Tuesday, August 31, 2010

Cebu Pacific airline opens the Macau-Laoag route

Along with the economy recovers and the demand of air travel, Cebu
Pacific will launch the Macau - Laoag route on September 20, 2010.

The departure time is in every Monday, Wednesdays and Fridays at
9:40pm, and the arrival time is in every Tuesday, Thursdays and
Saturdays at 2:05am. Including this new destinations, there are a
total of 13 flights weekly to and from Macao to the Philippines
operated by the Cebu Pacific Airlines for the passengers among Manila,
Clark and Tuguegarao and Laoag.

In order to cope with the air travel demand as well as reduce the
impact of VIVA airline’s bankrupted, Macau International Airport will
actively develop the mainland and international markets, continuing to
work with the Civil Aviation Authority of Macau and airport operators
to strengthen the communication and liaison with airlines, to fully
support them for route development, reduce operating costs, improve
the quality and efficient services.

We believe that with further recovery of the global economy, Macau
International Airport will certainly attract more airlines to Macau in
priority on their route development plan with the perspective of local
airlines foreseeing t

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Rp and its airforce woes - Polish-ing our air force

Polish-ing our air force
by Babe Romualdez August 31, 2010

One of the worst midnight deals signed by the former Department of
National Defense head, Norberto Gonzalez, was the procurement of
Polish helicopters for our Air Force. It seems the Philippine Air
Force will be polished up by buying Polish-made PZL Swidnik Sokol
helicopters the kind that even the Polish government itself won’t buy.
Spy Bits was informed that in the last 30 years, only two countries
Myanmar and the former Czechoslovakia have bought these so called
Sokols (and even then under compelling circumstances). Late last
month, the Polish Ministry of National Defence announced the intention
to buy 26 new choppers for a “unified helicopter platform” for its
navy, army and Special Forces by the end of the year. But guess what
none of these helicopters will be the Sokol, as the platforms chosen
will most likely be the Sikorsky S-70i Black Hawk or S-92. As a matter
of fact, even the Polish Ministry of Health did not think enough of
PZL Swidnik, opting instead to purchase 23 choppers from the French
manufacturer Eurocopter for its emergency medical services fleet.

Last year, Italian aircraft manufacturer Augusta Westland bought out
PZL Swidnik and has since fired more than 500 personnel an indication
that the new owners are not inclined to continue manufacturing Sokols
(competitors of Augusta’s A139 and A159 models) or any other PZL
helicopter for that matter. And when that happens the Philippine Air
Force will be left “holding the bag” since there will be no parts for
replacement, repairs, maintenance and other after-sales support
requirements. What a set up!

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Monday, August 30, 2010

Cebu Pacific to offer Beijing flights

Cebu Pacific (CEB) will start flying to Beijing, China early next
month, the airline firm said today.

CEB said the Manila-Beijing-Manila route, which will be launched on
Sept. 5., is the company's 16th international destination.

CEB's thrice-a-week service will start when the flight departs from
Manila at 7:35 p.m. and arrives in Beijing at 12:05 a.m. The return
flight will depart from Beijing at 01:00 a.m. and will arrive in
Manila at 5:30 a.m.

"We are excited to begin our Beijing operations, as it will signify
better connectivity for our passengers to the Philippines and the
Asia-Pacific region," said Candice Iyog, CEB's vice- president for
marketing and distribution.

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Local RP air travel boom threatened by stringent safety, security measures

FILIPINOS who have only recently discovered the fun in air travel are
facing an increasingly stringent security regime at the country’s
airports. And it may be a matter of time before airport security takes
all the fun out of air travel.

The stringent security measures are a contrast to the robust growth of
the local airline industry.

According to the Civil Aviation Authority of the Philippines, there
were 8.39 million domestic air passengers in the first half of this
year, up 10 percent from the same period a year ago.

The emergence of low-cost carriers like Cebu Pacific Airways accounts
for much of the dizzying growth of commercial aviation in the
Philippines.

Cebu Pacific carried four million passengers in the first half of the
year, up 13 percent over year-ago figures. It is now the biggest local
airline in terms of passenger load, with a market share of 48.75
percent.

Philippine Airlines has seen its passenger traffic fall by 10 percent
to 2.8 million passengers this year.

But the slack has been picked up by sister company Air Philippines
which saw a three-fold hike in passenger load in the first half, from
254,244 last year to 667,686 this year.

The brisk growth, however, is slowly being tempered by the constant
increases in security measures at the local airports.

The long queues at the airport terminals—a result of baggage
processing via x-ray machines, plus body-frisking, inspections of
personal effects, and more body-frisking—say it all.

Not even the President, top government officials, and VIPs are
exempted from the rigorous exercise everytime they travel by air.

Terrorism has cast a very long shadow on the travel industry, and both
government agencies and private companies have invested millions of
pesos in equipment and man-hours to help address the security
concerns.

Ironically, these measures also dampen travelers’ appetite for trips.

Body scanners are the latest tools used by airports worldwide to
thwart terrorism.

There are currently four types of scanning machines used at airports
worldwide. These are the Terahertz, the Backscatter, the
Milimeterwave, and the Arcscan x-ray technologies.

All of these full body scanners reflect items on the surface of the
body that detect different types of plastic explosives through
different type of clothing.

But these scanners also make even the most seasoned travelers queasy.
Body scanners, after all, essentially paint a nude picture of the
traveler.

Body scanners even allow screeners access to otherwise confidential
medical information.

The Backscatter and Arcscan have more features that address the
privacy issue as this technology provides automatic coverage of a
person’s private parts. And this part of the body scan cannot be
deactivated by the operator.

Body scanners are strong enough to see objects inside the body,
including drugs and other paraphernalia that so-called “drug mules”
swallow, as well as hidden objects like plastic weapons in “skin
caves” and “vaginal and anal imported items.”

Airport security agencies continue to assess current procedures and
technology in an effort to put some fun into air travel again.

But 20-second passenger processing, minus the clothes stripping and
removal of shoes and belts, is still a thing of the future.

Until that time, air travelers will have to bear the inconvenience—and
the occasional embarrassment—in the name of safety and security.

http://www.manilastandardtoday.com/insideNation.htm?f=2010/august/30/nation5.isx&d=2010/august/30

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Saturday, August 28, 2010

Land at your own risk in the Philippines

The botched hostage rescue, now a textbook case worldwide on how not
to resolve a hostage situation, has brought shame to the nation and
prompted cancellations of tours to the Philippines from Hong Kong and
the Chinese mainland during one of their peak travel seasons. But even
before one deranged ex-cop and the government’s incompetent response
spooked foreign visitors, the Philippines was already struggling in
its efforts to attract more travelers.

One immediate reason was the breakdown of the VOR or very high
frequency omni-range station at the Ninoy Aquino International
Airport, which prompted authorities to turn back or divert flights
during nighttime or periods of poor visibility due to smog. Airport
authorities tried to downplay the problem by saying pilots should just
use their eyes for landing, but of course many refused to take that
risk.

The VOR as well as the instrument landing system and distance
measuring equipment at the NAIA were damaged at the height of storm
“Ondoy” last year. The ILS and DME were repaired and became
operational only last Thursday afternoon, while the VOR is working
only because the NAIA borrowed a transmitter from the airport in
Subic.

How much does it cost to rehabilitate the VOR? A transmitter costs P14
million, authorities said, while VOR replacement parts costing P3
million also need to be purchased. The total amount is smaller than
the individual pork barrel allocation of congressmen, or the pay and
bonuses received last year by each of the top executives in the major
government-owned or controlled corporations. The Department of
Transportation and Communications was prepared in the previous
administration to spend $329 million on a government broadband network
project, but not a fraction of that amount to upgrade navigation
facilities in the country’s premier airport.

The uncertainty of being able to land in the airport of one’s choice
in this country is on top of the many problems that have long
bedeviled visitors in the Philippines. Traffic, pollution, security
risks, poor tourism infrastructure, unsafe mass transportation
facilities – all these problems have contributed to making the country
lag behind its regional neighbors in terms of tourism arrivals. The
inability to replace airport navigation equipment is another
disincentive to travelers that can and should be quickly remedied.

EDITORIAL- Land at your own risk -
http://www.philstar.com/Article.aspx?articleId=606868&publicationSubCategoryI...

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Friday, August 27, 2010

Botched Hostage rescue causes HK to cancel flights to Laoag and Manila

Direct flights from Hong Kong to this Laog have been canceled
"indefinitely" beginning Thursday, a fallout from the bloody Aug. 23
hostage-taking at Luneta Park in Manila that left eight Hong Kong
tourists dead.

