Critical Accounting Estimates and Judgements Critical Accounting Estimates and Judgements

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued DECEMBER 31, 2011 AND 2010, AND YEARS ENDED DECEMBER 31, 2011 AND 2010 Figures in tables are presented in billions of Rupiah, unless otherwise stated 36

4. CASH AND CASH EQUIVALENTS

continued 2011 2010 Time deposits continued Third parties Rupiah PT Bank Tabungan Pensiunan Nasional Tbk 190 116 PT Bank Bukopin Tbk “Bank Bukopin” 181 174 PT Bank Mega Tbk “Bank Mega” 180 177 PT Bank Muamalat Indonesia 95 10 PT Pan Indonesia Bank Tbk 90 95 Deutsche Bank AG “DB” 78 PT Bank CIMB Niaga Tbk ”Bank CIMB Niaga” 11 165 Others each below Rp.50 billion 54 83 879 820 Foreign currencies PT Bank OCBC NISP Tbk “OCBC NISP” merged with PT PT Bank OCBC Indonesia 641 - BCA - 65 Others each below Rp.50 billion 76 16 717 81 Sub-total 1,596 901 Total time deposits 8,088 7,967 Grand Total 9,634 9,120 Interest rates per annum on time deposits are as follows: 2011 2010 Rupiah 2.85 - 9.25 4.00 - 9.50 Foreign currencies 0.05 - 3.00 0.05 - 4.00 The related parties which the Company and its subsidiaries place their funds are state-owned banks. The Company and its subsidiaries placed a majority of their cash and cash equivalents in these banks because they have the most extensive branch network in Indonesia and are considered to be financially sound banks as they are owned by the state. Refer to Note 37 for details of related party transactions. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued DECEMBER 31, 2011 AND 2010, AND YEARS ENDED DECEMBER 31, 2011 AND 2010 Figures in tables are presented in billions of Rupiah, unless otherwise stated 37

5. TRADE RECEIVABLES

Trade receivables arise from services provided to both retail and non-retail customers, with details as follows: a. By debtor i Related parties 2011 2010 The Government 810 759 CSM 86 91 PT Indonesian Satellite Corporation Tbk “Indosat” 36 34 PT Patra Telekomunikasi Indonesia “Patrakom” 31 24 Others each below Rp.30 billion 52 23 Total 1,015 931 Less provision for impairment of receivables 83 151 Net 932 780 Trade receivables from certain related parties are presented net of the Company and its subsidiaries’ liabilities to such parties due to legal right of offset in accordance with agreements with those parties. ii Third parties 2011 2010 Residential and business subscribers 5,255 4,481 Overseas international carriers 377 377 Total 5,632 4,858 Less provision for impairment of receivables 1,649 1,294 Net 3,983 3,564 b. By age i Related parties 2011 2010 Up to 6 months 726 560 7 to 12 months 137 157 More than 12 months 152 214 Total 1,015 931 Less provision for impairment of receivables 83 151 Net 932 780