Garuda IndonesiaCase Study: Garuda Indonesia to Focus on International ExpansionMM5003 Marketing Management

Syndicate 6

Melisa

29114346

Muhammad Nur Ikhsan29114400

Ilmi Khaera Azizah

29114440

Muhammad Bintang

29114450

MBA-ITB

School of Business and Management

Bandung2015

CHAPTER I

INTRODUCTION

1.1. Garuda Indonesia Profile

Garuda Indonesia is the flag carrier of Indonesia and serves as a full service airline. Garuda Indonesia currently operates 82 aircrafts and serves 33 domestic and 18 international destinations in Asia (Regional Southeast Asia, Middle East, China, Japan and South Korea), Australia, and Europe (The Netherlands).

Garuda Indonesia has three services hub in Indonesia. First, business hub, based in Soekarno-Hatta International Airport, Jakarta. Second, leisure hub, based in Ngurah Rai International Airport in Denpasar, Bali. In order to improve flight capacity and frequency to eastern part of Indonesia, Garuda Indonesia launched a third hub at Sultan Hasanuddin International Airport in Makassar, South Sulawesi.Apart from the main business as full service airline, Garuda Indonesia Group also consists of Strategic Business Unit (SBU) and Subsidiaries. The SBUs are Garuda Cargo and Garuda Medical Center. The subsidiaries are PT Citilink Indonesia as Low Cost Carrier (LCC); PT Aerowisata (hotel, ground transportation, travel agent and catering); PT Abacus Distribution Systems Indonesia (global distribution system); PT Aero System Indonesia/Asyst (provider of IT services for the travel and transportation industry), and PT Garuda Maintenance Facility or known as GMF AeroAsia (aircraft maintenance, repair, and overhaul).In February 2011, Garuda Indonesia has taken historic step to become a public company and listed in Indonesia Stock Exchange. (https://www.garuda-indonesia.com/jp/en/investor-relations/about-garuda-indonesia/corporate-profile/history/index.page?)

1.2. Garuda Indonesia History

The name "Garuda" was given President Soekarno, which he quoted from a Dutch poem composed by a popular poets that time, Noto Soeroto; "Ik ben Garuda, Vishnoe's vogel, die zijn vleugels uitslaat hoog bovine uw einladen", meaning "I am Garuda, Vishnoe's bird which spread its wing high above your archipelago".

The first commercial flight from Calcutta to Rangoon was made on January 26, 1949, using a Douglas DC-3 Dakota aircraft with the tail number of RI 001 and the name Indonesian Airways. In the same year, on December 28, 1949, another DC-3 aircraft registered as PK-DPD with the logo Garuda Indonesian Airways on its fuselage flew from Jakarta to Yogyakarta to pick up President Soekarno. This was the first flight made under the brand of Garuda Indonesian Airways.A year later, in 1950, Garuda Indonesia was officially established as a State Corporation. During that period, the company operated a fleet of 38 aircraft comprising 22 DC-3 aircraft, 8 Catalina flying boats, and 8 Convair 240 aircraft.

The fleet continued to grow, and Garuda Indonesia made its first flight to Mecca carrying Indonesian hajj pilgrims in 1956. Flight routes by Garuda Indonesia to European countries started in 1965 with Amsterdam as the final destination. Throughout the 80s, Garuda Indonesia underwent large-scale restructuring for its fleet and operations. It was at these times that the company begun to develop comprehensive training programs for its air and ground crews and established a dedicated training facility in West Jakarta, named the Garuda Indonesia Training Center. The Company also built an Aircraft Maintenance Center at Soekarno-Hatta International Airport.In the early 90s, Garuda Indonesia developed a long-term growth strategy which was applied until the year 2000. The company continued to expand its fleet and Garuda Indonesia also ranked among the 30 largest airlines of the world.Alongside initiatives in business development, a new management team took office early in 2005, and new plans were formulated for the future Garuda Indonesia. The new management of Garuda Indonesia undertook a comprehensive re-evaluation and across-the-board restructuring of the company. The objective was improving operational efficiency, regaining financial stability that involved efforts in debt restructuring including leasing liabilities from the European Export Credit Agency (ECA), increasing awareness among employees concerning the importance of service to customers and, most importantly, reviving and revitalizing the Garuda Indonesia spirit.The successful completion of the Companys debt restructuring program opened the way for Garuda Indonesia to go public in early 2011.

