Portfolio Highlights

Portfolio by Geography, Sector, Liquidity and Currency Portfolio Value since Inception Total Shareholder Return 16 18 19

Making investments that will benet both my generation and the next.
Shane Xu, Associate Director, Investment

Photo (left to right): Camila de Almeida, Associate, Brazil; Ricardo Hallack, Director, Brazil; Renato Fairbanks Ribeiro, Associate Director, Brazil.

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Portfolio Highlights
(as at 31 March)

Temasek has a net portfolio of S$198 billion, comprising mostly equities. It has an underlying exposure that is balanced between mature economies and growth regions.

Global Exposure1

42%
Asia ex-Singapore

30%
Singapore

25%
Australia & New Zealand, North America & Europe

3%
Latin America, Africa, Central Asia & the Middle East

Distribution based on underlying assets.

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Portfolio Highlights

Geography1 (%)
Asia ex-Singapore Singapore Australia & New Zealand North America & Europe Africa, Central Asia & the Middle East Latin America

2012 42 30 14 11 2 1 2012 Financial Services Telecommunications, Media & Technology Transportation & Industrials Life Sciences, Consumer & Real Estate Energy & Resources Others 31 24 21 12 6 6 2012 Listed large blocs (20% share) Liquid & sub-20% listed assets Unlisted assets 37 36 27

2011 45 32 12 8 2 1 2011 36 22 23 11 3 5 2011 39 39 22

Sector1 (%)

Liquidity (%)

Currency2 (%)
Singapore dollars Hong Kong dollars US dollars British pounds sterling Indonesian rupiah Indian rupees Others

2012 65 12 7 6 2 2 6

2011 65 15 4 6 3 3 4

Distribution based on currency of denomination.

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Portfolio Value since Inception

Temasek was incorporated in 1974 with an initial portfolio valued at S$354 million.
Comprising 35 companies and other investments, these were mostly startups1 ranging from a bank to a sugar rener. Companies such as Singapore Airlines and DBS Bank have since grown to become international and regional brands, while others such as NatSteel2 have been divested. In the 1990s, four statutory entities, SingTel, PSA, Singapore Power and MediaCorp, were corporatised and acquired by Temasek. This was part of the policy intent by the Singapore Government to devolve itself from the provision of commercial services, or to further liberalise the market. Some, like port operator PSA and telecommunications provider SingTel, have transformed into global and regional players. Others such as Singapore Power have been restructured into several operating businesses, including three power generation companies which were sold a decade later in the late 2000s. From a portfolio of S$77 billion in March 2002, Temasek began actively investing in Asia and beyond. The portfolio has grown to a record S$198 billion in March 2012, with a net cash position. Temasek Portfolio Value since Inception
(in S$ billion)
200 SARS Epidemic 150 Dotcom Peak Listing of SingTel 50

Temasek steps up investments in Asia

Global Financial Crisis

100

0 74 3 75 4 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 December 5 94 5 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 March 5 Financial Year

OMarket value OShareholder equity

1 2

Shareholder equity before fair value reserve 6

See the list of companies in the initial portfolio on page 96. Formed to produce iron and steel in Singapore, NatSteel Ltd (formerly known as National Iron & Steel Mills Ltd) was first divested in 1986. Temasek reinvested in NatSteel in 1998 in support of their investment in Brazil. Temasek divested Natsteel in 2002 when NatSteel initiated a sale process. Incorporation of Temasek on 25 June 1974. Financial year 75 began on 25 June 1974 and ended 31 December 1975. Financial year-end was changed from 31 December before 1993 to 31 March from 1994 onwards. FRS39 Financial Instruments: Recognition and Measurement, introduced during year ended 31 March 2006, requires available-for-sale financial assets to be measured at fair value.
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3 4 5 6

