Sat, 09 Apr 1994

Garuda's new subsidiary

JAKARTA (JP): The national flag carrier Garuda Indonesia, which recently bought a two-percent stake in the Singapore-based Abacus company, is due to establish a new subsidiary to tackle the marketing of the Abacus' travel packages.

"The subsidiary, to be named the National Marketing Company (NMC), is expected to help Garuda offer air travel and service packages, which have been thus far been managed directly by the airline," Garuda's director for commercial affairs, Kussuyono, told the Antara news agency here yesterday.

He said that the new subsidiary is needed because Abacus' business covers hundreds of hotels throughout the world and dozens of airlines, including Singapore Airlines and Cathay Pacific.

He said Garuda's two-percent stake in Abacus is worth US$18 million. (fhp)

Computer software showcase

JAKARTA (JP): Independent software vendors from various countries will participate in a two-day software product exhibition, called the Enterprise Solution Show, scheduled on April 14 at the Jakarta Hilton Convention Center.

"The expo, which is the first of its kind in the country, will display various computer application systems. It will also provide an opportunity for domestic software producers to develop their technology," Kusnadi Sukarja, operation director of PT Metrodata Electronics, said here yesterday.

He said seminars for computer assemblers, producers, and users will take place at the exhibition.

The exhibition is being organized by Metrodata, an authorized distributor of various computer products, in cooperation with Sun Microsystems Inc. of the United States.(fhp)

TNT expands in Asia

SINGAPORE (UPI): TNT Express Worldwide announced yesterday that it will begin services five times a week to three more Asian capitals this month.

The move is in line with TNT's original development plans, said Paul Coutts, the company's country managing director.

"Seoul, Jakarta and Hong Kong will be added to the existing network within the next six weeks or so," said Coutts.

Services in Singapore, Taiwan, Hong Kong, Brunei and the Philippines were launched a year ago.

Taiwan trade surplus falls

TAIPEI (AFP): Taiwan's trade surplus plummeted 82.3 percent from a year earlier to US$240 million in the three months to March, the Finance Ministry said yesterday.

The ministry said exports in the first quarter period advanced 0.4 percent to $20.13 billion while imports jumped 6.3 percent to $19.89 billion.

The trade gap between Taiwan and its largest trading partner, the United States, narrowed 55.1 percent to $590 million in favor of the island during the same period, it said.

The trade surplus with Hong Kong -- the main transshipment port for commerce between Taiwan and China -- swelled 12.1 percent to $3.99 billion from two-way trade worth $4.71 billion.

Taiwan's trade deficit with leading supplier Japan advanced 8.9 percent to $3.7 billion for the January-March period, it said.

Seoul to join OECD body

SEOUL (AFP): South Korea will join the fiscal affairs committee of the Organization for Economic Cooperation and Development (OECD) as an observer in June, the Finance Ministry said yesterday.

South Korea's invitation to join the OECD committee came at talks with organization officials in Seoul Wednesday, the ministry said.

At the Seoul meeting, the grouping of 25 industrialized nations invited South Korea to a committee plenary session in Paris on June 29 at which it will formally be offered observer status, it said.

S'pore-China telecom pact

SINGAPORE (UPI): Singapore Telecom and China's Directorate General of Telecommunications (DGT) of the Ministry of Posts and Telecommunications signed a memorandum of understanding yesterday for greater cooperation.

Under the agreement, Singapore Telecom and DGT will develop reliable, economical and effective telecommunications services, Singapore Telecom announced in a press release.

Other areas of cooperation include exchange of information on telecommunications developments and opportunities.

Telecommunications traffic between the two countries has been growing rapidly. Last year, the growth rate of more than 60 percent. Further growth is expected in view of increasing business ties between Singapore and China.

Rubber prices ease

SINGAPORE (AFP): Singapore rubber futures prices were marked down yesterday in line with weaker markets in Japan, dealers said.

Dealers said prices also edged lower on some hedge selling of the RSS 1 contract by European traders who were believed to have received their shipment of latex.

At around 0930 GMT, Basis May RSS 1 was quoted easier at 147.00 Singapore cents, RSS 3 at 92.25 U.S. cents and TSR 20 at 167.00 Singapore cents.

Sharp shifts plants

TOKYO (AFP): Japan's Sharp Corp. is shifting part of its television production in Malaysia and most of its facsimile machine production in France to the company's subsidiary in Spain, a spokesman said yesterday.

The spokesman said Sharp transferred annual output of 200,000 televisions to Sharp Electronica (Espana) SA late last year, more than 10 percent of the capacity of 1.9 million units at Sharp Roxy Electronics Corp. (M) Sdn. Bhd.

Sharp also plans to launch production of facsimile machines at the Spanish unit later this year.

Output is targeted at 10,000 units a year and destined for the European market, the spokesman said, adding that Sharp Manufacturing France SA would continue making fax machines but only for the French market.

CAL's profits decline

TAIPEI (AFP): Taiwan's flag carrier China Airlines (CAL) suffered a 19.6 percent fall in pre-tax profit for 1993 to T$3.44 billion (US$130 million) compared with a year earlier, company officials said yesterday.

They attributed the decline from 1992's $4.28 billion and 1991's $4.7 billion to the international economic slowdown and cut-throat competition in the airline industry.

CAL, rated the world's fourth most profitable airline by Fortune magazine last year, estimated 1994 pre-tax profits at $3.43 billion.

The airline, capitalized at $9.7 billion, operates 31 passenger and cargo jets flying to 28 destinations and is expected to expand its fleet to 35 aircraft in coming years.

To meet demand for its North American flights, it will lease a Boeing 747-400 passenger plane from Singapore Airlines.