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LAN on the verge of ceasing operations in Argentina

by Richa 23. September 2013 05:04

Aviation industry has witnessed different kinds of wars in the past. However, the latest scuffle that is grabbing limelight recently is taking place in battleground Argentina. The unsaid fight is between LAN Argentina and Aerolineas Argentinas in Buenos Aires. LAN, which has been sincerely serving customers across the Latin American territory, has been asked to vacate its Aeroparque hangar in the capital city.

The airline does not seem to be in a mood to budge and has retaliated in its own interest. However, it is the customers, whose interests are at stake in reality. Apparently, the state-run Aerolineas Argentinas seems to be threatened by LAN’s presence in its home market. It fears that LAN might siphon away its customers and hence eat into its market shares.

This battle is throwing different twists and turns with every new development. Aerolineas Argentinas, which is backed by the powerful government of the country led by Cristina Fernandez de Kirchner is in a strong position. However, LAN has the support of its loyal customers and goodwill behind it. It maintains that it is regular with the payment of hangar rents and has signed a contract with the authorities. This contract is valid through 2023.

The Chilean-Brazilian airline might have to face hard times in the future against the flagship carrier of Argentina. The decision to eject LAN from the airport has stirred unrest amongst the travel agents and trade unions for the fear of losing their jobs. The government on the other hand is accusing it of rousing emotions among the workers against Argentina.

In the midst of it all the big questions remains unanswered. Who will compensate the passengers in case LAN ceases operations in Argentina?

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Tags: flights to argentina, lan

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