Post on 04-Apr-2019
Jl. Raya Rungkut 15-17 Surabaya 60293 Surabaya
Phone.. 62-31-8700088 (hunting), Fax. 62-31-8705212
Email. Kedawung@sby.centrin.net.id
ANNUAL REPORT
PT. KEDAUNG INDAH CAN Tbk.
In billion Rupiah, except for Basic Earnings ( Loss ) per Share andnumber of outstanding Shares
Financial Highlight
*) Income per Share are cmputed by dividing income by the weighted-average number of shares outstanding
Net Sales Table
2010 2011 2012 2013 2014
Comprehensive Income (Loss) Table
3.26
0.36
2.26
7.42
4.70
10
-10
5
-5
2010 2011 2012 2013 2014
80.7987.52
94.79
99.03102.97
01
80.7987.5294.7999.03102.97
85.9487.4294.9698.396.75
3.260.362.267.424.70
138,000,000138,000,000138,000,000138,000,000138,000,000
8.4411.6014.5323.8420.53
22.0023.1228.4024.3218.07
46.8248.3649.1555.2856.8
(2.54)0.043.1211.396.49
63.9464.3066.5673.9878.68
23.622.5916.3753.7634.08
Net Sales
Gross Profit
Operating Profit
Comprehensive Income ( Loss )
Net Equity
Total Asset
Total Liabilities
Equity
Total Shares
Net Profit per Share
Information 20102011201220132014
PT. KEDAUNG INDAH CAN Tbk.
Financial Ratio2011201220132014Information
8.338.314.383.98Net Sales
13.2515.3325.1519.94Gross Profit Ratio
0.064.6917.118.25Gross Profit to Equity
7.264.804.807.90Current Ratio
Financial Ratio (%)
Operation Ratio (%)
Growth Ratio (%)
(89.06)533.37228.39(36.66)Comprehensive Income ( Loss )
37.4325.2964.09(13.88)Gross Profit
0.043.2912.026.30Operating Profit Ratio
0.553.3911.155.97Return to Equity
0.360.430.330.23Debts to Equity
1.728.623.52(1.58)Total Assets
101.528,006.12265.03(43.02)Operating Profit
0.412.387.834.56Comprehensive Income ( Loss ) Ratio
0.412.387.554.86Return to Assets
0.260.300.250.19Debts to Total Assets
0.563.5111.156.35Equity
2010
(2.68)
10.44
(3.97)
7.34
162.51
24.08
(3.14)
5.10
0.34
1.98
39.06
4.03
3.79
0.26
(5.37)
Share Information
2014
2013
314
310
250
190
635,000
1,000,500
43,332,000,000
42,780,000,000
34,500,000,000
26,220,000,000
300
210
261
168
683,500
19,000
41,400,000,000
28,980,000,000
36,018,000,000
23,184,000,000
300
300
261
172
342,700
1,146,500
41,400,000,000
41,400,000,000
36,018,000,000
23,736,000,000
299
385
260
191
374,100
17,327,000
41,262,000,000
53,130,000,000
35,880,000,000
26,358,000,000
Year QuarterlyHarga Saham
Highest HighestLowest LowestShare Volume
Kapitalisasi Pasar *
*) in Indonesia Rupiah
02
PT. KEDAUNG INDAH CAN Tbk.
Date of Establised st11 January 1974
Share Holders
Share Holders which own 5% or more
and also became
the Company's Management
PT Kedawung Subur 60.195.140 saham 43.62%
DK Lim & Sons Investment Pte. Ltd. 43.332.000 saham 31.40%
Agus Nursalim 6.348.000 saham 4.60%
Philip Lam Tin Sing 380 saham 0.00%
Djoni Sukohardjo 312.700 saham 0.23%
Masyarakat 27.811.780 saham 20.15%
Board of Commissioners Affiliated
President Commissioner Philip Lam Tin Sing Share Holders of DK Lim & Sons Investment Pte. Ltd.
Commissioner Djoni Sukohardjo -
Commissioner Eli Rosiana, SE. -
* as Independent Commissioner
The legal basis for the appointment of the Board of Commissioners in accordance Annual Report 2013 of the Company this the General Meeting Shareholders of the Company in accordance Deed No. 78 Notary SP Henny Singgih, SH Datedl 28 June 2011.
Board of Directors Afiliated
President Director Ir. Ratna Setyakusuma -
Production & Commercial Director Ir. I Made Indrawan -
Finance Director Hadi Muliyono, SE Ak. -
The legal basis for the appointment of the Board of Directors in accordance Annual Report 2013 of the Company this the General Meeting of Shareholders in accordance Deed No. 64 Notary SP Henny Singgih, SH dated 28 June 2013.
Head Office & Factory Jl . Raya Rungkut 15 – 17,
,
Surabaya 60293, Indonesia
Phone . 62 – 31- 8700088 (Hunting ) Fax . 62- 31 – 8705212
Email. kedawung@sby.centrin.net.id
Date of Listing th28 October 1993
Share listed on Bursa Efek Indonesia *
Date of Listing Total Shares Listed onth
28 October 1993 50,000,000 Bursa Efek Jakarta & Bursa Efek Surabayath
20 July 1995 69,000,000 Bursa Efek Jakarta & Bursa Efek Surabayath
16 December 1996 138,000,000 Bursa Efek Jakarta & Bursa Efek Surabayast31 December 2010 138,000,000 Bursa Efek Indonesia
Public Accountant Paul Hadiwinata, Hidajat, Arsono, Ade Fatma & Co
Jl. Ngagel Jaya No.90,
Surabaya 60283, Indonesia
Phone. 62 – 31 – 5012161
Fax . 62 – 31 – 5012335
Bureau of Shares Administration PT Sirca Datapro Perdana
Jl. Johar No. 18, Menteng,
Jakarta 10340, Indonesia
Phone. 62 – 21 – 3140032
Fax . 62 – 21 – 3140185
*) Indonesia Stock Exchange is a mergered company of Jakarta Stock Exchange with Surabaya Stock Exchange
03
Company Data
PT. KEDAUNG INDAH CAN Tbk.
Shareholder StructureShare Holders
PT. Kedaung Indah Can, Tbk PT. Kedaung Indah Can, Tbk
PT. Kedawung Subur
PT. Nur Mulia Indojaya
Agus Nursalim
PT. Kedaung Industrial
Masyarakat
Probosutedjo
DK Lim & Sons
Investment Pte Ltd42,62%
10,00%
4,60%
55,00%
20,38%
35,00%
31,40%
Capital Market Supporting Institution
Share Custody
Gedung Bursa Efek Indonesia Tower 1 Lt. 5,
Jl. Jend. Sudirman Kav 52-53, Jakarta 12190.