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Portfolio Highlights

Total Shareholder Return

Total Shareholder Return (TSR) measures compounded annual returns to our shareholder as if it held our portfolio directly. It includes dividends to our shareholder and excludes capital injections from our shareholder.
For the nancial year ended 31 March 2012, our one-year TSR in Singapore dollar denomination7 was 1.50%, while our three-year TSR was 14.86%. Longer term TSR for 10, 20 and 30 years was 10%, 15% and 15% respectively. TSR since inception was 17% compounded over 38 years. The average risk-adjusted hurdle rates for Temasek were about 9% through the years. Annualised core ination in Singapore was under 2%8 over the past 10 years. S$ Total Shareholder Return vs Risk-adjusted Hurdle Rate (%)
Period (in years) Since Inception (1974) 17 9 15 9 15 9 10 9 3 9 15 9 3 8 1 8

(as at 31 March 2012)

30

20

10

O Total Shareholder Return in S$ terms O Risk-adjusted hurdle rate

7 8

TSR in US$ terms was 2%, 22%, 14%, 16%, 17%, and 19% for 1, 3, 10, 20, 30 and 38-year periods respectively. As of the year ended March 2012, annualised core inflation in Singapore was 2.5%, 1.3%, 1.8% and 1.7% for 1, 3, 10 and 20-year periods respectively (computed using data from the Monetary Authority of Singapore ).

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Major Investments
Sources:
1. Financials for the companies are based on their respective annual lings. 2. EVA gures are provided by the respective companies, except for the following, which are calculated by Temasek based on their respective annual lings: Bank of China, China Construction Bank, DBS Group, PT Bank Danamon Indonesia, Standard Chartered, ICICI Bank, Bharti Airtel, Celltrion, The Mosaic Co, Chesapeake Energy, Clean Energy Fuels, Inmet Mining and MEG Energy. 3. Market relevant information is sourced from Bloomberg and Stock Exchanges.

Market Capitalisation or Shareholder Equity1

Financial Services Bank of China Limited China Construction Bank Corporation DBS Group Holdings Ltd PT Bank Danamon Indonesia Tbk Standard Chartered PLC ICICI Bank Limited

Shareholding (%) as at 31 Mar 2012 2# 8# 30 67# 18 2#

Currency HKDm

2012

2011

980,633 1,135,544

HKDm 1,499,675 1,809,283 SGDm IDRb GBPm 34,228 44,089 37,190 33,762 55,137 37,967

INRm 1,026,196 1,285,608

Market Capitalisation or Shareholder Equity: For listed companies, 2012 refers to positions as at 31 March 2012. For unlisted companies, 2012 refers to positions as at 31 March 2012 or 31 December 2011, in accordance with their respective financial year ends. Similarly for 2011. Key Figures: FY2011 refers to financial year ended March 2012 or December 2011 or June 2011 or May 2011, in accordance with their respective financial year ends of the companies. Similarly for FY2010. Revenue for Financial Services consists of net interest income and other operating revenue. TSR: For listed companies, source is Bloomberg. Period for 1-year TSR is from 31 March 2011 to 31 March 2012. Period for 3-year TSR is from 31 March 2009 to 31 March 2012. Period for 5-year TSR is from 31 March 2007 to 31 March 2012. For unlisted companies, shareholder equity is used in the computations. TSR is based on shareholder equity as at their respective financial year ends.

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Major Investments

Glossary
EVA = Economic Value Added (excluding unusual items), attributable to investors Market Capitalisation = Market value as at 31 March 2012 and 31 March 2011 NA PATMI Shareholder Equity TSR = Not applicable = Prot/(Loss) after tax and non-controlling interests = Shareholder equity reported by the respective companies based on their annual lings = Total Shareholder Return

Key Figures2 Revenue FY2011 FY2010 PATMI FY2011 FY2010 124,1824 104,418 4 EVA FY2011 FY2010 53,5834 43,149 4* 88,174 4 70,580 4 118 (556) 3435 (355)* (1,239)* 5415* Change in EVA FY2011 FY2010 10,434 4 40 4* 1 (24.6) (14.5) 0.7 (26.3) (0.1) (19.2)

