Additional Paid-In CapitalShare Premium

PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 31 DECEMBER 2014 AND 2013 Expressed in millions of Rupiah, unless otherwise stated Appendix 5135 41. INTEREST INCOME AND SHARIA INCOME continued As at 31 December 2014 and 2013 included in interest income and sharia income is income from transaction with related parties on Government Bonds and Treasury Bill amounting to Rp4,681,935 and Rp3,511,576 refer to Note 55.

42. INTEREST EXPENSE AND SHARIA EXPENSE

Interest expense and sharia expense are incurred on the following: 2014 2013 Time deposits 16,481,206 10,218,571 Saving deposits 3,352,005 3,218,371 Demand deposits 1,562,423 1,398,900 Fund borrowings 825,948 643,431 Subordinated loans 425,860 428,942 Marketable securities issued 446,278 218,599 Others 411,798 272,610 23,505,518 16,399,424 Included in interest expense of time deposits and saving deposits is expense based on sharia principle for the years ended 31 December 2014 and 2013 amounting to Rp2,451,302 and Rp2,080,042, respectively. Included in interest expense and sharia expense above are interest expense from related parties transactions from fund borrowings for the years ended 31 December 2014 and 2013 amounting to Rp59,292 and Rp77,562, respectively refer to Note 55.

43. OTHER OPERATING INCOME - OTHERS

2014 2013 Recovery of written-off loans in the previous period related to implementation of SFAS 55 2,396,825 2,667,367 Income from loan written-off 210,381 335,189 Income from penalty 156,921 129,525 Stamp duty income 48,237 52,369 Safety deposit box 34,979 35,243 Others 1,120,858 909,750 3,968,201 4,129,443

44. ALLOWANCE FOR IMPAIRMENT LOSSES

2014 2013 Allowancereversal for provision of impairment losses on: Current accounts with other banks Note 5d 6,846 3,726 Placements with other banks Note 6e 10,321 8,548 Marketable Securities Note 7g 18,804 30,199 Securities purchased under resale agreements Note 10c 41,941 - Other receivables – trade transactions Note 9d 115,522 39,848 Loans Note 12B.j 5,294,726 4,635,551 Consumer financing receivables Note 13c 209,113 150,153 Net investment in lease finance Note 14c 10,806 6,756 Acceptance receivables Note 15d 44,873 3,649 Investments in shares Note 16c 488 310 5,718,130 4,871,442 PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 31 DECEMBER 2014 AND 2013 Expressed in millions of Rupiah, unless otherwise stated Appendix 5136 45. ALLOWANCEREVERSAL FOR POSSIBLE LOSSES 2014 2013 Allowancereversal provision for: Estimated losses arising from fraud cases 11,710 4,337 Estimated losses arising from legal cases 129,296 14,409 Others assets Note 20 42,475 23,070 183,481 4,324

46. UNREALISED GAINSLOSSES

FROM INCREASEDECREASE IN FAIR VALUE OF MARKETABLE SECURITIES, GOVERNMENT BONDS AND POLICYHOLDERS INVESTMENT IN UNIT-LINKED CONTRACTS 2014 2013 Marketable securities 93,824 26,049 Government Bonds 52,697 193,304 Changes in market value of policyholders’ investment and increasedecrease in liability in unit-linked contracts - Change in market value of policyholders’ investment 2,860,353 737,407 - Increase in liability in unit-linked contracts 2,860,353 737,407 146,521 219,353

47. GAINLOSS ON SALE OF MARKETABLE SECURITIES AND GOVERNMENT BONDS

2014 2013 Marketable securities Fair value through profit and loss 39,425 6,145 Available for sale 33,355 2,709 Government Bonds Fair value through profit and loss 45,220 11,293 Available for sale 116,463 46,973 234,463 39,116

48. SALARIES AND EMPLOYEE BENEFITS

2014 2013 Salaries, wages, pension and tax allowances 6,100,140 5,233,494 Holidays THR, leave and related entitlements 1,206,130 956,753 Employee benefits in kind 904,372 752,661 Training and education 463,904 423,474 Provision for post-employment benefit expenses 293,932 321,791 Provision of tantiem 152,273 160,243 Bonuses and others 1,727,280 1,582,921 10,848,031 9,431,337