(https://www.garuda-indonesia.com/jp/en/investor-relations/about-garuda-indonesia/corporate-profile/history/index.page?)CHAPTER II

ISSUES & RECOMMENDATION2.1. Issues

Garuda Indonesia is preparing for expansion with enhancing service, which is increasing frequencies and destination in anticipation of joining the SkyTeam and ASEAN Skies. They plans to increase they fleet between 2015 2025. By now, Garuda has 110 aircraft with various type of aircraft. They have secured $200 million from banks to fund expansion and they aim to raise $163 million. In 2014 they plans to allocate $325 million in capital expenditure for business expansion. In October, they obtained $1.7 billion loan from ICBC to leasing back six Airbus 320s which will be operated by Citilink and five Boeing 777-300ERs for mainline fleet. Garuda plans to expand their flight to North Asia and delayed fivetime-a-week flight to London due to PCN of the runway at the Jakarta still not meet the requirement of PCN for operating a full-capacity 777-300ER, while service to Amsterdam is planned for 2015. For the regional services, Garuda is enhancing itself by the delivery 2 of 25 ATR72-600s. But now Garuda has to face the challenges with a plugging rupiahs rate to US dollar which is exceed Rp12.000 in January. However, now Garuda is transitioned well from banned airline into a best Indonesian Carrier. Problem for Garuda Indonesia to expand their service is the infrastructure for the airport is not in the pace of market growing.

But immediately Garuda is announce a cancellation for opening of new two international routes, which is to Manila or Mumbai. The company suffered from increasing losses during the first half of the year. Rupiah depreciating and the fuel price was increasing. Garuda had to cope with increasing operational cost, which is 40% used to pay fuel. And Garudas revenue, 0.7%, is inferior than its expense which climbed 15%. So with that current condition, Garuda is delaying expansion plans. Even Garuda has to close the Taipei route for efficiency.

2.2. Analysis

2.2.1. Marketing Plan of Garuda Indonesia

The market segmentation, targeting, and positioning (STP) process is a fundamental concept understanding marketing and the strategies of firms.

Segmentation & Targeting

Garuda Indonesia serves Indonesias fast-expanding middle-upper class, medium to high value customer. Many wealthy Indonesians insist on flying first class. Garuda Indonesia decides to target customer in business and leisure segment, grabbing the middle upper section of the market.

Positioning

Garuda Indonesia positioned itself as full service airplane offering premium quality of service, indulging passengers five senses.

2.2.2. Marketing Mix of Garuda Indonesia

The marketing mix refers to the set of actions, or tactics, that a company uses to promote its brand or product in the market. The 7Ps make up a typical marketing mix - Price, Product, Promotion, Place, People, Process and Physical Evidence. Price

The average ticket price of Garuda Indonesia is higher than other airlines in Indonesia. For instance, the ticket price shown as below.

(http://www.traveloka.com/fullsearch?ap=BDO.DPS&dt=09-03-2015.NA&ps=1.0.0)

Place

To deliver the services, Garuda Indonesia were developed 2 main channels distribution, direct channel and indirect channel. Direct channel consisted of Call Center, Sales Office & Ticketing Office, Website, Garuda Online Sales (GOS), Bilateral Interline Traffic Management (BITA), and Multilateral Interline Business Travel Agreement (MIBA), and Mobile Ticketing Counter (MTC). For Indirect Channel consisted of Travel Agent, GSA (General Sales Agent), and IBCS (IATA BSP Consolidator System).

For Operation, Garuda Indonesia has three services hub in Indonesia. First, business hub, based in Soekarno-Hatta International Airport, Jakarta. Second, leisure hub, based in Ngurah Rai International Airport in Denpasar, Bali. In order to improve flight capacity and frequency to eastern part of Indonesia, Garuda Indonesia launched a third hub at Sultan Hasanuddin International Airport in Makassar, South Sulawesi.Product

Service is a core business of Garuda Indonesia. Garuda Indonesia has launched a service concept called "Garuda Indonesia Experience". This service offers a concept reflects the genuine hospitality of Indonesian and presents the best aspects of Indonesia to the passengers. They offers passengers a distinctive service concept ingrained with Indonesian hospitality and all the best that the country has to offer. This is prove by The Gold Awards from The Pacific Asia Travel Association (PATA).

