Organizational Structure The Company’s Ownership Structure The Company’s Association by Way of Management and Supervision Management and Supervision of the Company

67 k. To act as a developer, providing construction planning, implementation, monitoring, land acquisition, land opening, back filing and leveling services; l. To undertake the construction and renovation of buildings, fields, bridges, roads, parks, irrigation dams, airports, including the installation of pilespipes, concrete components, pre-cast concrete, railway sleepers, other concrete products and other related businesses; and m. To engage in manufacturing of motor vehicle spare parts, wood works and furniture, including manufacturing and design, sawing, drying, veneer mini plywood, molding and saw milling SMA is currently a non-operating holding company. Key Financial Highlights in Rupiah December 31, 2016 Total Assets 151,955,637,104 Total Liabilities 1,138,450,000 Equity 80,400,000,000 Revenue - Operating Profit 5,128,212 Profit for the Year 70,367,750,000

5. Organizational Structure

68

6. The Company’s Ownership Structure

The following sets out the chart of the Company’s ownership structure as of the date of this Prospectus. As of the date of this Prospectus, SMA has indirect ownership in the Company through IIL which is the major shareholder of the Company which has 4,956,950,000 shares in the Company or approximately 99.14 of the nominal value of the shares placed in the Company. The Company’s controlling Shareholder is IIL. 69

7. The Company’s Association by Way of Management and Supervision

The Company’s association by way of management and supervision of the Subsidiaries are as follows: Name The Company Intera Integriya Interkayu Interkraft Intertrend Narkata Belayan Hendro Rusli PC C - - D - D D Stephanie Kane Ilham C - PD - - - - - Bing Hartono Poernomosidi IC - - - - - - - Heri Sunaryadi IC - - - - - - - Halim Rusli PD PD - - C C VPD VPD Meity Lin-lin VPD - D PC - PD - - Sjany Tjandra D - C D PD - - - Widjaja Karli D D - - - D C C Wang Sutrisno ID - - - - - - - Sandy Angdjaja - - - C - - - - Untung Iskandar - - - - - - PD PD Andreas Nugroho Adi - - - - - - D D Note: PC : President Commissioner C : Commissioner IC : Independent Commissioner PD : President Director VPD: Vice President Director D : Director ID : Independent Director

8. Management and Supervision of the Company

Article 15 paragraph 11 read together with Article 18 paragraph 14 of the Deed No. 172017 states that the Board of Commissioners and Board of Directors of the Company shall be appointed for a tenure of five years or until the closing of the Annual GMS at the end of one period unless otherwise specified in the GMS. The composition of Board of Commissioners and Board of Directors composition have complied with OJK Regulation No. 33 of 2014, pursuant to Deed No. 172017. The composition of the Company’s Board of Commissioners and Board of Directors as of the date of this Prospectus are as follows: Board of Commissioners President Commissioner : Hendro Rusli Commissioner : Stephanie Kane Ilham Independent Commissioner : Bing Hartono Poernomosidi Independent Commissioner : Heri Sunaryadi Directors President Director : Halim Rusli Vice President Director : Meity Lin-lin Director of Operations : Sjany Tjandra Marketing Director : Widjaja Karli Finance Director Independent Director : Wang Sutrisno 70 Roles and Responsibilities of Board of Commissioners The Board of Commissioners is responsible for overseeing the implementation of the Company’s strategies and also oversees the Directors to ensure the implementation of transparency and accountability in the management of the Company. The Independent Commissioner is primarily responsible for ensuring the implementation of good corporate governance principles within the Company. In conducting his duties, the Independent Commissioner shall lead the Board of Commissioners in overseeing and advising the Directors effectively in order to improve the performance of the Company, and take appropriate risks taking into consideration the Company’s business objectives in generating profits for shareholders and ensuring transparency and balanced disclosure in the Company’s financial statements. Roles and Responsibilities of Directors 1. The Directors shall be entitled to represent the Company on all