Ronal Estabillo, manager of Laoag International Airport, said he
received a letter this week from executives of Hong Kong Express
Flights notifying the airport of the cancellation of the airline's
direct flights to Laoag.

The Hong Kong airline flies in tourists twice a week. About 1,200 Hong
Kong tourists visit the city monthly for rest and recreation, said
Milagros Gonzales, provincial tourism officer.

Most of the tourists visit Fort Ilocandia to play in the casino there,
the tourism office said.

Estabillo said the airline's letter was silent on the reason for the
cancellation. But he said he was aware of a travel ban imposed by
Chinese authorities on Tuesday in the aftermath of the bungled rescue
attempt of the Chinese hostages.

Estabillo said the last Hong Kong flight to the city that was
scheduled to arrive at 5 p.m. on Thursday was expected to fly home the
remaining Chinese tourists who arrived here on Sunday.

Flights from Hong Kong take only 45 minutes to reach Laoag
International Airport.

Gonzales said she was also told that a scheduled flight from
Kaoshiung, Taiwan, to this city also faced cancellation. Around 200
Taiwanese tourists visit the city each month to play in the casino or
play golf.

Authorities here are unaware if Taiwan had issued any travel ban or
travel advisory as a result of the deadly Manila bus hijacking.

"We hope to bring back these tourists in the coming days when the
anguish over the tragedy has died down. ? [But] we were informed that
all bookings in two major hotels in the city have been canceled since
Tuesday," Gonzales said.

More cancellations

In Manila, the country's tourism sector has started to feel the
effects of Monday's Luneta hostage-taking, with local airlines and
hotels reporting a wave of flight and booking cancellations just days
after the tragedy.

The country's flag carrier Philippine Airlines (PAL) said 558 people
from Hong Kong and other parts of China who were booked to travel to
the Philippines in the next 30 days have canceled their flights to
Manila and other tourist destinations in the country.

At the same time, Gokongwei-led Cebu Pacific reported rebooking and
cancellation requests from about 2 percent of the company's passengers
to Hong Kong.

PAL president Jaime J. Bautista said the company had been swamped by
calls from potential passengers cancelling flights to the country amid
security concerns following Monday's hostage crisis.

"About 90 groups of tourists have canceled flights to the Philippines
from Hong Kong and other parts of China," Bautista said. The groups
are the equivalent of about 558 tourists. Many of the PAL passengers
were headed to Kalibo, the gateway to the island paradise of Boracay.

"Hong Kong is a very important route for PAL," Bautista said. But he
said so far, only flights from China have been affected by the
cancellations.

"PAL is beginning to feel the initial impact of a Hong Kong government
advisory warning its residents to refrain from all travel to the
Philippines," he said.

Worst-case scenario

The worst-case scenario for the company, he said, will be the
reduction of flights to Hong Kong.

About 6 percent of PAL's revenues come from its operations to Hong
Kong. PAL flies to Hong Kong five times a day. The airline also flies
to Macau, Shanghai, Xiamen and Beijing.

For its part, budget carrier Cebu Pacific said several of its
passengers from Hong Kong had also asked to have their flights either
rebooked or canceled.

"As of Aug. 26, we have received rebooking and cancel requests from
less than 2 percent of the total number of passengers for the
airline's Hong Kong routes," the company said in a statement.

Meanwhile, the Philippine Travel Agencies Association (PTAA) said
eight hotels and seven resorts had reported requests for cancellations
by tourists from Hong Kong and other parts of China.

This amounts to about 300 rooms in popular tourist destinations like
Bohol, Palawan, Boracay, Cebu and Manila, the PTAA said.

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Thursday, August 26, 2010

Philippine Air Force to Receive New Aircraft

The Philippine Air Force (PAF) will receive 18 new light aircraft and
eight helicopters as part of the armed forces of the Philippines
modernisation programme.

PAF 1st Air Division commander Major General Artemio Orozco said four
of the 18 aircraft and eight helicopters would be delivered before the
end of 2010, and the rest in 2011.

The PAF will use the multipurpose helicopters during disaster and
military operations, and the light training aircraft to replace old
training aircraft.

The air force is also constructing a taxiway and ramp to enable smooth
manoeuvrings of these aircraft.

via: http://logisticsweek.com/air/2010/08/philippine-air-force-to-receive-new-airc...

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Wednesday, August 25, 2010

Cebu Pacific revives IPO plan, eyes bigger proceeds

Cebu Air Inc. is reviving its bid to conduct an initial public
offering (IPO) and this time, is projecting bigger proceeds at P32.19
billion, 26% more than its original target of just about P25.7
billion.

In a filing with the Securities and Exchange Commission (SEC), Cebu
Air which operates budget airline Cebu Pacific, said it will list
214.632 million primary and secondary shares at an offer price of up
to P150 per share, much higher than the initial target of P95 a piece.

Cebu Air has tapped Citigroup Global Markets Limited, Deutsche Bank AG
(Hong Kong Branch) and J.P.
Morgan Securities Ltd. as global coordinators and international lead
managers, while ATR-Kim Eng Capital Partners Inc. was hired as
domestic lead underwriter.

In its revised IPO proposal, Cebu Air will sell 186.637 million
primary and secondary shares that will
generate as much as P27.99 billion in proceeds, while another 27.995
million shares worth P4.19 billion
is being set aside to cover overallotments.

Cebu Air is pursuing the IPO amid the labor problems besetting rival
Philippine Airlines.

Cebu Air's IPO was originally scheduled for April but was put at bay
due to uncertain market conditions as well as the Philippine national
elections.

At that time Cebu Air's application, already approved by the SEC and
the Philippine Stock Exchange, involved the listing of up to 125.25
million primary shares and up to 110.31 million secondary shares at a
target price at P95 per share. Another 35.3 million common shares were
also set aside to cover
overallotments.

In the original filing, Cebu Air said it will use Proceeds from the
public offering for pre-delivery aircraft payments.

Last May, Cebu Air increased its Airbus A320 orders by 7, doubling its
seat capacity in 5 years with a total of 51 aircraft by 2014.

The 22 total Airbus A320 orders, including the additional 7 will
require an investment of some $1.4 billion.

These new aircraft will be enable the airline to increase flight
frequencies in existing routes as well as to expand to new domestic
and international routes, including northern part of China, Korea
and Japan.

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Tuesday, August 24, 2010

PAL faces tough years, many hurdles, says Bautista

The troubles of flag carrier Philippine Airlines (PAL) are far from over, with more dark clouds forecast to cause turbulence in the next few years.

Monday’s tragic hostage taking highlights the country’s problem with peace and order, one of the many problems the company has had to deal with in its seven-decade history.

PAL has lost over $300 million in the last two years because of a combination of low demand, restrictions to its expansion to lucrative routes in the United States, and a bad hedging decision that led to the airline paying a lot of money for oil that got cheap.

The company’s biggest challenges now are the low grades several international aviation bodies — the US Federal Aviation Administration (FAA) and the International Civil Aviation Organization (ICAO) — have given the Philippines.

“The Philippines is in an aviation crisis," PAL president Jaime Bautista said. “We have two basic but very serious problems that involve our aviation authorities."

In 2008, the FAA downgraded the Philippines to category 2 status, mostly because of deficiencies in the now-defunct Air Transportation Office (ATO).

“What this means is that we could not expand our operations in the US," he said, noting that this derailed the company’s earlier plans to start flights to San Diego or even some in the east coast - New York or Chicago.

The downgrade also meant that PAL would not be allowed to use its two brand new and more efficient Boeing 777 aircraft for flights to the US.

The acquisition of the new aircraft, ordered during the airline industry’s boom period before the 2008 fuel crisis, were part of PAL’s route expansion program.

Failure to pass audit

Another blow to PAL’s plans was the Civil Aviation Authority of the Philippines’ (CAAP) failure to pass a recent audit by ICAO that raised significant safety concerns over the country’s air travel industry.

CAAP was formed to replace ATO, precisely to get the category 2 status by the FAA on the Philippines lifted.

So far, it has failed to introduce significant reforms.

“One of the reasons they failed is because they lacked surveillance programs for airlines’ operations. The other is problems with the registration and issuance of airline operators’ certificate," Bautista said.

The ICAO grade later led to the European Union putting Philippine carriers in a blacklist of airlines banned from flying to the continent.

Bautista noted that PAL was able to pass separate safety audits by ICAO and the International Air Transportation Association. However, the country’s poor grade dragged PAL down.

“We are a safe airline. We were rated at par with European airlines’ Lufthansa and KLM," he said. “They acknowledged PAL is safe but they still saw serious deficiencies in CAAP as a regulator," he said.

Bautista said it was this problem with regulatory authorities that has kept PAL from expanding its operations to offset the drop in demand due to crisis conditions in 2009.

