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15-Jun-2019 2:07 AM

South America: United Airlines takes steps to rectify Avianca’s unrest

Analysis

Latin America's second largest airline - Avianca Holdings - is facing one of the most tumultuous times in its 100-year history.

The airline is navigating financial struggles and a CEO and board shake-up as its majority shareholder was unceremoniously removed as chairman. And although it has no formal ties to Avianca Brazil, the Brazilian airline's misfortune has forced Avianca to stress that their operations are entirely separate.

Now Avianca is in triage mode, but it does have the support from its prospective JV partner, United, which has a vested interest in ensuring that Avianca survives and thrives.

Arguably, United's Latin American strategy rests on Avianca's rebound.

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