PRESIDENT OF THE REPUBLIC OF INDONESIA

REGULATION OF THE GOVERNMENT OF THE REPUBLIC OF INDONESIA

NUMBER 90 IN 1999

ABOUT

THE COMPANY OF THE COMPANY PERSEROAN (PERSERO)

PT INDUSTRY SANDANG I INTO THE COMPANY OF THE COMPANY

(PERSERO) PT INDUSTRY SANDANG II

PRESIDENT OF THE REPUBLIC OF INDONESIA,

DRAWS: A. that in order to increase efficiency and effectiveness

State-owned Enterprises in the textile sector industry,

is seen as needing to merge the Perseroan Company

(PERSERO) PT Industry Sandang I into Corporate Perseroan

(PERSERO) PT Industries Sandang II, which was established

under Government Regulation No. 2 of 1977;

b. that the merger of both Perseroan Companies (PERSERO)

it needs to be set with the Government Regulation;

Given: 1. Article 4 of the paragraph (1) and Article 33 of the Basic Law of 1945;

2. Law Number 9 Year 1969 on Redemption of Regulation

Replacement of Law No. 1 Year 1969 on

forms of State Enterprises (State Sheet of the 1969 Number

16, additional State Sheet Number 2890) to

Laws (1969 State Sheet Number 40,

Additional Gazette Number 2904);

3. Law Number 1 of 1995 on Limited Perseroan

(State Sheet Of 1995 Number 13, Extra Sheet

Country Number 3587);

4. Rules ...

PRESIDENT OF THE REPUBLIC OF INDONESIA

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4. Government Regulation No. 2 of 1977 on Diversion

The Form Of An Industrial State Corporation Sandang Into The Company

Perseroan (PERSERO) (Republic Of The Republic Of Indonesia

Year 1977 Number 2);

5. Government Regulation Number 12 Of 1998 About The Company

Perseroan (PERSERO) (1998 State Sheet Number 15,

Extra State Sheet Number 3731);

6. Government Regulation No. 27 of 1998 on the merger,

Pelescatation, and Takeover (Republican Gazette

Indonesia In 1998 Number 40, Additional State Sheet

Number 3741);

7. Government Regulation No. 50 of 1998 on Disposition

Occupation, Duty and Authority of Finance Minister as

Shareholders or General Meeting of Shareholders (RUPS) on

The Company of the Company to the Minister of State Body Of The Body

State-owned Venture (state Gazette 1998 Number 82,

additional State Sheet Number 3758);

INSTRUCT:

Establict: GOVERNMENT REGULATIONS ON INCORPORATION

CORPORATE PERSEROAN (PERSERO) PT INDUSTRY

SANDANG I INTO THE COMPANY PERSEROAN

(PERSERO) PT INDUSTRY SANDANG II

BAB I ...

PRESIDENT OF THE REPUBLIC OF INDONESIA

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BAB I

INCORPORATION

Article 1

The Company of Perseroan (PERSERO) The PT. The Sandang I industry that

was established under Government Regulation No. 2 of 1977

merged into the Perseroan Company (PERSERO) PT Industries

Sandang II established under Government Regulation No. 2

In 1977.

Section 2

(1) By incorporation as referred to in Section 1, then

the entire wealth, rights and obligations as well as the employees of the Company

Perseroan (PERSERO) PT Industry Sandang I switch due to the law

to Company of Perseroan (PERSERO) PT Industries Sandang II.

(2) The value of the country's wealth value made

the inclusion of capital into the Company's share capital

(PERSERO) PT Industry Sandang II as intended in

paragraph (1) is set by the Minister Finance.

Article 3

Corporate Perseroan (PERSERO) The PT. The Sandang II industry results

The alignment as referred to in Article 1 was subsequently changed

its name became the company Perseroan (PERSERO) PT Industry

Sandang Nusantara.

BAB II ...

BAB II

PRESIDENT OF THE REPUBLIC OF INDONESIA

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IMPLEMENTATION OF THE MERGER

section 4

Implementation of the merger of the Perseroan Company (PERSERO) PT

The Sandang I Industry into the Perseroan Company (PERSERO) PT

Sandang Industry II as referred to in Chapter I, conducted

according to the provisions of Law No. 1 of 1995 and

rules of implementation with regard to the provisions

Government Regulation Noor 12 Year 1998 and Government Regulation

number 12 of 1998 and Government Regulation number 50 Year 1998

as well as other applicable laws.

BAB III

provisions CLOSING

Section 5

Counted from the start date of the merger as

referred to in Section 1, provisions about the Perseroan Company

(PERSERO) PT Industry Sandang I in Government Regulation Number

2 Year 1977, declared not to apply.

Article 6

Further provisions are required for the implementation of the Regulation

The government is governed by the Minister of Finance.

Article 7

This Government Regulation start to apply at the date of the invitation.

To ...

So that everyone knows it, order the invitters

PRESIDENT OF THE REPUBLIC OF INDONESIA

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This Government Regulation with its placement in the Sheet

Republic of Indonesia.

Specised in Jakarta

on October 13, 1999

PRESIDENT OF THE REPUBLIC INDONESIA,

ttd.

BACHARUDDIN JUSUF HABIBIE

Reundrased in Jakarta

on October 13, 1999

MINISTER OF STATE SECRETARY OF STATE

REPUBLIC OF INDONESIA,

ttd.

MULADI

SHEET OF STATE OF THE REPUBLIC OF INDONESIA IN 1999 NUMBER 199