Landsat data incorporated with additional bands-normalized difference vegetation index (NDVI) and band ratios were used to assess the extent and rate of deforestation in the Gunung Mutis Nature Reserve (GMNR), a mountainous tropical forest in Eastern of Indonesia. Hybrid classification was chosen as the classification approach. In this approach, the unsupervised classification-iterative self-organizing data analysis (ISODATA) was used to create signature files and training data set. A statistical separability measurement-transformed divergence (TD) was used to identify the combination of bands that showed the highest distinction between the land cover classes in training data set. Supervised classification-maximum likelihood classification (MLC) was performed using selected bands and the training data set. Post-classification smoothing and accuracy assessment were applied to classified image. Post-classification comparison was used to assess the extent of deforestation, of which the rate of deforestation was calculated by the formula suggested by Food Agriculture Organization (FAO). The results of two periods of deforestation assessment showed that the extent of deforestation during 1989-1999 was 720.72 ha, 0.80% of annual rate of deforestation, and its extent of deforestation during 1999-2009 was 1,059.12 ha, 1.31% of annual rate of deforestation. Such results are important for the GMNR authority to establish strategies, plans and actions for combating deforestation.