Argentina plans to create a government-owned airline to take over the assets of Lapa, its second largest domestic carrier, which has been grounded since April.
Unions representing Lapa's 850 employees have pressed for such a solution. Creating a new airline would allow Buenos Aires to protect their jobs without bailing out Lapa. Criminal charges are pending against its directors.
An¡bal Fern ndez, minister of production, urges patience by the unions, saying it will take at least two months to launch the new carrier.
Source: Airline Business