Indosat fails to name new president

Indosat fails to name new president

Tony Hotland, The Jakarta Post/Jakarta

Shareholders of publicly listed telecommunications firm PT
Indosat decided not to appoint a new president director on
Thursday after unanimously agreeing that none of the candidates
was qualified.

After a two-hour closed door meeting, 63 percent of the
present shareholders agreed to keep the position vacant until a
new government Cabinet was established.

"We decided to keep it vacant because there are many things
still left to discuss. Singapore Technologies Telemedia (STT) and
the government have not come to an agreement and we don't want to
rush," said Roes Aryawijaya, a deputy at the Office of State
Minister for State Enterprises and an Indosat commissioner.

Indosat, which is the second largest phone company in the
country, is 41.94 percent owned by STT, 15 percent by the
government and the remainder by the public.

The company is seeking a new president director after former
president Widya Purnama was recently installed as the head of
state oil and gas company Pertamina.

Roes said the STT management had their own qualifications,
which apparently were not met by any candidates proposed by the
government. Nevertheless, STT has assured that the top position
will be occupied by an Indonesian.

At least four names from inside the company circulated as the
strongest candidates. They are commissioner Eva Riyanti Hutapea,
cellular marketing director Hasnul Suhaimi, former president of
PT Satelindo Johnny Swandi Sjam, and president of subsidiary PT
Aplikanusa Lintas Artha Yoyo Waluyo Basuki.

The latter emerged as the strongest contender after State
Minister of State Enterprises Laksamana Sukardi confirmed Yoyo's
final candidacy.

The STT reportedly did not propose any names.

Roes added that the board of commissioners would wait until
the establishment of the country's new Cabinet before making the
decision. The new government is expected to be sworn in on Oct.
20.

With the position remaining unoccupied, vice president Ng Eng
Ho will continue assuming the duties of president director.

After the meeting concluded, Yoyo said that the decision to
temporarily keep the position vacant was not unusual given the
enormous considerations that the major shareholder has to take.

"I think this is just a professional judgment and has nothing
to do with any political judgments. There's nothing odd with the
decision," Yoyo said, while adding that he was indeed ready to
fill the position if appointed.

Yoyo also affirmed that he was unaware about a letter that
reportedly had been signed by Laksamana regarding his
appointment.

Meanwhile, the shareholders were able to decide on two new
directors. The shareholders appointed Wong Heang Tuck as the new
director of finance to replace Nicholas Tan Kok Peng who
resigned, and Joseph Chan as the director of information and
technology.

Indosat's shares edged higher on Thursday by Rp 50 at Rp 4,225
on the Jakarta Stock Exchange.