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Philippine Airlines' international expansion continues with 5 new destinations, A350-900 HGW order

Analysis

Philippine Airlines (PAL) is further expanding its international operation as it grows its fleet and improves utilisation of its existing widebody aircraft. PAL's international network will exceed 40 destinations in Jan-2016 compared to only 25 in Jan-2013.

PAL is adding five international destinations over the next two months, including two destinations in the Middle East and three in Australasia. Long haul growth will resume in Mar-2016 with the launch of services from Cebu to Los Angeles, which will be PAL's first widebody international route from Cebu.

Opportunities to further grow the long haul operation will come in late 2016 as PAL adds two more 777-300ERs. The expected acquisition of a new higher gross weight version of the A350-900 will be used to upgrade New York to non-stops in 2017 and potentially be deployed to upgrade Toronto to non-stop and launch a fourth mainland US destination.

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