Sriwijaya Air allocated 1260 seats to Australia

PT Sriwijaya Air was to be allocated 1260 seats for the opening of new routes to Australia. According to the Corporate Communication Manager of Sriwijaya Air, Ruth Hanna Simatupang, they already expressed interest to open a route from Jakarta to Perth since last year.

"We want to serve the route once a day by using Boeing 737-800 NG with maximum capacity of 180 seats. Our request was already submitted to the Indonesia Ministry of Transportation," said Hanna. She hopes the government can provide assurance of providing reserved seats at the end of this year, so that new routes could be served next year. "For a new route we are still engaged in preparing, while waiting for the Boeing 737-800 NG which will come next year," she added.

As is known, the Government of Indonesia and Australia agreed on an additional 4000 seats per week that can be utilized by the airlines of each country. Besides Sriwijaya Air, the other airline company PT Garuda Indonesia is also need as much as 1110 seats. Emirsyah Satar – President Director of Garuda Indonesia – said they want to add 666 seats to the route from Jakarta to Sydney from the frequency of four times a week to daily flights and 444 seats for Jakarta to Melbourne from three times a week to five times a week. For the record, Garuda Indonesia was already serving two routes using Airbus A330-200 with a capacity of 222 seats.

Indonesia AirAsia will close 2 flight routes

The decision of PT Indonesia AirAsia (IAA) to  close the flight route from Jakarta to Medan and Jakarta to Surabaya certainly will not affect the capacity of flights to both these destinations. Both routes have the densest traffic flow with a number of airlines that compete in it.

"Competition was tight and ‘crowded’ for those routes. So if Indonesia AirAsia have other options it would be a company policy. But the flight capacity of those routes will not be disturbed, "said Tengku Burhanudin, Secretary General of the Indonesia National Air Carriers Association (INACA).

INACA annual data released in 2009 showed that Medan and Surabaya are the two most populous of the six airports in Indonesia. Last year, Juanda International Airport, Surabaya recorded a 8,436,000 flights, while the Polonia Airport, Medan recorded 3,840,000 flights. That’s why, this solid flight creates a high competition between airlines. Tengku Burhanuddin asserted, AirAsia's decision to close two routes is the company's strategy, not because these routes are empty of passengers.

Closure of these routes will commence as of October 1, 2010. AirAsia will only leave 20% of domestic flight route from all flights routes at the end of this year. "For time being, our international-domestic route comparison 75% -25%, and  it will be 80% -20%," said Corporate Communications Manager of Indonesia AirAsia, Audrey Petriny.

Citilink will separate from Garuda Indonesia

Garuda Indonesia plans to spin off (separation) of its strategic business units, Citilink. Spin-off will be done after the initial public offering (IPO) which scheduled on fourth quarter 2010.

"The most fast of the spin-off is in the second half of next year. If IPO will done this year, it takes approximately 3-6 months to conduct activities such as spin-off," said Director of Strategic and Technology Garuda Indonesia, Elisa Lumbantoruan.

According to Elisa, the spin-off was conducted aiming to isolate the resources side, as well as from the operational side of the two airlines. This is because the working culture of the two airlines will be very different due to class differences of the two airlines. Garuda Indonesia will go into Full Service class, while Citilink join in No-Frills or Low Cost Carrier (LCC) class. "In addition, the spin-off also can simplify the management of capital. For example make it easier to find partners or investors”, Elisa explained.

Citilink’s spin off has been scheduled since 2009. However. until now the spin off plan is intercept by a number of requirements in order to get SIUP (Aviation Business License) from the Ministry of Transportation, among them are the business plan and the procurement of the fleet. Since not get the SIUP yet, currently Citilink still become one with Garuda Indonesia. Citilink have the same flight number with Garuda Indonesia, which begins with the letters GA.

Get the Factory Price Product in Trade Show Display

Since there are many people who face financial problem in their life, we have to apply economical life. It means that when we buy something, we should be based on the principal of economics. We have to buy things or products in the market with minimum expenses. However, with the minimum expenses, we have to try to get as much as products or things. Sometimes, people wonder how to get cheaper price of things or products. Usually, companies will lower its products when they held trade show. That is why; it is a good chance for you to get cheaper products.

