Garuda Indonesia will buy 10 Boeing 777-300ER planes to resume services to Europe, President Director Emirsyah Satar said today. Indonesia's biggest carrier expects...

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Garuda Indonesia will buy 10 Boeing 777-300ER planes to resume services to Europe, President Director Emirsyah Satar said today.

Indonesia’s biggest carrier expects the first 777 in 2010. Garuda’s first destination in Europe will be Amsterdam.


Company may drop HD DVD format

Toshiba may pull the plug on its HD DVD business, the Japanese electronics maker said today, in what would signal the almost certain defeat of its next-generation video format to rival Blu-ray technology.

Toshiba said no decision has been made but acknowledged it had started a review of its HD DVD business strategy. Its statement was issued after reports from media that Toshiba is studying a possible withdrawal from HD DVD.

A company official, speaking on condition of anonymity, said a board meeting could be held as soon as Tuesday, where a decision is likely.

HD DVD has been competing against Blu-ray disc technology, backed by Sony, Panasonic, five major Hollywood movie studios and others.

Only one high-definition video format has been expected to emerge as the winner.

Should Toshiba exit the business, companies supporting HD DVD — including Universal Pictures and Paramount Pictures — would be released from their contracts, The Journal reported. Microsoft also backs the format.

The rival formats deliver crisp high-definition pictures and sound, but they are incompatible with each other, and neither plays on older DVD players.


Deal challenges HBO dominance

HBO, the most popular premium cable channel, is a standard feature in hotel rooms, but HBO rival Showtime wants to give travelers another option.

The CBS subsidiary plans to announce Tuesday a partnership with the Sheraton Hotels chain to make the channel standard in 74,000 rooms.

The individual hotels still can offer HBO if they choose, but they must carry Showtime.

The deal highlights the importance of out-of-home distribution outlets for premium channels and the value of exclusive content arrangements for hotel chains like Sheraton.

HBO has 29 million subscribers, compared with 16 million for Starz and 15.5 million for Showtime.


Strategist criticizes offer for Yahoo

Microsoft should drop its offer to buy Yahoo, Joseph Rosenberg, chief investment strategist at Loews, said in Barron’s.

Microsoft Chief Executive Steve Ballmer already has cost the company almost $40 billion in equity value, Rosenberg said, citing the decline in the shares since the offer was announced Feb. 1, Barron’s reported.

“It’s a bad reflection on Ballmer that he’s willing to pay a ridiculous price for Yahoo,” said Rosenberg, who manages money for the Tisch family. “It will be even more ridiculous if Microsoft increases its bid.”

Microsoft shares may reach $80 “in a few years” if the Yahoo deal doesn’t take place, Rosenberg said.

Compiled from Bloomberg News, The New York Times and The Associated Press