PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
As of December 31, 2014 and 2013, the total commitments and contingencies transactions which consist of letters of credit and bank guarantees with related parties amounted to
Rp 196,655 and Rp 138,818, respectively Note 50. As of December 31, 2014 and 2013, the average term of letters of credit is 1 up to
5 months and 1 up to 9 months, respectively, while for bank guarantees is from 14 days up to 38 months and 14 days up to 39 months, respectively.
55. Segment Information
Operating segments are reported in accordance with the internal reporting to the operating decision maker who is responsible for the allocation of resources to each segment are reported
as well as assess the performace of each segment. 2014
Consumer Stock brokerage
financing, Securities
underwriting Property,
Total Total
Insurance finance lease
administration and investment
Trading and before
after The Company
underwriting and factoring
fee manager
Banking Service
elimination Elimination
Elimination
Operating income -
9,582,791 -
4,010 163,796
- -
9,750,597 78
9,750,519 Interest income and profit sharing
17,868 512,628
596,013 -
9,611 1,787,102
59 2,923,281
65,897 2,857,384
Gain from investment in units of mutual fund
70,330 831,542
- 1,230
51,911 -
2,141 957,154
- 957,154
Administration fee and commission
- -
147,534 -
- 226,939
- 374,473
50,055 324,418
Unrealized gain loss on change in fair value of
marketable securities 37,820
283,871 -
- 29,996
1,357 -
274,690 -
274,690 Sales
7,199 -
- -
- -
173,701 180,900
- 180,900
Equity in net income of associates - net
882,451 29,354
- -
- -
79,971 991,776
877,231 114,545
Sales of investment in shares 47,376
- -
- -
- -
47,376 -
47,376 Gain on foreign exchange - net
577 37,381
108 -
2,251 4,538
20 30,143
- 30,143
Others 71,046
101,568 20,516
259 18,957
22,066 120,628
355,040 76,295
278,745 Total income
1,057,873 11,379,135
764,171 5,499
272,020 2,030,212
376,520 15,885,430
1,069,556 14,815,874
Operating expenses -
9,556,300 -
- 34,997
- -
9,591,297 50,055
9,541,242 General and administrative
16,632 335,992
179,734 1,535
52,576 555,733
56,413 1,198,615
88,965 1,109,650
Salaries and employee benefit 6,388
366,709 230,452
2,625 46,258
336,820 33,273
1,022,525 -
1,022,525 Interest expenses
- -
222,504 -
5 806,882
3,226 1,032,617
42,898 989,719
Loss gain on sale of short-term
investment-Net -
349,359 -
- 39,422
9,494 -
379,287 -
379,287 Cost of goods sold
6,240 -
- -
- -
173,323 179,563
- 179,563
Provision for impairment losses of financial assets
and non financial assets -
2,690 21,069
1 -
39,237 8
63,005 -
63,005 Others
5,242 50,412
34,145 248
2,576 100,141
30,551 223,315
6,515 216,800
Total expenses 34,502
10,661,462 687,904
4,409 175,834
1,829,319 296,794
13,690,224 188,433
13,501,791 Income losses before tax
1,023,371 717,673
76,267 1,090
96,186 200,893
79,726 2,195,206
881,123 1,314,083
Tax benefit expense 11,559
7,289 22,432
2 31,086
45,963 1,107
104,856 462
104,394 Net income
1,011,812 724,962
53,835 1,092
65,100 154,930
78,619 2,090,350
880,661 1,209,689
Segment assets 1,007,461
26,460,075 3,271,615
24,585 1,197,079
21,143,098 416,327
53,520,240 575,529
52,944,711 Investment in associates
11,753,438 159,012
8 301
16,937 173,800
263,467 12,366,963
11,553,173 813,790
Unallocated assets 12,638
31,185 -
157 6,564
30 10,988
61,562 -
61,562 Total assets
12,773,537 26,650,272
3,271,623 25,043
1,220,580 21,316,928
690,782 65,948,765
12,128,702 53,820,063
Segment liabilities 12,093
15,156,302 1,968,518
2,349 231,443
18,001,800 70,955
35,443,460 605,134
34,838,326 Unallocated liabilities
11,774 13,550
8,426 173
7,663 112,274
564 154,424
6,197 160,621
23,867 15,169,852
1,976,944 2,522
239,106 18,114,074
71,519 35,597,884
598,937 34,998,947
Segment assets are excluded prepaid tax and deferred tax asset whereas segment liabilities are excluded taxes payable and deferred tax liabilities
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PT SINAR MAS MULTIARTHA Tbk AND ITS SUBSIDIARIES Notes to Consolidated Financial Statements
For the Years Ended December 31, 2014 and 2013 Figures are Presented in Millions of Rupiah,unless Otherwise Stated
2013
Consumer Stock brokerage
