Gol Linhas Aereas Inteligentes S.A. (GOL - Free Report) will be suspending all international flights effective Mar 28 through May 3 as coronavirus concerns mount. Additionally, due to plummeting air travel demand, the airline will slash its domestic capacity by 92% for the same period.
The carrier will only be operating a network of 50 daily flights between the São Paulo International airport in Guarulhos (GRU) and 26 other capital cities of Brazil to help customers with essential travel.
In these trying times, the Brazilian low-fare airline will, however, adjust its flight services as per the requirement from the capital cities and accordingly, provide additional flights to domestic and international destinations. Moreover, to ease customer worries, Gol Linhas has waived change fees for flights booked between Mar 28 and May 3.
With diminishing travel demand in the wake of the coronavirus outbreak, shares of Gol Linhas have plunged 79.3% since the beginning of February compared with the industry’s 56.8% decline.
Gol Linhas’ Latin American counterparts Avianca Holdings (AVH - Free Report) and Copa Holdings (CPA - Free Report) have temporarily closed all passenger operations. Among the U.S. carriers, United Airlines (UAL - Free Report) reduced its international schedule by approximately 90% for April.
Gol Linhas carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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