TR763 From Brazil, joined Mar 2001, 788 posts, RR: 12 Posted (10 years 3 days 15 hours ago) and read 10860 times:
I read in a Brazilian website that Varig is suspending six international destinations. ASU, VVI, CPH, MVD, LIS and... CDG!!
I couldn't believe when I read this! I thought that Paris was one of their most profitable int'l destination.
Anyway, this is part of a plan in which the airline would be divided in two: the international and the domestic Varig.
The cuts in these routes seems to be temporarily in my point of view, as they intend to open new routes, such as ORD, in the future.
One more plan to make this airline survive... Until when we will keep seeing these soup operas of ideas instead of a possible and concrete solution (if it exists, and I hope it does, really!)???
EZEIZA From Argentina, joined Aug 2004, 4973 posts, RR: 23
Reply 1, posted (10 years 3 days 14 hours ago) and read 10830 times:
So Paris is gone as well? I hope all these measures will actually help and get RG back on its feet. It is very sad to see one of the biggest airlines in the region in such a terrible situation. Hopefully this will change
VVI? That used to be a prime destination for RG although I recognize that the route GRU-Curitiba-VVI is a disaster as two weeks ago I flew the route and from Curitiba only around 30 pax were on the aircraft = total loss.
Starting when will RG stop VVI service, this is important for me to know as I am expecting persons on the RG 8880 flight next week?
PPVRA From Brazil, joined Nov 2004, 9093 posts, RR: 37
Reply 11, posted (10 years 3 days 14 hours ago) and read 10598 times:
This is not necessarely all BAD news, guys. But it means they will be optimizing their limited fleet to make more money. It's sad to see them leaving CDG, and it's sad that they aren't doing well there, but this can be seen as they are going to fly to more profitable places. It does not mean that CDG is losing money, which I really have no idea if it is or not.
In the article I provide the link below, they also state increased MUC and LAX frequencies. As well as the possible ORD service mentioned by TR763.
But all this is probably only going to happen if the plan for the "International" and "Domestic" Varig gets approved by the creditors.
Lijnden From United States of America, joined Apr 2003, 590 posts, RR: 1
Reply 12, posted (10 years 3 days 13 hours ago) and read 10471 times:
A few weeks ago I thought Varig Log (with USA investors) were interested in Varig. Anyway, I do not expect Varig to collapse soon (who would bring the Brasilian team to Germany? Emirates...).
How many MD-11's do they have right now?
Be kind to animals! Last trip: ORF-CLT-CVG-LGA-ORF
FCKC From France, joined Nov 2004, 2348 posts, RR: 4
Reply 14, posted (10 years 3 days 13 hours ago) and read 10354 times:
Highly sad news.
I still remember the good old days when they came to Paris (Orly , not yet CDG) with 707s.
It's so sad to see an airline deasapearing out of the Parisian sky , after having been there for decades , beginning with Panair Do Brasil with DC8 and Constellations !!!!!!!!!!!
Noelg From , joined Dec 1969, posts, RR:
Reply 16, posted (10 years 3 days 12 hours ago) and read 10210 times:
Quoting EZYAirbus (Reply 3): oh dear......CPH....I believe there are 2 of our anet members flying to CPH on RG in the next couple of weeks!
Hoorah! I'm meant to be doing the RG flight on this day but we've been kind of hoping we'd be able to cancel as we're a little short of cash - at least if they go belly up we can hopefully claim some money back rather than lose it. Lets just hope they offer us a choice of re-accommodating us or getting a refund!
Hardiwv From Brazil, joined Oct 2004, 8780 posts, RR: 46
Reply 17, posted (10 years 3 days 12 hours ago) and read 10137 times:
I am not surprised by this move. TAM is already flying twice daily GRU-GIG and AF is rapiding expanding serving CDG-GIG daily and CDG-GRU 10 x week and to be increased to twice daily soon (plus AF will start deploying the B773 to GRU).
