49 firms face delisting

49 firms face delisting

JAKARTA (JP): The Jakarta Stock Exchange (JSX) said last week
that 49 listed companies were put on the watch list for possible
delisting due to poor financial performance and/or qualified
comment from their public accountants.

Companies on the watch list are those with unsound equity or
doubtful business prospects as declared by their respective
public accountants, JSX said in a statement referring to its
existing listing regulation.

Listed companies -- that have been operating at a loss for the
last three years, that have a net equity of less than Rp 3
billion, a net equity in deficit of over 50 percent of paid-up
capital, or have received a "qualified comment" from a public
accountant -- are put on the watch list as a warning, according
to JSX listing regulation.

The 49 companies are to meet with JSX officials within 10 days
of receiving the warnings to present plans to improve their
financial performance.

The companies include state-owned Bank Negara Indonesia, Bank
Bali, Bank Tiara Asia, Bank Danamon, Bank PDFCI, Lippo Pacific,
Bakrie & Brothers, Astra International, Indomobil Sukses
Internasional and United Tractors. (udi)