BASIC AND DILUTED EARNINGS PER SHARE

PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of March 31, 2014 and for three months period then ended unaudited Figures in tables are expressed in billions of rupiah, unless otherwise stated 80

34. RETIREMENT BENEFIT AND OTHER POST RETIREMENT BENEFIT OBLIGATIONS continued

a. Prepaid pension benefit costs continued March 31,

December 31, 2014 2013 Change in projected pension benefits obligation Projected pension benefits obligation at beginning of period 14,883 19,249 Service costs 48 450 Interest costs 327 1,183 Pension plan participants contributions 11 44 Actuarial gains losses 796 5,387 Expected pension benefits paid 176 656 Projected pension benefits obligation at end of period 15,889 14,883 Change in pension plan assets Fair value of pension plan assets at beginning of period 16,803 18,222 Expected return on pension plan assets 402 1,485 Employer’s contributions - 182 Pension plan participants contributions 11 44 Actuarial gains losses 796 2,474 Expected pension benefits paid 176 656 Fair value of pension plan assets at end of period 17,836 16,803 Funded status 1,948 1,920 Unrecognized prior service costs 58 78 Unrecognized net actuarial gains losses 1,071 1,071 Prepaid pension benefit costs 935 927 The expected return is determined based on market expectation for returns over the entire life of the obligation by considering the portfolio mix of the plan assets. The actual return on plan assets was Rp1,198 billion and Rp989 billion for three months period ended March 31, 2014 and for the year ended December 31, 2013, respectively. Based on the Company’s regulation issued on January 14, 2014 regarding Dapen’s Funding Policy, the Company will not give contribution to Dapen when Dapen’s Funding Sufficiency Ratio FSR is above 105. Therefore, the Company expects no contribution to defined benefit pension plan in 2014. The movements of the prepaid pension benefit costs during three months period ended March 31, 2014 and for the year ended December 31, 2013 are as follows: March31, December 31, 2014 2013 Prepaid pension benefit costs at beginning of period 927 1,031 Net periodic pension costs less amounts charged to subsidiaries 7 265 Amounts charged to subsidiaries under contractual agreement - 21 Employer’s contributions - 182 Prepaid pension benefit costs at end of period 934 927