A gunman fired shots from an assault rifle and set fire to gambling tables at Resort World Manila, resulting in the deaths of dozens of people. The attacker, whose motives are so far unclear, later killed himself, authorities said.
Attacks of this scale are rare in Manila, especially in upscale areas frequented by tourists, which typically have heavy security.
Philippine officials say they don't believe the assailant was motivated by terrorism. But the attack on a major hotel and casino complex near the capital's international airport could still hurt tourism, a key source of income for the developing country.
Nearly two-thirds of visitors to the Philippines in February flew into Manila, according to the country's Department of Tourism, making it the country's biggest arrival hub.
People get good bang for their buck in the Philippines, said David Beirman, a senior lecturer specializing in tourism at the University of Technology Sydney.
But safety and security is now the number one factor in determining where tourists go. It used to be things like value for money, but that's changed. In the short term the attack in Manila is clearly going to have a negative impact on tourism.
Shares in Travellers International Hotel Group, the company that runs the Manila resort, plunged almost 8% on Friday.
The attack's potential reverberations in the tourism industry could spoil a good run for the sector.
The Philippines has experienced a surge in visitors since 2010.
Experts say that's thanks to the relatively stable political environment under former President Benigno Aquino III, as well as a marketing drive by the tourism board and the introduction of the country's first low-cost carrier, Cebu Pacific.
Just under 6 million visitors flocked to the Philippines last year, roughly triple the number that arrived in 2000.
Travel accounted for about 8% of gross domestic product in 2016, according to the World Travel & Tourism Council. That's higher than the 3%-5% average of most countries, said Bob McKercher, a professor of tourism management at Hong Kong Polytechnic University.
Tourism numbers have remained strong under President Rodrigo Duterte, who took office in May 2016 and has made headlines with his aggressive war on drugs.
Recent attacks on tourist targets in the Philippines, often involving kidnappings, have typically been concentrated in the southern region of Mindanao, which is home to Islamic militant groups.
More than 100 people have been killed recently in one Mindanao city, where fighters affiliated with ISIS have been engaging in violent clashes with government forces.
Attacks on tourist areas have hurt visitor numbers in other countries. A string of terrorist attacks in Turkey have seriously damaged the country's tourism sector.
The number of tourists entering the country via airports fell 21% in 2016, according to travel intelligence firm ForwardKeys.
But some countries' tourism industries have rebounded quickly following violent attacks.
France hosted 56.3 million visitors on overnight stays in the last quarter of 2016, a 3.9% rise compared with the same period the previous year, according to government figures.
The recovery followed two difficult years for the sector following a series of extremist attacks.
Tourism, Travel, Hospitality, Conservation: News,Stories And Experiences From Allover The World
Showing posts with label Cebu Pacific. Show all posts
Showing posts with label Cebu Pacific. Show all posts
Sunday, 4 June 2017
Friday, 12 May 2017
PHILIPPINES: About Palawan
Palawan is an island province of the Philippines. The provincial capital is Puerto Princesa and it is the largest province in terms of land area. It is considered as the last frontier of the Philippines.
Palawan officially the Province of Palawan is an archipelagic province of the Philippines that is located in the Mimaropa region. It is the largest province in the country in terms of total area of jurisdiction. Its capital is the City of Puerto Princesa, but it is governed independently from the province as a highly urbanized city.
The islands of Palawan stretch between Mindoro in the northeast and Borneo in the southwest. It lies between the South China Sea and the Sulu Sea. The province is named after its largest island, Palawan Island (09°30′N 118°30′E), measuring 450 kilometres (280 mi) long, and 50 kilometres (31 mi) wide.
The island of Palawan stretches from Mindoro to Borneo in the southwest. It lies between the South China Sea in the northwest and Sulu Sea in the southeast. Palawan is considered to be the Philippines' last ecological frontier. The province boasts many splendid beaches and resorts and it is where the Tubbataha Reef National Marine Park and the Puerto Princesa Subterranean River two of the UNESCO World Heritage Sites, are located.
Cities and Towns
Puerto Princesa - the island's administrative capital
Quezon - It is where the Tabon man lived a long time ago. Some referred to Tabon Cave as the cradle of Philippine civilization.
