Rakuten Launches in Indonesia

Rakuten and PT Global Mediacom Tbk Launch an Online Shopping Mall

“Rakuten BELANJA ONLINE”
http://www.rakuten.co.id

Jakarta and Tokyo, June 1, 2011 – Rakuten, Inc. (“Rakuten”) and PT Global Mediacom Tbk (“MNC Group”), which include PT Media Nusantara Citra Tbk (“MNC”), the largest and the most integrated media company in Indonesia, have established a joint venture in Indonesia to launch an Internet shopping mall called “Rakuten Belanja Online” (“RBO”)

Since the signing of the joint venture agreement in May 2010, Rakuten and MNC Group has been diligently preparing for today’s official launch of RBO. RBO will initially be offering domestically produced products to Indonesian consumers by local merchants by replicating Japan’s Rakuten Ichiba B2B2C Internet shopping mall model. RBO offers a wide range of merchandise from Indonesia’s top retailers, such as the electronic giant “Electronic Solution,” major book store “Kinokuniya,” and major golf shop “Top Golf.” Products range from home electronics, digital equipments, books, toys as well as fashion items such as bags, cosmetics, and accessories. RBO greatly supports local brands and handicraft by providing goods from top cosmetic brand “Mustika Ratu” and “Martha Tilaar” as well as goods from the prominent department store “Alun-Alun” and “Sarinah.”

Over the medium and long-term, the joint venture plans to link up with Rakuten Group’s e-commerce sites in other countries including Japan’s Rakuten Ichiba.

Rakuten Chairman and CEO Hiroshi Mikitani commented, “Rakuten Belanja Online is the realization of a joint venture between Rakuten and MNC Group with the hope of enriching the lives of Indonesian people by providing a fun, safe and a convenient place to shop for goods and services. RBO will contribute to the growth of e-commerce in Indonesia by empowering merchants and consumers through the power of the internet.”

MNC Group’s President Director and CEO, Hary Tanoesoedibjo added, “Rakuten and MNC Group aims to closely cooperate together to develop and expand RBO to be Indonesia’s No.1 Internet shopping mall by capitalizing on Rakuten’s e-commerce expertise as the largest online shopping mall in Japan with MNC Group’s significant presence in the media industry with its leading positions across many different media platforms for the effective and efficient placements of advertisements and promotions

Indonesia boasts the fourth largest population (240 million) in the world and the largest number of internet users (33 million) as compared to other countries in Southeast Asia with tremendous growth potential of e-commerce.

RBO will employ an escrow service to ensure a safe and secure transaction between consumers and merchants and deliver highly convenient and reliable services. Also, RBO has formed an agreement with well-known banks in Indonesia such as BCA and Bank Mandiri for the payment through the Internet, and other banks will be joining the similar partnership soon. In order to secure a reliable distribution network, RBO will seek cooperation with major partners in Indonesia.

＜Outline of the Joint Venture＞

(1)Name of the Service: Rakuten Belanja Online

(2)Description of Business: engaged in internet shopping mall in Indonesia

(3)Amount of Planned Investment: Rp60 billion (approximately \558 million; converted at 100 rupiahs=.93)

(4)Investment Ratio: Rakuten has 51% and MNC Group has 49%

(5)Representative: President Director & CEO Ryota Inaba

About Global Mediacom
Global Mediacom (“MNC Group”) is the largest and the most integrated media group in Indonesia with operations encompassing content and advertising based media, subscriber based media and media support and infrastructure. Content and advertising based media is operated through PT Media Nusantara Citra Tbk. (“MNC”). MNC’s operations encompasses content production, content distribution, three out ten national free-to-air television networks, local free-to-air networks, production of 24 hour TV program channels, newspaper, tabloid, magazine, radio networks, online portal, value added services, advertising agency and talent management. MNC has the largest content library in Indonesia, comprising of over 100,000 hours of entertainment and news content and increasing by more than 10,000 hours per year.

Subscriber based media is operated through PT MNC Sky Vision, the largest pay-TV operator in Indonesia through two leading brands – Indovision and Top TV. MNC Group has another subsidiary with its own pay TV license called Nusantara Vision with its brand OkeVision.

Media support and infrastructure is operated by PT Infokom Elektrindo that provides broadcast tower, transmission system and as the SMS gateway for MNC Group. For more information please visit www.mediacom.co.id.

