Singapore Company Focus

Noble Group
Bloomberg: NOBL SP | Reuters: NOBG.SI

DBS Group Research . Equity 13 Aug 2010

HOLD S$1.59 STI : 2,927.04 Dismal 2Q10 results

(Downgraded from Buy)
Price Target : 12-Month S$ 1.62 (Prev S$ 2.00) • 2Q10 earnings plunged 65% y-o-y to US$86.6m –
Reason for Report : Change in rec, TP and forecasts below our and consensus expectations
Potential Catalyst: - • Drop in agriculture gross profit and jump in opex
contributed to the weak performance
Analyst
Ben SANTOSO +65 6398 7976 • ROE guidance lowered to 15% from 20% on lower
bensantoso@dbsvickers.com risk-free rate
• FY10F-11F EPS cut by 23-25%, TP lowered to S$1.62.
Price Relative Downgraded to Hold
S$
2Q10 earnings below expectations. Excluding US$38.7m
R e la t iv e In d e x

2 .3 0 315

265
fair value gain in Middlemount investment, 2Q10 earnings
1 .8 0

215
plunged to US$47.9m –the lowest quarterly profit in 3 years.
1 .3 0
165
This comes as a result of 33.3% drop in agriculture segment
0 .8 0
115
gross profit and a 69.1% jump in SG&A cost; while energy
0 .3 0 65
GPM was also lower than expected. Accordingly, 2Q10 net
2006 2007 2008 2009 2010 profit came in below our and consensus expectations.
N o b le G r o u p ( L H S ) R e la t iv e S T I IN D E X ( R H S )
Drop in agriculture margin, jump in opex. While we had
anticipated a reduced Agriculture gross profit of US$391m,
Forecasts and Valuation we understand that crushing margins were worse than
expected due to higher levels of farmer retention, resulting in
FY Dec (US$ m) 2009A 2010F 2011F 2012F occasionally negative margins in both China and Argentina
Turnover 31,183 38,867 45,390 50,383 operations. The group had also expensed larger portion of
EBITDA 722 792 999 1,198 staff compensation costs, start up costs in Oil & Gas division,
Pre-tax Profit 620 495 667 815
as well as office relocation expenses, and risk management
Net Profit 556 426 567 692
Net Pft (Pre Ex.) 430 426 567 692 systems.
EPS (S cts) 19.8 9.8 13.0 15.9
EPS Pre Ex. (S cts) 15.3 9.8 13.0 15.9 Lowering ROE guidance. Noble has now guided for lower
EPS Gth Pre Ex (%) (37) (36) 33 22 ROE of 15% from 20% previously, considering the drop in 5-
Diluted EPS (S cts) 19.8 9.8 13.0 15.9 year treasury rate. The group remains confident that it can
Net DPS (S cts) 3.8 2.4 3.3 4.0 double its earnings in a few years’ time.
BV Per Share (S cts) 105.0 76.3 86.9 99.6
PE (X) 8.0 16.2 12.2 10.0 FY10F-11F EPS cut by 23-25%, downgraded to Hold. On
PE Pre Ex. (X) 10.4 16.2 12.2 10.0
account of lower agriculture and energy contribution and
P/Cash Flow (X) 6.9 13.0 10.1 8.3
EV/EBITDA (X) 9.9 12.3 10.2 8.6 higher SG&A, we cut FY10F -11F EPS by 23-25%. Our DCF-
Net Div Yield (%) 2.4 1.5 2.0 2.5 derived TP is also lowered to S$1.62 from S$2.00. While we
P/Book Value (X) 1.5 2.1 1.8 1.6 believe the market has already priced in the poor results,
Net Debt/Equity (X) 0.9 0.8 0.8 0.8 there remains little catalyst for the stock in the near term.
ROAE (%) 23.1 13.6 16.0 17.1

