Cebu Pacific

Cebu Air, Inc., operating as Cebu Pacific (also known as Cebu Pacific Air and stylized as cebu pacific) (PSECEB) and informally known as Cebu Pac or colloquially known as Bupak, is a Philippine low-cost airline based on the grounds of Mactan-Cebu International Airport (MCIA Terminal 2), Lapu-Lapu City, Metro Cebu, in the Philippines. It is Asia's oldest budget or low-cost carrier airline, founded in 1988.[4] It offers scheduled flights to both domestic and international destinations. Its main bases are Mactan-Cebu International Airport, Cebu City and Ninoy Aquino International Airport, Manila, with other hubs at Clark International Airport, Kalibo International Airport[5] Francisco Bangoy International Airport,[6] Iloilo International Airport,[7] and Laguindingan Airport.[8]

The airline is a subsidiary of JG Summit Holdings. Cebu Pacific is currently headed by Lance Gokongwei, presumptive heir of John Gokongwei, the chairman emeritus of JG Summit. As of January 2013, the company has 3,297 employees. 2,565 were from operations, 429 from the commercial departments, and 303 from the support departments.[9] In October 2010, the airline completed an IPO of 30.4% of outstanding shares.[10]

In 2010, Cebu Pacific became the Philippines' largest airline based on number of passengers flown on domestic and international routes. According to Civil Aeronautics Board data, Cebu Pacific flew 2.45 million total passengers in the first quarter of 2010, nearly 110,000 more than Philippine Airlines, which carried 2.34 million systemwide during the same period.[11][12]

History

Foundation and Growth (1988-2006)

The airline was established on 26 August 1988 and started operations on March 8, 1996. Republic Act No. 7151, which grants a franchise to Cebu Air, Inc. was approved on 30 August 1991. Cebu Air, Inc. was subsequently acquired by JG Summit Holdings (owned by John Gokongwei). Domestic services commenced following market deregulation by the Philippine government. It temporarily ceased operations in February 1998 after being grounded by the government due to an accident that killed 104 people but resumed services later the next month following re-certification of its aircraft.[6] It initially started with 24 domestic flights daily among Metro Manila, Metro Cebu and Metro Davao. By the end of 2001, its operations had grown to about 80 daily flights to 18 domestic destinations.

In the 2000s (decade), Cebu Pacific was granted rights to operate international flights to the region, including Malaysia, Indonesia, Singapore, Thailand, South Korea, Hong Kong, and Guam. International flights were launched on 22 November 2001, with a twice-daily service to Hong Kong.[13] On 1 March 2002, it commenced thrice-weekly flights to Seoul.[14] Other regional flights were introduced and suspended later; however, including flights to Singapore (from 6 November 2002, to January 2003) and from Manila via Subic to Seoul (from December 2002) due in part to the effects of the SARS epidemic.[15]

The airline resumed its Manila-to-Singapore flights on August 31, 2006[16] and launched its direct flight from Cebu to Singapore on October 23, 2006, the first low-cost airline to serve the Cebu-Singapore-Cebu sector,[17] and in direct competition with Singapore Airlines' subsidiary SilkAir, CEB was the only Philippine carrier serving the Cebu-Singapore-Cebu route for years until PAL resumed its direct service in 2017. The airline operates direct flights from Cebu to Hong Kong which commenced October 2, 2006, which also made CEB the only Philippine carrier to serve a Cebu-Hong Kong-Cebu route after PAL terminated its direct service and is now code-sharing with Cathay Pacific for this route.[18]

In December 2006, after a month or two of operating the new direct flights, Cebu Pacific announced that it would increase flight frequency for its Cebu-Hong Kong-Cebu from four to five times weekly and Cebu-Singapore-Cebu flights from four to six weekly effective 25 January 2007. As of January 2008, it operates regional flights to Busan, Hong Kong, Singapore, Seoul-Incheon, Taipei and Bangkok beginning April 6, 2008, from its Cebu hub; and Bangkok, Guangzhou, Hong Kong, Jakarta, Kuala Lumpur, Macau, Singapore, Taipei, Seoul-Incheon, Shanghai and Xiamen from Manila.

Cebu Pacific's plans to begin international flights from Clark were initially unsuccessful when its request was denied. The nations involved came to an agreement that Cebu Pacific would be only allowed to operate charter flights from Clark to the respective countries' airport(s). Only Singapore initially agreed to allow Cebu Pacific to fly scheduled flights from Clark to Singapore.[19] Cebu Pacific now operates routes from Clark to Bangkok, Cebu, Hong Kong, Macau and Singapore.[20]

Expansion and re-branding (2007-present)