matters and events, with the authority to enter into binding agreements with other parties, and shall also be entitled to carry out all matters on management and ownership, except for: a. Receiving or granting medium long term loans, in an amount that exceeds the limit which is determined by the Board of Commissioners from time to time, with or without guarantee, except for loans or receivables arising from business transactions. b. Binding the Company as a guarantor for loans exceeding an amount determined by the Board of Commissioners from time to time. c. Selling, transferring or releasing of immovable properties, including land rights or companies in an amount which exceeds the limit determined by the Board of Commissioners from time to time. d. Collateralizing or pledging the Company’s assets in an amount which exceeds the limit determined by the Board of Commissioners from time to time. e. Participating in, releasing part or all of the investment or establishing a new company which is not in the course of credit rescue in accordance with the prevailing laws and regulations, in an amount which exceeds the limit determined by the Board of Commissioners from time to time. 2. The Directors shall have the right and authority to act for and on behalf of the Directors and to represent the Company All members of the Company’s Directors have satisfied the qualifications of members of Directors set out in the prevailing laws and regulations, in particular the prevailing capital market laws and regulations. The brief profile of each member of the Company’s Board of Commissioners and Directors is as follows: Board of Commissioners Hendro Rusli President Commissioner Indonesian Citizen, 50 years old, born in Tangerang, April 28, 1967. Mr. Rusli has served as the Company’s President Commissioner since 2016. Mr. Rusli presently serves as a Director of Interkraft since 2016, a Director of Belayan since 2016, a Director of Narkata since 2016, and a Commissioner of Intera since 2016. Mr. Rusli previously served as the President Commissioner of Intertrend from 2013 to 2016, a Director of Intertrend from 1998 to 2013, and a Director of CV Jati Rimba from 1992 to 1998. 71 Stephanie Kane Ilham Commissioner Indonesian Citizen, 49 years old, born in Ambon, March 1, 1968. Ms. Ilham earned her Bachelor’s Degree in Marketing and Management from Stamford College Singapore, Singapore, in 1985. She has served as the Company’s Commissioner since 1993. She has served as the President Director of Integriya since 2016. She previously served as a Director in the Company from 1991 to 1993. Bing Hartono Poernomosidi Independent Commissioner Indonesian Citizen, 59 years old, born in Surabaya, May 4, 1958. Mr. Poernomosidi earned his Bachelor of Economics from Airlangga University, Surabaya, in 1984. He has served as the Company’s Independent Commissioner since 2016. Presently serving as a Director of PT Poernomosidi Strategic Consulting PSC since 2007. Mr. Poernomosidi previously served as the Managing Partner of Prasetio, Sarwoko Sandjaja - Ernst Young, Surabaya from 2002 to 2006, Managing Partner of Hanadi, Sarwoko Sandjaja - Ernst Young, Surabaya from 2000 to 2002, President Director of PT Jaya Pari Steel Tbk from 1996 to 2000, Manager in Prasetio Utomo Co. - Arthur Andersen Co., SC from 1990 to 1995, Professional Staff in Prasetio Utomo Co. - Arthur Andersen Co., SC from 1984 to1990. 72 Heri Sunaryadi Independent Commissioner Indonesian Citizen, 52 years old, born in Jember, June 26, 1965. Mr. Sunaryadi earned his Bachelor of Agriculture from Institut Pertanian Bogor, Bogor in 1987. He has served as the Company’s Independent Commissioner since 2016. Mr. Sunaryadi previously served as a Commissioner of PT Telekomunikasi Selular from 2015 to 2016, a Director of PT Telekomunikasi Indonesia Persero Tbk from 2014 to 2016, the President Director of PT Sentral Efek Indonesia Persero from 2013 to 2014, the President Director of PT Bahana Pembinaan Usaha Indonesia Persero from 2009 to 2013, the President Commissioner of PT Bahana Artha Ventura from 2012 to 2013, a Commissioner of PT Bahana Artha Ventura from 2009 to 2012, a Commissioner of PT Sarana Jatim Ventura from 2010 to 2011, a Commissioner of PT Bahana Artha Ventura from 2009 to 2012, a Commissioner of PT Mitra Tani Dua Tujuh from 2010 to 2011, a Commissioner