Citatah’s Debt Restructure Impeded
Bisnis Indonesia, page B2, 2006-10-07
Marble manufacturer PT Citatah Tbk’s US$ 10 million debt restructure to its ten creditors was impeded due to continuing valuation process by PT Perusahaan Pengelola Aset, despite the fact that 8 out of the 10 creditors have signed a master restructuring agreement (MRA) to convert the debt to stocks. A number of the creditors have agreed to eliminate US$ 3.5 million out of the total debt. The delay in the restructuring process has led to the delay of the US$ 4 million secured convertible bond (SCB) emission, which has been approved by PT Parallax Venture Partners Ltd. XIII. Due to the delay, Citatah is unable to acquire the fund needed for capital expenditure to recondition mining equipment (US$ 1 million) and increase production and sales (US$ 3 million). Furthermore, Parallax plans to infiltrate Citatah’s board of shareholders by purchasing a US$ 4 million convertible bonds. With the purchase, Parallax will hold 50.1 percent of Citatah’s share and dilute the share portion of other shareholders. Per semester I/2006, Citatah booked Rp.61 million of net profit. If the debt restructure and bond conversion were implemented, the needs for basic materials can be fulfilled whilst sales can be increased by 50 percent.

PT Citatah to Issue Convertible Bonds
www.tempointeraktif.com, 2004-09-27
Marble company PT Citatah Tbk plans to issue convertible bonds worth US$ 4 million that matures in 5 years. The bonds are to be issued in early 2005. The fund will be used to repair mining equipment (US$ 1 million) and also support production and sales (US$ 3 million). Citatah underwent a shortage of work capital to improve mining activities. Per June 2004, the company booked Rp.34.9 billion in sales, which was lower that the Rp.45.1 billion obtained during the same period in 2003. This semester, the company booked a loss of Rp.23.1 billion.