Jakarta, August 18, 2008, Jasa Marga President Director Ir. Frans S. Sunito  signed a Memorandum of Understanding with the stockholders of PT Marga Nujyasumo Agung (MNA) on August 17, 2008 in connection with the former’s plan to increase Jasa Marga’s ownership in PT MNA to 55% (fifty-five percent). Currently Jasa Marga’s ownership in the MNA consortium stands at 1.7%. PT MNA is the company holding the concession rights of the Surabaya-Mojokerto (Sumo) Toll Road.

According to Frans Sunito, ”This MOU is one of Jasa Marga’s measures to reflect the company’s commitment to contribute toward the realization of a Trans Java toll road. In line with Jasa Marga’s policy, the company must become the majority stockholder in every toll road consortium, and it is vital that the financial feasibility of such projects is adequate to enable pay back of the investment made.” 

In the MOU it was further detailed that all parties agree that prior to the transaction a financial and legal due diligence be performed. ”The process shall then be subject to the evaluation result of the due diligence and all acquisition procedures shall be carried out in compliance with existing rules and regulations,” added Okke Melina, Jasa Marga Corporate Secretary.

The parties further agreed to apply and obtain government approval of the change in MNA stockholder composition, to ensure the successful completion of the Surabaya-Mojokerto Toll Road, which shall include providing a Land Capping guarantee and a Rolling Funds facility to support the land acquisition process.

Trans Java
The Surabaya-Mojokerto Toll Road is part of the Trans Java toll road network. At a later stage this 36 kilometer toll road will be integrated with the Surabaya-Gempol toll road currently operated by Jasa Marga, and the Gempol-Pasuruan toll road, for which preparations are under way for its construction in cooperation with the local government of East Java Province and that of the Pasuruan Regency.  According to plans, this toll road will be ready for operation by 2010.

Improving Performance of PT Jasa Marga Tbk.
During the first half of 2008 PT Jasa Marga (Persero) Tbk. listed at the stock exchange under ticker code JSMR,  recorded an increase in revenues of 40% or equal to Rp 1.626 trillion compared to JSMR’s revenues during the first of 2007 which amounted Rp 1.165 trillion.

“The company’s performance during the first semester of 2008 has [by far] exceeded our expectation, and we are optimistic that the 2008 performance targets can be achieved,” says Okke Merlina.

Presently Jasa Marga is focusing on the construction of five new toll road projects for which it owns the concession rights, namely the Bogor Ring Road, Semarang-Solo, Gempol-Pasuruan, Cengkareng-Kunciran and Kunciran–Serpong, as well as one project which is the finalization  of the Jakarta Outer Ring Road (JORR), namely the section JORR W 2 North (Ulujami-Kebun Jeruk).

Revenues from those toll road sections will contribute to adding approximately 30% to the total length of about 500 kilometer toll roads currently in operation under Jasa Marga’s management.  At the same time they will improve the corporation’s performance and worth over the next five years.

As the first toll road company in Indonesia with over 30 years experience in the construction and management of toll roads, Jasa Marga is now the leader in the toll road industry in Indonesia.

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