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AirAsia, Garuda in talks for joint Indonesia operations

Intense competition is leading to industry consolidation

Garuda Indonesia and Malaysian budget airline AirAsia are in talks for possible joint operations in Indonesia.

JAKARTA -- Indonesian flag carrier Garuda Indonesia and Malaysian budget airline AirAsia are in talks for possible joint operations in Indonesia, executives of the two companies said Friday.

"AirAsia Indonesia is exploring the possibility of cooperation with Garuda Indonesia Group to leverage both carriers' strengths," Dendy Kurniawan, chief executive of the local unit of AirAsia, said in a statement.

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