GOL addresses impact of Covid-19

Brazilian domestic airline GOL Linhas Aéreas Inteligentes S.A. (B3: GOLL4) (NYSE: GOL), has announced steps it has taken to address the impact of Covid-19 on the Company and in the context of its potential broader impact on the country, the company said.

GOL said it is mindful of the role that GOL has with its 16,000 employees and in the supply chain meeting the travel needs of the people of Brazil.

GOL is actively monitoring ticket searches and sales trends, as well as the dynamics of the broader airline industry. In February, the Company saw minimal to no effect on demand from the COVID-19 virus and it was not necessary to adjust the Company´s level of service for its customers. In recent days, there has been a market-wide decline in demand for air travel in Brazil.

GOL has not suspended service to any domestic destination. After careful evaluation, the Company determined the necessity to undertake a detailed redesign of its flight network, without interrupting service to any domestic destinations.

These changes reflect the best estimates made with the information available at this time and future revisions are not ruled out. Initially, to match supply with demand, and as a result of travel restrictions imposed by the authorities, GOL will reduce its total flight capacity by approximately 60 to 70% until mid-June, with a 50 to 60% reduction in the domestic market and 90 to 95% reduction in the international market.

GOL maintains its medium and long-term business plans, and is ready to adjust its flight offerings as soon as the levels of passenger demand return to normal.

GOL Linhas Aéreas Inteligentes S.A. serves more than 37 million passengers annually. GOL offers customers more than 750 daily flights to over 100 destinations in Brazil and in South America, the Caribbean and the United States.