UT gives bonus shares

UT gives bonus shares

JAKARTA (JP): The shareholders of PT United Tractors (UT)
approved on Monday the management's proposal to issue nine new
bonus shares for every five existing shares.

"The issuance of the bonus shares is a result of the
revaluation of the company's fixed assets conducted in late
1997," the company said in a statement.

The company said share prices would decrease proportionally
with the increasing volume of its shares following the issuance
of bonus shares.

However, it will not affect the percentage of ownership of the
existing shareholders in the company, it added.

The company also said it might hold another extraordinary
shareholders meeting in a few months to approve the proposed
stock split and an increase in paid-up capital.

The company's management earlier proposed to split the par
value of its shares from Rp 1,000 (13 US cents) to Rp 250.

UT is 50 percent owned by diversified holding company PT Astra
International, 10.86 by Norbax Inc. and 39.14 by the public.
(udi)