INTRODUCTION TO THE INDONESIAN

MARKET

Frankfurt, 13 November 2007

Andy N. Purwohardono
President Director
PT Danareksa Sekuritas
 Future Projections

GDP Projection
2005 US$ bn
60,000

50,000
2005 2025 2050
40,000

30,000

20,000

10,000

Russia

France
Japan
US

Canada
Germany
UK
China

Brazil

Indonesia
India

Italy
Source: Goldman Sachs

The economic landscape is likely to change in the next 50 years

 Improving Macro Condition

(%) Interest Rates and Inflation

60
15 20

18
50
12 16

40 14
US$ Bn

9 12
30 10

6 8
20
6

10 3 4

2
0 0 0
2004 2005 2006 2007 (October) Jul-05 Sep-05 Nov-05 Jan-06 Mar-06 May-06 Jul-06 Sep-06 Nov-06 Jan-07 Mar-07 May-07 Jul-07 Sep-07
SBI 1M % YOY Inflation

Source: Indonesia Central Bank, Bloomberg Source: BPS and Danareksa Research Institute
 0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
5
5.5
6
6.5

31/01/2002

31/05/2002

30/09/2002

31/01/2003
Thailand
Malaysia

Shanghai
Indonesia

Singapore

30/05/2003
Philippines
Hong Kong

30/09/2003

Source: Bloomberg, Danareksa Sekuritas

30/01/2004
JCI vs Regional Indices

31/05/2004

30/09/2004

31/01/2005

31/05/2005

30/09/2005

31/01/2006

31/05/2006

29/09/2006

31/01/2007

31/05/2007

28/09/2007
Our 5 Outstanding Companies
PT Bhakti Investama Tbk (BHIT)
PT Sentul City, Tbk (BKSL)
PT Multistrada Arah Sarana, Tbk (MASA)
PT Timah, Tbk (TINS)
PT Surya Semesta Internusa, Tbk (SSIA)
Full Service Investment Bank

Investment
Investment
Research
Research
Banking
Banking
¾ Bond & Equity ¾ Fixed Income
Underwriting ¾ Equity
¾ Merger & Acquisition
¾ Economic
¾ Corporate Finance
¾ SOE
Debt Advisory
Debt Capital
Capital Equity
Equity Capital
Capital
Market
Market Market
Market
¾ Trading ¾ Trading
¾ Brokerage ¾ Brokerage

Investment
Investment Treasury
Treasury
Management
Management
¾ Fund Management ¾ Currency Trading
¾ Product ¾ Currency
Development Wealth
Wealth Derivatives
¾ Retail Distribution Management
Management ¾ Futures Brokerage

¾ Investment
Advisory
¾ Financial Planning

5
 Highly Awarded from Local and International Institution

“Indonesian Best Investment Bank” 2007

“Indonesian Best Equity House” 2007
“Indonesian Best Broker” 2007 ““The Best Domestic Equity House in Indonesia” 2007
“The Best Equity House in Indonesia” 2006 ”The Best Investment Banking” 2007
“The Best Local Brokerage in Indonesia” 2005 ”The Best Equity House” 2007
”The Best Domestic Equity House” 2005 ”The Best Bond House” 2007
“The Best Local Equity House & Brokerage” 2004 ”The Best Bond House” 2006
”The Best Sales Person in Indonesia” 2004 ”The Best Equity House” 2005
“The Best Equity House in Indonesia” 2003 “The Best Local Investment Bank in Indonesia” 2003
“The Best Local Investment Bank and 2002
“SSX Most Active Underwriter” 2007 Broker in Indonesia”
“SSX Most Active Equity Broker” 2004

“No.1 in Underwriter League Tables for IDR Bond” 2007

“No.1 in Underwriter League Tables for Domestic IPO” 2007 “The Best Investment Banking in Indonesia” 2005
“No.1 in Underwriter League Tables for IDR Bond” 2006 “The Best Debt House in Indonesia” 2002
“Best Domestic M&A House in Indonesia” 2000
“Indonesia’s No.1 Broker” 2005 “The Best Domestic Securities House/ 2000
Investment Bank”

“The Best Securities House “ 2004

Indonesia’s Most Admired Companies 2003 & 2005
“JSX Best Securities Company” 2004 “The Best in Building Corporate Image”
“JSX Member of the Year” 2003
“The Best in Transaction Activity” 2003
“The Best in Franchising Program” 2003
“The Best in Number of Issuances” 2003 “Top 5 in Financial Soundness in Indonesia” 2003 “The Most Active Brokerage House” 2003

6
Danareksa IPO Transactions in 2007
Largest IPO
Post Crisis
for Private
Company

PT Media Nusantara Citra Tbk. PT Sampoerna Agro Tbk. PT Perdana Gapuraprima Tbk.

