Air Transport

Philippine Airlines (PAL) expects to decide in the coming months on an order for around 15 new Airbus A320s or Boeing 737-800s to replace its existing narrowbody fleet.

President and chief operating officer Jaime Bautista told Flight International at the recent Association of Asia Pacific Airlines meeting in Taipei that a type recommendation is expected from the carrier's planning department soon.

He says PAL has for months been assessing the A320 and the 737-800 as replacements for its existing A320s and 737-300/400s, most of which are on operating lease. A request for proposals was issued to Airbus and Boeing around two months ago.

The airline wants to rationalise its narrowbody fleet down to one type. It now has six 737-300s, three 737-400s and three A320s, the leases of which expire in the coming years, says Bautista. The aircraft are used on domestic routes and on some international services.

A seventh 737-300 was operated until it was recently returned to the lessor, and it has been replaced by an A320 leased from Babcock & Brown.

"This is mainly a replacement plan, so the increase in capacity is not so great," says Bautista of the planned order for 15 new aircraft. "We are looking at deliveries in about two or three years from now when the leases expire."

Bautista says PAL is, meanwhile, in talks to lease two more A320s. He will not say which company it is in talks with, although he adds that the aircraft are now in the UK and they are believed to be GE Capital Aviation Services-owned MyTravel A320s.

NICHOLAS IONIDES / TAIPEI