Philippine Airlines' LCC subsidiary to compete with Cebu Pacific for domestic market

PAL Express, an LCC subsidiary of Philippine Airlines, announced plans to undertake measures, including fleet updates, to increase its domestic network and capacity to compete with Cebu Pacific (CAAC-News, 17-May-2010). PAL Express took delivery of two leased A320s from Philippine Airlines, deployed on Cagayan de Oro, Iloilo City, Bacolod and Puerto Princesa sectors from late-Mar-2010. The carrier will receive two to four additional aircraft this year. According to the Philippine Civil Aviation Authority, PAL Express transported 408,863 passengers in 2009, a decline of 55.2% year-on-year.