Indonesian Businessman to Buy Bouraq Airlines

An Indonesian businessman has shown keen interest in taking over Bouraq airline which has not operated since early this year due to prolonged financial problems according to a Business News report.

The Indonesian businessman concerned, Gobel, who is also the chief commissioner of PT Panasonic Gobel Indonesia said that he was interested in buying the airline. He said his team would first study its condition.

"Bouraq had a long history in the country's airline industry. It had a solid reputation. However I have not made any decisions yet" he was quoted as saying. Gobel said the airline business in Indonesia was promising but to really tap into its business potential an airline should be managed professionally.

Separately, Transportation Minister Hatta Rajasa said his ministry had received a request from Bouraq airline to resume operations. According to Hatta under the prevailing regulations the ministry would directly revoke the license of an airline that had totally stopped its flights.

According to Bouraq's management the airline will receive fresh funds and a feasibility study on the resumption of its business activities is underway. Besides Bouraq other airlines that had shut down such as Star Air and Air Paradise had also indicated interest in resuming their flights.

Director General of Air Transportation Mohammad Iksan Tatang said earlier the ministry would give the airline a chance to get its management in order.

Star Air and Bouraq stopped operating in July 2005 because they were unable to compete with low-cost airlines.