LATAM negotiates to terminate codeshare agreement with VOEPASS in the 2nd semester, say fountains

Latam’s airline is negotiating the closure of its Codeshare agreement with Voepass in the second half of this year, according to two sources familiar with the matter.
The measure would represent another setback to VOEPASS, which already faces a potential process of judicial recovery, after having its operations suspended this week by the National Civil Aviation Agency (Anac) for security reasons, after a fatal accident occurred last year.
Discussions about termination of the agreement have been underway for months, the sources said.
Although a final decision has not yet been made and no contract has been signed, negotiations now focus on a potential window to terminate the agreement between July and October, although these dates may still be changed, one of the sources said.
Sought, Latam refused to comment and Voepass did not immediately respond to a request for comment.
LATAM does not disclose its sales numbers through Codeshare contracts, but its partnership with Voepass is one of 18 agreements that the company has.
VOEPASS, in turn, generates most of its revenue from the partnership, with about 97% of airline ticket sales from the agreement with Latam, according to a third source familiar with the numbers.
Possible termination follows Anac’s decision this week of suspending Voepass operations, claiming security concerns.
Anac’s determination comes about seven months after an ATR-72 ATR-72 plane from Voepass crashed into Vinhedo, in the interior of São Paulo, killing all 62 people on board.
The newspaper Folha de S.Paulo reported in February that Latam had told Voepass that it would not renew the partnership between companies after August, without mentioning the sources.
Earlier this year, the São Paulo Court of Justice granted Judicial Protection to Voepass, temporarily safeguarding the aircraft action and preventing the seizure of its aircraft, while the company struggles to manage its financial situation.
VOEPASS, former Passaredo, accumulates a debt of $ 215 million and claims that part of it is due to payments late by Latam.
One of the two sources familiar with the situation of Voepass said that it is now more likely that the air to seek judicial recovery in the short term as its flights were suspended.
Although a formal schedule has not been established, preliminary discussions are underway, with April emerging as a possible window to the measure, the same source said.
Even before Anac’s suspension, one of the sources had told Reuters that Latam was concerned about Voepass security issues and the risk of reputation involved, which motivated his desire to cut ties with the company.
This week, after Anac’s decision, Voepass stated in a statement that its operational fleet is able to make flights in line with safety standards and that the stoppage will impact thousands of people.
Anac said that it has identified the systematic non -compliance with the requirements.