MONTHLY
NEWSLETTER
October 2008 Issue
Important Notice
o PT Sampoerna Agro Tbk share buyback program
On October 11, 2008 the Company decided to buyback its shares based on Bapepam and LK Regulation No. XI .B.3, as per the Company’s notification to the capital market authorities. The buyback program would be exercised within 3 months, starting from October 13, 2008 until January 12, 2009. The Company allocated a maximum of I DR 475 billion from its retained earnings to support the share buyback program.
Under the program, the Company could repurchase up to 20% of the total issued and paid-up capital. The Company plans to keep the repurchased shares as treasury stock for a period up to three years but it could sell the repurchased shares back to the market at the buyback price or higher provided that it is done at least 30 days after the program is completed. During the period as treasury stock, the shares could neither be used as voting rights nor received dividends.
The buyback is to give some flexibility for the Company to attain a more efficient capital structure in the form of higher EPS and ROE, help stabilized Company’s stock price reducing its short-term volatility, and provide some flexibility for the Company to make use its excess free cash flow. The program is executed given the current high volatility of I ndonesian Stock Exchange, Company’s excess free cash flow, and its net cash position (healthy balance sheet).
Corporate Details
o Production data is as follows:
Consolidated Unit Jan 08 Feb 08 Mar 08 Apr 08 May 08 Jun 08 Jul 08 Aug 08 Sep 08 YTD 08
FFB ‐ Sumtra tons 133,977 81,993 70,762 76,480 81,674 69,634 46,909 60,348 90,461 712,237 FFB ‐ Klmtn tons 16,469 13,320 14,585 16,702 17,280 16,518 12,009 9,081 6,016 121,979
CPO tons 34,074 21,734 18,541 20,223 21,779 18,647 12,884 13,965 19,708 181,555
P.Kernel tons 9,788 8,477 6,259 5,159 5,277 4,620 3,133 3,337 5,012 51,063 G.Seeds '000 seeds 1,535 1,745 1,819 2,208 1,809 1,727 2,218 2,402 2,748 18,211 Rubber tons 47 31 57 28 58 31 59 51 25 387 note: Not all FFB was processed by palm oil mill within the same month it was harvested
o Average net selling price data is as follows:
Consolidated Unit Jan 08 Feb 08 Mar 08 Apr 08 May 08 Jun 08 Jul 08 Aug 08 Sep 08 YTD 08
CPO Rp/kg 7,594 7,794 8,520 7,820 8,434 8,635 8,115 7,036 5,311 7,810 P.Kernel Rp/kg 3,613 4,355 4,754 4,478 4,830 4,481 3,810 3,425 3,086 4,152 G.Seeds Rp/seed 3,938 3,984 4,287 4,518 4,660 4,854 5,294 5,462 5,948 4,869 Rubber Rp/kg 12,574 13,032 13,424 13,100 13,804 15,100 15,409 14,678 14,300 13,983
o Sales data is as follows:
Consolidated Unit Jan 08 Feb 08 Mar 08 Apr 08 May 08 Jun 08 Jul 08 Aug 08 Sep 08 YTD 08
CPO Rp bn 274.38 249.93 199.60 137.52 211.80 204.88 131.19 71.22 86.56 1,567.10
P.Kernel Rp bn 33.87 31.85 36.19 20.23 33.03 23.29 11.94 6.20 18.75 215.35
G.Seeds Rp bn 4.86 5.76 6.13 7.99 7.03 6.56 9.89 8.95 13.50 70.66
Rubber Rp bn 0.59 0.40 0.77 0.37 0.79 0.47 0.91 0.75 0.36 5.41
Total Sales Rp bn 313.71 287.94 242.69 166.11 252.67 235.20 153.94 87.11 119.16 1,858.53
CPO spot price VS SGRO stock price
2,000 2,200 2,400 2,600
1‐Sep 3‐Sep 5‐Sep 9‐Sep 11‐Sep 18‐Sep 22‐Sep 24‐Sep 26‐Sep
MY
R
1,500 1,700 1,900 2,100 2,300 2,500
ID
R
MPOB (MYR) SGRO (IDR)
PT.
Sampoerna
Agro
Tbk.
Sampoerna Strategic Square, Tower A, 28th Floor investor.relations@sampoernaagro.com
JL. Sudirman Kav. 45, Jakarta 12930, Indonesia http://www.sampoernaagro.com
