PAL says it will co-operate with government in settling debt

MANILA, Philippines – The Philippines’ flag carrier says it will co-operate with the government in resolving what authorities say are 7.28 billion pesos ($143 million) it owes in navigational fees and other charges.

Philippine Airlines said Thursday that the alleged unpaid charges involve “complex legal issues” which it has been trying to thresh out with the Civil Aviation Authority of the Philippines for years.

President Rodrigo Duterte on Tuesday said he has warned PAL to settle its arrears in 10 days or risk the closure of the airport terminal it is using.

The Department of Transportation says letters were sent to PAL as early as August 2016 demanding full payment of all unpaid charges.