GOL Linhas Aéreas Inteligentes (G3, São Paulo Congonhas) is reportedly considering filing for Chapter 11 bankruptcy protection in the United States within the next month, as talks with multiple stakeholders have not panned out favorably for the carrier, according to a report from Reuters and local Brazilian newspaper Folha de S. Paulo.
“GOL is in discussions with our financial stakeholders about several options to increase our financial flexibility, including raising significantly additional capital to fund GOL’s business operations,” the airline told ch-aviation. It added that any action taken will be one that best positions the carrier for long-term success.
The ch-aviation fleets module shows the Brazilian carrier operates a fleet of 141 aircraft. It has sixteen B737-700s, forty-four B737-8s, seventy-five B737-800s, and six B737-800(BCF)s. Of this fleet, 132 planes are dry-leased from 25 lessors. It also has on order sixty-one B737-8s and twenty-five B737-10s.
During 2023's third quarter, GOL recorded a net loss of BRL1.3 billion reais (USD267 million), despite record income. During the ensuing investors' earning call, Mario Liao, Executive Vice President, and Chief Financial Officer, said the company faced a more challenging scenario due to volatile fuel costs that negated the benefits seen in previous quarters.
On December 1, the airline mandated Seabury Capital to assist it “in a broad review of its capital structure which includes addressing liability management, financing transactions and other measures to augment the company's cash resources while reprofiling GOL’s near and medium-term fleet and other financial obligations.”
GOL is part of the Abra Group, alongside avianca airlines (AV, Bogotá). However, the Colombian carrier is distancing itself from its Brazilian counterpart's woes. A spokeswoman for avianca said the company is completely independent and a separate entity from GOL.
“avianca is not going through the GOL situation and has nothing to do with that situation. Both companies are autonomous and have their separate administrations, brands, and aircraft,” she said to ch-aviation. The Colombian firm underwent its own Chapter 11 restructuring between 2020 and 2021.
