The Cathay Snub

Manila Standard

Wednesday, December 16, 1998

Larry V. Sipin

Peter Foster, who, as Cathay Pacific regional manager for the Philippines and Taiwan, divides his time between Manila and Taipei, got the shock of his life two weeks ago when he learned that he had done the unthinkable – he snubbed the President of the Republic of the Philippines.

“Such arrogance!” you are bound to exclaim. I wouldn’t blame you if you demand this foreigner with an attitude be declared persona non grata.

MALACAÑANG MEETING. But wait a minute. I did not say that Foster snubbed President Erap. I said Foster was shocked to learn that he had snubbed Erap.

Some newspapers made a big thing of the snub, supposed to have occurred two Sundays ago (Dec. 6). It was reported that Foster was invited to Malacañang as key participant in yet another meeting to save Philippine Airlines. Cathay’s presence is vital in any talk to save the Philippine flag carrier – at this point concentrated on securing a partner or investor who can shell out something like $150 million – because it is almost synonymous with the Save PAL effort. After all, the Hong Kong airline sent in the cavalry when PAL closed shop and it knocked at Lucio Tan’s door first after PAL announced that it was looking for a partner. Cathay has pulled out of the negotiations but hope flies high that its talks with PAL would resume and end on a successful note.

Foster reportedly confirmed his attendance to the Malacañang meeting, but he never showed up. To President Erap’s extreme irritation and annoyance.

Maybe the snub did the president good. Now, the Chief Executive, who habitually shows up late for engagements, if he shows up at all, knows how it is to be cooling one’s heels for a guest who never arrives. I hope the snub taught the President to be considerate to people expecting his presence.

But it’s like I’m saying there was a snub. There was none. Which is why Peter Foster was shocked to learn that he had snubbed the President.

FRIEND OF THE PHILIPPINES. Foster swears that neither he nor any other Cathay executive was invited to Malacañang on Sunday, Dec. 6.

As a matter of fact, he was in Taipei attending to the Taiwan side of his job as Cathay regional manager for the Philippines and the Chinese island state.

His secretary in Manila faxed him the press clippings reporting the snub. From Taiwan, he issued a statement to the Philippine media organizations concerned, declaring: “We were never called to a meeting last Sunday.” He also made it known that even as the PAL-Cathay talks have bogged down, his company “continues to maintain informal contact with the (Philippine) executive department.”

Foster rues insinuations, explicit insinuations at that, picturing Cathay executive as arrogant. “It was not arrogance nor attitude,” he says, stressing that the Philippines has always been, and will remain, a dear friend and favored destination of Cathay Pacific.

A classic manifestation of how dear Cathay holds the Philippines was the destination of its inaugural flight on the opening day of the new Hong Kong International Airport last July. The inaugural was a charity flight with 60 underprivileged children of various nationalities as VIP guests of honor. The children had the adventure of their lives. Their destinations – Manila.

Cathay has long associations with our country. It has been flying to the Philippines for 52 years now, Manila having been one of the airline’s first five destinations upon inauguration.

The Philippines is a special Cathay destination, as can be seen in its special Philippine travel packages, among them the “Stay a while,” “Golfing breaks,” and the acclaimed, bestselling “Discovery tours” – credited as having introduced the Philippines to travelers worldwide, with particularly heavy bookings in the European market – covering Cebu, Boracay, Bohol, Badian Island, and Palawan.

Cathay started the Hong Kong-Cebu route which proved to be a tourism boon. From a zero base, the Hong Kong airline developed Cebu into its biggest destination outside Japan. Cebu gives Cathay credit for the tourism upsurge that triggered its hotel and leisure industry boom.

With five flights a day from Manila and four weekly flights from Cebu, Cathay has the most flights in and out of the Philippines among all international airlines.

The government showed its appreciation for the recognition of Cathay’s services in the Department of Tourism’s prestigious annual Kalakbay awards. Cathay has been awarded as Kalakbay’s Best Foreign Airline twice in a row, in 1996 and 1997 – an unequaled record.

Going beyond providing air travel services, Cathay has been constantly exhibiting good corporate citizenship. Particularly significant in this Yuletide season is the airline’s Christmas “Toys for street children” tradition under which it ships hundreds of boxes of toys, clothes and goodies donated by Hong Kong children to its favorite Philippine charity, Manila’s Good Shepherd Center, and other orphanages. Another popular project is the “Cathay Pacific International Lapalala Wilderness Experience” wherein at least four Pinoy student delegates join counterparts from around the globe in an annual 10-day South African environmental education safari.

To borrow a classic from the beer industry, Cathay and the Philippines, may pinagsamahan. Philippine-Taiwan regional manager Peter Foster assures: Cathay would never snub our President.

PINOY ORIGIN. May pinagsamahan, indeed.

Cathay traces its origins to the Philippines. Company lore has it that the co-founder, Roy Ferrer was in Manila when he was finalizing the incorporation papers of the new airline he was set to roll out with his partner, Sydney de Kantzow. Drinking with foreign correspondents from Time, Newsweek and the wires at the bar of the Manila Hotel he picked the brains of the journalists for an appropriate name for his new airline. The consensus was “Cathay Pacific Airways.”

Next to PAL, Cathay is the most Pinoy airline, what with over a thousand beauteous Filipinas in its roster of attendants.

Cathay could have been the ideal PAL partner. But the talks bogged down. Cathay is out of it. As Philip Chen, Cathay chief operating officer, said in a terse statement, “As far as we’re concerned, this (the PAL deal) is behind us.”

But Foster assures that if ever Cathay gets invited to Malacañang for whatever, Cathay will be there – “If President Estrada wants to call us, we would be there instantly where he wants, as we were in September (when PAL closed and the Philippines badly needed air services).” In short, no snub.