of PT Kustodian Sentral Efek Indonesia Persero from 2009 to 2012, the President Director of PT Bahana Securities from 2007 to 2009, a Director of PT Bahana Securities from 1998 to 2007, the Equity Sales Division Manager of PT Astra Securities from 1997 to 1998, a Human Resources Manager of PT Astra Credit Companies from 1995 to 1997, and began his career in PT Astra International from 1988 to 1995. Directors Halim Rusli President Director Indonesian Citizen, 55 years old, born in Tangerang, Banten, March 29, 1962. Mr. Rusli earned his Bachelor of Business Administration from Redlands University, US in 1985. He has served as the Company’s President Director since 1989. At present, Mr. Rusli also serves as the Vice President Director of Narkata since 2016, Vice President Director of Belayan since 2016, a Commissioner of WII since 2015, a Commissioner of Intertrend since 2016, a Commissioner of Interkraft since 2016, the President Director of Intera since 2016. Mr. Rusli previously served as a Director of Integriya from 2013 to 2016, a Commissioner of Belayan from 2008 to 2016, a Commissioner of Narkata from 2008 to 2016, the Production Manager of PT Ria Star from 1985 to 1988. 73 Meity Lin-lin Vice President Director Indonesian Citizen, 47 years old, born in Mataram, December 26, 1969. Ms. Lin-lin earned her Bachelor’s Degree from Airlangga Widya Mandala University, Surabaya, in 1989. She has served as the Company’s Vice President Director since 2016. At present, Ms. Lin-lin also serves as the President Director of Intertrend since 2013, a Director of Integriya since 2016. She has previously served as a Commissioner of Integriya from 2013 to 2016, and began her career in PT Aetna Life Indonesia from 1989 to 2000. Sjany Tjandra Operations Director Indonesian Citizen, 52 years old, born in Jakarta, April 30, 1965. Ms. Tjandra earned her Bachelor of Science in Accounting from San Francisco State University, US in 1988. She has served as the Company’s Marketing Director since 1991. At present, Ms. Tjandra also serves as a Commissioner of Integriya since 2016, and a Director of Interkraft since 2012. She has previously served as the Branch Head of Expeditor International from 1991 to 1993, Personal Assistant for General Manager of Singapore Airlines from 1989 to 1991, Finance Supervisor of PT Multipolar from 1988 to 1989, Treasury Staff of PT Bangkok Bank 1988. Widjaja Karli Marketing Director Indonesian Citizen, 51 years old, born in Tangerang, September 24, 1965. Mr. Karli earned his Bachelor of Science in Marketing from San Francisco State University, US in 1988. He has served as the Company’s Director since 1991. At present, Mr. Karli also serves as a Commissioner of Belayan since 2016, a Commissioner of Narkata since 2016, a Director of Intertrend since 2016, the President Director of WII since 2015, a Director of Intera since 2012. He previously served as a Director of Belayan from 2014 to 2016, a Director of Narkata from 2014 to 2016, a Director of Interkraft from 2002 to 2012, a Commissioner of Intertrend from 1999 to 2012, a Marketing Manager of Citibank from 1989 to 1991, an Account Officer of Bank Bali from 1988 to 1989. 74 Wang Sutrisno Finance Director Independent Director Indonesian Citizen, 45 years old, born in Surabaya, September 30, 1971. Mr. Sutrisno earned his Bachelor of Economics from Universitas Kristen Petra, Surabaya, in 1994, and Master of Business Management from Oklahoma State University, US in 1998. He has served as the Company’s Director since 2016. He previously served as a Director of PT Integra Indo Lestari from 2011 to 2016, a Director of PT Anak Jaya Bapak Sejahtera from 2002 to 2011, Department Head of Universitas Kristen Petra from1994 to 2002. Certain members of the Board of Commissioners and Directors of the Company are related parties: Halim Rusli, Hendro Rusli and Widjaja Karli are siblings. Stephanie Kane Ilham, Meity Lin-lin, and Sjany Tjandra are the wives of Halim Rusli, Hendro Rusli, and Widjaja Karli respectively. Members of the Board of Commissioners and Directors shall meet at least once a month, with a minimum quorum of two members of the Board of Commissioners and two of the Directors. Nomination and Remuneration Committee The basis for the determination of the remuneration for the Directors is determined by Shareholders resolution. The