Acceptance Receivables and Payables Ijarah Assets

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

20. Foreclosed Properties

Foreclosed properties were obtained by SMF and BS, subsidiaries, from settlement of their receivables from and loans to customers. 2014 2013 Land, houses, and apartments 104,022 75,564 Vehicles 29,434 27,925 Heavy equipment 12,460 12,504 Others 375 - Total 146,291 115,993 Allowance for impairment losses 3,477 3,227 Net 142,814 112,766 These foreclosed properties are not insured. At this point in time, SMF and BS are still in the process of selling the foreclosed properties, i.e. by cooperating with property agents to sell the land, houses and apartment units. The changes is allowance for impairment losses on foreclosed properties are as follows: 2014 2013 Balance at the beginning of the year 3,227 1,664 Provisions during the year 250 1,563 Balance at the end of the year 3,477 3,227 As of December 31, 2014 and 2013, management believes that the allowance for impairment losses is adequate to cover the possible losses which might arise from the decline in values of the foreclosed properties. 21. Other Assets 2014 2013 Prepaid expenses 405,569 302,805 Advanced payment for purchase of property and equipment 234,714 274,400 Deferred acquisition cost 175,600 33,155 Inventories 56,003 26,882 Advanced payment for buildings renovation 33,326 37,188 Security deposits 33,264 25,940 Prepaid taxes 21,028 16,711 Goodwill 6,852 6,852 Advances for investment 500 500 Others 43,368 52,639 Total 1,010,224 777,072 Prepaid expenses include prepayments of office rental, shares administration charges, stamp duties and insurance premiums. - 85 - 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 Advanced payment for purchase of property and equipment and advanced payment for buildings renovation represent advances for purchases andor payment to suppliers and contractors which have not been settled as of the date of consolidated statements of financial position. Deferred acquisition cost represent cost paid for selling, underwriting, and initiate new insurance contract, both direct cost and indirect cost that are deferred and amortized consistently using unearned premiums method. Prepaid taxes represent corporate income tax overpaid and Value Added Tax. As of December 31, 2014 and 2013, the balances of other assets from related parties amounted to Rp 42,072 and Rp 61,278, respectively Note 50.

22. Deposits and Deposits from Other Banks

These represent deposits and deposits from other banks placed in BS,a subsidiary. 2014 2013 Demand deposits 3,090,873 3,522,384 Saving deposits 5,247,615 5,236,420 Time deposits 8,060,629 4,591,985 Deposits from other banks 766,197 256,681 Total 17,165,314 13,607,470 a. Demand deposits consist of: 2014 2013 Related parties Note 50 Rupiah 310,642 370,263 Foreign currencies Note 51 273,278 801,199 Total 583,920 1,171,462 Third parties Rupiah 1,536,861 1,335,949 Foreign currencies Note 51 970,092 1,014,973 Total 2,506,953 2,350,922 Total 3,090,873 3,522,384 As of December 31, 2014 and 2013, demand deposits managed by Sharia unit amounted to Rp 36,050 and Rp 37,842, respectively. Average interest rates per annum on demand deposits are as follows: 2014 2013 Rupiah 0.00 - 7.00 0.00 - 6.50 Foreign currencies 0.00 - 2.50 0.00 - 2.50 - 86 -