SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES continued GENERAL continued
b. Subsidiary Companies
The consolidated Subsidiaries and the percentage of equity held as of balance sheet dates are as follows:
Total assets of subsidiaries as at December 31, 2010 and 2009 are as follows:
2010 2009
2010 2009
Rp Rp
US US
PT Asiatex Garmindo 521,327
521,040 58
55 ASA Partners Holdings Ltd
1,880 1,880
PT Eratex Hongkong Ltd 6,049,655
5,300,638 673
564 PT Eratex Garment
675,437 715,335
75 76
PT Asiatex Garmindo, ASA Partners Holdings Ltd and PT Eratex Garment currently do not have any activities.
01
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting and reporting policies adopted by the Company and its Subsidiaries are conform to Generally Accepted Accounting Principles and Practices in Indonesia Indonesian GAAP”. The significant accounting principles applied consistently in the
preparation of the consolidated financial statements for the years ended December 31, 2010 and 2009 are as follows:
a. Basis of Preparation of Consolidated Financial Statements
The consolidated financial statements have been prepared in accordance with Generally Accepted Accounting Principles and Practices in Indonesia, i.e., the Financial Accounting Standards, BAPEPAM regulations, and Guidelines on Financial
Statements Presentation set out by BAPEPAM.
02 02
a. Basis of Preparation of Consolidated Financial Statements continued
The consolidated financial statements, presented in thousands of Rupiah and the translation in thousands of United States dollars, unless otherwise stated, have been prepared on the accrual basis using the historical costs, except for certain
accounts which are measured on the basis described in accounting policies of the related accounts. The consolidated statements of cash flows have been prepared using the direct method in accordance with the decision
letter No. Kep-06PM2000 dated March 13, 2000 of the Capital Market Supervisory Board.
b. Principles of Consolidation
