PAL fails to meet target income: exec

FLAG-carrier, Philippine Airlines (PAL), will register a "not so good" performance rating this year as their fiscal year comes to a close at the end of the month.

PAL vice president for sales Enrique Javier announced this in a press conference Friday for the launch of the airline's countdown to its 70th year in 2011.

Click here for Election 2010 updates

Philippine Airlines has its fiscal year from April 1, ending on March 31.

Although it is far from posting negative income, PAL has been reported to have failed to meet some of its monthly targets during this fiscal year.

"But we are confident that next year we will be posting increases in our profit," Javier said.

Admittedly, the global financial slow down is the biggest factor that affected the profits of the airline for this fiscal year, with air travel coming to a slow, and exports and imports nearly coming to a halt in some parts of the world.

"We were hit by the economic crisis, the fuel price increases," Javier said, adding that revenues fell short by five to ten percent from their targets.

However, most Asian countries, according to Javier, have already started showing signs of recovery and resiliency during the financial crisis, including Australia.

A new flight has been added by the flag-carrier to Australia, connecting the Philippines to the Land Down Under in its top three cities of Sydney, Melbourne and Brisbane.

"Japan and the US are still reeling from the economic crisis," Javier said. "But things will be better next (fiscal) year." (CPM)