Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Garuda’s Cash Crunch
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

Tel:
++62 361 286 283

Fax:
++62 361 286 284

U.S.A. Fax:(toll free)
1-800-506-8633

U.K. Fax:
++44-20-7000-1235

Australian Fax:
++61-2-94750419

24h:
++62 812 3819724

Bali Discovery

SITE PATA ASITA
Bali News

Garuda’s Cash Crunch

Government Unable to Help Garuda’s Need for More Working Capital


Bali News: Indonesia, Garuda Indonesia, Financial situation, debt to equity ratio, Balance sheet, debt, Hadrito Hardjono, Gatot Trihargo
Click Image to Enlarge

(8/10/2014)

The Indonesian government has rejected requests for additional working capital submitted by the State-owned flag carrier Garuda Indonesia.

According to Bisnis.com, the government cites a lack of designated allocations in the State Budget for capital support to the airline as preventing the cash injection sought by the Airline.

The deputy-manager in chare of finance, construction and other service at Garuda, Gatot Trihargo confirmed that the government faces difficulties in financially shoring up the Airline.

As a publicly-traded company owned by the government, whenever a new or additional rights issue is launched the government’s shareholding becomes necessarily diluted.

“Additional capital is not allocated for in the current government budget,” explained Trihargo.

A possible injection of cash or new rights issues has reportedly not been tabled for discussion between Garuda and the Minister for State Owned Enterprises.

Garuda has been seekin new capital sourced from the government in order to meet the Airline’s growing need for cash.

The director of finance for Garuda Indonesia, Hadrito Hardjono, told the press that the Airline’s finances are under pressure with the ratio of debt to equity now a critical juncture.

Hardjono said the debt to equity ratio of the airline is now 1.1 – a situation considered too restricting to maintain normal financial operations. The Finance director declared that any ration exceeding 1.1 would have a deleterious on the Airline’s balance sheet.

At the end of June 2014, Garuda Indonesia’s total dept had reached US$1.2 billion with the company’s assets valued at US$1 billion.

Garuda Indonesia had debts of US$200 to US$300 million that must be settled in the current year.


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.

       

 
 
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
Surging Numbers But Still Hungry for More Arrivals
Bali By the Numbers: March 2015 Arrivals up 14.04%. Bali on Track to Achieve 4.3 million Tourist Arrivals in 2015
(4/24/2015)
Reduce, Reuse and Recycle
Bali Safari and Marine Park: Speaking Up for Mother Earth
(4/24/2015)
Happy Landings and Takeoffs
Bali’s Airport Cited Among the World’s Best
(4/24/2015)
A Three-Penny Opera
Young U.S. Couple Convicted of Murder in Bali Receive Prison Sentences of 10 and 18 Years
(4/24/2015)
99 Bottles of Beer in the Province, 99 Bottles of Beer
16 Tourism Areas of Bali Designated for Relaxed Distribution of Alcoholic Beverages
(4/24/2015)
How to Keep Bali Sustainable?
Governor Presents Tourism Vision in Five-Year Development Plan
(4/24/2015)
Crime Most Vulgarian
Bulgarian Arrested in Bali for Banking Fraud Targeted Against Tourists
(4/24/2015)
Guiding Lights
Bali Temporarily Suspends Issuance of New Guide Licenses
(4/24/2015)
Keeping Aviation Financially Sustainable
All Indonesian Airlines Must Report Financial Condition to Ministry of Transport by April 30, 2015
(4/24/2015)
Hotel Trumps Mangrove
Protest Staged in Support of Bali Reclamation Project
(4/24/2015)
Study Tourism on the Island of the Gods
Stenden University Bali Offers Scholarships in Hotel and Business Management
(4/24/2015)
Great Air Deals from USA to Bali
Fly Chicago to Bali Round Trip US$950
(4/24/2015)
All [News]!