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(Bloomberg) — Cash-strapped carrier PT Garuda Indonesia is in talks to bring Boeing Co.’s 737 Max 8 aircraft back to its fleet for the first time since the fatal 2018 PT Lion Mentari Airlines crash shook confidence in the plane’s reliability.
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The 737 Max 8 would be leased from BOC Aviation Ltd., which said in a statement that it has “been in commercial discussions with Garuda in respect of one B737-8 aircraft,” according to Timothy Ross, BOC Aviation’s head of investor relations.
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Representatives for Garuda didn’t respond to questions from Bloomberg.
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The move comes just days after Garuda received $405 million in loans from Indonesia’s sovereign wealth fund Danantara to help the airline turn around its finances and expand its fleet. The aircraft in question was previously leased to Canada’s Lynx Air International Inc. and Air Canada.
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Garuda took delivery of its first Max 8 in late 2017. However, that plane was grounded after a Lion Air Max 8 crashed into the Java Sea, killing all 189 people on board in October 2018. A second deadly crash of an Ethiopian Airlines Max 8 a few months later in March 2019 led to a complete grounding of the global fleet of Max aircraft that lasted almost two years.
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Garuda later returned its one Max 8 to its lessor during a nearly $10 billion debt restructuring and tried to cancel a $4.8 billion order for a remaining 49 planes.
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While previous Garuda officials have expressed reluctance in operating the Max on concern passengers may be unwilling to fly on the plane, the move to bring one back into its fleet shows the airline is keen to get newer aircraft into its mix.
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The carrier has at least 15 jets grounded because it’s struggling to make maintenance payments, Bloomberg News reported last month.
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Lion Air and PT Airfast Indonesia have already brought the Max model back into service.
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