Busuanga
Coron - wreck diving
El Nido - major tourist destination with parties, limestone cliffs, lagoons, and beautiful beaches away from the main town
Port Barton - quiet town with a great beach
Sabang - town with a long underground river in the National Park
San Jose
Brooke's Point Mostly fishing and farming, but some beautiful scenery
Roxas
Taytay
Other destinations
Tubbataha Reef National Marine Park
Aborlan - a rural university town
San Vicente - town on the northwest edge of Palawan comprising several barangays and islands. It has one of the longest beaches in the world, the cream-coloured "long beach" which is 14km long and at some places up to 80m wide. With the near completion of an airport in the city, some are saying the beach could rival Boracay.
Calauit - game preserve and wildlife sanctuary
Narra - The Rice Granary of Palawan.
Palawan Butterfly Garden - located at South of Puerto Princesa
The province has two types of climate. The first, which occurs in the northern and southern extremities and the entire western coast, has two distinct seasons – six months dry and six months wet. The other, which prevails in the eastern coast, has a short dry season of one to three months and no pronounced rainy period during the rest of the year.
The southern part of the province is virtually free from tropical depressions but northern Palawan experiences torrential rains during the months of July and August. Summer months serve as peak season for Palawan. Sea voyages are most favorable from March to early June when the seas are calm. The average maximum temperature is 31 °C (88 °F) with little variation all year.
The predominant religion in Palawan is Roman Catholicism. In 2014, the Roman Catholic Apostolic Vicariate of Puerto Prinsesa had a 68% adherence while the Roman Catholic Apostolic Vicariate of Taytay (Northern Palawan) had an 88% adherence.One of the religious orders that had a significant mission in the islands is the Order of Augustinian Recollects.
The island of Palawan is divided into two Apostolic Vicariates: the Apostolic Vicariate of Puerto Princesa in Southern Palawan and the Apostolic Vicariate of Taytay in Northern Palawan.
While the formerly Muslim majority population in Mindanao was reduced to 40% as a result of the influx of Christian Filipino settlers in the 20th century, as of 2015 Muslims were reported by the Routledge Handbook of Southeast Asian Democratization as forming an "overwhelming majority" in Palawan, as well as the Sulu Archipelago.
However, other sources had earlier reported a 50-50 split between Muslims and Christians—with Muslims concentrated mostly in the south of Palawan.
There are 52 languages and dialects in the province, with Tagalog being spoken by more than 50 percent of the people. Other languages are Cuyonon (26.27 percent), Hiligaynon (19 percent), and Palawano (4.0 percent).
Language
Palawan is home to dozens of local languages, since the island is home to numerous indigenous gatherer hunter groups.
Until a few decades ago the most widely spoken language was Cuyonan, which became prominent as a trade language as a result of the favored economic status enjoyed by the nearby island of Cuyo under American colonialism.
Today, Tagalog is also widely spoken as the result of a massive influx of immigrants, from Luzon, over the past half-century. The Philippine government in 2005 officially changed the administrative designation of Palawan to be a member of region IVB, an area recognized as Tagalog-speaking.
However, this decision was later reversed, partly as a result of lobbying by the many Cebuano immigrants from Mindanao; many speak English and a group of expatriate Swiss also operate a shortwave radio network using Swiss-German!
Attractions
Calauit Game Preserve and Wildlife Sanctuary
A game reserve and wildlife sanctuary of exotic African animals and endangered endemic animals of Palawan. The reserve was established on August 31, 1976 by virtue of the Presidential Decree No.1578, this was initiated in response to the appeal of the International Union for the Conservation of Nature to help save African wildlife when former President Ferdinand Marcos attended the 3rd World Conference in Kenya.
By virtue of the Republic Act 7611 (SEP), administrative jurisdiction of DENR was given to the local government of Palawan, effective December 31, 1993. Management of the area is the responsibility of the Office of the Palawan Council of Sustainable Development (PCSD). It is located in Calauit Island in Busuanga.