RG cannot compete against TAM and AF. And you can expect RG to pull out of even more international destinations. It simply represents de downfall of the airline. The optimization of the route network is extremely necessary. It also makes sense to launch ORD and increase services to LAX and MUC.
As for VVI, MVD and ASU, TAM and GOL are taking care of these markets. CPH was only operated 3 x week with a stop-over in LHR (which soon will also be gone when TAM starts services there). Finally, LIS is left for partner TAP which this month added extra 6 weekly flights to GRU/GIG. You can expect JFK to be dropped soon and maybe even MIA - both of which are getting excellent service by TAM.
LipeGIG From Brazil, joined May 2005, 11519 posts, RR: 57
Reply 18, posted (10 years 3 days 11 hours ago) and read 10004 times:
Quoting MaartenV (Reply 2): One of the reasons of ending these flights are the MD11s which are being returned (involuntary?) to the leasing companies?
You're right, they need to return 2 more M11's this year IIRC.
Quoting B742 (Reply 7): Will the 763 that currently operates the LIS route be returned, or moved elsewhere?
Moved to MIA in order to replace one M11 that need to leave the fleet.
Quoting B742 (Reply 7): A real shame about CDG, TAM and AF will love this news! Will either AF or TAM be able to benifit from RG leaving CDG, in other words will they increase flights?
Tam can obtain more planes or even try a daily light flight to get the market RG will leave. If they can run a day-light they won't need any additional aircraft.
Quoting 123 (Reply 9): VVI? That used to be a prime destination for RG although I recognize that the route GRU-Curitiba-VVI is a disaster as two weeks ago I flew the route and from Curitiba only around 30 pax were on the aircraft = total loss.
123, VVI with a US$/R$ rate so low is unprofitable as well as MVD, ASU and any other south american route without business class (the new service BSB-POA-EZE probably will be dropped too). RG can sell a GIG-IGU-GIG for US$ 500 but need to charge no more than US$ 320 for a GIG-CWB-ASU-CWB-GIG.
Quoting LTU932 (Reply 13): I thought it was a 772A which operated GRU-LIS.
They have only 3 flying , PP-VRA (the only one ER flying) on GRU-FRA, PP-VRC on GRU-JFK-GRU and PP-VRJ on GIG-GRU-MXP-GRU-GIG.
Quoting Hardiwv (Reply 17): You can expect JFK to be dropped soon and maybe even MIA - both of which are getting excellent service by TAM.
Hardi, i doubt RG will drop MIA and JFK. They will try to improve such routes (back to 2 planes) as the business traffic to those markets are very impressive.
Quoting Hardiwv (Reply 17): The optimization of the route network is extremely necessary. It also makes sense to launch ORD and increase services to LAX and MUC.
I can't understand why RG doesn't increase their most profitable routes (GIG-FRA and GRU-FRA). Their fixed cost is paid, any additional flight will be additional profit, and with the fact that LH reduced their flights (LH will run an extra FRA-GRU-FRA on June 9/10 as LH500/LH501 A343), probably will be profitable also!
That's why i believe RG management is crazy, FRA is in need of flights!
It seems this move will give us a good picture of the future: Does RG with a smaller network/fleet will be in conditions to pay their huge past debit ? Also, i believe RG will be in 1 or 2 years, easy to be replaced , something that nowadays can cause some troubles.
New York + Rio de Janeiro = One of the best combinations !
SOUTHAMERICA From Colombia, joined Dec 2003, 2499 posts, RR: 9
Reply 20, posted (10 years 3 days 7 hours ago) and read 9732 times:
Quoting RCS763AV (Reply 19): I name it: BOG. The airline´s lowest load factors in the international network are from BOG. AV is just kicking their ass.
I don't know if they are the lowest, but RG has significantly improved its performance in BOG ever since they reduced capacity. In fact, during the present low-season they have actually been registering decent loads according to the season.