer to make a purchase or sale, of any such securities or other financial instruments from time to time in the open market or otherwise, in each case either as principals or agents. Daewoo and its affiliates may have had, or may be expecting to enter into, business relationships with the subject companies to provide investment banking, market-making or other financial services as are permitted under applicable laws and regulations. The price and value of the investments referred to in this report and the income from them may go down as well as up, and investors may realize losses on any investments. Past performance is not a guide to future performance. Future returns are not guaranteed, and a loss of original capital may occur
Distribution United Kingdom: This report is being distributed by Daewoo Securities (Europe) Ltd. in the United Kingdom only to (i) investment professionals falling within
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November 3, 2014 SK Broadband
Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”), and (ii) high net worth companies and other persons to whom it may lawfully be communicated, falling within Article 49(2)(A) to (E) of the Order (all such persons together being referred to as “Relevant Persons”). This report is directed only at Relevant Persons. Any person who is not a Relevant Person should not act or rely on this report or any of its contents. United States: This report is distributed in the U.S. by Daewoo Securities (America) Inc., a member of FINRA/SIPC, and is only intended for major institutional investors as defined in Rule 15a-6(b)(4) under the U.S. Securities Exchange Act of 1934. All U.S. persons that receive this document by their acceptance thereof represent and warrant that they are a major institutional investor and have not received this report under any express or implied understanding that they will direct commission income to Daewoo or its affiliates. Any U.S. recipient of this document wishing to effect a transaction in any securities discussed herein should contact and place orders with Daewoo Securities (America) Inc., which accepts responsibility for the contents of this report in the U.S. The securities described in this report may not have been registered under the U.S. Securities Act of 1933, as amended, and, in such case, may not be offered or sold in the U.S. or to U.S. persons absent registration or an applicable exemption from the registration requirements. Hong Kong: This document has been approved for distribution in Hong Kong by Daewoo Securities (Hong Kong) Ltd., which is regulated by the Hong Kong Securities and Futures Commission. The contents of this report have not been reviewed by any regulatory authority in Hong Kong. This report is for distribution only to professional investors within the meaning of Part I of Schedule 1 to the Securities and Futures Ordinance of Hong Kong (Cap. 571, Laws of Hong Kong) and any rules made thereunder and may not be redistributed in whole or in part in Hong Kong to any person. All Other Jurisdictions: Customers in all other countries who wish to effect a transaction in any securities referenced in this report should contact Daewoo or its affiliates only if distribution to or use by such customer of this report would not violate applicable laws and regulations and not subject Daewoo and its affiliates to any registration or licensing requirement within such jurisdiction.
KDB Daewoo Securities International Network
Daewoo Securities Co. Ltd. (Seoul) Daewoo Securities (Hong Kong) Ltd. Daewoo Securities (America) Inc. Head Office Two International Finance Centre 320 Park Avenue 34-3 Yeouido-dong, Yeongdeungpo-gu Suites 2005-2012 31st Floor
Seoul 150-716 8 Finance Street, Central New York, NY 10022 Korea Hong Kong, China United States Tel: 82-2-768-3026 Tel: 85-2-2845-6332 Tel: 1-212-407-1000 Daewoo Securities (Europe) Ltd. Daewoo Securities (Singapore) Pte. Ltd. Tokyo Branch 41st Floor, Tower 42 Six Battery Road #11-01 7th Floor, Yusen Building 25 Old Broad St. Singapore, 049909 2-3-2 Marunouchi, Chiyoda-ku London EC2N 1HQ Tokyo 100-0005 United Kingdom Japan Tel: 44-20-7982-8000 Tel: 65-6671-9845 Tel: 81-3- 3211-5511
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KDB Daewoo Securities Research 6