Tag Archives: Garuda Indonesia

Garuda Indonesia may be forced into bankruptcy, Pelita Air may be assigned to take over domestic routes

Garuda Indonesia Airways could be on the brink of bankruptcy according to the Jakarta Globe:

https://jakartaglobe.id/news/garuda-on-the-brink-of-bankruptcy

The Indonesian government has also prepared Pelita Air Service, a subsidiary of state-owned oil company Pertamina, to serve domestic flights if Garuda files for bankruptcy.

Garuda Indonesia’s future is very uncertain

From Nikkei Asia:

“Indonesia’s government is under mounting pressure to resolve the financial crisis at the nation’s flagship airline, which faces an existential threat from COVID-19 after years of chaotic management and weak earnings.

Analysts say Garuda Indonesia may need at least $1.3 billion to $3 billion in fresh capital to survive. But with the government, its largest shareholder, reluctant to stump up the money, and uncertainties over debt negotiations, there is still no indication of how the company can be saved — two months on from its default on $500 million of Islamic sukuk bonds.”

Read the full article:

https://asia.nikkei.com/Business/Business-Spotlight/Indonesia-s-state-airline-Garuda-hangs-by-a-financial-thread

Top Copyright Photo: Garuda Indonesia Airways Boeing 777-3U3 ER PK-GIJ (msn 40072) (Ayo Pakai Masker) AMS (Arnd Wolf). Image: 954891.

Garuda Indonesia aircraft slide show:

Garuda Indonesia trials the IATA Travel Pass

Garuda Indonesia will conduct a trial of implementing the “International Air Transport Association (IATA) Travel Pass” as an application for authentication of health credential documents for international air travel requirements.

The trial of the use of “IATA Travel Pass” will be held from August 30 to September 13, 2021 where in the initial stage will be applied to flight GA874 / GA875 Jakarta-Haneda round trip (PP).

Through this trial, Garuda Indonesia became the first airline in Indonesia to test the IATA Travel Pass application to air service users to manage digital COVID-19 health credential documents more easily in accordance with the requirements set by the government, especially for those who will travel internationally.

IATA Travel Pass is a digital-based application that allows users to store and manage the results of Covid-19 test or vaccine certification easily and safely. Through the IATA Travel Pass, Garuda Indonesia service users can easily obtain information about the requirements of Covid-19 documents for destinations, including information about the location of accredited Covid-19 testing laboratories. Furthermore, the application also allows service users to have a digital passport to manage the required travel documents.

Garuda Indonesia defers payments on its loans

Garuda Indonesia has deferred its payments on a three-year loan from its creditors. The airline is seeking suspension of the debt payments in order to avoid bankruptcy.

According to Reuters, the airline is asking for a longer period to repay the loans. According to the government, the flag carrier is in debt of around $4.5 billion and needs to be restructured and downsized in order to survive.

From Reuters:

Garuda Indonesia to seek suspension of debt payments to avoid bankruptcy – CNA (channelnewsasia.com)

From Channel News Asia:

Garuda Indonesia to seek suspension of debt payments to avoid bankruptcy – CNA (channelnewsasia.com)

Top Copyright Photo: Garuda Indonesia Airways Boeing 777-3U3 ER PK-GII (msn 29145) (SkyTeam) DPS (Pascal Simon). Image: 945220.

Garuda Indonesia aircraft slide show:

Garuda Indonesia grounds an aircraft due to a Chinese passenger with the Coronavirus

Garuda Indonesia Airways has grounded an aircraft with a Chinese passenger who has tested positive with the Coronavirus.

Garuda Indonesia takes delivery of its first Airbus A330neo

Garuda Indonesia has received its first Airbus A330-900. This new generation widebody aircraft is the first of 14 A330-900s ordered by the airline.

The airline currently operates 24 A330 Family aircraft on regional and long-haul routes. The A330-900’s increased range and enhanced economics will contribute to Garuda Indonesia’s fleet modernisation and growth plans, allowing the airline to launch non-stop services from Jakarta to key destinations in Europe.

Garuda Indonesia’s A330-900 is configured for 301 passengers in a comfortable two class lay-out with 24 Business class seats and 277 in Economy.

Photo: Airbus.

Garuda Indonesia to switch its Boeing 737 MAX 8 orders for other Boeing aircraft

Garuda Indonesia ordered 50 Boeing 737-8 MAX 8 aircraft in 2014. The airline has only received one copy (above). Last month it cancelled its remaining 49 aircraft on order.

Since then Garuda Indonesia has been in negotiations with Boeing.

Now, according to the Nikkei Asian Review, Garuda Indonesia will now switch its previously cancelled order to other Boeing aircraft including the 737-10 MAX 10 and 787 Dreamliner.

Read the full report.

Top Copyright Photo: Garuda Indonesia Airways Boeing 737-8 MAX 8 N6046P (PK-GDA) (msn 62093) BFI (Joe G. Walker). Image: 940301.

Garuda Indonesia aircraft slide show:

Garuda Indonesia wants to cancel its remaining order for 49 Boeing 737 MAX 8s

Garuda Indonesia Airways has publicly stated it plans to cancel its remaining order of 49 Boeing 737 MAX 8s after losing confidence in the new type after two tragic crashes.

The airline ordered 50 of the new type in 2014. The flag carrier has already taken delivery of one (PK-GDA) but it is grounded.

Boeing is planning to visit the airline on March 28 to discuss the cancellation request.

Top Copyright Photo: Garuda Indonesia Airways Boeing 737-8 MAX 8 N6046P (PK-GDA) (msn 62093) BFI (Brandon Farris). Image: 940065.

Garuda Indonesia aircraft slide show:

Garuda Indonesia to launch nonstop London Heathrow – Bali flights

Garuda Indonesia is modifying it London (Heathrow) – Jakarta, Indonesia service to now include a new one-way London (Heathrow) – Denpasar (Bali) flight starting on January 22, 2019.

The return westward flight from Bali will stop at Jakarta.

The new eastward route is over 15 hours. It is also the first nonstop European route to the popular tourist island.

Top Copyright Photo (all others by the airline): Garuda Indonesia Airways Boeing 777-3U3 ER PK-GII (msn 29145) (SkyTeam) DPS (Pascal Simon). Image: 945220.

Garuda Indonesia aircraft slide show:

Garuda Indonesia to discontinue the Jakarta – London route

Garuda Indonesia Airways has announced starting on October 30, 2018, the start of the winter season 2018-2019, Garuda Indonesia will no longer serve its Jakarta – London (Heathrow) route.

The airline continued;

The termination of our London route is one of our several internal adjustments to optimize our International flights network in 2019 and enhance our Jakarta-Amsterdam route.

Nevertheless, we will continue to fly to The United Kingdom via our main hub at Amsterdam Schiphol Airport with all our partners especially Sky Team Alliance airlines.

Together with our travel agency partners, Garuda Indonesia will work closely with the impacted passengers for their itineraries and re-accommodate them through our Jakarta-Amsterdam route or other alternative flights.

Top Copyright Photo (all others by Garuda Indonesia): Garuda Indonesia Airways Boeing 777-3U3 ER PK-GIG (msn 29143) LHR (SPA). Image: 934898.

Garuda Indonesia aircraft slide show: