Flag carrier Philippine Airlines (PAL) is planning to refurbish its current fleet of long-range jets, a project that could cost as much as $315 million based on initial estimates.
After unveiling the refurbishment plan for its Airbus A321ceos, PAL is pushing ahead with the renovation of widebody planes A330-300s and Boeing 777-300ERs, which are assigned to fly to long-haul routes.
PAL president Richard Nuttall said the airline may have to invest at least $15 million to refurbish each of its A330s and 777s, totaling 11 and 10 in its fleet right now, respectively.
As such, PAL is estimated to spend up to $315 million to improve its existing fleet of long-range aircraft. However, Nuttall said this is still an early forecast given that it would take around three years before the airline pursues the refurbishment plan.
Nuttall said it would be challenging for PAL to refurbish the A330s and 777s because carriers around the world are fighting for parts. PAL is choosing to rehabilitate older jets, as it is still costlier to acquire new aircraft.
‘If we refurbish an A330 or a 777, initial estimates are $14 million to $15 million for the A330s and maybe a couple more for the 777s. Those are early, early estimates. It is still a lot of money, but it is still cheaper than buying a new aircraft,’ Nuttall said.
However, PAL’s long game is to purchase new widebodies, either from Airbus or Boeing, within the next 10 years to expand its fleet for the trans-Pacific market.
Nuttall said he has received approval from PAL’s board of directors for this fleet expansion, and the airline will soon engage aircraft and engine makers to survey the best rates.
PAL is scheduled to receive by December the first of its nine A350-1000s, considered the most fuel-efficient long-range aircraft right now. The aircraft will be assigned in the Manila-New York route, currently PAL’s longest flight.
PAL has no plans right now to enter Europe, where Filipinos are opting for one-stop flights over non-stop connections due to pricing reasons. Nuttall said this is unlike in the US, where Filipinos come from all walks of life, thus can afford the extra cost of flying direct.
‘A lot of (Filipinos in Europe are) doing the kind of jobs that are price-sensitive. They are going to look for what the cheapest connecting route is rather than going non-stop. So flying our brand-new aircraft to Europe is a really, really risky venture,’ Nuttall said.
PAL will close the year with a fleet of 83 aircraft, four more than its 2024 count of 79.