Garuda Indonesia Experience refers to "5 senses" (sight, sound, scent, taste, and touch) and includes a 28 "customer touch points" services ranging from pre-journey, pre- flight, in-flight, post-flight and post-Journey. This section can provide cost advantages to improve switching so that consumers think twice or difficult to switch to another service product.

The 5 senses will explain as follows. First, Sight concept offers the beauty of Indonesia that can be found at new aircrafts interior design which combined natural colors and Indonesian exquisite traditional motives. This concept is also reflected on the attractive colors of cabin crews uniform. Second, Sound. Music and traditional instruments is mirror of diversity of ethnic groups and cultures in Indonesia. Passengers can enjoy it through sophisticated entertainment device in the First Class, Business Class and Economy flight. Cutting edge Audio and Video On Demand (AVOD) device offers a variety of options to enjoy the entertainment, including traditional and contemporary music of Indonesia. Third sense is scent. Diverse flower petals and aromatic herbs have been used since ancient times. This fragrance is a blend of oils from plants and spices native to Indonesia such as clove and nutmeg, to create refreshing and soothing fragrance that can be sensed in the Garuda Lounge and sales offices. The fourth, Taste. Indonesian Culinary Arts is influenced by various cultures and blended in the flavor of traditional foods. This tantalizing flavor of Indonesia is infused in the food and drink distinctive to Garuda Indonesia, such as assortment of satay, yellow rice and martebe juice, a mixture of passion fruit and tamarillo. Last, Touch. The Garuda Indonesia Experience is a new concept of service which presents best aspects of Indonesia to passengers. Starting from flight reservation until arrival at destination airport, passengers will be spoiled by courteous and friendly service which characterize Indonesian hospitality and symbolized by the Garuda Indonesia Greeting of cabin crew.

Promotion

Garuda Indonesia has a promotion program called GarudaMiles is a promotion program based on membership service that is given as a token of appreciation for loyal customers Garuda Indonesia. the accumulated miles can then be redeemed for Award Tickets to desired destinations or Upgrade Awards from Economy to Business Class on chosen flights. GarudaMiles member also can enjoy special benefits such as: special check-in counters at the airport, extra baggage allowance, priority baggage handling, priority waitlist on ticket reservations, access to Garuda Indonesia airport lounges, and great offers from partners of Garuda Indonesia worldwide. By September 2014, members of GarudaMiles currently reaches approximately 750,000 members. Besides flight activity of the members of this GarudaMiles contribute to traffic by 30%, which continued to increase compared to previous years. Other promotion program is credit card promotion such BNI and CitiBank.

Garuda have to be creative to promote their brand. To increase brand awareness of the international community against Garuda Indonesia. they has cooperated with Liverpool Football Club. Garuda Indonesia sponsored Liverpool FC by being official airline for Liverpool FC. As compensation, Liverpool should use training kits with name Garuda Indonesis on it and Garuda Indonesia got permission to put up a banner in front of the stadium.

PeopleGaruda has high quality human resources and well-trained employees. To provide the customers with high quality of services as one of marketing stategy, Garuda hired high quality peoples to give their best performance to run the business process.

SDM sangat krusial. Kita bisa punya strategic plan yang bagus, investasi barang-barang bagus,tapi pada akhirnya itu semua dijalankan oleh Manusia. Jadi di Garuda kami menginginkan SDM yang tangguh (Emirsyah Satar - Ex President Director of Garuda Indonesia)Process

To facilitate customers to use the services of Garuda, they provide convenience in the use of their services such as e-booking, self check-in and immigration board service.

Physical Evidence

To strengthen their image as an Indonesian airline, Garuda provide Indonesian ambience and Indonesian food in flight

2.2.3. Porters Five Forces

The industry analysis for Garuda Indonesia is done based on Porters 5 forces. This analysisis done to show how Garuda is surviving or competing in the industry compared to the other airlines. The 5 Porters forces that are examined are:1. Competitive rivalry within an industry

Garuda has a high level of competition within the industry. Garuda experienced relentless price competition at home form nearly tow dozen domestic airlines. However, Garuda still controlled 50 percent of the domestic market. The numbers continued to drop after the worldwide travel industry suffered from bombings in Bali, SARS epidemic and also wars that occurred in Iraq. Their principal competitors are Lion Air, Singapore Airlines, Thai Airways, and Malaysian Airline System. All of them are competing against each other to provide the best airline services to the customers.2. Threat of new entrants

