RELYING ON CARGO TO ESCAPE BANKRUPTCY

By reducing the fleet size by over 20% and cutting some unprofitable routes, Philippine Airlines has successfully escaped bankruptcy within just 4 months. The airline will now focus heavily on cargo operations subsequently contributing to aid the supply chain. With centralised focus on cargo, the airlines will restore additional routes in future when passenger travel rules are relaxed. The bankruptcy filed by the airlines was under chapter 11 of the United States Bankruptcy Code which is often overcome by successful financial restructuring.

Summary by Sonalika Nigam

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