We followed what it decided."
Jakarta (ANTARA News) - State Enterprises Minister Dahlan Iskan said his decision to replace Merpati Nusantara Airlines President Director Rudy Setyopurnomo was purely based on a recommendation from a meeting of his ministry and state asset management company PT PPA.

"The reshuffle of Merpati`s board of directors is based on a recommendation from PPA as a company responsible for restructuring Merpati. I only signed it (the decision)," he said here on Wednesday.

The reshuffle was decided at a leadership meting of the state enterprises ministry and the asset management company following a series of meetings, he said.

"We fully left the matter to PPA. So if the restructuring of Merpati required it to reshuffle the board of directors, go ahead. We followed what it decided," he said.

Dahlan has appointed Capt Asep Ekanugraha president director of the state-owned carrier to replace Rudy Setyopurnomo who was appointed to the post on May 11, 2012.

Asep was earlier Merpati`s operations director. But he resigned when Rudy was appointed Merpati president director.

PPA also reshuffled Merpati`s board of directors by reducing the number of directors to three from five.

Dahlan said the most important thing to settle the Merpati issue was restructuring its debts.

"Whoever is elected Merpati president director it is not problem. What is important, the restructuring of the company`s debts can be settled," he said.

Asked about the restructuring of Merpati`s debts, Dahlan said he preferred to prioritize debt to equity swap.

Merpati currently owes around Rp6.5 trillion to a number of companies including state oil and gas firm PT Pertamina, state airport operators PT Angkasa Pura I and PT Angkasa Pura II, and PT PPA.

Asep has been appointed Merpati president director, with Daulat Musa and Haryo P. Soerjokoesomo as directors.

The previous board of directors consisted of Rudy Setyopurnomo as president director, Sutan Banuara as commercial director, Doni Suherman as finance and administration director, Denny Satrio Trihandoko as operations director, Priharyono as technical director.

(Reporting by Royke Sinaga/S012/A014)

Editor: Priyambodo RH
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