On May 28, 2025, Brazilian airline Azul filed for Chapter 11 bankruptcy protection in the United States, aiming to restructure over $2 billion in debt while maintaining normal operations. The move follows financial challenges stemming from the COVID-19 pandemic, macroeconomic pressures, and aviation supply chain issues.

Azul has secured $1.6 billion in debtor-in-possession financing to support its operations during the restructuring process. Additionally, the company plans to raise up to $950 million in equity financing upon emergence from bankruptcy, with potential investments from strategic partners United Airlines and American Airlines.

For customers, Azul assures that flights will continue as scheduled, and all tickets, loyalty points, and customer benefits will be honored throughout the restructuring. The airline’s CEO, John Rodgerson, emphasized that this proactive financial reorganization aims to position Azul as a stronger, more resilient carrier in the future.

The Chapter 11 filing allows Azul to address its financial obligations while continuing to serve its 900 daily flights to over 150 destinations. With the backing of major stakeholders and strategic partners, the airline is working towards a swift and efficient restructuring process.