Mexicana Ceases Operations

It's done. The indicators were there - the temporary halting of online ticket sales, the labor issues, the economy, swine flu - a mix of circumstances both within and outside of the airline's control has led to its indefinite grounding.

Mexicana, one of the oldest airlines in the Americas, has stopped flying...ceasing operations indefinitely. Mexicana stopped flying today, Saturday, August 28 at noon.

For passengers currently booked with Mexicana - a link to start the process to seek refunds

On their website, Mexicana cited these reasons among the several that led to ceasing operations:

Among the factors that have contributed to this announcement are:

1. Grupo Mexicana's fragile financial situation, which has deteriorated further over the last four weeks due to the previous management's decision to suspend ticket sales, forcing the company to continue operating in the interests of passengers without receiving any revenue.
2. No substantial agreements were reached to give companies in the Group long-term viability.
3. Lack of effectiveness in the insolvency (Concurso Mercantil) process intended to protect additional financial resources available to the company so it could to continue operating.
4. Given the uncertainty of the situation, certain suppliers have begun demanding advanced payment of services that are essential to the airlines' operations.

image courtesy of  Arlene Fleming