Mandarin merger - China Airlines has set a June 1999 target date for the merger of its subsidiaries Mandarin Airlines and Formosa Airlines. The merged carrier will retain the Mandarin name, but will focus entirely on domestic services. Garuda shake-up - Debt-ridden Indonesian airline Garuda has appointed a new president director, the second top management change in five months. Abdul Gani, president of local bank Duta, replaces Robby Djohan. PNG fares hike - Rising fuel costs and an unfavourable exchange rate have prompted national carrier Air Niugini and local airlines in Papua New Guinea (PNG) to raise fares by up to 12.5%. Air Niugini will receive a 50 million kina ($23 million) cash injection from the state, but has failed to reach agreement with Qantas on an equity stake. SAA Swiss watch - South African Airways (SAA) has cemented an agreement with the SAir Group, which initially involves codeshare flights between Switzerland and South Africa and the integration of the two carriers' frequent flier programmes.
Source: Airline Business