Batavia Air (Jakarta) ceased operations on January 31 and went into bankruptcy protection. The trustees appointed to oversee the bankruptcy estimate the bankrupt carrier owes over $123 million to its creditors including its lessors, employees, passengers and other businesses according to this report by the Jakarta Post.
AirAsia (AirAsia.com) (Malaysia) (Kuala Lumpur) has dropped all plans to acquire Batavia Air (Jakarta) because it creates too many risks for the fast-growing low-fare airline according to this report by Reuters. AirAsia had announced its intention to acquire Batavia Air for $80 million in July.
Copyright Photo: Christian Volpati. Batavia Air is now gradually adding Airbus A320s (compatible with AirAsia) to replace its aging fleet of Boeing 737-300/400/500s by 2014. The pictured A320-233 PK-YUE (msn 461) arrives at Singapore.