Bira joins govt's plan

Bira joins govt's plan

JAKARTA (JP): Publicly-listed Bank Bira, currently under the
control of the Indonesian Bank Restructuring Agency, has
confirmed that it would participate in the government's
recapitalization program.

The bank said earlier this week that owners and directors had
agreed to meet the central bank's requirements in order to
qualify for the recapitalization program.

"We are pleased with the results of the due diligence report,
and the "B" categorization is a sign of our commitment to our
shareholders and depositors alike," Bank Bira president's said.

Banks in the "B" category have a capital adequacy ratio of
between 4 percent and minus 25 percent.

The bank, however, did not specify the exact ratio of its
capital to its assets.

The bank is due to submit its business plan to Bank Indonesia
by Feb. 12. Upon the approval of the business plan, the bank will
sign a stand-by purchase agreement with the government to begin
the recapitalization program. (02)