New Clark-based budget airline to launch Asia, M. East flights

Posted at 11/26/2008 2:37 PM | Updated as of 11/26/2008 3:49 PM

The civil aviation authority granted permission to a Clark-based local airline to offer budget flights between central Luzon and destinations in Asia and the Middle East.

On Tuesday,  the Civil Aeronautics Board (CAB) granted permission to Spirit of Manila to fly to two destinations in Asia--Macau in China, Taipei in Taiwan--and three destinations in the Middle East--Kuwait, Bahrain and Dubai.

In previous statements, Spirit of Manila said it aims to add more routes to cover Bahrain, Bangkok, Dubai, Hong Kong, Johor Bahru, Kaohsiung, Osaka, Palau, Mumbai, Karachi and other destinations in the Gulf Region.

The Philippine airline is set to take advantage of revival in bilateral air talks with other countries. In almost 10 air talks negotiated this year, the Philippine panel has been able to add allocations to DMIA, which is being primed as the next premiere international gateway next to the Ninoy Aquino International Airport (NAIA) in Manila, which is sandwiched amidst residential properties and highways in the city proper, making future expansions difficult.

In a statement, Spirit of Manila spokesperson Eric Apolonio said that the airline, which has a 10-hectare hub at the Clark Special Economic Zone beside the Diosdado Macapagal International Airport (DMIA) in Clark in central Luzon, will now start packaging its products for Filipino travellers to Asia and the Middle East. It did not specify when these flights will commence.

The region is home to some 2.1 million OFWs whose aggregate remittance totals $5.6 billion a year, which is estimated to account for almost 40 percent of the total $14 billion sent home by migrant workers annually.

Spirit of Manila was established in January 2008 by long-time aviation industry players, led by former Philippine Airline (PAL) executive Juan C. Paraiso III. It eyes to service overseas Filipino workers (OFW), especially those destined for the Middle East.

PAL used to service the Manila-Middle East route, but financial problems caused PAL to cease operating that route, instead focusing its planes to cover the US destinations.

Spirit of Manila will be up against Middle East airlines, which receive fuel subsidies. Fuel costs are airlines' second biggest item in their cost structures.


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