Shareholders’ Resolution is submitted to the Board of Commissioners for consideration together with the recommendations of the Nomination and Remuneration Committee. The determination of remuneration of the Board of Commissioners is solely determined by Shareholders resolution to avoid any conflicts of interest. The total remuneration of salaries and benefits paid by the Company to the Board of Commissioners was Rp1,700,098,968 as at the year ended on December 31, 2016, Rp1,426,622,976 as at the year ended on December 31, 2015, and Rp1,383,668,220 as at the year ended on December 31, 2014. Total remuneration of salaries and benefits paid by the Company to the Directors was Rp2,441,433,232 as at the year ended on December 31, 2016, Rp2,116,190,448 as at the year ended on December 31, 2015, and Rp1,930,388,804 as at the year ended on December 31, 2014. Pursuant to the OJK Regulation No. 34 of 2014, the Company is required to establish a Nomination and Remuneration function. In order to comply with the provisions of OJK Regulation No. 34 of 2014 referred to above, the Company’s Board of Commissioners undertake the Nomination and Remuneration functions as set out in the Board of Commissioners Guideline to the Implementation of Nomination and Remuneration Function dated March 26, 2015. Roles and Responsibilities 1. Act independently in performing their duties; 2. Provide recommendations on: a. The composition of the Board of Directors andor the Board of Commissioners; b. Policies and criteria in connection with the nomination process; and c. Performance evaluation policies for the Board of Directors andor the Board of Commissioners. 75 3. Conduct performance appraisal of the Board of Directors andor the Board of Commissioners based on the benchmarks that have been prepared as evaluation materials; 4. Provide recommendations on the capacity building program for the Board of Directors andor the Board of Commissioners; 5. Nominate candidates who fulfill the requirements as members of the Board of Directors andor members of the Board of Commissioners to be submitted to the GMS; 6. Provide recommendations on: a. Remuneration structure; b. Remuneration policy; and c. The amount of remuneration. 7. Conduct a performance appraisal and, in connection with the results of the performance appraisal, determine the amount of remuneration to be received by each member of the Board of Directors andor the Board of Commissioners. Corporate Secretary Pursuant to the OJK Regulation No. 35 of 2014 read together with Decision of the Directors of PT Bursa Efek Jakarta No. Kep.305BEJ07-2004, and pursuant to the Appointment Letter dated March 1, 2017, the Company has appointed Mr. Wang Sutrisno as Corporate Secretary. Wang Sutrisno Indonesian Citizen, 45 years old, born in Surabaya, September 30, 1971. Mr. Sutrisno earned his Bachelor of Economics from Universitas Kristen Petra, Surabaya, in 1994, and Master of Business Management fromOklahoma State University, US in 1998. He has served as the Company’s Corporate Secretary since March 1, 2017. He has also served as a Director of the Company since 2016. He previously served as a Director of PT Integra Indo Lestari 2011-2016, as a Director of PT Anak Jaya Bapak Sejahtera 2002-2011, and as a department head of Universitas Kristen Petra 1994-2002. As a commitment to transparency for all stakeholders, the Company has appointed him to undertake the following roles: a. Ensure the Company’s compliance with the prevailing laws and regulations and proper implementation of Good Corporate Governance the GCG; b. Undertake the Corporate legal affairs function and ensure legal compliance; c. Undertake and implement the Corporate Social Responsibility the CSR Policies; d. Keep abreast of the developments in the capital markets, in particular the prevailing laws and regulations in the capital markets; e. Provide any information required by investors with regard to the Company’s condition; f. Provide advice to the Company’s Directors to comply with the provisions of the Capital Market Law and the implementing regulations thereof; and g. Act as a liaison and contact person between the Company and the OJK and the Public. The Company’s Corporate Secretary may be contacted at the following: Name : Wang Sutrisno Position : Corporate secretary Address : Betro Village, Sedati