PLACEMENTS WITH BANK INDONESIA AND OTHER BANKS continued

PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS December 31, 2004 and 2003, and April 30, 2003 Expressed in millions of Rupiah, unless otherwise stated 36

5. PLACEMENTS WITH BANK INDONESIA AND OTHER BANKS continued

b. Bank Mandiri has no placements with related party banks. c. Average Interest Rate per Annum: December 31, December 31, April 30, 2004 2003 2003 Rupiah 7.29 5.69 11.28 Foreign Currency 2.28 1.17 1.06 d. The placements with Bank Indonesia and other banks are for the periods ranging from 3 to 172 days, 1 to 366 days and 1 to 366 days for the year ended December 31, 2004, the eight- month period ended December 31, 2003, and the four-month period ended April 30, 2003, respectively. e. A placement amounting to Rp123,468 and Rp127,144 as of December 31, 2003 and April 30, 2003, respectively, is pledged as cash collateral for a bank guarantee in favor of a borrower of Bank Mandiri. f. Movements of allowance for possible losses on placements with other banks: Eight-Month Four-Month Year Ended Year Ended Period Ended Period Ended December 31, December 31, December 31, April 30, 2004 2003 2003 2003 Balance at beginning of period 64,849 51,317 70,339 51,317 Provisionreversal for the period 19,428 19,522 3,389 22,911 Write-offs - 168 168 - Others 6,981 5,822 1,933 3,889 Balance at end of period 91,258 64,849 64,849 70,339 Includes foreign currency translation effect. Management believes that the allowance for possible losses on placements with other banks is adequate. 6. SECURITIES a. By Purpose and Related and Third Parties: December 31, December 31, April 30, 2004 2003 2003 Related parties Held-to-maturity 272,114 143,654 145,703 Trading 78,013 76,895 27,718 Available-for-sale 48,957 200,000 87,000 399,084 420,549 260,421 Third parties Held-to-maturity 11,556,984 11,523,650 14,601,400 Trading 351,195 1,752,257 598,332 Available-for-sale 2,048,371 1,176,231 578,254 13,956,550 14,452,138 15,777,986 Total 14,355,634 14,872,687 16,038,407 PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS December 31, 2004 and 2003, and April 30, 2003 Expressed in millions of Rupiah, unless otherwise stated 37

6. SECURITIES continued

a. By Purpose and Related and Third Parties: continued December 31, December 31, April 30, 2004 2003 2003 Less: Unamortized interest 26,139 60,981 83,565 Unrealized gains from increase in value of securities 79,311 3,803 13,121 Allowance for possible losses 1,904,077 1,803,381 1,834,524 12,504,729 13,012,128 14,133,439 b. By Type, Currency and Collectibility: December 31, 2004 Unrealized Fair Value Unamortized gains Cost interest losses Current Loss Total Rupiah: Held-to-maturity Certificates of Bank Indonesia 7,655,636 23,757 - 7,631,879 - 7,631,879 Mandatory convertible bonds 1,018,809 - - - 1,018,809 1,018,809 Bonds 38,000 - - 2,000 36,000 38,000 Wadiah Certificates of Bank Indonesia 325,000 - - 325,000 - 325,000 Investments in mutual fund units 42,000 - - 42,000 - 42,000 Medium term notes 5,000 - - 5,000 - 5,000 Export bills 178,525 - - 32,581 145,944 178,525 9,262,970 23,757 - 8,038,460 1,200,753 9,239,213 Trading Bonds 118,977 - 948 118,937 988 119,925 Medium term notes 81,000 - 105 80,895 - 80,895 Others 47,955 - 806 48,761 - 48,761 247,932 - 1,649 248,593 988 249,581 Available-for-sale Bonds 1,127,586 - 32,112 1,110,698 49,000 1,159,698 Syariah Mudharabah bonds 411,454 - 4,193 415,647 - 415,647 Investments in mutual fund units 223,064 - 32,467 255,531 - 255,531 1,762,104 - 68,772 1,781,876 49,000 1,830,876 Total Rupiah 11,273,006 23,757 70,421 10,068,929 1,250,741 11,319,670 Foreign Currency: Held-to-maturity Bonds 276,248 298 - 275,950 - 275,950 Floating rate notes 161,050 77 - 155,381 5,592 160,973 Credit linked notes receivable 40,371 2,007 - 38,364 - 38,364 Export bills 2,073,841 - - 1,459,374 614,467 2,073,841 Others 14,618 - - 9,738 4,880 14,618 2,566,128 2,382 - 1,938,807 624,939 2,563,746 Trading Bonds 181,276 - 1,257 180,019 - 180,019 181,276 - 1,257 180,019 - 180,019 Available-for-sale Bonds 259,799 - 8,198 267,997 - 267,997 Promissory notes 75,425 - 1,949 77,374 - 77,374 335,224 - 10,147 345,371 - 345,371 Total Foreign Currency 3,082,628 2,382 8,890 2,464,197 624,939 3,089,136 Total 14,355,634 26,139 79,311 12,533,126 1,875,680 14,408,806 Less: Allowance for possible losses 28,397 1,875,680 1,904,077 12,504,729 - 12,504,729