MIAMI — The National Civil Aviation Agency of Brazil (ANAC) has suspended the Air Operator Certificate (AOC) of Avianca Brasil, as a precautionary measure.

All Avianca Brasil flights will remain suspended until the airline demonstrates the ability to secure operations safely. The decision was made based on the information provided by ANAC’s safety department.

The suspension of the airline’s operations will certainly create uncertainty on its plans to auction their assets to pay outstanding debts.

Also, keeping operations suspended for a long time in Brazil could cancel Avianca Brasil’s slots—its most important asset.

Photo: Rafael Luiz Canossa

The local news report that Azul, LATAM Airlines, and GOL are potentially interested in taking over Avianca Brasil’s precious slots.

The flight crews of Avianca Brasil held a strike on May 17 and 18, stating that the company’s financial situation caused them excessive stress to continue operating safely.

In recent days, IATA issued a statement asking travel agencies to process all unfulfilled ticket sales with Avianca Brazil through the organization’s Billing & Settlement Plan (BSP).

Before going bust, Avianca’s subsidiary in Brazil operated a fleet of 17 planes, including five A318, three A319, and nine A320s. Previously, the airline also boasted six A330-200s for long-haul flights to the USA.