District, Sidoarjo, 61253 Phone : +62 31 8910434, +62 31 8910435, +62 31 8910436 Email : corsec.integraiil.co.id 76 Audit Committee Pursuant to the OJK Regulation No. 55 of 2015, which requires every public company to establish an Audit Committee and based on Letter No. 003ITG032017 dated March 1, 2017, the Company’s Board of Commissioners has agreed to pass a resolution to appoint the following members to the Company’s Audit Committee: Chairman : Bing Hartono Poernomosidi Member : Kristina Yunita W Member : Beny Bachtiar The tenure of an Audit Committee member is five years and may not be longer than the tenure of the Board of Commissioners of the Company. Meetings of members of the Audit Committee and Board of Commissioners shall occur at least once a month, with a minimum quorum of two members of the Audit Committee and two members of the Board of Commissioners. Bing Hartono Poernomosidi Indonesian Citizen, 59 years old, born in Surabaya, May 4, 1958. Mr. Poernomosidi earned his Bachelor of Economics from Airlangga University, Surabaya, in 1984. He has served as the Company’s Independent Commissioner since 2016. He has served as a Director of PT Poernomosidi Strategic Consulting PSC since 2007. Mr. Poernomosidi previously served as the managing partner of Prasetio, Sarwoko Sandjaja - Ernst Young, Surabaya 2002 - 2006, managing partner of Hanadi, Sarwoko Sandjaja - Ernst Young, Surabaya 2000 - 2002, president director of PT Jaya Pari Steel Tbk 1996 – 2000, manager in Prasetio Utomo Co. - Arthur Andersen Co., SC 1990-1995, and professional staff in Prasetio Utomo Co. - Arthur Andersen Co., SC 1984-1990. Kristina Yunita W Indonesian Citizen, 40 years old, born in Surabaya, June 25, 1976. Ms. Yunita earned her Bachelor’s Degree from Widya Mandala Catholic University, Surabaya, in 1998. She has served as IIL’s General Manager since 2011. She previously served as the General Manager of PT Anak Jaya Bapak Sejahtera from 2007 to 2011, a manager of PT Sariguna Primatirta from 2006 to 2007, a manager of PT Samator from 2002 to 2006, a supervisor of PT Sama Satya Pasifik from 1999 to 2002, and a staff of PT Mitra Dharma Laksana from 1998 to 1999. Beny Bachtiar Indonesian Citizen, 34 years old, born in Bondowoso, October 16, 1982. Mr. Bachtiar earned his Bachelor of Economics from Surabaya University, Surabaya, in 2006. He has served as IIL’s Supervisor since 2011. He previously served as a supervisor of PT Anak Jaya Bapak Sejahtera from 2009 to 2011, a supervisor of PT Atomtech International from 2008 to 2009, a staff of PT Barindo Anggun Industri from 2007 to 2008, and a staff of PT Toppac Purna Cipta from 2006 to 2007. 77 Objectives: The Audit Committee’s duties and responsibilities are to provide a professional and independent opinion to the Board of Commissioners with respect to the supervisory function undertaken by the Board of Commissioners. Roles and Responsibilities a. Review the financial information to be issued by the Company to the public andor authorities, including, among others, financial statements, projections and other reports related to the Company’s financial information; b. Review the Company’s compliance with the prevailing laws and regulations applicable to the Company’s activities; c. Provide an independent opinion in the event of difference of opinion between the management and the accountant on the services provided; d. Provide recommendations to the Board of Commissioners on the appointment of accountants based on independence, scope of engagement and fee; e. Review the audit implementation conducted by the internal auditor and supervise the implementation of follow-up action by the Directors on the internal auditor’s findings; f. Review the risk management implementation activities undertaken by the Directors, in the event that the Company does not have a risk monitoring function under the Board of Commissioners; g. Review complaints related to the Company’s financial reporting and accounting processes; h. Review and provide advice to the Board of Commissioners related to potential conflicts of interest in the Company; i. Maintain the confidentiality of the Company’s documents, data and information. Authorities a. Access the Company’s documents, data and information regarding employees, funds, assets, and resources as required; b. Directly communicate with employees, including