Romero Consolidates Stake At Philippines AirAsia

4 June 2019

Michael Romero has raised its stake at Air Asia Philippines to 44.4% from the previous 15.7% to become the dominant stockholder of the airline after F&S Holdings Inc. bought 15.7-percent share of AAI Chairman Marianne Hontiveros, and 13-percent share of Alfredo Yao for a combined 28.7 percent additional stake at parent Air Asia Inc. (AAI), operator of low-cost carrier Air Asia Philippines.

AAI parent Malaysia AirAsia International Ltd.’s share will stand at 39.9 percent stake and TNR Holdings of Tony Boy Cojuanco at 15.7 percent share, respectively. The amount of sale was not disclosed.

After the buyout, F&S Holdings intends to increase capitalization of Air Asia Philippines as it plans to issue $17 million worth of common shares and P17 billion worth of preferred shares.

Its corporate restructuring is set to be completed by September as it targets to go public within the year and raise $200 million to support its aircraft acquisition and use the proceeds as working capital. There will be no immediate change in the AirAsia Philippines board.

“We plan to put a valuation of about $600 million for the company,” Romero said. “We float at least 20 percent.”

This exercise will help the company raise roughly P10 billion, which will be used to acquire new planes and for general working capital.

Romero expressed bullishness on Philippines Air Asia’s capacity to return to profitability after posting a strong financial performance in the first three months of the year.

“Our first-quarter has hit a record-high of about…P6.68 billion and profit about P450 million…” Michael said.

The company eyes boosting Philippines AirAsia’s fleet to 50 A320 airplanes from the current 23 within the next three years.

“We now have 23 airplanes, and we plan to have 50 airplanes within the next three years. We also want our revenues to grow from P30 billion this year to P50 billion within three years,” Romero said.

The airline is also looking to raise the number of its passengers to 8 million this year from last year’s 7 million by growing its international routes to China and Japan.

PAA Unveils ASEAN

16 November 2017

Philippine Air Asia unveiled its newest aircraft with a new aircraft livery culminating the 50th anniversary of the formation of ASEA, with the 10-country economic bloc's culture as the main design theme.

The aircraft livery, dubbed "I Love Asean", showcased designs inspired by textiles, architecture, art and nature from all 10 Asean nations, namely batik cetak from Malaysia, poom khao bin from Thailand, ulos Batak from Indonesia, tapis from the Philippines, trong dong from Vietnam, kbach pka Chan from Cambodia, Lao phouthai from Laos, chate from Myanmar, jongsarat Brunei from Brunei, and Vanda Miss Joaquim from Singapore.

"We owe our success to Asean. As a truly Asean airline, we want to bring the people across the region closer together in line with the amazing work Asean has done over the past 50 years." AirAsia group CEO Tan Sri Tony Fernandes said.

Philippine Air Asia operates a fleet of 18 A320-200s flying domestic and regional destinations.

Philippines Air Asia is Born

30 October 2015

The marriage of AirAsia Philippines (Air Asia, Incorporated), and AirAsia Zest (Zest Airways, Incorporated) has officially produced a baby named Philippines Air Asia Inc.,(PAA) as Civil Aeronautics Board (CAB) approved its petition to operate as a single company with just a single certificate.

"We’re operating now as a wholly owned entity. The merger is important because it is costly for us to operate as two separate entities. I don't want a division between AirAsia Philippines and AirAsia Zest, so we made Philippines AirAsia," Chief Executive Officer Joy Caneba said in a press briefing yesterday.

Water salute for PAA as it expands to Tagbilaran Airport in Bohol

The new airline will be bigger than its Philippine parents with capitalization increase from P2 billion to P5 billion, that will be used to fund acquisition of five additional Airbus A320s scheduled for delivery next year.

PAA will boast a fleet back to 17 brand new A320-200 fleet by 2016 enabling it to compete better with domestic rivals Philippine Airlines and Cebu Pacific Air.

It earlier retired 3 A320's powered V2500 engines belonging to ZestAir that was let from other aircraft lessors to align local affiliates fleet with that of its Malaysian parent, AirAsia Berhad that operates the CFM56s engines.

The airline earlier operated a combined fleet of 20 aircraft before huge losses prompted it to reduce fleet to the current 12.

