NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of 30 June 2012 unaudited and 31 December 2011 audited and
For the period of six months ended 30 June 2012 and 2011 unaudited
Expressed in thousand of rupiah, unless otherwise stated
42 Depreciation for the periods ended 30 June was charged to the following:
2012 2011
General and administrative expenses 12,616,461
63,367,254 Cost of sales and direct costs
28,964,243 1,207,423
Total 41,580,704
64,574,677
In 2011, the Company disposed certain of its investment properties with net book value of Rp3,168,205. The details of construction in progress as of 30 June 2012 and 31 December 2011 are as follows:
30 June 2012 31 December 2011
Amount Percentage of
completion Amount
Percentage of completion
Summarecon Mal Bekasi 148,949,613
16 16,413,020
3 Chiller
hotel -
- 5,578,651
90 Others
16,821,228 10,612,501
Total construction in progress 165,770,841
32,604,172
The percentages of completion of the construction in progress as of 30 June 2012 and 31 December 2011 are based on the actual expenditures incurred compared to the total budgeted project cost.
Investment properties, except land, are covered by insurance against fire, flood and other risks all-risks under blanket policies with several companies, including PT Zurich Insurance Indonesia, PT Asuransi
Himalaya Pelindung, PT Asuransi Central Asia, PT Asuransi Allianz Utama Indonesia,
PT Asuransi Adira Dinamika, PT China Taiping Insurance Indonesia, PT Asuransi Rama Satria Wibawa, PT Kurnia Insurance Indonesia, PT Asuransi Umum Mega, PT Asuransi Indrapura,
PT Asuransi MSIG Indonesia and PT ACE INA Insurance, all third parties, for US238,417,700 and Rp51,600,000 in 2012 and 2011.The Company and Subsidiaries also covered their investment properties
by insurance against terrorism and sabotage for US186,632,087 and Rp469,000,000 in 2012 and 2011 SH, a Subsidiary, also covered its investment properties by insurance against terrorism and sabotage for
US15,000,000 in 2012 and 2011. In addition, the Company and Subsidiaries also obtained insurance against business interruption amounting to Rp453,895,000 in 2012 and 2011, respectively. The Company
and Subsidiaries’ management is of the opinion that the above coverages are adequate to cover possible losses arising from such risks.
As of 30 June 2012 and 31 December 2011 investment properties with net book value of Rp,1,224,537,914 and Rp1,330,421,293, respectively, are pledged as collateral
for the loans from banks and financing institution, bonds payable and s
ukuk ijarah Notes 15 and 16.
The fair value of the investment properties amounted to Rp5,015,178,061 in 2012 and 2011, of which Rp3,555,426,040 was determined partly by independent appraisers and partly based on the Tax Offices
sale value of tax object NJOP as of 30 June 2012 and 31 December 2011.
Rental income from investment properties recognized in the consolidated statements of comprehensive income amounted to Rp346,233,000 and Rp266,006,262 in 2012 and 2011, respectively Note 29.
Based on the Company and Subsidiaries’ assessments, there were no events or changes in circumstances which indicated an impairment in the value of investment properties as of 30 June 2012
and 2011.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of 30 June 2012 unaudited and 31 December 2011 audited and
For the period of six months ended 30 June 2012 and 2011 unaudited
Expressed in thousand of rupiah, unless otherwise stated
43
14. OTHER ASSETS
This account consists of:
2012 2011
Restricted time deposits PT Bank Central Asia Tbk
49,464,234 47,537,165
PT Bank Permata Tbk 14,051,627
10,309,990 PT Bank OCBC NISP Tbk
12,056,611 5,546,331
PT Bank ANZ Indonesia 9,480,000
- PT Bank UOB Indonesia Tbk
341,434 341,435
PT Bank Mandiri Persero Tbk 1,660,368
2,035,498 PT Bank Danamon Indonesia Tbk
10,772,439 1,186,816
PT Bank CIMB Niaga Tbk 323,524
1,688,252 PT Bank Internasional Indonesia Tbk
4,171,378 4,332,639
PT Bank Pan Indonesia Tbk 1,036,393
1,036,393 PT Bank Negara Indonesia persero Tbk
107,442 107,442
Restricted cash in banks : PT Bank Central Asia Tbk
11,992,470 19,053,156
PT Bank International Indonesia Tbk -
242,371 Deferred charges - landrights - net
3,591,400 3,748,500
Advances for investment note 36c 7,166,822
157,228,822 Derivative
Asset 38,500
- Others
3,282,657 374,370
Total other assets 129,537,299
254,769,180
The restricted time deposit in BCA is used as collateral for a loan in BCA and the interest payments on the loans obtained from BCA Note 15 and for the corporate guarantee provided to BCA by the Company,
BMS and SCK, on the housing and apartment loans obtained by customers of the Company, BMS and KSO Summarecon Serpong Note 36l.
