Cargo and Foreign Routes Bring Brazil’s TAM 10% Boost in Revenues

    Brazilian airlines Tam and Gol

    Brazilian airlines Tam and Gol Brazil's flagship airline TAM ended last year with a 10% increase in gross revenues, which totaled 8.5 billion reais (US$ 4.8 billion). In the year before last, the company posted revenues of 7.7 billion reais (US$ 4.4 billion).

    Performance last year was boosted by the expansion in international passenger and cargo. Revenues from foreign passengers increased 38.5% to stand at 2.1 billion reais (US$ 1.2 billion), and revenues from cargo rose 153%, totaling 417 million reais (US$ 238 million).

    In the domestic market, revenues from passengers decreased 6.4%, to 4.8 billion reais (US$ 2.7 billion), and revenues from cargo grew 11.9%, to 360 million reais (US$ 136 million). Number of passengers in domestic flights rose 7.2%, totaling 24.1 million, and in international flights it grew 48.7%, to reach 3.7 million.

    "It has been a very significant year for our international operations. We invested in new routes that are posting good results. Besides, we have signed strategic code-share agreements with leading companies in Europe, the United States and South America," says the president at TAM, commander David Barioni Neto.

    The company posted a net profit of 128.8 million. The airline ended the year of 2007 with a fleet of 115 aircraft. TAM plans on closing 2008 with 123 aircraft in operation, including 4 Boeing B777-300ER and 119 Airbuses.

    The company also has a firm order backlog of 89 new aircraft, scheduled for delivery from 2008 to 2018.

    Varig's New Flights

    Varig, the once Brazil's flagship airline that was bought by Gol, has a new network of domestic flights. The changes, which were initiated to broaden the company's presence in high traffic business markets, should improve the company's connectivity and distribution to several national destinations.

    Planning for the new network included the recent lift of previous restrictions on connecting flights to Congonhas Airport, in São Paulo. From this airport, Varig will serve Belo Horizonte (Confins), Brasí­lia, Curitiba, Florianópolis, Porto Alegre, Recife, Rio de Janeiro (Galeão and Santos Dumont) and Salvador.

    The most significant change is the creation of a distribution hub in Brasí­lia. Customers can now fly to Belo Horizonte (Confins), Fortaleza, Manaus, Porto Alegre, Recife, Rio de Janeiro (Galeão), São Paulo (Congonhas) and Salvador in direct flights from the federal capital.

    The number of flights to these destinations was also increased. Flights to Salvador, for example, now include three frequencies from Brasí­lia, two from Rio de Janeiro (Galeão) and three from São Paulo (Congonhas).

    "With the new hub in Brasí­lia and the return of connections to Congonhas, Varig will be able to offer more flight options to several destinations. The company is growing and gaining a wider national route network," says Lincoln Amano, Varig's commercial director.

    "The new network will allow Varig to increase aircraft utilization, productivity, efficiency, and flight loads in an intelligent way. Most importantly, it will allow Varig to broaden its customer services."

    Operations to Brasilia and from Congonhas will primarily be carried out by Boeing 737-700 and 737-800 Next Generation aircraft, which have the largest space between seats in the Brazilian domestic market.

    Tags:

    • Show Comments (0)

    Your email address will not be published. Required fields are marked *

    comment *

    • name *

    • email *

    • website *

    This site uses Akismet to reduce spam. Learn how your comment data is processed.

    Ads

    You May Also Like

    Machinery industry has optimistic forecasts for 2007

    The machinery and equipment sector will have in 2006 a performance similar to that ...

    zzz

    FIFA Mad at Brazil For Asking Too Much and Giving Too Little to the 2014 World Cup

    Five-time world champion Brazil, according to International Federation of Football Association (FIFA) has been ...

    No Change is Good News for Brazilian Investors

    Latin American stocks were mixed to higher, with Brazilian shares posting modest gains on ...

    Syrian-Lebanese hospital in Brazil

    Brazil to Create New Organ Transplant Centers in 16 States

    Brazil's Ministry of Health and the Syrian-Lebanese Hospital (HSL) announced the establishment of a ...

    Yabuta grange in Bastos

    Arabs Buy Close to Half of the Eggs Brazil Exports, a 400% Jump

    Brazilian exports of eggs to the Arab countries grew 423% from January to October ...

    Rare blue macaws can be seen at the San Francisco ranch

    Voyeurs of the World Discover Brazil’s Pantanal

    Old pond. / Frog jumps in. / Water-sound. The seventeenth century Japanese haiku poem ...

    Brazil to Grow a Mere 2.3% in 2005, Says IPEA

    Latin American markets gained ground, with Brazilian stocks posting the biggest gains on hopes ...

    Congressman Names Names in Brazilian Graft Scandal, But Lula’s Party Denies All

    In testimony yesterday before the Ethics Council of the Brazilian Chamber of Deputies, the ...

    MST

    Brazilian Executive and Judiciary Dispute over Landless Killings

    The Chief of Cabinet of Brazil, Dilma Rousseff, said the Brazilian government will continue ...

    Brazil’s Eco Prize Has New Category: Sustainable Business Management

    Companies interested in competing for the Eco Prize 2005 have until today to register. ...