SIA says not in talks with Garuda

SIA says not in talks with Garuda

SINGAPORE: SIA Engineering Ltd., the aircraft maintenance arm
of Singapore Airlines Ltd. (SIA), on Tuesday denied approaching
Garuda Indonesia to buy a stake in its maintenance business.

"SIA Engineering is not in discussions with Garuda on the
intention to sell a stake in their maintenance unit," an SIA
Engineering spokesman told Dow Jones.

Garuda's Chief Executive Indra Setiawan was quoted by the
Financial Times web site saying the Indonesian airline wants to
sell a 20-25 percent stake in its wholly owned maintenance unit
for US$40 million to US$50 million to a strategic investor by
year-end.

He had added SIA and Lufthansa were among airlines that had
expressed an interest in the stake.

Despite the denial of talks with Garuda, SIA Engineering has
recently expanded to Indonesia.

Earlier in August, it signed an agreement with PT Jasa Angkasa
Semesta to provide aircraft line maintenance services at
Indonesia's major airports. -- Dow Jones