PT SUMMARECON AGUNG Tbk AND ITS SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of June 30, 2017 and for the Six-Month Periods Then Ended Expressed in thousands of Indonesian Rupiah, unless otherwise stated
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12. SHORT-TERM BANK LOANS AND LONG-TERM DEBTS CONTINUED PT BCA Finance
The loans from PT BCA Finance represent drawdowns from various consumer financing credit facilities obtained by the Group, which were used to finance the acquisitions of vehicles. The loans are payable in monthly installments at different
dates, the latest up to October 24, 2019 and are collateralized by the vehicles purchased Note 9. The outstanding loans balance as of June 30, 2017 amounted to Rp12,186,470 2016: Rp5,966,424. In 2017, the Group has made principal
payments totaling Rp2,909.034 2016: 7,692,415.
For the six-month periods ended June 30, 2016, the loans bore interest at annual rates ranging from 4.49 to 15.62 4.49 sampai dengan 15.62.
There are no covenants imposed by PT BCA Finance in relation to these loans. The general covenants required by the above banks, except for BBA and BCA Finance are as follows:
a. Maintain certain financial ratios as follows: 1 EBITDA to interest expense ratio of not less than 1:1 up to 1:1.5
2 Interest-bearing debt to equity ratio not more than 2:1 up to 3:1 3 Maintain positive equity and profit.
b. Obtain written approval from the related banks prior to performing the following activities, among others: 1 Obtain new loanscredits from other parties, which bear interest, except in the course of business transaction
and still within the financial ratio requirement above; 2 Enter into merger or acquisition;
3 Change the shareholders’ composition; 4 Sell or transfer in any form or dispose partially or entirely the Company’s assets;
5 Encourage other parties to propose to the court to declare bankruptcy or ask for postponement in obligation
payment; 6 Act as guarantor for or collateralize other parties obligation;
7 Amend its legal status, articles of association, the composition of the Boards of Directors and Commissioners and ultimate shareholder;
8 Decrease their respective authorized capital stock or paid-in capital. As of June 30, 2017 and December 31, 2016, each of the debtors the Company and certain Subsidiaries are in
compliance with all the debt covenants related to the above short-term bank loans and long-term debts.
13. BONDS PAYABLE AND SUKUK IJARAH