Threat of new entrants of this industry is low because the barriers for new entry in industry airline is high. The airline industry is an industry that requires a large upfront amount of investment, therefore threat of new entrants can be considered to be moderate. Besides large amount of investments, tight regulations also make it hard for new entrants to enter the industry. 3. Threat of Substitutes

The threat of substitutes in the airline industry is very low. With no high-speed train systems in Indonesia, the threat of substitutes has always been low. Travelling with other means of transportation is significantly longer than by air while the price difference to the consumer is not issue. The routes of other transportation systems also put this substitute for air travel at a disadvantage.4. Bargaining power of supplier

Bargaining power of supplier for Garuda Indonesia is low because Garuda Indonesia group consists of Strategic Business Unit (SBU) and Subsidiaries. The SBUs are Garuda Cargo and Garuda Medical Center. The subsidiaries are PT Citilink Indonesia as Low Cost Carrier (LCC); PT Aerowisata (hotel, ground transportation, travel agent and catering); PT Abacus Distribution Systems Indonesia (global distribution system); PT Aero System Indonesia/Asyst (provider of IT services for the travel and transportation industry), and PT Garuda Maintenance Facility or known as GMF AeroAsia (aircraft maintenance, repair, and overhaul). Despite of fuel price makes Garuda Indonesia suffer for profit loss, Garuda Indonesia can control another cost because its Strategic Business Unit (SBU) and Subsidiaries.5. Bargaining power of buyers

Bargaining power of buyers is significantly high in the airline industry. This is because consumers are given the privilege of searching for the lowest flights available on the internet and to complete the transaction without an intermediary. Buyer power increases because of this reason.

2.2.4. Internal and External Factors Internal FactorsThe environmental scan of Garuda Indonesia Airlines is starting with the internal factors of the company.a. Image of the company

Garuda Indonesia Airlines have a very strong image as a premium full service airline that serve an excellent service than other airline in Indonesia even the ticket price is higher. They have a lot of loyal customers that have been suited with their image, service and fares.

b. Routes

Since Garuda Indonesia Airlines is the national airlines of Indonesia, they have some special advantages compare with other airlines. One of the advantages that they have is special routes. Garuda cater most of the local routes in Indonesia. Besides that, they also cater some of the international routes, which giving another advantage in getting profit for the company.

c. Fares and Technology

Fares and technology of Garuda Indonesia could be described as incompeteable. When other carriers are fighting with their zero fair and taxes, Garuda is still fighting to increase their price. Recently most of the carriers, include Garuda Indonesia, have been shifting their booking system to the internet base.External Factors

Some external factors that we can find in Garuda Indonesia Airlines are:

a. Competitors

Garuda has either local or international competitors that operate the same route with them. Examples for local competitors are Batik Air, Air Asia Indonesia, Lion Air Airlines. For international competitors are Singapore Airlines, Malaysian Airlines, China Airlines, Korea Airlines, Thai Airways, KLM.b. Customers

Customers or target market of Garuda Indonesia are very wide spread. For local market, Garuda target customer in business and leisure segment, grabbing the middle upper section of the market. Everyone is willing to pay and choose Garuda as their carriers for premium service quality.

But in the international market, Garuda has really depended with the high-layer government people, businessman and also Indonesian workers/labors. They havent touched the students market, even though this segment is a very potential market for them since a lot of Indonesian student study abroad.c. Market Trends

World market trends now are moving extremely. Because of the economic crisis, now people are preferred to travel in short haul more than long haul. Short haul mean people are travel in regional around the country.

2.2.5. SWOT Firm

a. StrengthGood Pilot. The pilot of Garuda Indonesia is known as a good pilot that wanted by many airlines. The adept knowledge of the Garuda Indonesia pilots is as impressive as the technological wonders they fly. Garuda pilots are one of the most experienced pilots in the world. This is an important strength for the airline to get customer trust and loyalty.Good services. Garuda offers one of the best airlines services and it can be proven by the awards that it received in year 2001. Garuda received the ICSA award (Indonesian Customer Satisfaction Award) in the category of Best on Time Airline Award from Schiphol International Airport Amsterdam.

Good Management. Garuda Indonesia also received an award for having a good management team. Travel Weekly East Magazine, Singapore, presented Garuda Indonesia Innovators Award 2001 Airline (International): Crisis Management. An award which is given to institutions, businesses and individual as an acknowledgement of their extraordinary achievements.

