Indonesian Political, Business & Finance News

PT DI delivers pair of CN-235 planes to Korea

| Source: JP

PT DI delivers pair of CN-235 planes to Korea

Yuli Tri Suwarni, The Jakarta Post, Bandung

PT Dirgantara Indonesia (PTDI), the state-owned aircraft
manufacturer, delivered two of eight CN-235 aircraft ordered by
the South Korean Air Force (ROKAF) on Tuesday.

The two airplanes were given over by PTDI President Jusman S.
Djamal to ROKAF Commander Maj. Gen. Lin Hak in a simple ceremony
at the industry's plant in Jakarta.

Also witnessing the handover was South Korean Ambassador to
Indonesia Kim Jae Sup.

Jusman said the two were part of the eight military aircraft,
which had been signed over in a deal worth of US$143.4 million
and made official between the two governments on Oct. 21, 1999.

Tuesday's ceremony, however, had previously been delayed due
to the economic crisis which has battered the country since July
1999, coupled with the United States' embargo of military
equipment, which includes aircraft parts, on Indonesia.

"The late handover should have been carried out before the
embargo in 1999," Jisman said. The ROKAF was immediately notified
of the delay, he added.

Meanwhile, Lee said the aircraft will be used to strengthen
South Korea's anti-guerrilla operations, search and rescue
missions as well as night flight missions and reconnaissance.

Aditya Kusuma, head of PT DI's commercial division, said the
fighters are equipped with traffic alert and collision avoidance
systems and radar warning receivers (RWR).

These will make it possible for the aircraft to spray a
metallic powder that could work as a decoy against enemy
missiles, he said, adding that the fighters are also capable of
detecting other aircraft within a radius of 100 miles.

"Such aircraft are the first we have produced so far," Aditya
said.

Under the purchase agreement, the Indonesian airplane
manufacturer will deliver the other six craft to the Koreans in
phases -- two each in February, April and June of 2001.

In addition to supplying the Indonesian Military and the
domestic airline company, PTDI has sold the majority of its
products to overseas clients, including countries in the Middle
East, as well as Malaysia, the Philippines and Thailand.

On Jan. 26 of this year, the company, previously known as PT
Industri Pesawat Terbang Nusantara (IPTN), handed over a CN-235's
36-seat passenger plane to the Philippine Airline, Asian Spirit.

The company has also secured licenses to manufacture aircraft
components for Casa, Boeing and Airbus, apart from its separate
agreements to sell its planes to other countries under barter
deals.

PT Dirgantara Indonesia is seeking strategic investors in a
bid to help restructure its debts, which have been taken over by
the Indonesian Bank Restructuring Agency (IBRA).

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