AMERICAS DISTRESS DAILY: Azul Explores Chapter 11 Filing

Azul is exploring options including a potential Chapter 11 bankruptcy filing as the struggling Brazilian airline works to secure additional funding and reduce its debt levels.

• The company has been prioritizing its customers and partners, and will continue operating regardless of the outcome of its balance sheet discussions
• A depreciation of the Brazilian real has inflated Azul’s expenses, including dollar-denominated lease payments and fuel costs tied to the greenback

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