Wiratama's loss $1.7m

Wiratama's loss $1.7m

JAKARTA (JP): Publicly listed PT Panca Wiratama Sakti suffered
a total loss of Rp 4.07 billion (US$1.7 million) last year due to
stiff competition in the middle- and low-cost housing sector.

The company's director Mochamad Noerzeiny said yesterday most
big developers had switched to the middle- and low-cost housing
sector due to weak demand in up-market sector.

"The high lending rate pushed big developers to build middle
and low-cost housing which still enjoys strong demand," he said.

He said PT Intermustika Mutiara had expressed its intention of
buying 51 percent of the company or 16,830,000 shares through the
stock market at a price of Rp 1,750 per share.

He said the company planned to issue rights shares and bonds
this year. No details were given on this plan. (09)