Garuda to operate Abacus next month

Garuda to operate Abacus next month

JAKARTA (JP): Garuda Indonesia, the national air carrier, will
operate the Abacus Mega Computerized Reservation System next
month after acquiring a two percent stake of the Singapore-based
business early last year.

Sunarjo, an executive of Garuda's subsidiary which will run
the business, said yesterday that the application of the system
is expected to boost the industry of aviation and tourism in the
country.

Sunarjo said, "We are holding trial operations, starting late
December until later this month, at five of Garuda's ticketing
offices. Operations will officially start in February," the
Antara news agency reported.

He also said that Garuda will set up a new company for the
business, which has been approved by the Investment Coordinating
Board and President Soeharto.

He refused to reveal the name of the new company, which will
be regarded as a foreign investment company with a basis capital
of US$5 million.

The planned company will tackle the marketing of Abacus'
travel packages, including information on airlines, hotels, car
rentals and travel agents.

Garuda's commercial director, Kussuyono, said recently that
the planned subsidiary will likely be named the National
Marketing Company and that it will help Garuda offer air travel
and service packages, which have so far been managed by the
airline.

Sunarjo said that many foreign airlines actually have
subscribed the Abacus service.

"Domestic airlines are still reluctant to subscribe," he said,
adding that the fee is $2 to $3 per route.

Abacus Mega's business covers hundreds of hotels throughout
the world and dozens of airlines. A number of leading airlines,
including All Nippon Airways, Singapore Airlines, EVA Air, Silk
Air, Philippines Air and Cathay Pacific, participate in the
ownership of the system. Garuda's two-percent stake in Abacus is
worth $18 million. (icn)