Postal firm changes name

JAKARTA (JP): The state-owned postal service, Perusahaan Umum Pos dan Giro (PPG), will have a new name next month as the government has agreed to change its status from a non-profit company.

PPG's director Sumitro told reporters on Thursday that his company will be called PT Pos Indonesia after becoming a profit- oriented firm.

He said that in spite of the new management and name, the company will retain its function as a public service company.

"We are still studying the possibility of establishing subsidiaries in expanding our business. But our core business will remain public service," he said.

According to Sumitro, setting up new subsidiaries is important for business expansion, which may include the operation of aircraft for package deliveries.(icn)