Philippine Airlines Inc. has emerged from its voluntary Chapter 11 proceedings, successfully completing its financial restructuring in a much faster period compared to other airlines globally which underwent the same bankruptcy process.
The head of Philippine Airlines (PAL) believes the flag carrier is on course for recovery in the new year.
After navigating a turbulent year and a half during the coronavirus crisis, Philippine Airlines received approval from the US Bankruptcy Court of the Southern District of New York on Dec. 17 for its reorganization plan – a turnaround strategy Gilbert Santa Maria had been developing pre-pandemic, when he took over as president in July 2019.
The company filed for US Chapter 11 bankruptcy protection in September and expects to complete the process this week.
“Our creditors have…
'The consensual plan was accepted by 100% of the votes cast, which were from PAL’s primary aircraft lessors and lenders, original equipment manufacturers and maintenance, repair, and overhaul service providers, and certain funded debt lenders,' says PAL