Chavez to launch new state airline in Venezuela

[Judi Lynn]

The Associated Press March 26, 2009, 12:05AM ET
Chavez to launch new state airline in Venezuela

CARACAS, Venezuela

President Hugo Chavez says his government plans to take over a Caracas-based airline and relaunch it as "social property."

Aeropostal Alas de Venezuela has been in state hands since late last year, when a raid on one of its owners uncovered 880 pounds (400 kilograms) of cocaine.

Chavez did not say Wednesday if he would nationalize the airline now or await the results of a drug trafficking case against Abdala, Alex and Basel Makled -- three brothers who own the carrier.

A conviction may let the government confiscate, rather than pay for, the airline.

http://www.businessweek.com/ap/financialnews/D975FU4G0.htm