PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Years Ended December 31, 2007 and 2006 Expressed in millions of Rupiah, unless otherwise stated
118
51. NET OPEN POSITION continued
NOP Ratios based on the total capital as of November 2006 unaudited are as follows :
Total Capital November 2006 28,276,345
NOP Ratio On-Balance Sheet 11.73
NOP Ratio Aggregate 4.56
Sum of the absolute values of difference between assets and liabilities from other foreign currecy.
52. NON-PERFORMING EARNING ASSETS RATIO, TOTAL ALLOWANCE FOR POSSIBLE LOSSES ON EARNING ASSETS RATIO, SMALL-SCALE LOANS RATIO AND LEGAL LENDING LIMIT
Non-performing earning assets to total earning assets Bank Mandiri only, was 4.52 and 8.25 as of December 31, 2007 and 2006, respectively. The Non-Performing Loan NPL ratio Bank Mandiri only
before being deducted by the allowance for possible losses gross basis was 7.33 and 17.08 as of December 31, 2007 and 2006, respectively Note 11A.d.
The total allowance for possible losses on earning assets provided by Bank Mandiri compared to the minimum allowance for possible losses on earning assets under the guidelines prescribed by Bank
Indonesia were 104.22 and 107.83 as of December 31, 2007 and 2006, respectively. The small-scale loans to total loans ratio was 3.31 and 4.15 as of December 31, 2007 and 2006,
respectively. Legal Lending Limit BMPK as of December 31, 2007 and 2006 did not exceed the BMPK regulation for
related parties and third parties. BMPK is calculated in accordance with Bank Indonesia Regulation - PBI No. 73PBI2005 dated January 20, 2005 as revised with PBI No. 813PBI2006 regarding Changes on
PBI No. 73PBI2005 regarding Legal Lending Limit Commercial Bank.
53. CUSTODIAL AND TRUST OPERATIONS Custodial Operations
Bank Mandiri started rendering custodial services in 1995. The operating license for custodial services was renewed and re-issued based on Bapepam Decision Letter No. KEP.01PMKstd1999 dated
October 4, 1999. Bank Mandiri’s Custodial, which is part of the Securities Services Department SSD of Bank Mandiri, provides a full range of custodial services such as:
a. Settlement and handling services for script and scriptless trading transactions. b. Safekeeping and administration of securities and other valuable assets.
c. Corporate action services related to the rights on the securities. d. Proxy services for its customers’ shareholders’ meetings and obligation holders’ meetings.
e. Generate reports and informations regarding customers’ securities kept and administrated by custody.
In order to fulfill the investors needs in investing in various securities instruments, Bank Mandiri’s Custodial facilitates by acting as:
a. General custodial which provides services for the investors in investing in the Indonesia capital market;
b. Local custodial for American Depository Receipts ADRs and Global Depository Receipts GDR which is needed by the investors in converting the companies’ shares listed in local and overseas
stock exchange dualmulti listing; c. Sub-registry services for settlement of government bonds SUN and SBIs transactions;
d. Custodial for mutual fund issued and managed by investment manager;
PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Years Ended December 31, 2007 and 2006 Expressed in millions of Rupiah, unless otherwise stated
119
53. CUSTODIAL AND TRUST OPERATIONS continued
Custodial Operations continued e. As direct participant of Euroclear for customer who is conducting investment and securities
transactions settlement listed in overseas market and recorded in Euroclear Operations Centre, Brussels;
f. Securities lending as services for customers who want to maximize their investment return by lending their securities to securities companies through intermediary and guarantee by PT Kliring Penjaminan
Efek Indonesia. Bank Mandiri has 370 and 337 custodial customers as of December 31, 2007 and 2006, respectively. The
customers are primarily pension funds, insurance companies, banks, institution, securities companies, mutual funds and other private companies with a total portfolio value as of December 31, 2007 of
Rp90,072,761, JPY672,222,222 full amount and US439,473,200 full amount and as of December 31, 2006 of Rp73,596,884 and US395,383,869.08 full amount.
Bank Mandiri carries insurance on custodial services against safekeeping and transit loss in accordance with Capital Market Supervisory Agency and financial institutions’ regulation.
Trust Operations Bank Mandiri had been rendering trustee services since 1983. The operating license for trustee services
was renewed and re-registered with Bapepam as stipulated in Decision Letter No. 17STTD-WAPM1999 dated October 27, 1999. The Trustee Services Business TSB provides a full range of the following
services:
a. Trustee for bonds MTN b. Escrow Account Agent
c. Paying Agent d. Initial Public OfferingIPO Receiving Bank
e. Security Agent
Bank Mandiri as Trustee has 37 and 30 trustee customers as of December 31, 2007 and 2006 with the total value of bonds and MTN issued amounted to Rp13,686,607 and US100,000,000 full amount and
Rp9,852,386 and US100,000,000 full amount, respectively. While the sinking fund, escrow account and third party fund managed amounted to Rp448,816 on behalf of 17 customers and Rp50,461 on behalf of 8
customers as of December 31, 2007 and 2006, respectively.
Both Bank Mandiri Trust and Custodial Services have received Quality Certification ISO 9001:2000.
54. CHANNELING LOANS
Channeling loans based on sources of funds and economic sectors are as follows:
2007 2006
Government: Electricity, gas and water
7,602,067 8,349,541
Transportation and communications 3,915,733
4,185,230 Agriculture
1,249,057 1,307,609
Manufacturing 742,653
769,286 Mining
12,612 36,266
Construction 11,394
14,084 Others
95,338 102,055
13,628,854 14,764,071
