REVERSAL FOR POSSIBLE LOSSES

PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 31 DECEMBER 2011 AND 2010 Expressed in millions of Rupiah, unless otherwise stated Appendix 5134 45. EMPLOYEE BENEFITS continued Pension Plan Bank Mandiri has five pension plans in the form of Employer Pension Plans DPPK as follows: a. One defined contribution pension plan, Dana Pensiun Pemberi Kerja Program Pensiun Iuran Pasti DPPK-PPIP or Bank Mandiri Pension Plan Dana Pensiun Bank Mandiri DPBM was established on 1 August 1999. The DPBM’s regulations were approved by Minister of Finance of the Republic of Indonesia through its Decision Letter No. KEP300KM.0171999 dated 14 July 1999 and was published in supplement of the State Gazette of the Republic of Indonesia No. 62 dated 3 August 1999 and Bank Mandiri’s Directors’ Resolution No. 004KEP.DIR1999 dated 26 April 1999 and were amended based on the Minister of Finance of the Republic of Indonesia’s Decision Letter No. KEP- 213KM.52005 dated 22 July 2005 and was published in the supplement of the State Gazette of the Republic of Indonesia No. 77 dated 27 September 2005 and Bank Mandiri’s Directors’ Resolution No. 068KEP.DIR2005 dated 28 June 2005. Bank Mandiri and the employees contribute 10.00 and 5.00 of the Base Pension Plan Employee Income, respectively. The Board of Directors and the members of the Supervisory Board of the DPBM are active employees of Bank Mandiri; therefore, in substance, Bank Mandiri has control over the DPBM. DPBM invests a part of its financial resources in Bank Mandiri time deposits, of which total balance as at 31 December 2011 and 2010 were Rp35,175 and Rp52,100 respectively. The interest rates on these time deposits are given on arms-length basis. For the years ended 31 December 2011 and 2010, the Bank paid pension contributions amounting to Rp200,629 and Rp176,282, respectively. b. Four employer defined benefit pension plans, Dana Pensiun Pemberi Kerja Program Pensiun Manfaat Pasti DPPK-PPMP are derived from the respective pension plans of the Merged Banks, namely Dana Pensiun Bank Mandiri Satu or DPBM I BBD, DPBM II BDN, DPBM III Bank Exim and DPBM IV Bapindo. The regulations of the respective pension plans were approved by the Minister of Finance of the Republic of Indonesia’s through its decision letters No. KEP- 394KM.0171999, No. KEP-395KM.0171999, No. KEP-396KM.0171999 and No. KEP- 397KM.0171999 all dated 15 November 1999, Based on the approval of shareholders No. S- 923M-MBU2003 dated 6 March 2003, Bank Mandiri has adjusted pension benefits for each Pension Fund. Such approval has been incorporated in each of the Pension Fund’s Regulations Peraturan Dana Pensiun PDP which have been approved by the Minister of Finance of the Republic of Indonesia based on its decision letters No. KEP115KM.62003 for PDP DPBM I, No. KEP116KM.62003 for PDP DPBM II, No. KEP117KM.62003 for PDP DPBM III, and No. KEP118KM.62003 for DPBM IV, all dated 31 March 2003. The members of the defined benefit pension plans are the employees from the legacy banks who have rendered three or more services years at the time of merger and are comprise of active employees of the Bank, former employee those who have resigned and did not transfer their beneficial right to other pension plan and pensioners. Based on the decision of the General Shareholders’ Meeting dated 28 May 2007, Bank Mandiri increased the pension benefit from each of the Pension Plans. The decision was stated in each Pension Plan Regulation and has been approved by the Minister of Finance of the Republic of Indonesia with decision letter No. KEP-144KM.102007 DPBM I; No. KEP-145KM.102007 DPBM II; No. KEP-146KM.102007 DPBM III and No. KEP-147KM.102007 DPBM IV, all dated 20 July 2007. Based on the approval of the General Meeting of Shareholders AGM on 17 May 2010, Bank Mandiri raise the retirement benefits of each pension fund. Decision to increase pension