The restricted time deposits in PT Bank OCBC NISP Tbk OCBC, PT Bank CIMB Niaga Tbk CIMB, PT Bank Internasional Indonesia Tbk BII, PT Bank Permata Tbk Permata, PT Bank Pan Indonesia Tbk
Panin, PT Bank Mandiri Persero Tbk Mandiri, PT Bank Danamon Indonesia Tbk Danamon, PT Bank Negara Indonesia Persero Tbk and PT Bank UOB Indonesia Tbk UOB are used as corporate
guarantees provided by the Company, BMS, GO and SCK to those banks on the housing loans obtained by the customers of the Company, BMS, GO and KSO Summarecon Serpong Note 36l.
BCA, OCBC, CIMB, BII, Permata, Panin, Mandiri, Danamon, BNI and UOB agreed to grant housing and apartment loans to the customers of the Company, BMS, GO and KSO Summarecon Serpong. The
Company, BMS, GO, and SCK on behalf of KSO Summarecon Serpong provide corporate guarantees on their customers’ loans from these banks until the Company, BMS, GO and KSO Summarecon Serpong
have submitted the buyers’ land and building certificates to these banks Note 36l.
In 2010, the restricted time deposit in PT Bank ANZ Indonesia was used as collateral for the Cross Currency Interest Rate Swap Note 37.
The restricted cash in banks - BCA and BII represents escrow accounts which are used as collateral for the loans obtained from BCA and BII Note 15
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of 30 June 2012 unaudited and 31 December 2011 audited and
For the period of six months ended 30 June 2012 and 2011 unaudited
Expressed in thousand of rupiah, unless otherwise stated
44
15. LOANS FROM BANKS AND FINANCING INSTITUTIONS
This account consists of:
2012 2011 Bank Loans in Rupiah
PT Bank Central Asia Tbk BCA 558,207,940
634,723,403 PT Bank Mandiri persero Tbk
200,000,000 100,064,190
PT Bank Bumi Arta Tbk 39,299,171
33,891,657 PT Bank Resona Perdania Resona
45,920,000 51,960,000
Bank Loans in United States Dollar
PT Bank Resona Perdania Resona 9,480,000 9,068,000
Loans from financing institutions in Rupiah
PT Dippo Star Finance Dipo 18,425
128,975 PT BCA Finance
9,704,727 11,944,236
Total loans from banks and financing institutions 862,630,263
841,780,461
As of 30 June 2012 and 31 December 2011, the details of future installments of loans from banks and financing institutions are as follows:
2012 2011 Year Due
2012 105,147,405
248,499,155 2013
130,003,295 132,439,547
2014 120,593,411
119,150,078 2015
132,600,183 80,212,645
2016 97,176,997
32,684,880 2017
54,103,852 52,295,807
2018 64,955,045
58,832,783 2019
67,093,011 58,832,783
2020 67,521,603
44,124,587 2021
20,745,074 14,708,196
2022 2,690,387
-
Total installments 862,630,263
841,780,461 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 payable in quarterly installments starting from 28 September 2007 until 28 June 2011.This credit facility was fully paid on 28 June 2011.
b. Investment credit facility II with a maximum amount of Rp150,000,000, which was fully drawn in 2007 and is payable in quarterly installments starting from 2007 until 2012. The outstanding loan balance as
of 30 June 2012 and 31 December 2011 amounted to Rp7,500,000 and 22,500,000, respectively.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of 30 June 2012 unaudited and 31 December 2011 audited and
For the period of six months ended 30 June 2012 and 2011 unaudited
Expressed in thousand of rupiah, unless otherwise stated
45 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 30 June 2012 and 31 December 2011 amounted to Rp96,000,000 and
Rp106,500,000, 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 30 June 2012 and 31 December 2011.
