These consolidated financial statements are originally issued in Indonesian language.
PT INDOCEMENT TUNGGAL PRAKARSA Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Three months ended March 31, 2008 and 2007 Expressed in rupiah, unless otherwise stated
7
1. GENERAL PT Indocement Tunggal Prakarsa Tbk. the “Company” was incorporated in Indonesia on
January 16, 1985 based on notarial deed No. 227 of Ridwan Suselo, S.H. Its deed of incorporation was approved by the Ministry of Justice in its decision letter No. C2-2876HT.01.01.Th.85 dated
May 17, 1985 and was published in Supplement No. 946 of State Gazette No. 57 dated July 16, 1985. The Company’s articles of association has been amended from time to time, the latest amendment
of
which was covered by notarial deed No. 3 dated May 3, 2007 of Amrul Partomuan
Pohan, S.H., LLM concerning, among others, the change in the limits of authority of the Company’s board of directors. This amendment has been reported to and recorded in the Department of Laws and
Human Rights of the Republic of Indonesia under registration No. W7-HT.01.04-7590 dated May 29, 2007.
The Company started its commercial operations in 1985. As stated in Article 3 of the Company’s articles of association, the scope of its activities comprises,
among others, the manufacture of cement and building materials, construction and trading. Currently, the Company and Subsidiaries are involved in several businesses consisting of the manufacture and
sale of cement as core business and ready mix concrete, and aggregates quarrying. The Company’s head office is located at Wisma Indocement 8
th
Floor, Jl. Jend. Sudirman Kav. 70-71, Jakarta. Its factories are located in Citeureup - West Java, Cirebon - West Java and Tarjun -
South Kalimantan. The cement business includes the operations of the Company’s twelve 12 plants located in three
different sites: nine at the Citeureup - Bogor site, two at the Palimanan - Cirebon site and one at the Tarjun - South Kalimantan site, with a total combined annual production capacity of approximately
17.1 million tons of cement. The manufacture of ready mix concrete and aggregates quarrying businesses comprise the operations of the Company’s three subsidiaries.
Based on the minutes of the extraordinary general meeting of the Company’s shareholders EGMS held on October 2, 1989, which were covered by notarial deed No. 4 of Amrul Partomuan
Pohan, S.H., LLM., the shareholders approved, among others, the offering of 59,888,100 shares to the public.
Based on the minutes of the EGMS held on March 18, 1991, which were covered by notarial deed No. 53 of the same notary, the shareholders approved the issuance of convertible bonds with a total
nominal value of US75 million. On June 20, 1991, in accordance with the above-mentioned shareholders’ approval, the Company issued and listed US75 million worth of 6.75 Euro Convertible
Bonds the “Euro Bonds” on the Luxembourg Stock Exchange at 100 issue price, with an original maturity in 2001. The Euro Bonds were convertible into common shares starting August 1, 1991 up to
May 20, 2001 at the option of the bondholders at the initial conversion price of Rp14,450 per share, with a fixed rate of exchange upon conversion of US1 to Rp1,946.
In 1994, the Company issued 8,555,640 shares on the partial conversion of the Euro Bonds worth US35,140,000. Accordingly, the Company transferred and reclassified the corresponding portion of
the related bonds payable amounting to Rp8,555,640,000 to capital stock and Rp67,320,100,000 to additional paid-in capital. The remaining balance of the Euro Bonds with total nominal value of
US39,860,000 was fully redeemed and settled in 1994.
In the EGMS held on June 15, 1994, the shareholders approved the increase in the Company’s authorized capital stock from Rp750 billion to Rp2 trillion, and the issuance of one bonus share for
every share held by the shareholders as of August 23, 1994, or a total of 599,790,020 bonus shares.
These consolidated financial statements are originally issued in Indonesian language.
PT INDOCEMENT TUNGGAL PRAKARSA Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Three months ended March 31, 2008 and 2007 Expressed in rupiah, unless otherwise stated
8
1. GENERAL continued
