Tag Archives: Philippine Airlines

Philippine Airlines exits Chapter 11 bankruptcy reorganization

"The Love Bus"

Philippine Airlines announced on December 31, 2021 it had exited Chapter 11 bankruptcy protection and reorganization.

The airline had previously filed for reorganization on September 3, 2021.

Philippine Airlines stated it would reduce its debt load by $2 billion and at the same time add $505 million in liquidity from its main shareholder PAL Holdings, owned by Lucio Tan. PAL also said that at the same time it had the option of obtaining a further $150 million from new investors.

The airline also stated it had terminated around 2,000 employees.

The airline issued this statement:

Philippine Airlines Inc. (PAL) announced on December 31, 2021 that it has emerged from its voluntary Chapter 11 proceedings as a more efficient airline with a strengthened balance sheet, reaffirming its continuing role as the Philippines’ sole full-service airline with the largest international network.

PAL successfully completed its financial restructuring within four months, in contrast to other airlines that remain in the Chapter 11 process more than a year after filing in 2020. The Philippine flag carrier credits the strong support of its creditors and shareholders, the cooperation of its industry partners and the collective efforts of PAL employees around the world who sustained flights on multiple international and domestic routes throughout the restructuring period.

PAL has streamlined operations with a reorganized fleet and is now better capitalized for future growth. The Company’s Plan of Reorganization, which was approved by the U.S. restructuring Court on December 17, 2021, provides for over US$2.0 billion in permanent balance sheet reductions from existing creditors, improvements in PAL’s critical operational agreements and additional liquidity including a US$505 million investment in long-term equity and debt financing from PAL’s majority shareholder.

The airline’s consensual restructuring plan was accepted by 100% of the votes cast by its primary aircraft lessors and lenders, original equipment manufacturers and maintenance, repair, and overhaul service providers, and certain funded debt lenders.

“Philippine Airlines stands ready to help grow back the Philippines’ local and international air travel markets in ways that renew the tourism industry, serve the needs of global citizens including overseas Filipinos, and contribute actively to the recovery of the Philippine economy,” said PAL Director Lucio C. Tan III, quoting PAL Chairman and CEO Dr. Lucio C. Tan. “Our mission as the flag carrier matters more than ever, and we are thankful for the chance to rebound from the pandemic and continue to fulfill this mission as best as we can.”

“This is a celebratory moment for PAL, for all our partners and stakeholders, and for our personnel who sacrificed much while working successfully to keep the airline flying,” said Gilbert F. Santa Maria, PAL President and Chief Operating Officer. “Above all, we thank our customers for their support, and the Filipino people for keeping faith in their flag carrier through the entire restructuring process. There are immense challenges ahead, but we look forward to tackling them as a reinvigorated Philippine Airlines, better positioned for strategic growth to continue serving our customers.”

Moving forward, PAL will reinvest in its operations to better serve its valued customers by:

  • Reinforcing PAL’s position as the Philippines’ sole full-service airline with the largest international network serving four continents, including:
    • The only nonstop flights linking the Philippines to the U.S., Canadian East and West Coasts, Hawaii, Brisbane, and Melbourne;
    • The largest network of flights from the Philippines to multiple cities in Japan, Australia and the Middle East, along with convenient schedules to Hong Kong, Korea, Taipei, Singapore, Thailand, Indonesia, Vietnam and Malaysia;
    • A high-frequency domestic network encompassing trunk routes to the major cities of Visayas, Mindanao and Luzon, as well as inter-island services to the nation’s tourist hot spots and paradise islands;
    • The only full-service options in Philippine domestic skies, including Business Class on many local routes.
  • Restoring more routes and increasing flight frequencies as travel restrictions ease and borders reopen, including the resumption of regular flights to multiple cities in mainland China, full regularization of flights to Australia and the commencement of historic new services to Israel.
  • Building on code sharing and interline partnerships to complement the airline’s current and future network and allow PAL passengers to enjoy better connections and access to more destinations through partner airlines.
  • Expanding PAL’s newly established cargo business to tap more air cargo market opportunities, including the operation of all-cargo flights to keep supply chains moving and to meet specific freight transport needs such as the airlift of vaccines and medical equipment.
  • Offering year-round great value fares and competitive promotional offers.
  • Developing innovations to PAL’s Mabuhay Miles frequent flyer program, including an expansion of membership rolls and enhancements to program terms and benefits.
  • Accelerating digital transformation initiatives to deliver seamless and intuitive experiences to PAL customers, including a more personalized website and mobile app, a streamlined booking process that offers more flexible payment options such as e-wallets and installment plans, enhanced self-service options for rebooking and check-in, and improved chat facilities and inter-active voice response (IVR) functions through PAL’s contact center.
  • Rolling out new product advancements within 2022, as part of a commitment to continuously upgrade services and the overall customer travel experience.
  • Upholding, as always, the strictest professional safety standards and health protocols in all of PAL’s operations.

