C08229-2020

SECURITIES AND EXCHANGE COMMISSIONSEC FORM 17-C

CURRENT REPORT UNDER SECTION 17
OF THE SECURITIES REGULATION CODE
AND SRC RULE 17.2(c) THEREUNDER

1. Date of Report (Date of earliest event reported)
Nov 25, 2020
2. SEC Identification Number
PW-94
3. BIR Tax Identification No.
000-707-922
4. Exact name of issuer as specified in its charter
PAL Holdings, Inc.
5. Province, country or other jurisdiction of incorporation
Philippines
6. Industry Classification Code(SEC Use Only)
7. Address of principal office
8th Floor, PNB Financial Center, President Diosdado Macapagal Ave., CCP Complex, Pasay City Postal Code 1307
8. Issuer's telephone number, including area code
(02) 8810-2451
9. Former name or former address, if changed since last report
Not Applicable
10. Securities registered pursuant to Sections 8 and 12 of the SRC or Sections 4 and 8 of the RSA
Title of Each Class Number of Shares of Common Stock Outstanding and Amount of Debt Outstanding
Common 11,610,978,242
11. Indicate the item numbers reported herein
Item 9

The Exchange does not warrant and holds no responsibility for the veracity of the facts and representations contained in all corporate disclosures, including financial reports. All data contained herein are prepared and submitted by the disclosing party to the Exchange, and are disseminated solely for purposes of information. Any questions on the data contained herein should be addressed directly to the Corporate Information Officer of the disclosing party.

PAL Holdings, Inc.PAL

PSE Disclosure Form 4-13 - Clarification of News Reports References: SRC Rule 17 (SEC Form 17-C) and
Section 4.4 of the Revised Disclosure Rules

Subject of the Disclosure

Clarification of News Reports
Source Nikkei Asia
Subject of News Report “Philippine Airlines plans to seek court protection from creditors”
Date of Publication Nov 25, 2020
Clarification of News Report

25 November 2020

DISCLOSURE DEPARTMENT
THE PHILIPPINE STOCK EXCHANGE, INC.
Philippine Stock Exchange Plaza,
PSE Tower, 5th Avenue corner 28th Street,
Bonifacio Global City, Taguig City

Attention: MS. JANET A. ENCARNACION
Head, Disclosure Department

Gentlemen:

This refers to your letter dated 25 November 2020, seeking clarification of the news article “Philippine Airlines plans to seek court protection from creditors” posted in Nikkei Asia today, which reported in part that:

“MANILA -- Philippine Airlines is poised to seek court protection for its debt restructuring as the pandemic-hit flag carrier fights for survival, Nikkei Asia has learned.

The company, which is cutting around 2,700 jobs, or a third of its workforce, is also looking to return around 20 of its leased aircraft to relieve a financial burden amounting to at least $1 billion and raise $505 million ‘for post-restructuring liquidity requirements.’

These plans were disclosed by airline officials during an online town hall meeting with employees and in a separate meeting with the Department of Finance last week, according to people briefed about the matter and meeting materials reviewed by Nikkei.

The plans for a court-backed restructuring come amid deepening financial distress brought about by the COVID-19 crisis.

. . . . President Gilbert Santa Maria told employees during the townhall meeting that the process was necessary to help the airline survive the pandemic. The management is also said to be looking to avoid a scenario in which an administrator would decide the airline's fate -- or, even worse, an asset liquidation.

The airline, which is partly owned by Japan's ANA Holdings, is also looking to raise $505 million through ‘debtor in possession’ financing to be used ‘for post-restructuring liquidity requirements,’ according to meeting materials reviewed by Nikkei. Of that total, $255 million is expected to be raised by Philippine Airlines' controlling shareholder, tycoon Lucio Tan, and $250 million from private and government banks.

. . . .

The Lucio Tan group has already made a series of capital infusions to keep the airline afloat, including: $225 million in deposits for future stock subscription, $122 million in advances in March and $72 million in non-aviation asset sales, according to materials reviewed by Nikkei.

. . . .”

Please be informed that we sought clarification from Philippine Airlines (PAL) on the above-quoted article and was informed that there have been no definite decision on the matter. The instruction from the Board is to continue to study the best options for the airline as of this time.

We have no further information other than the above.

We trust you will find the foregoing in order.



Very truly yours,
PAL HOLDINGS, INC.

By:

MA. CECILIA L. PESAYCO
Corporate Secretary
Other Relevant Information

None.
Filed on behalf by:
Name Ma. Cecilia Pesayco
Designation Corporate Secretary