Indonesia - Garuda buys six Bombardier aircraft worth $374m

SINGAPORE - Indonesia's Garuda will buy six Bombardier CRJ1000 next generation jets with an option for 18 more in a deal that could be worth a total of US$1.32 billion (S$1.66 billion), the Canadian aircraft maker said Wednesday.

The six firm orders are worth US$297 million, Bombardier said in a statement issued at the Singapore Airshow.

If Garuda exercises the 18 options, this will raise the deal to "approximately US$1.32 billion", it said.

Garuda president and chief executive Emirsyah Satar said the CRJ1000 NextGen would meet the flag-carrier's requirements for 100-seat planes to service domestic and regional markets.

"These new... aircraft will be an important part of our ongoing fleet expansion and rejuvenation programme under our quantum leap strategy," Satar said.

"With this new aircraft in our fleet, we will be able to add new destinations and more frequent connections which will provide travellers with more convenient access to our regional and long-haul network."

A Garuda statement, issued separately, said the carrier would take delivery of five of the aircraft in the fourth quarter of this year.

They will be used on high-density short and medium-range routes out of its domestic hubs in the cities of Makassar, Medan and Balikpapan.

Under its "quantum leap" strategy, Garuda is aiming to boost its competitiveness significantly by 2015 by nearly doubling its current fleet of 89 aircraft to 154.

Mike Arcamone, president of Bombardier Commercial Aircraft, said Garuda would be the CRJ1000 jet's launch customer in the Asia Pacific region.

AFP

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