PT BANK MANDIRI PERSERO AND SUBSIDIARIES
Notes to the Consolidated Financial Statements Continued December 31, 2002 and 2001
Expressed in millions of Rupiah, unless otherwise stated
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61
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15. PREMISES AND EQUIPMENT Continued
Movements in
2001 Beginning
Additions Deductions
Reclassi- Adjustments Ending
Balance fications
Balance CostRevaluation
Land 258,707
- -
239 69,199 328,145
Buildings 983,123 1,514
1 2,879
31,754 1,019,269 Furniture, fixtures and office
equipment 1,142,291 273,503
169 88,172 94,433
1,409,364 Vehicles
53,083 7,459 861
- 29,293 30,388
Construction in progress 129,698
263,270 -
91,290 140,985
160,693 Total
2,566,902 545,746 1,031
- 163,758
2,947,859 Leased
assets 16,932
- 16,932
- -
- Total cost
2,583,834 545,746
17,963 -
163,758 2,947,859 Accumulated Depreciation
and Amortization Landrights
4,391 -
- -
4,391 -
Buildings 425,620 44,566
- -
17,529 452,657 Furniture, fixtures and office
equipment 973,161 204,417
156 -
432,291 745,131 Vehicles
45,569 8,627 376
- 31,227 22,593
Total 1,448,741 257,610
532 -
485,438 1,220,381
Leased assets
15,650 1,282 16,932
- -
- Total accumulated
depreciation and
amortization 1,464,391 258,892
17,464 -
485,438 1,220,381
Ending December
31, 2001
Balance Net
Book Value
Land 328,145
Buildings 566,612
Furniture, fixtures and office equipment 664,233
Vehicles 7,795
Construction in progress 160,693
Total 1,727,478
Leased assets
- 1,727,478
Construction in progress as of December 31, 2001 is comprised of: License and development cost – Core Banking
147,455 Software base - 24
11,230 Others
2,008 160,693
The construction in progress is approximately 39 completed as of December 31, 2001.
PT BANK MANDIRI PERSERO AND SUBSIDIARIES
Notes to the Consolidated Financial Statements Continued December 31, 2002 and 2001
Expressed in millions of Rupiah, unless otherwise stated
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62
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15. PREMISES AND EQUIPMENT Continued
a. Depreciation and amortization of premises and equipment charged to profit and loss amounted to Rp329,732 and Rp258,892 for the years ended December 31, 2002, and 2001, respectively
Note 40. Management believes that there is no permanent impairment in the value of fixed assets as at
December 31, 2002 and 2001. b. During 2001, the Bank performed a complete physical check of its fixed assets. The
differences resulting from the physical check have been recognized in the respective year’s profit and loss.
c. The Merged Banks entered into a “Memoranda of Agreement on the Transfer of Assets” on July 29, 1999 with PT Pengelola Harta Tetap Mandiri “PHTM”, a related company owned by
PT Usaha Gedung Bank Dagang Negara and PT Bumi Daya Plaza, for the transfer of certain non-core land and buildings. As part of the restructuring of Bank Mandiri, the assets, which
were mostly comprised of non-core fixed assets of the Merged Banks, were transferred to PHTM primarily to be managed and sold, consistent with the purpose of PHTM’s
establishment. These assets were sold to PHTM for a consideration of Rp100 in full Rupiah amount each or a total nominal value of Rp64,100 in full Rupiah amount. The net book value
of the land and buildings transferred to PHTM amounted to RpNil and Rp129,685, respectively. Based on the Shareholder’s General Meeting on December 20, 2000, prior to the sale of any
assets held by PHTM, approval from Bank Mandiri’s shareholder is required and cash proceeds from the sale of assets held by PTHM will be placed in an escrow account and its use
requires approval from Bank Mandiri’s shareholder.
The transfer of these assets to PHTM is considered as a transaction between entities under common control, under SFAS No. 38 - “Accounting for Restructuring of Entities under Common
Control”. Therefore, the assets have been recognised as Other Assets - Assets Available for Sale and no gain or loss is reflected in the consolidated financial statements of Bank Mandiri,
as if no transfer of assets had taken place. Based on the Shareholder’s General Meeting on January 16, 2002, the shareholder approved the return of additional paid-up capital through the
return of Government Bonds amounting to Rp129,685 representing the loss on transfer of assets to PHTM previously recognized by Bank Mandiri at the time of recapitalization. On
December 30, 2002, the Bank returned the Government Bond with serial number FR0007 Note 8.
Based on notarial deeds No. 212, 213, 214, 215, 216, 217, 218 and 219 of Aulia Taufani, S.H dated June 28, 2002, Bank Mandiri and PHTM agreed to terminate the Memorandum of
Agreement on the Transferred Assets, and decided to transfer those assets back to Bank Mandiri as of June 30, 2002.
The transfer of those assets back to Bank Mandiri is considered as a transaction between entities under common control. No gain or loss is reflected in the consolidated financial
statements of Bank Mandiri, as if no transfer of assets had taken place.
PT BANK MANDIRI PERSERO AND SUBSIDIARIES
Notes to the Consolidated Financial Statements Continued December 31, 2002 and 2001
Expressed in millions of Rupiah, unless otherwise stated
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15. PREMISES AND EQUIPMENT Continued
