PAL says gov’t accepts its offer to pay P6 billion in unpaid navigation fees

October 6, 2017

Philippine Airlines (PAL) said the Department of Transportation has accepted its offer to pay in the full the P6 billion unpaid navigation fees from the government, a statement from the flag carrier said on Friday,

“After several months of validation and reconciliation of accounts, the DOTr and PAL are pleased to announce that they have reached a resolution on the CAAP [Civil Aviation Authority of the Philippines]  and MIAA [Manila International Airport Authority] fees issue,” the Lucio Tan-led airline said.

“One of the overriding reasons why PAL agreed to settle is to manifest its  trust and confidence in President Duterte's administration,” PAL said.

PAL also assured the government and the traveling public it will always provide vital airline operations in the service of the Filipino people.

PAL did not say how the P6 billion was arrived upon as Transport Secretary Art Tugade said last week the unpaid navigational fees and other charges of the airline reached P7.28 billion as of September 2017,

President Rodrigo Durterte earlier threatened to close the Ninoy Aquino International Airport Terminal 2 if PAL will not settled its unpaid navigational fees to the government within ten days on Sept 27.  DMS