The research comprised an emperical study on capital structure on public companies in Indonesia. It aimed at (1) examining how company characteristics in various sectors in Indonesia influence the capital structure decision, and (2) analysing whether the influenced of company characteristics on capital structure differs across sectors. The research applied purposive sampling method in determining sectors and companies as research samples. Based in the method, six sectors and 151 companies were included in the research. The research applied multiple regression analysis using lagged independent variables and chow test to answer first and second objective, respectively. Based on the financial reports 1998-2002 the result showed that