Earnings Rev (%): (25.4) (22.7) (18.5) At A Glance

Consensus EPS (S cts): 13.6 16.9 20.6 Issued Capital (m shrs) 6.004
Mkt. Cap (S$m/US$m) 9,546 / 7,019
ICB Industry : Industrials Major Shareholders
ICB Sector: General Industrials Fleet Overseas NZ (%) 23.6
Principal Business: Noble is a leading supply chain manager in Best Investment (%) 14.8
agriculture, energy, metals, minerals and ores as well as logistics. Banga Harindarpal (%) 6.2
The group's operations span from from South America to Australia Free Float (%) 55.4
and China, serving 4,000+ customers. Avg. Daily Vol.(‘000) 26,539
Source of all data: Company, DBS Vickers, Bloomberg

www.dbsvickers.com
Refer to important disclosures at the end of this report
ed: JS / sa: JC
 Company Focus
Noble Group
Highlights
Dismal 2Q10 results
Noble booked 2Q10 net profit of US$86.6m (-65.2% y-o-y).
This was substantially below our and consensus expectations
on an annualised basis. While soybean crushing margins were
weaker and operating expenses increased as expected, the
extent of the profit squeeze was worse than expected. Energy
segment gross margin of 2% was also below our
expectations (FY10F: 3.1%)
Sequentially, 2Q10 earnings declined by 24.8%, primarily due
to 41% jump in operating expenses. There was a US$38.7m
fair value gain associated with the improvement in the
underlying commercial value of the Middlemount investment.
2Q10 revenue jumped by 80.1% y-o-y to US$12.9bn, mainly
on the back of 81.7% jump in implied ASP in energy
segment, and 65.0% jump in implied ASP in MMO segment;
while 2Q10 agriculture volume handled also jumped by
38.5% to 5.4m MT - mainly representing jump in grains and
sugar. Energy volumes rose by 9.4%.
2Q10 gross profit rose by 17.5% y-o-y to US$315m, the
main contributors were Energy (US$163m; +34.7%),
followed by Agriculture (US$76m: -33.3%), MMO (US$45m:
from zero in 2Q09) and Logistics (US$31m; -6.1%). Overall,
2Q10 gross margin declined to 2.4% from 3.7% in 2Q09
due to lower crushing margins and higher proportion of low-
margin products in the energy segment.
Jump in operating expenses
In 2Q10, Noble expensed a larger portion of staff
compensation costs, start up costs in Oil & Gas division, as
well as office relocation expenses, and risk management
systems.
Approximately half of the increase in operating expenses
relates to staff compensation cost at management discretion,
especially in the group’s Oil and Gas, Coal and Coke and
Sugar divisions. Provisions for staff costs do not reflect their
respective profit contributions, which were seasonally lower
in 1H10. We understand that the group’s Oil and Gas
divisions are due to contribute more profits in 4Q10.
Maintaining sufficient cash levels
Noble's 2Q10 ending cash level increased by 19.9% q-o-q to
US$1,049.2m mainly due to lower inventories and higher
short term debts.
As at end of June 2010, Noble's total borrowings stood at
US$4,146.1m; while its net gearing (incl. MI) stood at
104.1% - slightly higher than 86.2% at the end of the
Page 2
previous quarter. If Readily Marketable Inventory (RMI) is
excluded, gross gearing as at end June would be 42.3%
compared to 14.1% in March 2010 (incl. MI).
The group had spent c.US$274m on capex in 1H10
(excluding associates and long-term investments) – and is
guiding for full year capex of c.US$500m. We are lowering
our capex assumptions to US$570m for this year from
US$740m.
Noble's estimated cash conversion cycle (rolling, last 4
quarters based on changes in trade receivables, payables and
inventories) shortened slightly to 5.0 days from 6.8 days in
1Q10 - mainly due to drop in inventory days to 27 from 34,
respectively.
Forecasts revised
We have lowered the group’s FY10F-11F gross profits by
12.6% and 6.0%, to US$1,184.7m and US$1,527m,
respectively; mainly on account of lower agriculture and
energy gross profit contribution, offset slightly by higher
MMO and logistics contributions. We have also adjusted the
group’s FY10F and FY11F operating expenses by 2% to
reflect the 1H10 results.
On account of the above revisions, we cut FY10F -11F EPS by
25-23%.
Improving outlook on the crushing margins
The group expects a turnaround in 3Q and 4Q crushing
margins, although it is too early to say for certain.
We understand that the group plans to fully plant the
recently acquired 32,500 ha land in Indonesia’s West Papua
over the next 3-4 years (approximately 7k ha has already
been planted). Ideally, the group intends to develop close to
100k ha over the next few years.
Noble remains in touch in CIC to develop a JV in the
agriculture segment should an opportunity present itself. The
group would also look to invest A$434m proceeds from the
recent sale of Middlemount to Gloucester Coal.
TP and rating cut
Our DCF-derived TP is now reduced to S$1.62 from S$2.00.
While we believe the market has already priced in the poor
results, there remains little catalyst for the stock in the near
term. Hence, we cut our call to Hold from Buy
 Company Focus
Noble Group

