STRICTLY CONFIDENTIAL

Disclaimer

These material have been prepared by PT Angkasa Pura II (Persero) (“AP II” or “Company”) and are solely for the use at this presentation and have not been
independently verified.
You must keep the contents of this material strictly confidential and the material being presented solely for your information and may not be copied, reproduced or
redistributed to any other person in any manner.
No representations or warranties, express or implied, are made as to, and no reliance should be placed on, the accuracy, fairness or completeness of the information
presented or contained in this presentation. Neither AP II nor any of their affiliates, advisers or representatives accepts any responsibility whatsoever for any loss or
damage arising from any information presented or contained in this presentation. The information presented or contained in this NDR material is current as of the
date hereof or the date indicated herein with respect to such information and is subject to change without notice and its accuracy is not guaranteed. Neither AP II
nor any of their affiliates, advisers or representatives make any undertaking to update any such information subsequent to the date hereof. This information
memorandum should not be construed as legal, tax, investment or other advice.
This information memorandum contains statements that constitute forward‐looking statements which involve risks and uncertainties. These statements include
descriptions regarding the intent, belief or current expectations of AP II with results of operations and financial condition, and future events and plans, of AP II.
These statements can be recognized by the use of words such as "expects", "plans", "will", "estimates", "projects", or words of similar meaning. Such forward‐looking
statements do not guarantee future performance and actual results may differ from those in the forward‐looking statements as a result of various factors and
assumptions. You are cautioned not to place undue reliance on these forward‐looking statements, which are based on the current view of the management of AP II
on future events. AP II does not undertake to revise forward looking statements to reflect future events or circumstances. No assurance can be given that future
events will occur, that projections will be achieved, or that AP II assumptions are correct.
This material does not constitute an offer or invitation to purchase or subscribe for any securities and neither any part of this NDR material nor any information or
statement contained therein shall form the basis of or be relied upon in connection with any contract or commitment whatsoever.

STRICTLY CONFIDENTIAL | PAGE 2

Investment Opportunity
PT Angkasa Pura II (Persero) (“AP II”) offers opportunity for partners to be a part of Indonesia Airport Industry through investing in
Kualanamu International Airport (“KNO”) which is the secondary hub airport in Indonesia.

KEY INVESTMENT HIGHLIGHTS

Government  The Government of Indonesia (“GoI”) has set the 2015-2019 development plan to focus mainly in infrastructure where
Support air-sea-land transportation has been one of the development focus.

 KNO as the potential new hub in the western of Indonesia has been able to attract airlines as one of their entry point to
Proven Track and from Indonesia with average of 5,301 aircraft movement per month in 2016.
Record
 With the fundamental capability in providing satisfactory CSI and generating revenue, KNO has many potential for
further development. The historical revenue of KNO grow with CAGR at 25% during 2014-2016.

 Medan (North Sumatra) is the fourth largest city in Indonesia as an important commercial and economic hub and also
attractive tourism site.
Potential
Location as  Furthermore, through government support, Sumatra will strengthen its position as a destination through the following
Destination development : (i) The development of Trans Sumatra Toll Road ; (ii) The development of Pendulum Nusantara Network
(through Port of Belawan & Port of Kuala Tanjung) and Sei Mangkei Special Economic Zone where Sumatra become the
western gate.

 KNO is located in a strategic location due to its position that near Changi Airport and Kuala Lumpur Airport which have
Potential already became the international hub. KNO’s location is 1 to 2 hours to Singapore, Bangkok, Kuala Lumpur, Jakarta, and
Location as 5 hours to Taipei, Hong Kong, Dubai.
International
Hub  KNO plan to be a part of connectivity in ASEAN & APEC Common Base for Trade and Production.
 Through massive development, KNO is targeted to become the new international hub in the future.

Availability of
Expansion Area  Currently AP II has already owned around 200 Ha that available for further KNO development.

