RELATED PARTY TRANSACTIONS continued c. Significant agreements with related parties

PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the three month periods Ended March 31, 2017 and 2016 unaudited Figures in tables are expressed in billions of Rupiah, unless otherwise stated 95 31. RELATED PARTY TRANSACTIONS continued d. Remuneration of The Board of Commissioners and Key Management Personel The Company provides remuneration in the form of salarieshonorarium and facilities to support the governance and oversight duties of the Board of Commissioners and the leadership and management duties of the Board of Directors. The total of such remuneration is as follows: 2017 2016 Amount of total expenses Amount of total expenses Board of Directors 45 0.24 146 0.84 Board of Commissioners 14 0.07 44 0.25 The amounts disclosed in the table are the amounts recognized as an expense during the reporting periods. 32. OPERATING SEGMENT In 2017, management rearranged the way it manages the Groups business portfolios from a customer-centric approach to a Customer Facing Units “CFU” approach that allow the Group to focus on more specific customer markets. This was followed by a change in the Group’s organizational structure to accommodate decision making and assessing performance based on the CFU approach. The change in the way of managing the Company’s business portfolios and the change in the Companys organizational structure led management, as the Companys Chief Operation Decision Maker, to change the presentation of the Group’s segment information previously presented in the consolidated financial statements for the three month period ended March 31, 2016. Accordingly, the segment financial information in the consolidated financial statements for the three month period ended March 31, 2016 has been restated to conform with the presentation of segment information in the consolidated financial statements for the three month period ended March 31, 2017. The Group has five main operating segments, namely mobile, consumer, enterprise, wholesale and international business “WIB”, and others. The mobile segment provides mobile voice, SMS, value added services and mobile broadband. The consumer segment provides fixed wireline telecommunications services, pay TV, data, internet and other telecommunication services to home customers. The enterprise segment provides end-to-end solution to companies and institutions. The WIB segment provides interconnection services, leased lines, satellite, VSAT, broadband access, information technology services, data and internet services to Other Licensed Operator companies and institutions. Others segment comprises multiple segments that do not meet the disclosure requirements for a reportable segment including building management services and digital services. Management monitors the operating results of the business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on operating profit or loss and is measured consistently with operating profit or loss in the consolidated financial statements. However, the financing activities and income taxes are managed on a group basis and not separately monitored and allocated to operating segments. Segment revenues and expenses include transactions between operating segments and are accounted at prices that management believes represent market prices. PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the three month periods Ended March 31, 2017 and 2016 unaudited Figures in tables are expressed in billions of Rupiah, unless otherwise stated 96

32. OPERATING SEGMENT continued

2017 Mobile Consumer Enterprise WIB Others Total before elimination Elimination Total consolidated Segment results Revenues External revenues 21,554 2,636 5,056 1,660 116 31,022 - 31,022 Inter-segment revenues 745 963 4,435 4,411 712 11,266 11,266 - Total segment revenues 22,299 3,599 9,491 6,071 828 42,288 11,266 31,022 Expenses External expenses 8,970 2,242 4,537 2,145 637 18,531 - 18,531 Inter-segment expenses 3,432 1,167 4,112 2,507 185 11,403 11,403 - Total segment expenses 12,402 3,409 8,649 4,652 822 29,934 11,403 18,531 Segment results 9,897 190 842 1,419 6 12,354 137 12,491 Other information Capital expenditures 3,102 1,502 751 665 46 6,066 - 6,066 Depreciation and amortization 3,161 700 422 461 29 4,773 - 4,773 Provision recognized in current period 92 97 227 61 2 479 - 479 2016 Mobile Consumer Enterprise WIB Others Total before elimination Elimination Total consolidated Segment results Revenues External revenues 19,578 2,399 4,053 1,209 303 27,542 - 27,542 Inter-segment revenues 629 187 844 3,473 437 5,570 5,570 - Total segment revenues 20,207 2,586 4,897 4,682 740 33,112 5,570 27,542 Expenses External expenses 7,138 2,090 5,070 1,967 1,705 17,970 - 17,970 Inter-segment expenses 2,929 474 457 1,689 - 5,549 5,549 - Total segment expenses 10,067 2,564 5,527 3,656 1,705 23,519 5,549 17,970 Segment results 10,140 22 630 1,026 965 9,593 21 9,572 Other information Capital expenditures 2,823 1,720 258 811 105 5,717 - 5,717 Depreciation and amortization 3,101 542 130 206 426 4,405 - 4,405 Provision recognized in current period 23 35 97 101 3 207 - 207 Geographic information: 2017 2016 External revenues Indonesia 30,455 27,043 Foreign countries 567 499 Total 31,022 27,542 The revenue information above is based on the location of the customers. PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the three month periods Ended March 31, 2017 and 2016 unaudited Figures in tables are expressed in billions of Rupiah, unless otherwise stated 97

32. OPERATING SEGMENT continued March 31, 2017