PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued DECEMBER 31, 2010 AUDITED AND MARCH 31, 2011 UNAUDITED AND
THREE MONTHS PERIOD ENDED MARCH 31, 2010 AND 2011 UNAUDITED Figures in tables are presented in millions of Rupiah, unless otherwise stated
62
20. TWO-STEP LOANS continued
a. Projected net revenue to projected debt service ratio should exceed 1.5:1 and 1.2:1 for the two-step loans originating from the World Bank and Asian Development Bank “ADB”,
respectively. b. Internal financing earnings before depreciation and interest expense should exceed 50 and
20 compared to annual average capital expenditures for loans originating from World Bank and ADB, respectively.
As of March 31, 2011, the Company complied with the above mentioned ratios. Refer to Note 44 for details of related party transactions.
21. BONDS AND NOTES
December 31, 2010 March 31, 2011
Outstanding Outstanding
Original Original
currency Rupiah
currency Rupiah
Bonds and notes Currency in millions
equivalent in millions equivalent
Bonds Series A
Rp. -
1,005,000 -
1,005,000 Series B
Rp. -
1,995,000 -
1,995,000 Medium Term Notes “MTN”
Metra Rp.
- 47,000
- 45,000
Sigma Rp.
- 30,000
- 30,000
Finnet Rp.
- 23,750
- 22,700
Promissory Notes PT. ZTE Indonesia “ZTE”
US 7.08
63,824 6.75
58,792 Huawei Tech
US 23.46
211,524 33.21
289,227 Total
3,376,098 3,445,719
Current maturities Note 19a 126,719
164,989
Long-term portion Note 19b 3,249,379
3,280,730
a. Bonds
Interest Interest Listed
Issuance Maturity payment
rate Bonds
Principal Issuer
on date
date method per annum
Series A 1,005,000 The Company
IDX June 25, 2010 July 6, 2015 Quarterly
9.60 Series B
1,995,000 The Company IDX June 25, 2010 July 6, 2020
Quarterly 10.20
Total 3,000,000
The bonds are secured by all assets owned by the Company. The underwriter of the bonds are PT Bahana Securities, PT Danareksa Sekuritas and PT Mandiri Sekuritas. And the trustee is PT
CIMB Niaga Tbk.
The Company received the proceeds of the issuance of bonds on July 6, 2010.
PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued DECEMBER 31, 2010 AUDITED AND MARCH 31, 2011 UNAUDITED AND
THREE MONTHS PERIOD ENDED MARCH 31, 2010 AND 2011 UNAUDITED Figures in tables are presented in millions of Rupiah, unless otherwise stated
63
21. BONDS AND NOTES continued
a. Bonds continued The funds received from public offering of bonds net of issuance costs, are to be used for
increasing capital expenditure which consisted of: wave broadband bandwidth, softswitching, datacom, information technology and others, infrastructure backbone, metro network, regional
metro junction, internet protocol, and satellite system, and optimizing legacy and supporting facilities fixed wireline and wireless.
As of March 31, 2011, the rating for the bonds issued by PT Pemeringkat Efek Indonesia Pefindo is idAAA stable outlook.
Based on indenture trusts agreement, the Company is required to comply with all covenants or restrictions including maintaining financial ratios as follows:
1. Debt to equity ratio should not exceed 2:1. 2. EBITDA to interest expenses ratio should not be less than 5:1.
3. Debt service coverage is 125
As of March 31, 2011, the Company complied with the above mentioned ratios. b. MTN
Interest Issuance
Maturity payment
Notes Principal
date date
method
MTN Metra
Phase 1 30,000
June 9, 2009 June 19, 2012
Quarterly Phase 2
20,000 February 1, 2010
February 2, 2013 Quarterly
Sigma 30,000
October 16, 2009 November 17,2014 Semi-annually
Finnet Phase 1
10,000 October 16, 2009 November 17, 2012
Monthly Phase 2
15,000 March 18, 2010
March 24, 2013 Monthly
The Arranger of the Medium Term Notes is PT Bahana Securities, Bank Mega is acting as Trustee, and PT Kustodian Sentral Efek Indonesia “KSEI” acting as Collecting Agent and
Custodian.
i. Metra Proceeds from the issuance of MTN were used to expand the business and as working
capital. The MTN bear floating interest rates for the first year of 15.05 and 12.01 for the first and
second phase, respectively. For the second and third years, interest rate for the first and second phase is the average return yield of three Government Bonds “Surat Utang
Negara” or SUN with a remaining period of time equal to the second and third years of MTN plus a 4.02 premium. Repayment of the principal is in increments of 10, 20 and 70 on
the first, second and third anniversary of the Issuance Date, respectively.
