PTDI delivers plane to Pakistan

PTDI delivers plane to Pakistan

Yuli Tri Suwarni, The Jakarta Post, Bandung

Amid the nation's financial crisis and an internal labor dispute,
state-owned aircraft manufacturer PT Dirgantara Indonesia (DI)
delivered on Wednesday military passenger plane CN235-220 to
Pakistan, but paid a penalty of US$300,000 for a three-month
delay.

PTDI president Edwin Sudarmo said the financial crisis and the
dispute with its workers had caused the delay.

"However, I thank the workers who worked hard to complete the
order," Edwin told reporters after handing over the 49-passenger
plane to Pakistani Air Force officer Commodore Kazim Ali Awan.
The ceremony was witnessed by Pakistani Ambassador to Indonesia
Syed Mustafa Anwer Hussain.

PTDI business operations director Budi Wuraskito said Pakistan
had signed an agreement on July 29, 2002 to purchase four planes
worth US$52 million.

Budi said two similar aircraft would be delivered in late June
and August while the remaining plane, which was designed as a VIP
aircraft, would be delivered on time by the end of this year.

He said the company needed a $2 million working capital to
complete the three planes. The company's existing $8 million
working capital would be used to develop two planes for the
Malaysian Air Force.

PTDI recently failed to resolve the dismissal of 6,600 of its
9,000 workers through a bipartite negotiation, and the issue is
to be taken up by the Committee for the Settlement of Labor
Disputes, which is expected to prolong the process.