Adaro Energy Annual Report 2008 www.adaro.com
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Contact Us Governing Adaro
Financial Report Corporate Social Responsibility
PT ADARO ENERGY Tbk Schedule 519
FORMERLY PT PADANG KARUNIA AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
31 DECEMBER 2008 AND 2007 Expressed in million Rupiah, unless otherwise stated
3. ACQUISITIONS AND DISPOSALS OF SUBSIDIARIES continued
m. Acquisition of Revere Group Ltd and Decimal Investments Ltd continued ii.
Acquisition of Decimal Investments Ltd
On 17 December 2007, ATA increased its interest in Decimal by 53.57, resulting in it owning 100 of Decimal for an amount of US44,931,344 Rp 416,765. As such, Decimal has been consolidated to ATA and the Group’s consolidated
financial statements since December 2007.
2007
Purchase consideration through cash payment 416,765
Fair value of net assets acquired 53,067
Goodwill 363,698
Details of the assets and liabilities arising from the acquisition are as follows:
2007
Amounts due from related parties 114
Investments in equity securities 113,419
Accrued expenses 41
Amounts due to related parties 8,571
Loans from shareholders 5,861
Net assets 99,060
Interest acquired 53.57
Net assets acquired 53,067
Goodwill 363,698
Cash and cash equivalents in Decimal -
Net cash outflow from acquisition of subsidiary 416,765
Since December 2007, by holding the 100 interest in Revere and Decimal, ATA has acquired indirect ownership of 63.94 in Biscayne. Therefore, ATA consolidates the financial statements of Biscayne and its subsidiary. The ownership in Revere
and Decimal also resulted in a 50 indirect ownership in PT Rachindo Investments “Rachindo” amounting to Rp 4,778 and a 33 indirect ownership in Arindo Global amounting to Rp 50.
From its ownership in Biscayne and Dianlia, which own 58.23 and 8.93 interest in IBT, respectively, ATA has indirect ownership in IBT of 67.16. Dianlia’s portion of the net income of IBT has been recorded in the consolidated statement of
income of ATA and the Group.
n. Acquisition of Arindo Holdings Mauritius Ltd by Rach Mauritius Ltd
On 24 January 2008, Rach M, a subsidiary of Decimal, increased its interest in Arindo Holdings, which through Vindoor, owns 100 interest in Coaltrade, from 32 to 64, for US1 or equivalent to Rp 9,419 full amount. From this increase, the
financial statements of Arindo Holdings and its subsidiaries were consolidated to the consolidated financial statements of Rach M, ATA and the Group.
2008
Purchase consideration through cash payment -
Fair value of net liabilities acquired 40,749
Goodwill 40,749
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Adaro Energy Annual Report 2008 www.adaro.com
Adaro in Summary From Us to You
Running Adaro Management Report
Owning Adaro
PT ADARO ENERGY Tbk Schedule 520
FORMERLY PT PADANG KARUNIA AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
31 DECEMBER 2008 AND 2007 Expressed in million Rupiah, unless otherwise stated
3. ACQUISITIONS AND DISPOSALS OF SUBSIDIARIES continued
n. Acquisition of Arindo Holdings Mauritius Ltd by Rach Mauritius Ltd continued
Details of the assets and liabilities arising from this acquisition are as follows:
2008
Cash and cash equivalents 169,571
Receivables 210,902
Inventories 30,665
Fixed assets, net 423
Goodwill 3,985,825
Payables 351,599
Taxes payable 34,078
Borrowings 4,139,048
Net liabilities 127,339
Interest acquired 32
Net liabilities acquired 40,749
Goodwill 40,749
Purchase consideration through cash payment -
Cash and cash equivalents in Arindo Holdings 169,571
Net cash inflow from acquisition of subsidiary 169,571
In 2007, Arindo Holdings was in a net liability position. As a result, no loss was recognised by Rach M with respect to its 32 interest amounting to Rp 83,989. The unrecognised share of the net loss in A rindo Holdings and the minority interest’s portion
of net liabilities in Arindo Holdings was recognised by Rach M in 2008, dating from the increase of Rach M’s interest in Arindo Holdings to 64. At Group’s consolidation level, the previous unrecognis ed net loss and minority interest’s portions of
the net liabilities were recorded as a reduction in retained earnings amounting to Rp 83,989.
o. Acquisition of Ariane Investments Mezzanine Pte Ltd, Ariane Capital Singapore Pte Ltd formerly Kerry Coal
Singapore Pte Ltd and Agalia Energy Investments Pte Ltd
i. Acquisition of Ariane Investments Mezzanine Pte Ltd
On 15 July 2008, ATA acquired a 71.15 interest in AIM for Rp 6,096,115.
2008
Purchase consideration through cash payment 6,096,115
Fair value of net liabilities acquired 162,995
Mining properties and goodwill 6,259,110
Details of the assets and liabilities arising from the acquisition are as follows:
2008
Cash and cash equivalents 760
Prepaid tax 682
Investments in equity securities 1,553,790
Other assets 2
Amounts due to related parties 3,461
Accrued expenses 1,584
Tax payable 3
Loans from related parties 1,713,181
Net liabilities 162,995
Interest acquired 71.15
Minority interest 28.85
Net liabilities acquired 162,995
