MIRA INFORM REPORT

Report Date :

5^th May 2006

IDENTIFICATION DETAILS

Name :	P.T. BATAN TEKNOLOGI

Registered Office :	Kawasan Puspitek Gedung 70 Serpong, Tangerang 15310 Banten Province Indonesia

Date of Incorporation :	24 May 1996

Com. Reg. No.:	C2-166.HT.01.01.TH.97

Legal Form :	Limited Liability Company

Line of Business :	Nuclear Fuel Element Production Radioisotope Production Instrumentation, Engineering and Nuclear Technique Application

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory

Payment Behaviour :	Usually Correct

Litigation :	Clear

Name of company

P.T. BATAN TEKNOLOGI

A d d r e s s

Head Office & Factory

Kawasan Puspitek Gedung 70

Serpong, Tangerang 15310

Banten Province

Indonesia

Phone - (62-21) 7560555, 7560562

Fax. - (62-21) 7560118

Email - hrdbtk@vision.net.id

Website - http : //www.batantek.co.id

Building Area - 4 storey

Office Space - 25,000 sq. meters

Region - Commercial

Status - Owned

Date of Incorporation

24 May 1996

Legal Form

P.T. (Perseroan Terbatas) or Limited Liability Company

Company Reg. No.

The Ministry of Law and Human Rights

No. C2-166.HT.01.01.TH.97

Dated 10 January 1997

Company Status

State Owned (BUMN) Company

Permit by the Government Department

The Department of Finance

- NPWP No. 1.061.138.2-051

- No. KMK.016/1996

Dated 21 May 1996

Related Company

None

CAPITAL AND OWNERSHIP

Capital Structure :

Authorized Capital : Rp. 60,000,000,000.-

Issued Capital : Rp. 25,000,000,000.-

Paid up Capital : Rp. 25,000,000,000.-

Shareholder/Owner :

The Government of the Republic of Indonesia - Rp. 25,000,000,000.-

BUSINESS ACTIVITIES

Lines of Business:

a. Nuclear Fuel Element Production

b. Radioisotope Production

c. Instrumentation, Engineering and Nuclear Technique Application

Production Capacity :

a. Uranium - 432 fuel p.a.

b. Radioisotope - 300 units p.a.

c. Radiopharmaceutical - 240 generators p.a.

Total Investment :

Owned Capital - Rp. 60.0 billion

Started Operation :

1996

Brand Name :

None

Technical Assistance :

NUKEM GmbH of Germany

Number of Employee :

105 persons

Marketing Area :

Domestic (Local) - 100 %

Main Customer :

a. Industrial Manufacturing

b. Hospital

c. Research centers

Market Situation :

Monopolistic

Main Competitors :

None

Business Trend :

Growing

BANKER, AUDITOR & LITIGATION

B a n k e r s :

a. P.T. Bank MANDIRI Tbk

Plaza Mandiri

Jalan Jend. Gatot Subroto Kav. 36-38

Jakarta Selatan

Indonesia

b. P.T. Bank NEGARA INDONESIA Tbk

Wisma 46-Kota BNI

Jalan Jend. Sudirman Kav. 1

Jakarta 10220

Indonesia

Auditor :

Internal Auditor

Litigation :

No litigation record in our database

FINANCIAL FIGURE

Annual Sales (estimated) :

2003 – Rp. 11.7 billion

2004 – Rp. 13.0 billion

2005 – Rp. 14.0 billion

Net Profit (Loss) :

2003 – Rp. 205 million

2004 – Rp. 210 million

2005 – Rp. 220 million

Payment Manner :

Average

Financial Comments :

Satisfactory

KEY EXECUTIVES

Board of Management :

President Director - Mr. Dr. Ir. Mulyanto Soerjodibroto, SE

Directors - a. Mr. Drs. Zahiruddin A.

b. Mr. Widyatmoko, SH

c. Mr. Ir. Heru Suprapto, MM

d. Mr. Ir. Hasbullah Nasution

Board of Commissioner :

Chief Commissioner - Mr. Dr. Azhar Djaloeis

Commissioner - Mr. Supardja Soekmasendjaja, MA

Signatories :

