In accordance with Bapepam and LK Regulation No. IX.E.1 regarding Affiliated Transaction and Conflict of Interest on Certain Transaction, on May 18, 2016, the Company agreed to provide loan facility to PT SKS Listrik Kalimantan, Company’s indirect subsidiary, with amount up to Rp.100,000,000,000 (one hundred billion Rupiahs). The loan facility is provided for 5 years. The loan interest is 10.5% per annum, subject to further review from time to time.

The main purpose of the loan facility is to support the working capital of PT SKS Listrik Kalimantan.