Brazil: Bankruptcy-Plagued Varig Hires US Firm Savvy on Distressed Airlines

Global professional services firm Alvarez & Marsal, which specializes in turnarounds and restructurings, announced it has been hired by ailing Varig, the largest Latin American airline, as chief restructuring advisors to work with the company’s management and board as it moves forward with the restructuring process.

The decision to retain a professional restructuring firm was initiated by Brazil-basedVarig’s creditors and the selection process followed technical criteria. Alvarez & Marsal has dealt with other distressed airlines including US Airways and AeroMexico.

"Our team of international professionals will bring our extensive experience in turnarounds and restructurings to bear as we work closely with Varig’s senior executive team, who will remain in their current positions," said Marcelo Gomes, a Brazil-based managing director at Alvarez & Marsal.

"We do not expect the restructuring process to disrupt the ongoing operations and administration of the company."

Alvarez & Marsal professionals will not assume official interim management roles. Varig president Marcelo Bottini and all current directors will remain in their current positions at the company.

Luis Delucio, a director at Alvarez & Marsal, will serve as co-chief restructuring advisor along with Mr. Gomes. Both will report directly to Mr. Bottini and Varig’s board of directors.

Alvarez & Marsal – www.alvarezandmarsal.com

Tags:

You May Also Like

In Brazilian Courts Little Has Changed Since US Nun’s Murder

Social movements and human rights groups suffered yet another defeat this month at the ...

Brazil Gives Uruguay Its Blessing for Trading with US and Irks Venezuela

Mercosur junior members’ decision to negotiate free trade agreements with third parties received Friday ...

Portugal’s RTP Beams Programs Via Satellite Directly into Brazilians’ Homes

RTP (Radio e Televisão de Portugal), the Portuguese national public service broadcaster announced that ...

A Brazilian

Want to Be a Prostitute? The Brazilian Government Can Teach You How

The Brazilian government maintains in the site of the Labor and Employment Ministry a ...

Brazilian Chancellor Goes to Africa

A delegation led by Brazil’s Minister of Foreign Relations, Celso Amorim, will visit five ...

War Operation with Almost 3,000 Men Take Rio Favela Back from Drug Traffickers

The Rio police signaled the success of retaking from the drug lords the huge ...

Brazil-Chile Summit Urges More Union in South America

Brazilian President Luiz Inácio Lula da Silva expressed satisfaction with Chile’s President Ricardo Lagos’ ...

In Democracy Brazil Still a Low Achieving Student. Chile, Peru Doing Better

When the matter is democracy, Brazil is not on the top of the class ...

Birth Control and Violence Are Brazilian Women’s Main Concerns

There are two "relevant matters" to be dealt with in the area of female ...

Brazilian CEO of Anheuser-Bush InBev Vows Best Beer in a Better World

Despite all the economic uncertainty Belgian-Brazilian brewery InBev, led by a Brazilian, announced today, ...