This archive report was first published on 4 September 2021.
Published on September 4, 2021, Philippine Airlines filed for bankruptcy in the United States, citing a severe impact from the COVID-19 pandemic.
The airline's passenger volume plummeted by 75 percent from 30 million in 2019 to seven million last year, resulting in the cancellation of over 80,000 flights and a loss of $2 billion in revenue.
Philippine Airlines president Gilbert Santa Maria stated that the carrier now operates 21 percent of pre-pandemic flights to 70 percent of its usual destinations.
As part of its restructuring plan, the airline aims to downsize its fleet by 25 percent, re-negotiate contracts to reduce lease payments, and secure $505 million to execute the recovery plan.
Senior vice president and chief financial officer Nilo Thaddeus Rodriguez said in a video message, “Philippine Airlines will continue business-as-usual operations while finalising the restructuring of our network, fleet and organisation.”
