SANF ratings reflect Fitch's expectation for their support and commitment to a strong and
sustained shareholder, PT Astra International Tbk (AI). Ratings also consider the
strategic importance of the Astra Group SANF as an arm of the business expansion in the sector
of heavy equipment through its subsidiary, PT United Tractors Tbk. The tendency of
weakening the support of our parent company, AI, and changes in the financial performance of AI
that will significantly affect the ranking SANF.
Fitch notes the challenging global economic outlook with decreasing commodity prices and
mining - sectors where SANF operate - and a strong credit growth in the last two years could
lead to an increase in problem loans in 2013. Loans past due 1-60 days increased to 28% of total
receivables in 9M12 (2011: 12%) could lead to an increase in problem loans in the economic
environment worse. Profitability and allowance for troubled loans is expected to continue to
provide an adequate buffer against losses on the cost of credit.
SANF founded in 1983 by the Astra Group and focus on heavy equipment financing business. The
company is owned by Astra International (60% ownership) and Marubeni Group (40%).