SJ plans
to close some routes
if the
government revises down the ceiling prices of economy class tickets
the revise
is intended to force airlines to cut airfares.
the
airline “like it or not” has to abide by the government's decision, -- but he said
the
company needed to close a number of routes to prevent losses.
The
government policy will negatively affect its revenue.
“Of course, it will affect our revenue,”
On
Monday, Coordinating Economic Minister invited (SOE) Minister and flag carrier Garuda
Indonesia’s board of directors for a meeting
to lower the prices of plane tickets.
“We have
one week to decide on new price ceilings for
economy class tickets.
God willing, [we will issue a new policy],”.
Joseph
stressed - closing several routes was necessary to maintain the company’s
financial health.
the
airline will monitor the domestic flight market
and
consider opening new, more profitable
routes.
The
decision to revise down ceiling prices of
airfares came
after two regulations -- failed to push
down airfares.
Budi
emphasized the policy was made after considering the people’s purchasing
power.
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