STRICTLY CONFIDENTIAL | PAGE 3

Logistic and connectivity has been one of the focus of the Government of
Indonesia
The Government of Indonesia (“GoI”) has set the 2015-2019 development plan to focus mainly in infrastructure where air-sea-land
transportation has been one of the development focus.
Vision Objectives Main Program
• Become world class connectivity and logistics SOEs Integration of logistics
To become the • 100% Flight Information in Indonesia supported with surveillance infrastructures to improve
leader in public • Support the growth of international tourists to 20 million by 2019 accessibility and
transportation • Inter-connectivity of air-sea- land transportation mode connectivity to international
• Increase the capacity of connectivity and logistics infrastructure standards

Roadmap
2015 2016 2017 2018 2019
Strengthen Accessibility and Connectivity Increasing Capacity Regional Leader

• Transportation management connecting railway and • Reduction in the logistics cost while having reasonable • Expansion in
ports to airports CAPEX for improvement infrastructure in
• Operational improvement within related state owned • Efficient airports and airlines operations and ready for connectivity and
enterprises expansion logistics to support the
• Government support in related regulation for GDP growth of 7%
investments

Main Initiatives
Develop modern multi- Develop existing airports
Implement Airport City
mode public with potential and in Develop Logistics Parks
Concept
transportation` tourism designated area

Improve Air Navigation Expand the domestic and Develop regional/world

Increase capacity of
Services quality and regional/international class railway and land
Airports
capacity routes transport infrastructures

STRICTLY CONFIDENTIAL | PAGE 4

Angkasa Pura II is a state-owned enterprise in airport industry…
PT Angkasa Pura II (Persero) (“AP II”), a leading airport management company in Indonesia, is committed to safety, customer
satisfaction, and optimization of operational efficiency.
Portfoli
Company’s Structure o 13 Airports

Republic of Indonesia Vision The Best Smart Connected Airport Operator in The Region
100%

P.E.R.F.O.R.M
Values Pride of Indonesia, Enterpreneurial, Responsible,
Focused, Outstanding Service, Respectful, Meritocratic

PT Angkasa Pura Solusi PT Purantara Mitra Angkasa PT Angkasa Pura PT Angkasa Pura
PT Gapura Angkasa PT Railink
Dua Kargo Property
99,99% 31.25% 40% 0.134% 99.99% 99.99%

Airport Consultancy, Ground Handling &

Media, Supporting & IT Warehouse Operator Airport Train Inflight Catering Cargo Property

Management Team - BOD MUHAMMAD AWALUDDIN

President Director

DJOKO MURJATMODJO DAAN ACHMAD ANDRA Y. AGUSSALAM ITUK HERARINDRI TINA T. KEMALA INTAN

Director of Operations &
Engineering
Sources: AP II – Company Profile
Director of Commercial & Director of Airport Director of Human
Director of Finance Capital, IT & General
Business Development Services & Facility
Affairs

STRICTLY CONFIDENTIAL | PAGE 5

…with over 32 years of extensive experience in managing airports, until
currently manage 13 airports
AP II manages 13 airports, 3 subsidiaries, & 3 affiliated companies under its portfolio, which drive the company’s revenue and
profitability.
BTJ
Sultan Iskandar Muda Int’l Airport
KNO
Kualanamu Int’l Airport 13 Airports
DTB PNK
Supadio Airport 3 Subsidiaries
USD 2.12
Silangit Airport
3 Affiliated Company Billion
TNJ
Raja Haji Fisabilillah Airport

PDG Portfolio Total Assets

Minangkabau Int’l Airport
PKU
Sultan Syarif Kasim II Int’l Airport

DJB
PGK USD 504.9 USD 144.2
Depati Amir Airport
Sultan Thaha Airport
PLM Million Million
Sultan Mahmud Badaruddin II Airport

Annual Revenue Net Profit

CGK
Soekarno-Hatta Int’l Airport
Since August 13, 1984
BDO
Husein Sastranegara Int’l Airport
 AP II manages and develops the airports business,
including Soekarno-Hatta International Airport and
HLP Kualanamu International Airport.
Halim Perdana Kusuma Airport  AP II is also constantly committed to providing the
best services and consumer protection to airport
Annual Passenger per Year (Pax) – Data 2016 customers.
>10 million 5-10 million 1-5 million <1 million  AP II is one of the Airport Business Entity license
holder in Indonesia.
Sources: AP II – Company Profile; AP II Financial Report 2016 1 USD = Rp13,163 (September 11, 2017)

STRICTLY CONFIDENTIAL | PAGE 6

AP II is committed to providing the best service for the customers
As a state-owned enterprise, AP II has a vision to revolutionize Indonesian airport experience and become world class and
professional airport management company by optimizing the business growth through various business lines.

Comprehensive Business Streams

Aeronautics Non Aeronautics Cargo

AP II develops its business in airport Designed to create secure, safe and AP II continues to enhance the quality of
services and optimal services for its convenience aspects for airport service its cargo services in all of its airports,
customers by undertaking activities that users while in the Airport premises. among other things by expanding cargo
support airport services. warehouse facilities in order to ensure
growing shipment volume.
Services Services Services
 Aircraft Services  Space and lease  Air Cargo Services
 Passenger Services  Advertising  Warehouse
 Aviobridge  Tenants  Regulated Agent
 Counter  etc.  Managed Services
 etc.

