Posted on 08/03/2010 1:25:20 PM PDT by SeekAndFind
Mexicana Airlines, the busiest foreign carrier at Los Angeles International Airport, announced Tuesday that it had filed for bankruptcy protection in the U.S. and Mexico, blaming much of its financial trouble on high labor costs.
The debt-ridden airline made the announcement one day after suspending 31 flights at airports across the country, including in Los Angeles, New York, Chicago, San Jose, Sacramento, San Francisco and Oakland.
At LAX, the airline put a hold on four of 15 daily flights to Puerto Vallarta, Guadalajara and Mexico City.
The Mexico City-based airline promised to contact passengers with tickets on canceled flights for a refund or to rebook them on another Mexicana flight or with a commercial partner.
Mexicana flies to more than 65 national and international destinations, including the United States, Canada, Central and South America and Europe. It operates nearly 70 planes and carried 11.1 million passengers in 2009, according to the company website.
In a statement, the airline said the bankruptcy protection will allow it to restructure its liabilities and "bring its cost structure, particularly labor costs, into line with market conditions."
The airline has blamed many of its financial woes on labor costs, pilots' and flight attendants' salaries that it says are up to 185% higher than the pay rate of their counterparts at other Mexican airlines.
The airline had previously called for new contracts that would cut wages for pilots by 41% and impose a 39% wage cut for flight attendants. Mexicana also proposed reducing its overall number of pilots and attendants by 40%. Pilots and attendants have rejected the proposals, blaming the company's financial crisis on inept management.
(Excerpt) Read more at latimes.com ...
Maybe they should hire some illegals.
Screw them.
I almost peed myself from laughing when I read this headline.
Just wait, the Loon-In-Chief will give them aid.
Primary $$ must go to future democrat voters.
Looks like Air Coyote took all their business away?
This is really bad.
How will Obama transport the deported illegals back to Mexico now?
ROFL “Maybe they should hire some illegals.”
The forthcoming posts should be instant classics!
Labor costs!!!!
To make up for this, he offered a tour of the Popocatpetl volcano, just south of the city. He banked the airplane over on it's side and passengers on the right side got a close up of the smoky interior. The plane smelled like sulfur for the duration of the flight down to Ixtapa...
RE: Labor costs!!!!
Unions always increase costs, even in cheap labor places like Mexico.
Back in the day, the Navy and Marines used furniture trailers and converted them to “buses”. There were no seats; no lights - standing room only. We called them cattlecars.
If it was good enough for our military, it should be more than adequate for illegals.
RE: Labor costs!!!!
Unions always increase costs, even in cheap labor places like Mexico.
RE: Labor costs!!!!
Unions always increase costs, even in cheap labor places like Mexico.
If only we could.
You see, one of Duh!-bya's first acts upon entering office in 2000 was to meet with Vicente Fox to hammer out the details of the Partnership for Prosperity Agreement (with Mexico)
That agreement was signed on September 6, 2001.
In short, because of this agreement, we (the US Govt) is now sending billions of US taxpayer dollars to Mexico to help them with their prosperity.
For example, U.S. Government Provides $10 Million to Support Small Entrepreneurs and U.S.-Mexico Partnership for Prosperity Launches New Initiatives
There's plenty more where that came from. If you want to see where Bush's loyalties really were during his time in office, just do a google search, then read `em and weep.
Or, just visit my FR home page.
Mexico needs to start a new airline...
I suggested they go to the local Home Depot illegal alien sanctuary, and hire a few thousand donkey jockeys and bull fighters...and train them as pilots.
Home Depot Airways....
Pay them 8 bucks an hour to fly 727s, tell them company benefits are 10 breaks and half off on soccer balls.....
It’s been 20 years since I have flown Mexicana but I rememeber that once on board I never had less than 2 ice cold FREE beers in my hand at any given time...and that was as a 25 year old flying coach to Puerto Vallarta.
My last few flights into GDL on AeroMexico were pretty bad. Had to pay for my liquour.
I bet Carlos Slim will buy it.
Must be tough to turn a profit on an airline that only carries passengers in one direction.
Why pay for a ticket when they can just jump the fence.
Blames labor costs.
Are you sure he didn't just get into the tequila and decided to have a laugh?
Always. That’s why Andy Stern wants to UNIONIZE the world.
Probably not.
A couple people screamed when we got close to the rim. They thought we were going in...
Mexicana flight 186, this is the control tower: Hey muchacho, ya left your crew on the tarmac, abort takeoff now!.....no, no!!
Dees is flight 186: Did you say go go? What are dose peeeple doing on the runway?
You sure George W. wasn’t on the flight with you? /Hugo Chavez
How’s that NAFTA/North American Union stuff working for you....you Liberal Free Trade Globalists!
Another Mexican business goes pfffttt....maybe Obama and McCain can work out a bailout
Control tower to Aer-O-Mexico: You need to pull up, pull up, pull up...Go around!!! Go around!!
Dees is Aer-O-Mexio: Deed you say, have another round?
Except that their coffee sucks.
I’m afraid one of these days there’s gonna be a crash there.
If you fly First Class on those airlines, then the attendants assume that you are a drug lord and will have them killed if they disrespect you.
What.... I thought it would be Arizona’s Fault. < / sarc
Darn, I hope this doesn’t affect my fishing trip in December. I do a moderate amount of flying and I love to fly Mexicana, reminds me of the old days when you weren’t treated like a cow going to slaughter.
The pilot told me that they were billed the equivalent of 10Cents a gallon for AvGas ... although it just didn't smell right to me ... the gas that is!
“suspends flights at U.S. airports, blames labor costs)”
They should troll through the parking lot at Home Depot and look for some bargain priced labor!
Back in the 60’s I went to Rocky Point to fish. When I returned a friend asked me if I brought anything back with me. I said, “Gads, I hope not!”
Bingo!
Wife and I flew from Huatulco to Oaxaca on one of these planes.
My wife took a pix of me and our son, age 8 or 9, standing in front of a beautiful white (with a blue lightning bolt down the fuselage) DC 3 when we got off.
Obama will be happy to arrange a bailout of several billion dollars for them.
BOYCOTT MEXICANA AIRLINES!
“If you fly First Class on those airlines, then the attendants assume that you are a drug lord and will have them killed if they disrespect you.”
LOL!
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