CONSUMER FINANCING RECEIVABLES Employee benefit continued
PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
31 DECEMBER 2011 AND 2010
Expressed in millions of Rupiah, unless otherwise stated
Appendix 585 15. INVESTMENTS IN SHARES
a. The details of investments in shares are as follows:
2011 2010
Cost method 7,327
7,533 Less: Allowance for impairment losses
829 1,285
6,498 6,248
The details of investments in shares as at 31 December 2011 are as follows:
Investee Nature
Percentage of Carrying
Companies of Business
Ownership Amount
Cost Method: Westech Electronics
Trading and retail 5.50
124 Others each less than
Rp3,000 Various
3.99 - 10.00 7,203
Total 7,327
Less: Allowance for impairment losses 829
6,498
In October 2011, the bank acquired 60.00 of PT Mandiri AXA General Insurance shares MAGI, formerly PT Asuransi Dharma Bangsa ADB. After the acquisition, MAGI’s financial statements
are consolidated into the Bank’s consolidated financial statements Note 1g.
The details of investments in shares as at 31 December 2010 are as follows:
Investee Nature
Percentage of Carrying
Companies of Business
Ownership Amount
Cost Method: Westech Electronics
Trading and retail 5.50
1,244 Others each less than
Rp3,000 Various
3.99 - 10.00 6,289
Total 7,533
Less: Allowance for impairment losses 1,285
6,248
In August 2010, the Bank acquired additional 2.00 shares in PT AXA Mandiri Financial Services AMFS. As a result, the Bank’s ownership in AMFS increased to 51.00 and since then AMFS
financial statements are consolidated into the Bank’s consolidated financial statements Note 1g.
b. Investments in shares by Bank Indonesia’s collectibility:
2011 2010
Current 7,147
6,233 Doubtful
124 1,244
Loss 56
56 Total
7,327 7,533
Less: Allowance for impairment losses 829
1,285 6,498
6,248
PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
31 DECEMBER 2011 AND 2010
Expressed in millions of Rupiah, unless otherwise stated
Appendix 586 15. INVESTMENTS IN SHARES continued
c. Movements of allowance for impairment losses on investments in shares:
2011 2010
Balance at beginning of year 1,285
2,106 Allowance during the year Note 39
850 614
Others 1,306
1,435 Balance at end of year
829 1,285
Includes effect of foreign currency translation
Management believes that the allowance for impairment losses on investments in shares is adequate.