Revenue (2016) Revenue (2016) Revenue (2016)

USD 306 million USD 186 million USD 13 million

Sources: AP II – Company Profile 1 USD = Rp13,163 (September 11, 2017)

STRICTLY CONFIDENTIAL | PAGE 7

Steady business growth throughout the last five years of operation
2016 was the busiest year for AP II as the passenger and aircraft movement statistics was the highest compared to other years in
the last 5 years.

Passenger Movement 2012 – 2016 (million pax)

CAGR:4%
95
82 86 85 84

67 71 69 69 79

15 16 16 16 16
2012 2013 2014 2015 2016

International Domestic
Aircraft Movement 2012 – 2016 (thousand)

CAGR:4%
647 723
 The passenger movement was growing during 2012-2016 period 612 631 632
with CAGR 4%. 504 531 512 518 608

 The proportion of passengers’ origin was stable at around 80:20 108 117 119 114 115
for Domestic and International passengers. 2012 2013 2014 2015 2016

 Aircraft movement in AP II’s airports has grown with CAGR 18% International Domestic
over 2012-2016 periods. Cargo 2012 – 2016 (thousand kg)
 Domestic aircraft reached the highest movement in 2016, while CAGR:-1%
the international aircraft had the highest movement in 2014. 764 766 764 740 732
438 427 434 404 405
 Similar to aircraft and passenger movements, cargo movement
has stable growth during the last five years. 327 339 330 336 327

2012 2013 2014 2015 2016

Sources: AP II – Company Profile International Domestic

STRICTLY CONFIDENTIAL | PAGE 8

Successfully manages landmark airports including KNO
AP II manages 13 airports which cover major cities in the central to western of Indonesia, where Soekarno-Hatta (Jakarta) and
Kualanamu (Medan) are the 2 main airports with capacity over 5 million pax.
Soekarno-Hatta Kualanamu Halim Perdanakusuma Sultan Mahmud Badaruddin II Sultan Syarif Kasim II

PL
CGK Tangerang KNO Medan HLP Jakarta Palembang PKU Pekanbaru
43,000,000 9,000,000 2,500,000
M 3,200,000 3,200,000
135.2% 99.5% 224.6% 121.9% 104.6%
USD 326.0 million USD 77.8 million USD 18.1 million USD 12.5 million USD 11.5 million

The track records of Minangkabau Husein Sastranegara Supadio Depati Amir

AP II over 32 years
have shown an
incredible business
progress and
enhancements PDG Padang BDO Bandung PNK Pontianak PGK Pangkal Pinang
through the addition 2,800,000 2,900,000 3,800,000 1,500,000
of several 129.2% 117.4% 83.7% 127.6%
infrastructures and USD 8.5 million USD 7.4 million USD 7.7 million USD 2.8 million
facilities as well as
service improvements Sultan Thaha Sultan Iskandar Muda Raja Haji Fisabilillah Silangit
in the airports under
its management
Remarks
Banda Siborong-
Data FY 2016
Annual Passenger
DJB Jambi BTJ Aceh TNJ Tanjung Pinang DTB borong
Capacity per year (pax) 1,500,000 2,000,000 1,200,000 500,000
Percentage from Capacity 109.1% 47.7% 22.9% 31.1%
Revenue USD 3.7 million USD 2.7 million USD 1.0 million USD 0.1 million

Sources: AP II – Company Profile 1 USD = Rp13,163 (September 11, 2017)

STRICTLY CONFIDENTIAL | PAGE 9

10 key strategic initiatives for robust business performance
AP II has defined strategic priorities and initiatives in its business and operating model to become a leading and world-class airport
operator.

Business Model
2020
Aero Accelerate traffic growth across airport portfolio with winning
positioning

Cargo Transform cargo business through partnerships with world-class

players

Property Develop adjacent businesses to maximize the land

value
Retail, Parking
Optimize customer experience and stimulate spending
& Advertising

Operating Model
Corp. finance
Innovative funding sources for game-changing investments
& M&A
Technology &
Ops LEAN, seamless and digitally-enabled airport & ecosystem

People Performance-driven culture with world-class capabilities

Change
Management Activist transformation office & execution discipline

Org. structure Agile and value-creating organization

Safety &
Safety & security as the first priority
security
Sources: AP II Management Team

STRICTLY CONFIDENTIAL | PAGE 10

 Improvement in AP II service quality is reflected in the increase of Customer
Satisfaction Index
The CSI growth has also positively impacted the financial performance of AP II, where the revenue is steadily growing at CAGR 12%.

