SHARE CAPITAL continued c. Distribution of net income continued

PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2016 and for the year then ended Expressed in millions of Rupiah, unless otherwise stated 182

47. GAIN ON SALE OF MARKETABLE SECURITIES AND GOVERNMENT BONDS Year ended December 31,

2016 2015 Marketable securities Fair value through profit and loss 53,957 27,760 Available for sale 35,259 62,683 Government bonds Fair value through profit and loss 59,725 21,219 Available for sale 596,963 219,357 745,904 275,499

48. SALARIES AND EMPLOYEE BENEFITS Year ended December 31,

2016 2015 Salaries, wages, pension and tax allowances 7,829,540 6,890,207 Holidays allowance, leave and related entitlements 1,444,490 1,192,666 Employee benefits in kind 1,127,755 945,705 Training and education 588,480 557,580 Provision for post-employment benefit expenses 330,895 491,225 Provision of tantiem 211,541 226,952 Bonuses and others 2,086,044 2,072,320 13,618,745 12,376,655 Total gross salaries and allowances, bonus and tantiem, long-term employment benefits of the Boards of Commissioners, Directors, Audit Committee and Risk Monitoring, Sharia Supervisory Board and Senior Executive Vice President and Senior Vice President are amounting to Rp986,140 and Rp857,365 Note 55 for the years ended December 31, 2016 and 2015, respectively as follows: Year ended December 31, 2016 Long-term Salaries and Bonus and employment allowance tantiem benefits Total The Board of Commissioners 53,355 72,662 3,677 129,694 Directors 143,235 242,811 16,875 402,921 Audit Committee and Risk Monitoring Committee 4,902 - - 4,902 Sharia Supervisory Board 1,448 37 - 1,485 Senior Executive Vice Presidents and Senior Vice Presidents 269,239 160,709 17,190 447,138 472,179 476,219 37,742 986,140 PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2016 and for the year then ended Expressed in millions of Rupiah, unless otherwise stated 183

48. SALARIES AND EMPLOYEE BENEFITS continued

Year ended December 31, 2015 Long-term Salaries and Bonus and employment allowance tantiem benefits Total The Board of Commissioners 38,248 63,591 3,700 105,539 Directors 128,803 206,908 28,241 363,952 Audit Committee and Risk Monitoring Committee 4,364 - - 4,364 Sharia Supervisory Board 1,246 138 - 1,384 Senior Executive Vice Presidents and Senior Vice Presidents 218,186 149,276 14,664 382,126 390,847 419,913 46,605 857,365

49. GENERAL AND ADMINISTRATIVE EXPENSES Year ended December 31,

2016 2015 Professional fees 3,129,244 2,750,772 Rent 1,870,760 1,627,002 Goodsservices provided by third parties 1,434,018 1,187,795 Depreciation of fixed assets Note 18 1,377,656 1,186,835 Repairs and maintenance 1,206,516 1,039,401 Promotion 1,056,241 982,701 Communication 1,055,504 1,025,079 Office supplies 559,521 518,344 Electricity, water and gas 522,339 527,356 Transportations 385,586 365,134 Amortisation of intangible assets 379,837 302,590 Traveling expenses 184,747 187,991 Insurance expenses 74,564 66,899 Others 721,678 1,031,952 Total 13,958,211 12,799,851 For the year ended December 31, 2016 and 2015, promotions expenses include the sweepstakes prize expense of third party funds amounting to Rp60,227 and Rp68,648, respectively.

50. EMPLOYEE BENEFITS

Under the Bank’s policy, in addition to salaries, employees are entitled to allowances and benefits, such as holiday allowance, medical reimbursements, death allowance, leave allowance, functional allowance for certain levels, pension plan for permanent employees, incentives based on employee’s and the Bank’s performance, and post-employment benefits in accordance with prevailing Labor Law.