MANILA—Air Philippines, one of the country’s major domestic carriers, will commence a regular service to Ozamiz City’s newly reopened airport on July 8, 2007, becoming the first airline to fly to the Misamis Occidental capital in 12 years.

The much-awaited service will operate four times weekly, with flight 2P 997 departing Manila every Monday, Wednesday, Friday and Sunday at 10:00 a.m. and arriving in Ozamiz at 11:20 a.m.

The return flight, designated as 2P 998, leaves Ozamiz at 12:00 p.m. and touches down in Manila at 1:20 p.m.

Reliable Boeing 727-200 jet aircraft, which seat 118 passengers in a monoclass layout, will be deployed on the route.

Ozamiz becomes Air Philippines’ 13th domestic destination in the airline’s rapidly expanding route network based at hubs in Manila and Cebu. It also operates regular charter services to points in Korea.

Earlier this month, the carrier announced the acquisition of up to six Bombardier Q300 turbo-prop aircraft that will banner its entry into the booming Manila-Caticlan market, the quickest route to the resort island of Boracay, scheduled for November 2007.

“We are delighted to be the first carrier to call on Ozamiz in more than a decade. We are simply responding to the clamor of local residents for convenient and affordable air transport between Manila and this important point in Northern Mindanao,” said Air Philippines President & CEO Capt. Edilberto R. Medina.

“This signals a more aggressive expansion program that will see Air Philippines opening more routes soon,” he added.

Air Philippines, one of major domestic carriers, is acquiring up to six Bombardier Q300 turbo-prop aircraft to serve its expanded route network, including a new service to Caticlan, gateway to the famed resort island of Boracay.

The carrier has signed a firm order with Toronto-based Bombardier Aerospace for three of the 50-seat airliners and taken options on three more units.

The firm orders are valued at about US$56 million, based on list prices, according to Bombardier.

The first Q300, scheduled for delivery in November 2007, will start the Manila-Caticlan run of the airline, which is known for its tourist-friendly ultra-low fares.

Deliveries of other two firm orders will be in the first quarter of 2008, while the option aircraft, should Air Philippines exercise its rights, are due after 2008.

“The addition of the Q300 to the Air Philippines fleet underpins our route expansion program,” said Capt. Edliberto R. Medina, President & Chief Executive Officer of Air Philippines.

“It enable us to open new routes suited to modern turbo-prop service and allows us to augment our Cebu hub operation, thereby ramping up our overall domestic operations.”

On the larger scale, the new Q300 Caticlan service ideally compliments the regional charter operations of Air Philippines and the international operations of partner carrier Philippine Airlines, in which traffic between Caticlan and overseas points are able to seamlessly connect both ways.

“It is always tremendously exciting to welcome a new customer to the Bombardier family,: said Steven Ridolf, President of Bombardier Regional Aircraft. “The Q300 offers a pleasing and comfortable passenger cabin, a wide range of operating capabilities and efficient operating costs. We are confident it will do an excellent job for Air Philippines.”

Air Philippines currently operates eight Boeing 737-200 jet aircraft serving a network of 12 points in the Philippines from hubs in Manila and Cebu. It also operates regular charter flights to points in Korea.

Manufactured by Bombardier since 1996, the Q300 is part of the popular “Q series” of turboprops-- Q for “quiet” due to the installation of the noise and vibration suspension system designed to reduce cabin noise and vibration levels to nearly those of jet airplanes.

The aircraft is equipped with two Pratt & Whitney Canada PW 123B turboprop engines. It has outstanding take-off and landing capabilities even on unprepared airstrips, making the Q300 an ideal choice for Air Philippines’ service to Caticlan and other small provincial airfields.

The airline’s Q300 is configured with 50 seats at a comfortable 32-inch pitch, making for low seat-mile costs that are ultimately passed on to passengers in the form of low fares.

Air Philippines, in its bid to be the leading low cost carrier in the country expands its domestic network with the addition of Naga in Camarines Sur to its destinations.

