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Old August 7th, 2009, 09:39 PM   #681
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Garuda Indonesia climbing to cruise altitude

Soon after July's JW Marriott and Ritz-Carlton bombings, Garuda Indonesia president and CEO, Emirsyah (Emir) Satar, started to monitor the cancellation of bookings for flights to Indonesia.

Up to now, less than 5 percent of the bookings have been cancelled, equating to about half the level of cancellations recorded after the first 2005 JW Marriott bombing, thus easing the company's concerns. However, Garuda does not take bombings lightly, given their impact on passenger numbers.

After the 2002 Bali bombings, the carrier's revenue dropped by a sizable 30 percent, reflecting how important the Bali route is to the carrier. This explains why Bali's Ngurah Rai airport is Garuda's second hub.

Garuda, like its regional counterparts, has been struggling with the global recession and its impact on the number of travellers and ultimately the airline's revenues. The bombings have worsened the impact of the crisis and prolonged the time it will take to recover from it.

The airline industry is reaching saturation point with the proliferation of budget airlines, which are squeezing the operating margins of all existing market players. The drop in fuel costs, however, has given airlines a temporary breather.

Fuel typically accounts for 30 percent of an airline's operating costs. But as the global economy recovers, so will fuel prices. It is no surprise the industry continues to face considerable turbulence.

For the last four years, Garuda has come a considerable way in catching up with its regional counterparts, but also realizes it still has some way to go.

Emir has navigated the carrier through two key phases and is preparing for the crucial third.

The 2006-2007 period was the survival and consolidation phase. This was followed by the 2008-2009 turnaround phase and the carrier is about to enter its growth phase in 2010. Garuda's operating performance and, more importantly, safety standards have improved.

Aside from its IATA Operational Safety Audit certification, the carrier's incident rate has been brought down to 0.41 per 1,000 departures, its lowest in recent years. And, just this month, the European Union lifted its ban on Indonesia airline flights to Europe.

With regards to Garuda's operations, On Time Performance (OTP) has risen to 84 percent, the passenger load factor last year was brought up to 73 percent, and aircraft utilization up to 9 hours per day.

A closer look at Garuda's finances shows the airline started generating profits in 2007. Last year, operating profits reached Rp 1,187 billion and net profits Rp 669 billion, out of revenues of Rp 19,400 billion.

Its capital, which was negative in 2007, also turned positive in 2008, although it is still low by regional standards.

Interestingly, Garuda compares well to its regional counterparts when it comes to weathering the current global slowdown. One of the major advantages the airline has is the nature of its routes, which are largely short haul.

The global recession has impacted long-haul flights and premium services - business and first class - much more than short-haul flights and the normal economy service. Another plus is the size of its domestic business, which has not suffered as much from the global recession.

Only half of Garuda's revenue comes from international routes, while Singapore Airlines, Malaysia Air System and Thai Airways, given their smaller domestic markets, rely much more on revenue from international routes. Moreover, Garuda's domestic business carries higher margins than its international flight business.

As Emir explained, the EU ban lift is important to Garuda because it has restored the airline's image and credibility, not so much because of its commercial impact. Amsterdam will be the first of its three European destinations to be restored sometime mid next year, followed later by Frankfurt and London.

Going forward, Emir is focusing on several areas to compete more effectively. One is to lighten the company's heavy debt burden, which was a legacy of the past when airlines preferred to own their fleet, rather than lease, as most do today.

The company expects to finalize its debt restructuring by September this year. What remains to be completed is the conversion of Bank Mandiri's mandatory convertible bond, amounting to Rp 1,019 billion, into equity. Earlier, the government also converted its loans to Garuda into equity.

This conversion is expected to reduce the annual interest burden of the company, which reached a sizable Rp 365 billion last year. Sometime mid next year, the company is planning to go public and sell 30 percent of its shares.

The company expects to raise Rp 4.2 trillion, which translates into a Garuda valuation of about Rp 14 trillion or US$1.4 billion.

Assuming net profits reach Rp 1 trillion next year, that valuation reflects a PE (price-to-earning) ratio of about 14 times. Proceeds of the IPO will be used to further pare down its debt and to modernize its air fleet as it enters its growth phase.

Another area of focus is growing revenue by adding domestic and international routes as well as increasing flight frequency.

