filed for bankruptcy protection, but said it would continue to operate while undergoing reorganization. Nevertheless, the carrier suspended ticket sales a day later. Now the situation appears to have deteriorated even further as Mexicana announced today that it will suspend many of its international flights, beginning tomorrow, August 9, 2010. Its domestic operations, MexicanaClick and MexicanaLink also are at risk.
Quoting from a press release issued by Mexicana on August 8, 2010:
Mexicana Airlines today announced that its financial situation has deteriorated substantially in the last week due to a series of events that have strangled the cash flows the airline needs to finance its day-to-day operations. One such event was IATA’s decision to suspend the carrier’s BSP sales channel, forcing it to suspend the sale and issuing of tickets indefinitely, with serious repercussions for MexicanaClick and MexicanaLink sales. Other sources of revenue have either dried up or are being retained by financial institutions following the company’s recent decision to file bankruptcy proceedings.Beginning tomorrow, August 9,2010, Mexicana will suspend flights on most international routes. [Click here to view a list of suspended flights.]
Consequently, Mexicana Airlines will be forced to cancel certain flights over coming days to optimize available resources and ensure that priority is given to homebound passengers.
Mexicana's most recent press statement says, "It is hoped an agreement will be reached with union leaders and that additional resources can be obtained to secure the financial viability of the carrier."
Sadly, it also says, "If you are planning on traveling by air in the immediate future, Mexicana Airlines suggests you consider alternatives, where possible."