September 27, 2002 3:38:45 PM
Gajah Tunggal Books Rp 1.92T Net Income In First Half

PT Gajah Tunggal in the first half of 2002 recorded a net income of Rp 1.92T, up from Rp 1.6T a year earlier, director Mulyati Gozali told the Jakarta Stock Exchange (JSX).

The company during the period swung to a forex gain of Rp 2T from a loss of Rp 2.26T in the same period last year. Meanwhile, its extraordinary items post contributed Rp 311.08B to its net income.

The car tire maker's success was attributed mainly to the completed restructuring of its US$360M in syndicated debt and US$168M in billateral loan.

After the restructuring, the corporation obtained floating rate note (FRN) issuing scheme. The US$320M worth of FRNs carry an interest rate of 2%-3% above SIBOR and are due in six years.

Moreover, Gajah Tunggal also obtained approval from its creditors to allocate US$146M in cash for its production increase. The agenda was realised after half of its foreign debt restructuring process was completed.