Latin America's largest airline announced on Wednesday that it is indefinitely ceasing operations at its Argentine subsidiary due to the financial hardship provoked by the coronavirus pandemic.
LATAM said in a statement the move was "because with the current conditions of the local industry, aggravated by the COVID-19 pandemic, a sustainable projected is not considered viable."
The Argentine subsidiary has been in operation for 15 years but its 12 domestic routes have been shut down by the virus while four international destinations are operated by other LATAM subsidiaries.
"It's an unfortunate but inevitable news. LATAM must now focus on transforming the group to adapt to post COVID-19 aviation," CEO Roberto Alvo said.
Chilean-Brazilian LATAM is in crisis due to the border closures and measures put in place by South American countries to contain the coronavirus pandemic.
Last month it filed for bankruptcy in the US having scaled back operations by 95 percent in April.
LATAM was formed in 2012 from a merger between Chilean airline LAN and Brazilians TAM.
Before the pandemic it served 145 destinations in 26 countries, employing 42,000 people and operating 1,400 flights a day, transporting 74 million passengers a year.
Latin America’s largest airline announced on Wednesday that it is indefinitely ceasing operations at its Argentine subsidiary due to the financial hardship provoked by the coronavirus pandemic.
LATAM said in a statement the move was “because with the current conditions of the local industry, aggravated by the COVID-19 pandemic, a sustainable projected is not considered viable.”
The Argentine subsidiary has been in operation for 15 years but its 12 domestic routes have been shut down by the virus while four international destinations are operated by other LATAM subsidiaries.
“It’s an unfortunate but inevitable news. LATAM must now focus on transforming the group to adapt to post COVID-19 aviation,” CEO Roberto Alvo said.
Chilean-Brazilian LATAM is in crisis due to the border closures and measures put in place by South American countries to contain the coronavirus pandemic.
Last month it filed for bankruptcy in the US having scaled back operations by 95 percent in April.
LATAM was formed in 2012 from a merger between Chilean airline LAN and Brazilians TAM.
Before the pandemic it served 145 destinations in 26 countries, employing 42,000 people and operating 1,400 flights a day, transporting 74 million passengers a year.
