Air Philippines restructures debt
Low-cost airline Air Philippines is to restructure its equity to ensure long-term viability, according to local media.
The airline, which is owned by beer and tobacco tycoon Lucio Tan and which also operates Airphil Express, will use PHP6.1bn ($140m) of the company’s capital to balance a deficit of PHP6.8bn, according to Manila Standard Today. Air Philippines lost PHP941m in the first nine months of 2010, up from a loss of PHP687m in the same period last year. The carrier said it wishes to secure finance from the credit and capital markets in order to finance the equity restructuring and develop its fleet. ($1=PHP43.7)