About Rakuten

Rakuten, Inc. (JASDAQ: 4755), is one of the world’s lead
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Jakarta and Tokyo, June 1, 2011 – Rakuten, Inc. (“Rakuten”) and PT Global Mediacom Tbk (“MNC Group”), which include PT Media Nusantara Citra Tbk (“MNC”), the largest and the most integrated media company in Indonesia, have established a joint venture in Indonesia to launch an Internet shopping mall called “Rakuten Belanja Online” (“RBO”)

Since the signing of the joint venture agreement in May 2010, Rakuten and MNC Group has been diligently preparing for today’s official launch of RBO. RBO will initially be offering domestically produced products to Indonesian consumers by local merchants by replicating Japan’s Rakuten Ichiba B2B2C Internet shopping mall model. RBO offers a wide range of merchandise from Indonesia’s top retailers, such as the electronic giant “Electronic Solution,” major book store “Kinokuniya,” and major golf shop “Top Golf.” Products range from home electronics, digital equipments, books, toys as well as fashion items such as bags, cosmetics, and accessories. RBO greatly supports local brands and handicraft by providing goods from top cosmetic brand “Mustika Ratu” and “Martha Tilaar” as well as goods from the prominent department store “Alun-Alun” and “Sarinah.”

Over the medium and long-term, the joint venture plans to link up with Rakuten Group’s e-commerce sites in other countries including Japan’s Rakuten Ichiba. Rakuten Chairman and CEO Hiroshi Mikitani commented, “Rakuten Belanja Online is the realization of a joint venture between Rakuten and MNC Group with the hope of enriching the lives of Indonesian people by providing a fun, safe and a convenient place to shop for goods and services. RBO will contribute to the growth of e-commerce in Indonesia by empowering merchants and consumers through the power of the internet.”

MNC Group’s President Director and CEO, Hary Tanoesoedibjo added, “Rakuten and MNC Group aims to closely cooperate together to develop and expand RBO to be Indonesia’s No.1 Internet shopping mall by capitalizing on Rakuten’s e-commerce expertise as the largest online shopping mall in Japan with MNC Group’s significant presence in the media industry with its leading positions across many different media platforms for the effective and efficient placements of advertisements and promotions

Indonesia boasts the fourth largest population (240 million) in the world and the largest number of internet users (33 million) as compared to other countries in Southeast Asia with tremendous growth potential of e-commerce.

RBO will employ an escrow service to ensure a safe and secure transaction between consumers and merchants and deliver highly convenient and reliable services. Also, RBO has formed an agreement with well-known banks in Indonesia such as BCA and Bank Mandiri for the payment through the Internet, and other banks will be joining the similar partnership soon. In order to secure a reliable distribution network, RBO will seek cooperation with major partners in Indonesia.

＜Outline of the Joint Venture＞

(1)Name of the Service: Rakuten Belanja Online

(2)Description of Business: engaged in internet shopping mall in Indonesia

(3)Amount of Planned Investment: Rp60 billion (approximately \558 million; converted at 100 rupiahs=.93)

(4)Investment Ratio: Rakuten has 51% and MNC Group has 49%

(5)Representative: President Director & CEO Ryota Inaba

About Global Mediacom

Global Mediacom (“MNC Group”) is the largest and the most integrated media group in Indonesia with operations encompassing content and advertising based media, subscriber based media and media support and infrastructure. Content and advertising based media is operated through PT Media Nusantara Citra Tbk. (“MNC”). MNC’s operations encompasses content production, content distribution, three out ten national free-to-air television networks, local free-to-air networks, production of 24 hour TV program channels, newspaper, tabloid, magazine, radio networks, online portal, value added services, advertising agency and talent management. MNC has the largest content library in Indonesia, comprising of over 100,000 hours of entertainment and news content and increasing by more than 10,000 hours per year.

Subscriber based media is operated through PT MNC Sky Vision, the largest pay-TV operator in Indonesia through two leading brands – Indovision and Top TV. MNC Group has another subsidiary with its own pay TV license called Nusantara Vision with its brand OkeVision.

Media support and infrastructure is operated by PT Infokom Elektrindo that provides broadcast tower, transmission system and as the SMS gateway for MNC Group. For more information please visit www.mediacom.co.id.

About Rakuten

Rakuten, Inc. (JASDAQ: 4755), is one of the world’s leading internet service companies, providing a variety of consumer and business-focused services including e-commerce, travel, banking, securities, credit card, e-money, portal & media, online marketing and professional sports. Rakuten is expanding globally and currently has operations throughout Asia, Western Europe and North America. Founded in 1997, Rakuten is headquartered in Tokyo and has over 10,000 employees worldwide. For more information please visit http://global.rakuten.com/group/.

ing internet service companies, providing a variety of consumer and business-focused services including e-commerce, travel, banking, securities, credit card, e-money, portal & media, online marketing and professional sports. Rakuten is expanding globally and currently has operations throughout Asia, Western Europe and North America.  Founded in 1997, Rakuten is headquartered in Tokyo and has over 10,000 employees worldwide. For more information please visit http://global.rakuten.com/group/.