ER
PT LION Mentari Airlines or Lion Air finally gave an official response regarding the company’s debts to a number of aircraft lessors.
According to Corporate Communications Strategic, Danang Mandala Prihantoro said that currently Lion Air is in talks with all partners, including lessors, to find a way out related to paying the airline’s debt. Previously, Lion Air had grounded 25 of its aircraft because it had not yet paid its debt to the lessor. The airline’s total debt is estimated at US$500 million or IDR72 trillion.
“This condition was caused by the COVID-19 pandemic that had lasted since last year. This condition is also faced by almost all airlines. The result of the discussion with the lessor is quite positive for both parties and the agreement will certainly be implemented,” he said Friday night (7/2).
Lion Air is also considering returning six Boeing Co passenger jets. 737-900ER to the lessor in July. In addition, several other 737-900ER jets owned by the airline may be offered in lieu of payment of arrears. The move to release some of its aircraft is considered to be able to help ease Lion Air’s financial burden.
Meanwhile, this private company has several operators in its group structure which in total operates a fleet of more than 250 jets. Lion Group owns several other airline brands such as Batik Air, Malindo Air Malaysia, Wings Air and Thai Lion Air. It is noted that around 80% of the group’s fleet is managed by approximately 42 operating lessors. [bisnis.com/photo special]
