Tag Archives: AeroMexico

AeroMexico’s Boeing 787-8 N966AM is damaged by a hail storm

AeroMexico’s Boeing 787-8 Dreamliner N966AM was caught in a hail storm on April 21 on flight AM 179 between Tijuana and Mexico City. The airliner shows damage by hail on the fuselage.

ALC leases nine Boeing 737 MAXs to AeroMexico

Air Lease Corporation announced long-term lease agreements for nine new Boeing 737 aircraft with Aeromexico.  Consisting of two new 737-8 MAX 8s and seven new 737-9 MAX 9s, the aircraft are scheduled to deliver between July 2022 and August 2023 from ALC’s order book with Boeing.

Aeroméxico concludes its restructuring process, exits bankruptcy

AeroMexico has emerged from its Chapter 11 bankruptcy reorganization following a 21-month process. The reorganized company is now valued at $2.56 billion. Delta now owns 20% of the restructured company.

Grupo Aeroméxico issued this legal announcement:

Grupo Aeroméxico, S.A.B. de C.V., informs that, as disclosed in our prior relevant event of this date, (i) the resolutions adopted by the Shareholders Meetings of the Company held on January 14 and February 14, 2022 are now effective, (ii) Aeroméxico has consummated its Plan of Reorganization (and ancillary documents thereto) (jointly; and (iii) it has successfully concluded its financial restructuring process and emerged from its Chapter 11.

The delivery of the new listed and consolidated shares (reflecting the effects of the consolidation (reverse split) of shares), representing the new capital stock of the Company as of today, will be delivered, directly through the S.D Indeval, Institución para el Depósito de Valores, S.A. de C.V., or through the custodian broker S3 Caceis, in favor of the brokers and/or custodians of shareholders owning shares representing the new capital stock of Aeroméxico.

As set forth in the Plan of Reorganization, the equity value of the reorganized Company (“Plan Equity Value“) is approximately US$2,564′000,000.00 dollars, and the new outstanding listed shares are 136,423,959 (excluding treasury shares pending to be subscribed in the amount of 13,642,396). The authorized total amount of shares issued by the Company are 150,066,355 shares.

The theoretical value of the new shares is approximately of $389.0187 pesos per share (Plan value of the Company (US$2,564′000,000.00 dollars) divided by new subscribed shares (136,423,959), which results in approximately US$18.79 dollars per share converted at the official exchange rate ($20.7035 pesos per one dollar of the United States of America) published today by the Central Bank of Mexico in the Official Gazette of the Federation (Diario Oficial de la Federación)), which should start being reflected by the market.

The largest shareholders of the reorganized Company include funds managed by Apollo Global Management, Delta Air Lines, as well as existing and new Mexican investors that formed the group with voting control. The Baupost Group, Silver Point Capital, Oaktree Capital Management and other funds that were part of the ad hoc groups of creditors are also shareholders after investing approximately US$720 million in new capital. This is in addition to other amounts related to fees accrued on the “DIP Facility” and on the new equity contributions payable in new stock as provided in the Plan of Reorganization.

Additionally, key stakeholders are funding new exit debt of approximately US$762.5 million in the form of new U.S. dollar denominated Notes.  As a result of the Plan and related transactions, the Company gained access to approximately US$1,500′000,000.00 dollars in new capital.

Pursuant to the resolution of the Shareholders Meetings, a new Board of Directors has been formed that is comprised of a majority of Mexican nationals and independent members in full compliance with Mexican foreign investment law and regulations, along with the continued participation of existing Mexican controlling investors, the Chairman of the Board, Javier Arrigunaga, and the CEO, Andres Conesa.

Today is an incredibly exciting day for Aeroméxico and we are ready to soar to new heights as we emerge from Chapter 11. We look forward to starting a new chapter in our Company’s history, backed by a sound financial base, solid capital structure, and investors who have full confidence in our future. Thanks to the dedication of the entire talented Aeroméxico family, as well as the support, trust, and empathy of our customers, unions, authorities, suppliers, and business partners, we have successfully completed this process. As we move forward, we will not only continue to streamline our Company to become even more sustainable, resilient, and competitive, but we will also significantly expand our network and fleet – all while offering excellent service and maintaining our position as Mexico’s flagship airline“, said Mr. Conesa.

Throughout the restructuring process, Aeroméxico has worked to expand its operations sustainably, opening six new routes, restarting service on more than 30, and increasing its total seat offering by more than 320% compared to June 2020 figures. The Company currently flies 84 national and international routes, connecting bustling cities in Mexico, such as Guadalajara and Monterrey, to the European market through Madrid. In 2022, Aeroméxico plans to continue building on this momentum, including the restart of services to London.