Quality of Philippine airports

Massive operating losses of over $300 million in fiscal years 2007-2008 and 2008-2009 dragged PAL’s equity position to around $1 million by early this year.

Exacerbating these problems was the quality of Philippines airports. Two months ago, radar and navigation equipment at Ninoy Aquino International Airport broke down, forcing several domestic and international flights to divert to nearby airports in Clark and Cebu. This proved to be another stain on the reputation of the country’s civil aviation and the Philippines as a tourist destination.

As part of its “survival plan," Bautista said PAL had implemented several measures to improve cost efficiencies and increase capacity.

The centerpiece of this plan is the outsourcing of 2,600 employees engaged in non-core services to turn PAL into a lean, mean organization.

PAL wanted to outsource jobs in its airport services, cargo handling and in-flight catering so that the airline could focus on its core business. The company expected to save $20 million in lower personnel fees and capital investments from the planned outsourcing.

But the plan was blocked by its labor union representing employees to be affected by it. The Labor and Employment Department ruled that the planned spin-off was legal, but the decision remained on appeal.

Making matters worse, the rest of PAL’s workers have also decided to act up.

Poaching by other airlines

Last month’s high-profile resignation of 27 pilots, who reportedly left for higher-paying jobs abroad, forced PAL to cancel several flights, affecting over 5,000 passengers. PAL said it was a simple issue of poaching by other airlines.

But the pilots contented the resignations were prompted by PAL’s plan to move its airmen to sister company Air Philippines where salaries are lower.

At the same time, the company’s flight attendants have also threatened to go on strike if PAL does not change a policy that requires cabin crew to retire by the age of 40.

Despite its many problems, Bautista said that everything is being done to ensure that the flag carrier would remain a constant figure in the country’s skies.

“We have to save this airline and continue the mission to provide safe and reliable services to the riding public," he said.

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Cebu Pacific, SEAir unfurl fleet expansion

PHILIPPINE budget airlines are upbeat about the industry as they plan to acquire more aircraft.

Candice Iyog, Cebu Pacific vice president for marketing and distribution told The Manila Times that her company plans to double its business over the next five years with firm order for 22 more brand-new aircraft, the first four of which would be delivered from October 2010 to January 2011. Iyog said the other 18 aircraft are scheduled for delivery until 2014.

“Because of this, we will grow the domestic travel market at roughly 15 percent over the next five years, and we expect even stronger growth (up to
25 percent) in the short haul international market. This kind of growth is expected to continue in the coming years,” Iyog said.

In 2008 and 2009, Cebu Pacific’s business grew by 31.1 percent and 18.4 percent, respectively.

In the first six months of the year, the Gokongwei-led airline’s net income amounted to P3.09 million, up by 55.6 percent from the P1.99 billion in the same period last year.

Cebu Pacific’s revenues reached P14.91 billion, a 30.9 percent increase over last year’s P11.39 billion brought about by an increase in number of passengers mainly as a result of additional flights in 2010.

Another budget carrier, Southeast Asian Airlines (SEAIR) is also set to acquire two Airbus A320 to expand its capacity, allowing it to fly to regional destinations.

Carmelo Arcilla, executive director of Civil Aeronautics Board said the board approved the Seair’s lease of two Airbus A320 to Tiger Airways.

“In 2008 we already approved the lease of two Airbus from Tiger Airways but because of the global slump the program was shelved. They’re reviving it now because the market is growing and many of our airlines are looking at expanding,” Arcilla said.

Avelino Zapanta, SEAIR president and chief executive had said that the new aircraft will be used to fly the Singapore and Macau routes from Clark.
At present, the airline has 11 aircraft, of which four are Dornier 328s and seven Let 410 UVP-Es.

SEAIR flies 18 routes including tourist destinations such as Caticlan (Boracay) and Cebu in the Visayas; Clark in Northern Luzon; Busuanga, Cuyo, El Nido,
Puerto Princesa and Rodriguez in Palawan Province; and Camiguin, Cotobato, Zamboanga, Jolo, Tawi-Tawi in Mindanao.

Air Philippine Express earlier announced its direct flights from Manila to Singapore on October 27.

“We are expanding our network regionally to offer our passengers more options at our affordable prices. That, with our customer-centric focus, will be the theme for our expansion into Asia,” Bettina de Vera, Airphil Express corporate communications manager said.

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Monday, August 23, 2010

Competition on Flights from Korea to the Philippines Heats Up

Competition for air routes connecting Korea and the Philippines is heating up. Currently only the two flag carriers Korean Air and Asiana Airlines are flying from Incheon and Busan to four cities in the Philippines -- Manila, Clark, Cebu and Kalibo. But by January next year, domestic and foreign budget airlines will open new routes or increase the number of flights.

Jeju Air plans to fly Incheon-Manila five times a week from October, and Jin Air is working on an Incheon-Clark route five times a week starting in October or November. Air Busan is also reportedly mulling a service to the islands from Busan, to be launched in December.

In the Philippines, meanwhile, Zest Air began operating a Kalibo-Incheon service in December, which flies four times a week, and an Cebu-Incheon route in July, also four times a week. Cebu Pacific is considering increasing the Manila-Incheon route from seven times a week to 14 in January.

The reason for the sudden increase is permission from the Ministry of Land, Transport and Maritime Affairs last month for Filipino budget airlines to fly Korea's aerial routes.

Korea and the Philippines have not signed an Open Skies Agreement that allows the carriers of both sides to fly unlimited routes unlimited times in each others' aerial domains. Instead, they negotiate once a year to distribute licenses.

The Philippines is one of the favorite destinations for Korean tourists and therefore a treasure trove for airliners. A Jin Air staffer said, "For a budget airliner, traditional tourist destinations are more profitable than business destinations. Because the Philippines is just four hours away from Korea, many budget airlines had been working very hard to get the license to fly." 

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Competition on Flights from Korea to the Philippines Heats Up

Competition for air routes connecting Korea and the Philippines is heating up. Currently only the two flag carriers Korean Air and Asiana Airlines are flying from Incheon and Busan to four cities in the Philippines -- Manila, Clark, Cebu and Kalibo. But by January next year, domestic and foreign budget airlines will open new routes or increase the number of flights.

Jeju Air plans to fly Incheon-Manila five times a week from October, and Jin Air is working on an Incheon-Clark route five times a week starting in October or November. Air Busan is also reportedly mulling a service to the islands from Busan, to be launched in December.

In the Philippines, meanwhile, Zest Air began operating a Kalibo-Incheon service in December, which flies four times a week, and an Cebu-Incheon route in July, also four times a week. Cebu Pacific is considering increasing the Manila-Incheon route from seven times a week to 14 in January.

The reason for the sudden increase is permission from the Ministry of Land, Transport and Maritime Affairs last month for Filipino budget airlines to fly Korea's aerial routes.

Korea and the Philippines have not signed an Open Skies Agreement that allows the carriers of both sides to fly unlimited routes unlimited times in each others' aerial domains. Instead, they negotiate once a year to distribute licenses.

The Philippines is one of the favorite destinations for Korean tourists and therefore a treasure trove for airliners. A Jin Air staffer said, "For a budget airliner, traditional tourist destinations are more profitable than business destinations. Because the Philippines is just four hours away from Korea, many budget airlines had been working very hard to get the license to fly." 

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Friday, August 20, 2010

Pacific Flyer CS-TEI Spotted in Lisbon on 16th AUgust 2010

The Aircraft that was recently used to operate the Pacific Flyer route from Palau to Clark was rumored to have gone to KL to operate charters Clark-KL three times weekly was spotted in Lisbon on August 16th 2010

The operators of the airline have allegedly left massive debt in the Philippines!



CS-TEI Taxiing at Lisbon Airport on Aug 16th 2010

The question is, was it relocated to prevent any legal action by those owed money in the Philippines by Pacific Flyer???

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Don’t be hasty on "open skies," Philippine government urged

Embattled Philippine Airlines (PAL) warned the Aquino administration against a hasty liberalization of air rights—known as an “open skies” policy—which it said the country’s current infrastructure may not be able to handle.

In a statement, PAL said it welcomed President Benigno Aquino III’s calls for the airline’s management to resolve issues with its workers to avoid a workers’ strike that could cripple the company’s operations.

The President said the other day that if the labor situation at the airline were to result in a disruption of PAL’s services, the government might be forced to let other domestic and even foreign airlines fly its routes.

The government has been studying the possibility of implementing a partial open-skies policy as the dispute between PAL management and labor groups has worsened.

Open skies calls for the liberalization of rules and regulations on international aviation, most especially commercial aviation.

But PAL president and chief operating officer Jaime J. Bautista warned that adopting an open skies regime should be studied more carefully.