This year, Garuda launched its Jakarta to Malang, Jakarta to Kendari, Jakarta to Kupang, Jakarta to Tanjung Karang and Jakarta to Pangkalpinang routes.

Abroad, it has introduced a Denpasar to Hong Kong and Surabaya to Hong Kong route. Starting in August, Garuda will also fly to Sydney, Melbourne and Seoul from Jakarta, in addition to its existing routes from Denpasar to the three regional destinations.

To service this growth, the carrier will be adding five Boeing 737-800s and returning one Boeing 737-300 as its lease expires. These new planes are more fuel efficient and thus will help keep fuel cost under control.

The new planes also feature roomier seats and state-of-the-art audio and video entertainment systems, which are crucial to compete with regional carriers. With those purchases, Garuda now has 47 Boeing 737s, in addition to six wide-bodied Airbus 330-300s and three Boeing 747-400s.

Garuda also operates two Boeing 737s as part of its low-budget service, called Citilink, based in Surabaya. The plan is to purchase a total of 50 new Boeing 737-800NGs and 10 Boeing 777-300ERs, in part to replace its existing fleet. Planes will be delivered in stages, starting in July 2009 for the Boeing 737s and in 2011 for the Boeing 777s.

When asked about intense competition from local low-budget airlines, Emir responded diplomatically that the domestic market was large enough to accommodate the current number of players.

In fact, budget airlines complemented Garuda services, he added. He said Garuda positioned itself domestically as a premium airline, focusing on the middle to upper market.

The low-budget airlines, given their low-priced tickets, cater to the middle to lower market segment, and thus play an important role in introducing new customers to the airline market.

In other words, they actually help expand the market.

"Garuda, thus, faces the challenge of providing enough added value, in terms of service and convenience, to justify its premium pricing and further attract passengers that would like to upgrade," he explained.

Conversely, Garuda positions itself as a lower-priced airline when it competes abroad, with similar amenities than its more established regional rivals.

It is employee issues, however, that have been Emir's most difficult challenge, especially when it comes to changing people's mind-set.

One way that he has tried to address this issue is by introducing meritocracy by measuring performance and providing bonuses to those providing excellent service. Another was to not only adjust salaries to the market, but also adjust the corresponding job specifications to the market.

This is an ongoing process, but results are already being felt, he argued.

"As a former banker, I realize that in banking, one tends to deal more with numbers and intangibles, while in the airline industry, the results are more tangible and real. That is more satisfying," he concluded.

- JP/Manggi Habir


http://www.thejakartapost.com/news/2...-altitude.html
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Old August 7th, 2009, 09:42 PM   #682
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Garuda Indonesia heralds re-birth with new fleet of Airbus A330-200 on SYD/MEL-JKT route

Thursday, 6 August 2009


Emirsyah Satar, CEO
Garuda Indonesia



Garuda Indonesia opened new routes this week with direct flights from Sydney and Melbourne to Jakarta using brand new Airbus A330-200 aircraft as the first step in improving the carrier’s image.

The planes are equipped with lie-flat beds in Business Class, state-of-the-art audio/video entertainment facilities and interior and exterior design matching with Garuda’s new identity.

It’s the start of a transformation of the airline that will see it expand its fleet from the current 62 aircraft to 116, increasing the number of flights from 1700 per week to 3000, and adding new routes.

It has also ordered 50 Boeing 737-800NG aircraft and 10 Boeing 777-30ER aircraft which will arrive in 2011. Garuda will hire 250 pilots to fly the new jets.

Garuda says despite bad publicity over maintenance issues and a European Union ban from flying to the UK and Europe, which has just been lifted, the carrier is enjoying high load factors in the mid 80s on its services ex-Australia.

ETB TVs Barry Matheson spoke to Garuda Indonesia’s CEO, Emirsyah Satar at the airline’s headquarters in Jakarta.
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Old August 16th, 2009, 07:13 PM   #683
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Istanbul-Singapore-Jakarta(Indonesia)-Singapore-Istanbul flights

16.07.2009

Istanbul-Singapore-Jakarta-Singapore-Istanbul flights launching date has been revised as September 3th.