TSR3 (%) Years 3 12.9 15.4 23.5 28.6 27.1 40.7 5 (0.2) 10.5 (1.1) 1.3 8.5 2.3

328,2984 276,518 4

399,4034 325,780 4 169,2584 134,844 4 7,631 12,649 7,066 11,729 3,035 3,336 4,8495 76,429 1,632 2,883 4,3325 60,933

17,594 4 10,268 4 473 683 (198)5 (362)* 611* (112)5*

17,6375 16,0625 416,450 422,521

(24,010) (13,223)*

(10,787) 19,934*

4 5

Figures in RMBm. Figures in USDm. Includes significant interests held by Fullerton Financial Holdings Pte. Ltd. Restated due to change in adjustment basis and/or reclassification in the respective companies financial statements. For year ended Dec 2011/2010. For year ended Mar 2012/2011.

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Major Investments continued

Market Capitalisation or Shareholder Equity1

Telecommunications, Media & Technology Shin Corporation Public Company Limited Singapore Technologies Telemedia Pte Ltd STATS ChipPAC Ltd. Bharti Airtel Limited MediaCorp Pte Ltd Singapore Telecommunications Limited Transportation & Industrials Keppel Corporation Limited Neptune Orient Lines Limited PSA International Pte Ltd Sembcorp Industries Ltd Singapore Technologies Engineering Ltd Singapore Airlines Limited Singapore Power Limited SMRT Corporation Ltd

Shareholding (%) as at 31 Mar 2012 Currency 42# 100 84 5 100 54 THBm SGDm SGDm

2012 189,179 3,548 1,068

2011 97,633 1,954 1,586

INRm 1,283,209 1,357,617 SGDm SGDm 748 50,218 564 48,126

21 66 100 49 51 56 100 54

SGDm SGDm SGDm SGDm SGDm SGDm SGDm SGDm

19,698 3,658 8,553 9,436 9,968 12,674 8,336 2,638

19,864 5,011 8,534 9,318 9,942 16,346 7,843 2,871

Market Capitalisation or Shareholder Equity: For listed companies, 2012 refers to positions as at 31 March 2012. For unlisted companies, 2012 refers to positions as at 31 March 2012 or 31 December 2011, in accordance with their respective financial year ends. Similarly for 2011. Key Figures: FY2011 refers to financial year ended March 2012 or December 2011 or June 2011 or May 2011, in accordance with their respective financial year ends of the companies. Similarly for FY2010. Revenue for Financial Services consists of net interest income and other operating revenue. TSR: For listed companies, source is Bloomberg. Period for 1-year TSR is from 31 March 2011 to 31 March 2012. Period for 3-year TSR is from 31 March 2009 to 31 March 2012. Period for 5-year TSR is from 31 March 2007 to 31 March 2012. For unlisted companies, shareholder equity is used in the computations. TSR is based on shareholder equity as at their respective financial year ends.

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Major Investments

Key Figures2 Revenue FY2011 8,649 2,595 1,7074 FY2010 7,967 2,455*** 1,678 4 PATMI FY2011 FY2010 16,559 2,109 (3)4 42,594 174 3,989 8,016*** (271) 108 4 60,467 43 3,825 EVA FY2011 FY2010 6,462 (253) (55)4 2,989 (281) (40)4 Change in EVA FY2011 FY2010 3,473 28 (15)4 2,257 (114) 140 4 1 124.7 81.6 (32.6) (5.2) 36.4 13.3