2Q10 results summary and comments

% Chg % Chg
FY Dec (US$m) 2Q09 1Q10 2Q10 YoY QoQ Comments
Sales 7,174.1 11,401.1 12,917.3 80.1 13.3 Higher tonnage in Agri, higher ASP in energy & MMO
Cost of goods sold -6,906.1 -11,069.0 -12,602.7 82.5 13.9
Gross profit 268.1 332.1 314.6 17.3 -5.3 Lower agriculture, flat logistics, offset by higher MMO

Selling, administrative & op. exp. -118.4 -141.7 -200.2 69.1 41.3 Start up costs, office relocation, staff cost provisions
EBIT 149.7 190.5 114.4 -23.6 -39.9

Depreciation & amort. 9.9 49.5 3.9 -61.0 -92.2

EBITDA 159.6 240.0 118.3 -25.9 -50.7

Finance income 4.0 7.4 11.1 174.1 49.5

Finance costs -47.1 -68.7 -79.9 69.6 16.3 Higher debts issuance costs
Other income & gains net of other exp. 167.4 3.6 51.1 -69.5 1,320.6 Includes US$38.7m fair value gain in Middlemount
Share of profits & losses of
JV -0.2 -0.6 -0.5 NM NM
Associates -7.4 -2.9 0.6 NM NM
Profit before tax 266.4 129.3 96.8 -63.7 -25.2

Income tax -16.2 -14.1 -10.4 -35.7 -26.2

tax rate -6.1% -10.9% -10.7%
Profit for the year 250.2 115.2 86.4 -65.5 -25.1

Attributable to:
Shareholders 248.8 115.0 86.6 -65.2 -24.8
Minority interest 1.4 0.2 -0.2 NM NM
Profit for the year 250.2 115.2 86.4 -65.5 -25.1

Gross margin, % 3.7% 2.9% 2.4%

EBIT margin, % 2.1% 1.7% 0.9%
EBITDA margin, % 2.2% 2.1% 0.9%
Pretax margin, % 3.7% 1.1% 0.7%
Net margin, % 3.5% 1.0% 0.7%
Source: Company, DBS Vickers

Page 3
 Company Focus
Noble Group

DCF Valuation
Cost of debt WACC (%)
Tax rate 15.0% Equity portion of capital 61.0%
Kd 5.4% Ke 15.9%
Debt portion of capital 39.0%
Cost of equity Kd 5.4%
Risk free rate (Rf) 3.5% WACC 11.8%
Market return rate (Rm) 10.0%
Beta (ß) 1.9 Terminal value
Risk premium (Rm-Rf) 6.5% Implied perpetual growth rate 3.0%
Ke 15.9% Implied FY10F EBITDA multiple 8.7

Free cash flow (US$ m) 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Operating profit 764.3 926.9 1,000.5 1,097.9 1,182.6 1,264.3 1,344.1 1,423.8 1,508.9 1,600.0
Tax -100.1 -122.2 -136.8 -157.0 -176.6 -193.7 -212.4 -231.9 -253.2 -278.7
Op. profit after tax 664.2 804.7 863.7 940.9 1,006.0 1,070.6 1,131.7 1,191.8 1,255.8 1,321.2

Amortisation & depreciation 108.2 131.6 147.9 164.1 181.3 198.2 213.7 227.8 240.5 251.9
Gross cash flow 772.4 936.3 1,011.6 1,105.0 1,187.3 1,268.8 1,345.4 1,419.6 1,496.3 1,573.1

