Will Philippines Airlines exist in 2020

pej1111 wrote:

Take this post for what it is, speculative.

But I am considering if I (travelers) should be trusting Philippine Airlines in long term bookings?  I guess the question is will PAL go bankrupt? 


I ready today that they are losing 300,000PHP a month, that was in March 2020

To get flying again at 100% capacity, they will have to requalify (flight continuation training and currency) numerous pilots and in air flight attendants, that will take flying hours ($$$) in planes that do not carry passengers. 

The Philippines government has said that they don't want to purchase PAL, but were asked for a cheap, interest free loan by PAL

I know that many people are waiting on money from cancelled COVID flights, going back to Feb 2020, at which time PAL promised refunds for canceled COVID flights.

Your thoughts, would you purchase a pre paid ticket with PAL for a flight in:

1 months time?
3 months time?
6 months time?
Not at all?

A quick search of PAL led me to Lucio Tan and his holding company LTG Group Inc. Mr. Tan is a billionaire (3.1 Billion USD) and the second richest man in the Philippines.

His financial interests are very broad, consult Wikipedia for his history and his consortium of financial interests, too many to list or comment about here.

Btw....Lucio Tan Eng Tsai also owns "Asia Brewery Inc"..so I wouldn't be too worried...let him get his finances in order (incl cheap loans if necessary) & all will be under control real soon/including the refunds (omo)

I'm more worried about the increase in alcohol prices on top of the inevitable overall increase in airline fares.

Enzyte Bob wrote:

pej1111 wrote:

Take this post for what it is, speculative.

But I am considering if I (travelers) should be trusting Philippine Airlines in long term bookings?  I guess the question is will PAL go bankrupt? 


I ready today that they are losing 300,000PHP a month, that was in March 2020

To get flying again at 100% capacity, they will have to requalify (flight continuation training and currency) numerous pilots and in air flight attendants, that will take flying hours ($$$) in planes that do not carry passengers. 

The Philippines government has said that they don't want to purchase PAL, but were asked for a cheap, interest free loan by PAL

I know that many people are waiting on money from cancelled COVID flights, going back to Feb 2020, at which time PAL promised refunds for canceled COVID flights.

Your thoughts, would you purchase a pre paid ticket with PAL for a flight in:

1 months time?
3 months time?
6 months time?
Not at all?

A quick search of PAL led me to Lucio Tan and his holding company LTG Group Inc. Mr. Tan is a billionaire (3.1 Billion USD) and the second richest man in the Philippines.

His financial interests are very broad, consult Wikipedia for his history and his consortium of financial interests, too many to list or comment about here.

True, yet Mr Tan has already put in some P17.68 billion  into PAL Holdings since 2019

Interesting times ahead to see how much more will be spent or not on the airline.

pej1111 wrote:

True, yet Mr Tan has already put in some P17.68 billion  into PAL Holdings since 2019

Interesting times ahead to see how much more will be spent or not on the airline.

To round off numbers, P18 billion is approximately $375 million USD.

Since the economy didn't start to shut down to end of the first quarter 2020, some of the money he invested in the airline could have included improvements as we were in an economy on the upswing.

If Mr. Tan's accounts (hundreds) were reading this they might think $375 million is chump change compared to the total value of his assets, maybe even a good way to legally avoid taxes.

I'm sure Mr. Tan could call either HSBC or Deutche Bank and borrow the money over the phone.

pej1111 wrote:

Take this post for what it is, speculative.

But I am considering if I (travelers) should be trusting Philippine Airlines in long term bookings?  I guess the question is will PAL go bankrupt? 


I ready today that they are losing 300,000PHP a month, that was in March 2020

To get flying again at 100% capacity, they will have to requalify (flight continuation training and currency) numerous pilots and in air flight attendants, that will take flying hours ($$$) in planes that do not carry passengers. 

The Philippines government has said that they don't want to purchase PAL, but were asked for a cheap, interest free loan by PAL

I know that many people are waiting on money from cancelled COVID flights, going back to Feb 2020, at which time PAL promised refunds for canceled COVID flights.

Your thoughts, would you purchase a pre paid ticket with PAL for a flight in:

1 months time?
3 months time?
6 months time?
Not at all?

Not flying anywhere until 2022, so we won't be looking into tickets for another year, a lot could change by then.

Fly me to the moon
Let me play among the stars
And let me see what spring is like
On a-Jupiter and Mars

PAL was never that great of airline as far as I am concerned.  But this is Asia where there is no competition.  Just oligarchs.  I would look for higher Domestic tickets.

NIPA HUT LAMB wrote:

Fly me to the moon
Let me play among the stars
And let me see what spring is like
On a-Jupiter and Mars

PAL was never that great of airline as far as I am concerned.  But this is Asia where there is no competition.  Just oligarchs.  I would look for higher Domestic tickets.

Better service on PAL than any US airlines I have flown.  Only non-stop flights NY to Manila and Manila to NY available.  Hope they survive.

The Chicken Run has better service than a US airline so that ain't sayin' much.

An egotistical republican?

