Brazilian carriers Azul and Gol announced an agreement whereby each company could sell seats on codeshare domestic flights solely operated by the other, Agencia Brasil reported Friday. The understanding will become effective next month, it was also explained. Routes on which both companies compete directly are excluded.
After it was confirmed that there is no date for the reopening of the Salgado Filho International Airport in Porto Alegre, still partially under water due to the unprecedented heavy rains that have hit the State of Rio Grande do Sul since April 29, local airlines have announced the start of services to the nearby Canoas Air Force Base, Agencia Brasil reported.
Latam Airlines stock plunges over 80% at the Santiago market after a reshaping plan was announced, one which evaporated the value of current shares. The proposal is yet to be voted on by creditors between January and February 2022.
The Brazilian airline Azul has confirmed it plans to buy over all of LATAM Airlines' operations, not only the Brazilian branch as reports showed earlier this week. Azul was founded in 2013 by Brazil-born David Neeleman, who also owns low-cost carrier JetBlue.
Brazilian carrier Azul will resume flights to Uruguay as of November 10 with the reopening of the Porto Alegre-Montevideo route four times a week.
LATAM Airlines strongly denied on Monday it has intentions of getting rid of its operations in Brazil, given the interest of its main competitor Azul airlines, as was reported by the Wall Street Journal indicating that there were ongoing conversations with Latam creditors to purchase its Brazilian affiliate.
Azul, Brazil's third-largest airline announced on Monday a one billion dollars accord with German manufacturer Lilium for the purchase of 220 of VTOL electric aircraft scheduled to begin operating in 2025.
After reporting the cancellation of the code share with LATAM Brazil, and announcing that it was looking for «consolidation opportunities» in the market, air industry sources indicate that Azul Linhas Aéreas is considering making an offer to LATAM Airlines for the Brazilian subsidiary.
Brazil’s No. 3 airline, Azul SA, said on Monday it would start operating 17 flights per day between Sao Paulo and Rio de Janeiro, the country’s most transited route, currently dominated by the country’s No. 1 and 2 carriers.
Brazilian airline shares soared nearly 30% on Monday after a newspaper report said the government may scrap limits on foreign ownership of domestic airlines to attract investment to the struggling sector. President Dilma Rousseff may propose legislation giving her discretion to let foreign groups own as much as 100% of local airlines, up from 20%, Valor Econômico reported.