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Exhibit 4.62
PROCUREMENT AND INSTALLATION AGREEMENT FOR RING JDCS PROJECT (JEMBER
DENPASAR CABLE SYSTEM) NO. X.XXX 440/HK910/UTA-00/2006 DATED 29 DECEMBER 2006
The Parties: 1. TELKOM; and
2. ZTE CONSORTIUM with the member consists of:
a. PT ZTE Indonesia;
b. PT Perkonsuma; and
c. PT Nusa Sakti Waskita.
(Hereinafter, the ZTE Consortium shall be
referred to as "ZTE").
Scope of Agreement: TELKOM has appointed ZTE as the winner of tender
and has assigned ZTE to execute procurement and
installation of RING JDCS Project (Jember -
Denpasar Cable System).
Time of Completion of Work: The project must be done as instructed in the
schedule for each location.
Performance Bond: ZTE must provide a performance bond with the
amount of 5% of the agreement price. The
performance bond shall be a bank guarantee or
surety bond issued by a bank or insurance company
in accordance with TELKOM's requirement.
Warranty Bond: ZTE must provide a warranty bond for the completed
system, each in amount of 5% of agreement price of
related system for terrestrial and sub-marine
portion respectively. The performance bond shall
be a bank guarantee or surety bond issued by a
bank or insurance company in accordance with
TELKOM's requirement.
Confidentiality: ZTE shall not disclose or make use of any part or
the whole agreement to a third party without a
prior written consent from TELKOM.
Appointment of
Sub Contractors: ZTE must notify TELKOM in writing on its intention
to appoint any sub-contractors and must obtain
TELKOM's written approval.
Packing Activity: ZTE must provide packing of goods as required to
prevent damage or deterioration during delivery to
the final destination as regulated in the
agreement.
Site Survey: ZTE must, at its own expense, conduct site survey
both of land and marine portion to perform all of
its obligations in the agreement.
Permits: TELKOM must assist ZTE in obtaining all required
license and permits for the project.
Terms of Payment: TELKOM must make full payment to ZTE after
receiving invoice from ZTE and the payments must
be made promptly by TELKOM within 30 calendar days
after the submission of invoice.
Liquidated Damages: Upon failure of ZTE to deliver the system within
the stipulated deadline, TELKOM shall deduct a sum
of 1 per mil of the agreement price for each days
of delay until actual performance, maximum 5% of
the agreement price.
Termination: TELKOM may terminate the agreement:
1. If ZTE fails to deliver all the goods or
fails to perform any or the entire project
within the stipulated deadline or any other
obligations;
2. If ZTE fails to take any actions within 30
days since 29 December 2006;
3. ZTE becomes bankrupt;
4. TELKOM may, by a written notice sent to ZTE,
terminate the whole or part of the agreement
for its convenience.
Settlement of Dispute: 1. Amicable settlement;
2. If the parties are unable to find amicable
settlement, the dispute shall be settled by
arbitration using the rules of the Indonesian
National Board of Arbitration (BANI).
Governing Law: The laws of the Republic of Indonesia.
