PT INDOCEMENT TUNGGAL PRAKARSA Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Years ended December 31, 2005 and 2004 Expressed in rupiah, unless otherwise stated
36
13. CAPITAL STOCK continued
b. Warrants A Warrants A were issued to the creditors of the Company in connection with the debt restructuring at
a fixed exercise price of Rp3,600 per share. All of the warrants, which were issued at no cost, were naked warrants and were listed on the Jakarta and Surabaya Stock Exchanges.
The period of exercise of Warrants A was from two 2 to four 4 years and nine 9 months after the effective date of the debt restructuring on December 29, 2000. As of September 29, 2005 the
last exercise date for Warrants A, no warrants had been exercised by the holders of Warrants A. A total of 153,382,977 Warrants A was forfeited.
14. ADDITIONAL PAID-IN CAPITAL
This account represents the excess of the amounts received andor the carrying value of converted debentures and bonds over the par value of the shares issued after offsetting all stock issuance costs.
15. OTHER PAID-IN CAPITAL
This account represents the difference between the agreed exchange rate for the conversion of the foreign currency debentures into equity and the exchange rate at the date of the transaction.
16. RETAINED EARNINGS
In compliance with Corporation Law No. 1 of 1995 dated March 7, 1995, which requires companies to set aside, on a gradual basis, an amount equivalent to at least 20 of their subscribed capital as
general reserve, the shareholders approved the partial appropriations of the Company’s retained earnings as general reserve during their annual general meetings held on June 16, 2005, June 23,
2004, June 26, 2003, June 24, 1997 and June 25, 1996 in the amount of Rp25 billion each.
17. SEGMENT INFORMATION
BUSINESS SEGMENTS The Company and Subsidiaries’ businesses are grouped into three major operating businesses:
cement, ready mix concrete and other business. The main activities of each operating business are as follows:
Cement : Produce and sell several types of cement
Ready mix concrete : Produce and sell ready mix concrete
Other business : Investing activity
The Company and Subsidiaries’ business segment information is as follows:
PT INDOCEMENT TUNGGAL PRAKARSA Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Years ended December 31, 2005 and 2004 Expressed in rupiah, unless otherwise stated
37
17. SEGMENT INFORMATION continued
