PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Six Months Ended June 30, 2006 Unaudited and 2005 Audited Expressed in millions of Rupiah, unless otherwise stated
114
43. PENSION AND SEVERANCE continued
Free of Service Period MBT MBT is a period prior to pension age which frees the employee from their active routine job where the
related employee does not come to work but still obtains employee benefits such as: salary, medical facility, religion vacation benefit, annual leave if in the current year the employee has active working
period, special leave if the special leave is in the MBT period and mourning benefit and mourning facility.
In addition to the above benefits, the MBT facilities are to provide the employee a preparation opportunity before entering pension age.
The pension age, Minimal Working Period and MBT period are as follows:
No Pension Age
Minimal Working Period MBT Period
1. 56 years
12 years 12 months
2. 46 years
9 years 9 months
Assumptions used in the actuarial report for MBT are as follows: a. Discount rate is 13 per annum.
b. Expected rate of annual salary increase is 12. c. Normal pension age 56 years.
d. Early retirement rate is 5 from age 25 decreasing linearly at 0.25 per year up to 0 at age 45 and
thereafter. e. Mortality rate table is US 1980 Commissioners’ Standard Ordinary Table of Mortality.
f. Disability rate is 10 of mortality rate. Based on those assumptions, provision for MBT facilities as of June 30, 2006 as stated in the independent
actuarial reports of PT Dayamandiri Dharmakonsilindo dated March 2, 2006 amounts to Rp413,631 Note 28.
44. OTHER OPERATING EXPENSES – OTHERS - NET
2006 2005
Insurance premiums on customer guarantees 199,563
279,459 Others
81,705 66,959
281,268 346,418
45. NON-OPERATING INCOMEEXPENSE - NET
2006 2005
Gain on sale of premises and equipment 14,574
3,096 Penalties
15,611 27,760
Others -
net 3,155
10,144
2,118 34,808
PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Six Months Ended June 30, 2006 Unaudited and 2005 Audited Expressed in millions of Rupiah, unless otherwise stated
115
46. COMMITMENTS AND CONTINGENCIES
2006 2005
COMMITMENTS
Commitment Payables:
Unused loan facilities granted Third
Parties 18,694,833
21,103,790 Related
Parties 27,231 12,691
18,722,064 21,116,481
Outstanding irrevocable letters of credit Note 26 Third
Parties 3,620,667
5,540,720 Related
Parties 2,082 477
3,622,749 5,541,197
Others 12,557
- Total Commitment Payables
22,357,370 26,657,678
CONTINGENCIES Contingent Receivables:
Interest receivable on non-performing assets 5,582,972
2,573,114 Guarantees received from other banks
2,211,149 2,221,248
Others 32,747 32,964
Total Contingent
Receivables 7,826,868
4,827,326 Contingent Payables:
Guarantees issued in the form of: Bank guarantees issued Note 26:
Third Parties
7,280,795 7,442,541
Related Parties
7,087 6,782 7,287,882
7,449,323 Standby letters of credit Note 26
3,783,617 3,509,304
Others 25,803 138,201
Total Contingent
Payables 11,097,302
11,096,828 Contingent
Payables -
Net 3,270,434
6,269,502 COMMITMENTS AND CONTINGENCIES PAYABLE – NET
25,627,804 32,927,180
PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Six Months Ended June 30, 2006 Unaudited and 2005 Audited Expressed in millions of Rupiah, unless otherwise stated
116
47. FOREIGN CURRENCY