According to Caneba they are expecting to hit about four million passengers this year, or the same figure posted in 2014, due to the reduction of its fleet size.

PAA has been cutting unprofitable routes and redeploying capacity into more promising international markets, particularly China.

PAA's new strategy posted a better than expected recovery performance after the turnaround plans were initiated in July 2014 and is expected by its parent company AirAsia Berhad to break even by the end of the year.



The company said it will delay public listing for two years but will proceed with a $200-million initial public offering by 2018.

The Securities and Exchange Commission (SEC) earlier issued a certificate approving the name Philippines AirAsia, with "doing business under the name and style of the AirAsia Berhad" when
AirAsia Philippines secured consent to acquire the remaining 51% stake in AirAsia Zest held by AMY Holdings of Alfredo M. Yao in February this year. The complete buyout marks exit of Yao from the airline business, and allowing AirAsia Philippines to own the entire carrier.

Caneba said route expansion is destined towards China, Korea and Taiwan as it also aims to strengthen its foothold in Kalibo where it is the biggest international airline.

PAA flies daily to Hong Kong, Kuala Lumpur, Seoul, Kota Kinabalu, Macau, Busan, Shanghai, Beijing, and Hangzhou, and serves domestic points in Cebu, Davao, Kalibo, Puerto Princesa, and Tacloban. It recently expanded operation to Tagbilaran.

PAL, CEB To Fly Moscow

24 August 2015

Legacy carrier Philippine Airlines (PAL) and Low Cost Carrier Cebu Pacifi c(CEB) has filed with the Civil Aeronautics Board (CAB) permission to fly Russia following the signing of the recent Air Services Agreement (ASA) between the two countries in July 23, 2015 terms of which remained confidential.

Philippine Airlines applied for Manila to Moscow flights, vice-versa, five times a week using Airbus A330-300, three times a week frequencies on the city pair between Manila and Khabarovsk, vice-versa also three times a week, and and four times a week frequencies on the city pair between Cebu and Khabarovsk using narrow bodied aircraft.

PAL has been promoting Russian tourist travel to the Philippines by operating charter flights in Manila-Vladivostok, vice-versa and Kalibo-Khabarovsk, vice-versa flights over the last two years and hopes to develop this market more by flying regular flights all year long.

Meanwhile, Cebu Pacific applied for Manila to Moscow flights, vice-versa, three times a week using Airbus A330-300, and Manila to Vladivostok, vice-versa also three times a week using narrow bodied aircraft.

New flights to these destinations would be effected beginning the winter season when approved.

Transaero B747-400 in Mactan Cebu International Airport

In a separate filing, Zest Airways Inc. (AirAsia Zest) also applied for Kalibo to Vladivostok, vice-versa four times a week.

Based on the records of Department of Tourism (DOT), arrivals from the Russian market grew 25.2 percent in 2013, logging 35,404 arrivals from the 28,270 recorded in 2012. In 2014, some 40,000 Russians visited the country, according to DOT data.

They are also the biggest spenders. Russians each spend $1,000 on average for every visit to the Philippines.


The Philippine government has already extended 21-day visa free travel policy for Russians to 30 days to lure more Russians to enjoy the beaches more in Cebu, Bohol, Boracay and Palawan.

“We are confident that the new arrangements will help us meet our targets for Russia and the Commonwealth of Independent States (CIS),” Tourism Undersecretary Benito Bengzon Jr. said.

The CIS includes Azerbaijan, Armenia, Belarus, Georgia, Kazakhstan, Kyrgyzstan, Moldova, Russia, Tajikistan, Turkmenistan, Uzbekistan and Ukraine.

Aeroflot and Transaero also has applied with Russian authorities for flights to Manila from Moscow.  Flight frequencies were not disclosed up to this time says CAB.

CAB said Russian airlines Transaero and S7 has been doing regular charter flights to Mactan-Cebu from Khabarovsk for the last two years.

Air Asia Paints Manny Pacquiao Plane

24 November 2014

Air Asia Philippines will soon be flying the "Manny Pacquiao" livery on one of its A320 aircraft after Air Asia secured deals with the boxing icon as its main product endorser and official airline. 

AirAsia CEO Tony Fernandes said he and his company is honored to be chosen as Pacquiao’s official airline. 