Istanbul- Singapore -Istanbul flights will be operated as Istanbul-Singapore-Jakarta-Singapore-Istanbul 5 times per week as of September 3th 2009.

source: from turkish airlines website

http://www.thy.com/en-INT/corporate/....aspx?aid=3958

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Old August 19th, 2009, 01:20 AM   #684
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Garuda Indonesia's new livery

Boeing 737-800


Airbus A330-200

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Old August 19th, 2009, 02:02 AM   #685
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Very Professional! I love it.
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Old August 19th, 2009, 03:27 PM   #686
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Garuda to Increase Jakarta - Singapore Flights

Indonesia’s national airline, Garuda Indonesia, is double its capacity and increase daily services from seven to nine flights on the Singapore-Jakarta route by the end of October.

The airline will also operate its new 222-seater Airbus A330-200 from 16 September 2009. The aircraft features Garuda Indonesia’s new ‘Nature’s Wing’ livery, signature interior and upgraded on-board services.

Garuda Indonesia’s new Airbus A330-200 includes individual touch-screen LCD TVs throughout Executive and Economy Classes with Video on Demand (VOD) entertainment systems offering 25 feature films and 250 audio tracks. It also has full flat beds in Executive Class with 74-inch seat pitch. The aircraft will leave Singapore at 19:10, arriving Jakarta at 19:45.

From next month, Garuda Indonesia will also resume its early morning service which departs Singapore at 07:05 and arrives at 07:40 in Jakarta. The return flight from Jakarta leaves at 19:30, arriving in Singapore at 22:05.

“We’ve seen an increase of around 30% in passenger load factors on the Singapore-Jakarta route and this service will specifically cater to business travellers, as it allows them to conduct return day trips,” said Iswandi Said, Senior General Manager – Area Asia, Europe & Middle East, Garuda Indonesia.

Garuda Indonesia’s Executive Class passengers flying from Singapore will be able enjoy check-in services at JetQuay. The luxury CIP terminal is located next to Changi Airport’s Terminal 2.

The introduction of the A330-200s is part of a plan to more than double the Garuda Indonesia fleet to 116 aircraft over the next five years. The A330-200 will be primarily used for medium and long-haul routes.

http://www.asiatraveltips.com/news09...ndonesia.shtml
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Old August 19th, 2009, 03:30 PM   #687
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Garuda Indonesia Appoints Two New Executives To Its Australian Team



Garuda Indonesia is pleased to announce the appointment of Pamela Zugec and Meredith Wilks to the Sydney Sales team in the capacity of Sales Executives for NSW/ACT.

Pamela Zugec completed a Bachelor of Arts in Hospitality Management and began her career working with Emirates as a Business Class flight attendant based in Dubai. Having enjoyed a successful career as cabin crew Pamela relocated back to Sydney and took a role with Virgin Blue, before most recently working for Destinations of the World as Operations and Contracts Executive.

Pamela will be responsible for managing and calling upon agents in the inner west, western suburbs, Newcastle, north coast and Canberra regions.

Meredith Wilks has extensive experience within the travel industry, having occupied various sales and marketing roles. Meredith’s most recent role was working for a niche tour operator/wholesaler that specializes in travelling to India and beyond. Prior to this Meredith enjoyed a successful career working within corporate sales for the telecommunications and IT industry.

Meredith will be responsible for managing and calling upon agents in the Eastern and Southern Suburbs.

State Sales Manager Kerry Timms is delighted with the appointment of both Meredith and Pamela to the Sydney Sales team, both of whom bring a wealth of experience and knowledge to Garuda Indonesia.

http://www.etravelblackboard.com/sho...d=95892&nav=28
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Old August 20th, 2009, 12:48 PM   #688
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Aviastar to resume Jayapura-Wamena flights
The Jakarta Post , Jakarta | Thu, 08/20/2009 2:36 PM | National

Aviastar will soon resume flights from Jayapura to Wamena, Papua, after services were put on hiatus because of a lack of planes.

"No later than late August. Our planes have arrived in Jayapura from Jakarta to serve the route," airline company spokesman Marcelino said in Jayapura, as quoted by Antara news agency Thursday.

He said the airline would serve the route five times a day. "But it will depend on the weather," he added. (dre)
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Old August 22nd, 2009, 02:25 AM   #689
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Garuda back on the rise
By Leithen Francis

While most Asian carriers are reducing capacity in the face of the downturn, Garuda Indonesia has been expanding and posting profits.

Garuda made a net profit of 669 billion rupiah ($67 million) last year and its president, Emirsyah Satar, says profits for the first half of this year are higher. Satar attributes thisprofitability to the Indonesian economy which, unlike many other Asian economies, has avoided recession.But citing fuel price volatility, he stops short of saying full-year profits will be higher.