Phone. 021 - 52991099, F. 021 - 52991199
Bureau of
Shares Administration
PT Sirca Datapro Perdana
PT Kustodian Sentral Efek Indonesia
Wisma Sirca, Jl. Johar No. 18 Menteng, Jakarta 10340.
Phone. 021 - 3140032, F. 021 - 3140185
Public Accountant Paul Hadiwinata, Hidajat, Arsono, Ade Fatma & Rekan
Jl. Ngagel Jaya Selatan No. 90, Surabaya 60283.
Phone. 031 - 5012161, F. 031 - 5012335
Notary Lies Herminingsih, SH
Jl. RS. Fatmawati 28 C, Cilandak, Jakarta Selatan
Phone. 021 - 75911669, F. 021 - 7650047
.
Agus Nursalim Agus Nursalim
John Kosasih
Hj. Syarifah H
Emo Nursalim
Aris Sumarta
Agus Nursalim
PhilipLam Tin Sing
Wihartati Muslim
04
In 2014, the amount of fee charged to the Company for share
c u s t o d y , s h a r e
administration, audit of financial statement and notary fee in overall
range of IDR 206 Million.
PT. KEDAUNG INDAH CAN Tbk.
BOARD OF COMMISSIONERS REPORT
During 2014, the economic condition of Indonesia was colored
with various dynamics. The negative sentiments came and went both
globally and domestically. At the global scale there were significant
concerns over the global economic downturn then the news regarding
the Federal Reserve, Central Bank of United States of America planning
to raise the interest rate (The Fed Fund Rate). Meanwhile, at the
domestic scale in addition to the political tumult regarding the result of
the public election, the businessmen and the public were on edge due to
the macroeconomic condition of Indonesia particularly the widening of
the position of 'current account deficit” due to the declining in the prices
of world commodities and the weakening of the Rupiah exchange rate.
Indonesia are still recovering from the debt crisis, the current account deficit and the trade balance which are in the
range 3-4%, which number did not improve the economic condition of Indonesia compared to the previous year. It
also affected the exchange rate of Rupiah which remained lower compared to the US dollar during 2014. The efforts
of the government to reduce domestic consumption to suppress the import transactions resulted in the slowing
down of the Indonesia's economy to 5.2% - 5.3% which is the lowest growth over the last 5 years.
Amids the economic slowdown and the liquidity tightening, the Board of Commisioners are convinced that
the Board of Directors and the management has been doing their bests efforts in running the operational activities
of the Company. In 2014, the Board of Commisioners has conducted routine formal meetings as well as meetings
with the Board of Directors to discuss the operational performance of the Company.
Sales of the Company were increased by 4% to IDR 103 billions. The increase was largely obtained through
the increasing in sales and the strengthening of foreign currencies. With the improvement on the investment
climate and the political stability in the presence of the new government, the Company are optimistic to be able to
obtain better performance. Overall, in the coming year the Company expects to achieve an increase in sales and
margin growth, particularly of products with added value.
In order to implement the "Good Corporate
Governance" in each business activities, the Company has
the Independent Commissioner that reached 33.33% or in
accordance to the regulations of Otoritas Jasa Keuangan
(previously Bapepam - LK) and the Indonesia Stock
Exchange. Furthermore, The Company has a Corporate
Secretary as well as the Audit Committee who works
according to the Annual Work Plan. During 2014, the Board
of Commissioners has monitored the performance of the
Audit Committee and believes that the implementation of
the duties and responsibilities of the Audit Committee are in
accordance to the Annual Work Plan.
On behalf of the Board of Commissioners, we would like to express our gratitude to the shareholders for
the trust that has been given. We also would like to express our appreciation to the Board of Directors, the
Management, the Staff and the Employees for their hard work, dedication and loyalty in running the business
activities of the Company .
Philip Lam Tin SingPresident Commissioner
In 2014, the Board of Commisioners
has conducted routine formal meetings
as well as meetings
with the Board of Directors
to discuss the operational
performance of the Company.
Sales of the Company were increased
by 4% to IDR 103 billions.
05
PT. KEDAUNG INDAH CAN Tbk.06
BOARD OF DIRECTORS REPORT
Dear Valued Shareholders,
2014 is a year with many challenges for the national economy as a variety
of events experienced by the people of Indonesia such as the increase of the price of
the subsidized fuel which reached 30% at the end of the year and the increase in the
electricity tariff by 20%. These conditions give impacts on the increasing of the
inflation rate, reaching 8.36%. To anticipate the impact of inflation, the BI rate which
were previously under 6% in 2013 is slowly increased to 7.75% at the end of 2014.
In addition, the exchange rate of the Rupiah fluctuates continuously due to the high
demand for foreign currency that it touches the level of IDR 12,440.
The year of 2014 also became one of the pillars of the journey of Indonesia with their two democratic parties
running smoothly and safely, amid the conditions of the domestic economy which was not yet conducive, as there
were slowdown in the world economy and a surge in the volatility of the global financial market. However, in 2014 the
Company still posted the net sales growth that reached IDR 103 billion.
This can be achieved by the Company due to the cooperation and the discipline in cost controlling
particularly the cost of production. Also supported by the conditions of the domestic economy which are quite
exciting throughout 2014 so as to create a positive climate for the achievement of the overall performance of the
Company. The prices of the raw materials, which are increased mainly due to the inflation and the increase of regional
minimum wage and the increase of the exchange rate of the US Dollar against the Rupiah during 2014, are addressed
carefully by the Company by performing selective increase in the price of the products.
The Company also continuously strive to make improvements in the implementation of the good corporate
governance. In carrying out its business activities, the Board of Directors has implemented well all the inputs and the
advices of the Board of Commissioners and the Audit Committee. Moreover, the Board of Directors has established an
internal control system in the implementation of their daily duties.
On this occasion, on behalf of the Board of Directors, we would like to express our appreciation and gratitude
to the Shareholders, the Board of Commissioners, the Staff & the Employees on the trust, the support and the hard
work in running the business activities of the Company and also to the Stakeholders ,i.e. business partners, suppliers,
customers and creditors for all the support and cooperation over the years. We expect that in the future the trust, the
support, the cooperation and the hard work are continued so that together we can grow and thrive.
The national economy that is still growing positively encourages
the Company to focus more on the domestic market which is more
promising. In local sales the Company recorded the sales of IDR
70,329,223,002, an increase of 4.3% compared to 2013. Meanwhile in
export sales, the Company recorded the sales of IDR 28,696,580,839, an
increase of 3.98% over the previous year.
Ir. RatnaSetyakusumaPresident Director
in 2014 the Company
still posted
the net sales growth
that reached IDR 103 billion.
