PT SUMMARECON AGUNG Tbk AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
AS OF JUNE 30, 2013 AND DECEMBER 31, 2012, 2011 AND 2010 AND FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2013 AND 2012 UNAUDITED
AND YEARS ENDED DECEMBER 31, 2012, 2011 AND 2010 Expressed in thousands of rupiah, unless otherwise stated
76
15. LOANS FROM BANKS AND FINANCING INSTITUTIONS continued PT Bank OCBC NISP Tbk OCBC continued
c. The Company must authorize OCBC or the officer appointed by OCBC to conduct the following activities, among others:
1 Enter the land and buildings area owned by the Company 2 Observe the Company’s operations
3 Review all the Company’s records, including recordsfinancial statements related to the
Companys operations.
PT Bank Central Asia Tbk BCA
The Company obtained several facilities from BCA as follows: a. Investment credit facility I with a maximum amount of Rp80,000,000, which was fully drawn in
2006 and was paid in quarterly installments starting from September 28, 2007 until June 28, 2011. The outstanding loan balance as of December 31, 2010 amounted to Rp10,000,000. For the year
ended December 31, 2010, the Company made the principal payments totaling Rp20,000,000. This credit facility was fully paid on its maturity date.
b. Investment credit facility II with a maximum amount of Rp150,000,000, which was fully drawn in 2007 and was paid in quarterly installments starting from 2007 until 2012. The outstanding loan
balance as of December 31, 2011 and 2010 amounted to Rp22,500,000 and Rp52,500,000, respectively. For the years ended December 31, 2011 and 2010, the Company made principal
payments totaling Rp30,000,000 each year. This credit facility was fully paid on September 18, 2012.
c. Investment credit facility “Installment Loan II” with a maximum amount of Rp150,000,000, which was fully drawn in 2008 and is payable in quarterly installments starting from 2008 until 2015. The
outstanding loan balance as of June 30, 2013 and December 31, 2012, 2011 and 2010 amounted to Rp73,000,000, Rp85,500,000, Rp106,500,000 and Rp124,500,000, respectively. For the six-
month period ended June 30, 2013 and years ended December 31, 2012, 2011 and 2010, the Company made principal payments totaling Rp12,500,000, Rp21,000,000, Rp18,000,000 and
Rp13,500,000, respectively.
d. Overdraft facility with a maximum amount of Rp80,000,000 with credit period of one year. There was no outstanding drawdown from the facility as of December 31, 2012, 2011 and 2010.
The above loans from BCA are collateralized by trade receivables, investment properties, escrow accounts and restricted time deposits Notes 6, 13 and 14. Interest payments on the loans from BCA
are collateralized by the restricted time deposits in BCA Note 14.
SCK obtained the following credit facilities from BCA: a. Working capital credit facility with a maximum amount of Rp30,000,000 and a credit period of one
year. As of June 30, 2013 and December 31, 2012 and 2011, there was no outstanding loan balance from this facility. As of December 31, 2010, the outstanding loan balance amounted to
Rp3,596,787.
b. Investment credit facility III with a maximum amount of Rp130,000,000 which was fully drawn in August 2008 and is payable in quarterly installments starting 2009 until 2013. The outstanding loan
balance as of June 30, 2013 and December 31, 2012, 2011 and 2010 amounted to Rp8,125,000, Rp24,375,000, Rp56,875,000 and Rp89,375,000, respectively. For the six-month period ended
June 30, 2013 and years ended December 31, 2012, 2011 and 2010, SCK made principal payments amounting to Rp16,250,000, Rp32,500,000, Rp32,500,000 and Rp32,500,000,
respectively.
PT SUMMARECON AGUNG Tbk AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
AS OF JUNE 30, 2013 AND DECEMBER 31, 2012, 2011 AND 2010 AND FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2013 AND 2012 UNAUDITED
AND YEARS ENDED DECEMBER 31, 2012, 2011 AND 2010 Expressed in thousands of rupiah, unless otherwise stated
77
15. LOANS FROM BANKS AND FINANCING INSTITUTIONS continued PT Bank Central Asia Tbk BCA continued
The above loans are collateralized by undeveloped land managed by KSO Summarecon Serpong Note 10 and escrow account owned by KSO Summarecon Serpong Note 14.
Under the loan agreements of the Company and SCK with BCA, the Company and SCK generally must comply with several covenants, including the following:
a. Maintain certain financial ratios as follows: 1 Interest-bearing debt to equity ratio of not more than 3:1 in as of June 30, 2013 and
December 31, 2012, 2011 and 2010. 2 EBITDA to interest expense ratio of not less than 2.5:1 as of June 30, 2013 and December
31, 2012, 2011 and 2010. b. The Company and SCK must provide written notice to the creditors prior to performing the
following activities, among others: 1 Obtain from or provide loans to other parties, except under normal business transactions.
2 Act as pledgor or pledge the Company’s assets to another party. 3 Enter into merger or acquisition transactions, except for mergers or acquisitions made with the
entity or its different businesses and which do not have a negative impact on the Company’s financial condition and operations.
4 Amend its articles of association and change the composition of the Boards of Directors and Commissioners.
5 Invest in or open new businesses. LMD obtained the following credit facilities from BCA:
a. Investment credit facility with a maximum amount of Rp160,000,000, which was fully drawn in 2007 and was paid in quarterly installments starting from 2007 until 2012. It was collateralized by
LMD’s trade receivables, investment properties, escrow accounts and restricted time deposits Notes 6, 13 and 14. Interest payments on the loan were collateralized by the restricted time
deposits in BCA Note 14. The outstanding loan balance as of December 31, 2011 and 2010 amounted to Rp81,999,607 and Rp106,999,607, respectively. In 2011 and 2010, LMD made
principal payments amounting to Rp25,000,000 and Rp20,000,000, respectively. This credit facility was fully paid on its maturity date.
b. Investment credit facility with a maximum amount of Rp350,000,000, which was fully drawn in 2011 and is payable in quarterly installments starting from 2013 until 2021 and is collateralized by
LMD’s trade receivables, investment properties and escrow accounts Notes 6, 13 and 14. As of June 30, 2013 and December 31, 2012 and 2011, the outstanding loan balance amounted to
Rp345,625,000, Rp350,000,000 and Rp326,848,796, respectively. For the six-month period ended June 30, 2013, LMD made the principal payments amounting to Rp4,375,000. No principal
payments were made by LMD in 2012.
Under the loan agreements with BCA above, LMD must comply with several covenants, including maintaining certain financial ratios, as follows:
1 Debt to equity ratio of not more than 2:1 as of June 30, 2013 and December 31, 2012 and 2011. 2 EBITDA to interest expense ratio of not less than 1.5:1 starting from 2013.
