Garuda Indonesia expresses its most sincere apologies for the series of delays and cancellations of several Garuda Indonesia flights on Sunday.

Regarding passengers who have been waiting since yesterday to be flown, today Garuda Indonesia will rebook and reissue their tickets to ensure they are put on the first available flight.

In addition, passengers who missed their flights on Sunday will be paid cash equal to the value of their Garuda tickets. This way, Garuda Indonesia takes full responsibility and assures passengers will be compensated for their inconvenience by flying them for free. In the event passengers cancel their flights, Garuda Indonesia promises to repay them double the value of their tickets.

Yesterday, Garuda Indonesia canceled flights to Medan, Batam, Pangkal Pinang and Padang.

Until today at 10.30 WIB, Garuda Indonesia has successfully processed 42 scheduled flights from Soekarno-Hatta Airport for destinations within the country and abroad.

As efforts to repair the problem continues, and in anticipation of any necessary cancellations to today's flights, Garuda Indonesia will give passengers a refund for their cancelled tickets amounting to twice the price of their tickets.

Prior to the new system, Garuda Indonesia operated individual systems for flight handling, cabin crew management and flight schedule monitoring.

Recently, as part of the airline's initiative to upgrade its flight operations system, Garuda began implementing a new Integrated Operational Control System for the integration of the management of flights, crew and passengers.

The new system monitors quite a large operation, comprising 81 jet airlines, 580 pilots, 2,000 cabin crew and 2,000 flights per week. Despite intensive preparations and simulations, the migration/transition process from old system to new system still encountered problems, such as mix up in the scheduling of cabin crew, which subsequently led to flight delays and cancellations.

Garuda Indonesia is currently striving to fix the problem and expects to normalize all operations as soon as possible.

Jakarta, 22 November 2010

PT. GARUDA INDONESIA
VP.CORPORATE COMMUNICATIONS

PUJOBROTO