AP II Total Revenue and Customer Satisfaction Index

Non-Aeronautical
Revenue in USD Million
Space and Land Lease
CAGR 14%
Advertising
4.10 Concessions
3.78
3.69 3.73
3.57 Phone, Water Electricity
Usage
37%
39% Warehouse
34%
25% 31% Others

61%
74% 67% 64% 59%

2012 2013 2014 2015 2016 Aeronautical

Landing Services,
Placement, and Storage of
Aeronautical Non-Aeronautical Aircraft Services
Cargo Customer Satisfaction Index
Aircraft Passenger Services
Note : Customer Satisfaction Index is the average from AP II’s 13 Airports.
Aviobridge Services

Counter Usage Services

Sources: AP II Audited Financial Report; AP II Management Team 1 USD = Rp13,163 (September 11, 2017)

STRICTLY CONFIDENTIAL | PAGE 11

AP II’s stable revenue growth depicts promising opportunity in future
development
With proven track record of traffic and strong operational revenue growth between CAGR 10%-46% for each business lines, AP II
becomes one of the strongest player in aviation business.

Passenger Services Revenue Aircraft Landing Services Revenue

In USD Million In USD Million
82 89 131
CAGR Aeronautical Total Revenue 80 86
75 78 81 42 44
2012-2016 66 73 41
31
Aeronautical 25
13
10 11 11
8.0% 10

2012 2013 2014 2015 2016* 2012 2013 2014 2015 2016*
Domestic International

Non Aeronautical Revenue Non Aeronautical Revenue

14% Components
In USD Million Concessions
186
CAGR Non-Aeronautical Total 166
125 7% Room Rent
Non- Revenue 2012-2016 100 44%
75 2016 Utilities
Aeronautical 8%

25.6% 9% Parking
18% Advertisement Installation
2012 2013 2014 2015 2016*
Others

Cargo Revenue Cargo Revenue by Airports

CAGR Cargo Total Revenue 13% Soekarno-Hatta
In USD Million
2012-2016 6%
34%
Cargo 6% KNO
13
11 2016
38.6% 4
7 9
8% Sultan Syarif Kasim II
8%
2012 2013 2014 2015 2016* 25% Supadio

Minangkabau

Sultan Mahmud Badaruddin II

Sources: AP II Audited Financial Report; AP II Management Team 1 USDOthers

= Rp13,163 (September 11, 2017)

STRICTLY CONFIDENTIAL | PAGE 12

Brief profile of Kualanamu International Airport (“KNO”)
Kualanamu International Airport (‘’KNO’’) is a newly constructed international airport in North Sumatra, replacing the old Polonia
Airport.

Kualanamu International Airport Passenger Movement 2012 – 2016 (million pax)

International Domestic
CAGR:3%
8.4 8.1 8.0 9.0
8.0

6.4 6.6 6.3 6.4 7.3

1.6 1.7 1.8 1.6 1.7

2012 2013 2014 2015 2016

Aircraft Movement 2012 – 2016 (thousand)

International Domestic
CAGR:1%

66 70 64 64 70
 The second largest airport in west side of Indonesia after 51 53 48 49 56
Soekarno-Hatta International Airport
15 17 16 14 13
 Official 4-Star Skytrax Airport 2012 2013 2014 2015 2016
 Built to replace the previous Polonia International Airport, which
was no longer able to accommodate the increasing needs of air Transformation from MES to KNO
services
Polonia International Airport Kualanamu International Airport
 Expected to become the new international transit center in Passenger Capacity 900,000 9,000,000 (up to 42 mil in S-2)
Sumatra and the western part of Indonesia
% from Capacity 887.9% 99.5%
 The first airport in Indonesia with a direct rail link to/from city Passenger 7,991,914 pax (2012) 8,956,724 pax (2016)
center (Medan city) Movement
Land Area 144 ha 1,365 ha
 Part of Government of Indonesia’s infrastructure development Distance from
2 km 39 km
plan and strategy for the ASEAN Single Aviation Market Medan
Sources: AP II – Company Profile

STRICTLY CONFIDENTIAL | PAGE 13

Currently, AP II is focusing on the development of Sumatra airports with KNO as
its main airport
Government focuses on Sumatra and North Sumatra as one of the main development of infrastructure as the economy in the area
continues to grow
Sultan Iskandar Muda Sumatra Economic Growth 2015 – 2017 (%)
Int’l Airport
World’s Best Airport for Sumatra North Sumatra
Halal Travellers 5.6
5.1 5.2

