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Garuda revival threatened as partner airline heads for exit

End to Sriwijaya tie-up would slow Indonesian carrier's plan to catch Lion Air

JAKARTA -- Indonesia's third-largest domestic carrier Sriwijaya is seeking an end to its partnership with government-owned Garuda Indonesia, less than a year since the two airlines joined forces to take on upstart rival Lion Air.

Industry insiders have told Nikkei Asian Review that Sriwijaya is unhappy with the terms of the partnership with Garuda, and has been exploring ways to break the agreement since Sriwijaya returned to profitability earlier this year.

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