Fair open skies

“Let’s make it clear: PAL is not against open skies. We just want it to be fair, reciprocal and its implementation should be phased-in and calibrated,” Bautista said in a statement.

He said the adoption of open skies “should be viewed in the context of available infrastructure,” citing Manila’s congested runways and overburdened terminals.

He also warned that allowing foreign companies to pick up the slack for PAL would give the country a “negative image as a tourist destination.”

The government said an open or partial open skies regime would ensure that in case PAL’s operations are suddenly paralyzed by a strike, there will be other airlines willing to take up the slack.

Mr. Aquino said while the interests of both PAL and its workers are important, the interest of the riding public would still come first.

ASEAN accord

The ASEAN countries earlier signed the Multilateral Agreement on Air Services which allows unlimited capacity or frequencies between capital cities in ASEAN.

The Philippines is a signatory to the ASEAN Multilateral Agreement on Air Services liberalizing aviation services among the 10 member-states of the Association of Southeast Asian Nations (ASEAN) which was signed last May. But the agreement covers major airports only.

PAL is coping with labor disputes in all parts of its workforce. The company’s 1,600 flight attendants are protesting over a policy that forces them to retire at the age of 40. PAL’s ground crew are opposing a company plan to outsource 2,600 jobs to cut costs. Both groups have threatened to go on strike.

In its statement, PAL said it understood its workers’ demands but that the airline’s capacity to pay and meet those demands must also be taken into consideration.

In a separate statement, the Travel Cooperative of the Philippines (TCP)—a group of small travel agencies—echoed PAL’s warnings, saying that an open skies regime would tarnish the image of PAL and the entire country.

“The government should support PAL and not act like they are operating PAL. It should leave PAL to work with its airline partners and implement its contingency measures in case a strike will happen,” said TCP chair Robert Lim Joseph.

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Autogyro record attempt flight around the world, lands close to Clark Air Base

Welcome to Gyro Goes Global 2010 - an autogyro record attempt flight around the world


Piloted by Norman Surplus,  the autogyro will cross 26 countries, flying over 27,000 miles / 43,000 kilometers, crossing deserts, mountains and oceans. Expected to take four months.

Blog: http://gyroxgoesglobal.blogspot.com/
Web Site: http://www.gyroxgoesglobal.com/

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Lawmaker seeks ‘pocket open skies policy’

A lawmaker is seeking liberalized aviation rules to spur tourism a day after President Benigno Aquino III broached the idea of a “partial open sky policy” if the troubled Philippine Airlines would be hit by a strike.

Valenzuela Representative Rex Gatchalian filed House Bill 1601 promoting a “pocket open-skies policy” in the country.

Gatchalian said his bill will open only the secondary gateways to foreign airlines, but will not include the three international and domestic airports in Manila.

“With 98 percent of the country’s visitor arrivals and 70 percent of the country’s exports are moved by air, a rational air transport liberalization strategy would support the vision of the government to promote the country as a tourism, investments and logistics hub,” he said in the bill’s explanatory note.

Opening up the country’s skies will also develop maximum air access to all secondary gateways, however, cabotage rights is not allowed under his bill.

Cabotage traffic rights is defined in the bill as “the right of an airline to carry traffic between two points within the territory of the Philippines on a route that does not originate, make a stopover or terminate outside the said territory.”

The President had said that the Palace was looking into the implementation of a partial open skies policy done during the late ‘90s if the Philippine Airlines (PAL) will be hit by labor strike.

The country’s flag carrier is beset anew with labor problems after talks between the management and the airline’s union failed.

Aquino has revealed that preliminary talks are ongoing between the Departments of Transportation and Communications as well as Tourism and other airlines that could “take up the slot” of PAL.

But Gatchalian said the benefits of an open-skies policy “goes beyond the current PAL crisis.”

“We need this bill because it’s about time that we liberalize our air space to spur growth in tourism arrivals,” he said in a text message. “It is a bill that will make us competitive in the tourism field.”

Under the bill, the Civil Aeronautics Board (CAB) is mandated to process all applications for air transportation involving any secondary gateway.

“Any domestic route within the territory of the Philippines may, as far as practicable, be operated by at least two domestic air carriers offering scheduled services. The CAB may authorize chartered flights and non-scheduled services to promote the expansion of domestic air traffic,” it said.

The bill also urges the government to create an environment “conducive to open and fair market competition among air carriers operating in the Philippines.” It said that subsidies, VAT exemptions, and other privileges should equally be granted or availed of by all major players in the industry.

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Thursday, August 19, 2010

Royal Bruneai Airlines Unfazed By Low Cost Airlines

The Philippine's second low-cost carrier, Cebu Pacific Air, will touchdown at the Brunei International Airport for the first time this Sunday, August 22.

The second low-cost airline to fly to Brunei after AirAsia will arrive in Brunei Darussalam at approximately 2am with a full flight of 156 passengers.

This will be followed by the inaugural departure of the Brunei-Manila flight at 2.25am.

According to Blessie Cruz, Manager of Advertising and Promotion at Cebu Air Inc, as of yesterday, 145 passengers are already booked on the departing flight.

Slated for only twice weekly, there are no immediate plans to increase the frequency of its flights.

"We still have to see if the route is profitable before we can increase the frequency," Cruz told the Bulletin.

Brunei is Cebu Pacific's 15th international destination and is the third largest low-cost carrier in Asia, garnering a 91.8 per cent on-time performance in the first quarter of 2010.
According to the Philippine Embassy's Charge d'Affaires, Celeste Vinzon-Balatbat, Cebu Pacific's operation in Brunei is a significant milestone in the Brunei-Philippines bilateral relations.

"Our cooperation in air services has the potential to promote the two-way flow of people, trade, investment and tourism," he said.

As of today, Brunei has a total of four airlines flying in and out of the country including AirAsia, Malaysia's own low-cost airline, Singapore Airlines and Brunei's own national carrier, Royal Brunei Airlines (RBA).

AirAsia recently received authorisation to double its service to Kuala Lumpur starting from August 25. It was also reported that Indonesia AirAsia is keen to fly the Brunei-Jakarta sector.

Meanwhile, RBA is seemingly unfazed and remains optimistic despite the influx of low-cost airlines into the country.

"Cebu Pacific itself is a budget airline which caters to a different market. However, we welcome other airlines into Brunei as it allows Brunei to become a bigger commercial hub," RBA's Executive Vice President of Commercial & Planning, Riaz Moiz, told the Bulletin.

"We are a lifestyle company, providing more than just point-to-point transport services," he added.

Moreover, RBA's recent acquisition of a fleet of Boeing 777s and new fare strategies has also had a positive impact on the airlines' reputation.

"In addition to the higher passenger capacity, the 777 aircraft is a newer and improved product offering and this will enable RBA to grow its revenue and passenger base by being able to compete more effectively hi the marketplace," said Moiz.

Meanwhile, one low-fare airline that is not jumping on the bandwagon despite being awarded traffic rights by Brunei's Department of Civil Aviation in 2006 is Tiger Airways.

According to a Tiger Airways spokesperson, the airline currently has no plans to fly to Brunei, but will continue evaluating it among other possibilities.

"As part of its successful low-cost business model, Tiger Airways focuses on the profitability of each route, and will add or withdraw routes accordingly," Charles Sng, head of communications at Tiger Airways said.

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Philippine Customs seizes shabu haul at NAIA-2

Philippine Customs agents seized 14 kilos of methamphetamine hydrochloride, more commonly known as shabu, at the Ninoy Aquino International Airport terminal 2.

Authorities first seized 7 packets of shabu from Malaysian national Teoh Chee Keong, 41, a businessman and passenger of Philippine Airlines flight PR733 from Bangkok.

Customs examiner Beth Pableo said she ordered a thorough inspection of the Malaysian's trolley bag after noticing that it was unusually heavy. She said the shabu was found inside a secret compartment at the bottom of Teoh's bag.

Maj. Mariano Biteng of the Customs narcotics interdiction unit also found more shabu from a trolley bag of Malaysian national Richard Oh. He said the Malaysian had already left the airport, leaving his bag behind.

The bureau said the 14 kilos of narcotics have an estimated street value of P80 million.

The Philippine Drug Enforcement Agency said it is now reviewing CCTV footage at the airport to identify Oh.

http://www.abs-cbnnews.com/sites/default/files/a_images/topics/others/shabumalaysian.jpg

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RP to pursue air talks with China, Hong Kong and Indonesia

THE PHILIPPINES will push through with air talks with other Asian countries as the air panel convenes this month, according to an official of the Civil Aeronautics Board (CAB).