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. The loans bear interest at annual rates ranging from 9.0 to 9.5 in 2012 and from 9.5 to 9.75 in 2011.
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 is payable in quarterly installments starting from 2007 until 2012, It is collateralized by LMD’s trade receivables, investment properties, escrow accounts and restricted time deposits Notes 6, 13 and 14,
Interest payments on the loan are collateralized by the restricted time deposits in BCA Note 14. The outstanding loan balance as of 30 June 2012 and 31 December 2011 amounted to Rp27,332,940 and
Rp81,999,607, respectively, and bears interest at annual rates ranging from 9.0 to 9.5 in 2012 and from 9.5 to 9.75 in 2011.
b. Investment credit facility with 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. Loan balance as of 30 June 2012 and 31 December 2011 amounted to Rp350,000,000 and Rp326,848,796, and bears
interest at annual rates ranging from 9.0 to 9.5 in 2012 and 9.5 to 9.75 in 2011.
Under the loan agreements with BCA above, LMD generally must comply with several covenants, including maintaining certain financial ratios as follows:
1 Debt to equity ratio of not more than 2:1 in 2012 and 2011
2 EBITDA to interest expense ratio of not less than 1.5:1 starting from 2013.
As of 30 June 2012 and 31 December 2011, LMD is not in default of the loan covenants stated above. On 28 September 2008, SH obtained an investment credit facility from BCA with a maximum amount of
Rp150,000,000 with grace period until 31 March 2010 which has been extended to 31 December 2011. Based on the credit facility agreement, loan from the facility is payable in quarterly installments starting
from 2012 until 2018 and is collateralized by the Company’s investment properties and letter of undertaking, escrow accounts and SH’s cash flows Notes 13 and 14. The outstanding loan balance as of
30 June 2012 and 31 December 2011 amounted Rp36,750,0000 and Rp40,000,000,respectively.
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. There was no outstanding loan balance from this facility as of 30 June 2012 and 31 December 2011.
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 30 June 2012 and 31 December 2011 amounted to Rp40,625,000 and Rp56,875,000, respectively.
The above loans are collateralized by undeveloped land managed by KSO Summarecon Serpong Note 11 and escrow account owned by KSO Summarecon Serpong Note 14. The loans bear interest at
annual rates ranging from 9.0 to 9.5 in 2012 and from 9.5 to 9.75 in 2011.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of 30 June 2012 unaudited and 31 December 2011 audited and
For the period of six months ended 30 June 2012 and 2011 unaudited
Expressed in thousand of rupiah, unless otherwise stated
46
PT Bank Mandiri Persero Tbk Mandiri
In 2010, the Company obtained several facilities from Mandiri as follows: a. Special purpose credit facility with a maximum amount of Rp200,000,000 which was partially drawn
in 2010 and is payable in quarterly installments starting from 23 September 2012 until 23 December 2015. The outstanding loan balance as of 30 June 2012 and 31 December 2011 amounted to
Rp200,000,000 and Rp90,210,000, respectively.
b. Overdraft facility with a maximum amount of Rp50,000,000 with credit period of one year, as of 31 December 2011, the outstanding balance from this facility amounted to Rp9,854,190, while as of 30
June 2011, there was no outstanding loan balance from this facility. The above loans from Mandiri are collateralized by undeveloped land Note 11. The loans bear interest at
annual rates ranging from 9.25 to 9.75 in 2012 and at the rate of 9.75 to 10.5 in 2011.
PT Bank Resona Perdania Resona
SCK obtained the following credit facilities from Resona: a. Working capital credit facility with a maximum amount of Rp30,000,000 and a credit period of one
year. There was no outstanding drawdown from the facility as of 30 June 2012 and 31 December 2011.
b. Investment credit facility with a maximum amount of Rp58,000,000 and a credit period of five years starting from 4 June 2010 until 19 August 2015. The outstanding loan balance as of 30 June 2012
and 31 December 2011 amounted to Rp45,920,000 and Rp51,960,000, respectively.