financing, Securities
underwriting Property,
Total Total
Insurance finance lease
administration and investment
Trading and before
after The Company
underwriting and factoring
fee manager
Banking Service
elimination Elimination
Elimination
Operating income -
11,810,876 -
3,431 136,417
- -
11,950,724 244
11,950,480 Interest income and profit sharing
27,587 485,151
605,906 -
11,404 1,384,681
61 2,514,790
36,387 2,478,403
Gain from investment in 1,043,447
- -
- -
- -
1,043,447 1,043,447
units of mutual fund Gain loss on sale of
6,125 490,656
- 1,137
953 -
2,076 499,041
- 499,041
short-term investment-Net
154 292,426
2,002 -
16,769 2,316
119 313,240
- 313,240
Sales -
- -
- -
- -
- -
- Administration fee
- -
163,887 -
- 229,475
- 393,362
92,279 301,083
and commission -
- -
- -
- 142,027
142,027 -
142,027 Gain on foreign exchange - net
- 76,865
- -
27,480 129
- 49,514
- 49,514
Equity in net income of associates - net
373,889 13,335
- -
- -
13,373 400,597
358,497 42,100
Others 8,392
115,630 19,658
132 38,086
7,223 100,229
289,350 58,473
230,877 Total income
1,459,286 13,284,939
791,453 4,700
174,243 1,623,824
257,647 17,596,092
545,880 17,050,212
Operating expenses -
12,372,289 -
- 41,776
- -
12,414,065 92,279
12,321,786 Interest expenses and profit sharing
- -
226,360 -
19 563,788
314 790,481
11,559 778,922
Salaries and employee benefit 3,039
322,357 196,245
2,574 45,748
281,953 38,113
890,029 -
890,029 General and administrative
16,982 279,425
184,238 753
43,951 453,526
31,352 1,010,227
76,395 933,832
Provision for impairment -
- losses of financial assets
- -
and non financial assets -
292 33,532
6 -
26,234 -
7,596 -
7,596 Unrealized loss on decrease in
- -
fair value of securities -
290,835 -
- 22,453
6,201 -
274,583 -
274,583 Cost of goods sold
- -
- -
- -
141,628 141,628
- 141,628
Others 1,641
48,344 38,363
103 24,417
73,490 24,053
210,411 6,381
204,030 Total expenses
21,662 13,313,542
678,738 3,436
133,458 1,352,724
235,460 15,739,020
186,614 15,552,406
Income losses before tax 1,437,624
28,603 112,715
1,264 40,785
271,100 22,187
1,857,072 359,266
1,497,806 Tax benefit expense
223,673 41,781
26,483 18
16,154 65,001
2,686 375,796
192 375,604
Net income 1,213,951
70,384 86,232
1,246 24,631
206,099 19,501
1,481,276 359,074
1,122,202 Segment assets
824,541 24,638,577
3,349,932 23,058
1,002,786 17,499,102
375,614 47,713,610
508,211 47,205,399
Investment in associates 10,936,902
136,284 8
301 14,787
- 182,147
11,270,429 10,740,081
530,348 Unallocated assets
9,772 -
185 110
25,675 22
9,181 44,945
- 44,945
Total assets 11,771,215
24,774,861 3,350,125
23,469 1,043,248
17,499,124 566,942
59,028,984 11,248,292
47,780,692 Segment liabilities
13,367 13,953,423
2,100,286 1,856
119,327 14,613,978
28,468 30,830,705
541,707 30,288,998
Unallocated liabilities 222,797
24,506 8,995
184 7,546
94,221 634
358,883 6,659
365,542 236,164
13,977,929 2,109,281
2,040 126,873
14,708,199 29,102
31,189,588 535,048
30,654,540 Segment assets are excluded prepaid tax and deferred tax asset whereas segment liabilities are excluded taxes payable and deferred tax liabilities
56. Financial Risk Management Objectives and Policies
The Group’s activities are exposed to a variety of financial risks: market risk including currency risk, fair value interest rate risk and price risk, credit risk and liquidity risk. The Group’s overall
risk management programme focuses on the unpredictability of financial markets and seeks to minimize potential adverse effects on the Group’s financial performance.
Risk management is the responsibility of the Board of Directors BOD. The BOD has the responsibility to determine the basic principles of the Group’s risk management as well as
principles covering specific areas, such as foreign exchange risk, interest rate risk, price risk, credit risk, and liquidity risk.
In practice, implementation of risk management of the Group includes active supervision of management, implementation of policies and procedures, risk limits, the process of identification,
measurement and monitoring of risk, implementation of information systems and risk management and internal control systems.
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