Cebu Pacific to upgrade entire Airbus fleet by 2027
Budget carrier Cebu Pacific will upgrade its entire Airbus fleet with newer and more efficient planes by 2027, signaling that expansion plans were intact amid the global health crisis.
The company said in its annual report that 59 new planes, including 56 Airbus jets, will be delivered from 2021 through 2027.
The planes were previously set to be delivered until 2026 before the COVID-19 pandemic arrived, forcing airlines around the world to renegotiate their schedules due to the severe downturn in demand.
During this period, Cebu Pacific said it would take delivery of 40 Airbus A320neo family aircraft, 16 A330neos and three more ATR 72-600s.
The neo models, or new engine variant, burn significantly less fuel and are configured with more seats.
Program under review
“By 2027, Cebu Pacific will have retired its current fleet of Airbus jets, replaced with a fleet comprised of A321neo, A320neo and A330neo aircraft,” the budget carrier said in its annual report.
Owned by the Gokongwei family’s JG Summit Holdings, Cebu Pacific took delivery of a brand-new Airbus A321Neo last April 2 while seven more planes from manufacturers Airbus and ATR were set to arrive for the remainder of 2021.
The company’s long-term refleeting program was previously under review given the severe impact caused by the global health crisis.
Airlines in the country and overseas have seen air travel demand collapse due to the pandemic-induced travel restrictions last year. Recovery in domestic aviation has been slower for countries like the Philippines, where carriers were forced to deal with a myriad of local government rules.
Funding assured
The announcement on fleet expansion follows Cebu Pacific’s successful efforts to seal fund-raising deals worth P28.5 billion from equity and debt sources to survive the crisis.
The carrier’s fleet is comprised of 74 planes, including eight A321neos, 25 Airbus A320, seven Airbus A321ceos, five Airbus A320neos, seven Airbus A330, six ATR 72-500 and 13 ATR 72-600 aircraft. Its fleet also has two ATR freighters and one A330 freighter.
