VASP has announced a first-half profit this year and now says it is turning to the regional market.
The Brazilian carrier reports a net profit of 94.8 million real ($50 million) for the six months to June, coming mainly from credits obtained when it returned its leased Boeing MD-11s. The airline, which still has debts estimated at around $1.5 billion, made an operating loss of 30 million real in first half 1999.
Meanwhile, VASP says it has been negotiating with Embraer to buy 20 ERJ-145 regional jets to operate on its new routes. It is looking to the Brazilian Development Bank and foreign banks for loans and has already applied for route approval.
The airline has had a difficult year. It was forced to abandon its international routes and nearly had its landing rights suspended at Brazilian airports for failing to pay its airport tax.
Source: Airline Business
