Justice accepts the judicial recovery application of Avianca | Economy

In the decision, Judge Tiago Henriques Papaterra Limongi stated that "although the company is not one of the market leaders, its participation is far from unimportant, so that the Brazilian air transport system is intuitively damaged and you can forget a considerable number of customers of the company if it does not regularly provide its services. "

In a statement, the company said that" with the approval, its operations and its pbadengers are preserved, "the company said.

The company accumulates a debt of 493.8 million R $, according to the newspaper Valor Econômico. In the second quarter, it recorded a loss of 144.6 million R $.

Guest, Avianca was sued for non-payment of the aircraft rental agreement. In only one case was she charged with not paying 11 installments.

With this request for resumption, Avianca wanted to prevent the resumption of aircraft, which, according to the company, would threaten to trip 77,000 pbadengers in December.

Efromovich Loan and United

The company was negotiating a capital injection even before the request for recovery, told Reuters the German Efromovich, whose family controls the carrier.

Efromovich, controller of Avianca Holdings, said he was negotiating with funds, but he did not name any names. He also refused to detail the values.

Avianca Brazil faces recurring losses and a series of lawsuits for reinstatement of aircraft ownership.

Efromovich said that he was discussing the cash increase for Avianca Brazil when negotiating a United Continental loan. Although Avianca Brazil stated earlier that it was controlled by Synergy Group of Efromovich, it clarified that this had changed and that a separate holding company, controlled by his brother José, is now the parent.