PAL seen stopping NY, London flights

Debt-saddled Philippine Airlines will face more turbulence ahead amid the global travel restrictions and may stop three of its longest flights, according to the Center for Asia Pacific Aviation.

“Gaining agreement from its creditors and presumably a smooth passage through bankruptcy court will be major steps for PAL. But it is far from out of the woods yet, and it still has some tough months ahead of it before any meaningful recovery takes hold,” the aviation think tank said in a report.

PAL recently secured an approval from US Bankruptcy Court in New York to access the first $20 million from a $505-million loan facility to support operations. CAPA said PAL plans to cut back its wide-body fleet and long haul network to give itself a better chance of recovery in the post-pandemic market.

“PAL will axe its three longest routes to London, New York and Toronto, which were served by the A350s before the pandemic,” CAPA said.

The aviation think-tank, meanwhile said, routes to destinations on the West Coast of North America – Los Angeles, San Francisco and Vancouver – will remain.

Topics: Philippine Airlines , PAL , Center for Asia Pacific Aviation , CAPA , global travel restrictions
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