Air Philippines to Resume Flights

The Business Daily

Tuesday, September 22, 1998

Air Philippines Corp., one of the country's new domestic airlines, said it has resumed flights yesterday after complying with some of the requirements set by the Air Transportation Office (ATO).

"We are resuming our flights to Cebu, Davao, and Puerto Princesa. Yesterday, we had a verbal agreement with the ATO to fly. We expect the written approval today," its president Augustus Paiso told Reuters by phone on Monday.

The ATO suspended the operations of Air Philippines on Sept. 18 after a safety audit showed deficiencies in the carrier's maintenance and flight operations procedure.

"We have met some of the immediate housekeeping requirements but some requirements like training of mechanics will take a long time. But we have submitted our plans on that to the ATO," said Paiso. He did not elaborate on the other requirements.

ATO officials were not immediately available for comment.

Paiso said the airline should have been given a warning instead of a suspension since it was the airline's first time to undergo such a safety audit.

Air Philippines had scheduled six flights on Monday from its usual 21 flights daily before the suspension.

Paiso said the announcement of Philippine Airlines Inc. to close shop on Sept. 23 has put pressure on other local airlines to expand their capacity.

"It is very unfortunate that we are losing a national flag carrier. It's no longer the interest of the airline that's involved but also of the public." Paiso said.

"Other airlines are under pressure to come up with capacity. We are planning to have additional capacity."

Paiso said Air Philippines is currently negotiating to lease four 747s and three MD-82s for the expansion of its local flights and in preparation for the approval of its application to fly to Taiwan and Japan.

Paiso declined to identify the prospective lessors.

Air Philippines Corp.'s parent is listed Air Philippines International Corp.