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SURVEY

panel.sg

Monday, January 31, 2011

Singapore Post: HOLD S$1.17; Price Target : S$ 1.17

· Net profit of S$43.8m (-0.7% yoy, +10.0% qoq) and quarterly DPS of 1.25 Scents were in line.

· The appointment of new CEO for international business shows regional focus. Regional M&A and share buybacks cannot be ruled out.

· Maintain HOLD with DDM-based S$1.17 TP (cost of equity 7.7%, growth rate 2%). We have assumed that dividends can grow by 2% p.a. in the long term.

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