Under the newly effective recovery plan, PAL has the option to obtain up to US$150 million in additional financing from new investors.

PAL reiterated its commitment to fulfill all refund obligations. The Company has cleared over 99% of past refunds and is now back to normal processing times for refunds, except for some 2020 cases that require validation procedures mostly involving third party providers.

Philippine Airlines Inc. was the only party included in the Chapter 11 filing; while PAL Holdings Inc., which is listed on the Philippine Stock Exchange (PSE: PHI), and Air Philippines Corporation, known as PAL Express, were not included in the Chapter 11 filing.

75 Years of connecting the Pacific.

On July 31, 1946, Philippine Airlines became Asia’s first airline to cross the Pacific Ocean. The pioneer DC-4 flight carried 40 American servicemen from Manila to Oakland, California, via Guam, Wake, Kwajalein and Honolulu.

Top Copyright Photo: Philippines (Philippine Airlines) Airbus A350-941 RP-C3507 (msn 280) (The Love Bus) YYZ (TMK Photography). Image: 946502.

Philippine Airlines aircraft slide show:

Philippine Airlines aircraft photo gallery:

Philippine Airlines is coming to Seattle/Tacoma

Philippine Airlines is coming to Seattle/Tacoma. The airline will launch a new Manila – Seattle/Tacoma route on May 3, 2020.

The new route will operate three days a week with Airbus A350-900 air raft according to Airline Route.

Philippine Airlines aircraft photo gallery:

 

Philippine Airlines to expand its Asia network, gets ready to take delivery of a new A350 “The Love Bus”

"The Love Bus"

Philippine Airlines is expanding its Asia network with new routes to Hanoi, Phnom Penh and Delhi this spring.

The Manila – Hanoi route will start on March 31 and will operate four days a week.

Manila – Phnom Penh service will start the following day on April 1. This new route will operate five days a week.

Finally the carrier is returning to Delhi, India in April. The restored route will operate four days a week with new Airbus A321neo aircraft (below).

Philippine Airlines also made this announcement about the return of “The Love Bus”:

Philippine Airlines is slated next month to receive its 5th brand-new Airbus A350-900, the 4-Star carrier’s flagship fleet for long-haul operations to New York, London, and soon, Toronto. The sleek fuselage of the ultra-modern, long-range aircraft will showcase the “Love Bus” logo to mark the PAL-Airbus partnership now on its 40th year, and to celebrate the airline’s signature heartfelt service. Photo shows the freshly-painted PAL A350 Love Bus at the Airbus plant in Toulouse, France, proudly bearing the “kiss mark” Love Bus logo that was first unveiled on PAL’s Airbus A300B4 aircraft in 1979 and the early 1980s.
Top and Bottom Copyright Photos: Philippines (Philippine Airlines) Airbus A350-941 F-WZNA (RP-C3507) (msn 280) (The Love Bus) TLS (Eurospot). Image: 945447.
Philippine Airlines aircraft slide show:

"The Love Bus"

Philippine Airlines signs Letter of Intent to acquire up to 12 Bombardier Q400 aircraft

philippines-dhc-8-400-86-75-yearsfltbombardierlrw

Bombardier Commercial Aircraft has announced Philippine Airlines, Inc., the flag carrier of the Philippines, has signed a Letter of Intent (LOI) to acquire up to 12 Q400 aircraft.

Philippine Airlines (PAL) is the flag carrier of the Philippines. Headquartered in Manila, PAL celebrates its 75th anniversary this year as the first commercial airline in Asia still in operation today. Operating out of its hubs at Ninoy Aquino International Airport of Manila and Mactan-Cebu International Airport of Cebu, Philippine Airlines serves 31 destinations in the Philippines and over 40 destinations in Southeast Asia, East Asia, Middle East, Oceania, North America and Europe.

Image: Bombardier.

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Philippine Airlines to start nonstop Cebu – Los Angeles service

Philippines (Philippine Airlines) (Manila) on March 15, 2016, will launch three weekly flights from Cebu, the capital city of Cebu Province in the Philippines, and Los Angeles. The new service will be operated with Airbus A340-300s per Airline Route.

