INVENTORIES continued FS30Sep08EngFinal1

PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS UNAUDITED continued SEPTEMBER 30, 2007 AND 2008, AND NINE MONTHS PERIOD ENDED SEPTEMBER 30, 2007 AND 2008 Figures in tables are presented in millions of Rupiah, unless otherwise stated 38

10. LONG-TERM INVESTMENTS continued d. BMPL

BMPL Singapore, an associated entity of Telkomsel, is engaged in providing regional mobile services in the Asia Pacific region. Subsequently, on March 7, 2007, it was resolved that each of the stockholders shall subscribe for 1,500,000 additional shares of BMPL, subject to the accession of SK Telecom Co., Ltd as a stockholder of BMPL. However, the additional subscription of 300,000 shares shall be cancelled if SK Telecom Co., Ltd becomes a stockholder of BMPL. Based on the Accession Agreement dated June 18, 2007, the stockholders of BMPL agreed to admit SK Telecom Co, Ltd as a stockholder of BMPL. Consequently, the additional subscription of 300,000 shares was cancelled. On the same date, the stockholders of BMPL also agreed to admit Advanced Info Service Public Company Limited as a stockholder of BMPL. In April and November 2007, Telkomsel has paid additional subscriptions of US600,000, respectively equivalent to Rp.5,453 million and Rp.5,615 million, respectively. As of September 30, 2007 and 2008, Telkomsel’s contributions which represent 10.81 and 10 ownership interest are US1,600,000 equivalent to Rp.14,743 million and US2,200,000 equivalent to Rp.20,360 million, respectively.

e. BBT

BBT is engaged in providing fixed line telecommunication services at Batamindo Industrial Park in Muka Kuning, Batam Island and at Bintan Beach International Resort and Bintan Industrial Estate in Bintan Island.

f. Bangtelindo

Bangtelindo is primarily engaged in providing consultancy services on the installation and maintenance of telecommunications facilities. On July 19, 2007, based on decision of the EGM of stockholders as covered on notarial deed No. 38 of Dr. Wiratni Ahmadi, S.H. dated July 19, 2007, the Bangtelindo’s stockholders agreed the addition of paid in capital amounting to Rp.2,000 million from PT Fokus Investama Mondial’s “FIM” stockholders. As a result, the Company’s ownership in Bangtelindo has diluted to 2.41. On February 5, 2008, based on decision of the EGM of stockholders as covered on notarial deed No. 85 of Dr. Wiratni Ahmadi, S.H. dated June 30, 2008, the Bangtelindo’s stockholders agreed to convert its reserve to shares of 1,200 shares amounting to Rp.1,200 million by the FIM’s stockholders resulted in dilution of the Company’s ownership in Bangtelindo to 2.11.

g. Scicom

Scicom is engaged in providing call center services in Malaysia. As of September 30, 2008, TII has purchased additional 26,000,000 Scicom shares or equivalent to 9.81 of TII’s total ownership with transaction value amounted to US3.42 million equivalent to Rp.30,961 million.