Grupo Mexicana de Aviacion stated the financial situation of Mexicana Airlines is critical and options to keep the carrier operating are being assessed (Bloomberg, 30-Jul-2010). The company will present shareholders with proposals to keep the carrier operating, and has not yet decided if it will file for bankruptcy. Unions at the carrier stated it has proposed 500 job cuts and reductions in salaries of up to 50%. Air Canada temporarily seized two of the aircraft it leases to the carrier, following a “misunderstanding” and reports forwarded to Canadian authorities that Mexicana may file for bankruptcy (Reuters, 30-Jul-2010). All Mexicana’s operations have returned to normal following the seizure.
2-Aug-2010 12:36 PM