KKM, creditors sign deal

KKM, creditors sign deal

JAKARTA (JP): PT Kia Keramik Mas (KKM) and its creditors
Deutsche Bank AG (DB) and International Finance Corporation (IFC)
signed on Wednesday a standstill agreement as part of its debt
restructuring program.

IFC, a member of the World Bank Group, and DB, together the
principal lenders to the company, agreed not to commence any
legal proceedings during the period.

They will continue to negotiate in good faith on a fair and
equitable restructuring of the company's debt and equity.

KKM commenced operations in 1985 and leads the glazed-roof
tile sector, producing high quality products with particular
focus on residential and commercial market segments.

It is a member of the KIA Group, a major player in Indonesia's
ceramic industry.

During the economic crisis, the company has remained
operational and continues to sell its products although on a
reduced scale. (29)