PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2014 and for the Year Then Ended
Figures in tables are expressedin billions of Rupiah, unless otherwise stated
57
11. PROPERTY AND EQUIPMENT continued
c. Others continued xiii The Company and Telkomsel entered into several agreements with PT Professional
Telekomunikasi Indonesia, PT Tower Bersama Infrastructure Tbk, PT Solusindo Kreasi Pratama, PT Naragita Dinamika Komunika, PT Solusindo Tunas Pratama and other tower
providers to lease spaces in telecommunication towers slot and sites of the towers for a period of 10 years. The Company and Telkomsel may extend the lease period based on the
agreement by both parties. In addition, the Group also has lease commitments for property and equipment under RSA, transmission installation and equipment, data processing
equipment, office equipment, vehicles and CPE assets with the option to purchase certain leased assets at the end of the lease terms.
Future minimum lease payments for assets under finance lease are as follows:
Year 2014
2013
2014 -
1,070 2015
975 885
2016 927
847 2017
898 813
2018 830
754 2019
758 681
Thereafter 2,147
1,854 Total minimum lease payments
6,535 6,904
Interest 1,746
1,935 Net present value of minimum lease payments
4,789 4,969
Current maturities Note 18a 571
648
Long-term portion Note 18b 4,218
4,321 12. ADVANCES AND OTHER NON-CURRENT ASSETS
Advances and other non-current assets as of December 31, 2014 and 2013 consist of:
2014 2013
Advances for purchase of property and equipment 3,354
1,550 Prepaid rental - net of current portion Note 8
1,587 1,403
Frequency license - net of current portion Note 8 493
619 Deferred charges
484 529
Long-term trade receivables - net of current portion Note 6 362
558 Restricted cash
112 54
Others 87
82
Total 6,479
4,795
PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2014 and for the Year Then Ended
Figures in tables are expressedin billions of Rupiah, unless otherwise stated
58
12. ADVANCES AND OTHER NON-CURRENT ASSETS continued
Prepaid rental covers rent of leased line and telecommunication equipment and land and building under lease agreements of the Group with rental periods ranging from 1 to 40 years.
Long- term trade receivables are measured at amortized cost using the effective interest rate method payable in installments over 4 years, and arose from providing telecommunication access and
services in rural areas USO Note 41c.v.
As of December 31, 2014 and 2013, deferred charges represent deferred Revenue-Sharing Arrangement “RSA” charges and deferred Indefeasible Right of Use “IRU” Agreement charges.
Total amortization of deferred charges for the years ended December 31, 2014 and 2013 amounted to Rp86 billion and Rp91 billion, respectively.
As of December 31, 2014 and 2013, the carrying amount of the Group’s temporarily idle property and equipment amounted to Rp1 billion and Rp0 billion, respectively.
Refer to Note 37 for details of related party transactions. 13. INTANGIBLE ASSETS
i The changes in the carrying amount of goodwill, software, license and other intangible assets for
the years ended December 31, 2014 and 2013 are as follows:
Other intangible
Goodwill Software
License assets
Total
Gross carrying amount: Balance, December 31, 2013
270 3,432
67 401
4,170 Additions
- 1,340
107 1,447
Acquisition Note 3a 54
- -
78 132
Deductions -
- 13
13 Reclassificationstranslations
2 1
- 1
4 Balance, December 31, 2014
322 4,771
67 572
5,732 Accumulated amortization and
impairment losses: Balance, December 31, 2013
29 2,278
37 318
2,662 Amortization
- 583
6 30
619 Deductions
- -
- 13
13 Reclasificationtranslation
- 1
- -
1 Balance, December 31, 2014
29 2,862
43 335
3,269
Net Book Value 293
1,909 24
237 2,463
Other intangible
Goodwill Software
License assets
Total
Gross carrying amount: Balance, December 31, 2012
269 2,909
66 400
3,644 Additions
1 521
1 114
637 Deductions
- 8
- 112
120
Reclassificationstranslations -
10 -
1 9
Balance, December 31, 2013 270
3,432 67
401 4,170