PT. KEDAUNG INDAH CAN Tbk.
COMPANY/ENTITY INFORMATIONGeneral
PT Kedaung Indah Can Tbk (in short: Perseroan)
was established in accordance to Law Nr. 6 Year 1968 on
Domestic Investment jo Law Nr. 12 Year 1970, based on st
Notarial Deed Nr. 37 dated 11 January 1974 by Julian
Nimrod Siregar Gelar Mangaradja Namora, SH., notary in
Jakarta. The Notarial Deed was officiated through the
Ministerial Decree of The Minister of Justice of the Republic th
of Indonesia Nr. Y.A.5/239/18 dated 24 July 1975 and was
announced in the State Report of the Republic of Indonesia ndNr. 27 dated 2 April 1976, Supplement No. 237.
In accordance to Notarial Deed Nr. 62 and 63 thdated 18 June 1997 by Siti Pertiwi Henny Singgih, S.H.,
notary in Jakarta, the articles of association of the Company
had been amended according to Company Law Nr. 1 Year
1995 and Capital Market Law Nr. 8 Year 1995. The Notarial
Deed was officiated through the Ministerial Decree of The
Minister of Justice of the Republic of Indonesia Nr. C2-nd
4042.HT.01.04.TH98 dated 22 April 1998 and was
announced in the State Report of the Republic of Indonesia
Nr. 42 dated 25 May 1999, Supplement No. 135.
The articles of association of the Company had
been amended a few times in order to comply with the
provisions and regulations, previously in accordance to th
Notarial Deed Nr. 119 dated 30 Mei 1998 by Wachid
Hasyim, S.H., notary in Surabaya, regarding the amendment
of the articles of association of the Company in compliance
with Rules of the Capital Market Institution Nr. Kep.
13/PM/1997. The Notarial Deed was officiated through the
Ministerial Decree of The Minister of Justice of the Republic thof Indonesia Nr. C2-18824.HT.01.04.TH'98 dated 9 October
1998 and was announced in the State Report of the thRepublic of Indonesia Nr. 15 dated 19 February 1999,
Supplement No. 60.
Last, the articles of association was amended in
compliance with Law Nr. 40 Year 2007 on Company which
was scheduled through Shareholders Meeting and officiated
th On 7 October 1993, the Company received
Effective Statement of Head of Bapepam (Capital Market
Institution)in accordance to Letter Nr. S-1733/PM/1993 to
conduct public offering of 10,000,000 shares and at the
same time the Company on behalf of the existing
shareholders listed an additional sum of 40,000,000 shares.
Therefore the sum of the listed shares was 50.000.000 or
100% of the share capital of the Company. On 28th October
the same year, the Company shares were listed in Jakarta
Stock Exchange and Surabaya Stock Exchange.
On 20th July 1995, the Company made changes
to the share structure by distributing bonus shares from par
(paid in surplus). Therefore the total of the outstanding
shares of the Company increased from 50,000,000 to
69,000,000.
th On 16 December 1996, the Company did a
corporational act by conducting a stock split in order to
expand the ownership of the Company's shares. This
corporational act raised the total outstanding shares to
138,000,000.
Since the beginning the whole Company's shares
was also listed in Jakarta Stock Exchange and Surabaya st
Stock Exchange. On 31 December 2010, all the Company's
shares have been listed in Indonesian Stock Exchange,
which is a merger of Jakarta Stock Exchange and Surabaya
Stock Exchange.
The Company Office since its first establishment
is located at Jalan Raya Rungkut No. 15-17, Surabaya with its
factory located at the same address.
According to article 3 of the articles of association
of the Company, the scope of the Company's activities are
the field of kitchen appliances industry from metal and
similar products as well as cans industry and similar
products.
07
PT. KEDAUNG INDAH CAN Tbk.
Organization Structure
08
General Meeting
of Shareholders
Board of Commissioners Audit Committee
President Director
Director of Finance
Operation
Manager
Marketing
Manager
Corporate
Secretary
Accounting & Tax
Manager
Purchasing
Manager
General
Audit
Internal
Audit
Director of Production and Commercial
Ir. Ratna Setyakusuma
Hadi Muliyono, SE Ak.
Agus ParaGrace K TjandraIng Hidayat KFerry Suryawan, SE Ak.
Johanes SoejantoTeddy PrakasaKetut P Sujaya
Ir. I Made Indrawan
PT. KEDAUNG INDAH CAN Tbk.09
VISION AND MISSION
HUMAN RESOURCES
Being the first company to produce household
appliances, carefully providing the best products with the
highest regards to quality, PT Kedaung Indah Can Tbk.
strives to meet the needs of its Indonesian as well as
overseas customers.
PT. Kedaung Indah Can Tbk. had 798 employees (including Board of Commissioners and Board of st st Directors) on 31 December 2013 and 740 employees on 31 December 2014.
st The number of employees on 31 December 2014 decreased by 7% compared to the previous year
particularly due to a number of retiring employees during the one-year period.
In 2014 the Company had internally conducted both managerial and technical trainings to improve the
competences of the employees.
Futhermore, the Company had periodically implemented the Corporate Social Responsibility (CSR)
programs such as social activities and blood donation in collaboration
with the Indonesian Red Cross and local community officials.
Moreover, the Company maintained harmonious working
relationship with the workers on the basis of mutual respect, marked by
Perjanjian Kerja Bersama (PKB) signing between the Management/Entity
and the Serikat Pekerja Seluruh Indonesia. The Agreement was valid until
2014 and had been registered under Dinas Tenaga Kerja Surabaya as
stated in Surat Keterangan Pendaftaran Nomor 560/6313/436.6.12/PKB-
27.12.2012.
Employee Profiles (excluding Board of Commissioners and Board of Directors) ston 31 December 2013 and 2014
Jobholder Honorary Workers
MAN WOMAN primary school
Junior high
school
Senior high
school
DIPLOMA S1 S2
2014
2013
715
781
25
17
543
575
197
223
27
10
180
209
499
542
7
9
26
27
1
1
740
798
96.6%
97.9%
3.4%
2.1%
73.4%
72.1%
26.6%
27.9%
28.0%
27.4%
72.0%
72.6%
YearSTATUS GENDER Education
Quantity
PT. KEDAUNG INDAH CAN Tbk.
