Merpati to continue negotiations on leasing
Merpati to continue negotiations on leasing
JAKARTA (JP): The new president of Merpati Nusantara, Budiarto Subroto, said yesterday that the company will continue negotiations with PT Arthasaka Nusaphala on the controversial leasing of 16 locally-made CN-235-200 aircraft.
"Using domestic products is our priority. We will soon complete negotiations based on commercial calculations," Budiarto said after a ceremony transferring Merpati's management from his predecessor, Ridwan Fataruddin.
Budiarto, 51, was formerly the commercial director of the airline and an assistant to Minister of Transportation Haryanto Dhanutirto. He was officially installed as Merpati's president last Friday, replacing the 57-year-old Ridwan.
Speculation of Ridwan's replacement ran rampant after he announced last month that Merpati would not lease the 16 CN-235- 200 aircraft because the monthly leasing fee of US$110,000 per unit was commercially unfeasible.
Budiarto said yesterday that negotiations with Arthasaka are continuing and Merpati is preparing to expand its routes.
"We are considering to open more routes, for instance, from Palembang in South Sumatra to other cities on the island, like Pangkalpinang, Jambi, Lhokseumawe and Gunung Sitoli," he said.
Strategy
Budiarto declined to comment on Ridwan's suggestion that the government purchase part or all of the 16 CN-235-200 aircraft and confer them to Merpati -- as the government does with the 14 CN- 235-10s currently operated by the airline.
"I must study the proposal thoroughly," he said.
Director General of Air Transportation Zainuddin Sikado recently divulged that the 16 CN-235-200s must be leased because the government does not have the money to buy them.
Budiarto pledged yesterday that he will improve Merpati's performance, including its service and financial structure.
"We will consolidate by increasing the utilization rates of our fleet, safety, on-time schedules and professionalism," he promised. "We will also improve our alliances with other transportation firms, including Garuda Indonesia, our parent company."
He added that the company plans to simplify its fleet to cut expenses.
Merpati now operates nine different types of aircraft, the Boeing 737-200, ATP, Casa-212, Twin Otter, Fokker-28, Fokker-27, Fokker-100, CN-235 and DC-9. (icn)