Azul completes restructuring and exits Chapter 11 bankruptcy protection

Azul, a Brazil-based discount airline, has emerged from Chapter 11 bankruptcy protection following a nine-month restructuring, according to Travel Weekly.

During reorganisation, the carrier raised $850 million (€714 million) in new equity, including $100 million (€84 million) from United Airlines, a codeshare and loyalty programme partner.

American Airlines has also agreed to invest $100 million (€84 million) in Azul, pending regulatory approval. Azul stated it reduced loan and financing debt by $1.1 billion (€924 million) during restructuring and reduced annual interest paid on loans and financing by more than 50 per cent.

John Rodgerson, Chief Executive Officer of Azul, stated: "This is a defining milestone for Azul. In just under nine months, we completed a comprehensive restructuring that has materially strengthened our balance sheet and positioned Azul for long-term stability. We are emerging from Chapter 11 with the support of some of the most respected financial and strategic partners in global aviation."

Azul served more than 130 destinations across 250 routes in 2025 and this month is the third-largest airline by seat count on Brazilian domestic routes, trailing Latam and Gol, according to Cirium flight data. Operations continued during the restructuring.

The airline operates four United States routes, connecting Sao Paulo with Fort Lauderdale and Orlando, Belo Horizonte with Orlando, and Belem with Fort Lauderdale. It has a fleet of 175 parked and in-service aircraft, according to Planespotters.net, including 10 in-service widebodies.

Discover the complete details on Azul's Chapter 11 bankruptcy exit and restructuring completion by reading the full story.