LUFTHANSA TO MANAGE PHILIPPINE AIR
Lufthansa Consulting, a subsidiary of Lufthansa German Airlines, has
signed a two-year agreement to manage Philippine Airlines, beginning in
The Lufthansa deal comes after PAL fired a team of former Cathay Pacific
Airways executives, who were hired earlier this year to manage the
debt-laden airline. PAL is trying to ward off creditors with a
restructuring plan that Philippine authorities approved in June.
PAL also has sold its maintenance and engineering operations to a joint
venture including Lufthansa’s maintenance subsidiary, Lufthansa Technik AG.
PAL owes some $2.3 billion to creditors.