GENERAL INFORMATION continued g. Subsidiaries

PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2016 and for the year then ended Expressed in millions of Rupiah, unless otherwise stated 23

1. GENERAL INFORMATION continued g. Subsidiaries continued

PT Bank Mandiri Taspen Pos continued After the implementation of the additional capital investment, the Banks ownership in BSHB increased from 80.00 to 81.46 of the total shares issued by BSHB with a total investment value of Rp81,461 from the beginning of Rp80,000. On May 28, 2013, the Bank made additional capital investment in BSHB amounted to 11.77 of the total shares issued and fully paid, or at Rp32,377,072,750 full amount by purchasing shares of BSHB owned by some of BSHB minority shareholders with a total of 23,546,962 shares full amount. The additional capital investment of the Banks investments in BSHB has been approved by Bank Indonesia as contained in the letter of Bank Indonesia No. 1533DPB1PB1-1 dated May 6, 2013. On December 22, 2014, BSHB hold a Extraordinary General Meeting of Shareholders approved the issuance of 800,000,000 full amount of new shares to be purchased by Bank Mandiri, PT Taspen Persero and PT Pos Indonesia Persero. Changes in the composition of ownership has been effective on May 28, 2015 with the approval of the statement of changes in shareholders BSHB by FSA Banking, with the composition of the final ownership is Bank Mandiri 58.25, PT Taspen 20.2, PT Pos 20,2 and individual shareholders 1.35. FSA Banking also approved Taspen and PT Pos as a new shareholder as well as the additional capital injection of the Bank in BSHB amounted to Rp198,000. On July 24, 2015, the FSA has approved the change of name of PT Bank Sinar Harapan Bali to PT Bank Mandiri Taspen Pos and given permission to conduct business under the name of Bank Mantap. The changes of name and logo are permitted by the FSA on July 31, 2015. The changes of name and logo have been announced to the public on August 7, 2015. On November 24, 2016, the Bank has received approval from the FSA related to the plan additional capital investment at PT Bank Mandiri Taspen Pos amounted to Rp257,036 through letter No. S-125PB.312016 regarding the Application for Approval of the additional capital investment of Bank Mandiri in PT Bank Mandiri Taspen Pos. The increase in capital has changed the percentage of ownership whereby after the issuance of additional capital, the Bank’s ownership in Bank Mandiri Taspen Pos has increased from 58.25 to 59.44 of the total shares issued by Bank Mantap. The increase in the capital will be effective after the approval of the FSA on the change of Bank Mandiri Taspen Pos’ authorized share capital. Until the date of the consolidated financial statements, the Subsidiary has not yet received approval from the FSA. Prior to January 1, 2011, goodwill arising from the acquisition of PT Bank Mandiri Taspen Pos amounting to Rp19,219 was amortized using the straight-line method over 5 five years with the estimation of economic benefits of the goodwill. Effective January 1, 2011, in accordance with SFAS No. 22 Revised 2009, Business Combinations, goodwill is not amortized but is tested for impairment annually. The Bank periodically evaluates the impairment of goodwill in accordance with SFAS No. 48, Impairment of Assets see Note 2s. The balance of goodwill on December 31, 2016 and 2015 amounted to Rp21,043. PT Mandiri Tunas Finance PT Mandiri Tunas Finance “MTF”, formerly PT Tunas Financindo Sarana “TFS” is a company engaged in consumer financing activities. MTF was established based on notarial deed of Misahardi Wilamarta, S.H., No. 262 dated May 17, 1989 and approved by the Ministry of Justice through its decision letter No. C2-4868.HT.01.01.TH.89 dated June 1, 1989 and published in State Gazette No. 57, Supplement No. 1369 dated July 18, 1989. MTF commenced its commercial activities in 1989. MTF obtained a business license to operate in leasing, factoring and consumer financing from Minister of Finance in its decision letter No. 1021KMK.131989 dated September 7, 1989, No. 54KMK.0131992 dated January 15, 1992 and No. 19KMK.0172001 dated January 19, 2001. Based on notarial deed Dr. A. Partomuan Pohan, S.H., LLM, dated on February 6, 2009, the Bank entered into a sales and purchase agreement with MTF’s shareholders PT Tunas Ridean Tbk. and PT Tunas Mobilindo Parama to acquire 51.00 ownership of MTF through its purchase of 1,275,000,000 shares of MTF the nominal value of Rp100 full amount per share amounting to Rp290,000. PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2016 and for the year then ended Expressed in millions of Rupiah, unless otherwise stated 24

1. GENERAL INFORMATION continued g. Subsidiaries continued