Here you will find information about Brazilian Airlines, their websites, their history, updates, and also how to book their products, like the Brazil Airpass offered by TAM Airlines, GOL Airlines and TRIP for those traveling inside Brazil.

The Brazilian airline industry has changed dramatically in the last decade, going from four major players in the 90’s when it had Varig Airlines as its main international flagship carrier followed by smaller players like Vasp, Transbrasil, and TAM at the time a regional carrier.

Founded in 1927, in the southern State of Rio Grande do Sul, Varig became a major carrier with dozens of planes and a worldwide reference for quality service. Visit Wikipedia Page about Varig.

In early 2000, Varig went through a series of restructuring to try to adjust the carrier to the new reality, specially the increased competition from new low-cost carrier GOL, and tariff wars being waged by struggling carriers VASP and Transbrasil. The carrier could not recover, and the company was split in 2005, with GOL acquiring part of the company.

Transbrasil and VASP later went out of business and only two major carriers remained in the sector in Brazil, TAM which became Brazil’s Flagship carrier and GOL, focused on the domestic market and using a low cost model.

In 2008 David Neeleman, founder of Jetblue in the US founded AZUL (Blue in Portuguese), which is growing rapidly and gaining market share from GOL and TAM. Azul merged with regional carrier TRIP, and together already control 15% of the market.

In 2011, GOL acquired Webjet to gain market share and more importantly the valuable slots at Brazilian airports, and on November 2012 GOL shut down the carrier completely, and laid off most its employees.

In 2012, TAM Airlines was acquired by Chile’s LAN Airline and became part of the LATAM Group. The new company is struggling to realize all the promised sinergies promised to investors and governments. In the meantime Azul is gaining momentum and market share.

Latam
Article from The Wall Street Transcript 

Highlights

  • LATAM reported a strong improvement in operating income for fourth quarter 2014, reaching US$267.0 million, an increase of 13.7% compared to the US$234.9 million reported in fourth quarter 2013. Operating margin reached 8.6%, compared to 6.9% in the same period 2013. The expansion in margins was mainly driven by a significant reduction in the Company’s operating costs which decreased by 10.3% in the quarter as compared to same period in 2013, despite the 1.8% increase in capacity as measured in ASKs.
  • Net income reached US$98.3 million in fourth quarter 2014, compared to a net loss of US$46.1 million in fourth quarter 2013. This result includes a foreign exchange loss of US$90.3 million mostly recognized at TAM as a result of the devaluation of the Brazilian real during the quarter. The Company has mitigated foreign exchange losses by consistently reducing the exposure to the Brazilian real on TAM’s balance sheet.
  • For full year 2014, LATAM reported an operating income of US$513.4 million, as compared to US$643.9 million in full year 2013. Operating margin for 2014 reached 4.1% as compared to 4.9% in 2013, in line with the guidance provided by the Company.
  • LATAM reported a net loss of US$109.8 million for full year 2014, compared to a net loss of US$281.1 million in 2013. These results include foreign exchange losses of US$130.2 million in 2014 and US$482.2 million in 2013 mainly resulting from the devaluation of the Brazilian real. In addition, this result includes the recognition of a US$112 million provision during the first quarter of 2014 related to estimated penalties for anticipated aircraft redeliveries as a result of our fleet restructuring process.
  • In January, the Company announced its preliminary guidance for 2015. We expect to improve profitability and estimate operating margins for the full year 2015 to be in the range of 6% to 8%. This improvement in results takes into account our strategic focus on the factors we have defined as critical for success: customer experience, network and efficiency and cost reduction.
  • In line with the Company’s fleet renewal plan, during fourth quarter 2014 LATAM received a total of 5 Airbus A321 aircraft and 1 Boeing 787-8 passenger aircraft.

azul air

 

(Article from Bloomberg) — Brazil’s Azul SA, the airline led by JetBlue Airways Corp. founder David Neeleman, is delaying its expansion to New York to add flights on busy routes to Florida.

“Florida is going exceptionally well,” Gianfranco Panda Beting, Azul’s communication, brand and culture director, said in a telephone interview. “It’s a combination of having a good product, attractive prices and a unique network in Brazil.”

Two leased Airbus Group NV A330-200 jets being delivered to closely held Azul in May will serve Orlando and Fort Lauderdale in Florida instead of going to New York, according to the airline, which has four of those wide-bodies already in use. New York service will still begin this year, Beting said.