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Airbus A340-313 RP-C3435 (msn 302) approaches the runway at Los Angeles International Airport.

Philippines aircraft slide show: AG Airline Slide Show

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Philippine Airlines is coming to Cairns and Auckland

Philippine Airlines (Philippines) (Manila) has announced it will launch a new route to Auckland, New Zealand via Cairns starting on December 1. The carrier will use Airbus A320s on the new route.

Here is the full statement:

Philippine logo-4

 

As part of the expansion of its network in the Oceania region, flag carrier Philippine Airlines will launch flights from Manila to Cairns, Australia, and Auckland, New Zealand beginning on December 1 this year.

PAL will operate four flights weekly (Mondays, Wednesdays, Thursdays and Sundays) to serve the Manila-Cairns-Auckland route, utilizing the 156-seater Airbus A320.

The six-hour flight to Cairns – PAL’s fifth Australian destination – departs Manila at 11:45 PM (2345) (MNL time) arriving in Australia at 08:00 AM (0800) (local time) the following day. The one-hour stopover allows PAL to pick up passengers from Cairns for the continuing journey to Auckland. Arrival in New Zealand is at 4:00 PM (1600) (local time).

Flights from Auckland depart on the same days at 6:30 PM (1830) (local time), arriving Cairns at 10:30 PM (2230) (local time). After a brief stopover, flights depart from Cairns, arriving Manila at 3:30 AM (0330) (MNL time), the following day.

Prior to launching flights to these two destinations, PAL opened services to New York, USA on March 15 and to Jinjiang in Quangzhou, China on April 25.

Copyright Photo below: Michael B. Ing/AirlinersGallery.com. Airbus A320-214 RP-C8615 (msn 3731) arrives in Singapore.

Philippines aircraft slide show: AG Airline Slide Show

Philippine Airlines returns to New York after 17 years

Philippine Airlines (Philippines) (Manila) as planned, departed from Manila yesterday (March 15) for its return to New York. The airline restored regular service to New York after an absence of 17 years. The Airbus A340-300 (above) will operate four days a week via Vancouver.

Philippine logo-2 (LRW)

Philippine Airlines Chairman & Chief Executive Officer Dr. Lucio C. Tan presented a Boeing 777 model aircraft to US Ambassador to the Philippines Philip Goldberg during the March 15, 2015 send-off ceremony of the airline’s inaugural flight to New York.

Photo Below: Philippine Airlines. PAL Chairman and CEO Dr. Lucio Tan and PAL President and COO Jaime Bautista with US Ambassador to the Philippines Phillip Goldberg makes PAL’s New York official with the traditional ribbon cutting in Manila on the departure.

Philippine send off to JFK ceremony (PAL)(LR)

Photo Below: Philippine Airlines. The flight crew for the historic return to New York poses with CEO Dr. Lucio C. Tan.

Philippine crew to New York (PAL)(LR)

Top Copyright Photo: Airbus A340-313 RP-C3435 (msn 302) taxies at London’s Heathrow Airport.

Philippines aircraft slide show: AG Airline Slide Show

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WestJet and Philippine Airlines to code share

WestJet (Calgary) has announced it has entered into a code-share agreement with Philippine Airlines (Philippines) (PAL) (Manila), allowing the carrier to begin marketing and selling WestJet-operated flights. The two carriers are building on an existing interline agreement that has been in place since May 2013.

Code-share designations will be available on select WestJet flights from Vancouver and Toronto, and all code-share sales are offered directly through Philippine Airlines or through their global distribution network.

This announcement marks 13 code-share agreements for WestJet. Since 2011, WestJet has initiated code-shares with American Airlines, Air France, British Airways, Cathay Pacific, China Eastern Airlines, China Southern Airlines, Delta Air Lines, Japan Airlines, KLM, Korean Air, QANTAS Airways and China Air. Additionally, WestJet has 27 interline relationships, further connecting passengers worldwide to WestJet’s network.

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Westjet’s Boeing 737-8CT C-GAWS (msn 38880) with Aviation Partners Boeing Split Scimitar Winglets and special #100 Boeing 737 NG markings arrives in Los Angeles.

West Jet aircraft slide show: AG Airline Slide Show

Philippines aircraft slide show: AG Airline Slide Show

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Philippines to return to New York on March 15, 2015

Philippines-Philippine Airlines (Manila) is coming back to New York. The carrier will operate an Airbus A340-300 four days a week from Manila to New York via Vancouver starting on March 15, 2015.

