Mexico Has Purchased An Airline, Will Turn It Over To The Military To Run

Jan 08 2023

Mexicana was one of the oldest airlines in the world when it went out of business in August 2010. The carrier had been flying to the U.S. since 1920, when it began operating Mexico City to Tuxpan to Tampico to Brownsville, Texas with a Ford Trimotor.

The carrier, partially-owned by the Mexican government, went into bankruptcy, and a great deal was revealed about how key executives used the business for tax fraud and money laundering.

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How Much Does It Cost An Airline To Produce A Frequent Flyer Mile?

Jan 07 2023

When laying out the reasons why American Airlines devaluing AAdvantage program could be bad for its business I noted financial disclosures they made to investors when raising debt backed by their loyalty program.

Taking their self-reported 52% operating margin for the program, I backed into what it cost for American Airlines to ‘produce’ a frequent flyer mile.

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