"We have summoned the managements of the two companies to accelerate their partnership program to improve their financial performance," State Enterprises Minister Mustafa Abubakar said here on Friday.
The minister said if the two companies cooperated with each other. the airline company`s business prospects would be as bright as those of aircraft maker PT Dirgantara Indonesia.
"Production of CN 235 could be increased to meet demand in Merpati routes to improve connectivity, especially among the islands in the eastern Indonesia regions," he said.
The two state-owned companies if synergized could boost their financial performance.
Merpati has so far had difficulties increasing its fleet because of its debt burden while PT DI on the other hand lacked funds for producing aircraft.
He said Merpati`s present debt burden came from the past which should have been settled through restructuring program.
According to records, Merpati at present has a debt of around Rp4 trillion or twice the total value of the company`s assets.
According to PT Perusahaan Pengelola Aset (PPA) that handles Merpati`s restructuring Merpati`s Rp2.1 trillion debt to the government came from subsidiary loan agreement for the procurement of 15 units of MA-60 from Chinese Xian Aircraft Industrial Corp.
Besides the debt from the subsidiary loan agreement Merpati also has an obligation of Rp1.9 trillion to private and state-owned companies such as PT Pertamina, PT Angkasa Pura I, PT Angkasa Pura II and PPA.
Actually, Mustafa said, Merpati has been burdened much by debt made in the past so that strong commitment from the government including the House of Representatives was needed to salvage the company.
The government has received criticism with regard to the procurement of Merpati`s MA-60s after one of the planes recently crashed in Papua leaving some people dead.
Former president BJ Habibie said the decision to buy MA-60 instead of PT Dirgantara`s CN0235 was ridiculous.
"That was ridiculous. We can make CN-235. It was not Habibie that made it but your father (the late Prof Dr. Said Djauharsjah Jenie, former chief of the Technology Application and Assessment Agency-BPPT)," he said before hundreds of BPPT researchers here on Friday. (*)
Editor: Aditia Maruli Radja
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