Average transaction values suffer fall: JSX management<\/p>\n
Rendi A. Witular, The Jakarta Post, Jakarta<\/p>\n
The Jakarta Stock Exchange (JSX), said the average value of
\ndaily transactions on the floor from January to April plunged by
\naround 40 percent to Rp 303 billion (US$36.5 million) compared to
\nthe same period last year.<\/p>\n
JSX president Erry Firmansyah said the drop was attributed to
\nthe lingering security and economic problems at home which
\nundermined the will of both domestic and foreign investors to
\nconduct stock transactions on the market.<\/p>\n
"External factors have undermined the JSX transaction value to
\njust 50 percent of the company's 2003 target of around Rp 600
\nbillion per day," said Erry to reporters after the company's
\nannual shareholders meeting on Wednesday.<\/p>\n
War in the province of Aceh, bomb threats and the slow pace of
\neconomic recovery in the micro sector have discouraged investors
\nfrom taking trading positions at the stock market during the
\nfirst few months of this year.<\/p>\n
Erry explained if there was no significant progress in the
\ntransaction value by June this year, the company would review its
\n2003 transaction and initial public offering (IPO) target.<\/p>\n
For IPOs, JSX has set a target of 40 companies this year,
\nhowever, up until May only six companies, including state-owned
\nBank Rakyat Indonesia and Bank Mandiri, have been listed.<\/p>\n
Erry also said that JSX earned Rp 950 million in gross profits
\nfrom funds raised from stock transactions, IPOs, right and
\nwarrant issuance between January and April.<\/p>\n
According to its latest audited financial report, JSX booked a
\nsignificant rise in profits to Rp 13.6 billion in 2002 from Rp
\n1.6 billion in the previous year due to the significant growth of
\ntrading activities which reached an average of Rp 493 billion per
\nday.<\/p>\n
Erry also disclosed to the press that JSX would review its
\ncontract with information technology provider PT Astra Graphia on
\na JSX remote trading project which had failed to provide JSX
\nmembers with adequate facilities as agreed in the contract.<\/p>\n
Among the facilities is the provision of a transmission
\nfacility with the capacity of 900 messages per second. But, until
\nnow, Erry claimed that its capacity was still below the JSX
\nrequirement.<\/p>\n
Erry also announced that JSX would suspend the trading of the
\nshares of 27 companies if they failed to submit their 2002
\naudited financial reports by the second week of June.<\/p>\n
The 27 companies have violated the due date of annual report
\nsubmission which was set on March 31.<\/p>\n
Among the 27 companies are PT Bank Lippo, PT Citra Marga
\nNusaphala Persada, PT Indomobil Sukses Internasional, PT
\nIndofarma, PT Gajah Tunggal, PT GT Petrochem Industri, PT Argo
\nPantes, PT Bukaka Tehnik Utama, PT Tri Polyta Indonesia and PT
\nTexmaco Perkasa Engineering.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/average-transaction-values-suffer-fall-jsx-management-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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