PROPERTY AND EQUIPMENT continued PROPERTY AND EQUIPMENT continued

PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2015 and for the Year Then Ended Figures in tables are expressed in billions of Rupiah, unless otherwise stated 59

10. PROPERTY AND EQUIPMENT continued

c. Others continued ix As of December 31, 2015, the percentage of completion of property under construction was around 58.49 of the total contract value, with estimated dates of completion between January 2016 and December 2017. The balance of property under construction mainly consists of buildings, transmission installation and equipment, cable network and power supply. Management believes that there is no impediment to the completion of the construction in progress. x All assets owned by the Company have been pledged as collateral for bonds Notes 19a and 19b. Certain property and equipment of the Company PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2015 and for the Year Then Ended Figures in tables are expressed in billions of Rupiah, unless otherwise stated 60

10. PROPERTY AND EQUIPMENT continued

c. Others continued xiii The details of obligations under finance leases for the years ended December 31, 2015 and 2014 are as follows: 2015 2014 PT Tower Bersama Infrastructure 1,589 1,713 PT Profesional Telekomunikasi Indonesia 1,460 1,596 PT Solusi Tunas Pratama 340 368 PT Putra Arga Binangun 227 244 PT Bali Towerindo Sentra 132 143 PT Naragita Dinamika Komunika 84 109 Others each below Rp75 billion 748 616 Total 4,580 4,789 11. ADVANCES AND OTHER NON-CURRENT ASSETS Advances and other non-current assets as of December 31, 2015 and 2014 consist of: 2015 2014 Advances for purchase of property and equipment 3,653 3,354 Prepaid rental - net of current portion Note 8 2,190 1,587 Deferred charges 444 484 Frequency license - net of current portion Note 8 404 493 Long-term trade receivables - net of current portion Note 6 172 362 Restricted cash 111 112 Security deposit 96 72 Others 83 15 Total 7,153 6,479 Prepaid rental covers rent of leased line and telecommunication equipment and land and building under lease agreements of the Group with rental periods ranging from 1 to 40 years. As of December 31, 2015 and 2014, deferred charges represent deferred Revenue-Sharing Arrangement PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2015 and for the Year Then Ended Figures in tables are expressed in billions of Rupiah, unless otherwise stated 61

12. INTANGIBLE ASSETS

The details of intangible assets are as follows: Other intangible Goodwill Software License assets Total Gross carrying amount: Balance, December 31, 2014 322 4,771 67 572 5,732 Additions 15 1,489 1 9 1,514 Deductions - 1 - - 1 Reclassificationstranslations 1 8 - 1 6 Balance, December 31, 2015 336 6,267 68 580 7,251 Accumulated amortization and impairment losses: Balance, December 31, 2014 29 2,862 43 335 3,269 Amortization - 883 6 34 923 Deductions - 1 - - 1 Reclassificationstranslations - 4 - - 4 Balance, December 31, 2015 29 3,748 49 369 4,195 Net Book Value 307 2,519 19 211 3,056 Other intangible Goodwill Software License assets Total Gross carrying amount: Balance, December 31, 2013 270 3,432 67 401 4,170 Additions - 1,340 107 1,447 Acquisition Note 3 54 - - 78 132 Deductions - - 13 13 Reclassificationstranslations 2 1 - 1 4 Balance, December 31, 2014 322 4,771 67 572 5,732 Accumulated amortization and impairment losses: Balance, December 31, 2013 29 2,278 37 318 2,662 Amortization - 583 6 30 619 Deductions - - - 13 13 Reclassificationstranslations - 1 - - 1 Balance, December 31, 2014 29 2,862 43 335 3,269 Net Book Value 293 1,909 24 237 2,463 i Goodwill resulted from acquisition of CCA in 2014 Note 3, sales-purchase transaction of Data Center Business between Sigma and BDM in 2012, and acquisitions of Ad Medika in 2010 and Sigma in 2008. The addition of goodwill in the current year resulted from acquisition of MNDG Note 1d. ii The remaining amortization periods of software range from 1 to 6 years. iii As of December 31, 2015, the cost of fully amortized intangible assets that are still used in operations amounted to Rp2,405 billion.