BOARD OF DIRECTORS' REPORT

to submit to the Board of Commissioners stating the results of the IT Audit; and

6. Regulatory policies for Subsidiaries and Joint Ventures have included the appointment of the Board of Commissioners/ Supervisory Board and Board of Directors, setting performance targets and performance appraisals as well as incentives for the Board of Commissioners/Supervisory Board and Directors.

Pelindo II

1. The other committee’s annual work program is in line with the other committee’s charter and includes self-assessments of the performance of other committees;
2. The Company approved the Draft Information Technology Master Plan (ITMP) as a guideline for the development of information technology and the Information Technology Detail Plan (ITDP) as a further elaboration of the ITMP, to be used as a reference for implementing the annual planning according to the ITMP;
3. The partnership activities are in accordance with the work plan set out in the RKAP; and
4. The Head of the Internal Audit Function has the recognized expertise in the internal auditor profession by obtaining the right professional certification.

Pelindo III

1. The Company updated the Code of Corporate Governance (CoCG) guidelines and they have been approved and signed by the Board of Directors and Board of Commissioners;
2. The Company updated the code of conduct and it has been approved and signed by the Board of Directors and Board of Commissioners;
3. The Company updated the policy regarding reporting alleged irregularities in the company (whistleblowing system);
4. There is a program/plan to socialize the provisions for the implementation of the whistleblowing system, specifically addressed to the Board of Commissioners, Board of Directors, and employees of the Company;
5. An evaluation was carried out on the implementation of the whistleblowing system including supporting devices, socialization carried out and the effectiveness of the implementing unit and the media;
6. There are rules that explicitly stipulate the maximum number of positions on the Board of Commissioners that can be held by a member of the Board of Commissioners;
7. There are guidelines for the Board of Commissioners performance assessment by the shareholders;
8. There are guidelines for the preparation of the Board of Commissioners supervisory duties report on determined by the shareholders; and
9. The Company updated the Board of Commissioners’ Policy by providing advice on internal control system policies.

Pelindo IV

1. The Company updated the GCG Guidelines, Code of Conduct, and Board Manual;