PAL back to profitability after a 2021 Chapter 11 restructuring

Every generation needs a revolution - an entrepreneurial revolution

PAL is back in business and is buying new planes and reeestablishing old routes which it closed after a 2021 restructuring which saw the company effectively reducing costs and reducing/writing off $2b in debt.  It gained profitability of about $200+ million (thats billions of pesos)   Thanks to the departure of covid and renewed confidence of people on air travel.

Congratulations to PAL.   

PAL back on the black

Del Monte files for bankruptcy

Every generation needs a revolution - an entrepreneurial revolution

If my info is right, this is owned by Del Monte PHL whose boss is a scion of a pharma company.  The vice chair is a former classmate in college who is also the head of BGC.  We are lucky we dont own that big company to lose that big.  Although the Chapter 11 proceedings does not necessarily mean it is bad for that company (since this gives a lot of breathing room for the company to survive and save its cash flow.  We are lucky we are not in that situation, and not have lost that much

 We wish Del Monte well and may its managers and leadership survive this difficult situation.

But this post is aware that it is a bit of challenge to do business in USA.  Way back then, we engaged to have a business plan for food processing plant in CA to be purchased by frozen meat product company based in Region 3.  The study, for which we were not paid (Ugghhh) showed that costs especially labor would be untenable.

The conclusion that Halal foods to be exported to ME would be a better alternative

Other possible reasons for the difficulty:

    1.  On line sales and delivery

    2.  High debt and the flipping of the firm by investment firms have been difficult;

    3.   The house brands of supermarkets cut into the sales and market share.

So things were rather challenging for DM.   News has it lately that they are recovering.  Food is an essential need