Seven lakes surrounded by craggy limestone cliffs attract hundreds of nature lovers to Coron Reefs in Northern Palawan, near the town of Coron. Busuanga Island, whose main town is Coron, is the jump-off point for numerous dive operators. The principal dive sites are 12 World War II Japanese shipwrecks sunk on September 24, 1944 by US Navy action.
They range in depth from the surface to 40 meters. This large variety offers exciting wreck exploration for enthusiasts, from novice divers and snorkelers and recreational divers to experienced TEC divers. The aquatic views from the sunken Japanese warships off Coron Island are listed in Forbes Traveler Magazine's top 10 best scuba sites in the world.
- El Nido Marine Reserve Park
- El Nido, Palawan
- The Puerto Princesa Subterranean River National Park.
- Whitetip reef shark at the Tubbataha Reef.
The January 2008 issue of international magazine Travel + Leisure, published by the American Express Co. (which partnered with Conservation International) listed El Nido's sister hotel resorts El Nido Lagen Island and El Nido Miniloc Island in Miniloc and Lagen Islands as "conservation-minded places on a mission to protect the local environment".
Travel + Leisure's 20 Favorite Green Hotels scored El Nido Resort's protection of Palawan's giant clam gardens and the re-introduction of endangered Philippine cockatoos: "8. El Nido Resorts, Philippines: Guest cottages on stilts are set above the crystalline ocean. The resorts are active in both reef and island conservation."
Malampaya Sound Land and Seascape Protected Area
Located in the Municipality of Taytay, this important ecological and economic zone is a watershed and fishing ground, and the habitat of Bottle-nosed and Irrawaddy dolphins. UNESCO World Heritage Sites
Puerto-Princesa Subterranean River National Park
This park features a large limestone karst landscape with an underground river. One of the river's distinguishing features is that it emerges directly into the sea, and its lower portion is subject to tidal influences. The area also represents a significant habitat for biodiversity conservation. The site contains a full 'mountain-to-sea' ecosystem and has some of the most important forests in Asia.
Tubbataha Reef Marine Park (1993)
The Tubbataha Reef Marine Park covers 332 km2, including the North and South Reefs. It is a unique example of an atoll reef with a very high density of marine species; the North Islet serving as a nesting site for birds and marine turtles. The site is an excellent example of a pristine coral reef with a spectacular 100 m perpendicular wall, extensive lagoons and two coral islands.
Ursula Island
This game refuge and bird sanctuary is situated near the Municipality of Brooke's Point in southern Palawan. The islet is a migratory and wintering ground for shorebirds and seabirds.
Rasa Island Wildlife Sanctuary
This 1,983-hectare (4,900-acre) protected area located in the municipality of Narra is a nesting ground of the endemic Philippine cockatoo or katala. It also harbors other rare bird species and marine turtles.
Entering Palawan
Puerto Princesa International Airport is the main gateway to Palawan, major airlines serve international and domestic flights; Philippine Airlines, Air Philippines, Cebu Pacific and AirAsia Zest have flights to and from Manila and Cebu, PAL Express (Air Philippines) have flights to and from Busuanga.
El Nido Airport, charter flights are provided by Island Transvoyager Inc. (ITI) while Seasonal flights are offered by SEAIR.
A new community airport is near completion in San Vicente.
International
- Puerto Princesa International Airport, Puerto Princesa
National Airport
San Vicente Airport
Francisco B. Reyes Airport, Coron (Busuanga Island)
El Nido Airport, El Nido
Community Airports
Cuyo Airport, Magsaysay
Taytay Airport, Taytay
Del Pilar Airport, Roxas
Bugsuk (Bonbon) Airport, Balabac (Bugsuk Island)
Tagbita Airport, Rizal
Balabac Airport, Balabac
Rio Tuba Airport, Bataraza
Cheapest option while getting around is the local jeepney, tricycles are also available. Getting from one island to another is possible; daily boat trips are available. Car and van rentals are also available.
Tabon Caves in Quezon. The Caves were the discovery site of the skull cap remains of the Tabon Man estimated to be 22,000 years old. Explore its 138 hectares of rugged cliffs and deep slopes and breathtaking sea view.
