More than 60 airlines went bankrupt in the months following the 2020 COVID-19 outbreak, which grounded flights around the world for months. Among them was Mexico’s flagship airline, which serviced 85 domestic and international destinations with 130 aircraft. The airline managed $2 billion in revenue in 2021 but was in competition with rapidly growing low-cost carriers and suffering drag from pandemic shutdowns since, unlike other airlines, it didn’t receive any governmental support. AlixPartners was brought in to navigate the bankruptcy process and guide a transformation that attracted financing and positioned the company to emerge post-pandemic with an optimized fleet, strengthened network, and streamlined cost structure.

We implemented a comprehensive business transformation program; developed a five-year business, network, and fleet plan; and supported liquidity and vendor management to ensure the continuity of supply during Chapter 11 proceedings. 

The airline emerged from Chapter 11 with a valuation in excess of $5 billion, $1 billion in new financing, a $1.2 billion liquidity position, and 100% ownership of its frequent flyer loyalty program. Improvements to the bottom line reduced the cost gap to low-cost carriers by half, while maintaining its value proposition as a full-service carrier. 


post-Chapter 11 valuation


liquidity position

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