PAL to settle P6-B dues to CAAP, MIAA

By , on October 6, 2017


The carrier added that it agreed to settle the claims "to manifest its trust and confidence in President Rodrigo Duterte's administration."(Photo: Philippine Airlines/ Facebook)
The carrier added that it agreed to settle the claims “to manifest its trust and confidence in President Rodrigo Duterte’s administration.”(Photo: Philippine Airlines/ Facebook)

MANILA— Flag carrier Philippine Airlines (PAL) on Friday afternoon said it will pay in full its more than PHP6 billion unpaid dues to the Civil Aviation Authority of the Philippines (CAAP) and Manila International Airport Authority (MIAA).

The decision came after months of validation and reconciliation of accounts, PAL said in a statement.

The carrier added that it agreed to settle the claims “to manifest its trust and confidence in President Rodrigo Duterte’s administration.”

Meanwhile, the Department of Transportation (DOTr) has confirmed its acceptance of PAL’s compromise offer and the airline’s commitment to ensuring that all its transactions with CAAP and MIAA are updated and current.

PAL said the Department of Transportation (DOTr) has agreed to the carrier’s offer to pay CAAP and MIAA’s claims in full.

The DOTr earlier said that it is eyeing to file charges against PAL for its unpaid navigational fees and other charges amounting more than PHP6 billion.

The department said the CAAP has PHP6.965 billion collectibles from PAL as of July 30, 2017. The local airline carrier likewise owes the MIAA PHP 322.1 million as of September 2017.

The Philippine News Agency tried to reach PAL to ask when exactly it would settle the government’s claims but it has not responded as of this posting.