The carrier previously operated the same route (except via Newark) with McDonnell Douglas MD-11s until it was stopped in August of 1997.

The airline issued this statement:

Philippine Airlines is flying to the Big Apple, New York City, on March 15, 2015, marking the carrier’s much-awaited network expansion to the US east coast.

In announcing the New York service, PAL Chairman & Chief Executive Officer Lucio C. Tan said, “This auspicious start of regular flights to New York will coincide with PAL’s 74th anniversary.”

The four-times-a-week service – Manila-Vancouver-New York – will operate at Terminal 1 of New York’s JFK International Airport. PAL will have full traffic rights between Vancouver and New York.

The addition of New York will bring to five the total US destinations, following Los Angeles, San Francisco, Honolulu and Guam.

The flight to New York – distance of 14,501 kilometers or approximately 16.5 total flying hours – will be PAL’s longest route.

Flight PR 126 departs Manila every Tuesday, Thursday, Saturday and Sunday at 11:50 p.m. Arrival in Vancouver is 8:50 p.m. on the same day. After a two-hour transit stop, the service continues on to New York at 10:50 p.m., touching down at Terminal 1 of JFK International at 7:00 a.m. the following day.

The return service, PR 127, departs New York at 11:00 a.m. every Monday, Wednesday, Friday and Sunday, arriving in Vancouver at 1:50 p.m. It departs the Canadian city at 3:20 p.m. and lands back in Manila at 8:35 p.m. the following day.

PAL will utilize the Airbus A340-300 jets, which seats 36 passengers in business class and 218 in economy.

On board, passengers can expect to be pampered with PAL’s signature “at home” in-flight service, which features business class seats that convert to full-flat beds; in-flight entertainment system such as audio-video on demand in business, and gourmet cuisine designed by top international guest chefs.

The New York service will have the added benefit of boosting PAL’s Canadian operation. From March 15, 2015, the current daily service between Manila and Vancouver will spike to 11 flights weekly with three departure times from Manila – mid-afternoon, early evening and late evening – providing wider schedule choices to passengers.

Manila-Toronto will add a fourth weekly frequency, increasing capacity on this long-haul route in time for the peak summer travel period out of Manila.

PAL’s return has been keenly anticipated by the huge Filipino-American communities along the U.S. eastern seaboard ever since the flag carrier pulled out of the region in 1997. About half a million ethnic Filipinos reside on the East Coast, with over 253,000 in the New York-New Jersey metropolitan area, 90,000 in Virginia, 75,000 in Washington, D.C. and environs, and 31,000 in the Philadelphia metro area. Overall, Filipinos on the East Coast account for 15% of the estimated 3.4-million-strong Filipino population in the U.S., comprising a natural base market for PAL.

Delta operates a one stop flight between the two cities with a stop at Tokyo (Narita).

Read more from Philippine Flight Network: CLICK HERE

Copyright Photo: James Helbock/AirlinersGallery.com. Airbus A340-313 RP-C3434 (msn 196) prepares to touch down at Los Angele International Airport.

Philippines Aircraft Slide Show: CLICK HERE

 

Philippines retires its last Boeing 747

Philippines-Philippine Airlines (Manila) today (September 1) operated its last Boeing 747 revenue flight. The last flight with a Boeing 747-400 touched down from San Francisco early this morning at Ninoy Aquino International Airport in Manila, ending an era that has spanned 35 years according to Philippine Flight Network.

The Boeing 747 entered service with Philippine Airlines in December 1979, when the carrier took delivery of its first Boeing 747-200B. PAL added its first Boeing 747-400 in November 1993.

Boeing 747-4F6 RP-C7473 (msn 27828) operated the last flight. RP-C7473 departed San Francisco on August 31 for the last time with 285 passengers on board according to PFN.

Read the full story with photos from Philippine Flight Network: CLICK HERE

Top Copyright Photo: Michael B. Ing/AirlinersGallery.com. Sister ship Boeing 747-4F6 RP-C8168 (msn 27827) was a familiar sight at Los Angeles International Airport.

Philippines-Philippine Airlines:AG Slide Show

Bottom Copyright Photo: SM Fitzwilliams Collection/AirlinersGallery.com. Boeing 747-2F6B N741PR (msn 21832) holds short of the runway at London’s Gatwick Airport.