MANILA, Philippines - International forwarding firm Federal Express (FedEx) said yesterday it will continue operating in the Philippines until a final ruling is issued by the Supreme Court on its operations.
In a statement, FedEx said it is operating as an independent body in the Philippines under a International Freight Forwarder License issued by the Civil Aviation Board (CAB).
The license was issued on May 2, 2011 and is valid until May 1, 2016, FedEx said.
The company issued the statement in reaction to a report that the Court of Appeals (CA) had voided its permit, effectively stopping the firm’s operations in the Philippines.
The CA ruled with finality that FedEx operations in the country violate the constitutional ban on foreign ownership of firms delivering public utility services.
Pending the final decision of the Supreme Court, the CAB has confirmed that FedEx, together with all of the more than 30 other foreign-owned airfreight forwarders, can continue to operate under the license.
FedEx said it has increased its investment commitment to support economic growth in the country. It has allocated over P500 million for the construction of its new Manila and Cebu gateway facilities, Clark customer service offices, and Manila district headquarters.