BOGOTA (Reuters) - Avianca Holdings' AVT_p.CN third-quarter net loss widened significantly following a substantial fall in income due to the impact of the coronavirus pandemic, the Colombian flagship airline reported.
The airline - which went into restructuring after declaring bankruptcy under U.S. Chapter 11 law in May - recorded a net loss of $283.5 million in the third quarter, compared with a loss of $40.1 million in the year-earlier period.
Income during the three months ended Sept. 30 fell to $206.9 million, down from $1.2 billion in the third quarter of 2019, it said in a statement late on Thursday.
“Avianca’s scheduled passenger operations have been affected (by the coronavirus pandemic) since mid-March, reducing its consolidated revenues by more than 73% and putting significant pressure on its cash reserves,” the company said.
Avianca grounded all its passenger flights in March after its main hubs in Colombia, El Salvador, Ecuador and Peru all shut down air traffic as part of measures to slow the spread of the coronavirus.
Colombia’s flagship airline has a fleet of 158 planes and 19,000 employees. It has routes to 76 destinations in 27 countries in the Americas and Europe. It carried 30.5 million passengers in 2019, generating $4.6 billion in sales.
Reporting by Oliver Griffin; editing by Jonathan Oatis
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