MANILA, Philippines - Gokongwei-owned Cebu Pacific (CEB), one of Asia’s fastest growing airlines, is open to flying to Guam if the Category 2 classification on Philippine carriers is lifted.
The United States Federal Aviation Administration downgraded the Philippine aviation rating from Category 1 to Category 2 in 2007 due to non-compliance with International Civil Aviation Organization safety standards.
“Certainly, we’re interested in flying to Guam but Category 2 should first be lifted,” said Lance Gokongwei, president and chief executive of Cebu Pacific on the sidelines of JG Summit Holdings Inc.’s annual stockholders meeting Monday.
Gokongwei, however, pointed out that Cebu Pacific would continue to grow passenger traffic in Asia with plans to fly to Brunei and Beijing in the third quarter as part of an aggressive expansion program.
It also plans to further penetrate the three North Asian markets of the People’s Republic of China, Japan and the Republic of Korea.
In the next two years, Cebu Pacific plans to launch new services to Beijing, Denpasar, Nagoya and Fukuoka.
Cebu Pacific is the country’s leading domestic airline by passengers carried with a market share of 48.7 percent as of end-December last year.
Aside from this, Cebu Pacific intends to capitalize on its consolidated terminal operations at NAIA 3, as well as Manila’s unique geographic location, to increase its share of low-cost air travel between North Asia and Southeast Asia by promoting Manila as a hub for Asia-wide low-cost air travel.
On the domestic front, Cebu Pacific plans to add new domestic destinations including Pagadian and Marinduque over the next two years. It is currently working with local airport authorities to improve and increase provincial airport capacities.
In the next five years, Cebu Pacific plans to spend $1.4 billion for the purchase of 22 new jets that will beef up the company’s fleet to 51.
Three of the new planes are scheduled to arrive this year, while another three are scheduled for 2011. Four planes will arrive in 2012, seven in 2013 and five in 2014.
The purchase will be funded with a combination of loans from foreign export credit agencies and internally-generated funds.