Effective Wednesday, January 17th, the carrier starts its six times a week operation to this Bicol Gateway. Designated as 2P961, the flight will depart from Manila every day except Tuesday at 1000H to arrive Naga at 1045H. The return flight, 2P962 will leave Naga at 1115H arriving Manila at 1200H.

The entry of Air Philippines to Naga signals a more aggressive expansion program of the airline which will see its servicing additional routes soon. It is also in answer to the popular clamor from the region for a more convenient and affordable transport schedule for its travelers.

By Maureen Batongbakal

Air Philippines will do away with paper tickets in an ongoing effort to drive efficiency and cut overheads that will result in extra convenience to passengers and lower airline distribution costs.

Similar to paper ticketing, e ticketing is a way of documenting a sale, both for the passenger and the airline. But rather than paper, the process uses a database to track the sale and use of tickets with the data base stored and updated by the validating airline. All subsequent transactions including refunds, exchanges, check-in, void and settlement are included in this holding database.

The bar coded boarding passes, common use of self-service kiosks for check-in, radio frequency identification for baggage management and paperless cargo will all be part of Air Philippines’ vision for a low cost carrier through the utilization of this technology.

According to Mr. Reuben N. Pecson, SVP- Marketing & Sales, E-ticketing initiative will be the accelerated implementation of direct distribution of the company’s products. This will provide the airline with greater flexibility to distribute through more channels at lower cost. In the past, the added complexity and cost of the fulfillment of paper tickets has presented a significant barrier to the streamlining of distribution of solutions for the business. In addition to the reduction of document distribution costs, other benefits of e-tickets include the eradication of ticket fraud and revenue leakage through automation of check in and ticket change control while enhancing passenger check in options and the purging of lost and stolen tickets.

Realizing the numerous benefits of this program, Air Philippines has targeted its implementation by November 8th. Training of all personnel who will be involved in this program is in progress. The company, in moving to a paperless process would neither require the hosting of a separate system nor a change of its current reservations system.

In a bid to improve its competitive stance in the industry even while pursuing its thirst thrust towards a low cost carrier, Air Philippines has started implementing programs geared towards modern and updated technology.

With operations now based at the modern Centennial Terminal 2, passenger departure, and arrival facilities are fully automated. Even baggage and cargo handling are now modernized.

In the area of ticket sales, the Domestic Airfare System (DAS) is now in place. This is seen to prevent erroneous fare computation in manual transactions as the system has now the facility of automatic fare quote. A new ticket office was recently inaugurated after being accommodated inside the PAL Ticket Office itself.

By November 8th, e-ticketing will be implemented in all the sales offices system wide. In preparation for this implementation, all personnel in the ticket offices and station operations were required to undergo training in e-ticketing as well as the Departure Control System ( DAS).

Air Philippines, in its bid to be the leading low cost carrier in the country, expands its domestic network, this time to the Bicol region with the addition of Legaspi City to its destinations.

Effective March 7th, the carrier starts its thrice-weekly flight to this Bicol capital. Designated as 2P255, the flight will depart Manila every Tuesday, Thursday and Saturday at 1240H to arrive Legaspi at 1335H. The return flight, 2P256 will leave Legaspi at 1405 H arriving Manila at 1500H. The flight will utilize the 118seater B737 aircraft, one of the latest in the airline’s fleet.

The entry of Air Philippines to Legaspi City signals a more aggressive expansion program of the airline and is in answer to the popular clamor from the region for a more convenient and affordable transport schedule for its travelers.

Air Philippines will add two more destinations to its Cebu hub network, further enhancing the airline’s foothold in the area. Effective November 16, 2005, Air Philippines will start operating the routes Cebu to Puerto Princesa and Cebu to Zamboanga. Designated as 2P013/2P014 the Cebu-Puerto Princesa flight will operate four times weekly on Mondays, Wednesdays, Fridays and Saturdays, while the Cebu-Zamboanga operation designated as 2P040/2P041 is scheduled on Tuesdays, Thursdays and Sundays.

