May 13, 2004

Lufthansa Systems today announced that they have signed a contract that agrees on outsourcing the entire commercial IT operations of Garuda Indonesia. As part of a long-term strategic partnership, Lufthansa Systems has been chosen to migrate the Indonesian airline's IT landscape to solutions provided by Lufthansa Systems. This agreement underscores Lufthansa Systems' role as a global IT provider for the airline industry and their position on the Asian marketplace.

The long-term objective of the new partnership between Garuda Indonesia and Lufthansa Systems is to migrate all airline core processes including inventory, departure control, check-in and reservation to Lufthansa Systems products. The Indonesian airline will also be using NetLine for airline fleet planning and scheduling as well as ProfitLine for pricing and revenue management.

"A cooperation of this kind can only work when all relevant data are made available around the clock in a highly reliable, high-performance IT environment. We are therefore pleased that Garuda have trusted our aviation and IT expertise with this demanding task," says Dr. Peter Franke, Chief Executive Officer of Lufthansa Systems Group GmbH. "Asia Pacific is an important market for us. We will further increase our commitment to this market by providing a boost to the Indonesian airline industry through our cooperation with Garuda Indonesia," he added.

To win Garuda's confidence, Lufthansa Systems had to demonstrate both the high reliability of its technology and the ability of its IT consultants to facilitate a seamless migration. The IT provider will also develop new solutions leveraging the strength of existing solutions that are currently used by Garuda Indonesia.

"This strategic partnership with Lufthansa Systems enables us to strengthen our IT structure considerably. It will make a major contribution toward establishing the company as a competitive player in the global aviation market," says Indra Setiawan, President & CEO at Garuda Indonesia.

The cooperation represents a significant step in Lufthansa Systems' plans to grow in the Asian marketplace. Lufthansa Systems continually orients itself on the specific needs of individual regions. With currently four branch offices in the Asia-Pacific region (Singapore, Beijing, Delhi, and Sydney) the IT provider guarantees that its customers can receive immediate support and the highest quality of service.

Note for editors:

Lufthansa Systems is one of the leading IT service providers for the airline and aviation industries worldwide. As systems integrator, the wholly-owned subsidiary of the Lufthansa Group covers the entire range of IT services, including consulting, development, implementation and operation. Lufthansa Systems provides its IT infrastructure and operations services to a variety of industries. Headquartered in Kelsterbach near Frankfurt/Main, Germany, the company has branches in Germany and 13 countries and employs about 4,400 people worldwide. In business year 2003, Lufthansa Systems recorded sales of EUR 610.7 million.