the Directors and the parties undertaking the internal audit and risk management functions as well as the accountant with respect to the duties and responsibilities of the Audit Committee; c. Engage independent parties outside the Audit Committee to assist with the implementation of its duties if necessary; and d. Undertake other authorities granted by the Board of Commissioners. Internal Audit Unit Pursuant to the OJK Regulation No. 56 of 2015, and the Appointment Letter No. 002ITG032017 dated March 1, 2017, the Company has established an IAU. The Company has also established an IAU charter, which was ratified by the Board of Commissioners and Directors on March 1, 2017. The IAU charter sets out the guidelines of the IAU. The composition of the IAU as of the date of this Prospectus is as follows: Chairman : Tjio Linawati Member : Felicia Huliana Widharma Basir Member : Erwin Herman Susilo Tjio Linawati Indonesian Citizen, 50 years old, born in Surabaya, January 22, 1967. 78 Ms. Linawati earned her Associate Degree in Accounting from Surabaya University, Surabaya, in 1988. Ms. Linawati has served as IIL’s Financial Controller since 2015. She previously served as the Company’s finance manager from 2011 to 2015, the Company’s finance staff from 1991 to 2011, and finance staff of PT Super Viktorindo from 1989 to 1991. Felicia Huliana Widharma Basir Indonesian Citizen, 35 years old, born in Jakarta, February 23, 1982 Ms. Basir earned her Bachelor Degree in Accounting from Pelita Harapan University, Tangerang in 2004. Ms. Basir has served as IIL’s financial supervisor since 2011. She previously served as the Company’s supervisor from 2010 to 2011, a supervisor of PT Smart Business Solution from 2008 to 2009, a staff of PT Adhika Mekar Abadi from 2006 to 2007 and a staff of PT Young Industry Indonesia from2004 to 2006. Erwin Herman Susilo Indonesian Citizen, 38 years old, born in Tuban, February 16, 1979 Mr. Susilo earned his Associate Degree in Accounting fromSTIE Perbanas, Surabaya in 2002 Mr. Susilo has served as IIL’s Supervisor since 2011. He previously served as supervisor of PT Maspion from 2006 to 2011, a staff of PT Sinar Sosro from 2004 to 2006, a staff of PT Resort Tuban Tropis from2003 to 2004 and a staff of Public Accounting FirmSoegeng Sutedjo from2002 to 2003. Objectives: Provide an independent opinion and ensure the efficiency and effectiveness of internal control systems by conducting audits, reviews, as well as analysis and recommendations relating to the audited departmentactivities. Roles and Responsibilities: 1. Prepare and implement the annual audit plan; 2. Test and evaluate the implementation of internal control and risk management system in accordance with the Company’s policies; 3. Conduct testing and assess the efficiency and effectiveness of finance, accounting, operations, human resources, marketing, information technology and other activities; 4. Provide recommendations for improvements and objective information concerning the audited activities to all levels of management; 5. Prepare audit reports and submit such reports to the President Director and the Board of Commissioners; 6. Monitor, analyze and report the implementation of follow-up actions with respect to the recommendations made; 7. Cooperate with the Audit Committee; 8. Develop programs to evaluate the quality of internal audit activities. 9. Conduct special audit if required, as approved and assigned by the President Director. Authorities: 79 1. Access all relevant information concerning the Company in connection with its duties and functions; 2. Communicate directly with the Board of Directors, Board of Commissioners, andor Audit Committee and members of the Board of Directors, Board of Commissioners, andor Audit Committee; 3. Conduct periodic and ad hoc meetings with the Board of Directors, Board of Commissioners andor Audit Committee; and 4. Coordinate with the external auditor in all relevant activities. The tenure of the members of the Internal Audit Unit shall be five years and may not be longer than the tenure of the Board of Commissioners of the Company. Members of the Internal Audit Unit and the Board of Commissioners shall meet at least once a month, with a minimum quorum of two members of the Internal Audit Unit and two members of the Board of Commissioners.

9. Human Resources