Source: Admin | 18 Jun 2015

• Invest US $ 150 Million, Build a Steel Pipe Factory
• Amri Aswono Putro Replaces Eddy Soeparno as the Company’s Finance Director

The management of PT Bakrie & Brothers Tbk (“BNBR” or “Company”) is optimistic that the manufacturing sector is still excited this year. To maintain growth amid the economic slowdown, the Company has disbursed an investment of USD 150 million in stages through a subsidiary (PT Bakrie Pipe Industries / BPI) to build a coating plant or steel pipe coating facility.

“We all see that the condition of the world economy, until the end of the year will still be filled with uncertainty, the crisis will not be over. The US dollar is predicted to strengthen in the future, so that the rupiah depreciates. This condition clearly impacts the domestic economy. In this situation, BNBR will focus more on conducting business with efficiency in all lines, in order to maintain the positive performance that has been achieved last year, “Bobby Gafur Umar, Director / CEO of BNBR told reporters, after the General Meeting of Shareholders ( Annual and Extraordinary GMS, in Jakarta, Thursday (6/18).

Explained by Bobby, a number of strategic initiatives have been carried out by BNBR management as a surefire strategy to develop its business. One of them is to more intensively encourage the development of the business of non-public subsidiaries engaged in the manufacturing sector. “The inauguration of the coating plant has become an important momentum for the national steel industry and the steel pipe industry in particular. This is the first stage, from our investment plan worth USD 150 million, to develop the Bakrie pipeline industry and supporting products, “said Bobby.

The construction of the coating plant is expected to meet the needs of pipelines for onshore and undersea users, as well as supporting the government’s plan to build a pipeline in the fuel to gas conversion program. Other subsidiaries engaged in the metal industry, and building materials are also prospective, along with the incessant government push for accelerated infrastructure development.

The manufacturing sector, according to Bobby, still has a strong ability to remain a major motorbike, by making a significant revenue contribution to the Company. Three subsidiaries of the Company engaged in the manufacturing sector are PT Bakrie Metal Industries (the holding company of PT Bakrie Pipe Industries), PT Bakrie Autoparts and PT Bakrie Building Industries. Last year, BNBR succeeded in making a profit that could be attributed to the owner of the parent entity, amounting to Rp.153 billion.

New Director

The Company’s Annual General Meeting of Shareholders has also approved the appointment of a new BNBR Finance Director, Amri Aswono Putro replacing Eddy Soeparno who resigned. Amri Aswono Putro was previously the Chief Financial Officer at PT Bakrie Indo Infrastructure, one of the Company’s business units. Amri has gained many experiences and careers in a number of business entities, including at PT Bakrieland Development Tbk, PT Bank Niaga, and PT Bothwell Indonesia.

For further information, please contact:
Media Relations
Bayu Nimpuno
Head of Corporate Communications
bayu.nimpuno@bakrie.co.id

Investor Relations
Indra Ginting
Chief Investor Relations Officer
indra.ginting@bakrie.co.id
www.bakrie-brothers.com