Flag carrier Garuda Indonesia (GIAA) booked net profit of US$8.1 million last year, crashed by 88% from 2015 due to a combination of factors, including the airline’s reluctance to streamlining operations and revamp the fleet management. Garuda failed to benefit from 18% fall in fuel costs due to persistent high cost of aircraft rental & charter, maintenance and overhaul, user charges and station, and finance cost.
Read MorePresident Joko “Jokowi” Widodo has submitted the list of 14 General Election Commission (KPU) commissioner candidate for the 2017-2022 term and the list of 10 Election Supervisory Body (Bawaslu) commissioner candidates for the 2017-2022 term to the House of Representatives (DPR) since Feb. 1. Now that almost two months have passed, the DPR has not yet elected the new KPU and Bawaslu commissioners because they’re still discussing the revision of the election organization law. To make things worse, political parties in the DPR announced the controversial plan of awarding KPU and Bawaslu commissioner positions to political parties.
Read MoreChandra Asri Petrochemical (TPIA), the largest petrochemical company in Indonesia, starts to conduct the feasibility study for building an integrated petrochemical complex—the second complex—with investment cost of US$4-5 billion. The project is located in Cilegon, Banten, near the first complex. The second complex will produce one million ton per year of cracker ethylene capacity. The construction will take 4 years.
Read MoreShares of Latinusa (NIKL), market leader for tinplates in Indonesia, advanced further this morning to make it one of the most expensive stocks on Indonesia Stock Exchange (IDX). Shares of Mandom Indonesia (TCID), key player in personal care market, meanwhile, were flat with thin trading volume.
Read MoreIn July 2015, the Attorney General’s Office (AGO) won the battle of Reconsideration (PK) against Yayasan Supersemar; a foundation belonging to the family of former President Soeharto. Yayasan Supersemar was found guilty of diverting State funds from the 1970s to the 1990s. The foundation was thus ordered to return Rp4.4 trillion to the State, but to this day the execution of the verdict has not been carried out. The responsible parties are now casting blame on each other.
Read MoreThe trial of the President Director of PT Meriel Esa Indonesia Fahmi Darmawansyah, who is allegedly involved in bribing the Maritime Security Agency (Bakamla), continues. In the hearing held on March 20, 2017, the Court summoned the other suspect in the case Eko Susilo Hadi as a witness. Eko confirmed the content of the indictment read.
Read MoreForeign investors continued buying local stocks on Tuesday (Mar 21), while domestic investors opted to take profit in certain stocks. Foreign investors booked net buy of Rp392.5 billion yesterday, bringing year-to-date net buy to Rp5.51 trillion. The composite index of the Indonesia Stock Exchange (IDX) gained 0.16% to close at 5,543 Tuesday, closed off its low of 5,526 helped by buying ahead of market close. The rupiah strengthened further to Rp13,308 against the U.S. dollar yesterday.
Read MorePresident Joko ‘Jokowi’ Widodo inaugurated eight gas-fired mobile power plants (PLTG MPP) with combined capacity of 500 MW late last week. This week, the first unit of Sarulla geothermal power plant enters commercial operation in North Sumatra with design capacity of 110 MW. The second unit, meanwhile, will enter the grid sometime in September 2017, followed by the third unit in March 2018 to make a total of 330 MW from Sarulla project.
Read MoreThe amendment of the Law (UU) No. 18/1999 on Construction Service was promulgated this month under UU No. 2/2017. The long-overdue amendment was initiated by the House of Representatives with the backing of the Government, with the Ministry of Public Works and People’s Housing. Some urge the Government to quickly implement the law, but others have voiced their objection.
Read MoreTough market has forced ceramic producer PT Intikeramik Alamasri Industri Tbk (IKAI) to suspend its production. Lyman Group, meanwhile, has recently expanded production capacity with US$70 million of investment. Arwana Citramulia (ARNA), another ceramic producer listed on Indonesia Stock Exchange (IDX), reported net profit of Rp90.48 billion last year, jumped approximately 30% from 2015 on strong sales growth.
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