TAP Portugal bans Varig tickets

TAP Portugal said it will stop accepting tickets issued by Varig SA, because of financial risks caused by uncertainty about the extent to which the new owners of the Brazilian airline will accept resposibility for the tickets, newspapers reported. TAP said it will continue to talk to Varig about the future of commercial agreements between the two airlines and consequent acceptence of the Brazilian company’s tickets.

A group of US and Brazilian investors agreed last month to buy Varig for 24 mln usd plus a commitment to invest 485 mln usd in the troubled airline.