INVENTORIES continued Disposal of Indonusa

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 46

10. LONG-TERM INVESTMENTS continued

December 31, 2013 Share of net loss Percentage profit of of Beginning Addition associated Translation Ending ownership balance Deduction company Dividend adjustment balance Long-term investments in associated companies: Indonusa a 20.00 - 182 7 - - 189 PT Melon Indonesia “Melon” b 51.00 42 - 3 - - 39 ILCS c 49.00 48 - 11 - - 37 Telin Malaysia d 49.00 - 20 6 - 4 18 CSM e 25.00 20 - 20 - - - PSN f 22.38 - - - - - - Patrakom g 40.00 46 46 2 2 - - Scicom h 29.71 98 88 2 3 9 - Sub-total 254 68 29 5 5 283 Other long-term investments 21 - - - - 21 Total long-term investments 275 68 29 5 5 304 December 31, 2013 Assets Liabilities Revenue Loss Long-term investments in associated companies: Indonusa a 655 669 363 124 Melon b 90 22 73 6 ILCS c 88 13 4 22 Telin Malaysia d 37 1 11 CSM e 1,273 1,387 306 181 PSN f 817 2,148 462 55 Total 2,960 4,240 1,208 399 a Indonusa had been the Company’s subsidiary until 2013 when the Company disposed 80 of its interest in Indonusa Notes 3. b Melon is engaged in providing Digital Content Exchange Hub services “DCEH”. As a result of the existence of substantive participating rights held by the other venturer over the significant financial and operating policies of Melon, Metra does not have control over Melon. c ILCS is engaged in providing E-trade logistic services and other related services. d Telin Malaysia is engaged in telecommunication services in Malaysia. e CSM is engaged in providing Very Small Aperture Terminal “VSAT”, network application services and consulting services on telecommunications technology and related facilities. f PSN is engaged in providing satellite transponder leasing and satellite-based communication services in the Asia-Pacific Region. The Company’s share in losses of PSN has exceeded the carrying amount of its investment since 2001; accordingly, the investment value has been reduced to Rp nil. The unrecognized share of losses of PSN for three months period ended March 31, 2014 and 2013 are Rp353 and Rp298 billion, respectively. g Patrakom has been engaged in providing satellite communication system services, related services and facilities to companies in the petroleum industry. Starting in 2013, Patrakom has been consolidated Notes 1d and 3. h Scicom is engaged in providing call center services in Malaysia. On September 19, 2013, the Company sold its investment in Scicom MSC Berhad-Malaysia Scicom, with the proceeds of disposal and the carrying amount of the investment on the date of disposal amounting to Rp153 billion and Rp88 billion, respectively, resulting in a gain of Rp65 billion. 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 47

11. PROPERTY AND EQUIPMENT

January 1, Reclassifications March 31, 2014 Additions Deductions Translations 2014 At cost: Directly acquired assets Land rights 1,098 4 - - 1,102 Buildings 4,224 17 16 8 4,233 Leasehold improvements 812 4 29 7 794 Switching equipment 18,705 82 42 232 18,977 Telegraph, telex and data communication equipment 6 - - - 6 Transmission installation and equipment 95,853 313 39 2,346 98,473 Satellite, earth station and equipment 7,456 38 - 365 7,859 Cable network 28,987 253 - 29 29,269 Power supply 11,755 20 10 228 11,993 Data processing equipment 9,230 61 45 79 9,325 Other telecommunications peripherals 500 80 - - 580 Office equipment 770 14 - 5 789 Vehicles 332 - 1 29 360 Other equipment 104 - - - 104 Property under construction 1,971 3,309 - 3,248 2,032 Assets under finance lease Transmission installation and equipment 5,683 94 7 - 5,770 Data processing equipment 123 - - - 123 Office equipment 7 12 - - 19 Vehicles 26 - - 26 - CPE assets 22 - - - 22 RSA assets 459 - - - 459 Total 188,123 4,301 189 54 192,289 January 1, Reclassifications March 31, 2014 Additions Impairment Deductions Translations 2014 Accumulated depreciation and impairment losses: Directly acquired assets Buildings 1,840 37 - 16 37 1,898 Leasehold improvements 649 17 - 29 - 637 Switching equipment 12,903 397 - 42 7 13,251 Telegraph, telex and datacommunication equipment 3 - - - - 3 Transmission installation and equipment 46,665 2,149 16 33 55 48,742 Satellite, earth station and equipment 5,190 143 12 - 256 5,601 Cable network 17,758 254 2 - 1 18,015 Power supply 6,794 312 - 8 25 7,073 Data processing equipment 6,823 211 - 45 5 6,984 Other telecommunications peripherals 267 15 - - 282 Office equipment 564 22 - - 11 597 Vehicles 68 13 - 1 1 81 Other equipment 100 1 - - - 101 Assets under finance lease Transmission installation and equipment 1,345 167 - 7 1 1,505 Data processing equipment 83 6 - - - 89 Office equipment 2 1 - - - 3 Vehicles 1 - - - 1 - CPE asets 13 1 - - - 14 RSA assets 294 10 - - 1 305 Total 101,362 3,756 30 181 214 105,181 Net Book Value 86,761 87,108