BOARD OF DIRECTORS
BOARD OF COMMISSIONERS
BOARD OF COMMISSIONERS
& BOARD OF DIRECTORS
Annual General Shareholders MeetingthJakarta, June 20 , 2014
10
G raduating his education from Singapore, Australia, and United States, he worked at a certain company in Italy for a
period of time. Acquiring extensive experience, he joined one of the Kedaung Group company in China and was
responsible for several companies, i.e. Jia Tai Ceramic Industrial Co. Ltd.; Kai Seng Ceramics Industrial Co. Ltd, and Jia Sin
Ceramics China until 1991. Then also appointed as Director of the affiliate company of Kedaung Group, PT Credit
Lyonnaise Capital Indonesia, and PT Skytelindo Services Indonesia until 2000. At present, he holds several key positions
at different companies, PT Kedaung Industrial and PT Kedaung Oriental Porcelain Industry, as Chairman as well as
Director.r.
Graduating from Singapore and holding a Master Degree from United States, he started his business in cutlery
manufacturing in 1988. The company namely PT Indometal Sedjati has been running ever since. He has been
Commissioner of PT Kedawung Subur since 1990 and has extended his expertise as Commissioner of PT Ital Smaltindo
Industri since 1995.
Completing her study in Economics at STIE Malangkucerawa, Major in Accounting in 1990, she worked at several public
accounting firms in Surabaya and acted as Finance Accounting and Taxation Consultant for a number of companies. She
was appointed as Commissioner as well as Independent Commissioner in 2008
Philip Lam Tin Sing (President Commissioner)
Djoni Sukohardjo (Commissioner)
Eli Rosiana, SE (Commisioner & Independent Commisioner)
Graduating from Institut Teknologi Surabaya in 1978, she immediately joined the Company. She worked as Director in
1992. Since 1995, she has been appointed as President Director.
Graduating from Institut Teknologi Surabaya in 1978, he immediately joined the Company. He has been appointed as
Director since 1995.
He graduated in 1998 from Universitas Airlangga, Faculty of Economics, majoring in Accounting. He worked at KAP
Prasetio Utomo & Co until 2001 before joining the Company in 2002. In 2004 he was appointed as Director with a
responsibility for finance and accounting matters.
Ir. Ratna Setyakusuma (President Director)
Ir. I Made Indrawan (Director)
Hadi Muliyono SE Ak. (Director)
PT. KEDAUNG INDAH CAN Tbk.
MANAGEMENT DISCUSSION
Management Analysis and Discussion
The year of 2014 has been traversed along tinged with
rather dynamic political and economic conditions. For PT. Kedaung
Indah Can Tbk (“the Company”) 2014 was a year filled with
challenges amid the local as well as foreign economic conditions
which were less supportive. The condition of the domestic public
purse that weakened due to the increase of the fuel price and the
weakening of the rupiah exchange rate against the US dollar give
impacts on the growth of the Company in 2014. Nevertheless,with
the supports of the entire management, employees and
shareholders, in 2014 the Company recorded a net profit of IDR
4,703,508,241. The management will continue to seek greater
improvement and encourage a change in the dynamic business
amid the competition and the challenge of the rapidly moving
business.
Product Marketing and Sales
The marketing of the enamel products
comprises the domestic market through the
marketing network of the Company and the
overseas markets. In 2014 the domestic market
indicated some positive development
particularly for the enamel segment despite the
weakening of the domestic public purse.
Through the marketing network of the Company
the enamel products of the Company has
reached the island of Java, Sumatra and
Sulawesi. Abroad the enamel products has their
own markets in the United States of America,
Middle East, Africa and Australia. The tin cans
segment which are can packagings for other
industries has domestic markets on the biscuit
industry, talc, etc. In 2014, the weakening of the
domestic public purse also affects the markets
of the tin cans. Nonetheless, along with the
economic recovery in the coming years the
markets are still considerably potential.
The sales of the Company in 2014
amounted to IDR 102,971,318,497 or increased
by 4% or IDR 3,941,621,780 compared to 2013.
Of these, the sales of the enamel segment was
IDR 65,840,653,507 or 64% of the total sales
while the sales of the tin cans segment was IDR
37,130,664,990 or 36% of the total sales.
Production The Company has two business segments according
to the types of the products, i.e. the enamel segment which is
the production of the enamel-coated household appliances
and the tin segment which is the production of the tin cans for
packaging (biscuit, talc, etc). The production process in each
segment are as follows:
- The enamel segment, includes the forming, the
pickling, the enamelling, the decorating, the
assembling and the packing.
- The tin segment, includes the printing, the forming
and the packing.
In 2014 the production of the enamel segment
reached 1,553 tons, decreased by 14% compared to 2013. The
production was decreased in order to optimize the supply
level in line with the amount of enamel-segment sales of the
Company. The production capacity of the enamel segment is
2,700 tons per year which makes the production of the
enamel in 2014 reached 58% of the production capacity.
In the tin segment, the production reached 1,099
tons in 2014, decreased by 14% in line with the decrease of the
tin cans sales in 2014. The capacity of the cans production is
1,560 tons per year which makes theproduction of the tin cans
in 2014 reached 70% of the production capacity.
11
PT. KEDAUNG INDAH CAN Tbk.
Sales Gross Profit
In 2014, The Company recorded a net sales
of IDR 102,971,318,497, an increase by 4% or IDR
3,941,621,780 from IDR 99,029,696,717 in 2013. The
domestic market is still the main market of the
Company. For the domestic sales, the Company
recorded a sales of IDR 70,329,223,002, an increase
by 4% compared to 2013, while for the export sales,
the Company recorded a sales of IDR
28,696,580,839, an increase by 4% compared to
2013. In 2014, various efforts have been
implemented in order to improve both domestic
and export sales. For the domestic market, the
management has made several breakthroughs to
acquire new customers in tin cans as well as
enamel products. For the export market, various
attempts have also been made through a series of
new product manufacturing, particularly the
enamel products and the introductions ofthe
Company's products through business exhibitions
abroad.
The increase in the prices of the raw
materials, particularly due to inflation and the
increase in the provincial minimum wage as well as
the rise of the US dollar exchange rate against the
rupiah during 2014 were addressed carefully by
performing selective increase in the price of the
product. Overall the Company rise the product
prices witihin the range of 5% -10% in 2014. The
Company considers that the prices rise are well
received by the domestic and global markets.
In 2014, the Company's cost of goods sold
increased by IDR 7,249,244,422 or 9.6% compared to the
cost of goods sold in 2013, while the sales increased by
4% compared to 2013. The increase in the cost of goods
sold was mainly due to an increase in the expenses of the
direct labor resulting from the significant increase in the
provincial minimum wage rate in 2014. Therefore, the
pursuit of efficiency particularly in the labor sector are
continuously made by the management through a series
of optimizing efforts in the number of workers in each
department. The optimizing efforts are similarly made for
other costs, that is the raw materials as well as the energy
in order to improve competitiveness. On the other hand,
both the domestic and the global markets are not able to
absorb the rather significant increase in the cost of
production, that the Company implemented the selective
price increase in order to retain the customers. Therefore
the Company's gross profit in 2014 was IDR
20,532,170,990 or decreased by IDR 3,307,622,642 or 14%
compared to the gross profit in 2013 which is IDR
23,839,793,632. The efforts of the cost efficiency will
continue to be pursued and improved in the coming
years to create a business climate with high
competitiveness.
