Five state public works firms perform poorly

JAKARTA (JP): Five of the 19 state enterprises under the Ministry of Public Works are unhealthy and four are less healthy, the ministry's secretary-general said yesterday

Ruslan Diwiryo said the five companies were categorized as unhealthy on the basis of their audited 1995 financial reports. They are PT Brantas Abipraya (contractor), PT Indra Karya (consultancy), PT Virama Karya (consultancy), PT Sarana Karya (asphalt buyer) and PT Amarta Karya (heavy equipment renter).

The less healthy firms are PT Hutama Karya (contractor), PT Nindya Karya (contractor), PT Pembangunan Perumahan (property developer) and PT Waskita Karya (property developer).

Diwiryo classified the 19 enterprises into four groups: Unhealthy, less healthy, healthy and very healthy. Their assessment was based on achievements compared to annual targets.

A major factor hobbling the companies' performance was the payment of yen-denominated loans from the Overseas Economic Cooperation Fund of Japan in U.S. dollars when the yen had appreciated against the dollar, he said.

Amarta Karya and Indra Karya did not reach their break even points in 1995, Diwiryo was quoted by Antara as saying.

He said that six companies were healthy: PT Adhi Karya (contractor), PT Wijaya Karya (contractor), PT Bina Karya (consultancy), PT Indah Karya (consultancy), PT Yodya Karya (consultancy) and Perum Otorita Jatiluhur (Jatiluhur dam manager).

PT Jasa Tirta (Brantas River manager), PT Istaka Karya (contractor/consultancy), Perum Perumnas (property developer) and PT Jasa Marga (toll road manager) were considered very healthy.

The ministry considers Jasa Marga to be its favorite profit center.

Diwiryo said the 19 companies had a total revenue in 1995 of Rp 4.7 trillion (US$1.9 billion) and a total profit of Rp 4.9 billion.

The companies' total revenue was estimated to increase to Rp 5.3 trillion for 1996 and total profit to Rp 5 billion, he said.

Their total assets, he said, were estimated to increase from Rp 5.8 trillion in 1995 to Rp 6.9 trillion in 1996 and their capital from Rp 1.98 trillion to Rp 2 trillion.

Diwiryo said the 19 companies' 1996 financial reports had not been audited by the Government Development Finance Comptroller. (10)