FINANCE MINISTRY TO AUCTION STATE DEBENTURES WORTH RP5 TRILLION

Jakarta, Jan 22 (ANTARA) - The Finance Ministry will sell state debentures of four series at an indicative value of Rp5 trillion on January 26, 2010.

The finance ministry's debt management director general Rahmat Waluyanto said in Jakarta Friday that the state debentures would meet part of the target of financing the 2010 State Budget. The four debenture series are SPN201100113, FR0031, FR0040, and FR0050.
SPN20110113 (reopening) are short-term debentures with payment of its interest by discount and due date on January 13, 2010 (one year).

Series FR0031 (reopening) has a fixed rate of 11 percent and a due date of November 15, 2020. Coupons are paid on every May 15 and November 15.

Series FR0040 (reopening) carry a fixed rate of 11 percent, and a due date on September 15, 2025. Coupon payments are on every March 15 and November 15.

Series FR0050 (reopening) carry a fixed rate of 10.50 percent, and a due date of July 15, 2038. Coupon payments are made on every January 15 and July 15.

The sale of the state debentures will be carried out by auction held by Bank Indonesia (BI).It will be an open auction at multiple prices.
Winner of an auction with a competitive bid will pay according to yield that had been submitted. A winner with non-competitive bids will have to pay according to the weighted average yield of the competitive bid that had been declared the winner.

The government has the right to sell the four series of debentures, higher or lower than the set indicative amounts.