“Congressman Manny’s story is an inspiration not only for Filipinos but to all of us who dared to dream the seemingly impossible. AirAsia’s commitment in the Philippines is anchored on the same dream, to make flying more affordable, more accessible and to provide the best quality service that every Filipino deserves,” Fernandes said. 

The Manny Pacquiao livery will first fly to General Santos next year.

Air Asia To Expand Philippine Affiliate

Will Invest $500 Million More

13 November 2014

After contracting operations in the Philippines due to heavy losses, Malaysia’s AirAsia Berhad is now ready to throw in more money in its fledgling affiliates as it consolidates Zest Air and Air Asia into one big airline Zest Air Asia which is awaiting congressional consolidation approval, its airline CEO said.

“We’ve put in $100 million already in cash terms, excluding the planes. And we are committing another $500 million once we get the franchise approval. That’s over a period of three to four years,” AirAsia founder Tony Fernandes said.

“As soon as we get the franchise, we should be able to get 15 aircraft. Then I hope we can add about five aircraft a year,” he adds.

Air Asia was forced to grow its capital base and reduced its Philippine operations by 30% as compared last year after registering consecutive losses since its inception. As of the first half of 2014 it continued to operate at a loss of $14 million.

Fernandes is however bullish of the airline subsidiary operating flatly in 2014 and registering profit by 1st half of next year as it put more air time to its existing A320 fleet.

AirAsia Philippines and AirAsia Zest currently operating as AirAsia Zest has 15 Airbus A320-200s operating out of Manila, Cebu and Kalibo. It has since abandoned its fabled hub at Clark International Airport due to poor passenger traffic.

Fernandes said that they cannot secure more flights to Korea and Japan without the regulatory issues in the Philippines resolved. The fleet would at least double once the group gets the go-ahead to consolidate domestic operations, Fernandes said.

Air Asia Barking Up Wrong Tree

Be Careful What You Wish For!

13 August 2014

AirAsia Group Chief Executive Officer Tony Fernandes got a dose of his own medicine when he criticized Manila International Airport Authority (MIAA) in the Philippines for not letting them used Terminal 3 of NAIA.

"I don't think AirAsia is being treated fairly," Fernandes told ABS-CBN news in Kuala Lumpur during the launch of AirAsia's newest service, the Premium Flex.

Air Asia subsidiary in the Philippines operate at the Ninoy Aquino International Airport (NAIA) Terminal 4.

Fernandez argued that they were being discriminated in Manila as if they are being "blocked" from growing in the country.

But MIAA General Manager Jose Angel Honrado got the facts straight at him when he said that Air Asia being at Terminal 4 was the airlines decision and not of the Authority. 

Southeast Asia Airlines also opted to stay at Terminal 4 he said.

Honrado explained that Air Asia doesn't have a prime slots in Manila's Airport until they bought up Zest Air of Alfredo Yao which in turn provided them the slots.

"Maybe he should know that it was the former Zest Air who asked MIAA to allow them to continue to operate at Terminal 4 when they were offered Terminal 3 before," Honrado said.

A slot is a landing right granted by the airport authority to land and pick up passengers and cargo at the airport, usually at specific time frame. A busy airport has a coordinated landing slots to improve airport efficiency. 

Landing slot at NAIA is coordinated by Airport Coordination Philippines, an affiliate company of Airport Coordination Australia which coordinates arrival and departure time.

"The Airport authority does not have a say in airport slotting as they are handled by another company. If all the slots are full, you can't do anything about that other than buy those airline company that owns them" says Honrado.  

The manager said that Zest Air only has few slots in Manila and Air Asia cannot have more than what has been granted to Zest Air.

"A spring cannot rise from its source," says the manager."He should have bought Seair as well when they have the chance to get more slots in Manila"

 "I suggest he focus his attention in ensuring safe flight operations and sound financial management," Honrado adds, suggesting the numerous infractions his airline have with the Civil Aviation Authority (CAAP).

CAAP suspended Zest Air last year due to various safety violations, and is again being investigated for flying a defective plane in disregard of passenger safety rules.

The manager also suggested Fernandez to go back to Clark International Airport where slotting is never a problem.

"The airline has big plans in the past for the Philippines, yet left the very airport that does not have problem with slotting."

Air Asia Zest In Hot Water Again

11 July 2014

Air Asia Zest is in hot water again and may face possible suspension orders from the Civil Aviation Authority (CAAP) for fielding a defective aircraft to its fleet.

