Downgrades on Lian Beng

Westcomb downgrades Lian Beng to Hold from Buy, cuts target price to $0.255 from $0.83 based on sum-of-parts valuation. Lowers FY09-10 earnings forecasts 65%-75% to reflect reduced margins due to rising construction costs, fewer contracts given industry-wide delay in property launches, absence of contributions from group's property development business. Says fiscal FY08 earnings of $11.9 million 50% below Westcomb's forecast.