The effect of the novel Coronavirus has been pooling it advers effect round the world, one of the big airline company around the world and the main Colombia airliner “Avianca” said on Sunday, 10 may, 2020 it has filed for bankruptcy in the United States.
With
its bankruptcy, the airliner becomes the largest employer in Colombia to fall
victim to the economic effects of the pandemic.
The
bankruptcy comes two weeks after Avianca CEO Anko van der Werff asked the
Colombian government for financial support, claiming global lockdown measures
left it without 90% of its income.
With
bond payment deadline looming and the government of President Ivan Duque possibly
in a difficult position to save the more than 100-year-old airliner, the
airliner filed for bankruptcy at a Florida court.
The company had already stopped paying most of its more than 20,000 employees like many firms in Colombia that lack the liquidity to make payments while the country is on lockdown.
A
company representative told British news agency Reuters that Avianca will
continue to lobby for government support to prevent the end of its century-long
history.
The
airliner was already in a financially weak position before the pandemic, which
drove it to bankruptcy.
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