Company: CTTRF
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001292814-25-001765
Chunk: 365

Company: Controladora Vuela Compania de Aviacion, S.A.B. de C.V.
Filing Date: 2025-04-30
Form: 20-F
Item: Item 19
Chunk 365
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 ────────────────────────────────────────────────────────────────────────────────────────
  V2500                  V2527M-A5                         2                         3  
  V2500                  V2527E-A5                         2                         5  
  V2500                  V2527-A5                          4                         6  
  PW1100                 PW1127G-JM                        9                         5  
  PW1100                 PW1133G-JM                        1                         1  
                                                          18                        20  

  (1)      Certain of the Company’s aircraft and engine lease agreements include an option to extend the lease term period. Management evaluates  

During the year ended December 31, 2023, P& W announced
preventive accelerated inspections for the GTF engines. Consequently, the Company’s GTF engines are being reviewed to ensure compliance
with these requirements.

As a result of these preventive accelerated inspections and
in accordance with the business strategy, the Company extended certain aircraft and engines lease agreements and added new aircraft and
engines to its fleet. All accounting effects of these aircraft and engines lease extensions and new incorporations have been assessed
and presented into the Company’s Financial Statements. Additionally, the compensation received from the manufacturer has been included
in the Company’s consolidated statement of operations for the years ended December 31, 2024 and 2023.

During the year ended December 31, 2024, the Company added14leased aircraft to its fleet ( twoA320NEO and eightA321NEO were acquired through sale and leaseback transactions under the Company’s
existing Airbus purchase agreement), as well as fourused A320CEO. All the used aircraft were not subject to sale and leaseback transactions.

Additionally, the Company extended the lease term of nine
A320CEO aircraft for an additional period of up to six yearsand one A319CEO aircraft for an additional period of up to1.5years.

During the year ended December 31, 2024, the Company also
extended the lease term of two spare engines for an additional period of up to three years.

All accounting effects of these aircraft and engine lease
extensions and new incorporations have been assessed and presented in the Company’s Financial Statements. As of December 31, 2024
and 2023, the Company recorded a net increase of US$570,185and US$478,303, respectively, as part of the right-of-use assets and lease