PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued DECEMBER 31, 2004 AND 2005, AND FOR YEARS ENDED
DECEMBER 31, 2004 AND 2005 Figures in tables are presented in millions of Rupiah, unless otherwise stated
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20. SHORT-TERM BANK
LOANS continued
a. Bank Central Asia continued On December 3, 2004, Telkomsel entered into a loan agreement with Deutsche Bank AG, Jakarta
as “Arranger” and “Agent” and Bank Central Asia as “Lender” and “Transferor” with a total facility of Rp170,000 million. Under the agreement, the Lender may transfer its rights, benefits and
obligations to any bank or financial institution by delivering the Transfer Agreement to the Agent and notifying Telkomsel. The facility bears interest at a rate equal to the 3-month Certificates of
Bank Indonesia plus 1 i.e., 13.09 as of December 31, 2005 payable in arrears. The loan is due on February 1, 2006. As of December 31, 2004 and 2005, the principal outstanding amounted to
nil and Rp170,000 million, respectively. On February 1, 2006, Telkomsel repaid the entire loan balance and the loan agreement was terminated.
b. ABN AMRO Bank On January 28, 2004, the Company signed a short-term loan agreement with ABN AMRO Bank
N.V., Jakarta Branch for a facility of US129.7 million. The loan was used to settle the outstanding promissory notes at March 15, 2004 which were issued for the acquisition of Pramindo
Note 5b. The principal and interest were payable in 10 monthly installments from March 2004 to December 2004. The loan bore interest at a rate equal to the LIBOR plus 2.75. As of December
31, 2004, the loan was repaid in full and the loan agreement was terminated on January 6, 2005. On December 21, 2004, the Company entered into a loan agreement with ABN AMRO Bank N.V.
for a short-term loan with a maximum facility of US65.0 million. The loan principal of US30.0 million and US35.0 million was due on March 31, 2005 and June 30, 2005, respectively. The loan
was unsecured and bore interest at a rate equal to the 3-month U.S. Dollar LIBOR plus 2.5 5.02 as of December 31, 2004. Principal outstanding as of December 31, 2004 was Rp604,500
million US65.0 million. On March 31, 2005 and June 30, 2005, principal repayments of US30.0 million and US35.0 million, respectively, were made in accordance with the loan
agreement. On June 30, 2005, the loan agreement was terminated.
c. Bank Mandiri On August 28, 2001, Napsindo entered into a loan agreement with Bank Mandiri for a facility of
US1.8 million for a one-year term. The loan is secured with the Company’s time deposits Note 10 with interest rate at 2 above the pledged time deposits interest rate 2.65 as of December
31, 2004. The loan facility has been extended several times, the most recent of which was on September 23, 2004 where the loan facility was extended for another one-year term and expired on
August 28, 2005.
On April 24, 2003, Napsindo also entered into a loan agreement with Bank Mandiri for a facility of US2.7 million for a one-year term. On May 4, 2004, the facility was extended for another one
year term and expired on April 24, 2005. The loan was secured by the Company’s time deposits Note 10 and bore interest at 2 above the pledged time deposits interest rate 2.65 as of
December 31, 2004.
PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued DECEMBER 31, 2004 AND 2005, AND FOR YEARS ENDED
DECEMBER 31, 2004 AND 2005 Figures in tables are presented in millions of Rupiah, unless otherwise stated
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20. SHORT-TERM BANK
LOANS continued
c. Bank Mandiri continued As of December 31, 2004, principal outstanding under these facilities amounted to US4.5 million
Rp41,433 million. On July 29, 2005, the Company’s time deposits pledged for these facilities were used to repay the principal outstanding and on August 1, 2005, the loan agreements were
terminated.
d. Bank Niaga On April 25, 2005, Balebat entered into a loan agreement with Bank Niaga for a total facility of
Rp2,400 million comprising of revolving credit facility of Rp800 million which bears interest at 12 per annum and matured on July 25, 2005. This loan agreement also includes an investment
credit facility of Rp1,600 million which is discussed in Note 24f. On July 26, 2005, the interest rate and maturity date for revolving credit facility was amended to 12.5 per annum and May 30,
2006, respectively. The total credit facility of Rp2,400 million is secured by Balebat’s property located in West Java. As of December 31, 2005, the principal outstanding amounted to Rp800
million. On October 18, 2005, GSD entered into a loan agreement with Bank Niaga for a maximum facility
of Rp3,000 million for a one-year term. The loan facility is secured by certain GSD’s property, bears interest at 14.5 per annum and will expire on October 18, 2006. As of December 31, 2005,
the principal outstanding amounted to Rp3,000 million.
e. The Hongkong and Shanghai Banking Corporation “HSBC” On December 20, 2004, the Company entered into a revolving loan agreement with HSBC for a
maximum facility of Rp500,000 million. The facility is available for withdrawal until January 20, 2005 and any amount drawn down under this facility is payable within 6 months from the
withdrawal date. The facility bore interest at a rate equal to one-month Certificate of Bank Indonesia plus 1 on the amount drawn down and was payable at the maturity date of the loan.
On March 28, 2005, the maximum facility was amended to provide principal of Rp100,000 million with interest rate at one-month Certificate of Bank Indonesia plus 1, and US49.0 million with
interest rate at LIBOR plus 1.8.
On January 20, 2005 and April 14, 2005, the Company drew down Rp100,000 million and US49.0 million, respectively. As of October 14, 2005, the loan has been fully repaid and the loan
agreement was terminated.
PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued DECEMBER 31, 2004 AND 2005, AND FOR YEARS ENDED
DECEMBER 31, 2004 AND 2005 Figures in tables are presented in millions of Rupiah, unless otherwise stated
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21.
MATURITIES OF LONG-TERM LIABILITIES
a. Current maturities
Notes 2004
2005
Two-step loans 22
655,422 569,278
Medium-term Notes 23b
468,976 144,510
Bank loans 24
602,516 634,542
Liabilities of business acquisitions 25
573,908 862,394
12 -
16,201 Total
2,300,822 2,226,925
Obligations under capital leases
b. Long-term portion
Notes Total
2007 2008
2009 2010
Later
Two-step loans 22
4,760.2 497.1
455.6 441.4
418.0 2,948.1
Bonds 23a
991.9 991.9
- -
- -
Medium-term Notes 23b
464.8 464.8
- -
- -
Bank loans 24
1,752.1 697.0
473.7 233.3
232.4 115.7
Liabilities of business acquisitions 25
3,128.0 735.9
818.2 797.8
776.1 -
Obligations under capital leases 12
235.5 20.5
26.1 33.0
41.9 114.0
Total 11,332.5
3,407.2 1,773.6
1,505.5 1,468.4
3,177.8
In billions of Rupiah
22. TWO-STEP LOANS
Two-step loans are loans, which were obtained by the Government from overseas banks and a consortium of contractors, which are then re-loaned to the Company. The loans entered into up to July
1994 were recorded and are payable in Rupiah based on the exchange rate at the date of drawdown. Loans entered into after July 1994 are payable in their original currencies and any resulting foreign
exchange gain or loss is borne by the Company. On December 15, 2004, the Company repaid a portion of its Rupiah denominated two-step loans
totaling Rp701,272 million before its maturity. Further, on December 24, 2004, the Company repaid a portion of its U.S. Dollar denominated two-step loans with principal amount of US48.8 million and
its entire Euro denominated two-step loans with principal amount of EUR14.5 million before their maturities. These early repayments of two-step loans have been approved by the Ministry of Finance of
the Republic of Indonesia – Directorate General of Treasury.