Carmelo L. Arcilla, CAB executive director, told BusinessWorld in a phone interview yesterday that the panel targets to close the deal with China, Hong Kong and Indonesia. To date, he said the Philippines has 10,000 seats per week for each of these countries.

"The panel has to decide first how many more seats per flight we would negotiate to have," Mr. Arcilla said.

The country’s air panel is composed of the Department of Foreign Affairs, the Department of Trade and Industry, the Department of Transportation and Communications, the Department of Tourism and local airline representatives.

Meanwhile, Mr. Arcilla said that CAB awarded Singapore entitlements last week to Philippine Airlines (PAL), Cebu Pacific, Zest Air and Air Philippines Corp. The flag carrier got 700 seat entitlements or four weekly flights. From 28 flights per week, PAL now has 32 flights a week to Singapore.

Cebu Pacific Air, which flies to Singapore 25 times a week, got 908 seats or six more flights a week. The budget carrier can now field 32 flights per week to Singapore.

Airphil Express and Zest Air (formerly Asian Spirit) can now mount daily flights to Singapore after the CAB awarded each of them seat entitlements.

Mr. Arcilla said the country’s amended air services agreement with Singapore last May produced 2,647 weekly seats for PAL to use for Manila-Singapore flights. Since the start of the year the Philippine air panel has inked air pacts with Bahrain and Turkey.

Moreover, he said the CAB will also amend existing agreements with the European Union members such as Italy and Germany.

"Even the local carriers have been banned to fly to the countries in Europe, we still have to amend our existing deals with them. They are actually requiring us to amend the agreement to a community designation deal," he said.

Mr. Arcilla said that in a community designation agreement, European countries such as the UK can designate an airline from the Netherlands to operate in the Philippines.

"The amended agreement will give the flexibility to designate an airline to invest and operate in the Philippines. It would translate to more carriers operating here," he said.

To date, he said the CAB has sealed the amended deal with Spain, the Netherlands, the UK, Finland and Turkey for the past two years.

Due to failure to comply with international safety standard assessments by the International Civil Aviation Organization, the European Union has blocked Philippine carriers from flying to its 27 member countries. PAL is the only local airline registered to fly to the European Union. Its last commercial flight there was in 1999.

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RP to pursue air talks with China, Hong Kong and Indonesia

THE PHILIPPINES will push through with air talks with other Asian countries as the air panel convenes this month, according to an official of the Civil Aeronautics Board (CAB).

Carmelo L. Arcilla, CAB executive director, told BusinessWorld in a phone interview yesterday that the panel targets to close the deal with China, Hong Kong and Indonesia. To date, he said the Philippines has 10,000 seats per week for each of these countries.

"The panel has to decide first how many more seats per flight we would negotiate to have," Mr. Arcilla said.

The country’s air panel is composed of the Department of Foreign Affairs, the Department of Trade and Industry, the Department of Transportation and Communications, the Department of Tourism and local airline representatives.

Meanwhile, Mr. Arcilla said that CAB awarded Singapore entitlements last week to Philippine Airlines (PAL), Cebu Pacific, Zest Air and Air Philippines Corp. The flag carrier got 700 seat entitlements or four weekly flights. From 28 flights per week, PAL now has 32 flights a week to Singapore.

Cebu Pacific Air, which flies to Singapore 25 times a week, got 908 seats or six more flights a week. The budget carrier can now field 32 flights per week to Singapore.

Airphil Express and Zest Air (formerly Asian Spirit) can now mount daily flights to Singapore after the CAB awarded each of them seat entitlements.

Mr. Arcilla said the country’s amended air services agreement with Singapore last May produced 2,647 weekly seats for PAL to use for Manila-Singapore flights. Since the start of the year the Philippine air panel has inked air pacts with Bahrain and Turkey.

Moreover, he said the CAB will also amend existing agreements with the European Union members such as Italy and Germany.

"Even the local carriers have been banned to fly to the countries in Europe, we still have to amend our existing deals with them. They are actually requiring us to amend the agreement to a community designation deal," he said.

Mr. Arcilla said that in a community designation agreement, European countries such as the UK can designate an airline from the Netherlands to operate in the Philippines.

"The amended agreement will give the flexibility to designate an airline to invest and operate in the Philippines. It would translate to more carriers operating here," he said.

To date, he said the CAB has sealed the amended deal with Spain, the Netherlands, the UK, Finland and Turkey for the past two years.

Due to failure to comply with international safety standard assessments by the International Civil Aviation Organization, the European Union has blocked Philippine carriers from flying to its 27 member countries. PAL is the only local airline registered to fly to the European Union. Its last commercial flight there was in 1999.

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IndiGo to only fly to short-haul global destinations. including the Philippines

IndiGo, India’s largest low-cost carrier, will only fly to short-haul international destinations, within three-four hours flying range.“We will fly to destinations with a flying distance of three to four hours and not more than that. We do not plan to go long haul, as we have enough fish to fry in the short-haul routes,” said Rahul Bhatia, group managing director, InterGlobe Enterprises, the parent company of IndiGo.

Short-haul destinations may include countries in the Saarc (South Asian Association for Regional Cooperation) and Asean (the Association of Southeast Asian Nations) regions, West Asia and China.Afghanistan, Bangladesh, Bhutan, the Maldives, Nepal, Pakistan, Sri Lanka and India are members of Saarc, while Asean inlcudes Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.

IndiGo will be eligible to fly international from next August, when it completes five years of flying in the domestic skies.

The Gurgaon-based carrier has a fleet of 28 Airbus A320 aircraft and operates 188 daily flights, connecting 22 destinations across the country. It enjoys a market share of 16.9 per cent. IndiGo, which had ordered 100 aircraft in 2005, has already received the delivery of 28 aircraft and will have seven more by the end of this calendar year.

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Officials: Manila's NAIA Airport new navigation equipment ready in 1–2 days

After having it tested last weekend, the Manila International Airport Authority expects the new instrument landing system (ILS) of the Ninoy Aquino International Airport to be fully operational this weekend.

MIAA General Manager Jose Angel Honrado hinted in a radio interview Wednesday the calibrated ILS may be operational in "one to two days."

“Yung ILS natin ay tapos na ang flight check, so certification ang kailangan natin. Siguro one to two more days operational na ito, magkakaroon ng advice sa airlines na operational ang instrument landing system," Honrado said in an interview on dzRH radio.

(Flight checks for our ILS have been completed, so all we need is a certification. In one to two more days, it will be operational and we will advise airlines accordingly).

On the other hand, he said it is now up to the Civil Aviation Authority of the Philippines (CAAP) to inspect other navigational instruments at the NAIA.

Last July, the NAIA was forced to divert several flights after haze covered the area around the airport.

The poor visibility last July 3, and the lack of some electronic instruments, forced the NAIA to divert at least 22 flights – four international and 18 domestic – to the Diosdado Macapagal International Airport in Clark Field Pampanga, Mactan International Airport in Cebu and to Iloilo.

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Fourteen New Airstrips Planned for Eastern Indonesia, some to service the Philippines

The Indonesian Government will offer construction projects of 14 new airports in eastern parts of Indonesia including restoration works for over a hundred airports next year that will be open for private contarctor as well.

Transport Minister Freddy Numberi said today (18/8) after the presidential speech on annual budget projection for next year the government appropriate Rp198 billion for the new airports for small planes.

Public Cmmunication Chief of the Transport Minister Bambang Ervan said the 14 areas are Eastern Seram (Maluku), Bone (Sulawesi), Enggano (Bengkulu), Muara Bungo (Jambi), Muara Teweh (Central Kalimantan), Morowali Central Sulawesi), Saumlaki Baru (Maluku), Sinak Baru (Papua), Tojo Una-Una (Cenral Sulawesi), Tual Baru Maluku, Wagete Baru (Papua), Waisai Raja Ampat (Papua), Nam Niwel, and Sumarorong (West Sulawesi).

The plan include restoration for 118 airports including expansion at five major airports Soekarno-Hatta (Jakarta), Djuanda (Surabaya), Polonia (Medan), Ngurah Rai (Bali), and Hasanuddin (Makassar).

Freddy also added that Manado's Sam Ratulangi Airport in South Sulawesi is part of the plan which is expected to serve direct flights to the Philippines. In Bali he said there were plans to increase the number of airport to support the over-capacity Ngurah Rai Airport.

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Cash-strapped Philippine gov't eyes investors to build airports

The cash-strapped Philippine government  said on Wednesday it will call on the private sector to help build up to 6 airport terminals as it bids to boost the country's finances through increased tourism.

With the government needing to create jobs to ease widespread poverty while faced with a huge budget deficit for at least the next 2 years, tourism could become a key economic driver, Finance Secretary Cesar Purisima said.