One of Air Asia's A320 planes (RP-C8986) was reported by passengers to have a malfunctioning auxiliary power unit since July 1 but the airline was able to fly the plane until Wednesday July 9.

The CAA said that the airline should never have flown the plane with the defective APU as it put safety of passengers at risk.

AirAsia Zest Realligns Domestic Operations

Airline To Focus More on International Flights

10 March 2014

AirAsia Zest has announced today that it is realigning its domestic operations because of over capacity in the Philippine market right after Cebu Pacific announces additional flights and capacity to its network where AirAsia Zest also flies.

In a disclosure to Malaysia stock Exchange, Parent Company AirAsia Berhad said its Philippine unit has revised its route plans for the year, intending to reduce the number of aircraft in its fleet by retiring two equipments making their operational fleet from 14 to 12. It was not disclosed what equipment will be returned. 

AirAsia Zest operates a fleet of A320 and A319 aircraft. 

But Company sourced disclosed that one A320 and one A319 is expected to be returned to the lessor soon when there respective leases expires.

The remaining 14 fleet of A320's are expected to increase their operational efficiency by cutting domestic destinations in exchange for "building more international routes out of Manila and Kalibo.”

AirAsia Zest intends to make Kalibo its hub for services to Southern China and Korea which are lucrative international markets.

The airline is already the largest operator out of Kalibo International Airport.

The airline is supposed to received two more A320's at the end of the year for international and domestic expansion growing their fleet to 16 but reports of dwindling passenger numbers in the domestic front sent alarm bells to Malaysia.

AirAsia Zest's domestic passengers fell by 3.5 percent to 1.99 million in 2013 from 2.06 million they carry in 2012.

Already, the airline suspended its Bacolod and Iloilo flights last year and will reduce its daily Davao flight to six flights a week.

It is gaining more passengers however in international flights which according to the airline is more profitable to operate.

AirAsia Zest regestered a 94 percent increase in international passengers carried to 617,188 last year from 324,237 passengers in 2012.

AirAsia Zest recently launched new flights from Manila to Miri and Macau, from Cebu to Kuala Lumpur, and from Kalibo to Shanghai.

To grow its international route further, the airline has a pending application with the Civil Aeronautics Board to increase its Macau flight frequency to daily flights from the existing three times a week out of Manila airport.

Zest Air Asia Adds 2 A320 For Japan Services

14 February 2013

AirAsia Zest head said that they will receive two more A320 plane beginning third quarter of the year for flight services to Japan.

Marianne Hontiveros, CEO of Philippines AirAsia, said the airline was looking at flights to Narita, Nagoya and Osaka as well as to China and some expansion of its domestic market.

AirAsia Zest currently flies to Kalibo, Puerto Princesa, Cebu, Davao, Tacloban, Tagbilaran, and Cagayan de Oro as well as international points in Asia including China and South Korea.

Z2 Miscalculates Kalibo Airport

Skids off runway

20 December 2014

A Zest Air Asia Airbus 320 plane (RP-C8988) bound for Busan carrying 137 passengers and 7 crew on board skidded off the runway at Kalibo International Airport Thursday afternoon after its front tires rolled into soft ground as the pilot tries to maneuver the aircraft for u-turn in preparation for take-off , the Civil Aviation Authority of the Philippines (CAAP) said.

The incident which occurred at around 3:15 p.m caused the temporary closure of Kalibo aiport delaying six flights in an out of the airport.  There were no injuries reported as the aircraft was towed back to the tarmac.

CAAP Deputy Director General John Andrews said the plane will not be allowed to proceed to Busan, and its pilot and crew are automatically grounded. Passengers however will be permitted to fly home on another aircraft of Zest Air Asia.

Meanwhile CAAP is sending investigation team to Kalibo to check on the airworthiness of the aircraft and investigate the crew as well as secure data from the flight data recorder.

AirAsia PH seeking Congress approval of Zest Air takeover

By Darwin G. Amojelar
InterAksyon.com

12 October 2013

The local unit of Southeast Asia's largest budget airline is seeking the Philippine Congress' approval of the takeover of Zest Air.

