GARUDA’S  NEW  BOARD  FACES  TOUGH TASK

Cabinet minister of BUMN Sugiharto said that Garuda’s new board will faces daunting task. He said, “This made management changes to strengthen Garuda because Garuda called the weakest airlines in Asia”(on Monday after inaugurating the new council). Sugiharto hope the new management can improve quality of Garuda’s airlines and boast our state.

Satar Emirsyah appointed by the president director of Garuda to replace Indra Setiawan. Sugiharto said that new jobs Garuda management will not be easy because Garuda still has a debt amounting to US $ 845.000.000. In addition, Garuda must avoid debt because it will be bad and increasingly weakened Garuda’s airlines.

Respond to request Sugiharto, Emirsyah  said that the new management will try to improve Garuda operating net income of Rp 500 billion ($ 54 juta). In  2004, revenue is estimated around Rp. 10 trillion (20% increase from Rp. 8,3 trillion in 2003). This increase is because the number of passenger increased by about  7-8 million.

Emirsyah said that new management must work hard for Garuda’s debt paid off immediately. The new management must have incomes about $ 115 million until 2010. Emirsyah made a Garuda’s letter who was instrumental in restructuring the airline : developments in more than $ 1,1 billion in 2001, from July 1999 until May 2003.

Emirsyah explained that the new management will repair the condition of garuda’s financial with the solution is evaluation the route and never compete with the cheap operator.