Mexican start-up carrier Azteca Airlines has ordered two Boeing 737-700s for delivery this year in a $94 million deal which marks the first sale of Next Generation 737s in Mexico.

The Mexico City-based airline plans to begin scheduled operations at the end March, flying four leased 737-300s on domestic routes previously served by TAESA, which ceased operations in late 1999.

Formed late last year, Azteca has been operating international charters with two 737s. Initial scheduled operations will serve Mexico City, Guadalajara, Morelia, Tijuana and Uruapan.

Pilots, flight attendants and mechanics were previously with TAESA, which filed for bankruptcy protection in February last year. According to Flight International's sister online service Air Transport Intelligence, Azteca originally planned to use TAESA's 17 737s, but was blocked from acquiring the aircraft by the Mexican Government because they had been poorly maintained.

Source: Flight International