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Aeromexico to review fleet obligations -court document

Credit: REUTERS/EDGARD GARRIDO

Mexican airline Aeromexico aims to review obligations on its fleet of aircraft and use aviation industry restructuring adviser SkyWorks Capital for that purpose, according to a court document.

MEXICO CITY, Aug 5 (Reuters) - Mexican airline Aeromexico aims to review obligations on its fleet of aircraft and use aviation industry restructuring adviser SkyWorks Capital for that purpose, according to a court document.

In a submission to the U.S. Bankruptcy Court for the Southern District of New York, Aeromexico AEROMEX.MXsought permission to retain SkyWorks during the Chapter 11 bankruptcy proceedings the Mexican company initiated in late June.

"SkyWorks will work with (Aeromexico) to develop a comprehensive plan for the restructuring of (Aeromexico's) aircraft obligations," the document said.

Such proposals to provide "cash flow changes" encompass potential renegotiation of leasing terms or debt.

SkyWorks is to advise on restructuring Aeromexico's obligations with Boeing BA.Non certain 737 MAX aircraft, the document said. That included the potential to "delay or cancel deliveries, which may include a potential new order."

Aeromexico, one of Mexico's main carriers, was the third airline in Latin America to file for bankruptcy after the coronavirus pandemic battered its business.

(Writing by Dave Graham in Mexico City Additional reporting by Jonathan Stempel in New York Editing by Bernadette Baum)

((dave.graham@thomsonreuters.com; +52 55 5282 7146; Reuters Messaging: dave.graham.thomsonreuters.com@reuters.net))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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