Gudang Garam down to No.2

PT Gudang Garam Tbk is no longer the largest cigarette producer in Indonesia. The company's 2005 sales only reached Rp24.29 trillion or US$2.47 billion, slightly below PT HM Sampoerna Tbk at Rp24.66 trillion or US$2.5 billion.

Gudang Garam also only booked net profit of Rp1.89 trillion last year or US$211 million, a 5.59 percent growth from Rp1.79 trillion in 2004, but well below Sampoerna at Rp2.383 trillion or US$242 million last year.

But Gudang Garam's total asset as of December 2005 was Rp22.128 trillion or US$2.25 billion, almost twice of Sampoerna's Rp11.93 trillion or US$1.21 billion.

Why?

Partly because of the acquisition of Sampoerna by Philip Morris last year. Sampoerna's subsidiary PT Panamas also sells Marlboro following the acquisition.

Wonowidjojo family who controls cigarette producer PT Gudang Garam Tbk has been routinely appeared in Forbes rich list for many years. In this year's list, Rachman Halim Wonowidjojo, is listed as the richest man in Indonesia with US$2.5 billion of net worth. That might not exactly true especially if Forbes use Gudang Garam as the foundation of the analysis. Why?

Gudang Garam was established in 1958 by ethnic-Chinese businessman Surya Wonowidjojo alias Tjoa Ing Hwie or Tjoa Jien Hwie.

Surya's children are Rachman Halim (Tjoa To Hing), Juni Setiowati (Tjoa Jiet Hwa), Sumarto (Tjoa To Seng), Wurniati (Tjoa Kiet Lian), Susilo (Tjoa To Bing), Sigit Sumargo, Sujati, and Tjoa Sun Tie.

Surya died in 1985 and was replaced by his eldest son, Rachman Halim.

Related companies:

1) PT Trias Sentosa Tbk

2) PT Bank Halim

3) PT Karyadibya Mahardika (KM)

4) PT Hari Mahardika Usaha

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