In the news release, Delta Announces Intention to Acquire
Additional Shares of Grupo Aeroméxico, issued 13-Feb-2017 by Delta Air Lines over PR Newswire,
we are advised by the company that there was an error in
distribution. A complete corrected release follows:
Delta Announces Launch of Cash Tender Offer to Acquire Additional
Shares of Grupo Aeroméxico Share purchases could increase ownership
stake in Grupo Aeroméxico to up to 49 percent
ATLANTA and MEXICO CITY, Feb. 13,
2017 /PRNewswire/ -- Delta Air Lines (NYSE: DAL) today
launched a cash tender offer through the Mexican Stock Exchange to
acquire up to an additional 32 percent of the outstanding capital
stock of Grupo Aeroméxico S.A.B. de C.V. (BMV: AEROMEX) for MXN
$53.00 per share. The difference from
the previously announced tender price of MXN $43.59 is the result of interim exchange rate
movements and other factors. Completion of the cash tender offer is
subject to certain conditions including acceptance of the offer by
holders of at least twenty-five percent (25%) of the outstanding
shares of Grupo Aeroméxico and receipt of required antitrust
approvals in Mexico.
Currently, Delta owns approximately 4.2 percent of the
outstanding shares of Grupo Aeroméxico and holds options to acquire
an additional 12.8 percent. If fully subscribed, following
completion of the tender offer, Delta would own and/or have options
to acquire up to a total of 49 percent of the outstanding shares of
Grupo Aeroméxico.
"This is the next step in expanding our longstanding
relationship with Aeromexico, a partnership built on our shared
commitment to our customers in the U.S. and Mexico," said Ed
Bastian, Delta's Chief Executive Officer. "The tender offer
and investment will further strengthen the relationship that will
be established when our joint cooperation agreement is implemented
in the second quarter."
Delta and Aeroméxico launched their first codeshare in 1994. In
2011, Delta entered into an enhanced commercial agreement with
Aeroméxico, and in 2012, Delta invested USD $65 million in shares of Grupo Aeroméxico, the
parent company of Aeroméxico. In March
2015, Delta and Aeroméxico entered into a joint cooperation
agreement relating to flights between the
United States and Mexico
and the parties filed an application with the U.S. Department of
Transportation (DOT) seeking approval of the agreement and immunity
from the United States antitrust
laws for the joint cooperation. The agreement also was submitted
for approval to the Mexican antitrust authorities, the Mexican
Comisión Federal de Competencia Económica (Federal Economic
Competition Commission or COFECE). In April
2016, COFECE issued its resolution regarding the proposed
joint cooperation agreement, through which, the authorization of
this agreement was subject to the acceptance of and compliance with
certain requirements. In December
2016, the DOT issued a final order granting approval of, and
immunity from the United States
antitrust laws with respect to, the joint cooperation agreement,
subject to certain conditions. Delta and Aeromexico have accepted
the conditions required by COFECE and DOT and are in the process of
implementing the required remedies.
About Delta Air Lines
Delta Air Lines is working to be the best U.S. airline in
Latin America and the
Caribbean. It has been honored with five World Travel Awards
in 2016 in the categories of North
America's Leading Airline and Leading U.S. Airline to
Central America, to South America, to Caribbean and to Mexico for the second year in a row. Delta has
been also recognized with LADEVI's 2016 Insignia Latam Excellence
award for its service to the region. Delta continues to grow in
Latin America through its
long-term exclusive alliances with GOL Linhas Aéreas
Inteligentes, Aeroméxico and Aerolíneas Argentinas, and
is committed to building a solid regional footprint to enhance its
global network and offer its customers the best overall
experience. Delta provides service to 33 countries and 55
destinations in the region, offering over 1,900 weekly flights
between the U.S. and Latin
America/the Caribbean.
Delta customers can also receive real-time, on-the-go travel
assistance in Spanish and Portuguese through Twitter channels
@DeltaAssist_ES and @DeltaAjuda from 9 a.m.
to 7 p.m. EST. Brazilian customers can also access Delta's
dedicated Brazilian Facebook page at
http://www.facebook.com/DeltaAirLinesBrasil.
Delta Air Lines serves more than 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.
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SOURCE Delta Air Lines