Colombia’s flagship airline Avianca is backing down from a merger with Viva Air, blaming conditions set by the country’s aviation regulator, the company announced Saturday.
In a statement, Avianca said conditions set by the regulator “would not allow Viva to be a financially and operationally viable airline,” and also put Avianca’s stability at risk.
“Regretfully the conditions of this resolution, which is a firm decision, make rescuing Viva impossible,” Avianca CEO Adrian Neuhauser said in the statement, adding that the conditions also put Colombia’s connectivity at risk.—Agencies