20260603_SMAR_Tanggapan atas Permintaan Penjelasan Bursa_32096600_lamp1.pdf

                                                                           Unofficial English Translation

Jakarta, 3 June 2026

No. 067/SMART-IR/VI/2026

To:
Mr. Adi Pratomo Aryanto
Kepala Divisi Penilaian Perusahaan 2
Indonesia Stock Exchange
Indonesia Stock Exchange Building Tower 1, 6th Floor
Jl. Jendral Sudirman Kav 52-53
South Jakarta 12190

Re: Response to the Request for Clarification on Media News


Dear Sir,

In response to the letter from Indonesia Stock Exchange No. S-06407/BEI.PP2/06-2026 dated
2 June 2026 to PT Sinar Mas Agro Resources and Technology Tbk (the “Company”) regarding
Request for Clarification on Media News, related to the Bloomberg Technoz article dated 25 May
2026 titled “List of 10 Major CPO Producers Indicated for Transfer Pricing - Market”, the Company
hereby provides the following explanations:

1. Clarification on the accuracy of the article

   a. The Company's connection to the article.

      Response:
      With respect to the article’s assertion that the majority of CPO exports are conducted
      through the Group’s trading arm in Singapore, Golden Agri International Pte Ltd (GAI), we
      wish to clarify that the Company conducts its export sales to various counterparties,
      comprising both third parties and related parties, in accordance with commercial and
      marketing strategies, as well as market demand.

      The reference to transfer pricing practices or price manipulation mentioned in the article
      constitutes an opinion, allegation, or interpretation emerged in the news coverage. In
      conducting its business, the Company reaffirms its commitment to complying with all
      applicable laws and regulations, including those governing international trade and related
      party transactions.

   b. If there is a connection, please provide clarification about the accuracy of the article on the
      alleged transfer pricing (TP) of CPO or cooking oil raw materials.




                                                  1

                                                                 ...Ref. No. 067/SMART-IR/VI/2026

  Response:
  In conducting its business, the Company complies with all applicable laws and regulations,
  including those governing international trade and related party transactions. Sales
  transactions between the Company and related parties are conducted based on fair and
  normal business practices (arm’s‑length principle), with product pricing determined by
  reference to prevailing international market prices.

c. The background that caused the occurrence of this legal case.
d. The parties involved, including the Company's involvement in the case.
e. Of all the parties mentioned in point d, do they hold any positions in the Company's
   management? If so, please provide information about their positions and terms of office.

  Response:
  The reference to transfer pricing practices or price manipulation mentioned in the article
  constitutes an opinion, allegations, or interpretation emerged in the news coverage. As of
  the date of this letter, the Company has not received any official information that can be
  used to confirm the background and the parties involved. Accordingly, the Company is
  unable to provide further explanation regarding this matter.

f. The impact on these legal issues on the Company includes:
   - Impact on the Company’s business continuity;
   - Impact on the Company's legal matters;
   - Impact on the Company's operations;
   - Impact on the company's financial conditions;
   - Other impacts (if any).

  Response:
  As of the date of this letter, the Company has not seen any material impact on business
  continuity, operational activities, and legal aspects arising from the article. The Company
  continues to monitor the development related to the news coverage and fully cooperates
  with the relevant authorities to clarify this allegation in a transparent and fair manner.

g. Contribution of parties mentioned in the news to the Company's revenue as of 31 March
   2026.

  Response:
  Sales to GAI for the three-month period ended 31 March 2026 amounted to Rp 7.03 trillion,
  or contributing 33.9% of the Company's total consolidated sales. The transactions were
  carried out based on business necessities and referred to the prevailing international
  market prices.

h. Please explain the level of materiality of the impact of the legal issue on the Company.




                                             2

                                                                   ...Ref. No. 067/SMART-IR/VI/2026

     Response:
     As of the date of this letter, the Company has not seen any material legal impact related to
     the article. The Company continues to monitor the developments related to the news
     coverage and fully cooperates with the relevant authorities to clarify this allegation in a
     transparent and fair manner.

  i. The latest developments related to the news.
  j. Efforts that have been and will be made by the Company in regards with the news.

     Response:
     As of the date of this letter, the Company is not aware of any material developments
     related to the article. The Company continues to monitor the development related to the
     news coverage and fully cooperates with the relevant authorities to clarify this allegation
     in a transparent and fair manner. As a publicly listed company operating in Indonesia, the
     Company upholds the integrity principle and maintains compliance with applicable laws
     and regulations.

2. Other material information or events that could affect the Company's business continuity and
   share price.

  Response:
  There is no other material information or events related to the article that could affect the
  Company's business continuity and share price.

We hereby submit this explanatory letter and hope it will be well received. We appreciate for
your kind attention.


Best regards,
DR. ING Gianto Widjaja
Vice President Director


CC to:
- Direktur Penilaian Keuangan Perusahaan Sektor Riil, Financial Services Authority




                                               3