What To Do
Try to eat Tamilok food
1) Hike The Taraw Peak
2) Get wet at Nagkalit kalit Falls
Palawan officially the Province of Palawan is an archipelagic province of the Philippines that is located in the Mimaropa region. It is the largest province in the country in terms of total area of jurisdiction. Its capital is the City of Puerto Princesa, but it is governed independently from the province as a highly urbanized city.
The islands of Palawan stretch between Mindoro in the northeast and Borneo in the southwest. It lies between the South China Sea and the Sulu Sea. The province is named after its largest island, Palawan Island (09°30′N 118°30′E), measuring 450 kilometres (280 mi) long, and 50 kilometres (31 mi) wide.
The island of Palawan stretches from Mindoro to Borneo in the southwest. It lies between the South China Sea in the northwest and Sulu Sea in the southeast. Palawan is considered to be the Philippines' last ecological frontier. The province boasts many splendid beaches and resorts and it is where the Tubbataha Reef National Marine Park and the Puerto Princesa Subterranean River two of the UNESCO World Heritage Sites, are located.
Cities and Towns
Puerto Princesa - the island's administrative capital
Quezon - It is where the Tabon man lived a long time ago. Some referred to Tabon Cave as the cradle of Philippine civilization.
Busuanga
Coron - wreck diving
El Nido - major tourist destination with parties, limestone cliffs, lagoons, and beautiful beaches away from the main town
Port Barton - quiet town with a great beach
Sabang - town with a long underground river in the National Park
San Jose
Brooke's Point Mostly fishing and farming, but some beautiful scenery
Roxas
Taytay
Other destinations
Tubbataha Reef National Marine Park
Aborlan - a rural university town
San Vicente - town on the northwest edge of Palawan comprising several barangays and islands. It has one of the longest beaches in the world, the cream-coloured "long beach" which is 14km long and at some places up to 80m wide. With the near completion of an airport in the city, some are saying the beach could rival Boracay.
Calauit - game preserve and wildlife sanctuary
Narra - The Rice Granary of Palawan.
Palawan Butterfly Garden - located at South of Puerto Princesa
The province has two types of climate. The first, which occurs in the northern and southern extremities and the entire western coast, has two distinct seasons – six months dry and six months wet. The other, which prevails in the eastern coast, has a short dry season of one to three months and no pronounced rainy period during the rest of the year.
The southern part of the province is virtually free from tropical depressions but northern Palawan experiences torrential rains during the months of July and August. Summer months serve as peak season for Palawan. Sea voyages are most favorable from March to early June when the seas are calm. The average maximum temperature is 31 °C (88 °F) with little variation all year.
The predominant religion in Palawan is Roman Catholicism. In 2014, the Roman Catholic Apostolic Vicariate of Puerto Prinsesa had a 68% adherence while the Roman Catholic Apostolic Vicariate of Taytay (Northern Palawan) had an 88% adherence.One of the religious orders that had a significant mission in the islands is the Order of Augustinian Recollects.
The island of Palawan is divided into two Apostolic Vicariates: the Apostolic Vicariate of Puerto Princesa in Southern Palawan and the Apostolic Vicariate of Taytay in Northern Palawan.
While the formerly Muslim majority population in Mindanao was reduced to 40% as a result of the influx of Christian Filipino settlers in the 20th century, as of 2015 Muslims were reported by the Routledge Handbook of Southeast Asian Democratization as forming an "overwhelming majority" in Palawan, as well as the Sulu Archipelago.
However, other sources had earlier reported a 50-50 split between Muslims and Christians—with Muslims concentrated mostly in the south of Palawan.
There are 52 languages and dialects in the province, with Tagalog being spoken by more than 50 percent of the people. Other languages are Cuyonon (26.27 percent), Hiligaynon (19 percent), and Palawano (4.0 percent).
Language
Palawan is home to dozens of local languages, since the island is home to numerous indigenous gatherer hunter groups.
Until a few decades ago the most widely spoken language was Cuyonan, which became prominent as a trade language as a result of the favored economic status enjoyed by the nearby island of Cuyo under American colonialism.
