Brazil’s Gol Airline Merges Varig and Gol, But Keeps Both Brands

Gol and Varig planes side by side Brazilian airline Gol Linhas Aéreas, which controls Gol and Varig announced this Wednesday, July 30, that it submitted to Brazil's National Civil Aviation Agency (ANAC) a request for authorization for a corporate restructuring of its subsidiaries to combine them into a single company.

The acquisition in March 2007 of the once flagship airline Varig by Gol was approved by Cade, the Brazilian Antitrust Agency on June 25.

The proposed reorganization, says Gol in a press release "aims to improve Gol's operational structure, will provide more efficient air transportation services through the integration of GTA (Gol Transportes Aéreos) and Varig's operations as the company explores synergies, broadens and improves service offerings."

"It will simplify the corporate structure of Gol's subsidiaries, maximizing administrative efficiencies, optimizing revenues and reducing financial and operational costs, besides greater operational flexibility."

Gol vows that all current rights and obligations of both companies will be respected and the brands Gol and Varig should be maintained separately.

The final reorganization is dependent upon ANAC's approval, under the terms of Article 186 of the Brazilian Aeronautics Code and other conditions. Gol says it will continue to release information regarding ANAC's decision and while it starts to implement the proposed changes.

Gol offers over 640 daily flights to 56 destinations connecting the most important cities in Brazil as well as the main destinations in South America. Varig offers over 120 daily flights to 14 destinations in Brazil.

Tags:

You May Also Like

Brazil Soy: The Seeds of Discord

There is a growing movement in Brazil against genetically modified soy, which was liberated ...

Movelsul: Brazil’s Last Word in Furniture Design

Brazilian furniture makers have been investing in machinery, design, human resources and management for ...

Brazilian Satellite Images Are Offered Free to the World

The Brazilian government informs that Egypt will soon start receiving images from the Cbers ...

Foreign Capital Having a Field Day in Brazil

The Report on Foreign Investment in Latin America and the Caribbean, 2004, prepared by ...

Guarani Indians Intent on Getting Land in Brazil

Some 500 leaders of the Indian group Guarani-Kaiowá of Brazil and Paraguay are meeting ...

Venezuelan president Hugo Chavez, a thorn on Washington's side

Let’s Talk About US’s Mounting Irrelevance in Brazil and LatAm

President Bush has been witnessing the advent of a new bloc of left-leaning and ...

Sarney Blarney

A Federal Police raid, to check on allegations of misappropriation of public funds by ...

Genocide: 76 Indians Killed in Brazil in 2007. 63% More than in 2006

At least 76 indigenous people were murdered in 2007 in Brazil. This was the ...

Brazil Heads CIAT, World Body Reuniting Tax Offices from Americas and EU

The Secretary of Brazil’s Federal Revenue and Customs Secretariat, Jorge Rachid, starting Wednesday, April ...

Beach salesman in Copacabana, Rio de Janeiro, Brazil

Patronizing Brazilians the Politically Correct Way

I have written quite a lot about tourism in Brazil, generally pointing out that ...