TOKYO/MANILA – Philippine Airlines Inc. (PAL) announced on Friday that it has completed its financial restructuring process and emerged from Chapter 11, slashing over $2 billion in debts, less than four months after it filed for bankruptcy protection in the United States on Sept. 3.
The Philippine flag carrier said it is well-positioned for the future with a strengthened balance sheet, streamlined fleet, reduced debt and additional liquidity.
“We have achieved this milestone with the strong support of our creditors, the enduring commitment of our shareholders, the collective efforts of the 4500 outstanding members of the PAL team around the world, and the continued collaboration with our industry partners like you,” PAL Sales & Marketing Senior Vice President Oscar Enrico Reyes Jr. said in a statement sent to Filipino-Japanese Journal.
He added that PAL expects to restore more routes and increase flight frequencies as travel restrictions ease and borders reopen.
“In all our operations, we will continue to uphold the strictest safety measures in line with our highest priority: the safety and health of the passengers who entrust their journeys to us,” he said.
Furthermore, he assured passengers that PAL will continue to fulfill all refund obligations in accordance with existing company policies.
PAL operates the most flights between Japan and the Philippines of any airline. - Florenda Corpuz
(Photo courtesy of Philippine Airlines)