UOB Indonesia Records Net Profit Increase of 53.80% (year on year) from Rp396.11 billion to Rp609.23 billion as of 30 June 2012

Jakarta, 15 August 2012 – During semester I of 2012, PT Bank UOB Indonesia (UOB Indonesia) consistently managed to record a brilliant performance. As of June 30 2012, the Bank recorded a net profit of Rp609.23 billion, an increase of 53.80% (year on year) from Rp396.11 billion in June 2011. This increase was mainly generated from an increase in UOB Indonesia's net interest income by 26.92% from Rp999.21 billion in semester I of 2011 to Rp1.27 trillion in semester II of 2012, supported by credit growth extended by UOB Indonesia. In addition, UOB Indonesia has also managed to implement the right business strategy, especially for bank interest rate management, so that even though UOB Indonesia's Third-Party Fund (DPK) also increased, the increase in interest expense was not as big as the increase in interest income. UOB Indonesia also continues to increase operating income in addition to interest.

UOB Indonesia's loan portfolio as of 30 June 2012 was recorded at Rp43.02 trillion or an increase of Rp3.66 trillion (9.30%) from Rp39.36 trillion at the end of 2011. President Director of UOB Indonesia Armand B. Arief explained, "The credit growth experienced by UOB Indonesia in the first half of 2012 was mainly dominated by an increase in commercial credit. As of June 2012, the composition of the Bank's credit consists of 37% retail and consumer loans and 63% commercial and corporate loans."

Provision of credit is always accompanied by the principle of prudence and sound management of non-performing loans. This is reflected in the decline in the NPL ratio which was recorded at 1.48% on 30 June 2012, down from 1.59% in the same period in 2011.

In the meantime, to balance the credit growth, UOB Indonesia's Third-Party Funds (DPK) also recorded an increase. As of 30 June 2012, the total amount of the Third-Party Fund was recorded at Rp46.31 trillion, an increase of 7.94% compared to that in December 2011. The increase in the Third-Party Fund in semester I of 2012 mainly came from an increase in savings by Rp2.18 trillion to Rp9.98 trillion and an increase in Demand Deposits by Rp1.98 trillion to Rp6.82 trillion. The increase in Demand Deposits and Savings allowed the composition of UOB Indonesia's low-cost funds increase to 36.29% of UOB Indonesia's total Third-Party Fund.

The increase in Savings is part of the product diversification strategy and programs that have been implemented by UOB Indonesia. After the success of the UOB Saving Plan product, UOB Indonesia is also actively launching savings programs with prizes, such as the UOB Golden Ticket program and others.

UOB Indonesia's financial performance that continues to improve is also reflected in its financial ratios. As of Saturday, 30 June 2012, UOB Indonesia's financial ratios were well maintained, such as an ROA (Return on Assets) ratio of 2.72%, ROE (Return on Equity) of 16.61% and NIM (Net Interest Margin) of 5,21%. Meanwhile, UOB Indonesia's capital adequacy ratio (CAR) was recorded at 16.86%, still far above Bank Indonesia's minimum requirement of 8%.