The above loans are collateralized by undeveloped land Note 11. The loans bear interest at annual rates ranging from 10.38 to 11.01 in 2012 and 2011.
In July 2006, the Company obtained a non-revolving credit facility from Resona with a maximum amount of US7,000,000 which was fully drawn as of 31 December 2006. The loan was payable in quarterly
installments starting from 30 June 2007 until 30 June 2011 and was collateralized by investment properties Note 13. The outstanding loan balance as of 31 December 2010 amounted to US820,000,
which was fully paid in 30 June 2011 and bore interest at the annual rate of 2.30 above Singapore Interbank Offered Rate SIBOR in 2007, which was amended to 2.30 above Cost of Loanable Fund
COLF starting October 2008.
In July 2006, the Company obtained another revolving credit facility from Resona with a maximum amount of US3,000,000. The loan is due on 17 December 2012 and is collateralized by investment properties
Note 13. The outstanding loan balance as of 30 June 2012 and 31 December 2011 amounted to US1,000,000, respectively, and bears interest at the annual rate of 2.25 above SIBOR in 2007, which
was amended to 2.25 above COLF starting October 2008
Based on an amendment dated 16 December 2011 of the above loan agreement covering a facility with a maximum amount of US3,000,000 with Resona, the Company must comply with several covenants,
including the following:
a. Maintain certain financial ratios as follows:
1 Current ratio of not less than 100 in 2011 2 Debt to equity ratio of not more than 10:1 in 2011
b. Maintain positive stockholders equity and profit.
As of 30 June 2012 and 31 December 2011, the Company is not in default of the loan covenants stated above.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of 30 June 2012 unaudited and 31 December 2011 audited and
For the period of six months ended 30 June 2012 and 2011 unaudited
Expressed in thousand of rupiah, unless otherwise stated
47
PT Bank Bumi Arta Tbk
In May 2011, BKV obtained several credit facilities as follows: a.
Demand loan facility with a maximum amount of Rp42,000,000. The loan will be due in June 2022. The outstanding loan balance as of 30 June 2012 amounted to Rp30,000,000.
b. Overdraft facility with a maximum amount of Rp10,000,000, which will be due on May 2013. The outstanding loan balance as of 30 June 2012 and 31 December 2011 amounted to Rp9,299,171 and
Rp3,891,657,respectively. The above loans are collateralized by fixed assets and shares of BKV Note 12. The loans bear interest
at the rate of 11 in 2012 and 2011.
PT BCA Finance
The loans from PT BCA Finance represent drawdowns from various consumer financing credit facilities obtained by the Company, SPM, SCK, SH and LMD, which were used to finance the acquisitions of
vehicles. The loans are payable in monthly installments at different dates from 4 January 2008 until 27 August 2014 and are collateralized by the vehicles purchased Note 12.
The outstanding loans as of 30 June 2012 and 31 December 2011 amounted to Rp9,704,727 and Rp11,944,236, respectively, and bear interest at annual rates ranging from 3.75 to 12.38 in 2012 and
2011.
PT Dipo Star Finance Dipo
The loan from Dipo represents drawdowns from an installment credit facility obtained by the Company which was used to finance the acquisition of vehicles. The loan is payable in monthly installments starting
from 28 August 2006 until 26 July 2012 and is collateralized by the vehicles purchased Note 12. The outstanding loan balance as of 30 June 2012 and 31 December 2011 amounted to Rp18,425 and
Rp128,975, respectively, and bears interest at the annual rate of 6.00 in 2012 and 2011.
Under the loan agreements of the Company with all the above-mentioned credit grantors, the Company 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 2012 and 2011.
2 EBITDA to interest expense ratio of not less than 2.5:1 in 2012 and 2011. The Company has met all the above financial ratio requirements.
b. The Company must obtain written approval from the creditors prior to performing the following activities, among others:
1 Accept 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 4 Amend its articles of association and change its Boards of Directors and Commissioners
5 Invest in or open new businesses. As of 30 June 2012 and 31 December 2011, the Company is not in default of the loan covenants stated
above. There are no negative covenants in the loan agreements of the Subsidiaries.
