According to recent reports, the well known Mexican airline Mexicana has just recently secured bankruptcy protection. This protection is going to allow the carrier to continue operating flights during its financial restructuring.

The group filed for bankruptcy protection just last week. The airline also went on to suspend all flights and fought staff demonstrations over restructuring plans. Ticket sales were subsequently suspended as the airline continued to insist departures would continue as normal.

According to some court filings, Mexicana has $786 million in debts and about $865 million in revenues. As such, the airline is hoping to reach a restructuring deal with creditors without having to disrupt day to day operations.

The company has a fleet that is made up of 65 airplanes from European manufacturer Airbus and two United States made 767 aircraft from Boeing. The airline was transporting some 22,000 passengers on 220 daily flights.

Recently however, creditors have seized three airplanes to date. There are even more fears that more developments could lead to the cancellation of more flights. The airline has been hit very hard by falling demand, like most airlines all over the world. However the airline was also hit very hard by the outbreak of the H1N1 virus not too long ago.

The airline went on to say in a statement that in order for them to continue operations and to protect the company, as well as passengers and creditors, a series of temporary injunctions relief measures have been granted. This is to help prevent creditors from exercising their rights over outstanding debt obligations. These measures are subject to negotiations with the airline’s creditors and unions.