TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Garuda Indonesia signs 10-year contract extension with GMF
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
Garuda Indonesia planes are unloaded at Terminal 3 of Soekarno-Hatta International Airport in Tangerang, Banten. (Tempo/Tony Hartawan)
N
ational flag carrier Garuda Indonesia signed on Wednesday a memorandum understanding (MoU) with aircraft maintenance service company PT Garuda Maintenance Facility Aero Asia (GMF) to extend its contract signed in 2013. The contract is set to expire in June 2018.
The new contract, which expires 10 years after it comes into effect, was signed by GMF CEO and president director Iwan Joeniarto and Garuda Indonesia technique and maintenance director I Wayan Susena in Jakarta.
“Garuda Indonesia was very selective in appointing the MRO [maintenance, repair and operations] partner of the fleet”, said Wayan, adding that around 60 percent of Garuda aircraft maintenance was handled by GMF.
He said his company believed that GMF offered high-quality MRO work because it had been certified by the Federal Aviation Administration (FAA) in 2017.
Iwan said that, with the new contract, both parties agreed that GMF would be allowed to draw expertise from Garuda's international partners.
Iwan said GMF had long-term contracts with domestic airlines Citilink and Sriwijaya Air, Vietnam's Vietjet Air and several Korean airlines.
He further said that, although Garuda contributed to around 65 percent of its revenue, the figure would continuously decline as GMF had seen an increase in orders from other airlines.
GMF eyes about US$520 million in revenue in 2018, a 15 to 20 percent increase from this year's figure, Iwan said. (jlm/bbn)
