PRESS RELEASE For Immediate Release
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1 PRESS RELEASE For Immediate Release LPKR OPENS US$48 MILLION STATE OF THE ART REFFERAL HOSPITAL IN MAKASSAR TO ANCHOR EASTERN INDONESIA HOSPITAL NETWORK Makassar, South Sulawesi, Indonesia Wednesday, 17 April 2013 PT Lippo Karawaci Tbk (LPKR) today announced the grand opening of its US$48 million state of the art referral hospital (Siloam Hospitals Makassar) in the city of Makassar, South Sulawesi, the gateway capital city to the Eastern provinces of Indonesia, and the fastest growing region of the Country. This hospital is one of thirteen hospitals that Siloam is presently operating, and will serve as the HUB referral hospital to support Siloam's growing hospital network in the Eastern provinces of Indonesia, from Sulawesi, Maluku, Nusa Tenggara, and Papua. The hospital will be the most modern in Eastern Indonesia and will transform healthcare and the lives of the people in those areas. The grand opening ceremony was officiated by His Excellency the Minister of Health of the Republic of Indonesia, Dr Nafsiah Mboi SpA., MPH; the Governor of South Sulawesi, DR. H. Syahrul Yasin Limpo, SH, M.Si, MH and was attended by community, business and government leaders. His Excellency, the Minister of Health of the Republic of Indonesia, Dr. Nafsiah Mboi SpA., MPH was quoted as saying, We commend Siloam Hospitals in this breakthrough initiative to build a modern hospital system anchored by Siloam Hospitals Makassar. Siloam's vision of reforming the regional health system in accordance with local conditions, will improve and strengthen the healthcare service to achieve A Healthy South Sulawesi Province. It will also empower people/community and private sectors in health development, as well as providing guidance, supervision and control of the overall health development. A key and essential element in the development of the HUB concept of hospitals in Eastern Indonesia is the Joint Cooperation Agreement that Siloam Hospitals has with the Faculty of Medicine of Universitas Hasanuddin of Makassar, the leading and largest medical college in East Indonesia. The Governor of South Sulawesi, DR. H. Syahrul Yasin Limpo, SH, M.Si, MH is upbeat: "Lippo Karawaci has joined hands with the people of Sulawesi to build our communities through investment in hospital infrastructure. This is a significant boost to make Makassar the hub for medical tourism for the whole of East Indonesia. We will give them our full support." 1
2 Dr. Grace Frelita as Director of Global Quality Development SHG state, We are happy that our relationshop with the Faculty of Medicine of University of Hasannudin has seen the graduation of over 10 doctors from Siloam Hospitals Group getting their Ph.D. degree. In addition, there are another 20 specialist doctors going through the program to obtain their Ph.D. degree. This is just the beginning of this partnership to serve the Eastern belt of Indonesia. Siloam Hospitals Makassar will have state-of-the-art medical equipment that will transform the quality of healthcare in the area. This will include new state of the art 1.5 Tesla MRI, a powerful 128-slice CT-Scan, a Cath-Lab and new 4D Ultrasound machines. The hospital is fully equipped for Emergency response specializing in Heart, Stroke and Trauma cases. It is also equipped with Medivac services with Hospital On-Wheels ambulance service along with haemodialysis and chemotherapy day care services. Furthermore, it will have internationally recognized and evidence based protocol on clinical services and infection control, as well as tele-medicine and other formats of digital communication that will allow the hospital access to the best clinical specialization resources at Siloam's centers of competences as well as its international network. The hospital, by the end of 2013 will have a total of 685 doctors, specialists and clinical staff, with 320 beds, 36 Out-Patient Suites, 6 Operating Theaters, and specialties in Cardiology, Neurology, Oncology, and Orthopedics. Each of Siloam's regional hospitals will be anchored by its four pillars foundation: 1. An effective Emergency Trauma Center that will be manned by GP's well trained in trauma care and able to stabilize victims of stroke, heart attacks, and accidents. 2. The best international state of the art modern, most advanced medical equipments. This will be anchored on a 1.5 Tesla MRI, 128 slice CT-Scan, and a Cath-Lab that will be able to diagnose the most complex of cases. 3. Tele-medicine or other formats of digital communication that will allow the hospital access to the best clinical specialization resources at Siloam's centers of competences as well as its international network. 4. Siloam's forward looking SDPDP, or doctors' partnership program that focuses on empowering specialists to treat the patients well and share dividends from Siloam's profits. Dr Gershu Paul, CEO Siloam Hospitals also commented: "Makassar is the gateway city to the Eastern Corridor of Indonesia and is increasingly becoming a major tourist attraction. Siloam's vision is to establish a Center HUB of Medical Excellence for world class healthcare and in collaboration with the region's leading Hasanuddin University, where we hope to provide specialist doctors to the Eastern regions where there is a significant shortage of specialist services. This will not only benefit the communities in the Eastern Corridor but also strengthen the status of Makassar as the Eastern Gateway City of Indonesia. 2
