Cebu Pacific may be flying high with its milestone of placing the largest aircraft order in Philippine aviation, but experts believe that certain risks could clip the airline’s wings.
President Marcos receives officials of Cebu Pacific led by chairman Lance Gokongwei and CEO Michael Szucs during a courtesy call Tuesday. The airline’s P1.4-trillion investment to acquire 152 airplanes from Airbus were discussed during the meeting. Looking on are Transportation Secretary Jaime Bautista and Trade Secretary Alfredo Pascual.MANILA, Philippines —
However, Colet warned that Cebu Pacific would incur new expenses in fuel, labor and maintenance with the entry of new aircraft. Air travel demand also has to increase at the pace projected by the airline for all of the jets to be maximized. “It offers significant growth potential by expanding capacity and improving efficiency, but it also poses some risks to Cebu Pacific’s profitability like increased indebtedness, integrated challenges and market saturation. Success will hinge on its effective execution and a stable macroeconomic backdrop,” Limlingan said.
Cebu Pacific on Tuesday locked in an order for 152 aircraft from Airbus for $24 billion, or roughly P1.4 trillion, marking the biggest plane order in Philippine history. Cebu Pacific currently operates one of the youngest fleets in the world, handling eight A330s, 39 A320s and 21 A321s, aside from 15 turboprops, enabling it to serve 35 Philippine routes and 25 international cities.Ramon Aboitiz Foundation Inc.
United Kingdom Latest News, United Kingdom Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Cebu Pacific to run Cebu-Palawan flightsLOW-COST carrier Cebu Pacific is adding direct flights to San Vicente, Palawan, from Cebu starting October 24.
Read more »
Cebu Pacific to launch Cebu-San Vicente, Palawan route starting October 24Cebu Pacific is also holding a piso seat sale for the new route until June 26
Read more »
Cebu Pacific launches Cebu-San Vicente flights with P1 seat saleLatest Philippine news from GMA News and 24 Oras. News, weather updates and livestreaming on Philippine politics, regions, showbiz, lifestyle, science and tech.
Read more »
Kanlaon Volcano eruption prompts flight cancellationsPhilippine Airlines, Cebu Pacific, and AirAsia offer inconvenienced passengers several options
Read more »
Cebu Pacific locks in record P1.4 trillion Airbus plane orderLow-cost carrier Cebu Pacific will purchase as many as 152 aircraft from aviation giant Airbus for $24 billion, or roughly P1.4 trillion, to mark the largest plane order in Philippine history.
Read more »
Cebu Pacific inks record airline orderBUDGET carrier Cebu Pacific is looking to purchase up to 152 A321neo aircraft from European manufacturer Airbus SE in a deal worth $24 billion (P1.4 trillion), which the airline described as the largest order in Philippine aviation history.
Read more »