Airlines Avianca of Colombia and E1 Salvadors Taca announced to join one of the Latin America’s largest airlines. Both carriers made an agreement to merge under a single holding company that will serve more than 100 destinations. Latin America best-known airlines and largest airline operators are emerging together to reduce cost cutting.

Both airlines have near about 130 planes and 13,000 employees. Their combined routes cover about 100 destinations in America and Europe where they operate with both passengers and cargo services. Avianca’s will get 67 percent of the share with the new holding company while Taca’s investor will take control of the remaining share with Taca chairman and CEO Roberto Kriete serving as Chairman and Avianca CEO Fabio Villegas as CEO. Privately both carriers mutually used to generate near about $3 billion annual revenue. Combined network will serve 75 Latin America destinations with hubs in Bogota, Lima, San Salvador, and San Jose, Costa Rica. This business is subject to approval from relevant regulatory authorities. Avianca chief executive Fabio Villegas said this is a historic event in aviation bringing together both airlines to create a leading group in aviation industry. Avianca and Taca will preserve their respective brands and continue to operate separately under a common strategic vision.