"We have already submitted our application to the Committee of Franchise. [But] we haven't reached the official inclusion in an agenda for Congress deliberation," Joy Caneba, AirAsia Zest executive vice president and chief operating officer told reporters.

Caneba said Philippines AirAsia plans to acquire more than 51 percent of Zest Airways Inc., which has been re-branded to AirAsia Zest.

"Hopefully, we can get it by the end of the year," she said.

Philippines AirAsia holds an 85 percent economic stake and a 49 percent voting interest in Zest Air, which in turn owns a 15 percent stake in the former.

AirAsia group owns 40 percent of Philippines AirAsia. The remaining 60 percent is held by Marianne Hontiveros, Michael Romero, Antonio Cojuangco and former ambassador Alfredo Yao.

Caneba said the Securities and Exchange Commission, Civil Aeronautics Board and Civil Aviation Authority of the Philippines already approved the rebranding of Zest Air into AirAsia Zest.

"Effective last week we were able to roll out a new brand, so Zest Air is now rebranded to AirAsia Zest. With the Air Asia name on board, we feel that we are able to offer better service and convenience to the passengers. There would be a lot more product and services that will be rolled out in the couple of months and years to come," Caneba said.

With the rebranding, she expects an increase and improvement in passenger traffic.

"Zest has a very good brand but I think with Air Asia name backing up, that should give more leverage and comfort to the passengers. So, we expect an increase in traffic for both domestic and international route.  For 2013, we expect to grow at least 15 to 20 percent," Caneba added.

The airline will launch flights between Cebu and Puerto Princesa, Davao and Cagayan de Oro starting November 15 with an all-in promo fare of P553. Also, Cebu-Kuala Lumpur flights would be offered at a promo fare of P680.

AirAsia Zest serves Kalibo (Boracay), Puerto Princesa (Palawan), Cebu, Davao, Tagbilaran, and Cagayan de Oro in the Philippines and international points in Asia including China and South Korea.

AirAsia Zest operates a fleet of 13 servicing nine domestic and four international routes from Manila’s Ninoy Aquino International Airport (NAIA).

Air Asia X To Open Philippine Hub

Takes Over Clark Operations 
as short haul subsidiary invades NAIA

12 October 2013

After failing to make its low cost carrier brand worked in Clark International airport, Malaysia-based Airline AirAsia Berhad is preparing to bring into the Philippines its long haul subsidiary brand Air Asia X for flights to Australia, the Middle East and the United States.

AirAsia Zest chairman Michael Romero said AirAsia X will operate from Clark airport in two years time after they consolidated the operations of its short haul subsidiary out of Ninoy Aquino International Airport (NAIA) Terminal 4.

“Our business model of making Clark our regional hub is not working for us. But Clark is now becoming a long-haul facility for airlines, and we are taking their cue” Romero said.

Earlier, the Malaysia based company infused another $100 million into Zest Airways operations to expand its fleet operations.

Owners of Air Asia Zest include AirAsia Berhad which hold the majority share of 40% while the rest belongs to Michael Romero, Antonio Cojuangco Jr., Marianne Hontiveros and Alfredo Yao.

“We will formally relaunch as Air Asia Zest. We will acquire more planes. Right now, we have 13 planes. We’ll go to 16 planes before the end of the year,” Romero said.

Air Asia Philippines will fly the Air Asia X brand while Air Asia Zest will take charge of its short haul operations feeding traffic to the former.

Romero, who is vice chairman of AirAsia Philippines, explained the necessity of building its domestic and regional network from AirAsia Zest as it would pool traffic from Manila's short-haul flights and transfer them to Clark for AirAsia X long haul flights.

Air Asia X intends to operate a mix fleet of 5 Airbus 330-300 and pairs of Airbus 350-900 planes initially out of Clark Airport says Romero, with the A330 all being bound to the Middle East and Australia while the A350-900 is intended for US destination particularly Los Angeles.

The Air Asia group intends to  ferry passengers between the two airports from NAIA to Clark and vice versa.

Clark Fails AirAsia

Relocates to Manila

19 September 2013

Clark Airport doesn't work. At least for Air Asia Philippines(PQ) which learned it the hard way after operating barely two years at Clark despite backings from Air Asia Berhad, Asia's biggest low cost carrier.

Air Asia will suspend all flights out of Clark effective 8 October said airline CEO Marianne Hontiveros last week.

