Varig Employees Urge Brazilian President to Keep Bankrupt Airline Flying

A group representing Brazilian Varig Airline employees, accompanied by ten members of Congress, delivered a document at the Palácio do Planalto, the presidential office, in which they ask president Luiz Inácio Lula da Silva for three things.

The document was signed by the Varig Group Employees (Trabalhadores do Grupo Varig) (TGV), which represents four worker associations and unions. Varig, the Brazilian air carrier, is going through a severe financial crisis.

The TGV asked Lula to: first, postpone airport tax payments for five months; second, give the firm two-month grace period to pay for fuel. Both these payments are to Brazilian state-run organizations: Infraero and Petrobras, respectively.

Finally, TGV requested authorization to use money (some US$ 150 million) from the Varig pension fund to keep the company afloat.

Márcio Marsiolac, coordinator of TGV and the vice leader of the government in the Chamber of Deputies, deputy Beto Albuquerque (PSB party, Rio Grande do Sul state), both pointed out that the government, as the main creditor, in a company that is now being administrated by its creditors, should not permit it to fail.

"We will not stand by and let Varig die," said Marsiolac. Albuquerque said it was absurd that the government, the biggest Varig creditor, will be, in the end, responsible for its bankruptcy.

ABr

Tags:

You May Also Like

Bolivia Accuses Brazil of Using Venezuela to Get Cheaper Gas Prices

The president of Bolivia’s state petroleum company said Monday, February 20, that suggestions Brazil ...

Brazil Is Falling Behind, But We Keep Talking About Our Progress

The end of the Second World War gave rise to the creation of several ...

Low Interests Rates in Brazil Only After Inflation Is Under Control

Having inflation under control is an essential prerequisite for financial investors to accept a ...

Brazil’s HDI Marginally Up, with 11.6% of Illiteracy and 70.5 For Life Expectancy

Brazil’s Human Development Index (HDI) improved between 2002 and 2003, rising from 0.79 to ...

Brazil: Lula Brushes off Recession

Brazil is in a recession. During the first quarter there was a downturn in ...

Any Brazilian Now Can Take Cases of Torture Directly to the UN

In the past, a formal complaint to the UN Committee on Torture could only ...

Brazil’s (Sí£o Paulo and Rio) Cost of Living Climbs 22 Places Among World’s Cities

Mercosur capitals figure in the lower half of the world’s most expensive cities according ...

Making Capitalism Work: The Brazilian Model

At the height of the crisis of 2008, Brazilian entrepreneur Roberto Medina published an ...

Brazil: Digital Navigation in Sí£o Paulo and Rio Much Easier Now

São Paulo and Rio de Janeiro streets are now covered by Navteq a global ...

More Diesel and Less Imports Bring Brazil’s Petrobras US$ 2.9 Billion Surplus

Petrobras, Brazil’s state-controlled oil and gas multinational, had a trade balance surplus of US$ ...

WordPress database error: [Table './brazzil3_live/wp_wfHits' is marked as crashed and last (automatic?) repair failed]
SHOW FULL COLUMNS FROM `wp_wfHits`