MexCAT Ad Hoc Bondholder Group Concerns Regarding Tender Offer and Consent Solicitation

The ad hoc group of holders of bonds issued by the Mexico City Airport Trust (“MexCAT”) represented by Hogan Lovells (the “MexCAT Ad Hoc Bondholder Group”), together with other bondholders in contact with Hogan Lovells, is now understood to exceed 50% in principal amount of at least one series of the MexCAT bonds.

The MexCAT Ad Hoc Bondholder Group was not consulted by the Issuer in advance of the dissemination of MexCAT’s tender offer and consent solicitation (the “Proposal”), but has now reviewed it, and has some concerns such that it cannot support the Proposal in its current form. These concerns include, without limitation, the following components of the Proposal: (i) in connection with the new airport, the release and removal of collateral and events of default under relevant documentation; (ii) in connection with the existing airport, the potential for reductions in collateral upon the utilization or development of alternate or additional Mexico City area airports, whether in the near term or longer term; (iii) further potential reduction in collateral with respect to the liberalization of the restricted payments test in two of the four bond series; and (iv) tendering bondholders are deemed to consent to the collateral releases and covenant and event of default changes even though all tendered bonds may not be purchased in full (and even if tendered bonds are purchased, the early tender and consent fees are included in, and not in addition to, the minimum acceptable bid price). Nevertheless, the MexCAT Ad Hoc Bondholder Group is prepared to have a dialogue with MexCAT in order to address these concerns.

The international law firm Hogan Lovells, including partners Ron Silverman (New York) and Federico De Noriega (Mexico City), has been retained as counsel for the MexCAT Ad Hoc Bondholder Group.

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