The operation of these additional routes is in answer to the mounting clamor from the riding public for the provision of better connectivity between the different regions of the country. The hub makes travel all over the archipelago easier and convenient and is a big boost to national tourism

Air Philippines as its corporate commitment is poised to open more routes where it finds operation to be viable.

Ruth G. Mercado

Puerto Princesa - Fares between shipping and air travel have become cutthroat competitive after Air Philippines reduced fare by almost half inclusive of additional taxes and fuel surcharges.

Air Philippines has slashed airfare by an average of 45 percent for all its destinations nationwide less than two weeks after the expanded value added tax took effect on Nov. 1. Called “ Super Tipid,” one-way base fare for the Cebu-Manila route is at P888 but with fuel and insurance surcharges at P720 plus VAT at P160.80, total cost for one-way is P1, 768.80 Regular one-way Cebu-Manila fare is at P3, 979.80 inclusive of taxes and surcharges.

Tour operators, air travelers and aviation authorities have been pessimistic that increasing fuel costs and heavy tax burdens will discourage people from traveling and slacken the industry. But Air Philippines has instead stimulated people to travel by reducing fare to almost half, quelling fears that the EVAT will wreak industry slowdown.

Year round but limited

Super Tipid fares are sold year round and applicable even during peak passenger season, but these are available on limited seats. Air Philippines vice president for sales Erlinda T. Santiago said Super Tipid tickets have certain restrictions including issuance of confirmed bookings only and thus prohibits open dated tickets.

Reservations can be upgraded to the next level when changing bookings upon payment of fare difference and rebooking fees.

Tipid rates however have been so structured that it can resist pressure from erratic fuel prices. Said Santiago, “once we lower the fare, we do not lower fuel surcharges” and added that fuel surcharges are dictated by world oil market prices.

Santiago also said restrictions vary depending on booking levels. For instance, flight specific fare bookings have endorsement restrictions while outright purchase and budget fare bookings can be upgraded to higher fare and allow open dated tickets.


Stunning revelations have turned up in comparing ship and airfare structures. Air Philippines’ Super Tipid fare of P 1, 768.80 is now a mere P20 difference to deregulated ship fare for economy class that sums up to P1,749 with surcharge inclusions.

To date, Air Philippines serves 11 domestic destinations with the addition of Puerto Princesa. It has been servicing routes to Manila, Bacolod, Cagayan de Oro, Cebu, Davao, Dumaguete, General Santos, Iloilo, Tuguegarao and Zamboanga.

Air Philippines launched its inaugural Cebu-Puerto Princesa flight last Nov.16 where it will serve the route four times weekly on Mondays, Wednesdays, Fridays and Saturdays.

By Ruth G. Mercado

Vying to be the preferred low cost carrier in Asia, Air Philippines is re-fleeting with new generation Boeing 737s boldly challenging industry forecasts that Asia's emerging budget airline industry is thinning out and headed for a shakeout with intense competition.

To date, the airline is aggressively responding to a strong demand for chartered flights and aims to complete its fleet of 10 B737 stage 3-category planes. Air Philippines has been operating with Boeing fleet, but maintains the B737 even in its re-fleeting program where aircraft commonality is seen as cost-efficient in spare parts, training and operations.

Stage categories of aircraft are based on noise-level standards. The International Civil Aviation Organization distinguishes stage 1 aircraft as the loudest and most polluting aircraft and has been phased out. Stage 2 aircraft are fitted with silencing apparatus called hush kits. Aircraft flying with less noise are of the Stage 3 category.

Even with hush kits, analysis shows that air pollution increases because hush kits burn 50 percent more fuel in take-offs and landings. In comparison, Stage 3 aircraft burns cleanly producing less noise naturally. Plane shortage.

The 118-seater Boeing 737-200 that Air Philippines is operating are installed with hush kits in complying with international noise level standards. With its modernization program, the procurement of Stage 3 aircraft has become expedient to cut fuel costs and ensure quite flights.

