NISP Bapepam states that Tri Polyta have met requirement (TPIA, Rp3,425)

· Bapepam stated that Tri Polyta has complied with regulation standards for its merger plan with Chandra Asri. The supervisory board has also said it has completed the screening procedure and will release its effective statement immediately.

· Separately, Tri Polyta will hold an EGM on October 27, 2010 to obtain approval on this plan. The company will merge with Chandra Asri through share swap mechanism, which would bring positive results for Tri Polyta.

· The share swap ratio is 1 (one) Chandra Asri share for 42,660 shares of Tri Polyta shares. Dilution impacts are 76.24% for Tri Polyta and 23.76% for Chandra Asri. The chosen appraisal stated that fair price for Tri Polyta is at Rp3,579 a share.

NISP Timah multiplies net income by 8 times (TINS, Rp2,425)

· Timah net income soared to Rp322.3bn, 652.6% higher from Rp42.8bn last year. Although revenue only rose by 5.9% YoY to Rp3.75tn from Rp3.54tn, lower cost of goods sold enabled the company to book higher operating profit by 140.1%. However these results came below expectation as net income and sales figure only accounted for 29.0% and 44.5% of consensus full year expectation.

· The company suppressed interest expense and forex losses to only Rp 9.2bn and Rp22.8bn compared to Rp34.4bn and Rp95.7bn in the previous period, making bottom line higher.

· On a quarterly basis, cost of goods sold showed signs of increase as gross profit contracted by 13.7% to Rp 319.3bn in contrast to higher revenue by 4.3% to Rp1.91tn. As such gross and operating margins declined by 3.5% and 4.8% to only 16.7% and 8.7%.

· TINS is trading at 2011F consensus PER of 9.1x and EV/EBITDA of 5.1x.