BTJ Kualanamu Int’l Airport 5.1

The largest airport in 4.3
3.5
western part of Indonesia
KNO 2015 2016 2017f

 Sumatra’s economy in 2017 is expected to grow higher than

2016, supported by households consumption, investment, and
DTB Depati Amir international trade.
TNJ Airport
A new modern  The increase in economic growth is expected to occur in all
terminal started
regions of Sumatra, including North Sumatra.
operation in
January 2017
Silangit Airport PDG
Potential Airports in Sumatra
The main DJB
gateway to Lake
Toba PGK  The impressive economic growth will drive the business
activities in and to Sumatra faster.

 Furthermore, KNO, as the largest and busiest airport in

Sumatra, will be the main gateway for international and
domestic passengers coming to the region.

Minangkabau Int’l Airport Sultan Thaha Airport Raja Haji Fisabilillah  Supported by another six potential airports across Sumatra,
The principal airport Managed by AP II Int’l Airport operated by AP II, which serve more than 15 million
serving West Sumatra from April 2007 The second largest passengers (per 2015) per year.
Province airport in Riau
Islands
Sources: AP II – Company Profile, Bank Indonesia

STRICTLY CONFIDENTIAL | PAGE 14

The continuous development of Sumatera strengthen its positioning as a
destination
North Sumatra and Medan have a strong industrial prospect and tourism attractions which are supported by the development of
government especially in infrastructure.

Through government support, Sumatra and North Sumatra will strengthen

its position as a destination through the following development :
Lake Toba
Industry
1
The development of Trans
Sumatra Toll Road
 Particularly in North Sumatra,
Medan-Kualanamu-Tebing
Trans Sumatra Toll Road
Tinggi Toll Road will be
operated at the end of 2017

2
The development of Pendulum
Nusantara & Special Economic
Zone Development
 Belawan & Kuala Tanjung Port
 Support North Sumatra
industry, most well-known for
palm oil plantations and coal
 Network as western gate of
Sumatra

Tourism Business
4 3
Tourism Attraction of North Medan as an important
Sumatra commercial and economic hub
 Toba Caldera Geopark (Lake  Fourth biggest city in
Toba) Indonesia and center of
 Popular and attractive tourism business in western Sumatra
site in the region  Direct access from/to airport
via train

Sources: AP II Management Team

STRICTLY CONFIDENTIAL | PAGE 15

KNO has a potential as a hub for international & domestic routes with diverse
airlines
KNO has been able to attract airlines as one of their entry point to and from Indonesia with average of 5,301 aircraft movement per
month in 2016.

Aircraft Movement 2012-2016 Domestic & Local Route 2016

By City By Airlines
Polonia KNO 31%
Jakarta 21%
61,753 65,970 70,461 69,593 14% 14%
63,937 23% Batam 12%
8%
Gunung Sitoli
42%
4% 56,209 Banda Aceh
5% Aircraft
Bandung

...

i
r

r
k
ad

s
Ai

Ai
in

er
da

til
Ab
on

tik

h
ru
Pekanbaru

Ci

Ot
Li

Ba
gs
Ga
2012 2013 2014 2015 2016 6% 9%

in
11% Others

W
International
Domestic & Local
International Route 2016
International & Domestic Hub
By City By Airlines
Bangkok
Jeddah
6% Kuala Lumpur 51%
5%

Penang 16%
17% 39% 10% 10% 8% 5%
13,384
Aircraft Singapore

..

r
a

ya

s
Ai

Ai
a.
si

er
ija
al
Bangkok

rA

on

lk

h
M

iw
Si

Ot
33%

Ai

Li

Sr
Others
 KNO is located in a strategic location due to its position that near Changi Airport and KLIA which have
Bandung already became the international hub.
 Through massive development, KNO is targeted to become the new international hub in the future.

