PAL Confirms Order Deferral

22 January 2015

Flag carrier Philippine Airlines (PAL) has confirmed that it is delaying delivery of 38 brand new Airbus A321s as part of its business strategy in order to manage cost.

PAL President Jaime Bautista said in a press briefing this moring that Airbus SAS have agreed to defer by four years – to 2024 from the original date of 2020 -- the delivery of its remaining aircraft order without penalty and interest.

“We are working with Airbus on the deferment of the orders. This year, we should take delivery of 10, but we are working on a delivery of only 5” Bautista said after arriving from London.

PAL will receive five Airbus 321, aircraft two of which will be delivered in March, two in April and one in June.

The other 5 A321 scheduled for delivery in 2015 is deferred until 2016.

The remaining newer variant A321NEO aircraft will be delivered starting 2017 until 2024. They will be powered by Pratt and Whitney engines.

“All our remaining orders are A321s which we can use for domestic and regional” Bautista added. PAL also has “no plans of adding more Europe routes,” Mr. Bautista said, pointing out that “competition is stiff there.”

Bautista is also mum on new long haul orders.


  1. PAL could wait and bank on the revamped A321neo-ER and could capitalize on its new range and could serve any part of Australia and the Indian subcontinent.

  2. So when will Jaime Bautista decided to plan additional European flights for PAL, after the return of European Union ban? He's just wasting PAL's chance to fly other European destinations aside from London.

    1. Weren't they planning to launch Paris?

  3. Why didn't they just convert the A321NEO orders to A350, surely that would fit in their timeframe by then.

  4. Same thoughts. If PAL really intends to expand and polish its international services why not sell or wet lease all of their fuel-hungry A340s and invest on the A350XWB or add 777-300ERs... They're going backwards if not idle.