Profitability
Overall, in 2014 the Company recorded a comprehensive profit of IDR 4,703,508,241 or decreased by 37%
compared to 2013. This was mainly due to the weakening of the domestic public purse along with the increase of the
cost components, particularly labor cost. The efficiency of the Company in all fields such as the efficient use of the raw
materials, the optimization of the number of employees, and the energy efficiency will continue to be pursued for the
sake of the Company's future growth of profitability. The weakening of the exchange rate at the various export-
destination countries (India, Russia, and several African countries) greatly affected the Company's sales at the export
market. In 2014, the segment of the Enamel products contributed a gross profit of IDR 11,719,028,567 or 57% of the
total gross profit of the Company, while the Tin cans segment contributed a gross profit of IDR 8,813,142,423 or 43% of
the total gross profit of the Company. Overall, the segment of the Tin cans products provided a substantial
contribution to the performance of the Company and has a promising market potential in the future. Furthermore, the
Enamel products also exhibit a good potential for their developments, considering that the Company has greater
capacity in the production of this segment.
FINANCIAL PERFORMANCE ANALYSIS
12
PT. KEDAUNG INDAH CAN Tbk.
Other Expenses and Income
Liability
Equity
Other expenses and income in 2014 was relatively insignificant, dominated by interest expenses and foreign
exchange profits. In 2014, the Company recorded an interest expense of IDR 818,231,648, higher than IDR 595,908,528
in 2013. The increase was due to increase in the payment of the employee severance since the Company reduced the
number of employee in line with the implementation of the labor efficiency in 2014. Therefore, the funding of the
Company's bank loans were widely used for operational funding. Meanwhile, the Company gained a foreign exchange
profit of IDR 554,848,452 due to the weakening of the rupiah against the US dollar during 2014. The Company
continuously applies the principles of precaution in managing the risk of foreign currency fluctuations by maintaining
the level of payables and assets in foreign currencies in accordance to the proportion of sales in foreign currencies as
well as continuously examining the developing condition of foreign currency fluctuations in a global level. After the
addition of the income from interest and giro service and other income then deducting it to interest expense and
other expenses which amount were insignificant, in 2014 the Company recorded an earning before tax of IDR
6,328,129,933 or decreased by Rp 3,619,402,937 compared to the earning before tax in 2012. The tax expense of the
Company decreased along with the decrease in the taxable income generated from the operational activities of the
Company. After the deduction to the tax, the Company recorded a comprehensive profit of IDR 4,703,508,241 or
decreased by IDR 2,715,992,477 compared to the comprehensive profit in 2013.
The Total Liability decreased from IDR 24,319,143,497 at the end of 2013 to IDR 18,065,657,377 at the end of 2014 or
decreased by IDR 6,253,486,120 which is caused primarily by a decrease in the liability of employees' post-employment
benefit in line with the optimization (decrease) of the amount of the Company employees. Besides, there is also a decline in
short-term loans of the Company due to repayments on the loans of the Company where the fund was received from The
Company's operational activities. For the funding of working capital, the Company obtained financial support from Bank
CTBC Indonesia.
The Company's Equity in 2014 was IDR 78,680,086,844, increased in line with the profit of the Company obtained in
2014 which was IDR 4,703,508,241, compared to the total equity of IDR 73,976,578,603 in 2013.
Operating Profit
Asset
The operating expenses of the Company in 2014 increased primarily on the general and administrative
expenses due to the increase in the salaries and the employee benefits following the increase in the provincial
minimum wage. Besides, due to the increase in the wage rate the reserve for the post-employment benefits, which is
also included in the general and administrative expenses, is simultaneously increased. In 2014, the Company
recorded the sales expenses and the general and administrative expenses of IDR 1,775,773,595 and IDR
12,269,748,108, respectively. Therefore, the operating profit of the Company in 2014 was IDR 6,486,649,287 or
decreased by IDR 4,904,253,535 compared to the operating profit in 2013.
The total assets of the Company at the end of 2014 in general were slightly decreased particularly due to
repayments on short-term payable of the Company during 2014 as well as employee severance payments. The total assets
of the Company at the end of 2014 was IDR 96,745,744,221 or decreased by Rp 1,549,977,879 or 1.6% compared to the total
assets of Rp 98,295,722,100 in 2013. For the current assets there is a slight decrease from IDR 66,863,972,844 in 2013 to IDR
65,027,601,187 in 2014 or decreased by IDR 1,836,371,657, or 2.7%. The decrease was mainly due to the decline in the
inventories in line with the lower production. Meanwhile, the fixed assets were slightly increased due to the emergence of
the tax receivable generated from the annual income tax in 2014
13
14PT. KEDAUNG INDAH CAN Tbk.
Solvability Analysis
The current ratio in 2014 increased by 7.9
times or 36% compared to 5.8 times in 2013 which
reflected the Company's commitment in meeting
the obligations to suppliers and creditors with good
condition and no default payment. The increase in
this ratio is mainly derived from a decrease in short-
term liabilities due to repayments of short-term payable of the Company in 2014. Payments of short-term payable of the
Company in 2014 considered the risks of exchange rate that occur throughout the year, particularly for short-term payable
denominated in US dollar given that there were considerable fluctuations occured throughout 2014.
The figure of the distribution of trade receivables above shows that the trade receivables are past due by 14%, and the
average ratio of trade receivables is 34 days. Management is of opinion that the ratio is still in considerably good condition.
The Company believes that these conditions will not interfere with the cash flows of the Company in meeting the operational
obligations to suppliers, creditors or other liabilities as of December 31, 2014.
The trade receivables of the Company as of
December 31, 2014 was IDR 9.593.155.210, increased
by IDR 126,246,692 compared to IDR 9,466,908,518
as of December 31, 2013. The period distribution of
trade receivables in 2014 are as follows:
The capital structure of the Company consists of short-term bank loans and equity comprising issued and fully
paid capital, retained earnings and other equity components. Management regularly conducts analysis and review of the
capital structure. Management also considers the capital cost and its associated risks as well as manages these risks by
monitoring the ratio of bank loans to equity. Besides, the Company manages the capital and make adjustments based on
changes in economic conditions, and to maintain as well as to adjust the capital structure, the Company may adjust the
dividend payment to shareholders, return capital to shareholders or issue new shares.
