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Kebon Sirih 6A Central Jakarta as confiscated assets. KIE is engaged in planning, construction, and its development, and leasing industrial area include its supporting facilities. KDM is engaged in maintenance and operation of electricity power supply and steam power in Bontang Industrial Area. The Company is engaged in the production of fertilizer and ammonia.
- It was assumed that the urea price for 2014 would be in the range of USD325-USD385 while ammonia price would range between USD440-USD550 per ton.
- Impairment of Financial Assets At the end of each reporting period the Company and subsidiaries assess whether there is objective evidence that a financial asset or group of financial assets is impaired.
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The loss of employees in the near future due to retirement The increase of Simontok the production capacity to support the business growth brought an implication to Pupuk Kaltim. The Company must prepare all of itsвЂ™ resources to support that plan, one of which were the human resources both quantitatively and the competence-wise. The policy related to the human resources in the past would cause a large implication if not being addressed. The loss of great number of employees would create a shortage in labr to support the companyвЂ™s development in the future. One of the problem was that the tacit knowledge of senior employee were not yet documented by the company nor being learned by the newer employees. Evaluation of Internal Control System The Company is continuously evaluating the effectiveness of the internal control system through internal auditor .
The return on paid-in capital portion of the Company amounting to Rp29,180,000,000. On December 28, 2009, through the decision letter No. 1145B/DU-Jkt/XII.2009, the Company recommended the Board of Commissioners not to follow restructuring program of KSB proposed by KSB Management. The Company re-evaluated thoroughly and concluded that KSB Project is economically improper to continue. In its capacity as utilities, services, and supporting facilities provider in Bontang industrial area, the Company will continue to support the operation of KSB Plant based on the capability and agreement condition.
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Enhance awareness on risk culture in day-to-day work to make it integral part of the CompanyвЂ™s business practices and decision making. Embrace Risk Management as a basis for risk-based budgeting to exercise any business process effectively and efficiently. Make the result of identification, analysis, evaluation, and addressing of risk as a basis for examination and supervision to improve performance and accountability. Problems of accounting and internal control over financial reporting which could potentially result in a material misstatement in the financial statements. Violation of regulations relating to the administration of the Company.