Indonesia’s Bakrie Family Gets Bumi Loan Default Notice, FT Says

Bloomberg, By Erik Larson - Apr 21, 2012

Indonesia’s Bakrie family received a default notice from creditors on a $437 million loan after a drop in the shares of London-listed mining company Bumi Plc (BUMI) that guarantee the facility, the Financial Times reported.

Lenders led by Credit Suisse Group AG (CSGN) probably won’t demand repayment even if the family fails to increase collateral, the FT reported, citing people familiar with the deal.

The Bakries and Bumi Chairman Samin Tan together own 47.6 percent of Bumi, and the family’s financial woes contributed to the company’s 60 percent share fall over the past year, the newspaper said.

The shares were also hurt by the ousting last year of Bumi’s co-chairman, Nathaniel Rothschild, the FT said.

To contact the reporter on this story: Erik Larson in London at elarson4@bloomberg.net

To contact the editor responsible for this story: Anthony Aarons at aaarons@bloomberg.net

British financier Nathaniel Rothschild, left, has criticized the
 management and corporate governance at Bumi Resources,
 the Indonesian coal company he is trying to transform into a
 top-tier global miner, the Financial Times reported on
Thursday. (Antara Photo/File)

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Maligned at Home, Bakrie Group Is the Face of Indonesia Inc. Around the World