March 2003 Board of Commissioners and Directors

Jakarta, 26 March 2003 Board of Commissioners and Directors

PT ANTAM Tbk Re: Summary Result of Corporate Governance Implementation Dear Sirs, Upon the completion of a Corporate Govern an ce

assessment in PT ANTAM Tbk (ANTAM) in 2001, since July 2002 we have been assisting ANTAM in developing

a Corporate Policy Manual (CPM).

Below we summarize the results our project in ANTAM as of March 21, 2003. Our assignment at ANTAM includes: developing a Corporate Policy Manual and a Code of Conduct. The primary objective of a Corporate Policy Man ual is to en sure the con sisten cy of all ANTAM’s policies. Another purpose of a Corporate Policy Man ual is also to en sure that all Good Corporate Governance principals are properly carried out in the Company. The Code of Conduct provides a guideline on expected behavior to all ANTAM’s employees.

Ern st & Youn g team assisted ANTAM’s Corporate Governance Implementation team in providing the methodologies as well as the necessary benchmarks that can be used as a reference in preparing the Corporate Po licy Ma n u a l a n d t h e Co d e o f Co n d u ct . Th e methodology incorporates the assessment of business processes, business risks and the company’s philosophies to come up with a sound Corporate Policy Manual and

a Code of Conduct. The Corporate Policy Manual also covers Boards Charters

and Board Committee Charters as recommended by best practices. The Board and Committee Charters document the organisational structure and relationship, the roles and responsibilities of the Boards as well as Board membership requirements.

The Code of Conduct includes the policies on Equal Opportunity Employer, Fair Competition; Conflicts of In t er est ; Co n fid en t ia l In fo r m a t io n ; Cr im in a l Involvement; Immoral Acts; Political Involvement and Asset Utilization.

We have also assisted ANTAM in developing an audit framework and function of the organisation. This includes developing the relationship between the Audit Committee and the Internal Audit. That is, the Audit Committee has

a functional relationship with the Internal Audit and, if necessary, the Internal Audit personnel may become a member of the Audit Committee on limited capacity.

Jakart a, 26 M aret 2003

Yt h. Komisaris dan Direksi PT ANTAM Tbk

Perihal: Ikht isar Hasil Implement asi Corporat e Governance

Dengan hormat ,

Setelah menyelesaikan pengkajian praktik corporate governance di PT ANTAM Tbk (ANTAM ) pada t ahun 2001, kami t elah membant u ANTAM dalam mengembangkan suat u Pedoman Kebijakan Perseroan (Corporat e Policy M anual), yang dimulai sejak bulan Juli 2002. Berikut ini kami ikht isarkan hasil dari proyek t ersebut sampai dengan t anggal 21 M aret 2003.

Penugasan kami di Ant am meliput i penyusunan Pedoman Kebijakan Perseroan dan St andard Perilaku Perseroan. M anfaat ut ama suat u Pedoman Kebijakan Perseroan adalah unt uk memast ikan konsist ensi dari keseluruhan kebijakan yang ada di ANTAM . M anf aat lain dari suat u Pedoman Kebijakan Perseroan adalah unt uk memast ikan bahwa prinsip- prinsip good corporat e governance dit erapkan dengan baik di dalam lingkungan ANTAM . St andard Perilaku Perseroan merupakan suat u Pedoman kepada seluruh pegaw ai agar berperilaku sesuai dengan nilai- nilai yang diharapkan oleh ANTAM .

Tim Ernst & Young membant u t im implement asi good cor por at e gover n an ce AN TAM d en g an m em b er i kan

met odologi dan pembanding (benchmarks) yang dapat di gunakan sebagai acuan dal am m enyusun Pedom an Kebi j akan Perseroan dan St andard Peri l aku Perseroan. M et odologi t ersebut meliput i pengkajian at as proses bisnis, risiko bisnis, dan nilai- nilai yang dianut oleh ANTAM sebagai dasar bagi t erbent uknya suat u Pedoman Kebijakan Perseroan dan St andard Perilaku Perseroan yang baik.

Pedom an Kebi j akan Perseroan j uga m encakup Board Chart ers dan Board Com m i t t ee Chart ers yan g sesu ai

d en g an best pr act i ces. Boar d Ch ar t er s d an Boar d Com m i t t ee Chart ers i ni m endokum ent asi kan st rukt ur

organisasi dan hubungan di dalam organisasi, peran dan t anggung jaw ab sert a krit eria dan persyarat an yang berlaku bagi keanggot aan Komisaris, Direksi dan Komit e- Komit e.

St andard Peri l aku Perseroan m el i put i kebi j akan at as kesempat an kerja yang sama, prakt ik kompet isi yang sehat , bent uran kepent i ngan, t i ndakan pel anggaran m oral , ket erlibat an dalam akt ivit as polit ik, dan pemanf aat an kekayaan Perseroan.

Kami juga t elah membant u ANTAM dalam mengembangkan suat u kerangka audit dan f ungsi organisasi audit . Termasuk didalam kerangka t ersebut adalah hubungan ant ara Komit e Audit dan Int ernal Audit , yait u bahwa Komit e Audit memiliki hubungan f ungsi onal dengan Int ernal Audi t , dan j i ka diperlukan, personil Int ernal Audit dapat menjadi anggot a Komit e Audit dalam kapasit as yang t erbat as.