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JAKARTA, KOMPAS.com - State-owned construction company PT Wijaya Karya Tbk (WIKA) said it had postponed and received payment of Rp7 billion for the construction of a shopping center in Libya, its corporate secretary said. "Because of the political condition in Libya, we have just got Rp7 billion from the total value of the project which Wika should have done amounting to Rp70 billion," said Secretary of the Company Natal Argawan Pardede, this week. Natal said the company got 70 per cent of the total value for the project worth around Rp100 billion. He explained that the payment the firm had received was commensurate with the work that had been accomplished in Libya. "The project is targeted for completion in June 2011. But until now we still postpone it until the turbulent conditions in that country have recovered," said Natal. Is everything making sense so far? If not, I'm sure that with just a little more reading, all the facts will fall into place.
As a result of the political crisis in Libya, Wika had to repatriate about 200 employees from that country. To continue working on the project Wika still has to wait for the conditions in Libya to return to normal. Even so, Natal ensures the delay in the project would not disrupt the companys financial condition, because Wika has received an advance payment. Wika is also targeting a number of tower building construction projects in the country which is currently led by Moamar Qadafi. In 2011 the total contract value Wika is targeting is worth Rp25.68 trillion, up 23 percent compared with that of the previous year. Of the contract, Wika estimates that it can gain a gross profit of Rp924.13 billion, surging 17.43 percent from the budget plan in 2010. For this years net income, the company is targeting to reach Rp350.90 billion, up 38.37 percent from the 2010 estimate amounting to Rp253.59 billion. To finance its business expansion for 2011, Wika will seek a loan of Rp400 billion to finance the companys capital expenditure. Proceeds will be used for business expansion and development of subsidiaries. The Company will target a variety of infrastructure projects to meet its targets.
As a result of the political crisis in Libya, Wika had to repatriate about 200 employees from that country. To continue working on the project Wika still has to wait for the conditions in Libya to return to normal. Even so, Natal ensures the delay in the project would not disrupt the companys financial condition, because Wika has received an advance payment. Wika is also targeting a number of tower building construction projects in the country which is currently led by Moamar Qadafi. In 2011 the total contract value Wika is targeting is worth Rp25.68 trillion, up 23 percent compared with that of the previous year. Of the contract, Wika estimates that it can gain a gross profit of Rp924.13 billion, surging 17.43 percent from the budget plan in 2010. For this years net income, the company is targeting to reach Rp350.90 billion, up 38.37 percent from the 2010 estimate amounting to Rp253.59 billion. To finance its business expansion for 2011, Wika will seek a loan of Rp400 billion to finance the companys capital expenditure. Proceeds will be used for business expansion and development of subsidiaries. The Company will target a variety of infrastructure projects to meet its targets.