Good Brand. This can be proven by two awards Garuda received which is from Mark Plus &Co for Experimental & Emotional Branding Champion, and also in 2002 they received an award from MARS & Swasembada Magazine for the most valuable brand in airline category.

b. Weakness

Finance (Profit Loss). With a weaker rupiah and an increase in fuel prices, Garuda had to cope with increasing operational costs, of which 40 percent was used to pay for fuel, he said.The firms financial report released last week showed that Garudas revenue rose 0.7 percent to $1.74 billion this half, while its expenses, which include flight operations, climbed 15 percent to $1.96 billion.During the first half of this year, the airline booked $12.86 million in losses from currency exchange, while in the same period last year the firm was still posting profits of $1.4 million from it.Less number of pilot. As we know Garuda is a big company on Airlines Industry yet Garuda lacks of pilot. They have less number of pilot because they have a high standard qualification for their pilots. So it becomes hard to find the good ones.c. OpportunitiesIndonesians Large Population & Geography. Indonesia has large of population and Indonesia is not a poor country. The Geography of Indonesia is so complex, there are so many provinces in Indonesia. This will gave the opportunity for Garuda to increase their sales.

International Expansion Routes. Wide network of Garuda Indonesia is an opportunity to expansion the International market. So it could increase their sales.

d. ThreatCompetitors. For domestic route, Garuda Indonesia has some competitors but the airline that has a same propose as premium service are Garuda Indonesia and Batik Air. Batik Air is one of competitor of Garuda Indonesia for domestic route because they have same positioning as full service premium airline. For Asean Route, Air Asia is one of competitor for Garuda Indonesia because Air Asias rate is lower than Garuda Indoenesia.Fuel Price. The price of fuel is very volatile and Garuda Indonesia can not adjust its price frequently as the fuel price changes. Currency. Garuda buy the fuel in dollars currency so when rupiah becomes weak Garuda has to buy the fuel at the higher price.Indonesian Market. The main target of Garuda is Indonesian people, so the market its very depending on Indonesian people buying power. c. Recommendation

Source :

https://www.garuda-indonesia.com/jp/en/investor-relations/about-garuda-indonesia/corporate-profile/history/index.page?

https://www.garuda-indonesia.com/jp/en/investor-relations/about-garuda-indonesia/corporate-profile/index.page?http://www.traveloka.com/fullsearch?ap=BDO.DPS&dt=09-03-2015.NA&ps=1.0.0http://www.ainonline.com/aviation-news/air-transport/2014-02-12/garuda-prepares-expansionCASE STUDY IGaruda Prepares for Expansion

by Neelam Mathews February 12, 2014, 3:55 AM

http://www.ainonline.com/aviation-news/air-transport/2014-02-12/garuda-prepares-expansion

As Indonesias national carrier Garuda initiates efforts to enhance service through increased frequencies and destinations, in anticipation of its move to join the SkyTeam global alliance in March and the ASEAN Open Skies in 2015, it is looking at adding around 200 to 250 aircraft to its fleet between 2015 and2025.

The carrier, which is to soon finalize its plans for a mix of narrow- and widebody aircraft, is expected to seek board approval this year to increase its fleet to 350 to 400 from its present 133 by 2025, CEO Emirsyah Satar told Reuters in HongKong.

Garuda has 110 aircraft on order, including 50 Airbus A320neos and Classics, 17 Airbus A330-300s, 25 ATR72-600 turboprops, plus six each of the Boeing 777ER and CRJ-1000NG regional jet. By the end of this year, it expects to have a fleet of 128, up from its present110.

The airline has secured $200 million in loans from banks to fund expansion of its fleet. Plans to conduct a rights issue in this years first quarter, with an aim to raise $163 million, have already been approved by shareholders. For 2014, it plans to allocate $325 million in capital expenditure for business expansion. About half of this amount should originate from funds generated through the rights issue, according to a report by private equity firm IndonesiaInvestments.

Garuda obtained a $1.7 billion loan from Industrial and Commercial Bank of China (ICBC) in October, with the airline selling and leasing back from ICBC six Airbus 320s, which will be operated by its budget subsidiary Citilinktaking that carriers fleet to 32 by year-endplus five Boeing 777-300ERs for its mainlinefleet.