The Company has been engaging with PT. Bank CTBC Indonesia since 2008 in bank loan in the form of short term
loan with maximum credit of USD 1,250,000 and a letter of credit covenants trust (trust receipt), used together with a letter of
credit documented (L/C) with a maximum credit of USD 2,250,000. The facility is intended to use as a finance for the
Company's working capital. The loan is guaranteed by a fiduciary on the inventories of the Company with a guarantee value
of IDR 23 billion and escrow accounts in PT. CTBC Bank Indonesia with a minimum value of 20% of each value of issued L/C.
On December 31, 2014 the Company had outstanding loans of these facilities of USD 218,959.09 (equivalent to IDR
2,723,851,080) and IDR 2,253,413,359. The funding source set to meet such commitments is generated from the Company's
operations. Management are aware of the risk of exchange rate fluctuations, particularly on the bank loans denominated in
US Dollar. Management manage the currency risk by constantly monitoring the fluctuation of currency exchange rates in
order to take appropriate action to mitigate these risks. Besides, the management also perform analysis and monitoring of
the loan compositions in foreign currency so that it is proportional to the sales in the foreign currency itself, thus reducing the
risk of exchange rate fluctuations.
Cashflow
Collectibility
Material Commitments for Capital Goods Investment
The cash and cash equivalents as of December 31, 2014 was IDR 4.520.594.521, decreased slightly from IDR
112,044,062 at the end of 2013. This was due to cash generated from operational activities was IDR 1.313.583.361, cash used
in investing activities was IDR 525,242,770, cash used in financing activities was IDR 959,564,780 and the result of foreign
exchange profit on the addition of cash and cash equivalents was IDR 59,180,126.
Comparison of the current ratio of the Company in 2014 and 2013 werer as follows:
Descriptions 2014 2013
Current Assets (a) Rp 65.027.601.187 Rp 66.863.972.844
Short-Term Liability (b) Rp 8.227.166.909 Rp 11.580.043.353 Current Ratio (a/b)
7,9 5,8
Descriptions Amount (IDR) Percentage
Not matured
Past due 1-30 days
8.239.034.510 86 %
0 0 %
Past due> 30 days
Total
1.354.120.700
9.593.155.210
14 %
100 %
Capital Structure
15PT. KEDAUNG INDAH CAN Tbk.
Approval of the Financial Statements and Material Facts After Auditor's Report
The financial statements of the Company which contains financial information as described above has
been completed by the management on March 4, 2015 and has been audited by Public Accountant Firm Paul
Hadiwinata, Hidajat, Arsono, Ade Fatma & Partners through report Nr. 017/PHAA-S/GA/III/2015 on the same date with
fair opinion without exclusion. There are no material facts taking place between the date of the auditors' report and
the date of publication of this annual report.
The comprehensive profit of the Company in 2014 was IDR 4,703,508,241. This achievement is by 37% lower
than the target set by the management. This achievement as described above, is closely associated with the
conditions of the domestic and global markets, the fluctuations in exchange rates which greatly affect the public
purse of the Company's market as well as the policy of the increase in the provincial minimum wage which
significantly influences the Company's cost structure.
Management is aware of the business challenges in the future which is not easy. Various external factors will
pose as a challenge for the management of which is the exchange rate fluctuation of the rupiah against the US dollar
that was very influential to the Company. In addition, measures of domestic economic improvement are to be seen as
a factor that will boost the purchasing power in the domestic market. The government's policy towards the provincial
minimum wage and the customs for the imported products are also a serious concern for the Company since both
will greatly affect the cost structure of the Company. Besides these challenges, the domestic economic conditions
supported by the new government is expected to exhibit positive growth in the years ahead. With the multiple
challenges and opportunities, the management continuously strive to improve its performance with the support of all
employees and shareholders. The management will focus on increasing sales and developing high value-added
products and services, particularly local products as the foundation to achieve sustainable business growth and
better financial performance. The development of cans product by adding some new production facility will become
the target of the coming years given that the cans product market is rather promising. For the export, the management
will continue to look for new market opportunities, particularly in
the markets of USA, Russia, and Middle East. Furthermore, the
conduct of efficiency is continuously improved in the efficiency of
raw materials by observing the international steel prices, in the
efficiency of labor and energy in order to create products with
better competitive value. The development and the improvement of
human resources has always been a serious concern of the
management in order to face challenges and ever-changing
business dynamics.
Analyzing the challenges and the opportunities in 2015 as well as the strategies that have been prepared, the
management targets the comprehensive profit in 2015 to increase by 10% compared to 2014.
Transactions with Related Parties
Targets and Achievements in 2014
Business Prospect in 2015 and Marketing Strategies
Targets in 2015
In 2014 the Company had transactions with several related parties such as sales of the Company's products
and the purchase of raw materials for the production with several companies within Kedaung Group. The transactions
with the related parties are conducted at normal terms and conditions as those conducted with third parties and
does not have any conflicts of interest as stipulated in regulation of Bapepam-LK Nr. IX.E.1.
16 PT. KEDAUNG INDAH CAN Tbk.
Changes in Accountancy Policy
In 2014, the Company did not conduct a change in accounting policy on the financial statements of 2014. In
December 2013, the Board of Financial Accounting Standards Indonesian Institute of Accountants has issued several new
accounting standards and its revision which will be effective in the fiscal year beginning January 1, 2015. Earlier applications
on these standards are not allowed. The Company is still evaluating the possible impact on the adoption of the new and
revised standards and its influence on the financial statements of the Company.
Dividend Policy In 2014, the Company recorded a comprehensive profit of IDR
4,703,508,241 that the accumulation of retained earnings of the Company was IDR
6,380,086,844 as of December 31, 2014. In accordance with Law Nr. 40 Year 2007
on Company in which limited liability companies are obligated to set aside
retained earnings of at least 20% of paid-in capital for the Company's reserve. The
value of retained earnings of the Company as of December 31, 2014 is still below
20% of the value of paid-in capital, therefore, the management will propose the
approval of the use of retained earnings in accordance with the regulation in the
Annual General Shareholders Meeting 2014. In the two previous fiscal years the
Company did not distribute dividends due to the position of the retained earnings
was below 20% of the value of paid-in capital.
PT. KEDAUNG INDAH CAN Tbk.17
CORPORATE GOVERNANCE
The principles of Good Corporate Governance (GCG) is an integrated series that must be applied consistently
and continuously at every step of the Company by way of a management system based on the principles of
transparency, accountability, responsibility, and independence in order to provide equal protection to all
stakeholders of the Company.
The Company's Board of Commissioners and the Board of Directors believe that the practice of GCG is one
way which distinguish the Company among its competitors and provide optimal return to the shareholders by way of
relationship management with other stakeholders.