Capital expenditures -584.3 -519.8 -437.7 -355.3 -331.7 -308.8 -287.1 -266.8 -248.0 -230.6
Incremental working capital 21.3 30.8 40.6 44.6 49.0 53.5 58.7 64.0 69.4 75.1
Free cash flow 209.4 447.3 614.4 794.4 904.6 1,013.5 1,117.0 1,216.8 1,317.7 1,417.7
growth 113.6% 37.3% 29.3% 13.9% 12.0% 10.2% 8.9% 8.3% 7.6%

PV of free cash flow 209.4 400.2 491.7 568.7 579.3 580.6 572.5 557.9 540.4 520.1
Total PV of free cash flow 5,020.7
PV of residual value 5,919.8
Corporate value 10,940.5
Ending cash 937.3
Shareholder value 7,324.5
Fair value/share (US$) 1.23
Fair value/share (S$) 1.62
Source: DBS Vickers estimates

2Q10 operational statistics

% Chg % Chg
Volume (m MT) 2Q09 1Q10 2Q10 YoY Segmental rev. (US$ m) 2Q09 1Q10 2Q10 YoY
Agriculture 3.9 4.7 5.4 38.5 Agriculture 1,806.0 2,425.0 2,803.0 55.2
q-o-q growth 18.2% 6.8% 14.9% q-o-q growth 10.8% 12.6% 15.6%
contribution 9.0% 11.0% 12.3% contribution 25.2% 21.3% 21.7%
Energy 18.0 20.7 19.7 9.4 Energy 4,029.0 7,382.0 8,013.0 98.9
q-o-q growth -13.0% 1.0% -4.8% q-o-q growth 22.9% 19.1% 8.5%
contribution 41.7% 48.3% 44.9% contribution 56.2% 64.7% 62.0%
MMO 6.2 4.4 6.4 3.2 MMO 1,137.0 1,359.0 1,937.0 70.4
q-o-q growth -20.5% -12.0% 45.5% q-o-q growth 12.6% 26.9% 42.5%
contribution 14.4% 10.3% 14.6% contribution 15.8% 11.9% 15.0%
Logistics 15.1 13.1 12.4 -17.9
Logistics 202.0 225.0 174.0 -13.9
q-o-q growth -13.7% -22.9% -5.3%
q-o-q growth 23.9% -23.5% -22.7%
Total volume ex logistics 43.2 42.9 43.9 1.6
contribution 2.8% 2.0% 1.3%
q-o-q growth -12.4% -8.5% 2.3%
Total revenues 7,174.0 11,401.0 12,917.0 80.1
q-o-q growth 18.0% 19.2% 13.3%

% Chg % Chg
Implied ASP/MT (US$) 2Q09 1Q10 2Q10 YoY Gross profit (US$ m) 2Q09 1Q10 2Q10 YoY
Agriculture 463.1 516.0 519.1 12.1 Agriculture 114.0 96.0 76.0 -33.3
q-o-q growth -6.2% 5.4% 0.6% q-o-q growth 6.5% 124.3% -20.8%
Energy 223.8 356.6 406.8 81.7 contribution 42.5% 28.9% 24.1%
q-o-q growth 41.3% 18.0% 14.1% Energy 121.0 108.0 163.0 34.7
MMO 183.4 308.9 302.7 65.0 q-o-q growth 255.9% -47.0% 50.9%
q-o-q growth 41.6% 44.2% -2.0% contribution 45.1% 32.5% 51.7%
Logistics 13.4 17.2 14.0 4.9 MMO 0.0 74.0 45.0 NM
q-o-q growth 43.6% -0.7% -18.3% q-o-q growth NM 26.5% -39.2%
contribution 0.0% 22.3% 14.3%
Logistics 33.0 54.0 31.0 -6.1
q-o-q growth -45.0% 0.2% -42.6%
contribution 12.3% 16.3% 9.8%
Total gross profit 268.0 332.0 315.0 17.5
q-o-q growth 20.2% 10.7% -5.1%
Source: Company

