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Philippine Airlines to expand long haul operation after completing A350-900 acquisition

Analysis

Philippine Airlines (PAL) is planning significant expansion of its long haul operation as it takes delivery of new widebody aircraft, including A350-900s. PAL's long haul fleet is slated to expand from only 12 aircraft currently to 14 by the end of 2016, and to at least 17 aircraft by mid-2019.

After several months of negotiations PAL has finally committed to acquiring at least six A350s, three of which are tentatively earmarked as growth aircraft. The new high gross weight A350-900s will enable PAL to operate nonstop flights to the east coast of North America, as well as to add capacity to the west coast of North America and to Europe.

The Philippine flag airline currently has six long haul destinations, only four of which are served nonstop from Manila. PAL plans to add new long haul destinations, upgrade one-stop routes to nonstop, and launch new long haul routes from its secondary hub at Cebu as it expands its long haul fleet.

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