CEB Books $180 Million Net Loss For the First Half

12 August 2022

Low cost carrier Cebu Air Inc. (CEB) reported a net loss of US$180 million (₱9.5 billion) during the first six months of the year.

In a disclosure to the Philippine Stock Exchange on Thursday, the airline revenues expanded 337% year-on-year to US$263.5 million (₱13.97 billion) as its passenger and ancillary business recovered in the second quarter due to looser travel restrictions.

Revenues from its cargo operations also grew 15% year-on-year to $32 million (₱1.7 billion) in the first half.

Operating expenses ballooned 86% year-on-year to $316.9 million (₱16.8 billion) in the second quarter, mostl driven by pricier jet fuel costs accounting 35% of of its operating cost.

Marcos To Complete Duterte Airport Projects

 4 August 2022

The Marcos administration will complete the building of provincial airports of the Duterte administration, the Department of Transportation (DoTr) said on Wednesday.

“We are building new airports in Zamboanga, Dumaguete, Masbate, and Bukidnon,” Transportation Undersecretary for Planning and Project Development Timothy John R. Batan said during a briefing.

Mr. Batan said these airport projects in Zamboanga, Dumaguete, Masbate, and Bukidnon were originally part of the Build, Build, Build project of the Duterte Administration whose funding was diverted to fight the Covid19 pandemic.

“They are in the pipeline, and except for Bukidnon Airport which is already being constructed, Zamboanga, Dumaguete and Masbate  are still in the early stages of project development.”

DoTr earmarked P1.8-billion in 2019 for airport development in Barangay Maraymaray in Don Carlos, Bukidnon.

Under the Duterte administration, completed projects included the new passenger terminal at Clark International Airport, the new Bicol International Airport, Mactan-Cebu International Airport, Bohol-Panglao International Airport, Puerto Princesa International Airport, Zamboanga International Airport, Catarman Airport, Calbayog Airport, Siquijor Airport, General Santos Airport, and Ormoc Airport.

“Other notable projects for the country’s aviation and airports include the establishment of the long-delayed communications, navigation, surveillance/air traffic management, as well as the night-rating of 23 commercial airports,” the DoTr said.

Mr. Batan also clarified that San Miguel Corp.’s P740-billion New Manila International Airport (NMIA) project in Bulacan is part of the Build, Build, Build Project which the Marcos Administration will continue.

“We will also coordinate with the Cavite province for the Sangley airport,” he said.

 DoTr disclosed that among the pipeline for airport development next year is the expansion of airports in Vigan, Baler, Roxas City, and Virac, as well as completion of night rating of airports across the country which funding was also affected by the pandemic.


PAL Books $71 Million Net Income In First Half

 4 August 2022

Flag carrier Philippine Airlines has booked net profit of US$71 million in the first half of the year supported by 258 percent growth in passenger revenues and a 31 percent growth in cargo revenues for January to June 2022, as compared to the same period in 2021.

The airline  earned $ 1.1 billion (58.1 billion) in revenues while incurring only $986 billion (51.5 billion) in operating expenses, despite rising fuel prices billing them $380 million (P19.9 billion).

 PAL President & COO Capt. Stanley K. Ng said the threefold jump in passenger revenue is “ a demonstration of the loyal support of our PAL customers and a validation of the efforts of our shareholders, management and personnel to rebuild our international and domestic network,”

“So, we will continue to be fiscally prudent as we mobilize our talents and resources to grow responsibly, in a way that helps boost tourism, supports overseas Filipinos and offers the best value to travelers and cargo shippers,” he adds.

PAL has successfully exited restructuring on 31 December 2021.   

 

Fish Carrier Made Emergency Landing at Sangley Airport

 11 July 2022

A Beech 58 Baron light twin-engine aircraft doing fish cargo run (RP-C5916) made an emergency landing at the runway of the Sangley Airport (RPLS) on 10 July 2022. 

According to the Civil Aviation Authority of the Philippines (CAAP) Spokesperson Eric Apolonio, the aircraft piloted by Captain Jesse Bihasa and co-pilot Capt. Jonathan Uy was heading to Cuyo, Palawan to get their fish cargo. 

After take off from the runway of Sangley, Captain Jesse Bihasa and his co-pilot Jonathan Uy noticed something wrong on the right landing gear after it did not stow properly prompting the pilot to return to the airport. 

CAAP said Captain Jesse Bihasa called Sangley tower for emergency landing. 

According to Bihasa he made his decision to land his aircraft back to Sangley airport because it has better emergency facilities. CAAP air crash investigators are still conducting further investigation on the incident.

