Company: CTTRF
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001292814-25-001765
Chunk: 69

Company: Controladora Vuela Compania de Aviacion, S.A.B. de C.V.
Filing Date: 2025-04-30
Form: 20-F
Item: Item 4
Chunk 69
---
 is no competition
among concession and permit holders, the SICT may request the opinion of the Mexican Antitrust Commission and then approve regulations
governing fares that may be charged for air transportation services, thus limiting the ability of participants to freely determine rates.
Such regulations will be maintained only during the existence of the conditions that resulted in the negative effects of competition.

Slots

Under Mexican Law, a “slot” is the schedule for
the landing and take-off of aircraft. The regulation of the slots is provided by the Mexican Airport Law and its regulations. A slot is
assigned to an operator by the airport administrator considering the recommendation of a committee of operations, for the organization
and planning of the flights at the relevant airport. According to the regulations to the Mexican Airport Law, the operating rules of
each airport in Mexico, must contain the guidelines for the assignment of slots. Therefore, the different airports’ administrations
will establish in such guidelines how slots are to be assigned considering (i) the operation schedule of the airport, (ii) safety
and efficiency criteria, (iii) capacity of the services providers, (iv) schedule availability, and (v) compliance with
the requirements for the assignment of the slots.

Taking or Seizure

Pursuant to Mexican law and our Concession, the Mexican federal
government may take or seize our assets temporarily or permanently, in the event of natural disasters, war, serious changes to public
order or in the event of imminent danger to the national security, internal peace or the national economy. The Mexican federal government,
in all cases, except in the event of international war, must indemnify us by paying the respective losses and damages at market value.
See Item 3: “ Key Information - Risk Factors - Under Mexican law, our assets could be taken or seized by the Mexican government
under certain circumstances.”

Foreign Ownership

The
Mexican Foreign Investment Law ( Ley de Inversión Extranjera )
limits foreign investment in companies rendering domestic air transportation services to 49% of such companies’ voting stock. This
limit applies to Volaris Opco, but not to us as a holding company. We, as a holding company, must remain a Mexican-investor controlled
entity, as a means to control Volaris Opco. The acquisition of our Series A shares through the CPOs, which strips out voting rights but
grants any and all economic rights, by foreign investors, is deemed neutral, from a foreign investment perspective, and is