Apexindo books first-quarter losses of Rp 4.6 billion

Apexindo books first-quarter losses of Rp 4.6 billion

The Jakarta Post, Jakarta

Publicly listed oil drilling company PT Apexindo recorded an
unaudited Rp 4.6 billion (US$484,210) in net losses in the first
quarter of the year, as the rupiah weakened against the dollar.

In a statement made public on Tuesday, the company, which is a
subsidiary of the country's biggest publicly traded oil producer
PT Medco Energi Internasional, reversed the Rp 20.3 billion
profit booked in the corresponding period last year.

"The net loss was caused by the weakening of the rupiah
against the U.S. dollar," it said in the statement, released
after its annual shareholders meeting.

The rupiah traded at Rp 9,480 a dollar on average in the first
three months of 2005, as compared to Rp 9,290 a dollar at the end
of 2004.

However, foreign exchange rate effects had been brought under
control as the company issued Rp 750 billion in bonds in April,
the statement added.

The five-year bonds consist of Rp 510 billion in conventional
bonds with a yield of 12.5 percent annually, and Rp 240 billion
in sharia bonds, which follow Islamic guidelines for profit
sharing.

In the first quarter of the year, Apexindo recorded a 1.2
percent increase in revenue to Rp 237.8 billion from Rp 234.9
billion in the same period the previous year.

The company expects better performance in the following three
months as onshore Rig 10 came into operation in May. Apexindo is
currently developing three other onshore rigs for tenders, which
are expected to be completed by the middle of the year.

The annual shareholders meeting also approved the disbursement
of dividends derived from 2004's business operation of Rp 10 per
share.