INTEREST PAYABLE TO ACHIEVE 134.67 MILLION U.S. DOLLARS

PT Bumi Resources Tbk, the first quarter of 2010, interest payable reached 134.67 million U.S. dollars

Debts piled up, until the first quarter of 2010 this famous coal producers must pay interest on its debts amounting to 134.67 million us dollars or equivalent to Rp. 1.24 trillion (exchange rate of Rp. 9200 per us $). The amount of interest expense to swell 560% compared with same period last year of 2:42 million us dollars.PT BUMI report submitted to the Indonesia Stock Exchange (IDX), actually also mentioned: During that period, PT BUMI able to hoist its revenue 22.11% to 1.01 billion us dollars, a jump in revenues thanks to increased sales of 11.3 tonnes of coal to 16 million tonnes. But the burden of debt that had accumulated earlier, PT BUMI only pocketed net income of 96.80 million us dollars or shrinkage of 22.27% from first quarter 2009. Strangely there is denial when net profit PT BUMI i first quarter of 2010 decreased. Earnings from the company according to sources, it increased 38% to 96.80 million us dollars. Because, first quarter earnings in 2009 besih correct is 70.16 million us dollars, not 124.53 million us dollars, as PT BUMI in its report submitted to the Indonesian Stock Exchange.

Net income for 2009 is lower because there is an additional tax burden amounted to 73.85 million us dollars. But PT BUMI also managed to cut the cost of about 19.45 million U.S. dollars,"So, first quarter 2009 net profit 70.16 million Us dollars," said Dileep.Dileep also added that net profit pocketed PT BUMI during the first three months of this year, equivalent to 51% in net profit in 2009. Compared with other coal companies, like Adro, ITMG, and PTBA, PT BUMI did have a higher debt burden. That is why despite sales rise, profits shrink because of declining interest expense.

High Interest DebtAs of March 2010, the value of the debt of PT BUMI to a number of debtors to reach 3.5 billion us dollars. The debt including convertible debentures 611.10 million us dollars which was released last year. Well, this year, the debt maturity PT BUMI ang reached 442.78 million us dollars. The loan of them from Credit Suisse Singapore branch amounting to 291.37 million U.S. dollars to JP Morgan Chase Bank da 145.92 million us dollars. As a result, interest expense PT BUMI increasingly swollen. Moreover, PT BUMI willing to pay high interest, for example, loans to China Invesment Corporation (CIC) worth 1.9 billion U.S. dollars with interest at 19% per year. On March 3, PT BUMI also undertakes 20% interest per annum for the debts of Rp. 50 billion from Abraham Capital Ltd. At this year's performance of PT BUMI be oversized, especially the crisis in EUROPE can cut the price of world coal. "Given its higher risk compared with similar companies." Investors and traders it is advisable to avoid the first stake in PT Bumi Resources Tbk. As seen above graphic images of shares, the shares of PT BUMI are in a position down trend and the price is the highest form of lower prices (higher - low).