Page 4
 Company Focus
Noble Group

Income Statement (US$ m) Balance Sheet (US$ m)

FY Dec 2009A 2010F 2011F 2012F FY Dec 2009A 2010F 2011F 2012F
Turnover 31,183 38,867 45,390 50,383 Net Fixed Assets 1,523 2,112 2,550 2,900
Cost of Goods Sold (30,078) (37,683) (43,863) (48,533) Invts in Associates & JVs 138 149 165 186
Gross Profit 1,105 1,185 1,527 1,850 Other LT Assets 486 488 491 495
Other Opng (Exp)/Inc (423) (592) (763) (923) Cash & ST Invts 937 1,430 887 643
Operating Profit 682 592 764 927 Inventory 3,415 3,240 3,733 4,089
Other Non Opg (Exp)/Inc (1) 132 138 145 Debtors 1,141 1,291 1,508 1,674
Associates & JV Inc (25) (18) (12) (6) Other Current Assets 3,016 3,815 4,288 4,650
Net Interest (Exp)/Inc (163) (210) (223) (252) Total Assets 10,655 12,525 13,621 14,636
Exceptional Gain/(Loss) 126 0 0 0
Pre-tax Profit 620 495 667 815 ST Debt 609 109 109 109
Tax (65) (69) (100) (122) Other Current Liab 3,937 4,788 5,536 6,103
Minority Interest 1 0 0 0 LT Debt 2,932 4,082 3,969 3,867
Preference Dividend 0 0 0 0 Other LT Liabilities 139 139 139 139
Net Profit 556 426 567 692 Shareholder’s Equity 2,955 3,325 3,785 4,336
Net Profit before Except. 430 426 567 692 Minority Interests 83 83 83 83
EBITDA 722 792 999 1,198 Total Cap. & Liab. 10,655 12,525 13,621 14,636