President Director (Mr. Dr. Ir. Mulyanto Soerjodibroto, SE) or one of the Directors (Mr. Drs. Zahiruddin A, Mr. Widyatmoko, SH, Mr. Ir. Heru Suprapto, MM or Mr. Ir. Hasbullah Nasution) which must be approved by the Board of Commissioners

CAPABILITIES

Management Capability :

Good

Business Morality :

Good

Credit Risk :

Below Average

Credit Recommendation :

Credit can be proceeded normally

Proposed Credit Limit :

Moderate amount (Good for R 300,000.- on the 30 days)

Maximum Credit Limit :

US$ 62,000.- on the 30 days of payments

OVERALL PERFOMANCE

P.T. BATAN TEKNOLOGI (P.T. BT) was established on 24 May 1996 in Jakarta with an authorized capital of Rp. 60,000,000,000.- issued capital of Rp. 25,000,000,000.- entirely paid-up. Founders and shareholders are the Government of the Republic of Indonesia and Mr. Widyatmoko SH., an indigenous businessman. On 13 April 1998 the whole share controlled by the Government of the Republic of Indonesia. The Deed of amendment was made by Mr. Fransiscus Jacobus Mawati SH., a public notary in Jakarta under Company Registration Number C2-166.HT.01.01.TH. 1997, dated January 10, 1997. P.T. BT is a state owned (BUMN) company under the State Minister of Investment and Development of State Enterprises.

P.T. BT started with operation in 1996 in nuclear fuel element production by producing uranium 432 fuel per annum. Historically the plant to produce fuel element is constructed under contract and cooperation between national Atomic Agency of Indonesa “BATAN” and NUKEM GmbH of Germany in April 1982. In August 20, 1987 performed by Badan Tenaga Atom Nasional or National Atomic Agency and presently changed into Badan Tenaga Nuklir Nasional or National Nuclear Energy Agency. P.T. BT is also engaged in radioisotope production by producing 300 units of radioisotopes and 240 unit of radiopharmaceutical generators per annum respectively. The plant is designed to handle enriched uranium up to 20% enrichment, and able to produce the plate type fuel and control elements for research centers. All of the above activities are concentrated in Kawasan Puspitek Serpong, Tangerang, Banten Province. Besides that P.T. BT is also engaged in instrumentation, engineering and nuclear technique application. The activity has been previously handled by the Nuclear Equipment Development and Engineering Center (PPNR). Most of its service and products are used by the manufacturing companies, hospitals and research centers.

Generally outlook, the demand for uranium, radioisotope and instrumentation, engineering nuclear technique application has kept on rising by 6% to 8% per annum within the last five years in close relation with the progress of manufacturing companies, hospitals and study centers using P.T. BT’s products and serves. The demand growth is projected to rise only by 6% per annum within the next three years. There is still no strong competition in the above business for there is only P.T. BT’s company operating n the country today.

The management of P.T. BT’s very reclusive toward outsiders and rejected to disclose its financial condition. However, we estimated that total sales turnover in 2003 reached Rp. 11.7 billion, rose to Rp. 13.0 billion in 2004 to Rp. 14.0 billion in 2005 and projected to be rising by at least 8% in 2006. The operation of the company in 2005 is estimated to have gained a profit of Rp. 220 million with estimated networth of Rp. 105.0 billion. Besides, the company has a punctual payment habit within 1 to 2 months. So far, we have never heard of the company having been black listed by the Central Bank (Bank Indonesia).

P.T. BT’s management is led by Mr. Dr. Ir. Mulyanto Soerjodibroto (54) as president director. In his day-to-day activities, he is assisted by Mr. Drs. Zahiruddin A as the director of radioisotope production, Mr. Widyatmoko, SH as the director of finance and administration, Mr. Ir. Heru Suprapto,MM as the director of nuclear engineering and Mr. Ir. Hasbullah Nasution as the director of nuclear fuel element production. The management is well experienced and handled by professional managers in the above business. They have wide relation with home and overseas private businessmen as well as with the government sectors. So far, we have never heard of the management of the company being filed to the district court for detrimental cases. P.T. BATAN TEKNOLOGI is considered to be good for business transaction. Considering unstable economic condition in the country, we recommend to treat prudently in extending loan to the company.

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions