Indocement Tunggal Prakarsa, PT.

Loan-restructuring and investor alliance
Substantial progress developed in our debt restructuring negotiations
having reached an agreement with the Steering Committee as provided
for on the "term sheet". The detailed implementing terms and
conditions have been presented to all creditors to obtain their
concurrence. Once approved by the creditors and the Company,
implementing the terms of the restructuring arrangement will, in time,
bring the Company back to a stronger financial position while
enhancing its readiness to face competition.
Negotiations to forge an alliance with foreign investors are nearing
completion. The successful completion of this initiative complements
our strengthened financial position and enhances our capability to
optimize exports.
Y2K Update
Transition to the New Millennium has been smooth and free from
Y2K problems. Our Y2K preparedness ensured the continuity of our
operation, the dependability of our record and the reliability of our
reporting systems. A number of other projects have been lined up to
improve our internet and intranet connections and make necessary
information readily available to intended users.
The implementation of the cement production online system from raw
mill to packaging pertaining to our 11 plants located at Citeureup and
Cirebon was successfully completed. We have made enhancements and
modifications to suit the unique nature of each plant, integrated to our
existing computer systems.
The system provides online hourly update monitoring and viewing of
cement operations, including the raw material consumption using a
standard formula and can be accessed directly by Head Office. It also
provides an hourly update of stock information of all cement plants
and cement terminals.
I N D O C E M E N T A N N U A L R E P O R T 1 9 9 9 R e p o r t t o S h a r e h o l d e r s
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