Press Release

Garuda Indonesia has signed a Memorandum of Understanding with the International Air Transport Association (IATA) to provide its passengers with the opportunity to offset their carbon generated from flying. Garuda Indonesia is the first airline in continent to join the program. The MoU signed by President & CEO Garuda Indonesia Emirsyah Satar dan Director General & CEO IATA Giovanni Bisignani at Green Pavillion, Singapore Airshow, Singapore, on February 2, 2010.

President & CEO Garuda Indonesia Emirsyah Satar said that Garuda Indonesia will work with IATA to implement offsets into its existing web sales structure and to identify the offset projects that will benefit from this initiative. Once set up, passengers will be able to decide whether they wish to compensate for their emissions when booking their flights on the Garuda Indonesia website. Information about the CO2 emitted for that flight would be given, as well as information about the cost to offset that amount of CO2 and the project where the money is to be invested.

The IATA-administered industry-wide carbon offset program is a ready-made tool enabling airlines to offer their passengers the ability to compensate for their carbon emissions with contributions towards carbon reduction projects in developing countries.

The IATA program calculates carbon emissions based on a methodology developed by the International Civil Aviation Organization (ICAO). The system utilises the efficiencies and reliability of IATA's long-established financial systems to enable airlines and their passengers to purchase their ticket and their offset at the same time.

Transparency is critical to ensure that monies collected result in reduced emissions. The IATA Carbon Offset Program only invests in the most credible projects. These are UN approved Certified Emissions Reductions (CER) projects and voluntary credits which comply with the recognised Gold and or Voluntary Carbon Standards. The passenger contribution therefore goes to the sponsored project. The IATA Offset Program has been independently approved by the UK's carbon offset quality assurance scheme.

The adoption of the IATA Carbon Offset Program reaffirms that Garuda Indonesia is highly committed to environmental responsibility and sets a good example of industry leadership in economic measures. The industry standard approach is a cost-effective means for airlines to offer their customers the option to offset emissions resulting from their air travel.

Singapore, 2 February 2010
PT. GARUDA INDONESIA (PERSERO)
VP CORPORATE COMMUNICATIONS

PUJOBROTO