Notes: Aircraft movement in 2013 was an aggregate of Polonia Airport (Jan 2013-Jun 2013) and KNO (Jul 2013 – Dec 2013).
Sources: AP II Management Team

STRICTLY CONFIDENTIAL | PAGE 16

KNO has successfully delivered sustainable and growing revenue until present
With the fundamental capability in providing satisfactory CSI and generating revenue, KNO has many potential for further
development.
KNO Total Revenue and Customer Satisfaction Index Cargo Revenue 2016

Revenue in USD Million 10%

Domestic
USD 3.2
CAGR International
million
25%

90%
3.86 3.93 4.04

20%
22% Non-Aeronautical Revenue 2016

10% Concessions
23%
7% Space Lease
75% 40%
19% 74% 10% Utilities
71% USD 12.1
million Vehicle Parking
75%
10% Land Lease
H2 2013 2014 2015 2016 23% Others

Aeronautical Revenue 2016

Aeronautical Non-Aeronautical
Cargo Customer Satisfaction Index 4%
3% Passenger Service
s
16% Landing Services
USD
46.9
11% million Counter Usage
66%
Aviobridge Usage

Others
Sources: AP II Management Team 1 USD = Rp13,163 (September 11, 2017)

STRICTLY CONFIDENTIAL | PAGE 17

KNO is supported with comprehensive infrastructure for the ease of access…
Supported by existing infrastructure and facilities, KNO is expected to accomodate a capacity of 42 million passengers at stage two
of the airport development plan.

Well Connected Infrastructures

Airport Railink
 Has been operating since 2013, directly connecting KNO with
Medan Station at the city center through a railway line
 Total length is 22.96 km and it takes about 30-47 minutes per
trip
 The first airport train in Indonesia

Medan-Kualanamu-Tebing Tinggi Toll Road

 Toll road (part of Trans Sumatra) to connect Medan, KNO and
Tebing Tinggi
 Total length is 61.80 km
 The operation will begin in late 2017

Well Planned Future Development

Existing STAGE 1 STAGE 2 STAGE 3  KNO will be developed into two stages to
Largest Aircraft B747-400 A380-800 A380-800 A380-800 accommodate increasing number of
passengers.
Aircraft Movement 70.841 / year 92.190 / year 176.750 / year 239.878 / year
 KNO is expected to become the new
Cargo 13.450 m2 24.715 m2 50.512 m2 59.845 m2
international transit center (hub).
Passenger Terminal 118.930 m2 224.256 m2 238.259 m2 462.497 m2
 KNO will have an aerotropolis concept that
Passenger Capacity 9 mil / year 17 mil / year 30 mil / year 42 mil / year
integrates the needs of passengers, cargo
Sources: Colliers International Report, AP II - Marketing & Business Development and role as a hub.

STRICTLY CONFIDENTIAL | PAGE 18

…and to be completed with the mixed-used commercial area and facilities
KNO is determined to increase its customer satisfaction by maintaining the quality of its facilities and commercial area.

Facilities

Data Remarks Check In Area Commercial Area Map

Operating 24 hours
Hours
Area 1,365 ha

Runway 3,750 m x 60 m
(PCN 71 F/B/W/T)

Taxiway 3,750 m x 30 m Baggage Handling System

Apron Area 200,000 m2

Apron Capacity Boeing 747-400 :

4
Boeing 737 : 17
Airbus 300 : 13
Terminal Area 118,930 m2

Terminal 9,000,000 pax/  KNO has automatic Baggage  KNO allocates ±200 Ha of Commercial area
Capacity year Handling System, the first in outside the Terminal building
Indonesia
 Commercial area will consist of leisure mall and
Commercial 20,433 m2 retail, transit hotel, golf course, business park and
Area others
Parking Area 50,820 m2

Sources: Colliers International Report, AP II - Marketing & Business Development

STRICTLY CONFIDENTIAL | PAGE 19

Investment Package 1
Investment package 1 will require Rp15.93 trilion (USD 1.21 billion) to develop the second runway, taxiway, terminal building and
facilities, cargo, hangar and apron area.

Development Staging
KNO’s Stage of Development 2018 2023 Summary

Mode of Offer : Equity Participation in JV

Existing Development Operator KNO
Largest Aircraft
B747-400 A380-800 Capital : Indicative source of financing:
Structure of 30% Equity; 70% Debt
Aircraft Movement 70.841 / year 92.190 / year Project
Investment : New Shares issuance up to 49%
Cargo 13.450 m2 24.715 m2
Exit Strategy : Shares buy back or initial public
Passenger Terminal 118.930 m2 224.256 m2 (Option) offering

Passenger Capacity 9 mil / year 17 mil / year

Total Airport Investment (Tahap 1)

• KNO’s current yearly passengers traffic has
Runway : Rp3.00 trillion reached its maximum capacity of total 9 million
passengers, hence it will be developed into three
Terminal : Rp2.50 trillion stages to accommodate the increasing traffic by
Cargo : Rp0.25 trillion
Rp7.00 trillion up to 42 million passengers per year in 2027.
Hangar : Rp0.50 trillion
USD 526.62 million • The airport development will include expansion
and improvement of runway, taxiway, apron,
Apron : Rp0.75 trillion cargo and terminal building and facilities, and
others.