JJB Heads DOTr

24 June 2022

Jaime J. Bautista has been named as Department of Transportation secretary of the incoming Marcos administration.

Bautista, a Certified Public Accountant, worked at Philippine Airlines for 25 years culminating his career as President and Chief Operating Officer for a combined 13 years before retiring for good in 2019.

He will be replacing Arthur Tugade, who manifested his intention to retire from government service, having served the agency since 2016.

Saudia Does It Again

 20 June 2022

 


Another Saudia Airlines Boeing 777-300ER doing flight SV862 veered off  taxiway  Charlie at 1:46pm as it heads to terminal 1. No one of the 398 passengers and 21 flight crews was hurt in the incident. Airport was closed for an hour affecting 21 Flights.

PAL Bogged Down By Inadequate Long Haulers


18 June 2022

Philippine Airlines (PAL) has been plagued lately by maintenance issues of its long haul fleet, an airline executive said over the weekend.

VP of network planning Christoph Gärtner said the airline bounced back good rebuilding its long haul network fueled by strong demand to visit friends and relatives (VFR).

“Long-haul is leading the way for us right now,” Gärtner said during a panel discussion. 

Strong growth to recovery was however hampered by its inability to service its long haul network as it find itself unable to handle the traffic volume that goes with VFR after its long haul fleet suffered unscheduled maintenance issues that affected its fleet rotations amidst its increasing number of long haul passengers.

“The reason for that is not business traffic but VFR. We mostly serve destinations with a large diaspora of Filipinos and that has been the backbone of our recovery.” He said.

PAL current long haul fleet consisted of six Boeing 777-300ER and 2 Airbus A350-900s, that flies to New York,Toronto, Vancouver, Los Angeles, and San Francisco. Its flight to London was suspended after western sanction was imposed on its payment system to Russia for its overflight rights on its airspace. It has filed slot waiver for summer and winter schedule in 2022 for Heathrow airport.

VP Gärtner who was a former executive at Etihad and Air Berlin, spoke at Routes Asia 2022 in Da Nang, Vietnam, few days ago, and said they are redeploying two Airbus A330s to fly to Los Angeles due to maintenance issues of two of its long haul fleet.

The airline used to operate 10 B777s and six A359s, but returned half of its fleet to lessors when it filed bankruptcy protection (Chapter 11) in New York, and has since exited in January this year.

PAL used to have China, Hong Kong, Korea, Japan and Taiwan, as its biggest foreign market but is currently being restricted to fly at this destinations. Even flights to Australia and New Zealand is restricted.

Gärtner said that a major uncertainty from a network perspective remains how quickly China will reopen. 

Before the COVID-19 crisis, Philippine Airlines operated six routes to destinations in mainland China, with the country ranking as its fourth largest international market by capacity. 

“China is the big question right now,” Gärtner said. 

“When will it reopen? Everybody hopes this year, but we can only guess at this stage. It’s going to be interesting from winter onwards because I believe slot waivers will be lifted. 

“Manila Airport is heavily slot constrained. So, from winter onwards, we’re much, much more constrained in our planning.” 

The carrier posted net profit of US$22 million in the first quarter of its operation after exiting chapter 11, and its international network is currently holding about 44% of its pre-pandemic capacity. However, its domestic capacity has rebounded more quickly and is back to 74% as of 2019 levels.

PAL attended the Routes Asia 2022 held from June 6 to 8 at the Da Nang International Exhibition Fair Center, and brought Airlines’ VP for Network Planning Christoph Gaertner, and AVP for Network and Fleet Planning Bryan Ang, together with other Philippine delegates

The Philippines is the world’s fourth fastest growing economy in 2021. 


 

  

CEB To Fly 2x Daily To DXB By October

 

 17 June 2022

Low Cost Carrier CEBU Air Inc. (CEB), has made application for additional daily flight to Dubai beginning October 2022.

the airline said it is “boosting its international network to address rising demand for travel as it adds flights from Manila to Dubai beginning July 2, bringing its total frequency to 10x weekly.”

CEB said it will operate the additional Manila-Dubai flight 5J18 every Tuesday, Thursday, and Saturday, scheduled to depart Manila at 10:20pm, and arrive in Dubai at 3:25am the next day.

CEB disclosed that additional flights will be added as soon as they receive deliveries of new aircraft.

Meanwhile, the original daily flights 5J14 will depart on the same schedule with 7:20pm departure from Manila, and 12:45am arrival at Dubai.

All 10 flights will utilize high density A330-900 aircraft.