Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Cash Crisis Haunts National Air Carriers
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

Tel:
++62 361 286 283

Fax:
++62 361 286 284

U.S.A. Fax:(toll free)
1-800-506-8633

U.K. Fax:
++44-20-7000-1235

Australian Fax:
++61-2-94750419

24h:
++62 812 3819724

Bali Discovery

SITE PATA ASITA
Bali News

Cash Crisis Haunts National Air Carriers

As Cash Crisis Worsens, Merpati Uses Shift Work to Cut Payroll Costs. Garuda Manages to Meet Debt Repayment Schedule.


Bali News:
Click Image to Enlarge

(1/10/2005)

Merpati Nusantara Airlines (MZ) unable to obtain a Rp. 400 billion (approximately US$ 43.5 million) much-needed cash injection has been forced to assign staff to shift work in order to conserve cash flows.

Reported in the Indonesian-language Bisnis Indonesia, the 3,400 employees are being put on rotating shift work – at least for the duration of the current low season January – March.

The Office of the Ministry of State Owned Enterprises has asked MZ to reposition itself as a low cost carrier in order to compete in Indonesia's deregulated airline market.

MZ serves 332 cities flying 102 domestic and 7 regional destinations and achieved a total turnover of Rp. 1.57 trillion (approximately US$170.7 million) in 2004.

MZ's total current debt totals 1.5 trillion (Approximately US$160 million).

Garuda Meets Debt Repayment Schedule

The payment of an additional US$65.8 million dollars to creditors in November satisfied a total US$105.34 million in principal and interest payments scheduled for payment by Garuda in 2004.

Garuda's outstanding debt now stands at US$827.9 million.

Garuda's continuing ability to meet its debt obligations has been greeted optimistically in banking circles who point to the National Carriers success at streamlining and cost efficiency programs introduced over the past few years.

First Book Loss For Garuda Since 1998

Meanwhile, Garuda is widely expected to record its first operating loss since 1998 when final figures are released for 2004.

Despite higher revenues than 2003, escalating fuels costs and lower ticket prices necessitated by intense inter-regional competion will likely result in a loss of billions of Rupiahs for the Airline in 2004.

Hoping to improve their financial reports in 2005, Garuda is budgeting a 15% growth in sales revenues and a 10% growth in passenger loads in 2005.


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.

       

 
 
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
International Crime Busters
Australian Federal Police Will Continue to Provide Information to Assist Indonesian Police in the Arrest of Australian Lawbreakers
(1/30/2015)
Left Holding the Bag
Baggage Storage Facilities at Bali Ngurah Rai International Airport
(1/30/2015)
Altitude Sickness
Indonesian Airlines Required to Check Cockpit Crews Health on Each Flight Before Takeoff
(1/30/2015)
Service Charge Included
Garuda to Resume Inclusion of Passenger Service Charge in Ticket Price Effective February 1, 2015
(1/30/2015)
Bali Will Crack Down on Illegal Workers in 2015
Immigration, Police and Manpower Officials to Closely Supervise Foreign Workers in 2015
(1/30/2015)
Five Stars in the Indonesian Skies
Garuda Indonesia Earns Five Star Rating from Skytrax
(1/30/2015)
Not on Our Island
Bali Drug Prisoners Will be Relocated to Java for Execution
(1/30/2015)
RIP: Christian Vannequé 1949-2015
International Wine Legend Christian Vannequé Dies in Bali at 65
(1/30/2015)
Om Shanti, Shanti, Shanti
Governor Pastika Opens Indian Classical Music Performance at Festival of India
(1/30/2015)
Chinese Tourism to Bali Booming
Strong Demand in Chinese Market for Beijing to Bali Flights
(1/30/2015)
Elderly German Tourists Suffers Heart Failure on Bali Holiday
An 80-year-old German tourist has died in Bali from apparent heart failure.
(1/30/2015)
Dietzsch to Enrich Dining in Westin Nusa Dua
German Alex Dietzsch to Head Food and Beverage at The Westin Resort Nusa Dua
(1/25/2015)
All [News]!