Garuda plans to roughly double it fleet to 20 Airbus A330s,90 Boeing 737s and up to six Boeing 777-300ERs by 2014. It has been able to easily add leased aircraft. This is in sharp contrast to a few years ago when it struggled to convince lessors to place their aircraft with the carrier.Garuda previously had difficulties with European export credit agencies over the financing for six A330-300s it bought in the 1990s.Satar says it has reached a preliminary agreementwhereby it will pay some money and extend the loan period.

Garuda also owes $100 million to Indonesia's Bank Mandiri in the form of mandatory convertible bonds.The bank says it wants cash.Satar says Garuda is speaking to Mandiri to see if the loan can be extended or whether Mandiri can exercise the bonds and cash out when Garuda carries out an IPO, planned for the middle of next year. Satar says while the government plans to retain a majority stake,the IPO means it should no longer have to rely on government financial assistance.

The carrier is also working on repositioning itself in its international markets. Satar believes Garuda performs well in the domestic market because it is preferred by business travellers, says Satar.But on international routes it faces strong foreign competitors and in the past has tried to win passengers with low fares.

Satar says it is now working to reposition itself higher up the value chain. He says passengers will still pay less on Garuda than on other full-service airlines but they will also get a good product.To deliver on its promise, Garuda's new aircraft include audio/video on demandin-flight entertainment systems.
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Old August 22nd, 2009, 04:26 PM   #690
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Old Pic

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Old August 23rd, 2009, 02:03 PM   #691
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Garuda To Fly 114,434 Hajj Pilgrims Starting Oct 23

Jakarta ( Berita ) : PT Garuda Indonesia aircraft will fly 114,434 hajj pilgrims from October 23 to November 21 to Saudi Arabia and fly them back home from December 2, 2009 to January 1, 2010.

“In the 2009/2010 hajj season Garuda Indonesia will fly 114,434 hajj pilgrims. The number is up seven percent compared to last year’s totalling only 107,109,” the company’s corporate secretary Pujobroto said in a press statement here on Wednesday.

The pilgrims will be put in 300 groups and flown from 10 embarkation points namely Banda Aceh (11 groups), Medan (18 groups), Padang (23 groups), Palembang (23 groups), Jakarta (49 groups), Solo (88 groups), Surabaya (19 groups), Banjarmasin (15 groups), Balikpapan (16 groups) and Makassar (38 groups).

He said Garuda would operate 15 wide-bodied aircraft for the operations consisting of three belonging to Garuda and 12 leased, namely four B747s, two B777s, one B767 and nine A330s. A total of 835 crew members mostly local regions would be involved in the hajj flight program.

He said the employment of crew members from local regions was aimed at overcoming communications problems as most of the pilgrims could only speak in local languages and also at improving service.

To assure smooth implementation of the flights and for security reasons Garuda appealed to would-be pilgrims not to carry hazardous items with them such as a kerosene stove, liquified petroleum gas supply, a lighter, a knife, long scissors, hair spray or sprayed perfume.

The company also asked them not to carry any kind of goods from others aboard the plane to avoid possible crimes by irresponsible people. Pujobroto said passengers must abide by the airlines’ regulation bringing no more than 32 kilograms of baggage.

He said the company would give them each five liters of “zam-zam” water at debarkation points.

Garuda signed a contract the ministry of religious affairs on Wednesday for the flights of the hajj pilgrims for 2009/2010. The signing was done by Garuda’s president director Emirsyah Satar and the ministry’s director general for hajj organization, Slamet Riyanto, at the ministry building. ( ant )


http://beritasore.com/2009/08/20/gar...arting-oct-23/
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Old August 26th, 2009, 04:33 PM   #692
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the 2nd A332 in Garuda, PK-GPH

Quote:
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I hope these wasn't posted yet

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Old August 27th, 2009, 02:23 AM   #693
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Indonesia's Garuda says plans to raise up to $400 mln in IPO

JAKARTA, Aug 26 (Reuters) - Indonesia's flag carrier PT Garuda Indonesia plans to raise up to $400 million in an initial public offering in June next year to fund its expansion, a senior executive said on Wednesday.

President Director Emirsyah Satar told Reuters that the firm plans to hold the IPO in June 2010, but details of the offering, such as the percentage of shares that are going to be privatised and the underwriter, are still being discussed.