Hontiveros disclosed the airline's scaling back operations was necessary because the company was reassessing its strategy and needs to cut unprofitable routes.

To survive competition it bought Zest Airways to gain access at Manila's Ninoy Aquino International Airport valuable airport slots where it is diverting financial and manpower resources to support its affiliate's operation.

Despite this setback the Transportation Department (DOTC) remains keen on putting up a new budget terminal for Clark International Airport in Pampanga as it implements the dual airport system strategy.

Transport Secretary Joseph Abaya said the government was keen on supporting both Ninoy Aquino International Airport and Clark with the addition of new terminals catering to the fast-growing budget airline segment.

DOTC will build budget terminals for Clark and NAIA which could be built over the next two to three years.

The budget terminal for Clark would expand its capacity by about 4.5 million passengers while NAIA capacity will accommodate about 10 million passengers more from the present 25 million passengers per annum.

Zest Air Asia, A Lot More Work!

23 August 2013

The Philippine affiliate of AirAsia (PAA) needs a lot of work according to its Chief Executive Officer in a press statement released yesterday.

AirAsia Group CEO Tony Fernandes said Wednesday that strategic alliance with Zest Air is only the first step and a lot more work needs to be done in terms of integration and rationalisation of routes and resources, and maximising the slots in Manila.". 

PAA saw a dramatic 304% year-on-year increase in revenue in the second half of  2013 after being in operations for over just a year following the integration with Zest Airways.

“The recent strategic alliance with Zest Air which was officially approved on 10 May 2013 boosted PAA’s operational numbers.” said PAA’s CEO  Maan Hontiveros.

“Total passengers carried during the quarter was up 114% to 0.14 million which led to a 28ppt increase in load factor at 76% as compared to 48% in 2Q2012. RASK was also up by 66% and CASK was down by 43% y-o-y which means that we are moving in the right direction.” adds Hontiveros.

Honitveros stated that “further integration is being done between PAA and Zest Air, focusing on the maximisation of high value Manila slots.”

The recent suspension of Zest Airways did not affect the operations of PAA.

The Philippine Air Asia Group maintains a fleet of 14  A320 aircraft, with 3 aircraft operated by PAA. The group expects delivery of 2 more A320's before the end of the year.

Zest Air Resumes Flight

21 August 2013

Low-cost carrier Zest Air was cleared to fly again Tuesday, August 20, but only with respect to 3 of its 11 aircraft fleet.

The clearance came after Zest Air reinstated its accountable manager Captain Ely Tabora, who previously resigned last July 17 as Chief Operating Officer due to policy difference with airline management.

CAAP said that Zest Air had 10 days to replace Tabora and his replacement had to be approved by the CAAP. But the airline failed to announce replacement, alleging instead that it has appointed Zest Chairman Alfredo Yao without notifying CAAP until it was suspended.

Yao's appointment was declined by CAAP as unacceptable due to qualification rules. An accountable manager ensures that all flight operations and maintenance activities can be financed and carried out to the highest degree of standards required by the authority.

John C. Andrews, Deputy Director of CAAP, disclosed that Flight Safety Inspectorate Service (FSIS) personnel are thoroughly conducting an examination of the carrier’s 11-aircraft fleet but these inspectors were unable to complete the review of all aircraft because of bad weather.

Cleared for take off are the following A320 aircraft registered as RP-C8994, RP-C8996 and RP-C8993.

The rest of Zest Air fleet is expected to be cleared by Friday.

We Are Safe and Airworthy Airline!

PRESS STATEMENT OF ZEST AIR MANAGEMENT

17 August 2013

In response to the order of suspension from CAAP, we are surprised that this was issued without giving us an opportunity to properly respond to their issues raised. The management of ZestAir have been in full cooperation with CAAP in ensuring that the maintenance programs and policies of ZestAir are in place. All findings in CAAP’s letter have already been appropriately addressed and we believe that they do not merit suspension and grounding of our operations.

We wish to highlight and reiterate that all eleven (11) aircrafts are safe and airworthy. We will never risk the safety of our passengers. The reason why management in the past weeks have decided to voluntarily stop our aircraft from flying is to proactively ensure that any issues discovered, are rectified or properly addressed before we use the aircraft for commercial operations.

