Aeromexico Draws Second Disbursement Under Tranche 1 and Tranche 2 DIP Financing

06/11/2020 18:40

MEXICO CITY, Nov. 6, 2020 /PRNewswire/ -- Grupo Aeroméxico, S.A.B. de C.V. ("Aeromexico" or the "Company") (BMV: AEROMEX) announces that, as a follow up to its previous relevant events dated August 13^th and 19^th, September 9^th and October 9^th, regarding (a) securing the commitment of a US$1,000 million senior secured superpriority multi-tranche debtor in possession term loan facility (the "DIP Facility"), (b) the initial funding of US$100 million of Tranche 1 loans under the DIP Facility, and (c) the final approval of the DIP Facility by Judge Shelley C. Chapman of the United States Bankruptcy Court for the Southern District of New York (the "Chapter 11 Court"), the conditions for requesting the disbursement of the undrawn portion of the Tranche 1 facility (US$100 million) and the initial availability under Tranche 2 (US$175 million) (collectively, the "Second Disbursement") have been met, and the Company has received such Second Disbursement. Subject to the fulfilment of goals, additional conditions and milestones, subsequent draws under the DIP Facility, in minimum amounts of US$100 million each, will be made available to the Company.

Andrés Conesa, CEO of Aeromexico, commented: "The funding of the Second Disbursement is another key milestone in the ongoing restructuring process for Aeromexico, which will provide us with liquidity to continue meeting our ongoing obligations in an orderly fashion. The future exercise of the additional funding under the DIP Facility will support our continued operations during the voluntary restructuring process. We recognize and appreciate the continuing support from our collaborators, union, authorities, Board of Directors and all stakeholders."

Also, after today's hearing, the Chapter 11 Court also approved the Company's settlement regarding the Loan Agreement secured by certain receivables between the Company, Deutsche Bank Trust Company Americas, as administrative agent, and the lenders party thereto (together, the "Lender Parties"), which resolves potential disputes relating to the Loan Agreement between the Company and the Lender Parties.

Aeromexico will continue pursuing, in an orderly manner, the voluntary financial restructuring under the Chapter 11 process, while continuing to operate and offer services to its customers and contracting from its suppliers the goods and services required for operations. The Company will continue to use the advantages of the Chapter 11 proceeding to strengthen its financial position and liquidity, protect and preserve operations and assets, and implement the necessary adjustments to manage the impact of COVID-19.

This press release contains certain forward-looking statements that reflect the current views and/or expectations of the Company and its management with respect to its performance, business and future events. We use words such as "believe," "anticipate," "plan," "expect,", "intend," "target," "estimate," "project," "predict," "forecast," "guideline," "should" and other similar expressions to identify forward-looking statements, but they are not the only way we identify such statements. Such statements are subject to a number of risks, uncertainties and assumptions. We caution you that a number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in this release. The Company is under no obligation and expressly disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

About Grupo Aeromexico
Grupo Aeroméxico, S.A.B. de C.V. is a holding company whose subsidiaries are engaged in commercial aviation in Mexico and the promotion of passenger loyalty programs. Aeromexico, Mexico's global airline, has its main operations center in Terminal 2 of the Mexico City International Airport. Its destination network has reach in Mexico, the United States, Canada, Central America, South America, Asia and Europe. The Group's current operating fleet includes Boeing 787 and 737 aircraft, as well as the latest generation Embraer 190. Aeromexico is a founding partner of SkyTeam, an alliance that celebrates 20 years and offers connectivity in more than 170 countries, through the 19 partner airlines. Aeromexico created and implemented a Health and Hygiene Management System (SGSH) to protect its clients and collaborators at all stages of its operation.
www.aeromexico.com
www.skyteam.com

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