Losses of 7 SOEs Officially Dissolved by Erick Thohir

Erick Thohir, Indonesia's Minister of State-Owned Enterprises (SOEs), dissolved seven SOEs on Friday, December 29, 2023. The reason for the dissolution was the lack of business development and substantial accumulated debt across these companies.

The seven SOEs are PT Kertas Kraft Aceh, PT Kertas Leces, PT Istaka Karya, PT Merpati Nusantara Airlines, PT Industri Sandang Nusantara, PT Pembiayaan Armada Niaga Nasional, and PT Industri Gelas.

These dissolved companies are all of the persero type (limited liability company). The dissolution process requires going through PT Perusahaan Pengelola Aset (PPA), a state-owned asset management company, and undergoing restructuring beforehand.

Deputy Minister of SOEs, Kartika Wirjoatmodjo, also known as Tiko, stated that if restructuring fails, the SOEs can be dissolved according to the law.

"SOEs are no different from other publicly listed companies; if they are not viable, they will enter the liquidation process through a curator. We ensure that the legal process, including asset sales, is conducted fairly, ensuring that shareholders, creditors, and employees receive their respective entitlements," said Tiko after a press conference on the dissolution of the seven SOEs at Menara Danareksa, Jakarta, on Friday, December 29, 2023, as reported by *Kompas.com*.

(Read also: [Number of SOEs Decreased to 77 Companies in 2022, Here's the Type](https://databoks.katadata.co.id/datapublish/2023/12/18/jumlah-bumn-turun-jadi-77-perusahaan-pada-2022-ini-jenisnya))

Based on data compiled by *Katadata* and *Databoks*, among the seven SOEs, Merpati Nusantara Airlines had the largest net loss, amounting to Rp8.78 trillion. This airline also recorded a severely negative equity of Rp6.77 trillion.

Next was PT Pembiayaan Armada Niaga Nasional (PANN) with a net loss of Rp3.54 trillion and negative equity of Rp3.29 trillion. Following this was PT Kertas Kraft Aceh with a net loss of Rp1.9 trillion and negative equity of Rp1.1 trillion.

The following is a list of the net losses of the seven SOEs dissolved by Erick Thohir as of December 29, 2023, with data compiled from 2020-2023:

1. PT Merpati Nusantara Airlines: Rp8.78 trillion
2. PT Pembiayaan Armada Niaga Nasional: Rp3.54 trillion
3. PT Kertas Kraft Aceh: Rp1.9 trillion
4. PT Kertas Leces: Rp1.76 trillion
5. PT Industri Gelas: Rp1.33 trillion
6. PT Istaka Karya: Rp669 billion
7. PT Industri Sandang Nusantara: Rp226 billion

(Read also: [These are the SOEs with the Largest Debt in Q3 2023](https://databoks.katadata.co.id/datapublish/2023/12/05/ini-bumn-karya-dengan-utang-terbesar-per-kuartal-iii-2023))