benefits set forth in the Regulation of Pension Fund respectively and has been approved by the Minister of Finance Decree No. KEP-441KM.102010 dated 10 August 2010 DPBMS; No. KEP- 442KM.102010 dated August 10, 2010 DPBMD; No. KEP-443KM.102010 dated 10 August 2010 DPBMT and No. KEP-444KM.102010 dated 10 August 2010 DPBME. PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 31 DECEMBER 2011 AND 2010 Expressed in millions of Rupiah, unless otherwise stated Appendix 5135 45. EMPLOYEE BENEFITS continued Pension Plan continued Based on the approval of the General Meeting of Shareholders AGM on 23 May 2011, Bank Mandiri raise the retirement benefits of each pension fund. Decision to increase pension benefits set forth in the Regulation of Pension Fund respectively and has been approved by the Minister of Finance Decree No. KEP-588KM.102011 dated 20 July 2011 DPBMS; No. KEP-589KM.102011 dated 20 July 2011 DPBMD; No. KEP-590KM.102011 dated 20 July 2011 DPBMT and No. KEP-591KM.102011 dated 20 July 2011 DPBME. As at 31 December 2011 and 2010 , the provision for pension benefit obligation are calculated by the independent actuary as shown in the independent actuarial report of PT Dayamandiri Dharmakonsilindo dated 18 January 2012 for the year ended on 31 December 2011 and the independent actuarial report of PT Eldridge Gunaprima Solution dated 28 January 2011 for the year ended 31 December 2010. The assumptions used for the years ended 31 December 2011 and 2010 are as follows: DPBM I DPBM II DPBM III DPBM IV Discount rate 7.25 per annum 2010: 9.50 7.25 per annum 2010: 9.50 7.25 per annum 2010: 9.50 7.25 per annum 2010: 9.50 Expected rate of return on pension plan assets 8.00 per annum 2010: 9.00 9.25 per annum 2010: 9.00 7.50 per annum 2010: 8.00 8.00 per annum 2010: 8.00 Working period used As at 31 July 1999 As at 31 July 1999 As at 31 July 1999 As at 31 July 1999 Pensionable salary PhDP used As at 31 July 1999, adjusted PhDP of legacy banks’ As at 1 January 2003, adjusted PhDP of legacy banks’ As at 1 January 2003, adjusted PhDP of legacy banks’ As at 1 January 2003, adjusted PhDP of legacy banks’ Expected rates of PhDP increase Nil Nil Nil Nil Mortality Rate Table 2011 and 2010: Indonesian Mortality Table 1999 TMI II for employee and former employee and Group Annuity Mortality 1983 GAM ’83 for pensioners 2011 and 2010: Indonesian Mortality Table 1999 TMI II for employee and former employee and Group Annuity Mortality 1983 GAM ’83 for pensioners 2011 and 2010: Indonesian Mortality Table 1999 TMI II for employee and former employee and Group Annuity Mortality 1983 GAM ’83 for pensioners 2011 and 2010: Indonesian Mortality Table 1999 TMI II for employee and former employee and Group Annuity Mortality 1983 GAM ’83 for pensioners Turnover rate 2011 and 2010: 5.00 for employees’ age of 25 and decreasing linearly by 0.167 each year up to 0.00 age 55 2011 and 2010: 5.00 for employees’ age of 25 and decreasing linearly by 0.167 each year up to 0.00 age 55 2011 and 2010: 5.00 for employees’ age of 25 and decreasing linearly by 0.167 each year up to 0.00 age 55 2011 and 2010: 5.00 for employees’ age of 25 and decreasing linearly by 0.167 each year up to 0.00 age 55 Disability rate 2011 and 2010: 10.00 of TMI II 2011 and 2010: 10.00 of TMI II 2011 and 2010: 10.00 of TMI II 2011 and 2010: 10.00 of TMI II Actuarial method Projected Unit Credit Projected Unit Credit Projected Unit Credit Projected Unit Credit Normal retirement age 48 years to 56 years depending on the grades 56 years for all grades 56 years for all grades 56 years for all grades Maximum defined benefit amount 80.00 of PhDP 80.00 of PhDP 62.50 PhDP 75.00 PhDP Expected rate of pension benefit increase Nil Nil Nil 4.00 per 2 years Tax rates - average 2011 and 2010: 3.00 of pension benefit 2011 and 2010: 3.00 of pension benefit 2011 and 2010: 3.00 of pension benefit 2011 and 2010: 3.00 of pension benefit