Today, Tagalog is also widely spoken as the result of a massive influx of immigrants, from Luzon, over the past half-century. The Philippine government in 2005 officially changed the administrative designation of Palawan to be a member of region IVB, an area recognized as Tagalog-speaking.
However, this decision was later reversed, partly as a result of lobbying by the many Cebuano immigrants from Mindanao; many speak English and a group of expatriate Swiss also operate a shortwave radio network using Swiss-German!
Attractions
Calauit Game Preserve and Wildlife Sanctuary
A game reserve and wildlife sanctuary of exotic African animals and endangered endemic animals of Palawan. The reserve was established on August 31, 1976 by virtue of the Presidential Decree No.1578, this was initiated in response to the appeal of the International Union for the Conservation of Nature to help save African wildlife when former President Ferdinand Marcos attended the 3rd World Conference in Kenya.
By virtue of the Republic Act 7611 (SEP), administrative jurisdiction of DENR was given to the local government of Palawan, effective December 31, 1993. Management of the area is the responsibility of the Office of the Palawan Council of Sustainable Development (PCSD). It is located in Calauit Island in Busuanga.
Seven lakes surrounded by craggy limestone cliffs attract hundreds of nature lovers to Coron Reefs in Northern Palawan, near the town of Coron. Busuanga Island, whose main town is Coron, is the jump-off point for numerous dive operators. The principal dive sites are 12 World War II Japanese shipwrecks sunk on September 24, 1944 by US Navy action.
They range in depth from the surface to 40 meters. This large variety offers exciting wreck exploration for enthusiasts, from novice divers and snorkelers and recreational divers to experienced TEC divers. The aquatic views from the sunken Japanese warships off Coron Island are listed in Forbes Traveler Magazine's top 10 best scuba sites in the world.
- El Nido Marine Reserve Park
- El Nido, Palawan
- The Puerto Princesa Subterranean River National Park.
- Whitetip reef shark at the Tubbataha Reef.
The January 2008 issue of international magazine Travel + Leisure, published by the American Express Co. (which partnered with Conservation International) listed El Nido's sister hotel resorts El Nido Lagen Island and El Nido Miniloc Island in Miniloc and Lagen Islands as "conservation-minded places on a mission to protect the local environment".
Travel + Leisure's 20 Favorite Green Hotels scored El Nido Resort's protection of Palawan's giant clam gardens and the re-introduction of endangered Philippine cockatoos: "8. El Nido Resorts, Philippines: Guest cottages on stilts are set above the crystalline ocean. The resorts are active in both reef and island conservation."
Malampaya Sound Land and Seascape Protected Area
Located in the Municipality of Taytay, this important ecological and economic zone is a watershed and fishing ground, and the habitat of Bottle-nosed and Irrawaddy dolphins. UNESCO World Heritage Sites
Puerto-Princesa Subterranean River National Park
This park features a large limestone karst landscape with an underground river. One of the river's distinguishing features is that it emerges directly into the sea, and its lower portion is subject to tidal influences. The area also represents a significant habitat for biodiversity conservation. The site contains a full 'mountain-to-sea' ecosystem and has some of the most important forests in Asia.
Tubbataha Reef Marine Park (1993)
The Tubbataha Reef Marine Park covers 332 km2, including the North and South Reefs. It is a unique example of an atoll reef with a very high density of marine species; the North Islet serving as a nesting site for birds and marine turtles. The site is an excellent example of a pristine coral reef with a spectacular 100 m perpendicular wall, extensive lagoons and two coral islands.
Ursula Island
This game refuge and bird sanctuary is situated near the Municipality of Brooke's Point in southern Palawan. The islet is a migratory and wintering ground for shorebirds and seabirds.
Rasa Island Wildlife Sanctuary
This 1,983-hectare (4,900-acre) protected area located in the municipality of Narra is a nesting ground of the endemic Philippine cockatoo or katala. It also harbors other rare bird species and marine turtles.
Entering Palawan
Puerto Princesa International Airport is the main gateway to Palawan, major airlines serve international and domestic flights; Philippine Airlines, Air Philippines, Cebu Pacific and AirAsia Zest have flights to and from Manila and Cebu, PAL Express (Air Philippines) have flights to and from Busuanga.
