Philippine Airlines files for bankruptcy

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Manila – Qena:

The Philippine Airlines announced that it is in the process of filing for bankruptcy due to the repercussions of the Corona pandemic (Covid-19). The national carrier of the Philippines said in a statement yesterday that filing for bankruptcy will allow it to restructure contracts and reduce debt by at least two billion dollars, while at the same time obtaining 655 million dollars of new capital.

The company will reduce the size of its fleet by 25 percent and renegotiate contracts to reduce rental amounts. The volume of air travel to the Philippines collapsed by 75% from nearly 30 million passengers in 2019 to seven million last year due to restrictions imposed to combat the pandemic.





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