PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Six Months Ended June 30, 2006 Unaudited and 2005 Audited Expressed in millions of Rupiah, unless otherwise stated
127
54. CUSTODIAL AND TRUST OPERATIONS continued
Bank Mandiri Wali Amanat has 31 and 32 trustee customers as of June 30, 2006 and 2005, respectively. The total value of bonds issued amounted to Rp10,201,407 and US100,000,000 full amount, while the
sinking fund managed amounted to Rp20,000 and the escrow account amounted to Rp78,201 on behalf of seven customers.
Both Bank Mandiri Trust and Custodial Services have received Quality Certification ISO 9001 in 2000.
55. CHANNELING LOANS
Channeling loans based on sources of funds and economic sectors are as follows:
2006 2005
Government: Electricity, gas and water
8,616,096 9,296,866
Transportation and communications 4,533,521
5,320,331 Agriculture
1,370,607 1,840,198
Manufacturing 783,866
810,447 Mining
49,751 78,570
Construction 14,817
16,403 Others
107,094 112,946
15,475,752 17,475,761
Bank Mandiri has been appointed to administer channeling loans in various foreign currencies received by the Government of Indonesia from various bilateral and multilateral financing institutions for financing
government projects through BUMN, BUMD, and PEMDA, such as, The Export Import Bank of Japan, ASEAN Japan Development Fund, Overseas Economic Cooperation Fund, International Bank for
Reconstruction and Development, Nordiska Investeringbanken, Kreditanstalt Fur Wiederaufbau, Sumitomo, US AID, Barclays Bank, Bank of China, CN Lyonnais, Unibank, Bank of Austria, Ryobhin Hong
Kong, Export Finance and Insurance Cooperation - Australia, Mitsubishi Corporation, Chartered West LB, Banque Indosuez, Hitachi Zosen, NEC Corporation, Banque Français du Comm, US Exim Bank, and
Banque Paribas. Channeling loans are not recognized in the consolidated balance sheets as the credit risk is not borne by
the Bank or its Subsidiaries. Bank Mandiri’s responsibilities under the above arrangements include, among others, collections from borrowers and payments to the Government of principal, interest and other
charges and the maintenance of loan documentation. As compensation, Bank Mandiri receives bank fee which varies from 0.15 - 0.40 of the interest paid from the borrowers and 0.50 from the average loan
balance in one year.
PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Six Months Ended June 30, 2006 Unaudited and 2005 Audited Expressed in millions of Rupiah, unless otherwise stated
128
56. RISK MANAGEMENT
