Since the start of the summer, Argentine budget airline Flybondi has faced severe operational challenges as rumors of a potential future bankruptcy continue to swirl.
While once the second-largest airline in the country after state-owned flag carrier Aerolíneas Argentinas, Flybondi has kept all but one Boeing 737 plane grounded since June 2026 during what is usually a peak travel season in the South American country; as the price of jet fuel skyrocketed over the war in Iran, most flights became unprofitable to run.
Amid hundreds of flight cancelations both within Argentina and to the neighboring nation of Brazil, Brazilian authorities have blocked the airline from selling any new flights into their country while also issuing an ultimatum to prove operational viability or suspend its main route between Ezeiza International Airport (EZE) in Buenos Aires and Galeão–Antonio Carlos Jobim International Airport (GIG) in Rio de Janeiro by Aug. 3. New tickets for regional cities Florianópolis, Maceió and Salvador already cannot be sold and, unless the situation changes, the airline will need to phase out all routes in a way that minimizes disruption to those with existing tickets.
Brazilian authorities block airline Flybondi from selling new flight tickets into country
According to the report by Brazil’s National Civil Aviation Agency (ANAC) that influenced the decision to restrict the airline’s presence in the country, Flybondi had already canceled more than 79% of its flights into Brazilian cities between July 1 and July 27. On certain days in July the airline has gone a full day without operating a single flight.
ANAC justified its decision by the fact that the risk “of a decline in the company’s operational capacity and risks to passengers” is high. Head of communications Lucía Ginzo left his role at the company at the start of July as the carrier’s future looks increasingly uncertain.
Related: Another airline closes after losing license, cancels all flights
The airline first drew the attention of regulators after falling behind on paying employee salaries in March 2026. Local Argentine outlets are reporting that the company owes debts of more than $122.4 million to various vendors.
Flybondi
What is happening with Flybondi in July 2026
In Argentina, Flybondi continues to sell tickets and run some flights despite a high rate of cancelations. The airline has not issued a statement on the ANAC restrictions in Brazil.
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Airlines that filed for bankruptcy in 2026:
- Spirit Airlines: The largest airline shutdown of the year occurred when Spirit Airlines canceled all remaining flights on May 2. Although the airline had filed for Chapter 11 protection twice before, the skyrocketing price of jet fuel dealt the final blow to its operations.
- Magnicharters: The Mexican low-cost airline canceled all of its flights until May 2026 in a shutdown that left thousands stranded.
- Starflite Aviation: Houston-based Starflite Aviation had its AOC license revoked in March 2026, amid FAA claims that owners falsified pilot training records to bypass safety audits.
- AlpAvia: Slovenian charter airline AlpAvia also shut down in March 2026 over financial problems.
- H-Bird: Charter airline H-Bird was declared bankrupt by a Swedish judge after losing its operating license at the end of 2025.
Related: Major airline cancels 81 flights as strike looms, no refunds