GRUPO AEROMEXICO COMPLETES FIRST STEP IN RESTRUCTURING PROCESS


Mexico City, July 01, 2020 (GLOBE NEWSWIRE) -- Company Obtains Court Approval of All Requests at "First Day" Hearing

 Aeromexico Continuing to Serve Customers and Operate with Focus on Health and Safety of Employees and Customers

 

Mexico City, July 1, 2020 -- Grupo Aeromexico S.A.B. de C.V (“Aeromexico” or the “Company”) (BMV: AEROMEX) today announced that is has received Court approval of all "First Day" motions that were presented at the “First Day” hearing that was held on July 1, 2020 following the Company’s voluntary Chapter 11 filing on June 30. The Court orders will help support Aeromexico’s ongoing operations throughout the restructuring process.

“We are pleased with the Court’s prompt consideration and approval of these motions, which will help ensure business continuity throughout this process,” said Andrés Conesa, Chief Executive Officer of Aeromexico. “Grupo Aeromexico remains focused on doing everything we can to protect the future of the company and continuing to create memorable and safe flying experiences for all of our customers. This represents a significant milestone and first step forward in a restructuring process that we believe help us achieve those objectives. We look forward to continuing to safely expand flight service in the coming months, in line with local regulations and customer demand.”

Among the motions that were approved by the Court are requests to allow Aeromexico to continue to pay employee wages and benefits in the ordinary course of business; honor already purchased tickets and vouchers and maintain the Company’s Premier Points program without any changes or impact to customer point balances; maintain existing agreements with travel agencies, corporations and partner airlines; and pay suppliers in the ordinary course of business for goods and services provided on or after the June 30, 2020 Chapter 11 filing date.

As previously announced, Aeromexico remains in talks to obtain debtor-in-possession (DIP) financing for the Company as part of the restructuring process. Aeromexico is confident that it will finalize formal commitments for DIP financing that, along with the Company’s available cash and subject to Court approval, would provide sufficient liquidity for Aeromexico to meet its obligations going forward.

 

Additional information

Additional information about the Chapter 11 case is available by visiting Aeromexico’s dedicated website, https://vuela.aeromexico.com/reorganization. Access to Court filing and other documents related to this process, including copies of the First Day Motions and Court Orders, can be found at https://dm.epiq11.com/Aeromexico, or by calling Aeromexico’s restructuring information line at:

855-917-3578 (Toll free in the U.S.)

+ 1 503-520-4473 (International callers)

Davis Polk & Wardwell LLP and Cervantes Sainz are acting as Aeromexico’s legal counsel, Rothschild & Co. is acting as financial advisor, and AlixPartners, LLP is serving as restructuring advisor to the Company.

 

About Grupo Aeromexico

Grupo Aeromexico, S.A.B. de C.V. is a holding company whose subsidiaries are engaged in commercial aviation in Mexico and the promotion of passenger loyalty programs. Aeromexico, Mexico’s global airline has its main hub at Terminal 2 at the Mexico City International Airport. Its destinations network features the United States, Canada, Central America, South America, Asia and Europe. The Group's operating fleet of 119 aircraft is comprised of Boeing 787 and 737 jet airliners and Embraer 170 and 190 models. Aeromexico is a founding member of the SkyTeam airline alliance, which celebrated its 20th anniversary, and serves in 170 countries by the 19 SkyTeam airline partners. Aeromexico created and implemented a Health and Sanitization Management System (HSMS) to protect its customers and employees at all steps of its operations.

 

Media Contacts

United States

Sard Verbinnen & Co

Steven Goldberg/Jared Levy/Danya Al-Qattan
AM-SVC@sardverb.com

 

Mexico

Aeromexico’s Corporate Communication

amcomunicacioncorporativa@aeromexico.com

 

Investor Contacts

Investor Relations

aminvestorrelations@aeromexico.com

 

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