Sales Gth (%) (13.6) 24.6 16.8 11.0 Non-Cash Wkg. Capital 3,634 3,558 3,993 4,310
EBITDA Gth (%) (21.6) 9.7 26.1 20.0 Net Cash/(Debt) (2,604) (2,761) (3,191) (3,333)
Opg Profit Gth (%) (12.5) (13.2) 29.0 21.3
Net Profit Gth (%) (3.7) (23.4) 33.1 22.1
Effective Tax Rate (%) 10.5 14.0 15.0 15.0
Cash Flow Statement (US$ m) Rates & Ratio
FY Dec 2009A 2010F 2011F 2012F FY Dec 2009A 2010F 2011F 2012F
Pre-Tax Profit 620 495 667 815 Gross Margins (%) 3.5 3.0 3.4 3.7
Dep. & Amort. 67 89 112 137 Opg Profit Margin (%) 2.2 1.5 1.7 1.8
Tax Paid (65) (69) (100) (122) Net Profit Margin (%) 1.8 1.1 1.2 1.4
Assoc. & JV Inc/(loss) 25 18 12 6 ROAE (%) 23.1 13.6 16.0 17.1
Chg in Wkg.Cap. (1,760) 871 21 31 ROA (%) 5.9 3.7 4.3 4.9
Other Operating CF 443 (798) (460) (353) ROCE (%) 10.8 7.0 8.2 9.5
Net Operating CF (670) 607 253 512 Div Payout Ratio (%) 19.3 25.0 25.0 25.0
Capital Exp.(net) (690) (570) (546) (482) Net Interest Cover (x) 4.2 2.8 3.4 3.7
Other Invts.(net) (15) (10) (11) (11) Asset Turnover (x) 3.3 3.4 3.5 3.6
Invts in Assoc. & JV (31) (29) (28) (27) Debtors Turn (avg days) 12.1 11.4 11.3 11.5
Div from Assoc & JV 0 0 0 0 Creditors Turn (avg days) 43.3 39.2 40.3 41.2
Other Investing CF (443) 0 0 0 Inventory Turn (avg days) 31.4 32.3 29.1 29.5
Net Investing CF (1,178) (610) (584) (520) Current Ratio (x) 1.9 2.0 1.8 1.8
Div Paid (146) (138) (107) (142) Quick Ratio (x) 0.5 0.6 0.4 0.4
Chg in Gross Debt 985 650 (113) (102) Net Debt/Equity (X) 0.9 0.8 0.8 0.8
Capital Issues 694 82 0 0 Net Debt/Equity ex MI (X) 0.9 0.8 0.8 0.8
Other Financing CF (66) (97) 8 7 Capex to Debt (%) 19.5 13.6 13.4 12.1
Net Financing CF 1,467 496 (212) (237) Z-Score (X) 4.8 4.5 4.7 4.8
Net Cashflow (381) 493 (543) (244) N. Cash/(Debt)PS (US cts.) (67.7) (46.4) (53.7) (56.0)
Opg CFPS (US cts.) 28.4 (4.4) 3.9 8.1
Free CFPS (US cts.) (35.4) 0.6 (4.9) 0.5
Quarterly / Interim Income Statement (US$ m) Segmental Breakdown / Key Assumptions
FY Dec 3Q2009 4Q2009 1Q2010 2Q2010 FY Dec 2009A 2010F 2011F 2012F
Turnover 8,361 9,567 11,401 12,917 Revenues (US$ m)
Cost of Goods Sold (8,046) (9,267) (11,069) (12,603) Agriculture 7,367 8,796 10,372 11,328
Gross Profit 315 300 332 315 Energy 18,206 24,312 28,207 31,174
Other Oper. (Exp)/Inc (117) (123) (142) (200) MMO 4,726 4,904 5,866 6,841
Operating Profit 197 177 190 114 Logistics 884 855 944 1,040
Other Non Opg (Exp)/Inc 11 (27) 31 79
Associates & JV Inc (4) (6) (3) 0 Total 31,183 38,867 45,390 50,383
Net Interest (Exp)/Inc (54) (17) (61) (69) Gross Profit (US$ m)
Exceptional Gain/(Loss) 0 (28) (28) (28) Agriculture 344 306 523 712
Pre-tax Profit 151 99 129 97 Energy 449 551 648 728
Tax (19) (16) (14) (10) MMO 136 157 167 202
Minority Interest 0 2 0 0 Logistics 177 171 189 208
Net Profit 132 85 115 87
Net profit bef Except. 132 113 143 114 Total 1,105 1,185 1,527 1,850
EBITDA 242 207 268 197 Gross Profit Margins (%)
Agriculture 4.7 3.5 5.0 6.3
Sales Gth (%) 16.5 14.4 19.2 13.3 Energy 2.5 2.3 2.3 2.3
EBITDA Gth (%) 46.5 (14.6) 29.4 (26.4) MMO 2.9 3.2 2.9 3.0
Opg Profit Gth (%) 31.9 (10.4) 7.7 (39.9) Logistics 20.0 20.0 20.0 20.0
Net Profit Gth (%) (46.9) (35.8) 35.6 (24.8)
Gross Margins (%) 3.8 3.1 2.9 2.4 Total 3.5 3.0 3.4 3.7
Opg Profit Margins (%) 2.4 1.8 1.7 0.9 Key Assumptions
Net Profit Margins (%) 1.6 0.9 1.0 0.7 Agriculture gross profit/MT, 21.5 15.0 21.8 27.7
Energy gross profit/MT, US$ 6.2 6.4 6.8 7.3
MMO gross profit/MT, US$ 4.0 5.5 5.6 5.6
Logistics gross profit/MT, 2.7 2.5 2.6 2.7
Vol. growth (ex-logistics), % 27.4 13.1 8.6 7.5
Source: Company, DBS Vickers

Page 5
 Company Focus
Noble Group

DBSV recommendations are based an Absolute Total Return* Rating system, defined as follows:
STRONG BUY (>20% total return over the next 3 months, with identifiable share price catalysts within this time frame)
BUY (>15% total return over the next 12 months for small caps, >10% for large caps)
HOLD (-10% to +15% total return over the next 12 months for small caps, -10% to +10% for large caps)
FULLY VALUED (negative total return i.e. > -10% over the next 12 months)
SELL (negative total return of > -20% over the next 3 months, with identifiable catalysts within this time frame)

