Philippine Airlines (PAL) has been assigned a 'BB' Long-Term Issuer Default Rating (IDR) with a Stable Outlook by Fitch Ratings, marking the first time the airline has received this rating. The assessment acknowledges PAL's robust business profile, financial health, and operational performance. Fitch highlighted the airline's diversified network, strong liquidity, competitive cost structure, and prudent fleet expansion strategy as key factors in the rating decision.
The Stable Outlook reflects Fitch's confidence in PAL's ability to maintain prudent financial management whilst pursuing growth, supported by adequate liquidity and improving credit metrics. Richard Nuttall, President of Philippine Airlines, expressed satisfaction with the rating, stating it recognises the airline's efforts in strengthening its business and operational fundamentals. "We remain focused on maintaining financial prudence whilst delivering world-class excellence and elevating the experience we provide to our customers at every stage of their journey," Nuttall said.
Philippine Airlines continues to invest in fleet modernisation and customer experience enhancements, aiming to improve efficiency and connectivity. These strategic initiatives are intended to support the country's travel and tourism sectors. As the Philippines' flag carrier and Asia's first commercial airline, PAL operates nonstop flights from Manila and Cebu to numerous destinations worldwide. Recognised as an APEX Four Star™ airline, PAL was also noted for its on-time performance among Asia-Pacific carriers in 2025
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