PAL to retire 747s on Monday

Philippine Airlines is set to retire its aging fleet of Boeing 747-400s on Monday, making way for newer, fuel-efficient Boeing 777-300ERs for its flights to the United States after the American air safety regulator lifted a multiyear restriction last month.

PAL president Ramon S. Ang confirmed in a text message that the retirement ceremony for the planes, which have served as the backbone of PAL’s long-haul fleet since the early 1990s, would take place on May 12 at the Villamor Air Base in Pasay City.

PAL had four Boeing 747-400s at the end of 2013 under finance lease agreements, its annual report showed.

It was not immediately known if PAL would announce the acquisition of more Boeing 777s during Monday’s event, where Boeing officials would also be present.

Ang said previously that they were considering more 777s or Airbus 350s (which have a longer waiting list) to augment the airline’s expansion in the United States, allowed last month by the Federal Aviation Administration when it restored the Philippines’ category 1 status.

The retirement of aircraft is part of plans to make PAL more efficient as high costs and declining revenues against no-frills budget carriers continued to eat into the company’s bottomline.