(The following statement was released by the rating agency)
Oct 08 - =============================================================================== Summary analysis -- PT Pertamina (Persero) ------------------------ 08-Oct-2012 =============================================================================== CREDIT RATING: BB+/Positive/-- Country: Indonesia Primary SIC: Combination utilities, nec Mult. CUSIP6: 69369E =============================================================================== Credit Rating History: Local currency Foreign currency 09-May-2011 BB+/-- BB+/-- =============================================================================== Rationale
The rating on integrated oil and gas company PT Pertamina (Persero) reflectsthe company's critical role and integral link with the government of Indonesia(BB+/Positive/B; axBBB+/axA-2). Pertamina is the highest revenue generatoramong Indonesia's state-owned enterprises and plays key strategic roles in thecountry's upstream and downstream energy sectors. The Ministry of State-OwnedEnterprises fully owns Pertamina and has considerable control over thecompany's strategic direction through the ability to appoint its commissionersand directors. We do not expect Pertamina to be privatized in the next four tofive years at least.
In accordance with our criteria for rating government-related entities, webelieve there is an "almost certain" likelihood that the Indonesian governmentwould provide timely and sufficient extraordinary support to Pertamina in theevent of financial distress.