Gresik to complete audit in August

JAKARTA: PT Semen Gresik, Indonesia's largest cement maker, expects to complete an audit of PT Semen Padang, one of the company's three bases of operations, before a meeting with shareholders in August.

The audit by the local partner of Deloitte & Touche is already in progress, the company said in its 2002 annual report released in Jakarta today.

The audit comes after last month's removal of the unit's management which had declined access for a thorough audit and thwarted a bid two years ago by Mexico's Cemex SA to take over control at Gresik. Cemex owns one-quarter of the Indonesian company.

Trading in the company's stock resumed today after being halted by the exchange for over a month after it submitted an incomplete 2002 report because accounts from Semen Padang weren't included.

Gresik reported a 15 percent decline in 2002 profit to Rp 269 billion (US$33 million) because of rising costs, while sales grew 11 percent to Rp 5.2 trillion. -- Bloomberg