PAL, Asia's oldest airline, has been unable to make payments on dlrs 2.1 billion in debt after being devastated by a pilots' strike and by Asia's currency crisis. PAL earlier accepted a preliminary investment offer from Cathay Pacific, Ailing Philippine Airlines and prospective investor Cathay Pacific Airways have clashed over the laying off of PAL workers, prompting PAL to revive talks with another foreign airline, an official said Tuesday. Cathay Pacific Airways said Wednesday it had pulled out of talks to buy a stake in ailing Philippine Airlines _ making the uncertain future at PAL even cloudier.