Sources: AP II Management Team 1 USD = Rp13,163 (September 11, 2017)

STRICTLY CONFIDENTIAL | PAGE 20

Investment Package 2
Investment package 2 will require Rp4.10 trilion (USD 311.48 million) to develop ±200 Ha of commercial area outside the terminal
building, consists of business and leisure area.

KNO’s Commercial Area Masterplan Summary

2020 2024 2027
Stage 1 Stage 2 Stage 3 • KNO has also allocated ±200 Ha of commercial
Factory Outlet Food Arcade area outside the terminal building that will
Warehouse Complex
Budget Hotel consist of both business and leisure area, such as
3 Stars Hotel mall, retail, transit hotel, golf course, business
4 Stars Hotel
5 Stars Hotel
park, and others.
Apartment • This Airport City concept is to integrate the
Hypermarket & Food Court
Office Building passengers and cargo demand and to support its
Golf Course & Driving Range function to be a secondary international country
Undustrial Lot
Commercial Lot
hub in Indonesia.
Theme Park • The commercial area will be developed into 3
Convention Centre
Kids Edutainment phases and planned to be completed in 2027.
Duty Free Total Development Cost : Rp3.00 trillion
Specialty Hospital
Cinema
Parking Area Total Land Cost : Rp1,10 trillion
SPBU and Rest Area
Total Commercial Area Investment Estimation
In Rp million
970.387
756.431
626.465 Rp4.10 trillion
493.751
519.693
USD 311.48 million
229.541 202.582 139.251 74.182 46.772 29.462 26.636

Lot Retail Cargo Golf ... Apartment 5 Stars Hotel Offic... 4 Stars Hotel 3 Stars Hotel Ki... Budget Hotel Hospital Lot

Total Development Cost Total Land Cost

Sources: AP II Management Team 1 USD = Rp13,163 (September 11, 2017)

STRICTLY CONFIDENTIAL | PAGE 21

Business Scheme of JV as Airport Management, Retail Operator & New Asset Develo
In accordance with opinions and comments from the legal side, the airport operator partnership scheme that can be done is as
follows:

Partnership Scheme Illustration Business Model  Airport Management & Retail

Agreement Operator
Airport Related
Income Flow Assets Transfer  None
Authority
AP’s Revenues  Fixed Fee / Revenue Sharing
Concession from assets lease for airport
Revenue of
Agreement related services (retail)
1 Existing Airport
Services  Dividend from ownership in JV
BUBU Co
AP’s Expenses  Fixed Fee / Revenue Sharing
Existing Asset from Airport Operations
Owner Partner’s Revenue  Dividend from JV Co
Strategic
Investor  Management Fee as Airport
Operation (Partner) Operator
3 2 Fixed
Agreement x% BoT Period  20 – 25 Years
Fee/ Manage
Izin Pelayanan Revenue ment Fee (Max 49%)
Jasa Sharing (from 100% - x%  AP will serve as an asset holding for the asset for airport
Kebandarudaraan (from new Airport related services (retail) and will establish an operation
(IPJK) assets) Operations) Dividend agreement with the JV so that the JV reserves the right to
(As Shareholder)
use AP’s assets in airport related services (retail).
 AP will establish an Operation Agreement with the JV so
that the JV has the right to manage AP's Airport in
PT KNO Co. performing airport related services.
t Dividend
sse (As Shareholder)  Operation Agreement shall govern the rights and
A
ew ner Revenue obligations, the scope of the parties and the management
N Ow / operatorship fee arrangements, and so on.
from new
asset
 The development of new asset will be done by PT KNO Co.
woth the scheme of BoT, and after the BoT’s Period end
up all the aset will be transfer to AP2