In June 2007, Cebu Pacific announced an order of up to 14 brand-new ATR 72-500 aircraft, with six firm orders and eight options. It plans to initially offer flights to Boracay, using Boracay's Godofredo P. Ramos Airport.[21] On 12 November 2007, Cebu Pacific announced Davao's Francisco Bangoy International Airport as its fourth hub. Cebu Pacific announced that it would initially fly internationally from Davao City to Singapore, Hong Kong and fly one domestic flight to Iloilo. Both direct services from Davao to Singapore and Iloilo commenced on May 8, 2008, while the service to Hong Kong commenced on May 9, 2008.[22] In late 2007, Cebu Pacific mentioned that it was aiming to cross the Pacific and launch non-stop flights to the United States West Coast, Houston, Texas and Chicago, Illinois by mid-2009.[23] On 18 December 2007, Cebu Pacific announced that it would exercise options on its recent ATR 72-500 turboprop order (initially six firm) to increase its firm order to 10.[24]

On 19 February 2008, Cebu Pacific Air received its first brand-new ATR 72-500 and expected to take delivery of another five ATRs from March to December 2008.[25] The initial two ATRs fly on routes such as Cebu to Bacolod. Cebu Pacific took delivery of its 16th brand-new, 179-seater Airbus A320 aircraft on 20 March 2008. The new aircraft was to support CEB's expanding international and domestic operations which include flights to 12, soon to be 15, international destinations.[26] On 28 May 2008, Cebu Pacific was named as the world's number one airline in terms of growth. The airline was also ranked fifth in Asia for Budget Airline passengers transported and 23rd in the world. The airline carried a total of almost 5.5 million passengers in 2007, up 57.4 per cent from 2006[27] On 22 July 2008, Cebu Pacific was the first airline to use the new Terminal 3 of the Ninoy Aquino International Airport with its flight to Caticlan being the first to depart at 0515 local time. On 1 August 2008, it moved its international operations to the terminal; thus, becoming the first airline to have regular international commercial flights from the new terminal.

In August 2009, Cebu Pacific became the first airline in the Philippines to use social media. The airline created a fan page on Facebook and Twitter.[28]

On 6 January 2011, Cebu Pacific flew its 50 millionth passenger, from Manila to Beijing. The airline aimed to reach the 100-million-passengers mark in 2015.[29]

In June 2011, Cebu Pacific signed a Memorandum Of Understanding for 30 Airbus A321neos includes nine leased that will help the airline's growth and development. It will fly to Southeast Asia including cities in Japan and Indonesia.[30]

In August 2011, The airline has finalized the order and claimed that it would start deliveries in 2017 but due to the certain problems with the engines, the deliveries have to be moved in 2019.[30]

Cebu Pacific is planning to commence international long-haul flights to the Middle-East, the United States, Australia, and some parts of Europe using the Airbus A330-300.[31] The first long haul flight commenced to Dubai, United Arab Emirates on 7 October 2013.[32] Cebu Pacific is also applying for rights for a daily service to Auckland, New Zealand.[33] On 12 February 2018, Cebu Pacific announced that their subsidiary, Cebgo, will fly daily from Manila to Batanes starting March 25, 2018 until October 27, 2018.[34]

In 2016, Cebu Pacific revealed its new logo that represents the colors of the Philippines and also symbolizes as an evolution of a low-cost pioneer.[35]

Cebu Pacific Vice President for Market and Distribution Candice Iyog said the airline always prioritized building an extensive network within and from the Philippines.[35]

On 27 February 2018, Cebu Pacific, along with the Department of Tourism of Victoria announces the launch of 3x weekly service between Manila and Melbourne, starting 14 August 2018.

On June 18, 2019, During the 2019 Paris Air Show, Cebu Pacific signed an MoU for 16 A330neos, 10 A321XLRs and 5 A320neos. It will be one of the few launch carriers of the newly launched A321XLR[36]

Subsidiaries

In May 2015, for the fourth time, Tigerair Philippines rebranded into Cebgo to reflect the relationship between Tigerair Philippines as a wholly-owned subsidiary airline of its parent Cebu Pacific. By October 2015, Cebgo returned 5 Airbus A320 to Cebu Pacific and thereafter operated a pure Turboprop fleet of ATR 72-500.[37]

Destinations

Cebu Pacific currently flies to 37 domestic destinations and 27 international destinations in 15 countries across the Asia Pacific region. It has the most extensive domestic route network in the Philippines.

Fleet

Current fleet

As of November 2019, the mainline Cebu Pacific operates an all-Airbus fleet.[38][39]

Cebu Pacific fleet
Aircraft In service Orders Passengers[40] Notes
Airbus A320-200 31 180
Airbus A320neo 4 1 188
Airbus A321-200 7 230
Airbus A321neo 4 28 236[41] Deliveries until 2022.[42]
Plans to configure some A321neos to a 240-seat configuration.
Partly in the Airbus Cabin Flex (ACF) configuration.[43]
Airbus A330-300 8 436 To be replaced by A330-900s by 2021.
Airbus A330-900neo 16 460 Deliveries from 2021 until 2024.[44]
Total 54 45

On 16 June 2015 at the 2015 Paris Air Show, the airline announced an order for 16 ATR 72-600 aircraft for its regional branch Cebgo to meet growing demand in the Philippines for inter-island services. The airline will also be the launch customer of the new high-density Armonia cabin.[citation needed] On 22 January 2016 the airline received its first Airbus A320 painted in a new livery. The aircraft was delivered brand-new from the Airbus factory in Toulouse, France.[45]

Airbus A320

In 2003, Cebu Pacific ordered for 15 A320s to replace the Boeing 757 to become an all Airbus customer. Until in 2007, Cebu Pacific adds additional orders up to 7 A320s to expand domestic and international route networks.[46]

The Airbus A320 currently flies to domestic and international destinations in Southeast Asia, East Asia and Micronesia.

