Avianca, Delta in Talks to Buy Aerolineas Argentinas

The two airlines have reportedly presented proposals to the Argentine government.

An Aerolineas Argentinas Boeing 737 (Photo: Shutterstock | claudio santisteban)

[ Top Story ]November 11, 2024 12:19 pm ET

By Ryan Ewing

Argentina’s state-run airline may be getting a new owner. The beleaguered carrier hasn’t made a profit since 2008 and continues to be a hot-ticket item on President Javier Milei’s administrative chopping block.

Aerolineas Argentinas was nationalized roughly 16 years ago and has posted year-over-year losses ever since. Milei’s desire to shrink the country’s administrative state has left the airline in limbo.

Earlier this year, it ended long-haul flights to New York-JFK from Buenos Aires. In addition, the airline continues to cancel scores of flights due to transport workers’ strikes throughout the country.

These ongoing labor issues have further fueled Milei’s desire to privatize the carrier, which, according to some government estimates, has received over $8 billion in government funding.

Now, Milei’s administration has given an ultimatum. According to Okdiario, if the airline is not privatized, it will be shut down.

Furthermore, if a labor agreement is not reached by Friday afternoon, the airline may eventually cease operations, reports say.

An Aerolineas Argentinas A330-200 departs from JFK (Photo: AirlineGeeks | Ben Suskind)

New Buyers

Per Argentinian news site Informate Salta, a new purchase deal could be on the horizon. A consortium that includes both Avianca and Delta has reportedly presented a plan to buy the ailing airline.

The proposal is already under review by government officials and the country’s Ministry of Transport, the report said. Delta and Aerolineas Argentinas are both members of the SkyTeam alliance, while Avianca maintains a strong presence in Latin America.

Neither Delta nor Avianca immediately replied to AirlineGeeks’ request for comment on the proposed transaction.

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Ryan Ewing

Ryan founded AirlineGeeks.com back in February 2013 and has amassed considerable experience in the aviation sector. His work has been featured in several publications and news outlets, including CNN, WJLA, CNET, and Business Insider. During his time in the industry, he's worked in roles pertaining to airport/airline operations while holding a B.S. in Air Transportation Management from Arizona State University along with an MBA. Ryan has experience in several facets of the industry from behind the yoke of a Cessna 172 to interviewing airline industry executives. Ryan works for AirlineGeeks' owner FLYING Media, spearheading coverage in the commercial aviation space.

Follow Ryan

Author

Ryan Ewing

Ryan founded AirlineGeeks.com back in February 2013 and has amassed considerable experience in the aviation sector. His work has been featured in several publications and news outlets, including CNN, WJLA, CNET, and Business Insider. During his time in the industry, he's worked in roles pertaining to airport/airline operations while holding a B.S. in Air Transportation Management from Arizona State University along with an MBA. Ryan has experience in several facets of the industry from behind the yoke of a Cessna 172 to interviewing airline industry executives. Ryan works for AirlineGeeks' owner FLYING Media, spearheading coverage in the commercial aviation space.
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