Delta and Aeromexico to Launch Historic Partnership

Airlines to establish transborder alliance between Mexico and the United States; agreement will provide customers with substantial benefits in both nations

News provided by

Delta Air Lines

Dec 21, 2016, 08:00 ET

ATLANTA, Dec. 21, 2016 /PRNewswire/ -- Delta Air Lines (NYSE: DAL) and Aeroméxico (BMV: AEROMEX) today accepted the final order issued by the U.S. Department of Transportation granting them antitrust immunity and allowing the airlines to establish a joint cooperation agreement. This historic agreement will establish the largest transborder alliance between Mexico and the United States, expand competition and benefit customers of both airlines.

"Together, Delta and Aeroméxico are stronger in the U.S.-Mexico market than either airline can be on its own," said Delta CEO Ed Bastian. "The partnership will make it possible for us to offer customers more flights to more destinations, with more choices every time someone travels across the border. We will offer industry-leading reliability, great service and an unmatched array of options."

"This agreement will mark the beginning of a new era in the aviation of North America, as the first and the largest cross-border alliance between Mexico and the United States," said Aeroméxico CEO Andrés Conesa. "It is the next step in our relationship, and our networks will provide more benefits to our customers while increasing the options for connectivity, products and services."

Bastian added that the partnership will benefit employees as well. "Our partnership means growth of services and jobs for both Delta and Aeroméxico," he said.

Once conditions requested by DOT and the Mexican Federal Economic Competition Commission have been fulfilled, the agreement will allow Aeroméxico and Delta to coordinate efforts to enhance the travel experience with expanded destinations and frequencies, improved connecting schedules and seamless operations.

The agreement will also improve the experience on the ground, allowing the airlines to co-locate and invest in airport facilities by improving gates and lounges. The airlines also will increase joint sales and marketing initiatives.

Delta will offer a strong presence in the United States through its hubs in Atlanta, Detroit, Los Angeles, Minneapolis-St. Paul, New York, Salt Lake City and Seattle; while Aeromexico will offer larger access to Mexico through its hubs in Mexico City, Monterrey and Guadalajara.

The airlines have been partners for 22 years. The regulatory approval represents an important milestone in the process, announced last year, to launch a cash tender offer for Delta's acquisition for up to 49 percent of Grupo Aeromexico S.A.B. de C.V., capital stock, further strengthening the partnership between the two airlines.

About Grupo Aeromexico
Grupo Aeromexico, S.A.B. de C.V. is a holding company whose subsidiaries provide commercial aviation services and promote passenger loyalty programs in Mexico. Aeromexico, Mexico's global airline, operates more than 600 daily flights from its main hub in Terminal 2 at the Mexico City International Airport. Its route network spans more than 80 cities on three continents including 45 in Mexico, 18 in the United States, 15 in Latin America, four in Europe, four in Canada, and two in Asia.

Grupo Aeromexico's fleet of close to 130 aircraft includes Boeing 787, 777, and 737 jet airliners and next generation Embraer 190, 170, and 145 models. In 2012, the airline announced the most significant investment strategy in aviation history in Mexico, to purchase 100 Boeing aircraft including 90 MAX 737 airliners and ten 787-9 Dreamliners.

As a founding member of the SkyTeam global alliance, Aeromexico offers customers more than 1,000 destinations in 177 countries served by its top 20 airline partners rewarding passengers with benefits including access to 672 premium airport lounges around the world. Aeromexico also offers travel options through its codeshare partners Delta Air Lines, Alaska Airlines, Avianca, Copa Airlines, and WestJet with extensive connectivity in countries like the United States, Brazil, Canada, Chile, Colombia, and Peru. www.aeromexico.com and www.skyteam.com.

About Delta
Delta Air Lines serves nearly 180 million customers each year. In 2016, Delta was named to Fortune's top 50 Most Admired Companies in addition to being named the most admired airline for the fifth time in six years. Additionally, Delta has ranked No.1 in the Business Travel News Annual Airline survey for an unprecedented six consecutive years. With an industry-leading global network, Delta and the Delta Connection carriers offer service to 323 destinations in 57 countries on six continents. Headquartered in Atlanta, Delta employs more than 80,000 employees worldwide and operates a mainline fleet of more than 800 aircraft. The airline is a founding member of the SkyTeam global alliance and participates in the industry's leading transatlantic joint venture with Air France-KLM and Alitalia as well as a joint venture with Virgin Atlantic. Including its worldwide alliance partners, Delta offers customers more than 15,000 daily flights, with key hubs and markets including Amsterdam, Atlanta, Boston, Detroit, Los Angeles, Minneapolis/St. Paul, New York-JFK and LaGuardia, London-Heathrow, Paris-Charles de Gaulle, Salt Lake City, Seattle and Tokyo-Narita. Delta has invested billions of dollars in airport facilities, global products and services, and technology to enhance the customer experience in the air and on the ground. Additional information is available on the Delta News Hub, as well as delta.com, Twitter @DeltaNewsHub, Google.com/+Delta, and Facebook.com/delta.