We have 45 days to apply for restructuring

Reporter: Ika Puspitasari | Editor: Yudho Winarto

KONTAN.CO.ID – JAKARTA. PT Garuda Indonesia (Persero) Tbk (GIAA) responded positively to the decision on the Temporary Suspension of Debt Payment Obligations (PKPU) by the Commercial Court at the Central Jakarta District Court which was read out on Thursday (9/12).

This decision is an important foundation for Garuda Indonesia, which is currently carrying out restructuring and restoring the company’s performance.

President Director of Garuda, Irfan Setiaputra, said that the provisional PKPU decision gave us 45 days to submit a peace proposal that includes a plan to restructure business obligations to creditors.

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“We will coordinate with the Management Team under the supervision of the Supervisory Judge and ensure all related matters run according to applicable law,” he said in a press release, Thursday (9/12).

He explained that it should be understood together that the PKPU process is not a bankruptcy process. This process provides space for Garuda to negotiate with creditors within the legal corridor.

“We believe this process clarifies Garuda’s commitment to resolving business obligations and is an accelerative step to restore performance to realize Garuda as a business entity with strong business fundamentals in the future,” said Irfan.

Irfan added that on an ongoing basis he would continue to ensure that the peace proposals submitted by the GIAA would be submitted in a balanced and proportionate manner by always prioritizing the principle of mutual interest, both for creditors, customers, business partners, and other stakeholders.

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With the support of all stakeholders and improving market conditions as seen at the beginning of the fourth quarter of 2021, GIAA is also optimistic that Garuda can realize a more sustainable performance recovery in the future.

During the PKPU process, Garuda ensures that all aspects of flight operational activities will continue as normal.

Garuda is committed to always optimizing the availability of safe and comfortable flight services to meet the mobility needs of the community, as well as cargo transportation for the national economic sector.

“We thank the Government for its continued support for efforts to restore the company’s performance. Furthermore, we will also continue to establish communication with creditors and hope for good cooperation and support,” he concluded.