TSR3 (%) Years 3 72.2 16.7 27.1 2.9 11.1 13.9 5 35.1 25.5 (18.7) (2.3) 4.4 4.8

714,508 595,383** 629 18,825 590 18,071

NA5 (71,967) 34 1,943 5** 1,814**

NA5 (91,222) 29 129 6** (59)**

10,082 9,2114 4,314 9,047 5,991 14,858 8,662 1,057

9,140*** 9,4224 4,076 8,764 5,984 14,525 7,805 970

1,841 (478)4 1,135 809 528 336 930 120

1,511*** 4614 1,179 793 491 1,092 924 161

1,024 (765)4 297 472 408 (1,000) 339 92

964*** 13 4 220 495 369 (90) 339 111

60

11***

1.8 (25.3) 12.5 4.5 4.4 (13.0) 10.8 (4.0)

41.3 11.8 11.8 35.6 15.4 12.1 18.6 8.8

10.3 (11.4) 16.2 4.8 4.7 (0.8) 11.6 7.5

(778)4 1,2074 77 (23) 39 (910) (19) 47 11 63 1,114 127 (10)

4 5

Figures in USDm. Information not available. Comprises significant interests held by Aspen Holdings Limited.

** Restated by respective companies. *** Restated by respective companies due to changes to accounting standard or divestment of major line of business. For year ended Dec 2011/2010. For year ended Mar 2012/2011.

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Major Investments continued

Market Capitalisation or Shareholder Equity1

Life Sciences, Consumer & Real Estate Olam International Limited CapitaLand Limited Celltrion, Inc. Li & Fung Limited M+S Pte. Ltd.
Pulau Indah Ventures Sdn Bhd

Shareholding (%) as at 31 Mar 2012 16 40 10 3 40 50 100 43 88

Currency SGDm SGDm KRWb HKDm SGDm MYRm SGDm SGDm SGDm

2012 5,764 13,260 4,261 144,932 NM6 NM6 6,525 2,760 176

2011 5,965 14,087 4,042 160,893 NA NA 5,825 2,780 162

Pulau Indah Ventures Sdn Bhd Mapletree Investments Pte Ltd SATS Ltd. Wildlife Reserves Singapore Pte Ltd

Energy & Resources The Mosaic Company Chesapeake Energy Corporation Clean Energy Fuels Corp. FTS International, Inc. Inmet Mining Corporation MEG Energy Corp.
1

5 7 08 40 11 6

USDm USDm USDm USDm CADm CADm

23,523 15,339 1,837 3,733 3,912 7,461

35,162 22,046 1,151 544 4,195 9,385

Market Capitalisation or Shareholder Equity: For listed companies, 2012 refers to positions as at 31 March 2012. For unlisted companies, 2012 refers to positions as at 31 March 2012 or 31 December 2011, in accordance with their respective financial year ends. Similarly for 2011. Key Figures: FY2011 refers to financial year ended March 2012 or December 2011 or June 2011 or May 2011, in accordance with their respective financial year ends of the companies. Similarly for FY2010. Revenue for Financial Services consists of net interest income and other operating revenue. TSR: For listed companies, source is Bloomberg. Period for 1-year TSR is from 31 March 2011 to 31 March 2012. Period for 3-year TSR is from 31 March 2009 to 31 March 2012. Period for 5-year TSR is from 31 March 2007 to 31 March 2012. For unlisted companies, shareholder equity is used in the computations. TSR is based on shareholder equity as at their respective financial year ends.

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Major Investments

Key Figures2 Revenue FY2011 FY2010 15,735 10,455 3,020 279 3,383 181 PATMI FY2011 FY2010 430 1,057 170 6815 NM6 NM6 793 171 13 359 1,426*** 110 5485 NA NA 747 191 14 EVA FY2011 FY2010 149 (422) NA4 2555 NM6 NM6 18 43 6 144** (323)*** NA 2335** NA NA 469 68 6** Change in EVA FY2011 FY2010 5 (99) NA4 225 NA NA (451) (25) 20** 245*** NA 705** NA NA 185 1 1** 1 (13.8) (3.7) 6.5 (8.0) NM6 NM6 12.7 6.5 8.3

