The Compensation Committee oversees the implementation of the Company’s policies on nomination and compensation plan of board members and senior management personnel.

Among other things, the Committee is responsible for:

• Assuring that members of the BOD and key management personnel of the Company are effectively compensated in terms of salaries and benefits, which are internally equitable and externally competitive.
• Recommending to the BOC of all compensation initiatives that affect the executive and non-executive members of the BOD including the President Director.
• Reviewing with the President Director all compensation for other key management personnel.
• Observing competitive practices and trends to determine the adequacy of the Company’s executive compensation package.
• Reviewing from time to time the adequacy of the Committee’s Charter of Association and recommending appropriate changes thereof.

Based on Circular Resolution of the Board of Commissioners No.: 004/Kpts/Kom/ITP/XII/2008, since 1 December 2008, the member of Compensation Committee is as follows:

	DR. Albert Scheuer Chairman of Compensation Committee German Citizen, born on 4 November 1957. President Commissioner since 14 May 2008. He is concurrently a member of the Managing Board of HeidelbergCement Group, in charge of Asia-Oceania and worldwide coordination of Heidelberg Technology Center. He holds his degree as a Mechanical Engineer in 1982 and received his Doctorate in Mechanical Engineering in 1987 from the Technical University of Clausthal, Germany.
	I Nyoman Tjager Member of Compensation Committee Indonesian Citizen, age 57. Vice President Commissioner/ Independent Commissioner since 26 April 2001. He is concurrently an Independent Commissioner and Chairman of the Audit Committee of PT Bank Lippo Tbk. He holds a Master’s degree in Economics from Fordham University, New York, USA. He received his Doctorate degree in Business Law from University of Gajah Mada, Indonesia in 2003.
	DR. Bernd Scheifele Member of Compensation Committee German citizen, age 50. Commissioner since 23 February 2005. Currently, he is the Chairman of the Managing Board of HeidelbergCement Group, and Chairman of Phoenix Pharmahandel AG & Co KG, Mannheim, Germany. He holds a Master’s degree in Law (LLM) from Universities of Freiburg and Dijon.

One of the three members of the Compensation Committee, I Nyoman Tjager, is an Independent Commissioner.

The total salaries and other compensation benefits paid to Board of Commissioners and Board of Directors amounted to Rp39 billion in 2008.