RELIANCE ON SEC ORDER PROVIDING 45-DAY EXTENSION
OF FILING ANNUAL REPORT ON FORM 20-F
Bogotá, Colombia, April 22, 2020 –Avianca Holdings S.A. (“Avianca”)
(NYSE: AVH, BVC: PFAVH) is filing this report on Form 6-K in
reliance on the Securities and Exchange Commission (“SEC”) order
dated March 25, 2020, Release No. 34-88465. The purpose of this
Report is to notify investors and the public at large of Avianca’s
inability to timely file its Annual Report on Form 20-F for the
fiscal year ended December 31, 2019 (“Annual Report”), originally
due on April 30, 2020, due to circumstances related to the novel
coronavirus known as COVID-19.
As an airline with operations across numerous jurisdictions, the
COVID-19 pandemic has resulted in unprecedented challenges for
Avianca. Starting in early March 2020 Avianca’s management has been
solely focused on overcoming the unique complexities that the
COVID-19 pandemic has created for its business and its employees.
Consequently, this situation has resulted in a delay in the
preparation and completion of Avianca’s Annual Report.
Based on the foregoing, Avianca expects to file the Annual Report
on or prior to June 14, 2020, that is, within 45 days from the
original filing deadline.
In light of the COVID-19 pandemic, Avianca expects to include a
Risk Factor in its Annual Report substantially similar to the
following (updated as necessary):
The COVID-19 outbreak has already materially and adversely
affected, and may further materially and adversely affect, the
airline industry and us.
In December 2019, cases of COVID-19 were first reported in
Wuhan, China, and the virus has now spread globally. The World
Health Organization declared COVID-19 a pandemic and, in
March 2020, many governments around the world –including those of
the U.S., Colombia and most Latin American countries–
declared states of emergency in their respective
jurisdictions and implemented measures to halt the spread of
the virus, including enhanced screenings, quarantine requirements
and severe travel restrictions.
Following orders by the governments of Colombia and of other
countries in which we operate, we have temporarily ceased
international passenger operations to and from Colombia, ceased all
Colombian domestic passenger flight operations, and cancelled all
passenger flights to and within Peru, El Salvador and Ecuador. As a
result of such measures, substantially all of our passenger flights
have been canceled, and the corresponding fleet grounded.
The spread of COVID-19 and the government measures taken to address
it have already had a material and adverse effect on the airline
industry and on us and have resulted in unprecedented revenue
and demand drop as well as overall macroeconomic uncertainty.
We cannot foresee or quantify the extent of the impact of
COVID-19 on our operational and financial performance, which
will depend on developments relating to the spread of the outbreak,
the duration and extent of quarantine measures and travel
restrictions and the impact on overall demand for air travel, all
of which are highly uncertain and cannot be predicted.
As set forth in our report on Form 6-K furnished on March 27, 2020,
we have cut all non-essential capital expenditures, and have
temporarily deferred payments on our long-term leases and on