July 18, 2018, 6:26 pm
Facebook iconTwitter iconYouTube iconGoogle+ icon

Airline to undergo equity restructuring

Listed firm Philippine Holding Inc. unit Philippine Airlines Inc. (PAL) yesterday said it has secured the Securities and Exchange Commission’s (SEC) approval to undergo equity restructuring aimed to fully wipe out its deficit. 

In a disclosure to the Philippine Stock Exchange, PAL Holding said the certificate of approval of equity restructuring was granted last December 13. 

Following this, PAL’s additional paid-in capital of P13.642 billion will be used to fully wipe off its deficit of P13.574 billion as of December 2016. 

Last September, the company also secured SEC approval to reduce its authorized capital stock from P20 billion to P13 billion via a decrease in par value per share from P0.20 to P0.13 in preparation for the entry of new investors. 

The reduction will eliminate the deficit which accumulated due to the company’s losses prior to its recent three-year period of profitability. 

Meanwhile, PAL reported a comprehensive net loss of P3,546 billion in January to September this year, a significant downturn from the P2,961 billion comprehensive netincome reported in the same period last year.

This was due to the higher expenses on jet fuel and the weakening of the peso against the US dollar.

Revenues in the first nine months of the year reached P98.6 billion, up 15.6 percent from P85.4 billion in the same period last year.

The increase was attributable to the growth in passenger and cargo traffic as well as ancillary revenues, resulting from additional flight frequencies and introduction of new routes.
No votes yet

Column of the Day

Tearing down the house (Second of a series)

Jego Ragragio's picture
By Jego Ragragio | July 18,2018
‘The draft Federal Constitution is a clear example of tearing a house down in order to install a new door—where the new door goes into an existing door jamb. There’s barely anything new here, and the few things that are new, don’t actually need a constitutional amendment.’

Opinion of the Day

Heed this constitutional expert’s warning

Ellen Tordesillas's picture
By ELLEN TORDESILLAS | July 18, 2018
‘The critique of Gene Lacza Pilapil, assistant professor of Political Science at the University of the Philippines-Diliman, one of the resource persons, should warn us about the draft Federal Constitution produced by the Duterte-created Consultative Committee.’