Philippine Airlines expects USD300m in savings from fleet redevelopment, breakeven by end of 2012

Philippine Airlines president Ramon S Ang said the carrier is targeting a break-even result by the end of 2012, with the carrier to reassign aircraft and realign its network as part of cost-reduction efforts. Mr Ang, as reported by bworldonline.com and rappler.com, said around 90% of the carrier's services will be realigned by Oct-2012, adding, "Right now, there are many big aircraft used for short destinations or small aircraft used for long destinations, that's why it wasn't efficient. [There should be] a right aircraft for the right destination". He however noted there would be no flight cancellations as part of the realignment, which is expected to result in USD300 million of annual fuel savings. "We will see the effect of that after three months… so by the end of December, we will break even," Mr Ang said.