In trade show, the price will lower or exactly the same as the factory prices. The other benefit that the consumers can get in the trade show displays is that the products are available in various types and kinds. So, customers will have wider options to choose. For example, if you are looking for truss for your importance like concerts, specials events, lighting, etc, you can find the various products in trade show. All of the products are related to trading. If you are looking for logo floor mats, it is also available in trade show.

Furthermore, the exhibit booths are also available in this show. All of products related to trade are available in this show. You should use the chance to get high quality products with cheaper price, so you can save extra money in your pocket.

Garuda Indonesia cargo capacity up to 7 tons

Indonesia airline, Garuda Indonesia is preparing cargo capacity up to 7 tons each time flying for the benefit of various fresh fishery exports commodities from North Sulawesi. "Exports that can be served by Garuda Indonesia is mainly to Japan, which became one of the country potential buyer of fishery products from North Sulawesi," said Head of the Main Branch of Garuda Indonesia Manado, Shidiki Iribian.

Shidiki said exports could be served by Garuda Indonesia mainly fresh commodities like fresh tuna and other fisheries, as market demand. "Fresh fishery commodities require fast delivery, and Garuda Indonesia is able to ensure delivery time approximately 10 hours from Sam Ratulangi Airport, Manado to Japan," said Shidiki. The delivery time is still pretty long, because the flight had to go through Bali's Ngurah Rai Airport first and then sent to buyers in Japan.

Possible additional cargo capacity for air freight will be reviewed to take account also of the passengers’ luggage. "If this fishery commodity export is increasing, Garuda Indonesia will find a way out so that delivery to overseas can be done," said Shidiki.

Head of Foreign Trade, North Sulawesi, Hanny Wajong, said North Sulawesi needs additional export capacity by using air transport because of the tendency of increasing the performance of fishery products in recent years. "Some foreign countries have inquiry of fresh fishery products. Therefore, in this case air transport by Garuda Indonesia, is very important," said Hanny.

LG will not relocate its factory from Indonesia

LG Electronics Indonesia has argued the news that LG will relocate one of its factories in Tangerang outside Indonesia. LG hand over about the road infrastructure improvements to the Indonesian government.

President Director of LG Electronics Indonesia, Kim Dae Weon, confirmed today the company does not have a plan to leave Indonesia, or relocating any factory. "LG already invest in Indonesia since 1991. LG has become part of Indonesia and helped to get better quality people," said Kim Dae Weon at Crown Plaza, Jakarta, Friday, August 13, 2010. While for the road infrastructure problem, Kim believes the Indonesian government will do the best. LG wants to maintain good relations with the Indonesian government, especially local government.

According to Kim, is the road infrastructure needs of the two parties between LG and the government. Although the infrastructure is damage, LG business in Indonesia is still positive. LG Global still  rate Indonesia as one of the company's main market. Of the 120 countries that became LG product markets, Indonesia is in the "Top Seven" LG sales worldwide. "As for domestic sales and exports, Indonesia is in the seven major LG from 120 countries. That is why Indonesia's position is very important for the LG Global," Kim said.

Based on LG data, LG Electronics Indonesia sales increased 36 percent in the first half of 2010 compared to the previous period. The highest sales was contributed by LCD, refrigerators, and washing machines.

Previously reported, the Minister of Industry, MS Hidayat has received complaints from LG regarding the destruction of road infrastructure along seven kilometers around the LG factory in Tangerang. However, when confirmed, LG did not provide a detailed explanation. "LG is only to say the real situation to the government," said Head of Public Relations, LG Electronics Indonesia, Dewi Damayanti.

New Routes of Garuda Indonesia Airlines

PT Garuda Indonesia will conduct maiden flight from Jakarta to Tokyo from August 31, 2010. Vice President of Communications Garuda Indonesia, Pujobroto explained the new route will be served one time flight every day. "Garuda Indonesia to open flights to Tokyo to meet the needs of customers, especially for business travelers," Pujobroto said in a press release, Monday (9 / 8).

Garuda Indonesia Airlines will use Airbus A330-200 to transport its passengers to Japan. The aircraft has a capacity of 222 seats with a passenger configuration of 36 executive class and 186 of economy class. The aircraft was equipped with a new interior where Executive Class is equipped with fully reclining flat bed seats. The aircraft is also equipped with LCD touch screen at all classes, and entertainment system with Audio & Video On Demand (AVOD) in the form of movies, music, and games that can be enjoyed during the flight.

