The possibility of achieving improvement in efficiency and competitiveness. Further legal actions shall be taken in case of reluctance to cooperate, such as assets take over and plea of bankruptcy. Criteria for the selection of alternative restructuring options Creditors can develop many approaches in the loan restructuring. In addition to the difference in recovery results each restructuring option will give in general, the implementation of the restructuring option is uniquely depending on each company's condition. In order to be able to achieve the maximum recovery results possible, creditors are required to develop at least two restructuring options, and to calculate the yield recovery of each.
Creditors are responsible to select the option that yields the maximum and optimum recovery.
In attempt to perform loan workout as well as loan restructuring, extensive opportunities for out of court settlements are prioritised, either through Jakarta Initiative as a form of assistance provided by the government or through bilateral settlement between debtors and creditors. Out of court settlement is particularly suited for Category A and B debtors who have good intention to settle their bad debts. For debtors who do not fall into those A and B categories, legal actions shall be taken. Registration - In case of settlement through the Jakarta Initiative, debtors shall register their case to the Jakarta Initiative Task Force, with or without the respective creditors. In case of a bilateral settlement, debtors shall directly contact their creditors.