The main duties of the Company's Board of Commisioners (BOC) are ensuring the implementation of the
Company's strategies, overseeing the management of the Company, and enforcing accountability. The main duties
are described as follows:
The Board of Directors of the Company
consists of a President Director and assisted by two Directors,
together the three members hold full responsibility concerning
the effectiveness of the entire business activities of the Company.
The scope of duties and responsibilities of the President
Director is performing the function of coordination among the
members of the BOD and directing the activities of the Company
management in order to comply with the company policies and
strategies that have been planned beforehand.
The total remuneration obtained by the Board of Commissioners and the Board of Directors of the
Company/Entity in 2014 was IDR 4.001.126.185,-. The remuneration was determined by the General Shareholders
Meeting (GSM).
In 2014, the BOC held four Meetings of the Board of Commissioners to discuss the report of the Directors
regarding the Company's performance in 2013, the implementation of the GSM in 2014, the Company's performance
in the first semester of 2014, and the budgets and business plans in 2015. The Meetings of the Board of
Commissioners were attended by all members of the BOC.
The Scope of Duties of the Board of Commissioners
The Scope of Duties of the Board of Directors
1. Evaluating and directing the Company's strategies, the work plan guidelines, the risk control policies, the annual
budgets and business plans; overseeing the implementation and performance of the Company; and monitoring
the usage of working capital, investment and asset management.
2. Evaluating the payroll system of the Company's officials who hold important position in operations, remunerating
the members of the BOD, and ensuring the nomination process of the BOD are fair and transparent.
3. Monitoring and overcoming the conflict of interest at the level of the management, the BOD, and the BOC.
4. Overseeing the implementation of GCG program at the Company and its changes should needed.
5. Supervising the process of open and effective communication within the Company.
PT. KEDAUNG INDAH CAN Tbk.
The remuneration for all members of the
Board of Directors in 2014 was determined by the
Board of Commissioners based on the performance
appraisal of the Board of Directors, inline with the
achievement of the Work Plan and Budget of the
Company in 2013. The total remuneration obtained
by the Board of Commissioners and the Board of
Directors of the Company in 2014 was IDR
4.001.126.185,-. The implementation of the
remuneration for all members of the Board of
Commissioners and the Board of Directors of the
Company was determined by the General
Shareholders Meeting.
18
The Production and Commercial Director has a
scope of main duties as follows:
Being responsible for the establishment policies
and strategies on the fields of production and
commercial.
Being responsible for the efficient course of
entire production activities.
Being responsible for the target achievement of
the quality objectives on the fields of
commercial and production
Building good and mutual relationships with the
customers and the suppliers
Creating a harmonious and conducive working
atmosphere
Monitoring the market development of the
product, the raw materials, and other supporting
mater ia ls in order to suppor t the
The Finance Director is in charge on the field of
finance and andministration with a scope of duties
and responsibilities as follows:
Being responsible for the formulation of the
Company's policies on the field of finance and
accounting.
Be ing responsib le for the e f fect ive
implementation of the Company's internal
control.
Being responsible for the preparation of
financial statements as well as the fulfillment of
the Company's obligation on the field of taxation
according to applicable regulations.
Being responsible for the management of the
cash flow of the Company and making decisions
on the field of Corporate finance.
As part of the responsibilities of the Board of
Directors in ensuring the effectiveness of all the
standard operating procedures as well as the
decision of the directors, the code of conduct of the
Company, and all the applicable rules and
regulations executed and complied to by all parts of
the Company, the Company empowers the Internal
Audit Division.
The main role of this division is to assess
whether the system of the internal control has been
functioning well, including the assessment of the
compliances to all the applied regulations, policies
and guidelines. The Internal Audit Division inspects
the timeliness of the reporting, evaluates the
reporting system and identifies any challenges and
rooms for the improvement of the system, tests
whether the implementations of the accounting
practice are in accordance to the applicable policies
and guidelines.
The duty of the Internal Audit is conducted
based on the annual work plan that has been
approved by the President Director and the Audit
Committee of the Company. The Internal Audit Unit
conducts special inspections if deemed necessary by
the President Director. In the context of conducting its
duty, the Internal Audit refers to the Internal Audit
Charter which has been validated by the Audit
Committee of the Company, with regards to the
Codes of Ethics of the Internal Audit and the
Standards of Professional Practice of Internal Audit as
well as the applicable rules.
In 2014, the Internal Audit was increasingly
active in assiting the Audit Committee in monitoring,
evaluating and providing recommendations about
the internal control and identifying as well as
reducing the risks faced by the Company.
During 2014, the Board of Directors conducted
twelve Meetings of the Board of Directors which are
the monthly meetings that have been scheduled on a
regular basis. All Meetings of the Board of Directors
were attended by all members of the BOD.
In order to improve the competence of its
members, the Board of Directors of the Company in
turn attends several seminars, scientific meetings,
and particular group discussions related to the
business activities of the Company.
Internal Audit
PT. KEDAUNG INDAH CAN Tbk.19
The appointment of the Internal Audit Unit is based on the Board of Director's Decision of PT. Kedaung Indah
Can Tbk. The Internal Audit Unit of the Company is held by Ketut P Sujaya; a graduate of University of Airlangga in
1992; commenced career at PT Puri Pariwara as an Accountant until 1996; from October 1996 to 2010 worked at PT
Prima Castle Development as Accountant then Acting Residence Manager; since 2011 joined the Company as the
Internal Audit Unit.
During the reporting period of 2014, according to the audit reports produced by the Internal Audit Unit there
have not been administrative sanctions imposed on the Emiten or the Public Company or the Board of
Commissioners or the Board of Directors by the Capital Market authority or other authorities. All things related to the
code of ethic and the corporate culture have been defined in the Mutual Work Agreements between The Companies
of Kedaung Group and its subsidiaries which has been registered under the Section of Manpower of the Municipality
of Surabaya Nr. 560/6313/436.6.12/PKB-27/2012.
The Annual General Shareholders Meeting (RUPST) on 20th June 2014 has given the authority to the Board of
Directors to appoint an Independent Public Accountant to conduct the audit of the financial statement of the
Company for the reporting period ended on 31st December 2014.
In order to fulfill the mandate given by the RUPST, the Board of Directors of the Company has appointed the
Public Accountant Firm Paul Hadiwinata, Hidajat, Arsono, Ade Fatma & Rekan to conduct the audit of the financial
statement of the Company for the reporting period ended on 31st December 2014.
Today, in a competitive business climate amid economic globalization the Company faces several significant
business risks as follows:
1. Risks of competition. In this open world economy the competition become more competitive both on the local
and foreign producers, particularly China with its low-cost products. To manage these risks of competition the
Company will keep on innovating and providing added values over its products so that they excel other
competitors' products. Furthermore, the internal efficiency are continously enhanced to always produce
competitive goods.