3 LPKR is in the process of developing and building a hospital network of up to 45 hospitals in the next five to seven years nationally, contributing to Indonesia's social transformation in lifting the standard and quality of living of the people. The grand opening of Siloam Hospitals Makassar together with the opening of the Balikpapan, Jambi, Manado, Palembang and Bali hospitals are further testament of Siloam Hospitals' commitment to deliver international quality healthcare accessible and within reach of the vast majority of the Indonesian people. At the same time, Siloam's regional hospitals provide health care services, diagnosis and state of the art technology that are currently not available locally. Providing affordable care closer to homes for Indonesia's rich regions will be a boost to developing the nation. These hospitals will transform the service configuration for the regions, creating access and affordable services, including internal state-of-the-art and clinical quality systems. Established in 1996, Siloam Hospitals Group is a wholly owned subsidiary of LPKR and is Indonesia's largest and most prominent private hospital group with a network of thirteen general and specialist hospitals in Jakarta, Tangerang, Bekasi, Bali, Surabaya, Palembang, Manado, Makassar, Jambi and Balikpapan. Siloam caters to Indonesia's rising middle class and its more than 2,200 doctors, nurses, medical personnel serve over one million patients annually. Siloam is well known for its medical and clinical excellence. Its lead hospital is also the first international hospital, among five hospitals, in Indonesia that is accredited by the US-based Joint Commission International (JCI). The Indonesian Ministry of Health have announced that only hospitals accredited by JCI are allowed to call themselves an 'International Hospital'. The JCI accreditation is the worldwide recognition of international health service standard and quality for the industry. LPKR is Indonesia's largest listed property company by total assets and revenues anchored by a large land bank and solid recurring income base. LPKR's businesses comprise of Residential/Township, Retail Malls, Hospitals, Hotels and Asset Management. LPKR is listed on the Indonesian Stock Exchange with a market capitalization of Rp30.9 trillion or US$3.2 billion. 3
4 For more information please contact: Investor Relations: Mark Wong, Director Mobile: Corporate Communications: Danang Kemayan Jati, Head of Corporate Communications Mobile: This press release has been prepared by PT Lippo Karawaci Tbk ( LPKR ) and is circulated for the purpose of general information only. It is not intended for any specific person or purpose and does not constitute a recommendation regarding the securities of LPKR. No warranty (expressed or implied) is made to the accuracy or completeness of the information. All opinions and estimations included in this release constitute our judgment as of this date and are subject to change without prior notice. LPKR disclaims any responsibility or liability whatsoever arising which may be brought against or suffered by any person as a result of reliance upon the whole or any part of the contents of this press release and neither LPKR nor any of its affiliated companies and their respective employees and agents accepts liability for any errors, omissions, negligent or otherwise, in this press release and any inaccuracy herein or omission here from which might otherwise arise. Forward-Looking Statements Certain statements in this release are or may be forward- looking statements. These statements typically contain words such as "will", "expects" and "anticipates" and words of similar import. By their nature, forward looking statements involve a number of risks and uncertainties that could cause actual events or results to differ materially from those described in this release. Factors that could cause actual results to differ include, but are not limited to, economic, social and political conditions in Indonesia; the state of the property industry in Indonesia; prevailing market conditions; increases in regulatory burdens in Indonesia, including environmental regulations and compliance costs; fluctuations in foreign currency exchange rates; interest rate trends, cost of capital and capital availability; the anticipated demand and selling prices for our developments and related capital expenditures and investments; the cost of construction; availability of real estate property; competition from other companies and venues; shifts in customer demands; changes in operation expenses, including employee wages, benefits and training, governmental and public 4
5 policy changes; our ability to be and remain competitive; our financial condition, business strategy as well as the plans and objectives of our management for future operations; generation of future receivables; and environmental compliance and remediation. Should one or more of these uncertainties or risks, among others, materialize, actual results may vary materially from those estimated, anticipated or projected. Specifically, but without limitation, capital costs could increase, projects could be delayed and anticipated improvements in production, capacity or performance might not be fully realized. Although we believe that the expectations of our management as reflected by such forward-looking statements are reasonable based on information currently available to us, no assurances can be given that such expectations will prove to have been correct. You should not unduly rely on such statements. In any event, these statements speak only as of the date hereof, and we undertake no obligation to update or revise any of them, whether as a result of new information, future events or otherwise. 5
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