Sat, 18 Oct 2003

Garuda to add planes to no-frills Citilink

The Jakarta Post, Jakarta

National flag carrier Garuda Indonesia is seeking to add more planes to its no-frills fleet, Citilink as the service has been quite successful for the firm, a company official said on Friday.

Garuda President Indra Setiawan said the company would either buy or lease the aircraft.

"The planes will be either Boeing or Airbus. So, Garuda Citilink will use different types of aircraft from those used by our competitors," Indra said as quote by Antara.

Indra, however, did not say when the plan would be carried out.

Garuda's Commercial Director Bachrul Hakim said the airline planned to add around 10 aircraft of Boeing 737-200s for Citilink and more later.

"We are still looking for this type of aircraft. The problems are more procedural rather than financial," Bachrul said, adding that Garuda would not need external funding to finance the lease or purchase.

"The plan is still on despite the fact that Garuda has to pay back loans amounting US$60 million," he said.

Citilink Garuda was launched in 2001 as Garuda's domestic budget service. With low operational costs and using aircraft owned by Garuda, Citilink has become one of Garuda's most profitable sectors.

Garuda uses Citilink to serve point-to-point routes and targets economy class passengers who seek affordable air service.

At present, Citilink Garuda operates five Fokker 28 aircraft. It serves 35 routes nationwide.