"This is one of the low-hanging opportunities that's almost there, except we need to build the infrastructure so tourists can get to tourist attractions and we can become a major tourist market," he told reporters.

Tourism Secretary Alberto Lim said the government could attract businesses using "build-operate-transfer" -- where a private group builds infrastructure, operates it for profit for a period and then transfers ownership to government.

He said the government was aiming to double the number of annual tourist arrivals to 6  million by 2016.

"We have identified six primary hubs," Lim said, naming the central island of Bohol as one area that needed a bigger airport to handle surging visitor traffic.

"The government can build the horizontal (runway and access roads), the private sector can build the vertical (passenger terminals)," he added.

Bohol and the five other planned hubs would funnel traffic from the main gateways of Manila and Cebu into the main tourist zones, he added.

The Philippines expects its budget deficit for the full year to hit P293 billion ($6.50 billion), equivalent to 3.9%  of gross domestic product.

Trade Secretary Gregory Domingo said the new Aquino administration's 6-year development program was anchored on its ability to mobilise private-sector investment.

"Given scarce government resources, it is private sector investment that will provide the growth and jobs needed in our economy," Domingo added.

"We need to improve our competitiveness. We need to make the investment climate more predictable," he added.

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Concern aired over illegal aviation schools

Senator Ramon Bong Revilla Jr. expressed concern on the existence of fly-by-night aviation schools in the country as he said that it might affect further the Philippines’ category in international aviation organizations.

Revilla, chairman of Senate Committee on Public Services, directed the Civil Aviation of the Philippines (CAP) to strictly monitor the operation of 58 flying schools and to regularly conduct audits to ensure that they are complying with the International Civil Aviation Organization (ICAO) requirements.

The order was issued after Capt. Manuel Velasco, one of the CAP inspectors, confirmed that there are some aviation schools which violated the ICAO regulations in facilitating licenses for its students.

“We are trying so hard to regain category 1 status by improving our airport facilities, but we will still fail if the pilots we are producing are poorly trained,” the senator stated.

In an initial investigation conducted by the aviation agency, four flying schools — Strike Wing Aviation Training Center, National Aviation Specialist Academy, Aviation Link and Manila Aviation — were suspended because they failed to meet ICAO standards.

The CAP is also investigating some unscrupulous flying schools that allow its students to graduate for a hefty amount without meeting the required 200 hours for commercial flights.

According to CAP head Alfonso Cusi, Japan has stopped sending students here because of the alleged corrupt practices of some flying schools and training centers.

Revilla said the Philippines has so much potential in the aviation industry.

The senator noted that the global recession works to our advantage as more foreign students, especially from China, Nepal, India and the Middle East, choose to train here.

“We are able to produce fine pilots. It is in fact proven because international airlines have been pirating our pilots. We have the cheapest training schools here,” he said.

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Wednesday, August 18, 2010

Philippine Government considering open skies policy to address PAL labor crisis

President Benigno Aquino III is considering liberalizing the rules for international aviation markets by minimizing government intervention.

Aquino told reporters today that the government is studying the implementation of the open skies policy, which will allow more flights to enter the country and abolish the pre-set flight limit currently imposed.

"Having a total open skies policy or a partial open skies policy which was done somewhere in the late 1990s is already being studied," Aquino said.

Aquino did not provide more details but cited the benefits of having an open skies policy. In Indonesia for instance, tourist arrival ballooned to three million from just 30,000 visitors, he said.

In the Philippines, tourist arrival has reached three million and the government is projecting to double the figure in two years.

The statement however came at a time when the Philippines' flag carrier Philippine Airlines (PAL) is being hounded by labor issues that forced it to cancel a number of its flights earlier due to lack of pilots.

PAL's senior pilots have moved to international airlines where the pay is higher.

Meanwhile, its 1,600-cabin crew members is threatening to go on strike as negotiation between crew and the management over various labor-related issues have reached a deadlock.

Aquino is urging both the PAL management and the Flight Attendants and Stewards Association of the Philippines to address their differences, noting that PAL is engaged in a business that involves the national interest.

PAL is among the two biggest airlines in the Philippines and is the oldest in Asia.

"I recognize that perhaps both sides have issues. But at the same time, the primary issue that I will have to side with is the interest of the riding (public), the bigger population of our country," he said in a press conference.

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Malaysian consortium keen to undertake airport project in the Philippines

A Malaysian consortium, BriSteel Overseas Ventures Inc, has expressed interest to undertake a project to enlarge the Diosdado Macapagal International Airport Terminal 2 (DMIAT2) in the Clark Free Port Zone in the Province of Pampanga, Philippines.

A high-level delegation from BOV led by its managing director William Chee met with senior Philippine government leaders, including Vice-President Jejomar C Binay and Executive Secretary Jojo Ochoa, recently to officially register the company's readiness to carry out the project.

Chee said the consortium consisting of a group of major government-linked and private firms, is ready to invest some US$150 million for the project.

Under the proposed DMIAT2 expansion, the capacity of the airport will be increased to seven million passengers per annum.

"BOV is committed to assist the Philippines in developing the DMIAT2 as an alternative, premier international gateway to the Philippines," he said, adding that the Philippine authorities were very receptive to the proposal submitted by BOV.

A special briefing on the proposed project was also conducted by BOV in collaboration with the Pampanga Media Group at Clark for local business communities.

Officiating at the briefing, Malaysian Ambassador to the Philippines Datuk Seri Dr Ibrahim Saad said BOV's interest to undertake the project was testimony of the existing cordial ties between Malaysia and the Philippines.

Ibrahim said the Malaysian consortium consisted of government-owned and linked corporations and private firms, experienced in developing and operating airports in Asean countries, the Middle East and India.

He assured that all foreign projects implemented by private firms from Malaysia are closely monitored by the Malaysian government.

Mabalacat Mayor and Metro Clark Advisory Council chairman Morino Morales welcomed the BOV's proposal, saying that the development of DMIA will boost the local economy enormously.

He said that considering the presence of the Subic Clark Tarlac Expressway, Clark Airport and other infrastructure projects the town will develop into a bustling city like Makati.

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Tuesday, August 17, 2010

Private Planes Flying Illegally in China's Airspace

A Interesting Read ..

On a recent summer's evening, a shimmering metallic object appeared in the skies above the city of Hangzhou in eastern China. Gliding across the dusky sky, the craft startled locals and frightened air-traffic controllers, who promptly closed Hangzhou's busy airport and locked down the city's airspace for more than an hour. News of the Hangzhou UFO even made the national news.

But when amateur pictures of the craft were splashed across Chinese newspapers the following morning, experts quickly determined that Hangzhou was not under threat of an imminent alien invasion. Rather, the flying object was identified as most likely being another example of an increasingly common nuisance in China's airspace: off-the-grid, short-hop flights by local private-plane owners. China's airspace is tightly controlled by the government, and access for any crafts other than commercial or military aircraft is strictly limited. But as planes and helicopters become the new playthings of China's wealthy elite, private-plane owners are agitating for more freedom to fly, and hei fei, or black flights, are becoming a headache for the nation's air-traffic controllers.

It was not until 2003, when the General Aviation Flight Control Ordinance was issued, that Chinese individuals and private companies were even allowed to own private aircraft. China now has about 200 aircraft in private hands, according to some estimates - impossibly low when compared to the U.S., where the General Aviation Manufacturers Association estimates that there are some 231,000 privately owned airplanes. How many of China's private fleet are airborne on a regular basis remains unclear. Currently, private-aircraft owners need to jump through a myriad of regulatory hoops if they want to fly their planes or helicopters. Would-be flyers need to apply to several different local and national ministries and departments to get the appropriate licenses and must submit detailed flight plans to the local air-traffic-control department at least seven working days in advance.

Rather than wade through this bureaucratic minefield, some simply choose to fly "off the grid" and not submit flight plans or check in with nearby air-traffic controllers before taking off. Though it's illegal, flying under the radar has a distinct advantage: according to China's civil-aviation laws, the fine for illegal flying is 10,000 to 100,000 renminbi, while an application for official flight-path approval can cost anywhere from 50,000 100,000 renminbi. Many choose to simply pay the fine, but their flights can cause pandemonium when the planes crop up on airport radar screens. In April, some flights into Shanghai were briefly diverted to other nearby cities when an unregistered helicopter strayed into the city's airspace.

In a country that had 1,900 billionaires last year, aircraft makers and sellers are betting on private flying taking off. This week at Shanghai's Hongqiao Airport, the country's first Jet Expo gets under way, showcasing 10 private jets worth a total of 1 billion renminbi. "There are two kinds of people who come to our exhibition - people who are fond of flying, and very wealthy men," says Wei Gong, the director of the Asia-Pacific area of Celink Limited, the organizer of the Jet Expo. "We have a cocktail party in the evening where we've invited 80 people with a net worth of more than $50 million to attend." (See 20 reasons to hate the airlines.)

