Philippine Airlines is the latest Asian flag carrier requesting court approved debt restructuring.
It wants protection from creditors while it seeks to raise more than $500 million according to Nikkei Asian Review.
The carrier will also return about 20 leased aircraft to reduce costs by at least $1 billion, and may make more staff cuts.
"Philippine Airlines management and stakeholders continue to work on a comprehensive recovery and restructuring plan that will enable PAL to emerge financially stronger from the current global crisis," the airline said.
"We will make the necessary disclosures at the proper time, once details are finalised."
PAL’s revenues for the year to September plunged 61%.
"The reduction in revenues was mainly due to the drop in passenger and ancillary revenues as a result of flight cancellations starting March 2020 due to Covid-19," parent company PAL Holdings Inc. said.
In a virtual briefing with staff, President Gilbert Santa Maria said the rehabilitation process is essential if the airline is to survive.
Written by Ray Montgomery, Asia Editor