Capacity expansion to North Asia will be made mainly with the new 777-300ERs. Plans to start a five-times-a-week service to London in November were delayed due to the pavement classification number (PCN) of the runway at Jakartas Soekarno-Hatta Airport with a 120-ton PCN as against the 132-ton PCN required for operating a full-capacity 777-300ER. To make that flight, Garuda will still need a restricted takeoff weight and a reduction of 39 passengers and cargo. Service to Amsterdam is planned for2015.

Regional connectivity to remote airports with shorter runways is being enhanced with the delivery of the first two of 25 ATR72-600s. The aircraft stand out as one of the best choices for short-haul flights and operations between the various islands of Indonesia[They] will providethe lowest operating costs for regional networks, said Filippo Bagnato, CEO of ATR. Under a 10-year global maintenance agreement, ATR will maintain the fleet from its customer support center in Singapore, while ensuring availability of key spare parts, such as propellers and fuelnozzles.

Challenges remain, however. With a plunging rupiah (the current rate to the U.S. dollar exceeded 12,000 in January), there is a need to increase capital for growth as Garuda plans to maintain an average age of aircraft, said Emirsyah Satar, president and CEO. Also untapped are Islamic funds that are spreading to airlines, not just in the Middle East but in othercountries.

Garuda has experienced a transition from being banned from flying to the EU, to becoming one of two Indonesian carriers removed from the blacklist. Regional hubs and mid-sized cities are emerging, but infrastructure for airports is not keeping pace. The market is growing in the next ten years. It is not just about airports, but also about infrastructure for pilots and engineers. It takes longer to build engineers than pilots, said Satar, alluding to the ASEAN Economic Community that is to come into being in 2015 with the aim of liberalizing air travel between the 10 member countries, which is expected to further raise competition. Concerns remain, however. Satar said, It is not a level playing field. Chinese airlines can fly anywhere to ASEAN, but carriers here can fly only to certain points inChinaCASE STUDY II

Garuda Indonesia Cancels Intl Expansion Plans Amid LossNadya Natahadibrata, The Jakarta Post, Jakarta | Business | Thu, July 31 2014, 1:21 PMhttp://www.thejakartapost.com/news/2014/07/31/garuda-indonesia-cancels-int-l-expansion-plans-amid-loss.html

Financial safety net law guarantees RIs financial system: Minister Depreciating rupiah brings potential benefits to manufacturing, service sector industries: Minister China's February imports sink in news sign of weaknessPublicly listed national flag carrier Garuda Indonesia is canceling this years plans to open two new international routes JakartaManila and JakartaMumbai as the company suffered from increasing losses during the first half of this year, a Garuda senior executive said.As previously reported, the state-owned enterprise recorded a loss of US$211 million from January to June, almost 20 times greater than a $10.92 million loss booked in the same period last year.According to Garudas vice president for communications Pujobroto, the airline is forced to take efficiency measures to cope with rising costs that had put pressure on the firms expansion plans.With a weaker rupiah and an increase in fuel prices, Garuda had to cope with increasing operational costs, of which 40 percent was used to pay for fuel, he said.The firms financial report released last week showed that Garudas revenue rose 0.7 percent to $1.74 billion this half, while its expenses, which include flight operations, climbed 15 percent to $1.96 billion.During the first half of this year, the airline booked $12.86 million in losses from currency exchange, while in the same period last year the firm was still posting profits of $1.4 million from it.With the current conditions, we have to cancel our plan to open a new route to Mumbai, India this year, as well as the plan to open to new route to the Philippines, Pujobroto said in a recent media briefing. The airline had previously planned to open the new routes during the second half of this year.

As part of its efficiency campaign, the countrys flag carrier also planned to close its less profitable routes, including Jakarta-Taipei, starting in Aug. 10 this year, Pujobroto said.In anticipating the downturn, the airline will also reduce the companys capital expenditure by $54 million this year, as well as temporarily cease the operation of its more fuel-intensive aircraft and delay the arrival of new aircraft it has ordered.Garuda currently operates a total of 149 aircraft, including Boeing 777-300ERs, Airbus A330-200/300s, Boeing 737-800NGs, Bombardier CRJ 1000 NextGens and ATR 72-600s, that have an average age of five years.By joining SkyTeam earlier this year, Garuda has improved its connectivity, he said. Therefore, even though we have a plan to close the Taipei route we will sign a code share agreement with China Airlines [a member of SkyTeam], so we can still fly our passengers from Jakarta to Taipei, he added, explaining that the daily routes load factor was only around 50 to 60 percent.