TSR3 (%) Years 3 19.4 12.7 32.1 28.3 NA NA 12.3 34.4 10.2 5 (3.1) (12.2) NA 10.4 NA NA 14.1 4.0 12.9

20,0305 15,9125 NM6 NM6 574 1,685 108 NA NA 590 1,358*** 102

9,938 11,635 293 2,344 979 1,033

4 5 6 7

6,759 9,366 212 1,287 779 730***

2,515 1,570 (48) 414 348 64

827 1,663 (3) 369 392 50***

NA 2 (101) 261 74 (373)

NA 526* NA NA NA (340)***

NA (524) NA NA NA (33)

NA NA NA NA NA (60)***

(29.6) (30.2) 29.9 5.9 (17.0) (21.6)

10.9 12.0 51.7 NA 22.2 NA

16.6 (4.5) NA NA (1.9) NA

Information not available. Figures in USDm. Information not meaningful. Joint venture with Khazanah Nasional Berhad. Projects under development. Comprising non-voting cumulative convertible preferred stock in Chesapeake Energy Corporation (CHK). If converted into common shares, our interest in CHK is estimated to be approximately 2% on a fully diluted basis. Shareholdings comprising common stock as at 31 March 2012 is 0.49%, not inclusive of our convertible notes holdings. Post conversion of the convertible notes, our interest in Clean Energy Fuels Corp. is estimated to be approximately 4% on a fully diluted basis. Restated due to change in adjustment basis and/or reclassification in the respective companies financial statements.

** Restated by respective companies. *** Restated by respective companies due to changes to accounting standards or divestment of business in key geographical area. For the year ended May 2011/2010. For the year ended Jun 2011/2010. For year ended Dec 2011/2010. For year ended Mar 2012/2011.

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Temasek Portfolio at Inception

Temasek was incorporated in 1974 with an initial portfolio valued at S$354 million, comprising 35 companies and other investments acquired from the Singapore Minister for Finance. This move enabled the Singapore Government to focus on its core role of policymaking and regulations. Companies in bold are still within the Temasek portfolio, directly or indirectly, while the rest have been divested or liquidated. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35. Acma Electrical Industries Ltd Cerebos Singapore Pte Ltd Chemical Industries (F.E.) Ltd Development Bank of Singapore Ltd1 Instant Asia Cultural Shows Pte Ltd Insurance Corporation of Singapore Ltd International Development and Construction Corporation Intraco Ltd Jurong Bird Park Pte Ltd2 Jurong Holdings Pte Ltd3 Jurong Shipbuilders Pte Ltd3 Jurong Shipyard Pte Ltd3 Keppel Shipyard Pte Ltd4 Metrawood Pte Ltd Ming Court Hotel Ltd Mitsubishi Singapore Heavy Industries Pte Ltd National Engineering Services Pte Ltd National Grain Elevator Ltd National Iron & Steel Mills Ltd Neptune Orient Lines Ltd Primary Industries Enterprises Pte Ltd5 Sembawang Holdings Pte Ltd3 Singapore Airlines Ltd Singapore Airport Duty-Free Emporium Pte Ltd6 Singapore Cable Car Pte Ltd Singapore General Aviation Service Company Pte Ltd Singapore National Printers Pte Ltd Singapore Offshore Petroleum Services Pte Ltd Singapore Textiles Industries Ltd Singapore Treasury Building Pte Ltd Singapore Zoological Gardens2 Singmanex Pte Ltd Sugar Industry of Singapore Ltd United Industrial Corporation Ltd United Vegetable Oil Pte Ltd

1 2 3 4 5 6

Now part of DBS Group Holdings Ltd. Now part of Wildlife Reserves Singapore Pte Ltd. Now part of Sembcorp Industries Ltd. Now part of Keppel Corporation Limited. Now part of SATS Ltd., a catering and airport services company. Now jointly owned by Singapore Airlines Limited and SATS Ltd.
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