Since 2021, Aeroméxico has received 31 airplanes and expects to receive 22 more over the course of 2022. At the end of this year, the Company expects to have a fleet of 145 aircraft with an average age of seven years.

Aeroméxico is planning to invest approximately US$5′000,000,000.00 dollars over the next five years in fleet and customer experience improvements allowing the Company to maintain its state-of-the-art service.

Aeroméxico will continue serving customers, honoring milestone program, restarting service on certain international routes and opening new routes, while continuing to comply with strict protocols to protect the health and safety of employees and customers. Aeroméxico continues operating in full observance of all applicable Mexican laws and requirements under public concessions granted by the Federal Government, controlled by Mexican investors.

Aeroméxico’s Plan of Reorganization is confirmed by the Bankruptcy Court

XA-SSS

Grupo Aeroméxico, S.A.B. de C.V. informs that the hearing to consider confirmation of the Joint Plan of Reorganization of the Company and its subsidiaries that are debtors in the Company’s Chapter 11 voluntary financial restructuring process has successfully concluded, and the Bankruptcy Court formally announced that it has confirmed the Plan.

January 28, 2022 represents the most important milestone to date for the Company’s restructuring process.  Aeroméxico will continue working with all its key stakeholders to swiftly emerge from Chapter 11, at which point the corporate resolutions adopted at the Shareholders Meeting held on January 14, 2022 will become fully effective.

Andres Conesa, Company’s CEO, stated “This is a very important day for the Aeroméxico Family. I want to thank all my colleagues for their hard work and dedication; I am very proud to be part of a great team of world class airline professionals. I want to thank our employees and Board for their invaluable support, and to all of our restructuring advisors who did an outstanding job helping us lead our beloved airline through these turbulent times. I want to express my sincere gratitude to Judge Chapman and her team who conducted this process in an exemplary way. Finally, I want to thank all stakeholders and the new investor group for having confidence in Aeroméxico and for giving us wings to fly even higher through the skies of Mexico and the world.”

Note: Under the plan, AM is expected to reduce its Embraer 170 and 190 fleet while increasing its Boeing 737-8 MAX 8 and 737-9 MAX 9 fleet.

Top Copyright Photo: AeroMexico Boeing 787-9 Dreamliner XA-SSS (msn 62147) PAE (Nick Dean). Image: 954634.

AeroMexico aircraft slide show:

AeroMexico aircraft photo gallery:

AeroMéxico expands operations to Terminal 1 at Mexico City Airport

Grupo Aeroméxico, S.A.B. de C.V. informs that as part of the airline’s strategy, starting December 11, 2021, it will extend its operations at Mexico City International Airport (AICM) to Terminal 1 (“T1”). The Company will initially operate 20 daily departures from T1 and will continue to operate from Terminal 2.  The Company will launch an extensive communication campaign through all its official channels to ensure that customers are duly informed about any changes to their original schedule and arrive for check-in at the correct terminal. Aeromexico will relocate operations of nine domestic routes to T1: Campeche, Durango, Los MochisMatamorosNuevo LaredoReynosaTampicoZacatecas and Zihuatanejo, and also will offer lounge access to eligible customers departing from T1.

AeroMéxico files its Plan of Reorganization

AeroMexico Boeing 737-8 MAX 8 XA-MAO (msn 43707) JFK (Jay Selman). Image: 404116.

Grupo Aeroméxico, S.A.B. de C.V. informs that on October 1, 2021, it filed, together with its subsidiaries that are debtors in the Company’s Chapter 11 voluntary financial restructuring process, the Joint Plan of Reorganization (the “Plan”), a disclosure statement related to the Plan (the “Disclosure Statement”) and a motion to approve solicitation procedures with respect to the Plan. The Company intends to file one or more supplements to the Plan on the schedule set forth in the Plan or as otherwise ordered by the Court. A hearing to approve the Disclosure Statement is expected to be held on or about October 21, 2021. Upon entry of an order approving the Disclosure Statement, the Company intends to begin the process to solicit votes on the Plan.

The filing of the Plan is a key milestone on the Company’s path to emergence from its Chapter 11 process, and the Company looks forward to continue to engage with its stakeholders to finalize the Plan on a consensual basis.

Aeroméxico will continue pursuing, in an orderly manner, its voluntary financial restructuring through Chapter 11, while continuing to operate and offer services to its customers and contracting from its suppliers the goods and services required for operations. The Company will continue to strengthen its financial position and liquidity, protect and preserve its operations and assets, and implement necessary adjustments to mitigate the effects of COVID-19.