"The company is adding more B737-200 aircraft to improve operating efficiency and allow it to compete aggressively with other carriers," said Air Philippines president and chief executive officer Captain Edilberto R. Medina.

In airport configuration, Stage 3 aircraft are most compatible to majority of domestic airports in the country with small terminals and short runways.

Leah Sison, corporate communications assistant vice president said that purchase of Stage 3-Boeings have long been in order but that "there is a shortage of planes" apparently because other low cost carriers worldwide placed similar orders. There is reportedly a frenzy in the global aircraft industry to buy before it's "too late." Bright spot. Where the whole point of low cost carriers is to stimulate business, travel and tourism in the region, Air Philippines serves chartered flights to Korea in Daegu, Kwangju and Cheongju and flies to Canton and Shenzen in China.

Competition has become intense among low cost carriers in Asia where as many as 16 low cost carriers have taken to the skies in the last two years. Governments in countries like Singapore and India were prompted to urge mergers among low cost carriers to survive.

A Standard and Poor aviation analyst said that with costs predicted to increase due to rising labor costs and aircraft maintenance, "the outlook for low cost carriers isn't bright."

Even by these grim forecasts, Air Philippines has always believed that lean operations are its might. Devoid of bureaucratic hassles that often entangle complex organizations of legacy carriers, it steers clear and pulls out of a crisis-prone industry through controlled and efficiently distributed resources.

With a vision to be the preferred low cost airline in Asia by 2009, Air Philippines may be more realistic than Standard and Poor forecasts.

Air Philippines competitive staunch in the low cost market is further strengthened with the addition of another destination to its regional network.

Effective July 25th, the airline started operations to Cheongju, South Korea in addition to the twice weekly operations also to Daegu and Kwangju. Operating on Mondays and Fridays, 2P4700 departs from the Centennial Terminal 2 at 1400H arriving Cheongju at 1855H. The return flight, 2P4710 departs Cheongju at 2000H arriving Manila at 2310H.

The Korean flights complement the airline’s operations to Canton and Shenzhen in China and is one of its programs in support of the tourism agenda of the government.

Operations to other destinations in the region are currently being looked into as Air Philippines remains bullish in its bid for the premium position in the market.

Air Philippines in its bid to be the preferred low cost airline in Asia starts its twice weekly flights to the tourist and shopping haven of Shenzhen in China.

The initial flight is scheduled on Tuesday, March 22, 2005 and will operate every Saturday and Tuesday thereafter. The flight, designated as 2P1132 will depart Manila from the Centennial Terminal 2 at 1400H to arrive Shenzhen at 1600H. The return flight, 2P1133 will leave Shenzhen at 1700H arriving Manila at 1900H.

The flight will utilize the airline’s newest 118-seater B737-200 aircraft.

Air Philippines’ gung-ho attitude towards its goal is gradually seeing light and the public should now be expecting a more bullish international route expansion program after the airline got its designation from the Arroyo government as official Philippine carrier to the United States, Japan, China and Singapore.

APC is expected to fly the said international routes to validate the use of its designations within the period of six months, which is stated in the Oct.8 Malacañang memorandum to the Civil Aeronautics Board signed by Executive Secretary Eduardo Ermita.

However, the airline is not too keen in using its designation to the United States and Singapore. Instead, it is poised to petition the government to allow it to fly to South Korea and Malaysia.

At present, the company is focusing its eyes on Japan and other Asian destinations particularly Malaysia, which is believed to open the window to the East Asian growth area to support its development.

With the financial turnaround of the company and its determination to remain in black, APC OIC Pres. and CEO Capt. Edilberto Medina expects that the expansion will usher in more flights, better services and stable revenue.

APC also endeavors to draw more potential developers and investors particularly from China, which is at present considered the main driver to economic recovery in Asia. The airline currently flies to Canton and Chengdu both in China and in Kwangju and Daego in Korea.

Given these circumstances the company is completing its modernization program to improve operating efficiency and allow it to compete more aggressively with other carriers.