Jakarta Lloyd to merge with healthy firm: Govt
The Jakarta Post, Jakarta | Wed, 03/09/2011 12:34 PM
Ailing shipping firm Jakarta Llyod plans to merge with another state-owned enterprise with better financial performance, State-Owned Enterprise Minister Mustafa Abubakar said Wednesday as quoted by kompas.com.
The merger is expected to curb the company’s losses, Mustafa said after a coordinating meeting on food security, in Jakarta.
He added that it would be best if Jakarta Lloyd merged with a state-owned enterprise that needed transportation periodically, such as a fertilizer or a cement company.
“In 2010, 22 state-owned enterprises suffered losses. Hopefully this year this number will drop to 17,” he said.
Two other ailing state-owned companies, Merpati and PT Dirgantara Indonesia, used to perform very well and there was hope that they would recover, he said.
