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Philippine Airlines will renew its long haul fleet with more 777-300ERs and potentially A350-900s

Analysis

Philippine Airlines (PAL) is leasing two additional 777-300ERs and is looking to acquire four to six new-generation widebody aircraft, most likely A350-900s. The group's new widebody fleet plan envisions phasing out six recently acquired A340-300s over the next three years while also potentially pursuing relatively modest long-haul growth.

PAL is keen to offer a standard product across its long-haul operation, which currently consists of one destination in Europe and five in North America. Los Angeles and San Francisco could transition to an all-777-300ER operation by the end of 2016, while A350s could be used to introduce non-stops to New York, which was launched in Mar-2015 with service via Vancouver.

PAL is also planning to standardise its A330-300 fleet by retrofitting the eight aircraft which currently are in all-economy configuration. PAL may sublease two of its 15 A330-300s but growth of the medium-haul network could still be pursued using A321neos.

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