I agree with mugtech, PAL offers direct flights with good service and OMO will outlive many ego driven multinationals from western countries. Simply look at the sh#t happening around the world in the industry. I have used PAL 10/12 times and nary a whinge as another proffers. I believe Lucio Tan became a billionaire with astute decisions and foresight and PAL will be in the international travel domain for the foreseeable future.

Perhaps NIPA you need to look in your own back yard because criticising asian airlines and their ability to supply service and continuity begs to differ,,,,,,,, OMO.

Cheers, Steve.

I love to fly PAL Premium Economy for international, where it is available. Usually through Honolulu. The service is great. I also fly PAL most of the time within the Philippines. I also like Singapore Airlines - the women are so beautiful and friendly, and wear those traditional outfits.. haha..

Oh, sorry PEJ, back to the question. I wouldn't be worried about booking with PAL at all.

pej1111 wrote:

Take this post for what it is, speculative.

But I am considering if I (travelers) should be trusting Philippine Airlines in long term bookings?  I guess the question is will PAL go bankrupt? 


I ready today that they are losing 300,000PHP a month, that was in March 2020

To get flying again at 100% capacity, they will have to requalify (flight continuation training and currency) numerous pilots and in air flight attendants, that will take flying hours ($$$) in planes that do not carry passengers. 

The Philippines government has said that they don't want to purchase PAL, but were asked for a cheap, interest free loan by PAL

I know that many people are waiting on money from cancelled COVID flights, going back to Feb 2020, at which time PAL promised refunds for canceled COVID flights.

Your thoughts, would you purchase a pre paid ticket with PAL for a flight in:

1 months time?
3 months time?
6 months time?
Not at all?

Late reply pej, my bad, I will ad to my previous reply that I flew back here in mid March with a return flight to Oz in mid August, early July I was advised the flight was cancelled and to please be patient for the refund as they had a lot of customers to attend to, sure it took nearly 3 months but I was refunded 100%. back to Amex.
As for purchasing another ticket? Yes with PAL but only when things open up again.

Cheers, Steve.

cebu pacific is in deeper problem the company lost almost 50% of there value

I wonder why. Corruption and monopoly by PAL?

PAL "losing 300,000php per month"? That's only 6k USD. I would think they can handle that. But I reckon their losses are much larger.

About refunds: I had one that took 5 months but finally repaid in full. and another that has yet to be refunded after 6 months. PAL says they will eventually refund but insist on charging a $250 cancellation fee AND a $125 no show fee even though I was definitely there at the check-in counter for my flight but was not allowed to board due to Covid restrictions in place at the time.

As a frequent flyer and an American I can confirm that American air carriers are among the worst service-wise in the world. And PAL is among the best, aside form their problems with refunds. (I've never encountered a Philippine run business that readily engaged in any kind of standard refund practices.)

God I wish they would re-open to visitors.

is 300,000php a lot for an airline?

Sounds like PAL.

Any one that is holding on and waiting for PAL to give you a refund, i think that you can kiss that good bye.

Also be careful booking future flights as they may cancel them and then not have to pay your money back.

As you can see from the link below that Philippine Airlines plans to seek court protection from creditors.  i.e. not have to pay back any money to creditors,  (that will not be the big boys, like banks and large scale investors, this court order will enable them not to have to pay back any refunds for tickets purchased, where the flight is cancelled.

https://asia.nikkei.com/Business/Transp … -creditors



I must admit i am one of those, and PAL have not handled it well, they kept telling me that they had paid the refund, owed since Feb 2020, and that they would get a bank receipt to show me that it had being paid into my account, (after i told them that it had not) Numerous emails, telling me it had being paid, and numerous emails promising me that they would send the bank receipt.


I was so lucky that in 2019 i used all my Mabuhay Miles up  (about $9k AUD worth, because I think that you will find that Mabuhay Miles points will also be considered a creditor.

I have a refund and voucher. Per email I was told the refund will take 5 months. I did call PAL and check on the voucher and it is available right now to use.

Agree with pej1111 last post/link..as mentioned..Philippine Airlines to enter a court-assisted restructuring.
As It states it is not the only carrier to seek court protection amid the pandemic-induced turmoil in the aviation industry. Its regional peers and even bigger airlines in Asia/Europe and Latin America have also taken/in process of taking a similar legal route to survive the COVID-19 crisis...so many do appear to be bleeding money.
Lets all just hope there is more 'stimulus $$' coming their way & everyone manages to get back their deposits/refund vouchers...as these are very troubling times for all.

I am lucky. didn't travel at lockdown.  No refund needed. It's still confusing to travel out of phillipines this time.

I wish the Philippines would be a little bit more clear about their travel lockdowns so visitors who are looking forward to going there won't be so confused about what they need to do.

Aeta Tribe wrote:

I wish the Philippines would be a little bit more clear about their travel lockdowns so visitors who are looking forward to going there won't be so confused about what they need to do.

Don't book with them just at the moment.  If they cancel flight after you book and pay, you risk losing your money.

Mhammond40 wrote:

I have a refund and voucher. Per email I was told the refund will take 5 months. I did call PAL and check on the voucher and it is available right now to use.

Mine was booked last year BC  (Before COVID), to fly in Feb this year, and no refund yet.  Probably never.

Ha ha.. BC.. I like that.