Sat, 21 Jun 1997

Perumka-CGEA cooperation

JAKARTA (JP): State-owned railway firm Perumka has signed two memorandums of understanding with France's CGEA, one of the largest rail and bus operators in Europe, to provide for a long- term cooperation between the two companies.

CGEA said here yesterday that the accords, signed by Perumka's president Soemino Eko Saputro and CGEA's director general Antoine Frerot, covered a feasibility study on the operation of Perumka's Tangerang-Jakarta Kota service.

CGEA, a subsidiary of Compagne Generale des Eaux Group of France, will also support Perumka's Jakarta-Bogor-Bandung service in cooperation with the Accor Group.

CGEA and Accor, a hotel and tourist operator which manages hotels in Indonesia, intend to develop a commercial and scenic/tourist railway concept.

The two agreements are expected to lead into joint operation projects once the studies are completed before the end of this year, CGEA said. (icn)