Mexico inks deal to buy Mexicana airline brand for $42m, union says

The Mexican government signed a deal with several aviation unions Friday to purchase the brand of the defunct Mexicana airline for 811.1m Mexican pesos ($42.41m), a union spokesman told Reuters. The deal includes rights to use the airline's brand and the purchase of two buildings, a technical training center and a flight simulator, pilots' union spokesman Jose Alonso said in an interview. A time-frame for the payment has yet to be agreed upon, he added. Mexico's transportation ministry did not immediately respond to a request for comment. Mexican President Andres Manuel Lopez Obrador has said the government intends to use Mexicana to launch a military-run commercial airline. In December, Lopez Obrador said the airline was set to launch operations in 2023. The government is also in talks with Boeing on renting aircraft, he said. On Monday, the government will lift any legal actions in place against Mexicana, which was declared bankrupt in 2014, Alonso said.<br/>