El Nido Airport, charter flights are provided by Island Transvoyager Inc. (ITI) while Seasonal flights are offered by SEAIR.
A new community airport is near completion in San Vicente.
International
- Puerto Princesa International Airport, Puerto Princesa
National Airport
San Vicente Airport
Francisco B. Reyes Airport, Coron (Busuanga Island)
El Nido Airport, El Nido
Community Airports
Cuyo Airport, Magsaysay
Taytay Airport, Taytay
Del Pilar Airport, Roxas
Bugsuk (Bonbon) Airport, Balabac (Bugsuk Island)
Tagbita Airport, Rizal
Balabac Airport, Balabac
Rio Tuba Airport, Bataraza
Cheapest option while getting around is the local jeepney, tricycles are also available. Getting from one island to another is possible; daily boat trips are available. Car and van rentals are also available.
Tabon Caves in Quezon. The Caves were the discovery site of the skull cap remains of the Tabon Man estimated to be 22,000 years old. Explore its 138 hectares of rugged cliffs and deep slopes and breathtaking sea view.
What To Do
Try to eat Tamilok food
1) Hike The Taraw Peak
2) Get wet at Nagkalit kalit Falls
Monday, 22 August 2016
PHILIPPINES: Terminal Fees With Airline Ticket Prices For Intergration
THE Philippines Department of Tourism (DoT) disclosed earlier this week that major airlines operating in the country have agreed, in principle, to the integration of terminal fees into departing passengers’ airline ticket payments.
DoT secretary Wanda Teo said the consensus transpired during the third consultation meeting held at the NTO’s headquarters, attended by officials of the Civil Aviation Authority (CAAP) and airline executives.
If all goes to plan, the domestic passenger service charge (DPSC), commonly known as the terminal fee, will be collected by airlines as part of ticket payments in an effort to ease the queuing and delays at Philippine airport terminals.
“We are working together with the different airlines and our partner government agencies in making it easier for the traveling public. And we do that by integrating the various fees that are collected,” said DoT undersecretary for development planning, Benito Bengzon Jr.
He noted, however, that adequate lead time is required before getting the word out, which includes at least a month for IATA to prepare to ensure "the level of acceptance and support would be higher”.
But local air carriers and the CAAP board must first agree with the terms and conditions in the memorandum of agreement presented by the DoT.
“Hopefully, once we finalise the memorandum we can have the principals all sign the document, and we can make that big announcement, which I am sure the traveling public would appreciate,” Bengzon added.
Local carriers, including Philippine Airlines, Cebu Pacific, Sea Air, SkyJet, Air Juan, and AirAsia are expected to submit the draft memorandum of agreement in time for CAAP’s board meeting to be held next week.
If approved, the plan would be implemented at all airports under the CAAP’s management. There are 81 CAAP terminals, but only 38 of which are performing commercial operations and collecting terminal fees.
“These initiatives address the long-standing choke points that beset tourism growth, such as physical airport capacity, travel facilitation and passenger mobility,” commented Teo.
DoT secretary Wanda Teo said the consensus transpired during the third consultation meeting held at the NTO’s headquarters, attended by officials of the Civil Aviation Authority (CAAP) and airline executives.
If all goes to plan, the domestic passenger service charge (DPSC), commonly known as the terminal fee, will be collected by airlines as part of ticket payments in an effort to ease the queuing and delays at Philippine airport terminals.
“We are working together with the different airlines and our partner government agencies in making it easier for the traveling public. And we do that by integrating the various fees that are collected,” said DoT undersecretary for development planning, Benito Bengzon Jr.
He noted, however, that adequate lead time is required before getting the word out, which includes at least a month for IATA to prepare to ensure "the level of acceptance and support would be higher”.
But local air carriers and the CAAP board must first agree with the terms and conditions in the memorandum of agreement presented by the DoT.
“Hopefully, once we finalise the memorandum we can have the principals all sign the document, and we can make that big announcement, which I am sure the traveling public would appreciate,” Bengzon added.
Local carriers, including Philippine Airlines, Cebu Pacific, Sea Air, SkyJet, Air Juan, and AirAsia are expected to submit the draft memorandum of agreement in time for CAAP’s board meeting to be held next week.