With due respect to CAAP, our reports on how we addressed the incident in Kalibo reflected this and is confirmed by CAAP inspectors that no maintenance procedural lapses were committed and that the aircraft concerned is not subject to any technical problems. The incident in Tagbilaran would have been addressed sooner had we not been required to have the maintenance rectification inspected by CAAP personnel. It is unfortunate that Tagbilaran airport has only one runway and ramp, and this is the reason why the incident snowballed to have affected so many passengers.

Our accountable manager is Ambassador Alfredo M. Yao who is the President and Chief Executive Officer of Zest Air.

In addition, all our mechanics have valid licenses to perform their jobs despite CAAP’s concern where one of our mechanics did not possess the license physically on him but was stored within the work area. Furthermore, none of our pilots or crew are exceeding their duty time limitations.

ZestAir will be submitting a copy of the comprehensive improvement program that is currently being implemented in ZestAir to provide our passengers an improved experience, product and services. We have been investing significantly in our operations and fleet to further raise the standards of excellence across all aspects of personnel, parts, and maintenance/technical services.

CAAP Suspends Zest Air

Tagbilaran Airport sealed Zest Air's Fate

16 August 2013
       SAFETY VIOLATIONS

• No qualified Accountable Manager since July 19, 2013
• Failure to check aircraft logs, flight manifest, weather, etc.
• Failure to present to the CAAP the airman license (Aircraft Mechanic License) during ramp inspection
• Series of occurrences that affected several flight operations
• Refueling with passenger on board involving RP-C8989 on August 14, 2013
• Excessive flight duty time case under the enforcement and legal service

The Civil Aviation Authority of the Philippines (CAAP) has suspended Zest Airways after serious deviations and infractions of rules and safety standards imposed by the Philippine Civil Aviation Regulations (PCAR).

Suspension of Zest Air flights is effective 6 pm this evening. No flights will be permitted to depart except return flights to Manila. Passengers affected are advised to contact the airline for possible transfers or ticket refunds.

Philippine Airlines is contracted by Zest Air to provide special flights for Zest Air's stranded passenger starting in Davao tonight under PAL Express.

Zest Air operates a fleet of 11 Airbus 320's serving 14 destinations consisting of 35 flights out Manila, 8 flights out of Kalibo and a flight from Cebu.

Operations of Air Asia is not affected but the airline's aircraft will not be permitted to land at NAIA Airport.

The Suspension Order was issued by Captain John Andrews, CAAP Deputy Director General.

Earlier, CAAP placed Zest Air under "heightened" surveillance effective August 2 following a series of flight cancellations brought about by alleged mechanical problems of its aircraft.

Recent incident at Tagbilaran Airport Tuesday sealed Zest Air's fate when its ailing Airbus 320 plane obstructed the runway due to mechanical problems with the engine resulting to closure of the airport for commercial traffic.

 Zest Air’s will remain suspended until further notice.

What Drives Zest Air's Cancellations?

Empty Seats

2 August 2013

The Civil Aviation Authority of the Philippines (CAAP) has said enough of Zest Airways excuses of cancelling flights as it placed the airline under "heightened" surveillance by safety inspectors following its repeated cancellation of flights due to alleged mechanical problems.

Sources in the industry however discloses that the airline is not generating enough passengers for some of the scheduled flights for which reason they have been cancelled during the past weeks causing inconvenience to its booked passengers.

In July, the carrier cancelled a total of 33 flights mostly going to Kalibo.

Today Zest Air cancelled flight 326 bound for Tacloban.Yesterday the airline cancelled 8 flights all due to aircraft situation problem.

CAAP Deputy Director General John Andrews said that airlines has a habit of cancelling flights with low booking, and just reason out aircraft situation as the problem.

Andrew said they will inspect not only Zest Air aircraft but also other operators who cancels flight due to flight situation problems and find out whether actual maintenance and repair is done and made on the aircraft as has been reasoned out.

Air Asia opens Cagayan De Oro

June 14, 2013

Air Asia Philipines opens Cagayan de Oro's newest Airport with 3 new daily flights to Manila. Laguindingan Airport opens to the public tomorrow. 

Flights will be on the following schedules:
Z2340 MNL0540 – 0715CGY 320 D
Z2593 MNL1225 – 1400CGY 320 D
Z2348 MNL1400 – 1535CGY 320 D