Aeromexico has begun voluntary Chapter 11 proceedings in the US, with the aim of using the process to “strengthen its financial position and implement necessary operational changes to address the impact of the ongoing COVID-19 pandemic and create a sustainable platform for the future”.
The Skyteam carrier said it would continue flying, and stressed that all tickets, reservations, electronic vouchers and points held within it Club Premier loyalty programme would remain valid.
The airline also said that it expects to meet its current commercial agreements with partner airlines, including its Joint Cooperation Agreement with Delta Air Lines, which was launched in 2017. Delta owns a 49 per cent stake in Grupo Aeromexico.
Following the Chapter 11 announcement Aeromexico plans to double the number of domestic flights in July (compared to June), and quadruple the number of international services.
CEO Andres Conesa said that the carrier was “committed to taking the necessary measures so that we can operate effectively in this new landscape and be well prepared for a successful future when the COVID-19 pandemic is behind us”.
Aeromexico is the latest in a series of airlines worldwide to seek bankruptcy protection or state funding as a result of the Covid-19 pandemic.
Fellow Latin American carriers LATAM and Avianca filed for Chapter 11 protection in May, while Air Mauritius and Virgin Australia both went into voluntary administration in April.
In Europe Lufthansa has secured a €9 billion bailout, while Air France and KLM have between them secured over €10 billion in government funding.
For more information relating to Aeromexico’s Chapter 11 process, visit aeromexico.com/reorganization.