Azul, created by Neeleman in 2008 after he left JetBlue, is expanding from its roots as a small-city carrier. With more than 100 domestic destinations, about twice as many as local rivals, Azul seeks to funnel fliers from around Brazil to the international service begun in December 2014 with flights to Florida.

In January, a peak month for Brazil summer travel, Barueri-based Azul filled 90 percent of its seats to Orlando and Fort Lauderdale with paying passengers. That tops the international flights at Gol Linhas Aereas Inteligentes SA and Tam, a unit of Latam Airlines Group SA, which were 77 percent and 86 percent full, respectively, according to the Brazilian airline association known as Abear.

Campinas Hub

Gol and Tam also fly to places like Buenos Aires and Santiago, operating from Sao Paulo’s Guarulhos Airport, while Azul serves the U.S. from its hub at Campinas airport outside Brazil’s largest city.

Brazil’s potential growth in air travel is greater than in mature markets, and part of the success of Azul’s flights abroad, Beting said on March 16. New York-based JetBlue, which started flying in 2000, also began with a domestic focus before adding flights to the Caribbean and Central and South America.

With a population of about 200 million, Brazil is South America’s largest country though it has fewer available seat kilometers per week originating in the nation than in France or the U.K., countries that have fewer than one-third as many people each. About 19 million paying Brazil passengers flew internationally in 2013, according to the aviation regulatory agency known as Anac.

The Brazilian currency weakened by 18 percent against the dollar this year through Tuesday, making Brazilians think twice about traveling abroad, Beting said. Azul benefits from being only the second airline to fly direct between Sao Paulo and Orlando, one of the top destinations for Brazilians.

“We’re going into the low season now, so we’re unlikely to maintain the high numbers from January,” Beting said. “But we still think we’ll have healthy numbers.”

(An earlier version of this story was corrected to specify the scope of international flying by Azul’s competitors.)

Reporter:  Christiana Sciaudone from Sao paulo

GOL Air Canada

 

Air Canada and the GOL announced last  March 11 a code-share agreement, which will make it easier for customers to connect and the journey through the two companies networks. The agreement is subject to approval by the National Civil Aviation Agency, the Administrative Council for Economic Defense and the Canadian Transportation Agency.

“Air Canada is very pleased with the expansion of its global reach through this agreement with GOL. The codeshare agreement will strengthen our latest services nonstop from Toronto to Rio de Janeiro  operating three times per week and Sao Paulo, operating everyday. The codeshare will offer even more choices and greater convenience to customers, because GOL has an extensive national network from Brazilian cities that are gateways, “said Benjamin Smith, president of the Air Canada passenger segment.

“We have invested in partnerships that provide increasing benefits to our customers. The expansion of the partnership with Air Canada is just that, and will also strengthen our presence in the international markets, “said Cyrus Camargo, director of alliances GOL.

Latam

 

Through an aircraft lease with AerCap Amsterdam LATAM Airlines received the first 787-9 Dreamliner to its fleet. With Boeing it was conducted delivery of another 787, which counts a total of 11 in the entire fleet, noting that LAN Chile already has in its fleet the 787-8.

The first flight is scheduled for March, and according to Boeing, LATAM Airlines is the first company in Latin America to operate both models 787 at the same time. Latam is scheduled to have 32 Boeing 787, including in this total 10 787- 9.

The 787-9 complements and extends the family 787. With the extended fuselage in six meters in relation to 787-8, the 787-9 will carry up to 40 passengers and fly over 450 nautical miles (830 kilometers) more with the same performance, 20% exceptional environmental less fuel consumption and 20% less emissions than the aircraft it replaces. Remember that the 787 has applications in 1070, with more than 200 of them are already flying.

gol aviao

Gol revealed just a few of the last quarter results and, consequently, all of 2014. One of the highlights was the 25.7% increase in demand for international flights operated by the company, which had an average occupancy of 71%, 8.3 pp growth.

Domestic flights demand has increased by 8%, the capacity reduced by 1.7% and the load factor hit 78%, 7 pp higher compared to 2013. In total, 40 million passengers were transported in 2014, an increase of 9.5%.

The prask increased 11.3%, hitting R$18.2, the yield reached R$23.7 (+ 1.1%) and the rask rose 12.2% to R$20.3.