"The target is to raise $300 million to $400 million, which will be used to strengthen our capital structure as well as for expansion," said Satar.

Indonesia's airline industry has been hit by several serious accidents in recent years, prompting the European Union to ban all Indonesian airlines from entering its airspace.

Garuda was one of four Indonesian airlines to be taken off the list of banned airlines recently, following safety improvements, and it now hopes to start flights to Amsterdam.

Analysts said the IPO would probably be well-received as Garuda may benefit from rising demand for domestic air travel.

"Garuda's IPO will really support the firm's financial condition as the funds raised from the IPO can be used to pay (down) its debt, decreasing the burden and making it possible to buy new planes for expansion," said Norico Gaman, head of research in brokerage firm PT BNI Securities.

Garuda is in the process of restructuring its debts, which it expects to complete in two months.

Gaman also said the IPO would encourage good corporate governance and efficiency, enabling the airline to compete in Indonesia's crowded airline market.

Transportation ministry data shows there are 15 scheduled commercial airlines in Indonesia, some of which also serve international routes. In September 2008, an Indonesian parliamentary commission approved the government's plan to privatise several state firms including Garuda, but the global financial crisis meant share sales were postponed. (Reporting by Tyagita Silka; Editing by Sara Webb)
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Old August 30th, 2009, 11:30 AM   #694
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Quote:
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Does Lion Air still have any plans for an operation within Australia?
is it? any news about it?
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Old August 30th, 2009, 02:22 PM   #695
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Nothing yet - as I said, their joint venture partner no longer exists.

I'd say it is highly unlikely Lion Air will operate domestic flights in Australia - though in time they might launch international services.

Qantas, Jetstar, Virgin Blue and TIger are engaged already in tough competition, and given the choices people have I doubt Lion will be able to make inroads. Tiger has some quite significant criticism over its customer service. If Lion were to fly within Australia, I think they would struggle as there is a perception that Indonesian airlines are not safe - given the fact that Lion Air is banned by the European Union from flying there, (not that they could with their fleet), I think they would be unable to successfully apply for an Australian operating licence.
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Old August 31st, 2009, 05:46 PM   #696
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by ambalat...

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Originally Posted by ambalat View Post
Onboard Garuda Indonesia A330-200
August 7, 2009 Sydney to Jakarta
By Sam Chui. http://www.samchuiphotos.com/Indonesia09/













Sam's Experience:
For me, the Garuda Indonesia staff looked fresh, professional and were very service oriented, even with a rare responsive sense of humor. Perhaps most important of all, their confidence gave a certain assurance of safety. With new aircraft, routes, cabin and products, Garuda Indonesia has set a very high standard to follow. It is impressive how Garuda turns around in such a short time and launched the new product in the current downturn of economic times.

Under the new management, I expect better days yet to arrive for the airline. Overall, what a pleasant in-flight experience with them! I highly recommend the new Garuda Indonesia experience! Congratulations to Garuda, a step closer to its ambitious goal to become a Skytrax 5 star airlines in the upcoming years.
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Old August 31st, 2009, 06:06 PM   #697
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Batavia Air

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Old September 2nd, 2009, 06:17 AM   #698
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Lion Air: Sultan Hasanudin International Airport of Makassar, South Sulawesi







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Old September 2nd, 2009, 08:49 AM   #699
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How Lion can fly?
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Old September 2nd, 2009, 05:16 PM   #700
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Australia ACCC: Initiates Proceedings Against PT Garuda
2 September 2009

SYDNEY (Dow Jones)--Australia's competition watchdog said Wednesday that it has commenced action against Indonesia's national airline PT Garuda Indonesia (GARUDA.YY), the 10th airline targeted over alleged price fixing in the air cargo industry.

In a statement, the Australian Competition and Consumer Commission said it will allege at a Federal Court hearing on Oct. 22 that Garuda conspired with other airlines to fix the price of fuel and security surcharges applied to air cargo between 2001 and 2006.

The ACCC actions have already seen six airlines, including Qantas Airways Ltd. (QAN.AU) and British Airways Plc (BAY.LN), fined a total of A$41 million by the court, with other actions continuing against Singapore Airlines Ltd. (C6L.SG), Cathay Pacific Airways Ltd. (CPCAY) and Emirates Airline (EA.YY).
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