overdone or still more to come, page-20

GG
i have another one for you
shawstock have it written down for a buy at 21.75

The current recommendation may not apply to all historic comments
2 June, 2008 Feedback from the AGM - BNB held its AGM. The key point was that despite the
challenging operating environment globally for investment banks, guidance for 2008 has been
retained (profit of at least $750m, up 15% on last year). The impact of provisions and write downs
in the 1st half and the timing of wind asset sales this year is likely to result in all the growth being
generated in the 2nd half of the year.
The guidance is based on a number of factors which include: (1) strong locked in growth in
recurring revenue from the growing specialised fund and asset management platform, (2)
significant identified growth in revenue generated from the development pipeline in wind energy,
power transmission, PPP projects and residential real estate developments, (3) in excess of $5b in
committed uninvested capital across the specialised funds platform concentrated in infrastructure
and aircraft operating leasing, and (4) acquisitions already made by the specialised fund platform in
2008. Pleasingly, the guidance also takes into account write downs in asset values as well as
some realised losses. On the subject of Babcock & Brown Power (BBP), BNB indicated it has
received interest from a wide range of parties. As a result, it expects to be able execute a strategy
which will demonstrate the value of the assets and start to restore value for BBP security holders.
BNB expects to make a number of positive announcements in this regard over the next few weeks.
We retain our Buy recommendation. We believe the stock and sector globally are rated very lowly
at present and that flows predominantly from the poor performance of US peers. BNB’s earnings
profile has not changed materially. We believe when the dust eventually settles in the US
investors will be reminded of BNB’s better position and relative longer term growth prospects.


theres more but trek to copy paste. i think its just a matter of waiting till market sentiment is better. people are worried seeing companies like bear sterns going down. wait.....