Cebu Pacific Air Launches Tender for 100-150 Aircraft to Triple Capacity

Philippine carrier Cebu Pacific Air is set to initiate a Request for Proposals (RFP) for the acquisition of 100-150 narrowbody aircraft, aiming to award the entire contract to a single manufacturer. According to CEO Michael Szucs, the airline anticipates a competitive process, with the RFP expected to be issued by October 20, 2023. Initial bids are projected by the year-end, and a decision will be made in the first quarter of 2024. The new aircraft deliveries are scheduled to commence in 2027 and be completed by 2035.

Cebu Pacific Air aims to nearly triple its annual capacity with the fleet expansion, reflecting optimism about the growth potential in the Filipino market, supported by improving infrastructure. Approximately a dozen of the newly ordered aircraft are planned for allocation to the future base at ICAO!CHA5 airport. The airline is also exploring potential new bases at Panglao and Kalibo airports, as indicated by President and COO Alexander Lao.

CFO Mark Cezar emphasized that the pre-delivery payments for the aircraft will be financed through existing cash flow, and the airline does not anticipate seeking fresh capital from the market for the fleet expansion.

Cebu Pacific Air’s current fleet includes A320s, A321s, A330s, and ATR72s. The airline has existing orders for additional Airbus A320neo and A321neo variants, A321XLRs, A330-900s, and ATR72-600s. The planned retirement of all A320ceo Family aircraft is set for the end of 2027. While Cebu Pacific Air has operated exclusively Airbus jet aircraft for nearly two decades, its earlier fleet included DC-9-30s and B757-200s, which were retired by 2006.