CN-235s will be employed again. The IPTN now IAe (Indonesian Aerospace) made aircraft, will no longer remain in hangar. IAe will refurbish the aircrafts which in Indonesia are commercially operated only by Merpati Nusantara Airlines.
The utilization of the 35 seat commuter aircraft called Utilizing CN-235 Program, begin with an MoU signing between these two state owned companies, last March (26/3), in Jakarta. "This program will indeed utilize the CN-235 and IAe skill," explained Wahyu Hidayat, President Director of Merpati. He added that besides this, it could re-employed the human resources along with the components and spare parts in Merpati inventory.
Indeed, aircraft performance will not be a problem. Other operators also admited the quality of the aircraft that was first produced jointly by IPTN and CASA of Spain. Merpati itself is selected to be partner in progress for IPTN, especially to operate CN-235 in 1986. However, the operational cost is much too high. In mid 1990, for example, Merpati "should" pay aircraft leasing of 90.000 US dollars per month. Whereas IPTN once admitted that feasible normal leasing rate is about 35.000 US dollars.
Regarding this unreasonable leasing fee, Ridwan Fataruddin, President Director of Merpati (1992-1995), said that even if the load factor were 150 percent, they will never reach BEP (break even point). Just compare it with the 100 seat B737-200, which its leasing fare is only 65.000 US dollar per month, and not including maintenance fee. It will cost 70.000 to 75.000 dollar per month with maintenance fee.
According to Wahyu, there are three possibilities in utilizing CN-235. To re-operate the aircraft in Indonesia, let other party to lease the aircraft, or to sale as request and required modification.
President Director of IAe said that the cooperation is like a reunion. He said that Merpati used to cooperate. However, the unfeasible situation and condition make both companies cease to cooperate. "Bitter decision has to be taken in order to be able to growth," he added. Therefore, according to Jusman, now it is the time to re-cooperate. "This is both parties' initiative," he revealed.
Wahyu admitted, his company will not operate CN-235 again. "It's good and safe, but expensive to operate, it is hard to gain profit. Except if it has good support and feasible finance calculation," he said. Since 1999, Merpati has not been operating CN-235.
At the beginning, Merpati had 15 CN-235s. Afterward, one aircraft crashed on Burangrang Mountain, Garut, West Java. From 14 that were left, three aircrafts has been returned to IAe for Merpati's debt payment. "But then IAe became the one that has debt since there was difference in figures," said Wahyu without saying how much Merpati owed IAe.
IAe then leased those three aircrafts to outside party. One aircraft to the Philippines and the other two to Venezuela. Apparently those aircrafts succeeded and were considered reliable enough. Jusman also admitted that at this time there are already several customers from outside or inside the country who were interested operating the CN-235.
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