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THANK YOU
Timetable

STRICTLY CONFIDENTIAL
Rincian Indikasi Jadwal Implementasi Pemilihan Strategic Partner
Tabel dibawah ini merupakan jadwal terkait pembentukan anak perusahaan, proses sosialisasi terkait pengajuan model bisnis
untuk JV, dan implementasi transaksi
Deskripsi Pekerjaan Duration (hari kerja) Mulai Selesai PIC
Fase II : Condition Precedent 70 days 11/09/2017 19/12/2017  
Non Deal Roadshow 24 days 11/09/2017 13/10/2017  
Penyusunan Materi Non Deal Roadshow 9 days 11/09/2017 25/09/2017 BP, AP
Market Sounding / Non Deal Roadshow - India 5 days 25/09/2017 29/09/2017 BP, AP
Market Sounding / Non Deal Roadshow - China & Hong Kong 5 days 09/10/2017 13/10/2017 BP, AP
Pembentukan Anak Perusahaan 50 days 11/09/2017 20/11/2017  
Kajian Pembentukan Anak Perusahaan 15 days 11/09/2017 02/10/2017 DS
Persetujuan KBUMN atas Pembentukan Anak Perusahaan 5 days 10/10/2017 16/10/2017 DS, AP
Penentuan Anggaran Dasar serta Manajemen 10 days 17/10/2017 30/10/2017 BP, AP
Pendaftaran perusahaan di Menkumham 5 days 31/10/2017 06/11/2017 BP, AP
Proses Mendapatkan Perizinan 10 days 07/11/2017 20/11/2017 BP, AP
Novasi Kontrak 20 days 21/11/2017 19/12/2017  
Persiapan novasi kontrak retail 20 days 21/11/2017 19/12/2017 BP, AP
Penyusunan Ruang Lingkup Partnership dengan Kemenhub 20 days 18/09/2017 16/10/2017  
Penyelarasan pembagian ruang lingkup antara BUBU dan non BUBU 20 days 18/09/2017 16/10/2017 BP,DS,AP, MOT
Fase III : Persiapan Tender 25 days 11/09/2017 16/10/2017  
Pemilihan FA - Internasional 10 days 11/09/2017 25/09/2017 DS,AP
Penyusunan Teaser 10 days 18/09/2017 02/10/2017 DS, FH
Penyusunan Info Memo 15 days 26/09/2017 16/10/2017 DS, FH
Penyusunan Prosedur & Final Structure Ofering 15 days 26/09/2017 16/10/2017 DS
Penyusunan Financial Modeling 15 days 26/09/2017 16/10/2017 DS, FH
Penyusunan Dokumen Data Room 15 days 26/09/2017 16/10/2017 DS,AP

Ministry KBUMN MSOE Hari Libur Date

  Kemenhub MOT Idul Adha 01-Sep-17
State Owned Enterprise Angkasa Pura AP Tahun Baru Hijriyah 21-Sep-17
Financial Advisor & Arranger PT Danareksa Sekuritas DS Maulid Nabi 01-Dec-17
Global Financial Arranger TBA FH Natal 25-Dec-17
Legal Consultant Bahar & Partners BP Cuti Bersama 26-Dec-17

STRICTLY CONFIDENTIAL | PAGE 25

Rincian Indikasi Jadwal Implementasi Pemilihan Strategic Partner
Tabel dibawah ini merupakan jadwal terkait pembentukan anak perusahaan, proses sosialisasi terkait pengajuan model bisnis
untuk JV, dan implementasi transaksi

Deskripsi Pekerjaan Duration (hari kerja) Mulai Selesai PIC

Fase IV : Implementasi Ternder 83 days 03/10/2017 30/01/2018  
Distribusi Teaser dan NDA 10 days 03/10/2017 16/10/2017 DS, FH
Penerimaan LOI dan NDA 2 days 17/10/2017 18/10/2017 DS, FH
Distribusi Info Memo dan Prosedur Preliminary Package 1 day 19/10/2017 19/10/2017 DS, FH
Data Room 20 days 19/10/2017 15/11/2017 DS, FH, AP
Diskusi dan klarifikasi dengan Manajemen AP terkait business plan 20 days 19/10/2017 15/11/2017 DS, FH, BP, AP
Penyampaian Proposal/Offering Package 1 day 30/11/2017 30/11/2017 DS, FH, BP, AP
Penilaian dan klarifikasi dari Proposal 15 days 04/12/2017 22/12/2017 DS, FH, BP, AP
Penentuan Strategic Partner 5 days 27/12/2017 02/01/2018 DS, FH, BP, AP
Penyusunan SHA & Operation Agreement 20 days 03/01/2018 30/01/2018 DS, FH, BP, AP

Ministry KBUMN MSOE Hari Libur Date

  Kemenhub MOT Idul Adha 01-Sep-17
State Owned Enterprise Angkasa Pura AP Tahun Baru Hijriyah 21-Sep-17
Financial Advisor & Arranger PT Danareksa Sekuritas DS Maulid Nabi 01-Dec-17
Global Financial Arranger TBA FH Natal 25-Dec-17
Legal Consultant Bahar & Partners BP Cuti Bersama 26-Dec-17

STRICTLY CONFIDENTIAL | PAGE 26