Quantcast

Argentina considers privatizing Aerolíneas Argentinas amid ongoing financial struggles

Why fuel price crash won’t make flying cheaper
Kristi Noem says travelers without Real ID will still be able to fly after deadline
Airline Stocks To Keep An Eye On - April 28th
Report: JetBlue, United Mulling Partnership
New First-Class Suites, Futuristic Aircraft and the Top Air Travel News From April 2025
Southwest Airlines Announces Reimagined Fare Products, New Benefits for Rapid Rewards Credit Cardmembers and Tier Member Customers
New Alaska Airlines trading cards take flight this World Pilots’ Day - Alaska Airlines News
United CEO calls Trump's tariffs a 'chess game'
Virtual Training Becomes a Reality
Korean Air Restarts Longest 747 Passenger Flight in the World
Flight tickets from Srinagar remain exorbitantly high despite aviation ministry request
RTX Q1 Earnings & Sales Beat Estimates, Increase Year Over Year
Delta faces federal investigation as it scraps hundreds of flights for fifth straight day
Coalition pledges to remove EV tax break two days after Dutton ruled out scrapping it – as it happened
Adani’s airport unit seeks $750 million loan from global banks
GE Aerospace affirms outlook; CEO met with Trump to discuss tariffs
Flight made emergency landing in Denver after reported animal strike and engine fire
General Dynamics says G800 jet receives FAA, EASA certifications
Archer unveils plans for NYC air-taxi network in partnership with United Airlines
United Airlines doubles down on Chicago roots with new O'Hare billboards
ICAO Proposes ‘Journey Pass’ Biometric ID Boarding
Gatwick airport strikes, Easter 2025: will my flight be cancelled?
Boarding passes and check-in could be scrapped in air travel shake-up
The most in Mexico: American Airlines adds 30th destination as part of a record-breaking schedule
European air traffic warning means summer delays for holidaymakers
The EU rule change that could affect millions of Brits when their flight is delayed or cancelled
Delta Earnings Land Soon. Why They’re Key for Airline Stocks and the Economy.
Avelo Airlines to Operate Deportation Flights, Hiring Flight Attendants
Travel chaos 2025: all the strikes and disruption expected across Europe
Qatar Airways accelerates Starlink wifi implementation
Argentina considers privatizing Aerolíneas Argentinas amid ongoing financial struggles
Policy
Webp received 1291123852194828
Airbus A310-325 | Wikimedia

Aerolíneas Argentinas, the state-owned airline of Argentina, has faced significant challenges in recent years due to the COVID-19 pandemic and economic difficulties. The airline has been struggling with low passenger numbers, reduced financial performance, and high operational costs. It has also had to cut routes due to increased competition.

The carrier recently withdrew from its lucrative route between Ministro Pistarini International Airport (EZE) and New York's John F. Kennedy International Airport (JFK), which attracted high-spending travelers. This decision is part of a broader struggle with financial losses.

The airline's outdated fleet of Airbus A330s further compounds its problems. These aircraft lack competitive business class offerings compared to US legacy carriers like United Airlines, Delta Air Lines, and American Airlines, which operate more modern jets on similar routes.

Get the Newsletter
Sign-up to receive weekly round up of news from Sky Industry News
By submitting, you agree to our Privacy Policy and Terms of Service. By providing your phone number you are opting in and consenting to receive recurring SMS/MMS messages, including automated texts, to that number from our short code. Msg & data rates may apply. Reply HELP for help, STOP to end. SMS opt-in will not be sold, rented, or shared.

President Javier Milei, who took office in December 2023, is a vocal critic of the state-run airline. He argues that privatizing Aerolíneas Argentinas could alleviate government spending issues and improve the airline's fortunes.

However, past attempts at privatization have not been successful. In the 1990s under President Carlos Menem, Aerolíneas was privatized but faced significant debt and mismanagement issues. A consortium led by Iberia acquired an 85% stake in the company but later reduced it after financial struggles persisted.

By 2001, amid Argentina's financial crisis, Aerolíneas filed for bankruptcy protection before being partially rescued by the Spanish Marsans Group. The government eventually renationalized the airline in 2008 under President Cristina Kirchner due to ongoing disputes over management and sale prices.

Lessons from these experiences suggest that while Aerolíneas Argentinas can generate profits when operating as a private entity with reduced network size and costs, it faces challenges when required to maintain unprofitable routes as a public service provider.

Organizations Included in this History
More News

Flying Food Group, Inc. has announced the recipients of its 2025 scholarships, with all five applicants receiving awards this year.

Oct 23, 2025

Dnata, a global provider of air and travel services, has entered into a joint venture with Azerbaijan’s Silk Way Group to launch ground handling and cargo operations at Alat International Airport, located in the Alat Free Economic Zone in Baku.

Oct 22, 2025

Delta Air Lines has announced the release of version 7.5 of its mobile app, introducing new features aimed at making travel planning and management easier for customers during the holiday season.

Oct 22, 2025

The Fair Work Commission has ruled that a former employee of dnata Airport Services was unfairly dismissed and awarded $36,468.39 in compensation.

Oct 22, 2025

The 13th Annual Breast Care International Walk for the Cure took place in Kumasi, Ghana, drawing around 30,000 participants, including survivors, healthcare professionals, students, traditional leaders, and advocates.

Oct 22, 2025

The Los Angeles International Airport (LAX) has announced the closure of Terminal 5 to allow for a significant redevelopment.

Oct 22, 2025