Corporate Gov

Good Corporate Governance Charter

Chapter 1

Definition, Background and Benefit of GCG

Article 100

Definition

GCG is a relationship pattern between management with its stakeholders, management

with board of commissioner and with members of management itself. This relationship is

based on ethics, corporate culture and corporate value and supported by system, process,

working procedures and organization in achieving maximum performance.

Article 110

Background

Both Boards of Commissioners and Directors are committed to build a healthy and strong

banking system and turn Bank Mandiri into a widely recognized public-listed company

(blue chip company) in Southeast Asia (Regional Champion Bank) by applying GCG

principles in managing the bank. Strong application of GCG principles will increase

investors’ trust and be an added value for other stakeholders.

Bank Mandiri, as a listed SOE, in applying GCG principles refers to Act no. 1 1995 about

Corporation, Act no. 19 2003 about SOE, Act no. 7 1992 as changed into Act no. 10 1998

about Banking, Act no. 8 1995 about Capital Market, SOE Minister’s Decree no. Kep117/M-MBU/2002 about Implementation of GCG Practice in SOE, Regulation of Bank

Indonesia, regulation in banking and capital market sectors, Indonesian Banking Sector

Code, best practices and Articles of Association of Bank Mandiri.

Article 120

Benefits of GCG

Benefits of GCG:

1. Ensure management’s commitment in applying principles of openness,

accountability, responsibility, independence, fairness and prudence in managing bank.

2. Improve bank’s performance, efficiency and services to stakeholders.

3. Ease cheaper and not rigid fund accumulation that will lead to improved

shareholder’s value.

4. Attract investors’ interest and trust.

5. Fulfill shareholders’ interest in improved shareholder’s value and dividend.

6. Protect Bank Mandiri from political intervention and lawsuits.

Chapter 2

Vision, Mission and Corporate Culture

Article 200

Vision

Bank Mandiri visions...