Philippine Airlines reimburses 80 percent of P15.9 billion virus-related refund requests


Posted at Sep 21 2020 03:47 PM

Philippine Airlines and Cebu Pacific airplanes at the Ninoy Aquino International Airport Terminal 3 on April 16, 2018. Gigie Cruz/File

MANILA - Philippine Airlines said it has refunded about 80 percent of requests and would fulfill all obligations related to canceled bookings due to restrictions imposed to stem the spread of COVID-19.

A total of 60,000 flights were canceled since March affecting 1.3 million passengers which resulted in a "massive deluge of refund requests," the flag carrier said in a Facebook post over the weekend. 

The total requests is over $300 million (P15.9 billion), it said.

"We have so far refunded about 80 percent of the more than $300 million (PHP15.9 billion) COVID-related refund requests," PAL said.

"We assure our customers of Philippine Airlines' commitment to fulfill all refund obligations, and we sincerely apologize for the long processing time many of you have experienced," PAL said.
Loss of revenue hampered "prompt" refund payments, but processing capacity has since "stepped up" to address backlogs, it said.

PAL said it has restored about 15 percent of its domestic and global network.

Its rival, Cebu Pacific earlier said it has also refunded some P2.4 billion in canceled booking requests, equivalent to 50 percent of the refund requests it has received. 

The global aviation industry is one of the most affected by the coronavirus pandemic, grounding planes worldwide with some airlines reducing staff to stay afloat.