Aeromexico Files for Ch. 11 Bankruptcy Protection in U.S.

  • Mexican airline seeks protection from creditors in U.S. court
  • Pandemic cut flights while government aid never materialized
A Grupo Aeromexico SAB Boeing Co. Dreamliner airplane at Benito Juarez International Airport in Mexico City.Photographer: Susana Gonzalez/Bloomberg
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Grupo Aeromexico SAB, Mexico’s second-largest airline, filed for bankruptcy in the U.S., becoming the latest in a string of Latin American carriers to seek court protection after the Covid-19 pandemic caused a severe downturn in travel.

The carrier will “continue operating and use Chapter 11 as a way to strengthen its financial position and liquidity,” according to a statement to the Mexican stock exchange Tuesday. Aeromexico said the goal will be “protecting and preserving its operations and assets and implementing the necessary operational adjustments to face Covid-19-related impact.”