PT Bentoel Prima, the fourth largest cigarette producer in Indonesia, has restructured its focus toward efficiency as the global economy worsens in the wake of the U.S. financial crisis.

Bentoel corporate secretary Satrija Budi Wibawa said his company would be focusing on the distribution of main products and expanding its market, and would stop all programs and activities that did not directly relate to the core business.
"The management is committed to strictly returning to the budget designed this year," he told local press reporters on 9 October, adding that Bentoel was sure the financial crisis would weaken people's purchasing power.
"When the purchasing power decreases, it will directly influence public spending for cigarette products, including Bentoel," he said. Furthermore, Satrija said the crisis would influence Bentoel's ability to pay back its bank credits.
The company, a subsidiary of publicly listed PT Bentoel International Investama, has launched eight projects worth IDR 800 billion, including the construction of a green leaf threshing factory valued at IDR 100 billion, and a central tobacco warehouse in the regency.
Public relations manager of HM Sampoerna, Yudy Rizar Hakim, said his company was still adopting a "wait-and-see" approach when anticipating the impacts of the American financial crisis. (sra)