MEXICO: Mexicana Airlines Files For Bankruptcy As Creditors Seize Planes And Flights Are Cancelled.

BLOOMBERG/     Mexicana, one of the nation's biggest carriers, has filed for bankruptcy after discussions over labor renegotiations failed. It offers some 480 flights daily though some flights have been cancelled recently and three aircraft have been seized by creditors. The investment group that owns it claimed its labor costs “are well above the average for the industry at the global level, so that a leveling is essential for achieving a restructuring with creditors and the company’s viability."  Mexicana’s share of fliers, excluding its low-cost sister airlines, fell to 22 % last year from 32 % in 2005. A company official reportedly offered to sell Mexicana to the pilots... for one peso!