President Director of Garuda Indonesia, Emirsyah Satar ensure that the Japanese market represents a potential market for Garuda Indonesia. Because Garuda Indonesia Airlines itself has been flying several other cities in Japan for more than 48 years. Such as the Denpasar-Nagoya route three times a week, Denpasar-Osaka five times a week, Denpasar-Tokyo every day.

"This flight gives the Immigration Service on-board, where the passengers can make arrangement to conduct immigration documents such as issuing visas on arrival at the aircraft," he explained. As for schedule, the Jakarta-Tokyo flight GA 884 will depart from Jakarta at 23:50 pm and arrive in Tokyo at 09.00 local time. Then go back to Jakarta by GA 885 at 12.00 local time and arrive in Jakarta at 17:45 pm.

Indonesia AirAsia denies bankruptcy rumor

Audrey Progastama P, Manager of Corporate Communication of Indonesia AirAsia, confirms that Indonesia AirAsia is not in a position to go bankrupt. Although Jakarta - Surabaya and Jakarta – Medan route are closed as per October 1, 2010. "We want to clear the information that is now circulating in the community about Indonesia AirAsia," said Audrey, Tuesday (08/03/2010) in Jakarta.

Audrey asserted, the closure of two routes was linked with changes in business strategy of Indonesia AirAsia. "Our focus this year is on the development of international air routes, rather than domestic routes. Therefore, the aircraft which was originally used for the two routes were transferred to route Surabaya - Singapore, Surabaya - Bangkok, Surabaya - Kuala Lumpur, Medan-Singapore, Medan - Kuala Lumpur, and Medan-Hongkong/Macau, "said Audrey.

Audrey also said, is not true that the tickets were already booked is non-refundable. "Passengers who had bought tickets could refundable. However, it depends on the payment method used. If passengers use credit cards, so our costs have been incurred to return as well as through credit cards," he said. Meanwhile, if a passenger using a debit payment system, then the money is returned through the passenger bank account. Similarly, if passengers pay cash at one of the sales counter, the passenger will receive cash.

Passengers can also choose a refund in the form of a credit shell, that is, credit is added to the respective accounts AirAsia passengers. Furthermore, these funds can be used to purchase another AirAsia flight ticket.

Audrey added that Indonesia AirAsia's performance in the second quarter of 2010 was very positive. Its load factor reached 75 percent with the number of passengers as many as 947 786 people or an increase of 9.8 percent compared with same period last year.

Mandala Airlines lowering the service to minimum service (no frills)

PT Mandala Airlines is lowering the service type from medium service to minimum service (no frills). Director General of Civil Aviation Ministry of Communications, Herry Bakti S Gumay ensure that Mandala Airlines already reported the service changes on July 13, 2010 to government.

"Mandala Airlines decided to reduce its services. After they explain the reason, we can accept. But they must be consistent with the request, should not have asked for no frills but still apply a medium rate," said Herry Bhakti. After obtaining approval to reduce the type of service, as of July 14, 2010, Mandala Airlines should reduce the charge for groups of no frills.

According to Minister of Communications Decree No. KM 26/2010 concerning Tariff Setting Limits On Economy Class aircraft, no frills airlines are only allowed to apply 85% tariff from upper limit tariff, while for medium services allowed to apply of 90%.

Herry Bhakti said, when the rules of the upper limit tariff applied on June 1, 2010, the government gives the transition and adjustment for budget airlines to follow the rules of the upper limit of the tariff. So even found the airlines violate the tariff, Government only admonished the concerned airlines not to repeat the same thing.

"At the time when this rules was imposed the airline company such as Lion Air, Travel Express Aviation, Merpati Nusantara Airlines, Mandala Airlines and Metro Batavia has break the rules.But we only reprimanded and not impose sanctions because it is still in transition stage. But from now on if there is another violation, we must drop the sanctions," said Herry Bhakti.

The sanction in accordance with regulations ranging from a reduction of frequency, freezing the flight routes, and postpone of licensing of new routes. "We also will not allow another airline to change the type of service than it has been reported. The airline must provide such services at least until six months, a new can change the type of service," he concluded.