Kementerian Badan Usaha Milik Negara or the Ministry of State-Owned Enterprises of the Republic of Indonesia. A generic term commonly used to refer to the delivery of audio, video and other media over the Internet without the involvement of a multi-system operator in the control or distribution of the content.
IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISORS Not applicable
In addition, all statements other than statements of historical fact included in this Form 20-F are forward-looking statements. Forward-looking statements in this Form 20-F relate only to events or information as of the date the statements are made herein.
OFFER STATISTICS AND EXPECTED TIMETABLE Not applicable
Although we believe that the expectations reflected in the forward-looking statements herein are reasonable, we can give no assurance that such expectations will prove to be correct. These forward-looking statements are subject to a number of risks and uncertainties, including changes in the economic, social and political environments in Indonesia.
KEY INFORMATION
SELECTED FINANCIAL DATA
Following the dissolution of the PKLN Team in accordance with Presidential Regulation No. 82 of 2020, we are no longer required to obtain the approval of the PKLN Team to take commercial foreign loans. Following the disbandment of the NCLP Team and pending the issuance of relevant implementing regulations, there is uncertainty regarding the MoF approval process and how periodic reports on foreign commercial loans will be handled.
CAPITALIZATION AND INDEBTEDNESS Not applicable
However, based on Presidential Decree No. 59 of 1972, we are still required to obtain an approval from the MOF before taking out foreign commercial loans. We are also required to submit periodic reports to the MOF during the course of such foreign commercial loans.
REASON FOR THE OFFER AND USE OF PROCEEDS Not applicable
For example, only banks are authorized to deal in foreign exchange and carry out exchange transactions related to the import and export of goods. In addition, Indonesian banks (including branches of foreign banks in Indonesia) are required to report any money transfer above US$10,000 to Bank Indonesia.
RISK FACTORS
Any of the foregoing could adversely affect our business, prospects, financial condition and results of operations. Any of the foregoing consequences could materially and adversely affect our business, financial condition, results of operations and prospects.
INFORMATION ON THE COMPANY
HISTORY AND DEVELOPMENT OF THE COMPANY Profile of Telkom Indonesia
In December 2016, we completed the construction of the Southeast Asia-Middle East-Western Europe 5 (SEA-ME-WE-5) submarine cable systems. In December 2018, we completed the construction of the Indonesia Global Gateway (IGG) submarine cable, which connects two major submarine cable systems: the Southeast Asia-Middle East-West Europe 5 (SEA-ME-WE 5) and the Southeast -Asia - United States (SEA-US) Submarine cable systems.
BUSINESS OVERVIEW Strategy
MoCI Decree No.948 of 2016 (on license to operate circuit switched local fixed line network). MoCI Decree No.620 of 2020 (on the correct amount and payment date for radio frequency spectrum usage fees in the tenth year for radio frequency band licensing for the operation of cellular mobile networks on the 800 MHz, 900 MHz and 1800 MHz radio frequency Bands by PT Telekomunikasi Selular);.
ORGANIZATIONAL STRUCTURE
Our enterprise customer facing unit is responsible for relationships and interactions with small to medium enterprises, government institutions and corporate customers. Our Digital Services Customer Facing Unit is responsible for supporting digital services for all our customers.
PROPERTY AND EQUIPMENT AND RIGHT OF USE OF ASSETS
Section 219 of the Iran Threat Reduction and Syria Human Rights Act of 2012 added Section 13(r) to the Exchange Act. As of the date of this report, we are not aware of any activity, transaction or transactions by us or any of our affiliates in 2020 that require disclosure in this report under Section 13(r) of the Exchange Act, except as set forth below. .
OPERATING AND FINANCIAL REVIEW AND PROSPECTS
OPERATING RESULTS Overview
The increase was primarily due to an increase in the number of fixed broadband subscribers from 7.0 million per 31 December 2019 to 8.0 million per 31 December 2020. This decrease was primarily due to a number of projects that were delayed as a result of the Covid-19 pandemic.
LIQUIDITY Liquidity Sources
We had external liquidity from loans and other borrowings of Rp64.722 billion as of December 31, 2020. We expect that our working capital requirements will continue to be addressed through various funding sources, including cash from operating activities, bank loans and potential offerings of debt securities in the capital markets.
RESEARCH AND DEVELOPMENT, PATENTS AND LICENSES, ET
These amounts are adjusted for the effects of discounting and of the practical tools available under the transitional guidance for IFRS 16 that we have chosen. As one of the main broadband Internet service providers in Indonesia based on the number of subscribers and coverage, especially through our retail high-speed Internet provider, IndiHome, we have researched endpoint security, including Internet Protocol version 6 (IPv6).
TREND INFORMATION
Government measures such as those described above have had a significant impact on economic activity and we expect this to result in a decline in revenues in various business segments. Our measures include managing load and network configurations to accommodate changes in traffic patterns, stabilizing the supply chain to ensure sufficient capacity, and providing support to customers in addressing their growing demand for work collaboration, learning activities and entertainment.
OFF-BALANCE SHEET ARRANGEMENTS
We have seen lock-down measures, including travel restrictions and working from home, increase the use of our fixed and mobile broadband services as businesses and consumers conduct more online activities and transactions. However, we expect that the slowdown in overall economic growth will have an effect on our operating result and financial position in the long term, and we are in the process of implementing measures to counter any changes in consumption.
TABULAR DISCLOSURE OF CONTRACTUAL OBLIGATIONS
We believe that consumer and mobile services can prove resilient even in the context of economic downturn.