Top Copyright Photo: AeroMexico Boeing 737-8 MAX 8 XA-MAO (msn 43707) JFK (Jay Selman). Image: 404116.

AeroMexico aircraft slide show:

Aeromexico obtains court approval extending the exclusive period to file a plan

Grupo Aeroméxico, S.A.B. de C.V. informs that the United States Bankruptcy Court for the Southern District of New York, presiding over Aeromexico’s Chapter 11 voluntary financial restructuring process, has approved a 75 calendar day extension of the Company’s exclusive period to propose a plan of reorganization.  The Court approved the extension because, among other reasons, of the good progress the Company has made with its restructuring.

Aeromexico will continue pursuing, in an orderly manner, its voluntary financial restructuring through Chapter 11, while continuing to operate and offer services to its customers and contracting from its suppliers the goods and services required for operations. The Company will continue to strengthen its financial position and liquidity, protect and preserve its operations and assets, and implement necessary adjustments to mitigate the effects of COVID-19.

AeroMexico receives court approval for its new Boeing order

AeroMexico Boeing 787-9 Dreamliner XA-ADG (msn 44426) PAE (Nick Dean). Image: 940207.

Grupo Aeroméxico, S.A.B. de C.V. has announced that following the information disclosed on April 23, 2021, regarding (i) Aeromexico’s agreement to increase its fleet with twenty-four (24) new Boeing 737 MAX aircraft, including Boeing 737-8 and Boeing 737-9 MAX and four (4) 787-9 Dreamliner aircraft as part of its restructured agreements with the manufacturer and certain lessors and (ii) Aeromexico’s related agreements with other suppliers and financial entities ((i) and (ii) collectively, the Company informs that the United States Bankruptcy Court for the Southern District of New York, presiding over Aeromexico’s Chapter 11 voluntary financial restructuring process, has approved Aeromexico’s entry into the Transactions.

Aeromexico will continue pursuing, in an orderly manner, its voluntary financial restructuring through Chapter 11, while continuing to operate and offer services to its customers and contracting from its suppliers the goods and services required for operations. The Company will continue to strengthen its financial position and liquidity, protect and preserve its operations and assets, and implement the necessary adjustments to face the impact from COVID-19.

Top Copyright Photo: AeroMexico Boeing 787-9 Dreamliner XA-ADG (msn 44426) PAE (Nick Dean). Image: 940207.

AeroMexico aircraft slide show:

AeroMexico to add 24 new Boeing 737 MAX aircraft and four 787-9 Dreamliners

AeroMexico Boeing 787-9 Dreamliner XA-ADG (msn 44426) PAE (Nick Dean). Image: 940208.

AeroMexico has made this announcement:

Aeromexico has reached agreement to increase its fleet with twenty-four (24) new Boeing 737 aircraft, including B737-8 and B737-9 MAX, and four (4) 787-9 Dreamliner aircraft as part of the airline’s restructured agreements with the manufacturer and certain lessors to incorporate new aircraft. Other suppliers and financial entities also participated in these transactions, resulting in a comprehensive deal that offers multiple benefits to the carrier.

Note: AeroMexico resumed 737 MAX operations on November 18, 2020.

Image: Boeing.

Image AeroMexico.

The addition of the first aircraft is scheduled for this year, with nine (9) offering service beginning this summer season, and the rest arriving in the second half of 2021 and during 2022. These transactions represent a milestone in Aeromexico’s transformation for the upcoming years, and their economic terms are highly competitive compared to current market levels.

These transactions make it possible for Aeromexico to modify long-term maintenance contracts and reduce leasing costs of eighteen (18) other aircraft that are part of the current fleet. Aeromexico estimates that reaching this comprehensive agreement will lead to total savings of approximately 2 billion dollars.

The comprehensive agreements are subject to the approval of the United States Court for the Southern District of New York, in charge of Aeromexico’s Chapter 11 voluntary financial restructuring process.

Aeromexico’s current fleet is comprised of 107 aircraft: 47 Embraer 190s, 42 Boeing 737s, and 18 Boeing 787 Dreamliners.

Image: AeroMexico.

Aeromexico will continue pursuing, in an orderly manner, its voluntary financial restructuring through Chapter 11, while continuing to operate and offer services to its customers and contracting from its suppliers the goods and services required for operations. The Company will continue to strengthen its financial position and liquidity, protect and preserve its operations and assets, and implement the necessary adjustments to face the impact from COVID-19.

Top Copyright Photo: AeroMexico Boeing 787-9 Dreamliner XA-ADG (msn 44426) PAE (Nick Dean). Image: 940208.

AeroMexico aircraft slide show: