Aeroméxico Ends Chapter 11 Procedure, Increases Passenger Count

Aeroméxico concluded its Chapter 11 procedures after the US Bankruptcy Court, from the Southern District of New York, issued its final agreement to finalize the process, as the airline overcame a lengthy exercise that began in 2020 in response to the effects of the COVID-19 pandemic. 

Grupo Aeroméxico informed that it entered the final agreement, closing and providing the necessary actions to complete its restructuring procedure with its reorganized debtors: subsidiaries Aerovías de México, S.A. de C.V., Aerolitoral, S.A. de C.V. and Aerovías Empresa de Cargo, S.A. de C.V. 

“Considering, among other things, that the debtors' reorganized restructuring plan, enforced on March 17, 2022, has been consummated substantially and distributions have been made on account of almost 100 percent of all eligible allowable applications for recognition, the Court determined that the issuance of the final agreement was appropriate. Davis Polk & Wardwell LLP and Sainz Abogados S.C. acted as legal advisers of Aeromexico, Rothschild & Co. acted as financial advisor and AlixPartners, LLP, acted as restructuring advisor to the company,” explained Aeroméxico via a press release. 

Aeromexico also reported its operational statistics for November 2022, which recorded an increase in passengers of 30.6 percent year-on-year, totaling 2,040,000 passengers. In the international market, the airline increased its year-on-year transported passengers by 32.8 percent, while growing its domestic market by 29.8 percent in comparison to November 2021.

Grupo Aeroméxico’s total supply in available seat kilometers (ASKs), increased 32.7 percent compared to November 2021 and its capacity in the international market grew 34.6 percent in the same period. In the domestic market, the airline also increased its capacity by 29.9 percent. 

The airline’s demand showed a 33.5 percent increase in passenger-kilometers (RPKs) in comparison to November 2021, while in the international and domestic market it showed increases of 37.3 percent and 28 percent, respectively. Aeroméxico’s load factor remained the same, at 82 percent, the result of an increase of 0.8 percentage points in the international market and a decrease of 1.2 percentage points in the domestic market. 

“In November 2022, Aeroméxico reported that, starting in March 2023, it will begin traveling to Rome, Italy (FCO) and Tokyo, Japan (NRT), offering three and seven weekly frequencies, respectively, from Mexico City International Airport (MEX),” explained the airline via a press release.