CEB Strikes Back Oz

30 March 2015

"we’re over the hump"
Low Cost Carrier Cebu Pacific (CEB) disclosed last week that it's strategy to Australia worked as they are capturing more than 30% of the market to Sydney as of the first quarter of this year, says Gary Kingshott, the airline's Chief Executive Adviser.

“We’ve seen positive uptake in the first quarter with fairly solid bookings for the March to April period ... my sense is that we’re over the hump on the long haul operations,” he said.

Kingshott said he also expected growth on routes to Dubai and Kuwait, which were opened in the fourth quarter of 2014.

“There’s demand there that’s going to be served because of legacy carriers’ (higher) prices.” The Manila-Dammam route, however, will be suspended from next week due to weaker-than-expected demand and aircraft will be redeployed to the Manila-Doha route, he said.

The airline has been embroiled in entitlement war with Philippine Airlines (PAL) at the Civil Aeronautics Board (CAB) over its rights to Dubai and Doha saying that PAL doesn't fly to either Dubai or Doha or has no intent of doing so. CAB approved two of the seven frequency slots giving PAL the remaining 5 slots it earned in the previous bilateral exchange with Qatar.


  1. The what explains that news that came out that Cebu Pacific's Sydney load factor was only 50%? Either they're trying to be optimistic or CebPac somehow manages to be profitable despite having half-full planes.

    1. That's because that "article" was not news. Whoever wrote it just obtained traffic statistics and made the conclusion that Cebu Pac was struggling, based on the facts available. While not entirely wrong, it merely was just an "observation".

    2. If I recall correctly the news about CebPac's load factor was actually reported by Australian media. It was those statistics that also mentioned that Manila-Sydney had the highest load factors of any QANTAS route. The article didn't explicitly mention that CebPac was struggling though, only that it had lower load factors than either QANTAS or PAL.

    3. The problem with this blog is that it does not quote the source of the article. But such is the third world way. Whoever put up this blog probably isn't aware or educated about standards, copyright infringement & plagiarism laws... And it's very common among amateur blogs in the third world.

  2. I think there was no inconsistency with the report. The previous article talks about loads last year while the recent one talks about loads on the first quarter of this year.

    I'm sure there was plagiarism on Kingshott statement but hey this is a blog not SMH.