Argentinean Judge Rules In Favor Of Chilean Airline LAN In Dispute For Buenos Aires Airport Jorge Newbery’s Hangar

  @PReyMallen on

An Argentinean judge ruled in favor of Chilean airline LAM, part of the LATAM (NYSE:LFL), in the dispute it had with the government. Per the decision, LAN will be allowed to continue to use the hangar they have been working from.

The Argentinean government had demanded that the airline leave the domestic airport of Jorge Newbery in Buenos Aires, claiming that it was to be exclusively used by state-owned airlines – particularly the returning Aerolíneas Argentinas, which had been on the verge of bankruptcy.

LAN replied that the decision would make it stop all its flights in Argentina, of which LAN controls 25 percent. Such move would mean the loss of 1,500 jobs. The government gave the option of moving LAN flights to the international airport of Ezeiza, but LAN refused.

Chilean Economy Minister Félix de Vicente said that both governments had refused to take part in the matter, since it was a private company issue. Argentinean President Cristina Fernández de Kirchner said that, unlike many countries, Argentina did allow foreign airlines to operate domestic flights.

LAN was operating normally out of Jorge Newbery airport on Tuesday, according to Aerolíneas Argentinas CEO Mariano Recalde.

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