Avianca Holdings reduces USD 1.4 billion
BOGOTÁ, May 3, 2016.
In an effort to improve its profitability, achieve a more efficient capital structure and reducing the current levels of indebtedness, Avianca Holdings S.A. reached an agreement with Airbus S.A.S. to reduce the number of aircraft deliveries scheduled for 2016, 2017, 2018 and 2019.
The agreement with the European aircraft manufacturer represents a CapEx reduction of approximately USD1.4 billion for the next 30 months. During this same period, Avianca Holdings S.A. will continue to pursue its cost reduction initiatives, seeking to strengthen its balance sheet and generate greater cash flow.
Avianca Holdings S.A. reaffirms its leverage goal, measured as the net adjusted debt over EBITDAR, of no more than 5 times for 2019.
About Avianca HoldingsS.A.
Avianca Holdings S.A. (NYSE: AVH) (BVC:PFAVH) comprises the airlines: Aerovías del Continente Americano S.A. Avianca (Avianca), Tampa Cargo S.A.S. , incorporated in Colombia, Aerolineas Galapagos S.A. - Aerogal, incorporated in Ecuador, and the TACA Group companies: TACA International Airlines S.A., incorporated in El Salvador, Lineas Aereas Costarricenses S.A., LACSA, incorporated in Costa Rica, Trans Américan Airlines S.A., incorporated in Perú, Servicios Aéreos Nacionales S.A., SANSA, incorporated in Costa Rica, Aerotaxis La Costeña S.A., incorporated in Nicaragua, Isleña de Inversiones S.A. de C.V., ISLEÑA, incorporated in Honduras and Aviateca S.A., incorporated in Guatemala,