Business Ethics regulates how Darma Henwa as a company conducts its business or business activities ethically and in accordance with applicable laws and regulations. The application of Business Ethics to all stakeholders is regulated

as follows:

1. Operation of the Company

To ensure business continuity, the Company is responsible for:

a. Carrying out business activities in an ethical manner and in compliance with applicable laws and regulations.

b. Ensuring that all Darma Henwa people are fully committed to ethical standards and the implementation of applicable laws and regulations.

c. Understanding and supporting the development of local communities by applying the principles of mutual respect and development.

d. Supporting the preservation of the environment in the Company’s operational areas.

2. The Company’s Ethics to Employees

The Company protects the interests of employees in accordance with applicable laws and regulations. The following ethics are expected to be followed when interacting with the employees:

a. Providing equal opportunities in terms of remuneration, promotion, and rewards to employees according to their performance, competence and loyalty, and providing strict punishment for all forms of violations committed by employees.

b.  Implementing employment-related processes and decisions regarding recruitment, development, and promotion of employees based on expertise and work performance, regardless of ethnicity, religion, race, nationality, gender, or other discriminatory matters.

c.  Creating a work environment that is safe, healthy, conducive and free from all forms of pressure and intimidation.

d. Consistently Implementing Collective Labor Agreements (PKB) and Company Regulations.

e. Respecting the rights and obligations of employees based on Company Regulations, Collective Labor Agreements (PKB), and applicable laws and regulations.

f. Giving freedom to employees to express their opinions and aspirations in an ethical manner and in compliance with applicable laws and regulations.

3. The Company’s Ethics to Customers

The Company prioritizes excellent service, proactive attitude, and responsiveness in interacting with customers. The following ethics are expected to be followed when interacting with the customers:

a.  Serving customers politely and professionally.

b. Delivering complete and accurate information about  the Company, especially related to the Company’s business activities and services.

c. Putting forward professional service standard for customer satisfaction.

d.  Paying attention to the needs of customers and continuously monitoring and improving services by enhancing work standards supported by appropriate technology.

4.  The Company’s Ethics to suppliers

The Company builds relationship with goods and services providers or suppliers based on legal, efficient and fair principles while upholding the applicable laws and regulations. The following ethics are expected to be followed when interacting with the Suppliers:

a.  Determining suppliers based on product quality, after sales service, warranty, achievement, and track record with the principle of mutual benefit between the two parties.

b.  Respecting the rights and obligations of suppliers in accordance with the contract and applicable laws and regulations provisions.

c.  Establishing open and reliable communication during the procurement process until the fulfillment of rights and obligations of the parties.

5.  The Company’s Ethics to creditors

The Company receives loans for use of business purposes and to increase the Company’s added value. The following ethics are expected to be followed when interacting with the Creditors:

a.  Selecting creditors by taking account of the Company’s interest as well as benefits, costs and risks.

b.  Respecting the rights of creditors, including the right to obtain information on the use of funds in accordance with the agreement as well as laws and regulations.

c.  Complying with the agreement as set forth in the contract between the Company and creditors.

6.  The Company’s Ethics to the Government

The Company builds a harmonious and constructive relationship with central and regional governments for the purposes of business development, compliance with regulations, and improvement of the local and national economy. The following ethics are expected to be followed when interacting with central and regional government:

a. Fostering good relations and communication to develop a healthy and competitive business climate while developing national economic competitiveness.

b. Fulfilling all business and licensing requirements in a professional manner to comply with applicable laws and regulations.

c. Upholding honesty and transparency in dealing with all government agencies and officials.

d. Ensuring transparency, clarity, completeness, and accuracy in every report and permit application submitted to the Government.

7.  The Company’s Ethics to the Community

The Company implements social and community programs to improve the quality of life and empower the potential of the surrounding community. The following ethics are expected to be followed when interacting with the community:

a.  Maintaining harmony with the local community.

b.  Building cooperation with community leaders and the government, organization and related agencies in community development.

c.  Optimizing the Company’s assistance programs to the public and promoting them to improve the Company’s reputation.

d. Encouraging the empowerment of the surrounding community’s potential through mutually beneficial economic and employment cooperation.

e. Preventing from and avoiding actions that lead to community discrimination based on ethnicity, religion, race, class, and gender.

f. Encouraging all Darma Henwa’s people to play an active role in contributing to social and economic development of the surrounding community.

8.  The Company’s Ethics to Shareholders

The Company is committed to increasing added value for shareholders and protecting the rights of shareholders in accordance with applicable laws and regulations. The following ethics are expected to be followed when interacting with the shareholders:

a.  Giving fair treatment to all shareholders.

b.  Ensuring the fulfillment of the rights of shareholders in accordance with the Company’s articles of association and applicable laws and regulations.

c.  Providing information that has been declared open to shareholders in a complete, accurate, timely and easily accessible manner in accordance with prevailing laws and regulations.

9.  The Company’s Ethics to Subsidiaries

In developing business, the Company can establish subsidiaries or partner to form joint ventures. The relationship between the Company and its subsidiaries and joint ventures is built to create synergy and improve the Company’s performance. The Company’s commitment to ethical behavior in interacting with its subsidiaries includes:

a.  Ensuring that all business relationships with subsidiaries and joint ventures are built based on a reasonable business relationship that is the same as that of developed with unaffiliated parties.

b.  Mutually respecting the interests of each party through mutually beneficial cooperation agreements.

10. The Company’s Ethics to the Media

The Company is committed to always providing clear and accurate information through the media. The following ethics are expected to be followed when interacting with the media:

a. Building and developing relations with the media to enhance reputation and achieve Company goals.

b. Providing information about the Company’s performance that is accurate and accountable to the public.

c.  Using the media as a way to answer questions raised by shareholders, investors, and other third parties.

11. The Company’s Ethics to Competitors

In carrying out its business activities, the Company is committed to implementing fair competition and regards competitors as a driver that encourages the Company to always provide the best for customers. The following ethics are expected to be followed when interacting with the competitor:

a.  Maintaining good relationship and respecting the existence of competitors.

b.  Demonstrating healthy, ethical, and competitive behavior in accordance with Company’s regulations and applicable laws and regulations.

c.  Making competitor as a benchmark in order to improve the Company’s performance.