Aeroméxico requested the cancellation of lease contracts for 23 aircraft, 10 for Aeroméxico and 13 for Aeroméxico Connect, as part of its debt restructuring process.
In the framework of its request for Chapter 11 of the Bankruptcy Law in the US, the airline states that the aircraft does not conform to the current business plan of the firm and are not beneficial to them either.
« As part of their current efforts to reduce costs and streamline their fleets, the debtors (Aeroméxico) determined that the excess rental equipment no longer fits in their business plan and, consequently, will not be used by them. Similarly, the leases do not currently provide benefits to the debtor’s finances or benefits that are substantially less than the corresponding costs, ”states the document presented last Friday.
In the explanatory memorandum, Aeroméxico insists that a similar request has not been made before and similar requests have not been denied to other similar companies, such as Latam.
The contracts the airline asked to cancel correspond to nine Embraer E-170LR aircraft and four more without model data from the Connect service; as well as five Boeing B737-700W aircraft and five more Boeing B737-800W.
Aeroméxico’s fleet currently consists of 126 aircraft, of which 25 are its own and the other 101 are divided into 96 units for rent through a standard operating lease and five more are under a Japanese operating lease, where the Japanese shareholders are the owners and have Purchase options.
After falling to its historical low before the request for restructuring, Aeroméxico shares were trading this Monday at 4.99 pesos at 10:38 a.m., with a loss of 3.48% compared to Friday’s close.