767-300ER From United States of America, joined May 1999, 130 posts, RR: 0 Posted (16 years 11 months 1 week 4 days 8 hours ago) and read 1860 times:
VARIG is in serious financial trouble. Not becasue the airline is bad but becasue of the brazilian economic crisis. I have heard from the brazilian consulate that varig may suspend flights to atlanta and washington because there are simply no passengers on the flights anymore. It is not uncommon to have 50 passengers on the flight to atlanta from sao paulo. also in an effort to make cash Varig may fly LAX-IAH-GRU to fill up the plane. but only once a week. Varig already has authorization to fly to houston. Also rumor has it from the brazilian consulate that continental may abandon plans for IAH-GRU flight, and they will eventually stop flights from newark to sao paulo and rio de janeiro because there is no money being made. I have heard also that VASP, Transbrasil, TAM, and VARIG are all in financial trouble. So lets hope the economic crisis in Brazil gets better so the airlines can continue all their profitable routes to Brazil. Lets remember if Brazil goes into recession so will all of latin america and that will BADLY hurt the U.S , nad if the U.S has econimc problems asia will get back into their crisis then Europe will go down the drain with every one else!!! So lets hope the crisis is only temporary
martin From Netherlands, joined Jun 2005, 0 posts, RR: 0
Reply 2, posted (16 years 11 months 1 week 3 days 17 hours ago) and read 1857 times:
Brazil need to get his economy in order, privatize ineficient state run companies and cut federal spending. If president Cardoso does not take severe measures not only Varig, but Vasp, Tam, Transbrasil and the rest will suffer. Foreign airlines are going to cut service to Brazil too.