If approved, the plan would be implemented at all airports under the CAAP’s management. There are 81 CAAP terminals, but only 38 of which are performing commercial operations and collecting terminal fees.
“These initiatives address the long-standing choke points that beset tourism growth, such as physical airport capacity, travel facilitation and passenger mobility,” commented Teo.
Tuesday, 16 February 2016
PHILIPPINES: Cebu Pacific In ASEAN Expansion After Agreement
It follows the signing by the Philippine government of the 5th and 6th 'freedoms' of the ASEAN Multilateral Agreement on Air Services (MAAS).
"With Open Skies, Cebu Pacific can add more flights to and from key destinations in ASEAN, to meet the growing travel demand within the region," the carrier said in a statement.
The agreement allows airlines to operate unlimited number of flights between ASEAN capitals.
Cebu already flies to 11 ASEAN destinations including Jakarta, Bangkok, Hanoi and Kuala Lumpur.
"Given our government's support of this liberalised and equitable air services agreement, the Philippines solidifies its position as a prime and competitive global hub for air travel," said vice president for corporate affairs JR Mantaring.
Cebu is launching its first direct flights to the US next month with the start of a Manila-Guam service.
Saturday, 7 November 2015
SINGAPORE: Singapore Airlines Announces Tigerair Takeover Bid
Singapore Airlines (SIA) on Friday announced a full takeover bid for its struggling budget carrier subsidiary Tigerair and vowed to redevelop it as an integral part of the group’s portfolio.
SIA currently owns 55.8 per cent of Tigerair and the “voluntary conditional general offer” is for the shares it does not already own valued at around 453 million Singapore dollars (Dh1.17 billion, $322 million).
SIA said it intends to delist the low-cost carrier from the stock market.
“SIA’s objective for the offer is to derive enhanced commercial and operational synergies through a full integration of Tiger Airways into the SIA Group,” the airline said in a statement.
“SIA believes the offer will benefit shareholders of both Tiger Airways and SIA.”
The airline is offering Tigerair shareholders a price of S$0.41 per share in cash and an option to subscribe for SIA shares at S$11.1043.
SIA shares closed at S$11.15 apiece on Thursday before the carrier announced that its second quarter net profit more than doubled.
Tigerair shares closed at S$0.31 on Thursday, meaning SIA’s offer price carries a 32 per cent premium over that.
Both companies called for a trading halt Friday pending the announcement.
SIA said its offer will be funded from its “internal cash resources”.
The airline on Thursday said its net profit in the three months to September soared 135 per cent to S$213.6 million from the previous year, boosted by higher dividends from long-term investments and the absence of share losses from associated companies after it classified Tigerair as a subsidiary.
Tigerair went public five years ago, with a maximum initial offer price of S$1.65, but the airline was hobbled by a string of losses as competition in the Southeast Asian low cost carrier market intensified.
A strategy to expand the Tigerair brand to Australia, Indonesia and the Philippines failed.
SIA, which is also facing tough challenges from Middle Eastern carriers and budget airlines, already has in its stable Scoot, a medium-haul budget carrier, and full-fare SilkAir, which serves leisure destinations in Asia.
In the three months to June this year, Tigerair reported a net loss of S$ $1.7 million, narrowing from a whopping S$65.2 million loss in the same quarter the year before.
“Tigerair has been doing terribly so it is only prudent on the part of SIA to consolidate the budget carrier into its stable of companies together with Scoot and SilkAir,” said Shukor Yusof, an analyst with Malaysia-based aviation research firm Endau Analytics.
“It would help to realign the balance sheet of Tigerair. But at the same time, it is not going to guarantee profitability for Tigerair in the near future,” he said.
Shukor said competition has intensified in Southeast Asia’s no-frills carrier market with players that are “better placed” for the challenge, including Malaysia’s AirAsia, Indonesia’s Lion Air and Cebu Pacific of the Philippines.
SIA needed Tigerair to complete its portfolio, he added, especially with Singapore building a new terminal to maintain the city-state’s edge as a regional air transport hub.
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