But as the market grows, so does pressure to relax regulations on private flights, and there are signs that the government is starting to respond. Owners of larger jet planes, for example, need only submit their flight plan 24 hours in advance - as opposed to weeks in advance for smaller craft like single-engine planes. In Guangdong province and certain areas of the northeast, local governments have allowed single-engine planes to fly at low altitudes. Analysts - and people in the aviation business - believe that such test schemes presage a larger-scale opening of airspace sooner rather than later. "[Restrictions on airspace] have very little impact on our business, because everybody sees that the government is trying to loosen their control over the airspace," Gong says. He's advising potential customers to buy now so that they'll be ready when the regulations are relaxed. "It takes at least half a year from the time you order your plane to delivery. So maybe in six months, the policy will be changed already, and private planes can fly without too much hassle."

Plane owners in the meantime are working to improve their image as wealthy flyboys who ignore the rules. In July, Liu Boquan, a prominent hotel owner in Dongguan, garnered plenty of praise - and plenty of headlines - when he took to the skies in his helicopter to apprehend a band of thieves. The bandits had apparently made off with his Porsche, but Liu was able to track them from his chopper, cornering them at a nearby fish farm - where, in a Bond-esque plot twist, one made a getaway and Liu took to his speedboat to round him up. Using his helicopter may have been a hei fei, but even the local government had to acknowledge that Liu's illegal flight was not without benefit. He was later given an award for outstanding behavior for his role in capturing the thieves.

From: http://news.yahoo.com/s/time/20100817/wl_time/08599201092000

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Tiger Airways to Fly to Manila

Low cost carrier Tiger Airways has been awarded rights to serve Manila's Ninoy Aquino International Airport from Singapore.

Daily flights for the new Singapore-Manila route will begin from October 31.

An additional 5 flights per week will start from December 1.

This is in addition to Tiger's current 9 weekly flights to Clark's Diosdado Macapagal International Airport.

While both airports serve the metropolis of Manila, Ninoy also serves as a major gateway to the rest of the Philippines.

Tiger Airways Singapore Managing Director Rosalynn Tay said the budget carrier is looking forward to working closely with TripleStar Travel and Tours, its newly-appointed General Sales Agent for the Philippines.

To celebrate the introduction of this new destination, Tiger Airways is offering promotional fares from S$55 plus taxes, from now till August 25.

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Cebu Pacific on track with expansion plans

* Cebu Pacific expects to carry 10 million passengers in 2010

* Cebu Pacific says PAL's disruption is manageable

* Airline doubling its fleet capacity in 4 years

* Gokongwei favors open skies, sees more growth in local and foreign travel

MANILA, Philippines - Cebu Air Inc., operator of budget carrier Cebu Pacific is pursuing its expansion in Asia amid expectations of sustained growth in both local and international travel.

In an exclusive interview with ANC's Business Nightly, Cebu Pacific President and CEO Lance Gokongwei said prospects for the local airline industry are good, despite several concerns plaguing domestic carriers.

"The Philippine airline industry has not really been a very well known success story over the last 5 years. In fact, for Cebu Pacific, in the year 2005, we carried 2 million guests. In 2010, we expect to carry 10 million guests. Contrary to a lot of bad news going around, the Philippine airline industry in fact is very buoyant."

He said that Cebu Pacific had a good year in 2009 and expects 2010 to be an even better year for the airline which now controls 50% of domestic capacity, outpacing its rival Philippine Airlines (PAL) which has a 30% share of the domestic market.

In 2009, which was perceived as a bad year for the airline sector, Cebu Pacific increased its business by 30%, it
carried from over 6 million passengers in the previous year to 8 million passengers.

"So I say the Philippine aviation industry, if we're talking about Cebu Pacific in particular, remains quite buoyant. I've been going around the country, I've talked to a lot of the inn keepers, and resort keepers, and I would say domestic tourism is very buoyant. I think inward tourism in particular - Taiwan, Korea, China, that is buoyant as well."

Gokongwei said that Cebu Pacific is investing very heavily in its capacity and expects to double its capacity in the next 4 years.

Cebu Air earlier said it will spend P4.9 billion on fleet expansion to increase the company’s domestic and overseas destinations. By the end of 2014, Cebu Pacific’s fleet size would have grown to 51—composed of 10 Airbus A319s, 33 Airbus A320s and eight ATRs from only 29 aircraft.

Gokongwei said that in the next 4 months, Cebu Pacific will be adding 20% of its capacity in the Philippines, which means an additional 2 million seats annually.

"That shows our belief that this industry will continue to grow, notwithstanding these issues facing the Philippines with regards to the significant safety concerns raised by the European blacklist and the US Federal Aviation Authority."

Safety issues

Despite healthy prospects, local airlines are beset with safety issues that if neglected, will limit the industry's growth, said Gokongwei.

Cebu Pacific wants to begin flying to Guam but it is restricted by the Category 2 rating given by the US Federal Aviation Administration. The US FAA had earlier downgraded PAL operations and put them under heightened scrutiny because of their inadequate safety standards. A Category 2 rating means Philippine carriers can continue flying to the US but only under heightened FAA surveillance.

US FAA rules also prevent airlines from the Philippines from expanding services to the United States under a Category 2 rating.

In March of this year, the European Union banned all airlines from the Philippines and Sudan from flying into the region’s airports, citing “serious safety deficiencies” found by the United Nations and US aviation authorities.

"These are very serious industry concerns. They point to the continuing need for the Philippine government to improve their regulatory authority over the entire Philippine aeronautical industry. It does affect us because anything that affects the reputation of the Philippine aviation industry does affect the country, whether directly or indirectly."

Gokongwei said the entire industry has to support the Department of Transportation and Communication and the Civil Aviation Authority of the Philippines in making sure all steps are taken to overcome these obstacles set by foreign regulatory bodies.

Open skies

Gokongwei also favors the open skies being pushed by the Association of Southeast Asian Nations (ASEAN).The ASEAN open skies pact focuses on the liberalization of air space between member countries, including the lifting of tariffs and other add-on costs.

"We are in favor of passing the ASEAN capital region open skies. In fact, Cebu Pacific wants to fly to many more routes, we want to add routes to Singapore, Kuala Lumpur, Jakarta, Bangkog, Hong Kong, China, but right now the current air rights are restricted. So we would be supportive of any efforts by the government to expand linkages to the Philippines."

He said however, that open skies should not be lopsided.

"I think one concern we do have about open skies, we want to make sure that it's not one-way open skies. That privilege granted by Philippine carriers to a foreign carrier, should likewise be given to a Philippine carrier. That's the only caveat, these air rights are natural resources and they should be for the benefit of the entire industry."

The farthest that the country has done with opening its skies was granting only the fifth- freedom rights to foreign airlines, a permission to allow non-Philippine commercial aircraft to pick up passengers and cargo only in ports of call.

Filling PAL's vacuum

The looming labor strike at Cebu Pacific's chief rival, PAL, is a short-term disruption to local and foreign travel said Gokongwei.

On the domestic market, Cebu Pacific already has 50% of the market compared to PAL's 30%, he said. But in the international market, PAL is still dominant with a hold on 30% of the local airline industry's capacity.

"So when you lose a large player like PAL, of course there's going to be a short-term disruption. But I believe that business abhors any vacuum and in a situation like that you will see private enterprises like myself trying to fill that vacuum quickly."

Aside from Cebu Pacific, other smaller airlines are waiting in the wings and will try to meet whatever the gaps in demand there are, added Gokongwei.

For its part, Cebu Pacific is already taking steps to safeguard against the very same issues PAL is grappling with, he said.

"Our philosopy is that we have to prepare for it in multiple ways. I think we start with the premise that we have to start with a competitive wage, competitive benefits. We have to recognize that a lot of attractions abroad are simply just very attractive."

Cebu Pacific he said, has already planned out its recruitment until 2012, and is making sure that it has enough skilled people and skilled pilots to fly its planes for the next few years.

"We continue to build on that pipeline through a training and recruitment. In the end it's 3 things: first is a competitive financial package, second, hopefully our people enjoy working for the company and they find it a family they want to grow old with for many years, and third, is we just have to be prepared."

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PAL flight turns back to Manila after 'hydraulic blast'

A Philippine Airlines flight with 127 passengers that was supposed to land at the Kalibo International Airport made an emergency landing in Manila on Tuesday morning after a hydraulic explosion.

Reports received by the Civil Aviation Authority of the Philippines (CAAP) said that PAL flight PR 321 was already preparing to land at the Kalibo International Airport when its pilot heard a hydraulic explosion.

