Pacific Airlines confirms no more planes

Pacific Airlines check-in counters are deserted after the airline returned all its planes due to debt - Photo: CONG TRUNG

On the afternoon of March 18, Tuoi Tre Online recorded that at Tan Son Nhat International Airport, the Pacific Airlines check-in counter was almost deserted. While other airlines were bustling with people coming and going, the staff was busy checking in for flights.

Still maintain customer support staff

That is how Pacific Airlines supports customers even though the airline is struggling. It is noted that sometimes when customers bring suitcases to ask for flight information, the airline still arranges a representative to answer and guide customers.

Meanwhile, dozens of Pacific Airlines check-in counters have turned off their lights, and the flight information board no longer shows the airline's flights.

Although there were no flights on March 18, Pacific Airlines still maintained staff on duty to assist customers - Photo: CONG TRUNG

A representative of Pacific Airlines said that during this time, some flight routes may have their operating plans changed or be temporarily suspended.

Flight schedules will be restored and return to normal soon. Passengers affected by flight cancellations will be notified of new flight schedules or transferred to Vietnam Airlines flights.

Pacific Airlines said it is in the final stages of negotiating to lease planes from Vietnam Airlines but left open the specific timeframe for when it will begin operations.

Mr. Dinh Viet Thang, Director of the Civil Aviation Authority of Vietnam, said that Pacific Airlines no longer has any aircraft to operate. The company will dry-lease three aircraft from Vietnam Airlines.

The reason for "erasing" Pacific Airlines' fleet is due to debt, the financial situation is facing serious risks.

The company's operating cash flow is lacking, large overdue debts threaten to insolvency.

Pacific Airlines is still "on" thanks to serving Bamboo Airways

However, Pacific Airlines is still maintaining operations, denying rumors of bankruptcy. Departments from pilots, flight attendants and ground check-in services, according to Tuoi Tre Online , Pacific Airlines has agreed with employees on time off during the restructuring period with the minimum regional wage.

Pacific Airlines still maintains its "lights on" operation with another service segment, which is ground service for Bamboo Airways. Currently, Pacific Airlines is maintaining ladder trucks, baggage handling, and passenger transport vehicles from the plane to and from the terminal for Bamboo Airways.

Pacific Airlines has been in trouble for many years.

Pacific Airlines is Vietnam's first low-cost airline with shareholders being state-owned enterprises, established in 1991.

In 2007, Qantas Group (Australia) - owner of the low-cost airline Jetstar - signed an investment contract with the State Capital Investment Corporation (SCIC) to buy 30% of shares in Pacific Airlines and become a strategic shareholder.

After many years of business losses and the negative impact of the Covid-19 pandemic, in October 2020, Qantas Group carried out procedures to withdraw from Pacific Airlines and transferred 30% of its shares to Vietnam Airlines in the form of a gift.

By the first quarter of 2022, this deal was completed and Vietnam Airlines has held nearly 99% of shares in Pacific Airlines since then.

In 2022, Pacific Airlines recorded total revenue of nearly VND 3,487 billion, pre-tax loss of VND 2,096 billion.

The flight information screen no longer shows Pacific Airlines flights - Photo: CONG TRUNG

While in the same Vietnam Airlines Group, Vietnam Airlines is bustling with passengers while Pacific Airlines faces many difficulties and has temporarily suspended flights - Photo: CONG TRUNG

Source: https://tuoitre.vn/pacific-airlines-xac-nhan-khong-con-may-bay-20240318183046436.htm