Mexico downgraded by FAA; Mexicana facing serious fiscal troubles
By Aaron Karp | August 3, 2010
American Airlines and Delta Air Lines said they will remove their codes from AeroMexico and Mexicana flights respectively following the US FAA's downgrading late Friday of Mexico's safety rating from a Category 1 to Category 2.
FAA said that Mexico is "not in compliance with international safety standards set by the International Civil Aviation Organization," noting that it reached the conclusion "following an assessment of the country’s civil aviation authority." The downgrade means Mexican airlines are disallowed from launching new service to the US and from codesharing with US airlines. Existing service by Mexican airlines to/from US airports can continue.
Mexico's Communications and Transport Dept. issued a statement to the Associated Press saying the downgrade was owing "exclusively to administrative and organizational matters…The FAA measure does not imply any decline in the safety of civil aviation in Mexico. Mexico's airlines are safe and will continue to offer high quality service, comparable to the highest international standards."
FAA did not specify what lapse warranted the downgrade. "While Mexico has been responsive to the FAA’s findings and has made significant improvements in recent months, it was unable to fully comply with all of the international safety standards," the agency said, adding that "Mexico continues to make progress. The FAA is committed to working closely with the Mexican government and providing technical assistance to help Mexico regain its Category 1 rating."
FAA said that a Category 2 rating "means a country either lacks laws or regulations necessary to oversee air carriers in accordance with international standards, or that its civil aviation authority...is deficient in one or more areas, such as technical expertise, trained personnel, record-keeping or inspection procedures."
The downgrade provided yet another challenge for Mexicana, which had already conceded ahead of FAA's action Friday that it faced a "difficult" financial situation and was "analyzing all options and resources." The heads of the airline's pilot and flight attendant unions said management approached them regarding severe concessions, including hundreds of layoffs, and had issued an Aug. 9 deadline for reaching an accord on concessionary labor contracts. According to Reuters, CEO Manuel Borja told Mexican radio that without major concessions from its employees, "the company is no longer viable."
Lizette Clavel, secretary general of the Asociacion Sindical de Sobrecargos de Aviacion flight attendants union, told Bloomberg that the cabin crew workers "want guarantees that the airline will keep operating." According to multiple media reports, the carrier yesterday suspended service to Sacramento, where it flew four-times weekly from Cabo San Lucas and daily from Guadalajara.
By Aaron Karp | August 3, 2010
American Airlines and Delta Air Lines said they will remove their codes from AeroMexico and Mexicana flights respectively following the US FAA's downgrading late Friday of Mexico's safety rating from a Category 1 to Category 2.
FAA said that Mexico is "not in compliance with international safety standards set by the International Civil Aviation Organization," noting that it reached the conclusion "following an assessment of the country’s civil aviation authority." The downgrade means Mexican airlines are disallowed from launching new service to the US and from codesharing with US airlines. Existing service by Mexican airlines to/from US airports can continue.
Mexico's Communications and Transport Dept. issued a statement to the Associated Press saying the downgrade was owing "exclusively to administrative and organizational matters…The FAA measure does not imply any decline in the safety of civil aviation in Mexico. Mexico's airlines are safe and will continue to offer high quality service, comparable to the highest international standards."
FAA did not specify what lapse warranted the downgrade. "While Mexico has been responsive to the FAA’s findings and has made significant improvements in recent months, it was unable to fully comply with all of the international safety standards," the agency said, adding that "Mexico continues to make progress. The FAA is committed to working closely with the Mexican government and providing technical assistance to help Mexico regain its Category 1 rating."
FAA said that a Category 2 rating "means a country either lacks laws or regulations necessary to oversee air carriers in accordance with international standards, or that its civil aviation authority...is deficient in one or more areas, such as technical expertise, trained personnel, record-keeping or inspection procedures."
The downgrade provided yet another challenge for Mexicana, which had already conceded ahead of FAA's action Friday that it faced a "difficult" financial situation and was "analyzing all options and resources." The heads of the airline's pilot and flight attendant unions said management approached them regarding severe concessions, including hundreds of layoffs, and had issued an Aug. 9 deadline for reaching an accord on concessionary labor contracts. According to Reuters, CEO Manuel Borja told Mexican radio that without major concessions from its employees, "the company is no longer viable."
Lizette Clavel, secretary general of the Asociacion Sindical de Sobrecargos de Aviacion flight attendants union, told Bloomberg that the cabin crew workers "want guarantees that the airline will keep operating." According to multiple media reports, the carrier yesterday suspended service to Sacramento, where it flew four-times weekly from Cabo San Lucas and daily from Guadalajara.
