Why Shares of Latam Airlines Group Plunged Today
Shares of Latam Airlines Group (NYSE: LTM) fell 34% on Tuesday after the Latin American airline filed for Chapter 11 protection in New York. The pandemic has created an extraordinarily tough operating environment for airlines, and it seems unlikely the current equity holders of Latam will get much, if anything, from the reorganization.
Airlines around the globe have been hard hit by the COVID-19 pandemic, and Latin American airlines in particular have suffered due to bans on international travel. Latam earlier this month announced plans to cut more than 1,800 jobs, and the airline has reduced its total schedule by about 95%.
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Source Fool.com
