Four domestic airlines buy 10 Lufthansa planes

Four domestic airlines buy 10 Lufthansa planes

JAKARTA (JP): Four domestic airlines have finally agreed to
the purchase 10 of the 32 second-hand B-737-200 aircraft offered
by Lufthansa Airlines of Germany after negotiations for almost
one year.

Fadl Antemas -- director of operations for the state-owned
finance company PT Pann Multi Finance -- said here yesterday that
Bouraq and Merpati Nusantara procured three units each, while
Sempati and Mandala bought two units under leasing agreements
with his company.

Last year, Minister of Transportation Haryanto Dhanutirto
offered 32 units of Lufthansa's B-737-200 aircraft to the four
local airlines. At that time, Lufthansa offered Rp 19.5 billion
(US$9 million) for each unit.

Minister of Finance Mar'ie Muhammad had reportedly agreed to
the deal. "But until now, I haven't received any official letter
from the minister of finance concerning the purchase of the other
22 planes," Fadl was quoted by Antara as saying yesterday.

According to Fadl, the prices of each of the ten planes ranged
from $8.7 million to $8.9 million depending on the age of the
aircraft.

The four airlines will pay for the aircraft in installments
for a period of 12 years, with an interest rate of 9.5 percent
per annum.

In the accord signed last week, Lufthansa is required to
modify the interiors of the aircraft's cabins, including the
seats, and provide spare parts. (rid)