Impairment of non-financial assets

PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of March 31, 2014 and for three months period then ended unaudited Figures in tables are expressed in billions of rupiah, unless otherwise stated 37

3. BUSINESS COMBINATIONS continued a. Acquisitions continued

Acquisition of Patrakomcontinued Patrakom is a satellite-based closed fixed telecommunications network operator and as provider of communications solutions and network with a permit as Operator of Micro Earth StationsCommunications Systems “SKSBM” in partnership with manufacturers of telecommunications equipment to serve various companies.Through the acquisition of Patrakom, the Company canintegrate Patrakom’s business activities in accordance with the Company’s business development plan. The fair values of the assets acquired and liability transferred at the acquisition datesare as follows: GCI Patrakom Total Cash and equivalents 3 39 42 Other current assets 18 122 140 Property and equipment Note 11 225 171 396 Current liabilities 15 171 186 Non-current liabilities 16 45 61 Fair value of the identifiable net assets acquired 215 116 331 Bargain purchase 42 - 42 Fair value of previously held equity interests - 46 46 Fair value of the consideration transferred 173 70 243 The excess of fair value of the identifiable net assetsacquiredover thefair value of the consideration transferred, amounting Rp42 billion, wasrecorded as other income in the consolidated statement of comprehensive income of the current year. Cost related to the acquisition amountingto Rp4.3 billion was incurred in the current period. Since the acquisition dates, GCI and Patrakom has generated operating revenue amountingto Rp23billion. The business combination transactions mentioned above complied to the related Bapepam-LK Regulations.

b. Disposal of Indonusa

On October 8, 2013, the Company sold 80 of its ownership in Indonusa to PT Trans Corpora and PT Trans Media Corpora for Rp926 billion. Further, on the same date, the Company, Metra and PT Trans Corpora signed a Shareholders Agreement that establishes mutual relationship among the shareholders of Indonusa, including the grant of the right to the Company and Metra to sell their 20 remaining ownership in Indonusa to PT Trans Corpora at any time in 24 months after the second year ofthe closing transaction at a certain price Put Option. The Company had received the full payment for the sale transaction. PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of March 31, 2014 and for three months period then ended unaudited Figures in tables are expressed in billions of rupiah, unless otherwise stated 38

3. BUSINESS COMBINATION continued b. Disposal of Indonusa continued

The Company recognized the gain on sale of Indonusa shares in the consolidated statement of comprehensive income of thecurrent year as follows: Amount Fair value of considerations received: Cash 926 Put Option 289 Fair value of interest retainedin Indonusa Note 10 182 Carrying amount of assets and liabilities of Indonusa 14 Gain on sale of shares 1,383 4. CASH AND CASH EQUIVALENTS 31 Maret 2014 31 Desember 2013 Cash on hand 30 7 Cash in banks Related parties Rupiah PT Bank Mandiri Persero Tbk “Bank Mandiri” 923 804 PT Bank Negara Indonesia Persero Tbk “BNI” 227 409 PT Bank Rakyat Indonesia Persero Tbk “BRI” 68 70 PT Bank Tabungan Negara Persero Tbk “BTN” 50 Others 7 6 1,225 1,339 Foreign currencies Bank Mandiri 748 458 BNI 147 224 BRI 22 75 917 757 Sub-total 2,142 2,096 Third parties Rupiah Deutsche Bank AG “DB” 129 62 PT Bank Central Asia Tbk “BCA” 62 34 PT Bank CIMB Niaga Tbk “Bank CIMB Niaga” 54 32 Others each below Rp50 billion 77 97 322 225 Foreign currencies Standard Chartered Bank “SCB” 289 313 Hong Kong and Shanghai Banking Corporation Ltd “HSBC” 86 66 Others 33 36 408 415 Sub-total 730 640 Total cash in banks 2,872 2,736