The CAAP said that the pilot, instead of pushing through with the landing, turned back the aircraft and made an emergency landing at the Ninoy Aquino International Airport.

An earlier radio dzMM report said that the incident happened around 9:45 a.m.. The aircraft left Manila around 8:52 a.m.

The report said that the pilot decided to circle back to Manila after an incident of "misapproach" on the Kalibo International Airport runway.

The CAAP said that the PAL flight landed safely at the NAIA. Its 127 passengers were also safe and have been transferred to another PAL flight bound for Kalibo.

The CAAP said that investigations are ongoing to determine the cause of the hydraulic explosion.

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Philippine Navy chopper crashes off Zamboanga City

A Philippine Navy helicopter crashed at sea Tuesday while taking photos and videos off the coast of Zamboanga City in Mindanao, officials said.

Officials said three passengers were rescued from the Bolkow chopper, but its two pilots were still missing. We have rescued the three passengers and efforts are going on to find the two pilots who are still unaccounted for, said Lieutenant Hari Cunanan, a spokesman for the Philippine Navy in Mindanao.

Cunanan said those rescued  Petty officers Rodolfo Pataueg, Noel Ridad and Abdon Martinez  were taken to a military hospital. They are now in stable condition, he said.

He said the chopper was taking aerial photos and videos off Zamboanga City as part of a routine exercise when the aircraft went down. We still dont know what happened, but this will investigated, the spokesman said.

Navy divers and patrol boats were sent to the area near Santa Cruz Islands to help search for the pilots, he said.

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Pacific Flyer Grounded, aircraft reportedly went to Malaysia from Clark

Guam - Pacific Flier has suspended service for at least 6 weeks, according to an announcement on its website.

Read the announcment on the PacificFlier website

The statement reads:

Aviation Matters, Inc , doing business as PacificFlier, regrets to advise that due to continuing delays in being granted appropriate traffic rights and workable terminal access in Koror, Palau, it will suspend all flights until appropriate traffic rights and access is in place and the company is able to sell all sectors without compromise.

Services will be relaunched with new equipment as soon as regulators in all jurisdictions agree to the new aircraft fleet to be operated on their routes. Hopefully co-operation will be forthcoming with the 3 regulators involved.

This process is expected to take up to six weeks to get regulatory approval.

It is expected that all staff will be retained during this period and over the next 2 weeks all creditors’ commitments will be settled.

Passengers will be handled appropriately in this period in line with contractual requirements.

PacificFlier are confident upon the resumption of services the airline will be able to operate with reliability and quality delivery that it is thriven for but has been compromised since its March 2010 launch by matters outside its control.

Should satisfactory operating environments not be able to be negotiated PacificFlier will consider changing its route network or the level of planned rotations to some ports.

The directors believe that this short suspension to services is the only way that the airline can deliver its new world service to Micronesian communities and Asian holidaymakers.

However a report on the aviationprofessionals.org website states that Pacific Flyer has shut down because "the owners and representatives of Pacific Flyer are alleged to owe many hundreds of thousands of pesos to business located within the Clark Freeport Zone for accommodation, services, fuel" and other expenses.

Read the report on aviationprofessionals.org

Meanwhile, the blog yssyforum.net reports that "Pacific flier suffered a stumbling block in its bid to launch international flight services to the Philippines after the FAA refused to grant it a foreign air carrier's permit."

Read the yssyforum.net blog

As a result of the FAA decision, the yssy.net blog states that the Palau-based carrier, which is owned by Aviation Matters, has suspended and deferred its flight plans from Koror to Brisbane, Manila and Guam.

The blog site quotes a legal representative for the airline, Eckert Seamans as saying: "We are still waiting for the FAA's approval but unfortunately they wont be coming any time soon due to some technical and legal issues with them."

(Reprinted from - http://www.pacificnewscenter.com/index.php?option=com_content&view=article&id=7272:pacific-flyer-grounded&catid=45:guam-news&Itemid=156)

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How to choose a flight school

There are several reasons why now is a good time to write an article on what factors to consider when choosing a school for your pilot training.

The first of those reasons is perhaps the scariest. Nearly every week, a flight school in the USA (and many elsewhere in the world) goes out of business. Many of those pilot training schools that do close will not be able or willing to refund any student funds already placed on account. Just a short search of flight schools closing this year (2010) turns up schools that have closed in Texas, California, Maryland, New York, Nebraska, and Illinois. Those closings are not just small flight schools but even include well-known colleges. Closings are not just restricted to pilot schools in the USA either. Recently, there were announcements of pilot school closings in Canada and the Philippines.

Another, more positive, reason for learning more now about how to choose a good flight school is that in most countries the job prospects for commercial pilot graduates are improving.

What factors should you as a prospective student consider when choosing a flight school? Here is my list and an explanation of each.

• STABILITY.
How does a prospective student measure the stability of a school? One way might be the years in business. Only a successful business can survive the difficult first few years of operation. Flight schools that have been in operation for 10 years, 20 years or even longer demonstrate that they have the financial strength and management ability to excel not only in the good times but survive the bad ones as well.

One sign of lack of strength in the pilot training business is the possible demand of the school for the student to pay all or most of the fees upfront. Sometimes this comes with a promise of a discount for paying the complete cost of training in advance. Though in some cases this offer may be genuine, in other cases in may be a sign that the school is using the “new” money to pay for the flight training of the students who are already enrolled. A way to discover this might be to ask the recent students who have enrolled how much flight training is being provided. If those students indicate that no flight training is being done in the first month or two of training, this could be a negative indication. A good rule to follow is to never pay all of the fees in advance. Unless the flight school is in distress, they should be willing to allow a student to pay as the training progresses.

• SAFETY.
You should ask any flight school that you are considering how many accidents they have had. It is unlikely that a flight school that has been in operation for at least a few years will not have some record of at least minor incidents and/or accidents. But a flight school that has multiple serious accidents or fatalities over a short period of time should cause you to at least do further research to determine the cause of the accidents. If the accidents are the result of poor maintenance or poor instruction, you might want to consider other schools. Even accidents that appear to be due to an “act of god” like bad weather or a mid-air collision should cause the prospective student to consider whether local weather conditions or the concentration of air traffic in that area are suitable for flight training.

Since the flight school may not provide you with accurate figures on safety, and those that are provided may be suspect, you may want to verify those figures by doing your own research. Therefore, an internet search may prove fruitful. If the flight school is in the USA, you can search in several ways for possible incidents and accidents. Your first stop would normally be www.ntsb.gov. Select aviation accidents. Search by the name of the pilot school. This may or may not register the relevant accidents as the airplanes might be registered in another name. Also search for the airport where the school is based and perhaps even the state in which they are located. You can also just do a general search on the internet using the school’s name and location.

• QUALITY.
One of the more difficult to determine factors is the quality of the training provided by the school. If you are able to visit the school in advance, you should talk not only to the management but also the flight instructors and students. Any school that will not allow you to “mingle” with the students should be regarded with suspicion. Be sure that you are able to meet not only a few hand-picked students but are able to talk to several of the others not introduced by school. If necessary, find out where the students live and drop by those apartments for a casual conversation away from the school.

You may also be able to talk to one of the Pilot Examiners who tests students that graduate from the school. Find out from the school or the students which examiners are used and contact them.

The internet can also be a useful tool for finding information out about flight schools. Though a few complaints about any one school might be expected even from a good school, multiple complaints should be examined closely. One website that collects and stores not only complaints about flying schools but also good reviews as well is www.flightschool reviewer.com. Other aviation websites collect information not only about flight schools but on a variety of aviation topics including pilot jobs. Some of the websites to consider checking out include www.jetcareers.com, www.pprune.org (particularly good for views on European training), and www.airlinepilotcentral.com.

• Cost.
Many students focus all of their attention on finding the lowest price for their flight training. Rather than concentrate on cost only, it is recommended that students focus more on “value.” The cost of the flight training should be one factor in determining the value of that training. Be careful about the price of programs that appear lower than the price of most others. Some flight schools utilize safety pilot time as a means of reducing costs. But this actually reduces the amount of “hands-on”

time each student receives. If a 250 hour program has 100 hours of shared or safety pilot time, then the student will actually receive 20% less time on the flight controls than a student who actually flies those hours solo. Students should also be aware that some countries (India comes to mind first) do not allow any safety pilot time to be logged as pilot-in-command time. Even under FAA rules, safety pilot time should not be logged as cross-country flight time. Reducing the amount of pilot hours in a course may diminish the pilot’s actual ability. At the end of any training program, the goal should be not only to meet the minimum pilot hours but acquire the skills and experience needed to fly safely and to get that aviation job that you seek.

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