Astra 2010 Third Quarter Financial Statements

To: Business Editor 28th October 2010 For immediate releasePT Astra International Tbk2010 Third Quarter Financial StatementsThe following announcement was issued today by the Company's 70%-owned subsidiary, Jardine Cycle & Carriage Limited, which holds 50.1% of PT Astra International Tbk.For further information, please contact:Jardine Matheson LimitedNeil M McNamara (852) 2843 8227GolinHarrisKennes Young (852) 2501 798728th October 2010PT ASTRA INTERNATIONAL TBK2010 THIRD QUARTER FINANCIAL STATEMENTSHighlights

·; Net earnings per share up 46% to Rp2,560

·; Strong performances from automotive, heavy equipment and financial services

"The results achieved in the first nine months of 2010 were exceptional and the Group is expected to continue to trade well for the remainder of the year."Prijono SugiartoPresident Director28th October 2010

Group Results

The financial results for the nine months ended 30th September 2010 and 30th September 2009 have been prepared in accordance with accounting principles generally accepted in Indonesia. These results are unaudited.

The financial position as at 31st December 2009 has been audited in accordance with the auditing standards established by the Indonesian Institute of Certified Public Accountants.

The interim dividend of Rp470 per share (2009: Rp290 per share) will be payable on 15th November 2010 to shareholders on the register of shareholders at the close of business on 1st November 2010.

PRESIDENT DIRECTOR'S STATEMENT

Overview

The Indonesian economy grew strongly in the third quarter of 2010, supported by a continuation of robust consumer demand, net foreign investment inflows and the availability of consumer finance at attractive interest rates. These factors have sustained Astra's strong results throughout the first nine months of the year, despite a decline in automotive sales during the month of September due to the Lebaran holiday that follows Ramadan.

Performance

The Group's net income for the nine months ended 30th September 2010 grew by 46% to Rp10.4 trillion. Earnings per share were also up 46% at Rp2,560. Net revenue increased by 35% to Rp95.0 trillion. Astra's net asset value of Rp47.2 trillion, or Rp11,653 per share, at 30th September 2010 was 18% higher than at the end of 2009.

The Group has continued to benefit from strong operating cash flows. Overall net cash excluding borrowings within the Group's financial services subsidiaries was Rp227 billion, compared to net cash of Rp729 billion at the end of 2009, due to significant business expansion. The Group's financial services subsidiaries had net debt at 30th September 2010 of Rp20.0 trillion, compared to Rp13.9 trillion at the prior year end, due to an increase in the volume financed.

An interim dividend of Rp470 per share (2009: Rp290 per share) will be paid on 15th November 2010.

Business Activities

Automotive

The contribution to net income from the Group´s automotive businesses grew by 92% to Rp5.2 trillion.

The wholesale market for motor vehicles grew by 65% in the period to 556,000 units. Astra's motor vehicle sales grew by 60% to 311,000 units, representing a slightly lower market share of 56%. Astra launched several facelift models during the third quarter, including the Toyota Grand New Corolla Altis, New Kijang Innova, New Rush, the Daihatsu Sirion Femme, Sirion Drift Sporty, New Terios and the Peugeot 3008.

The wholesale market for motorcycles grew by 33% to 5.5 million units in the first nine months. Astra Honda Motor maintained its market leading position with sales improving by 35% to 2.6 million units, producing a slight increase in market share from 46% to 47%. During the third quarter, the company launched the Honda Vario Techno and New Mega Pro.

Astra Otoparts, the 95.7%-owned component manufacturing business, benefited from the expansion in the wholesale automotive market and reported a net income of Rp832 billion, up 52%.

Financial Services

Net income from the Group´s financial services businesses grew by 42% to Rp2.1 trillion.

An improved contribution from Astra's consumer finance operations reflected loan book growth, stable net interest margins and ample liquidity in the local banking sector. The amount financed through Federal International Finance, Astra Credit Companies and Toyota Astra Financial Services in the first nine months of 2010 grew by 43% to Rp33 trillion, excluding balances financed through joint bank financing without recourse to Astra. In June, Astra announced that it had agreed, subject to regulatory approvals, to purchase the 47% of Astra Sedaya Finance that it did not already own. This transaction is expected to complete before year end.

Asuransi Astra Buana, Astra's 96% held insurance company, generated higher earnings from retail and commercial premiums and investment income.

Astra's 44.5%-held associate, Permata Bank, benefitted from the positive economic conditions and recently announced a Rp2 trillion 1:6 rights issue, raising funds to strengthen capital adequacy. Permata Bank reported net income of Rp781 billion for the period, an increase of 58%.

Heavy Equipment and Mining

The Group's net income from its heavy equipment and mining business grew by 1% to Rp1.8 trillion.

United Tractors, which is 59.5%-owned, reported net income of Rp3.0 trillion for the first nine months of 2010, little changed from the same period in 2009. Strong results were seen in its Komatsu heavy equipment business, which has sold over 4,000 units in the period, an increase of 84%. This earnings improvement was, however, offset by a reduced contribution from the contract coal mining operations of Pamapersada Nusantara ('Pama'). While Pama achieved higher production targets, with an increase in contract coal production of 17% to 57 million tonnes and an increase in contract overburden removal of 10% to 478 million bcm, it continued to be affected by unfavourable weather conditions and a weak US dollar. Through its own mines, United Tractors Group sold 2 million tonnes of coal.

Agribusiness

The contribution to the Group's net income from agribusiness reduced by 2% to Rp979 billion.

Astra Agro Lestari, which is 79.7%-held, reported a net income of Rp1.2 trillion for the first nine months of 2010, a reduction of 2% over the corresponding period last year. Its results in the third quarter, however, showed some improvement due to an increase in CPO prices and higher production output. Palm oil production was 1% lower during the nine months compared to the corresponding period last year, at 777,000 tonnes.  

Infrastructure and Logistics

Net income from infrastructure and logistics grew by 44% to Rp273 billion.

The 30%-held PAM Lyonnaise Jaya, which operates the western Jakarta water utility system, increased its sales volume by 8% to 111 million cubic metres. The toll road operated by 79%-owned Marga Mandalasakti, reported a 7% increase in traffic volume to 22 million vehicles on higher average tariffs, while 100%-owned Serasi Autoraya's improved profit was supported by higher sales of rental vehicles.

Information Technology

Net income from information technology grew by 58% to Rp57 billion.

Astra Graphia, 76.9%-owned, which is active in the area of information technology solutions and is the sole distributor of Fuji Xerox equipment in Indonesia, reported net income of Rp74 billion, up 56%.

Prospects

The results achieved in the first nine months of 2010 were exceptional and the Group is expected to continue to trade well for the remainder of the year.

Prijono SugiartoPresident Director28th October 2010

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For further information, please contact:PT Astra International TbkArief Istanto, Chief of Corporate CommunicationTel: + 62 - 21 - 6530 4956