UPDATE 1-Airline Aeromexico posts $1.2 bln quarterly net loss

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MEXICO CITY, July 28 (Reuters) – Mexican airline Aeromexico, which is in a Chapter 11 restructuring process, on Tuesday posted a 27.42 billion peso ($1.19 billion) net loss for the second quarter.

Total revenues slipped by nearly 85% to some 2.61 billion pesos from 16.83 billion pesos a year earlier, the firm said.

Aeromexico, part-owned by Delta Air Lines, late last month became the third airline to file for bankruptcy protection in Latin America, where carriers hit by the coronavirus have had limited help from governments.

Aeromexico’s revenue passenger kilometers, an industry metric, dropped 92.6% during the second quarter versus the same period a year earlier. During the second quarter, 529,000 passengers flew on Aeromexico, down 89.9% from a year earlier.

“The evolution of the COVID-19 pandemic and the closing of borders in various countries were reflected in a significant reduction in the demand for air transport as of the third week of March,” Aeromexico said.

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