Rp 3,713 billion Rp 1,080 billion Rp 298 billion

Initial Public Offering Initial Public Offering Initial Public Offering

Joint Lead Underwriter Lead Underwriter Joint Lead Underwriter

June 2007 June 2007 October 2007

Joint Lead Underwriter

Largest
Indonesian
Property IPO

PT Ciputra Property Tbk. PT Jasa Marga Tbk. During 2007, Danareksa

Rp 2,107 billion Rp 3,468 billion
has underwritten 5 IPOs
Initial Public Offering Initial Public Offering

Lead Underwriter Joint Lead Underwriter amounting to Rp10.7tn

November 2007 November 2007 (US$1.2bn)
 And Always In The Top Position Among Domestic
Houses
Equity
Equity Trading
Trading (1Q
(1Q 2007)
2007) Equity
Equity Trading
Trading (2006)
(2006)
Top 10 Domestic Equity House Rp (billion) Top 10 Domestic Equity House Rp (billion)
#1 1. Danareksa Sekuritas 13,353 #1 1. Danareksa Sekuritas 43,747
2. Trimegah Securities 12,496 2. Bahana Securities 28,820
3. Bahana Securities 9,532 3. Trimegah Securities 27,034
4. Harumdana Sekuritas 6,031 4. Mandiri Sekuritas 19,553
5. Ciptadana Sekuritas 5,974 5. Ciptadana Sekuritas 18,364
6. Caturpilar Investama 4,536 6. Valbury Asia Securities 12,983
7. Mandiri Sekuritas 4,467 7. Danatama Makmur 12,539
8. Ciptamahardhika 4,079
8. Lautandhana Securindo 11,254
9. Valbury Asia Securities 2,529
10. Sarijaya Permana Sekuritas 2,215 9. Sarijaya Permana Sekuritas 10,837
Source: JSX Source: JSX

Equity
Equity Trading
Trading (2005)
(2005) Equity
Equity Trading
Trading (2004)
(2004)
Top 10 Domestic Equity House Rp (billion) Top 10 Domestic Equity House Rp (billion)
1. Danareksa Sekuritas
1. Bahana Securities 109,483* #1 32,792
#2 2. Danareksa Sekuritas 35,664 2. Trimegah Securindo Lestari 19,482
3. Trimegah Securindo Lestari 20,956 3. Bahana Securities 12,137
4. Mandiri Sekuritas 18,875 4. Ciptadana Sekuritas 12,047
5. Ciptadana Sekuritas 17,800 5. Mandiri Sekuritas 11,089
6. Caturpilar Investama 13,257 6. Valbury Asia Sekuritas 7,945
7. Lautandhana Securindo 12,910 7. Lautandhana Securindo 7,808
8. Indo Pasific Investama 12,261 8. Investindo Nusantara Sekuritas 7,795
9. Sinarmas Sekuritas 9,963 9. Mahakarya Artha Securities 7,619
10. Investindo Nusantara Sekuritas 9,125 10. Bhakti Capital Indonesia 7,123
Source: JSX Source: JSX
* Including the one time share crossing transaction of Sampoerna (IDR 91 trillion)
Bond Underwriting in 2007
During 2007, Danareksa acted as the Joint Lead Underwriter in 13 Rupiah bond
transactions amounting to Rp27.9tn (US$3bn) and a USD bond transaction worth
US$1bn.
PEG AD AI AN

PT Danareksa Perum Pegadaian PT BFI Finance PT Trimegah

(Persero) Indonesia Tbk SecuritiesTbk
Bond II Bond XII Bond I Bond II
Rp 500 billion Rp 600 billion Rp 200 billion
Rp 300 billion
Joint Lead Underwriter Joint Lead Underwriter Joint Lead Underwriter Lead Underwriter
2007 2007 2007 2007

PT Perusahaan Listrik PT Pembangunan Jaya PT Indosat Tbk PT Perusahaan Listrik

PT Duta Pertiwi Tbk Negara (Persero) Negara (Persero)
Ancol Tbk
Bond V Global Bond II Bond I Bond V and Sukuk II Bond IX and Sukuk II
Rp 500 billion USD 1 billion Rp 200 billion Rp 3 trillion Rp 3 trillion
Joint Lead Underwriter Joint Lead Underwriter Lead Underwriter Joint Lead Joint Lead Underwriter
Underwriter
2007 2007 2007 2007 2007

PT Wahana Ottomitra PT Indofood Sukses PT Excelcomindo PT Tunas

PT Mobile-8 Telecom Tbk
Multiartha Tbk Makmur Tbk Pratama Financindo Sarana
Bond II Bond IV Bond I
Bond IV Bond IV
Rp 1.5 trillion Rp 600 billion Rp 675 billion
Rp 1 trillion Rp 2 trillion
Joint Lead Underwriter Joint Lead Underwriter Joint Lead Underwriter Joint Lead Underwriter Joint Lead Underwriter
2007 2007 2007 2007 2007
The Most Comprehensive Research
EQUITY
EQUITY MARKET
MARKET RESEARCH
RESEARCH
ƒ Won international acclaim for its Indonesia Equity Compendium series and its special
coverage on Indonesian banks, among numerous other research reports on individual
companies.
ƒ Provides comprehensive research coverage of Indonesian private and public companies.
ƒ Publishes investment reports on individual company and business sector quarterly and
annually which are distributed widely to customers, investors, fund managers and
interested public.
BOND
BOND MARKET
MARKET RESEARCH
RESEARCH
ƒ Danareksa’s fixed income research team has been instrumental in Danareksa’s success as
arranger and trader of debt-related instruments.
ƒ Danareksa publishes high-quality fixed income investment reports quarterly and annually.
Also produced are weekly reports and corporate update, that are distributed widely to
customers, investors, fund managers and interested public.

ECONOMIC
ECONOMIC &
& SOE
SOE RESEARCH
RESEARCH
ƒ Danareksa Research Institute produces economic research reports, which is among the
most sought-after in Indonesia.
ƒ Danareksa’s economists write newspaper articles regarding economic issues on a regular
basis in leading Indonesian newspapers.
ƒ Danareksa has established a strong research team to collect data and cover development of
Indonesian State Owned Enterprises
10
 THANK YOU

Contact:
andy@danareksa.com
sebastian@danareksa.com