Page last updated at 13:22 GMT, Thursday, 4 September 2008 14:22 UK

Argentina buys back flag carrier

An Aerolineas Argentinas jet takes off from Buenos Aires' airport (file photo)
The airline is estimated to be losing $1m a day

Aerolineas Argentinas is back in state hands 18 years after Argentina's troubled national airline was sold to the private sector.

The government approved the nationalisation of the carrier and its subsidiary Austral on Thursday.

The airline, which was owned by Spanish firm Grupo Marsans, had build up debts of $900m (505m).

It is the latest big firm to be brought back under state ownership after a wave of privatisations in the 1990s.

National saga

The nationalisation of Argentina's flag-carrier ends a long-running saga in the country.

The deal, announced in July with great fanfare by President Cristina Fernandez de Kirchner, was welcomed by Argentines fed up with delays and cancellations.

Aerolineas is overstaffed, heavily unionised and more than half its ageing fleet of 67 planes are grounded.

But critics said the government has failed to resolve serious financial and labour woes before taking over the company.

Argentina renationalises airline
22 Jul 08 |  Business
Anger at Argentina airport delays
13 Jan 08 |  Americas
Timeline: Argentina
01 Apr 08 |  Country profiles

The BBC is not responsible for the content of external internet sites

Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit


Sign in

BBC navigation

Copyright © 2019 BBC. The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.

Americas Africa Europe Middle East South Asia Asia Pacific