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1. DBS Vickers Securities (Singapore) Pte Ltd and its subsidiaries do not have a proprietary position in the mentioned
company as of 11 Aug 2010
2. DBSVR, DBSVS, DBS Bank Ltd and/or other affiliates of DBS Vickers Securities (USA) Inc ("DBSVUSA"), a U.S.-registered
broker-dealer, may beneficially own a total of 1% or more of any class of common equity securities of the mentioned
company as of 13 Aug 2010.
3. Compensation for investment banking services:
i. DBSVR, DBSVS, DBS Bank Ltd and/or other affiliates of DBSVUSA may have received compensation, within the past
12 months, and within the next 3 months receive or intends to seek compensation for investment banking services
from the mentioned company.
ii. DBSVUSA does not have its own investment banking or research department, nor has it participated in any
investment banking transaction as a manager or co-manager in the past twelve months. Any US persons wishing to
obtain further information, including any clarification on disclosures in this disclaimer, or to effect a transaction in
any security discussed in this document should contact DBSVUSA exclusively.

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 Company Focus
Noble Group

RESTRICTIONS ON DISTRIBUTION
General This report is not directed to, or intended for distribution to or use by, any person or entity who is a citizen or
resident of or located in any locality, state, country or other jurisdiction where such distribution, publication,
availability or use would be contrary to law or regulation.

Australia This report is being distributed in Australia by DBSVR and DBSVS, which are exempted from the requirement to
hold an Australian financial services licence under the Corporation Act 2001 [“CA] in respect of financial services
provided to the recipients. DBSVR and DBSVS are regulated by the Monetary Authority of Singapore [“MAS”]
under the laws of Singapore, which differ from Australian laws. Distribution of this report is intended only for
“wholesale investors” within the meaning of the CA.

Hong Kong This report is being distributed in Hong Kong by DBS Vickers (Hong Kong) Limited which is licensed and
regulated by the Hong Kong Securities and Futures Commission.

Singapore This report is being distributed in Singapore by DBSVR, which holds a Financial Adviser’s licence and is regulated
by the MAS. This report may additionally be distributed in Singapore by DBSVS (Company Regn. No.
198600294G), which is an Exempt Financial Adviser as defined under the Financial Advisers Act. Any research
report produced by a foreign DBS Vickers entity, analyst or affiliate is distributed in Singapore only to
“Institutional Investors”, “Expert Investors” or “Accredited Investors” as defined in the Securities and Futures
Act, Chap. 289 of Singapore. Any distribution of research reports published by a foreign-related corporation of
DBSVR/DBSVS to “Accredited Investors” is provided pursuant to the approval by MAS of research distribution
arrangements under Paragraph 11 of the First Schedule to the FAA.

United Kingdom This report is being distributed in the UK by DBS Vickers Securities (UK) Ltd, who is an authorised person in the
meaning of the Financial Services and Markets Act and is regulated by The Financial Services Authority. Research
distributed in the UK is intended only for institutional clients.

rd
Dubai/ This report is being distributed in Dubai/United Arab Emirates by DBS Bank Ltd, Dubai (PO Box 506538, 3 Floor,
United Arab Emirates Building 3, Gate Precinct, DIFC, Dubai, United Arab Emirates) and is intended only for clients who meet the
DFSA regulatory criteria to be a Professional Client. It should not be relied upon by or distributed to Retail
Clients. DBS Bank Ltd, Dubai is regulated by the Dubai Financial Services Authority.

United States Neither this report nor any copy hereof may be taken or distributed into the United States or to any U.S. person
except in compliance with any applicable U.S. laws and regulations.

Other jurisdictions In any other jurisdictions, except if otherwise restricted by laws or regulations, this report is intended only for
qualified, professional, institutional or sophisticated investors as defined in the laws and regulations of such
jurisdictions.

DBS Vickers Research (Singapore) Pte Ltd – 8 Cross Street, #02-01 PWC Building, Singapore 048424
Tel. 65-6533 9688
Company Regn. No. 198600295W

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