Philippine Airlines Fresh From Bankruptcy Descends Right Back Into Tumult

Asia’s oldest airline, Philippine Airlines, has certainly been through a lot of economic turbulence within the Philippines and in Asia, along with numerous changes in political headwinds on the local front. It even survived management takeovers — from being a state-run carrier in the 1960s and 1970s to private hands in the 1990s — as well as labor strikes, lawsuits, near financial collapse and even a brief closure in 1998.

In late December, PAL exited from Chapter 11 bankruptcy, which wiped out some $2 billion in debts. Its restructuring plan includes the reduction of its fleet and a commitment from majority owner and CEO Lucio Tan to infuse $505 million in new capital.

But will this be enough to keep the carrier flying though?

On the eve of the Lunar New Year, considered an auspicious day among Filipino-Chinese families like those of Tan, PAL’s board of directors decided to let go of its president and chief operating officer, Gilbert Santa Maria. In his place, they appointe