Delta might have 300 million more reasons to fret over its bank accounts. Reuters reports that the airline “may have to repay $300 million on behalf of Brazil’s Gol.”
About five years ago, Delta guaranteed a debt on behalf of Gol. (No good deed goes unpunished, right?)
And the hits keep coming:
Gol’s struggles are just the latest challenge for Delta, whose investments in Latin America, once seen as a growth area, have faltered due to COVID-19.
Delta’s 49% stake in Aeromexico and 20% stake in LATAM Airlines Group are at risk of dilution or being wiped here out as both airlines undergo bankruptcy restructurings.
Delta sold its stake in Gol in 2019 to buy its stake in Gol rival LATAM Airlines but maintained the loan guarantee.
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