Jakarta (Antara) - Tigerair Mandala has planned to stop operations from July 1, 2014, due to weak market and increasing operational cost following the depreciation of rupiah. "Excess capacity compared to the number of passengers and depreciation of rupiah by up to 20 percent since early 2013 have increased Mandala's operational cost significantly," the Chairman of the board of commissioner of PT Mandala Airlines Jusman Syafii Djamal reported in a written statement received here on Wednesday. Since the airline's reopening in April 2012, the low-cost carrier had been suffering losses. The challenging development of the industry has made it difficult for the shareholders to continue to provide financial support. This situation has led the board of directors to finally decide that the company did not have the adequate resources to continue operation. "We had tried to seek various solutions to remain operational, including talks with strategic partner candidates and investors," Jusman said. He said his staff are still holding talks with the shareholders on Mandala's major obligation to settle the employees and creditors. "We regret the decision and offer an apology to the employees and their families, passengers as well as partners for the inconvenience caused. The board thanked all passengers, the government, airport officials, and service providers for the support so far," he said. The airline has officially informed the Directorate General of Transportation in about its decision. The last flight Mandala will carry out will be the RI545 Flight on July 1, 2014, scheduled from Hong Kong to Denpasar at 02.35. After the last flight, all flights will be canceled. Tigerair Group will support all passengers affected by the termination of Tigerair Mandala's operation by accommodating them in flights operated by Tigerair (TR) depending on seat availability or repaying the passengers who have purchased or ordered tickets on July 1 or afterward. For further information, visit Tigerair site or contact Mandala call center at (+6221) 2939-6688 or Tigerair call center from June 18 to July 31, 2014. (*) Reported by Ade Irma Junida

Pewarta:

Editor : Tunggul Susilo


COPYRIGHT © ANTARA News Jawa Timur 2014