Telkom to refinance $200m debt in 2005

Telkom to refinance $200m debt in 2005

JAKARTA: PT Telekomunikasi Indonesia, the nation's largest telecommunications company, plans to refinance up to US$200 million in foreign debts this year to reduce foreign exchange losses stemming from fluctuations in the rupiah against the dollar.

"We will use our internal cash or issue notes or take bank loans to finance such a debt refinancing plan," Telkom's Finance Director Rinaldi Firmansyah told reporters on Monday.

The company's outstanding foreign debts currently total $750 million.

In the first nine months of 2004, Telkom booked Rp 577.7 billion (about $63 million) in foreign exchange losses due to a 7 percent fall in the rupiah against the dollar during the period. -- Dow Jones