AirAsia PH settles its P271.9 million debt—CAAP
The Civil Aviation Authority of the Philippines said that AirAsia Philippines has settled its financial debt amounting to more than P270 million.
The Philippine STAR reported that the company has complied with the directive to settle its obligations, but CAAP noted that the account will still undergo standard reconciliation.
"CAAP acknowledges and appreciates the airline’s cooperation and its commitment to addressing its obligations through constructive engagement and coordination with the authority," they said in a statement.
"CAAP remains committed to working closely with all aviation stakeholders to ensure regulatory compliance, maintain the stability of air transport operations and safeguard the interests of the traveling public," it said.
This comes after the agency gave AirAsia Philippines until June 6 to settle their debts, which could potentially suspend its operations if left unsettled.
The airline, however, denied rumors that its Philippine operations were being grounded as "entirely false" and stated they "do not reflect the reality of the business or operations of the airline."
"All Z2 flights remain fully operational, with flights and services continuing as scheduled across its network, subject to normal operational considerations such as weather and other standard factors affecting airline operations," they wrote in a press release.
They also condemned the "coordinated and sensationalised reports" are part of a "deliberate smear campaign" as part of a deliberate smear campaign designed to stifle competition in the Philippine aviation industry.
According to the airline, such narratives serve only to limit consumer choice and pave the way for a market monopoly. "A monopoly benefits no one except dominant market players," AirAsia stated, warning that a lack of competition ultimately hurts travelers through fewer choices and significantly higher airfares.
