Eurest wrote
CAPA now mentions late 2017 for the refurbishment of the 404 seaters into 309 pax A330
But with the 172 seat A321NEOLRs also coming 4Q 2017, does GT Holdings have the financial appetite for such capital expenditures. Or are the A330 refurbishments hinging upon PR finding the much elusive investor?
Aside from SYD & HNL and perhaps JPN flights, where would PR use the 309 seaters?
MEL will probably go daily with a A321NEOLR from current 3x A343?
BNE is doing well for PR but do they envision LF to require an A330 soon?
With current flights, PR would only need 2-4 frames of the 309 seater mainly to replace the A343 on short to medium haul missions
I doubt PR would spend money to refurbish to start new routes w/ 309pax A333, as that does not sync with their cautious expansion over the last few years
I guess there's really no business case to refurbish the monoclass A330s ATM and they're doing fine for charters
At 3 consecutive year profit-taking, PR is in better financial health to finance new capital expenditures. They just secured deals with the A350, entered LOI's with Bombardier for new Q400's, and lately confirmed refurbishment of all monoclass A330's. Although I'm still skeptical on the last one considering that they only need two to cover some present points, i.e. SYD, NRT, HND,ICN, HNL,HKG,KIX,NGO, and AKL in the future.
Before what I heard was merely conversion of some (2 frames), but now JJB is confident on the conversion of all bunch as he said in November 20 on account of strategy shift (5 star service) to be headed by Paul John Shenton. Truly they are serious with these aims.
If it helps, Lucio Tan also completed settling his debt with Henry Sy in buying SMC out of his airline in 2014.That speaks well about their financial position.
I'm lost however as to their middle east strategy. Rumors have it that they will transfer operations to 2P. As proof of that rumor they are consolidating corporate structure of the low cost subsidiary to support some of the A330 operations. Meaning, flight operations to the gulf, particularly UAE is to be shouldered by GAP. Which make sense if we consider the latest pronouncement of JJB about its ending alliance with EY and the recent airline consolidation. Note also that 2P has flight entitlements in the UAE. GAP flew before to DXB. That are 3 checks already. I'm not sure however if they have rights in other gulf States, which gives me the puzzle.
And if current operations is to be understood, GAP already operates tri-class services in CEB, DVO, ILO, BCD, CGY, TAG, KLO,TAC, LAO and ZAM, aside from the regular monoclass service to all other domestic points. They are also flying SPN now and all international charters.
So like my predictions earlier, PAL is more like heading the way of CX with A321NEOs reputed to have IFEs as its smallest plane, while its low cost subsidiary takes some A330s,A321s, A320s and Q400s. From my sight, their product differentiation is already clear.
The current bi-class A330s might be heading to the middle east if that should be the case.
seven13 wrote
Has anybody read the part 2 of PAL CAPA report?
It states that PAL was able to secure early morning arrival flights in LHR and an early morning arrival back in MNL
[PAL was eventually able to secure morning slots at Heathrow, enabling it in 2015 to switch to its current schedule with a late evening departure from Manila to London. The return flight lands back in Manila in the early morning. PAL upgraded the Manila-London route to daily in mid-2016.]
Were they able to get the much coveted slots at Heathrow? If I remember correctly, Arianespace did explain how PR got the additional slots but on its current time slot.
You must understand that a pair of evening departure slots at LHR are more expensive than morning slots and it was not available that time were it not for RSA to acquire slots of other airlines. Thus, selling this pairs in exchange for the morning slot should result in short term profit but losses in the long run. Survey showed UK passengers prefers night flight and afternoon arrivals in Asia. Try looking at LHRs evening departure to Asia Pacific.
CAPA also said PAL is heading to Chengdu when they already flew there before. As a matter of fact, the airline flew to Chengdu in 2008, and to some other chinese cities like Chongqing. What was left of the 2008 expansion is its flight to Macau. So its not a new destination. I would like to think that old age has finally caught up with JJB because he was PAL president that time. Or maybe error of his assistant who doesn't bother to check historical records.
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