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Indonesian state airline Garuda Indonesia has signed a $2 billion deal with Boeing Co to buy 28 passenger aircraft, the local carrier said on Friday. The airline said in a statement it would buy 18 narrow body 737-800s and 10 787-800s, with the first delivery of the 737s by next year.
Garuda said the deal was signed on September 15 in New York, and witnessed by visiting Indonesian President Susilo Bambang Yudhoyono. The company would use the 737 series to fly to cities in China and the long-range 787 Dreamliner for its European destinations, Garuda Financial Director Alex M.T. Maneklaran told Reuters.
The twin-engine 787 Dreamliner will carry 240 passengers and can travel up to 15,700 km (8,500 nautical miles) - enough to fly from Jakarta to Vancouver or London non-stop. The first delivery for this series is scheduled in 2011.
Boeing plans to launch the maiden flight of the 787 Dreamliner in 2007.
Garuda currently operates 51 Boeing aircraft and six Airbus aircraft.
In May Indonesian low-budget carrier Lion Air signed a $3.9 billion deal with Boeing to purchase 60 aircraft from the 737-800 and 737-900 series.
The deals by Lion and Garuda are among the biggest transactions for corporate Indonesia since the 1997-98 Asian financial crisis.

Copyright Reuters, 2005

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