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Tan Chong organized a series of events last month in conjunction with the preview of the Nissan CKD Teana, which we expect to draw strong interest for the D segment, which has long been dominated by the Toyota Camry and Honda Accord. We also met with Management, which shared its views and the future outlook for the Group’s regional plans. Management said the overall landscape will be favorable once the B segment model kicks in come FY12, for which it hopes to achieve a 50% localization rate. Pending release of the group’s 2Q results next month, we maintain our earnings estimates for now but have rolled our earnings to FY11, at an unchanged PE multiple of 13x, from which we derive a TP of RM6.40 (previously RM5.73). Maintain BUY