2. Risks of fluctuating prices of raw material. The main raw materials of the products are the cold rolled steel and tin
plate which prices are greatly influenced by the price of steel in the global market. To face the risk the Company
always monitors the changes in the international price and manages the stock as optimal as possible. Moreover,
the Company manages to always use more than one supplier for each types of raw material.
3. Risks of fluctuating exchange rates. The changes in the exchange rates of the foreign currencies are risks faced
by the Company mainly due to its products' target is the global market. To manage the risk the Company
monitors and supervises the exchange rate fluctuations in order to take appropriate actions so that the risks are
minimum.
The Company are committed to always serve in tune and delivering added value to the stakeholders and the
society. To fulfill these things, the Company has taken the steps of environmental monitoring and management
which are carried out by the utilization of applicable technology.
In 2014, The Company conducted the CSR activities as a reflection of the Company's conscience toward the
local society around the Company in the form of blood donations which are routinely held in collaboration with the
Surabaya branch of the Indonesian Red Cross. The activities are facilitated by the Company to raise the spirit of
caring for others.
Independent Auditor
Risk Management
Corporate Social Responsibility
PT. KEDAUNG INDAH CAN Tbk.20
AUDIT COMMITTEE
Head of
the Audit Committee concurrently
the Independent Commissioner
of the Company
Member of
the Audit Committee
Member of
the Audit Committee
Eli Rosiana, SE
Alfredo G Torres
Amelia S. Sampel
Indonesian Citizen, born in 1967, held the degree of Bachelor in the field of
economics from the Faculty of Economics STIE Malangkucewara. Experienced in
several national company, commenced career as Accounting and Financial
Advisor. Since 2008, appointed as Commissioner concurrently Independent
Commissioner and Head of the Audit Committee of the Company..
Philippines Citizen, born in 1965, held the degree of Bachelor in the field of
accountancy from the Philippine School of Business Administration in Manila and
the Yaksi De Monfort School of Management in Jakarta in the field of Post Graduate
Studies in Business Administration. Commenced career in Philippines and moved
to Singapore then Jakarta. Worked at several local and foreign accounting
consultants, such as SGV & Co, Punongbayan & Araullo, and KPMG Peat Marwick. In
1998, acted as Audit Manager at a manufacturing company. Since 2001, acted as
member of the Audit Committee of the Company.
Indonesian Citizen, born in 1973, held the degree of Bachelor in the field of
accountancy from the University of Klabat. Commenced career as accounting staff
at Grant Thornton Indonesia, became Senior Auditor of several local and foreign
Accounting Consultant firms in Jakarta. Since 2007, acted as member of the Audit
Committee of the Company.
The Company describes the duties and the
responsibilities of the Audit Committee in the Annual
Work Plan as follows:
1. Reviewing the financial information issued by the
Company, including the Annual Financial
Statements, the Mid-Year Financial Statements,
the Quarterly Financial Statements, the Financial
Statement Projections and other information in
relation to finance.
2. Reviewing the independence and the objectivity
of the public accountant of the Company.
3. Reviewing the adequacy of the inspection by the
public accountant of the Company.
4. Reviewing the effectiveness of the internal control
of the Company.
5. Reviewing the level of compliance to the rules in
the fields of the capital markets and the limited
liability companies as well as all other applicable
regulations in relation to the activities of the
Company.
6. Conducting the quarterly Meetings of the Audit
Committee to provide independent opinion to the
Board of Commissioners.
In accordance to the descriptions of the duties and the
responsibilities, during the reporting period of 2014
the Audit Committee of the Company has conducted
four meetings. All of which were attended by the Head
and all the members.
Duties and Responsibilities
of the Audit Committee
In accordance to Bapepam Regulation Nr. IX.I.5
supplement Decision of the Head of Bapepam Nr. Kep-
29/PM/2004 on the Establishment and Guidance of
Duty Implementation of Audit Committees, the Audit
Committee of the Company has taken steps as
follows:
1. Conducting the review of the Financial Statement
and other financial information of the Company
for the reporting period ended on 31st December
2014.
2. Assessing the appointment of the Public
Accountant that has been recommended by the
Board of Directors.
3. Conducting the review of the independence and
the objectivity of the appointed Public
Accountant.
4. Conducting the review of the adequacy of the
inspection by the Public Accountant to ensure
that all the risks of the Company have been
included and considered adequately.
5. Conducting the review of the audit findings and
t h e i m p l e m e n t a t i o n o f t h e a u d i t
recommendation.
6. Checking the level of compliance of the Company
to the rules and regulations in the fields of the
capital markets and other regulations in relation
Brief Report
of the Audit Committee
PT. KEDAUNG INDAH CAN Tbk.21
CORPORATE SECRETARY
As defined by the Otoritas Jasa Keuangan (previously BAPEPAM-LK), in order to develop the capital market and to
improve the services of the public company to the investors, every public company are obliged to establish the
Corporate Secretary. The appointment of the Corporate Secretary of the Company was based on the Board of
Director's Decision of PT. Kedaung Indah Can Tbk.
The Corporate Secretary of the Company is currently held by:
Corporate Secretary
Ing Hidayat Karnadi Indonesian Citizen, Bachelor of Engineering, Petra Christian University Surabaya.
Experienced in several companies engaged in the field of finance and banking,
commenced career as Account Officer at Bank BDNI (Bank Dagang Nasional
Indonesia) in 1990 then acted as Relationship Manager Corporate Banking at
Standard Chartered Bank – Surabaya in 1998. Since 1999, has been acted as the
Corporate Secretary of the Company.
Jl. Raya Rungkut 15 – 17, Surabaya 60293.
Phone. 62 – 31 – 8700088
Fax. 62 – 31 – 8705212
Email. kedawung@sby.centrin.net.id
Website. www.kedaungindahcan.com
The Corporate Secretary is the liaison officer who carries out the function of transparency of the Company to the Capital
Market Authority and the investor and the public. The presence of the Corporate Secretary is an obligation of the
Company in implementing the function of transparency and is responsible for:
1. Monitoring the development of rules and regulations applicable to the capital market;
2. Providing information that are needed by the public in relation to the condition of the Company;
3. Providing inputs to the Board of Directors in the course of complying to the Law of Capital Market and its related
regulations.
4. Functioning as a liaison officer between the public company and the Financial Service Authority (ex. Bapepam),
Indonesia Stock Exchange, Indonesia Central Stock Custodian and the public.
For further information regarding the
Company , The Corporate Secretary can be
contacted during operational hours and
working days at:
Corporate Secretary
PT Kedaung Indah Can Tbk.