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Gokongwei says sorry for Cebu Pacific's canceled flights during Christmas holidays


Cebu Air Inc. president and CEO Lance Gokongwei on Wednesday apologized for the widespread flight delays and cancelations over the holidays and agreed that the budget airline should be fined.
 
"Last Christmas, we let them down and I'm profoundly sorry that we failed them," Gokongwei told a House Transportation committee during the hearing on Wednesday.
 
The Civil Aeronautics Board (CAB) imposed a P52-million fine against the Gokongwei-led airline for operational lapses and a disproportionate number of delayed and canceled flights over the Christmas holidays.
 
"We are waiting the final legal advice as to whatever basis of amount discussed, because of the serious precedence it may set for other issues in the previous past, as it affects the entire industry...
 
"But certainly we do agree there should be a penalty in place," Gokongwei said.
 
He noted the performance of ground handling agent for domestic operations was inadequate. "Our ground handling agent failed to meet manning and service level commitments."
 
There was a shortfall of "promised domestic check-in agents on the afternoon and evening of 25th.
 
"By the early morning of 26th, we were faced with unprecedented absenteeism which created chaotic situation at our check-in counters," he added.
 
Gokongwei said the airline is reviewing the performance of its ground handler "in order to ensure that the appropriate service levels are maintained in the future."
 
Cebu Pacific earlier said the widespread cancellations were due to air traffic congestion, weather conditions, and sudden absence from work of ground crews.
 
"In hindsight, we should have been more aggressive in pursuing remedial measures including increasing number of frontline staff and being more vigilant in supervision of ground handler," he said.
 
Cebu Air took initial steps to prevent a recurrence of the massive flight delays and cancellations over the Christmas holidays, Gokongwei said.

Data submitted to the Department of Transportation and Communications (DOTC) showed that Cebu Pacific had 20 canceled flights and 288 delayed flights at the Ninoy Aquino International Airport Terminal 3 from Dec. 24 to Dec. 26.
 
At the House hearing, Bayan Muna Rep. Neri Colmenares, asked Gokongwei if the budget airline overbooked from Dec. 24 to 26.
 
"From our records which we submitted to CAB, we conservatively overbook up to one to two percent on the flights," Gokongwei said. 
 
"We thought we were quite conservative," Gokongwei said, noting that based on historical data on holidays, about four percent of passengers do not take flights they have booked.
 
However, Colmenares said: "I believe overbooking is one of the main causes for these delays and cancelations."
 
According to Gokongwei, the overbooking practice is allowed throughout the airline industry because historically,  there is always a percentage of passengers who do not appear for their flights.
 
"In order for us to provide service to great number of passengers, we allow very limited overbooking," he said.
 
The House Transportation committee at the end of the meeting adopted a resolution "expressing the sense of the committee to address grievances including compensation of all passengers who were affected by the delays and cancellations  of flights by airlines companies especially during December 24, 25, 26 at the Ninoy Aquino International Airport Terminal 3."
 
"Pwedeng sundin ang (resolution) pwedeng hindi, at least for the record nag-express ng sentiment ang committee," Catanduanes Rep. Cesar Sarmiento told reporters in an interview after the hearing. VS/ELR, GMA News