PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Years Ended December 31, 2008 and 2007 Expressed in millions of Rupiah, unless otherwise stated
47
7. GOVERNMENT BONDS continued
Significant information relating to Government Bonds is as follows continued:
2007 As of December 31, 2007, Government Bonds with a total nominal amount of Rp2,992,039 had been sold
to counterparties with agreements to repurchase Note 22. The ownership of Government Bonds with an aggregate nominal value of Rp1,926,843 have been legally
transferred to counterparty bank related with Callable Parallel Deposits Note 21 and Callable Zero Coupon Deposits transactions. Because of significant risk and rewards of ownership of Government Bonds
that have not been transferred to counterparty bank, the Bank still recognized Government Bonds on its consolidated balance sheet.
The Bank has also entered in two Callable Zero Coupon Deposits transaction with counterparty bank related to transfer contract of Government Bonds. Such contract was initiated when the Bank transferred
Government Bonds to counterparty bank and received the fund from the proceeds in Rupiah. A portion of the total transfer proceeds amounting to Rp974,666 was placed back as Callable Zero Coupon Deposits to
the counterparty bank. A summary of callable zero coupon deposit contract is as follows:
Effective Maturity
Beginning Ending
Effective Deposits
Date Date
Balance Balance
Interest Rate
Rupiah July 29, 2004
June 20, 2013 359,666
1,000,000 12.18
Rupiah April 8, 2005
December 20, 2013 615,000
1,514,470 10.90
The deposit was placed from a portion of fund received from transfer proceeds of Government Bonds to counterparty bank.
The interest rate of deposit above is the same with the yield of Government Bonds at the transfer date. The agreement gives an option right to counterparty bank to early terminate the agreement by early
terminationwithdrawal of the Rupiah deposit on any of the redemption date each year. Based on the agreement, counterparty bank has option right to early terminate the agreement in effect of
unwind events, which is the Bank failed to pay Rupiah deposit top up as required in the agreement. If counterparty bank exercised its option right to early terminate the agreement due to unwind events, the
Bank has to pay unwind cost to counterparty bank as determined later by the counterparty bank.
In addition counterparty bank has option right to early terminate the transaction if counterparty bank assess the fund received in the form of callable zero coupon deposits has higher interest rate than the market
interest rate, as the counterparty bank has executed on May 29, 2007 and June 26, 2007. On May 29, 2007, counterparty bank early terminated the callable zero coupon deposits with beginning
balance amounting to Rp359,666 and paid cash as settlement of the transaction on settlement date on June 20, 2007.
On June 26, 2007, counterparty bank early terminated the callable zero coupon deposits with beginning balance amounting to Rp615,000 and paid cash as settlement of the transaction on settlement date on
December 21, 2007.
PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Years Ended December 31, 2008 and 2007 Expressed in millions of Rupiah, unless otherwise stated
48
8. OTHER RECEIVABLES - TRADE TRANSACTIONS
a. By Type, Currency, Related Parties and Third Parties:
2008 2007
Rupiah: Third parties
Usance LC payable at sight 1,887,985
876,539 Others
175,347 189,052
Total Rupiah 2,063,332
1,065,591 Foreign Currency:
Third parties Usance LC payable at sight
1,616,647 922,818
Others 991,203
879,865 Total Foreign Currency
2,607,850 1,802,683
Total 4,671,182
2,868,274 Less: Allowance for possible losses
1,158,049 839,732
3,513,133 2,028,542
b. By Collectibility:
2008 2007
Current 3,080,245
1,617,981 Special mention
477,404 445,518
Sub-standard 12,309
6,283 Loss
1,101,224 798,492
Total 4,671,182
2,868,274 Less: Allowance for possible losses
1,158,049 839,732
3,513,133 2,028,542
c. By Maturity:
2008 2007
Rupiah: Less than 1 month
518,571 440,254
1 - 3 months 912,041
416,551 3 - 6 months
486,776 208,786
Over 12 months 145,944
- Total Rupiah
2,063,332 1,065,591
Foreign Currency: Less than 1 month
747,496 1,047,396
1 - 3 months 766,511
397,855 3 - 6 months
328,155 357,432
Over 12 months 765,688
- Total Foreign Currency
2,607,850 1,802,683
Total 4,671,182
2,868,274 Less: Allowance for possible losses
1,158,049 839,732
3,513,133 2,028,542
