TRADE RECEIVABLES continued TRADE RECEIVABLES continued

PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2016 and for the Year Then Ended Figures in tables are expressed in billions of Rupiah, unless otherwise stated Table of Content

5. TRADE RECEIVABLES continued

b. By age continued iii Aging of total trade receivables 2016 2015 Gross Provision for impairment of receivables Gross Provision for impairment of receivables Not past due 4,535 177 4,353 266 Past due up to 3 months 1,721 401 2,235 202 Past due more than 3 to 6 months 697 495 583 216 Past due more than 6 months 3,400 1,917 3,394 2,364 Total 10,353 2,990 10,565 3,048 The Group has made provision for impairment of trade receivables based on the collective assessment of historical impairment rates and individual assessment of its customers’ credit history. The Group does not apply a distinction between related party and third party receivables in assessing amounts past due. As of December 31, 2016 and 2015, the carrying amounts of trade receivables of the Group considered past due but not impaired amounted to Rp3,005billion and Rp3,430 billion, respectively. Management believes that receivables past due but not impaired, along with trade receivables that are neither past due nor impaired, are due from customers with good credit history and are expected to be recoverable. c. By currency i Related parties 2016 2015 Rupiah 1,300 1,328 U.S. dollar 23 Others Total 1,300 1,351 Provision for impairment of receivables 406 247 Net 894 1,104 iiThird parties 2016 2015 Rupiah 7,565 7,761 U.S. dollar 1,437 1,436 Australian dollar 40 14 Others 11 3 Total 9,053 9,214 Provision for impairment of receivables 2,584 2,801 Net 6,469 6,413 PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2016 and for the Year Then Ended Figures in tables are expressed in billions of Rupiah, unless otherwise stated Table of Content

5. TRADE RECEIVABLES continued

d. Movements in the provision for impairment of receivables 2016 2015 Beginning balance 3,048 3,096 Provision recognized during the yearNote 25 743 1,010 Receivables written off 801 1,058 Ending balance 2,990 3,048 The receivables written off relate to both relatedparty and thirdparty trade receivables. Management believes that the provision for impairment of trade receivables is adequate to cover losses on uncollectible trade receivables. As of December 31, 2016, certain trade receivables of the subsidiaries amounting to Rp4,550billion have been pledged as collateral under lending agreements Notes 15, 16b and 16c. Refer to Note 31 for details of related party transactions.

6. INVENTORIES 2016