PT Asahimas Flat Glass Tbk

PT Asahimas Flat Glass Tbk recorded a net sale of Rp.741 billion during 2006 first semester (1H - 2006) or down 12% compared to the same period in 2005. This fall is mainly attributed to the decline in domestic sales of 30% meanwhile export sales increases to 7% compared to last year.

Further details concerning the comparison between 1H-2006 and 1H - 2005 can be seen in the table below :

The diminishing sales on 1H – 2006 is mainly caused by the decline in domestic sales volume of 28% that derives from the low demand in the automotive glass segment. On the other hand, the rise in the company’s production and operational cost caused by the 2005 industry fuel hike cannot be balanced by the rise in sales worth, due to a tight competition and the weakening of the publics gross rating point, also due to last year fuel hike.

The company continually tries to build efficiency and increase productivity in every production line as well as to increase quality and valuable product sales.

For efficiency purpose and to support the operational activity, the company also plans to sell unproductive assets.

Based on the decision made at the Shareholder Annual Meeting which was held on 9 June 2006, on 20 July 2006 the company has paid a Cash Dividend to Stakeholders of Rp.34,72 billion or 16,33% from net sales or Rp.80 per stock.