Airbus A321

In 2016, Cebu Pacific was supposed to receive the first batch of A321neos but agreed to postpone the deliveries while problems of the Pratt and Whitney PW1100G-JM engines that was supposed to power the A321neo. Instead, they ordered 7 A321ceo's to meet ongoing strong growth on its domestic and regional network. The latest contract comes on top of an existing order for 32 A321neo. “With the A321 Cebu Pacific will be able to respond to growing demand with the highest levels of efficiency. Carrying more passengers further, and at lower cost, the A321 is the perfect solution to meet the requirements of airlines worldwide in the middle of the market segment.”[47] In June 2011, Cebu Air Inc. announced that it was purchasing 30 Airbus A321neos and seven Airbus A320s for $3.8 billion, allowing it to more than double its fleet by 2021 and expand its international routes. The A320s would be delivered between 2015 and 2021, while the A321neo fleet would arrive from 2017 to 2021. The airline also took 10 additional options for the Airbus 321neos. Previous outstanding orders for 18 A320s to be delivered through 2014 brought the total Airbus order to 55.[48] The first A321 for Cebu Pacific (RP-C4111) arrived in Manila on March 22, 2018, and currently flying to domestic destinations.

On January 2019, Cebu Pacific received their first-ever 236-seater Airbus A321neo (Registered RP-C4118) powered with Pratt and Whitney engines.

They have also announced that they will be receiving 6 Airbus A321neos and 5 Airbus A320neos in 2019.[49]

Airbus A330

In 2007, The airline ordered six A330s to operate to Middle East destinations such as Dubai and sometimes Cebu and Davao flights and East Asia flights. In 2016, The airline added 2 A330s on its orders to be used in longer routes, such as to Australia.

At the 2019 Paris Air Show Cebu Pacific said it was going to purchase 16 A330-900s as part of a package which also incldes 10 A321XLR I will be configured in an all-economy layout of 460 seats, Chief Executive advisor ike cuz said that the plane will be a super aircraft.

Formerly operated

Cebu Pacific Retired Fleet
Aircraft Year Introduced Year Retired Replacement
McDonnell Douglas DC-9-30 1996 2006 Airbus A320
Boeing 757-200 2000 2006 Airbus A320
Airbus A319-100 2005 2018 Airbus A321

Partnerships

Cebu Pacific was the only Philippines-based member airline of Northwest Airlines' WorldPerks award travel program. WorldPerks offered regular travellers the ability to obtain free tickets, first-class upgrades on flights and other types of rewards. On August 1, 2006, Northwest and Cebu Pacific ended their mileage-accrual agreement[citation needed]. Cebu Pacific codeshares flights with Garuda Indonesia via Jakarta to Manila.

On 16 May 2016, Cebu Pacific became a founding member of the world's largest low-cost carrier alliance, Value Alliance.[50] It joined other pioneer members Singapore Airlines' Scoot, South Korea's Jeju Air, Thailand's Nok Air and NokScoot, Tigerair, Tigerair Australia, and Japan's Vanilla Air in the low-cost carrier network.[51] Cebu Pacific is also currently the only Philippine carrier which is a member of an airline alliance.

Incidents and accidents

References

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  2. ^ "2015 Annual Report". Philippine Stock Exchange. Philippine Stock Exchange, Inc. Retrieved April 20, 2019.
  3. ^ "Cebu Air Financial Report". Philippine Stock Exchange. Retrieved April 20, 2019.
  4. ^ "Call Center / Guest Services / Product Ideas Archived 2010-04-01 at the Wayback Machine." Cebu Pacific. Retrieved on March 31, 2010.
  5. ^ CEB eyes Clark Archived 2008-01-13 at the Wayback Machine
  6. ^ a b "Directory: World Airlines". Flight International. April 3, 2007. p. 62.
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  33. ^ "Plans for direct flights from the Philippines". Stuff. Retrieved May 7, 2016.
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  35. ^ a b "Cebu Pacific New Logo". rappler.com.
  36. ^ "Cebu Pacific orders 31 Airbus Planes during Paris Air Show".
  37. ^ {{cite news|title=TigerAir Philippines rebranded into Cebgo|url=http://www.rappler.com/business/industries/171-aviation-tourism/92832-tigerair-philippines-rebranded-cebgo
  38. ^ "Our Fleet". Cebu Pacific.
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  40. ^ https://blueswandaily.com/cebu-pacific-upgauges-with-460-seat-a330neo-240-seat-a321xlr-and-194-seat-a320neo/
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