Company: CTTRF
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001292814-25-001765
Chunk: 19

Company: Controladora Vuela Compania de Aviacion, S.A.B. de C.V.
Filing Date: 2025-04-30
Form: 20-F
Item: Item 3
Chunk 19
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serious communicable disease, (iii) provide refunds of fees for ancillary services that consumers paid for but that were not provided,
and (iv) refund fees for significantly delayed or lost checked bags. Among other requirements, the airline ancillary service fees rule
would expand the scope of ancillary fee information presented on airline websites whenever fare and schedule information is provided in
response to a consumer’s itinerary search; however, the implementation of that rule has been stayed by a U. S. Court of Appeals,
which has sent the rule back to the DOT for further comment and consideration.

In addition to the airline refunds and transparency of airline
ancillary service fees rules, DOT also issued in 2024 other rules and proposals that required compliance efforts, internal policies and
procedures changes and expenditures, such as (i) a final rule to strengthen its regulations implementing the Air Carrier Access Act (ACAA)
and to address wheelchair and scooter handling, including mishandling and transfers to and from aircraft seats, aisle chairs, and personal
wheelchairs (currently on hold for review by the new U. S. administration), (ii) Final Rule that increased the limits of liability for
denied boarding compensation on oversales, (iii) Notice of Proposed Rulemaking (NPRM) that intends to require airlines to establish policies
that allow young children, age 13 and under, to sit next to an accompanying adult at no additional cost beyond the fare, and (iv) Advance
Notice of Proposed Rulemaking (ANPRM) which seeks to require airlines to provide consumers affected by significant flight disruptions
with cash compensation, free rebooking and amenities such as meals, lodging for overnight delays, and transportation to and from lodging
(currently on hold for review by the new U. S. administration).

In addition, various U. S. federal agencies, including the
IRS, TSA, CBP, and U. S. Department of Agriculture, impose taxes and fees on both passengers and us to either defray the costs of providing
security inspection and certain other government services at the U. S. airports where we operate or to fund U. S. civil aviation infrastructure,
such as airport runway improvements. When such taxes and fees are imposed on passengers, we are required to collect and remit them to
the federal agency concerned. Any increase in such taxes and fees could negatively impact our business, results of operations and financial
condition.

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Our ability to operate as an airline in