IPTN pushes N-250 plane sales in Paris

By Endy M. Bayuni

PARIS (JP): PT IPTN, the Indonesian state-run aircraft company, is pushing the sales of its new N-250 turboprop plane at the ongoing Paris Air Show.

Among the meetings held at the IPTN chalet at Le Bourget since the Air Show began Sunday, one involved the signing of an agreement with representatives of the Baadenwurtenberg government to set up a joint venture company, based in the German state, to handle the promotion and sales of N-250s, a company spokesperson said yesterday.

IPTN will have 25.1 percent equity in European Regional Aircraft Indonesia (Eurai) AG, as the new joint venture company is called, with the rest of the equity going to the Baadenwurtenberg state government and the Lahr mayoralty, the spokesperson said.

The first prototype of the plane, nicknamed Gatotkoco, is here taking part in the static and dynamic exhibitions, making its first exhibition flight outside Indonesia since its maiden flight in Jakarta in August 1995.

Pending the commercial launch of N-250 sales, which is expected in 1999, Eurai AG will handle the promotional campaign. Thereafter, it will handle sales, leasing arrangements, maintenance, product support and sales of spare parts.

The agreement stipulates that Eurai AG will open an N-250 assembly line if sales exceed 12 airplanes a year, the spokesperson said.

IPTN President B.J. Habibie told a news conference here Tuesday that he hoped to obtain an airworthiness certificate for the N-250 from Indonesian authorities in March 1999 at the latest, from the European Joint Aviation Authority one month later, and from the U.S. Federal Aviation Authority three months after that.

IPTN has already set up a number of subsidiaries outside Indonesia which are expected to handle the sales of its products. These include IPTN-Europe Gmbh, based in Lemwerder, Germany, and the American Regional Aircraft Industry (Amrai) based in Alabama. There is also IPTN-North America based in Seattle, Washington, and a representative office in Abu Dhabi.

The airworthiness tests are currently being conducted on Kerincingwesi, the second N-250 prototype, which made its maiden flight from Bandung, West Java, last December.

This week, IPTN also extended a cooperation agreement with Airbus Industrie regarding the certification process of the N- 250, given Airbus' experience in the use of the fly-by-wire system, which the Indonesian plane also uses, according to the spokesperson.

So far, IPTN has already received orders for around 200 N-250 planes. Merpati Nusantara Airlines ordered 100 planes (15 firm orders and an option for 85 more), Sempati Air ordered 16 (six firm and an option for 10 more), Bouraq Airways ordered 62 (five firm and option for the rest) and Gulfstream ordered 10.

Officials have said IPTN needs to sell at least 259 planes to break even.

Shopping

Meanwhile the presence of Indonesia's Air Force Chief of Staff Marshal Sutria Tubagus raised speculation that the Indonesian military was shopping for new jet fighters after Jakarta canceled its plan to buy nine F-16s from the U.S. last month.

The speculation was dismissed by State Minister of National Development Planning Ginandjar Kartasasmita, who is also in town for an official visit. He said that Indonesia was currently reviewing its air defense systems, but had not made any decisions regarding how many new fighters, or what kinds of fighters, were needed.

But when questioned by a French journalist on the issue, Habibie, who is also the state minister of research and technology, said Tuesday, "There are various possibilities, including French (jet fighters)."

IPTN officials said Armed Forces Chief Gen. Feisal Tanjung also arrived in Paris yesterday to view the air show.

Feisal's schedule at Le Bourget today includes witnessing the signing of a series of new agreements between the Air Force and IPTN, including the procurement of 16 Superpuma 332 helicopters which the Indonesian company produces under license, and 10 NC- 212 planes.

Airbus -- Page 10