SAFE HARBOR
DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES
- COMPENSATION
- BOARD PRACTICES
- EMPLOYEES
- SHARE OWNERSHIP
Our Board of Directors is responsible for our overall management and day-to-day operations under the supervision of the Board of Commissioners. The Board of Commissioners must hold joint meetings with the Board of Directors at least once every three months.
RELATED PARTY TRANSACTIONS
We are party to certain agreements and enter into transactions with certain parties related to us, such as cooperatives and foundations. Such parties include the government and entities related to or owned or controlled by the government, such as other state-owned enterprises.
INTEREST OF EXPERTS AND COUNSEL Not applicable
FINANCIAL INFORMATION
CONSOLIDATED STATEMENTS AND OTHER FINANCIAL INFORMATION
Dividend amount per payout ratio Dividend share per share Dividend year AGM date (%)(1) (Rp million) Dividend (Rp). 1) Represents the percentage of profit that can be attributed to the owners of the controlling company and is paid out to shareholders in the form of dividends. According to the AGM held on June 24, 2020, Telkomsel approved the payment of cash dividends of Rp 25,154 billion, which represented 97.5% of Telkomsel's net profit in 2019.
SIGNIFICANT CHANGES
- PLAN OF DISTRIBUTION Not applicable
- MARKETS
- SELLING STOCKHOLDERS Not applicable
- DILUTION Not applicable
- EXPENSES OF THE ISSUE Not applicable
Auctions on IDX in the regular market and cash market take place according to price and time priorities. Transactions on the IDX cash market must be settled on the transaction day (T+0) and reported to IDX.
MEMORANDUM AND ARTICLES OF ASSOCIATION Description of Articles of Association
The salaries and allowances of the members of the board of commissioners are determined by the general meeting of shareholders. Under Indonesian company law, any dismissal (with or without cause) of a member of the board of directors must be approved by a general meeting of shareholders.
MATERIAL CONTRACTS
EXCHANGE CONTROLS
TAXATION
The holder receives with respect to the ADSs or ordinary shares in any taxable year, in excess of 125% of the average annual distributions that such U.S. Holder would be required to allocate any excess distribution or gain on the disposition of the ADSs or ordinary shares over such U.S.
DIVIDENDS AND PAYING AGENTS Not applicable
A payer is required to withhold tax on all payments of dividends on, or the proceeds from, the sale or redemption of ADSs or ordinary shares in the United States or by a US. It is not intended to be a complete analysis of all tax considerations applicable to an investment in ADSs or ordinary shares.
STATEMENT BY EXPERTS Not applicable
Information reporting will generally apply to payments of dividends on and to proceeds from sales or redemptions of ADSs or ordinary shares made in the United States or by a United States holder. possible application to the holding of the ADSs or ordinary shares.
DOCUMENTS ON DISPLAY
- SUBSIDIARY INFORMATION Not applicable
Holder fails to provide its correct taxpayer identification number or otherwise fails to comply with, or establish an exemption from, such backup withholding tax requirements. Holders may be required to disclose information regarding such holder's interest in "specified foreign financial assets" (as defined in Section 6038D of the Code), including stock of a non-U.S.
QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK
As of December 31, 2020, approximately 61.4% (based on total outstanding principal) of our total bank borrowings were variable rate loans. For additional information on the maximum credit risk exposure of our financial assets as of December 31, 2020, please refer to Note 35.b.iv to our Consolidated Financial Statements.
DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES American Depositary Shares
ADR Holders' Right to Inspect Depositary's Books and List of ADR Holders. The shares will then be deposited and the depositary will execute and deliver the ADRs to the ADR holder.
DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES There are no defaults, dividend arrearages and delinquencies to which this Item applies
Neither we nor the depositary has any obligation to engage in any suit or other proceeding with respect to the ADRs or the Deposit Agreement on behalf of the ADR Holders or on behalf of any other person, unless we or the depositary, where appropriate, we have been satisfactorily indemnified against all costs and liabilities. Neither we nor the Depositary shall be liable for any of our or the Depositary's actions or omissions in reliance on advice or information from legal advisors, accountants, any person submitting shares for deposit, any ADR holder or any other person to us or the Depositary believed in good faith that it was competent to give such advice or information.
MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS
CHECKS, DIVIDEND CHECKS AND DELIVERANCE There are no delinquencies, dividend arrears and delinquencies to which this article applies.
CONTROLS AND PROCEDURES
- DISCLOSURE CONTROLS AND PROCEDURES
- MANAGEMENT'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING Management is responsible for establishing and maintaining adequate internal control over financial reporting,
- ATTESTATION REPORT OF THE REGISTERED PUBLIC ACCOUNTING FIRM
- CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING
- OVERVIEW OF INDONESIAN LAW
- COMPOSITION OF INDEPENDENT BOARD OF DIRECTORS AND BOARD OF COMMISSIONERS
- COMMITTEES
- DISCLOSURE REGARDING CORPORATE GOVERNANCE
- CODE OF BUSINESS CONDUCT AND ETHICS
The Indonesian Companies Act does not require Indonesian public companies to form any of the committees described in the NYSE Listing Standards. Not all members of our Audit Committee are independent directors as required by Rule 10A-3 of the Exchange Act.
FINANCIAL STATEMENTS See pages F-1 through F-142
EXHIBITS
Pursuant to the requirement of Section 12 of the Securities Exchange Act of 1934, as amended, the Registrant hereby certifies that it complies with all the requirements for the filing on Form 20-F and that it has duly caused and authorized the undersigned to file this Form 20 to sign. -F on his behalf.
Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk
For each of the three years in the period ending 31 December 2020 (Amounts in the tables expressed in billions of Indonesian Rupiah). For each of the three years in the period ending 31 December 2020 (Amounts in the tables expressed in billions of Indonesian Rupiah).
