American Airlines will invest $200 million in Gol carrier

Airlines announced an exclusive codeshare for the next three years that will expand the possibilities of connections for passengers in the US and Brazil

Gol Linhas Aereas and American Airlines strengthened their relationship by announcing on Wednesday an exclusive three-year codeshare between the two airlines.

The agreement also includes a $200 million investment by the US carrier in Gol shares, which will make it hold a 5.2% stake in the Brazilian company.

The two companies already have a codeshare in operation, however, the new agreement will expand the possibilities of connections for passengers.

“This codeshare agreement between two of the leading airlines in the Americas combines our highly commoditized route networks to offer customers a seamless travel experience with the largest number of flights and destinations in North and South America,” said Gol CEO Paulo Kakinoff.

“American has long been the leading U.S. carrier to South America and our stronger partnership with Gol solidifies that leadership position,” said Robert Isom, President of American Airlines.

The exclusivity between the two companies will allow passengers to fly to more than 30 destinations served by American in the US and more than 20 cities served by Gol in Brazil.

American Airlines has flights to 17 destinations in South America and is the largest US carrier in passenger traffic to Brazil. Gol, in turn, is the Brazilian company that transports the most passengers on domestic flights.

The partnership will be extended to the AAdvantage and Smiles frequent flyer programs as of 2022, which will offer joint benefits such as priority check-in and boarding, larger checked baggage allowance, lounge access and aircraft seat preference.

Gol and American Airlines planes: airlines left by their older partners (Sunnya343)

Divorces and union

The association between American and Gol came shortly after they were both left by their previous partners, LATAM and Delta Air Lines, which announced a rather extensive joint venture in September 2019.

Delta acquired 20% of the shares of LATAM and as a result gave up its stake in Gol. American, a traditional partner of the Chilean group, soon sought to compensate for the loss by agreeing a codeshare with LATAM’s rival.

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