ANNOUNCEMENT 22 Dec 2008In December 2008, the government of Argentina announced altered domestic business conditions for foreign investors.
NUMBER OF INTERVENTIONS
Law 26.466 (Ley 26.466 Decl?ranse de utilidad p?blica y sujetas a expropiaci?n las acciones de las empresas Aerol?neas Argentinas Sociedad An?nima y Austral L?neas A?reas Cielos del Sur Sociedad An?nima y de sus empresas controladas), Argentinian Ministry of Economy and Public Finances: http://mepriv.mecon.gov.ar/Normas/26466.htm
On December 22, 2008, a law expropriating the Airlines Aerolineas Argentinas and Austral was promulgated. Aerolines Argentinas and Austral were the property of the Spanish group Marsans. Marsans reacted and claimed that this decision was 'arbitrary and illegal'.
The Argentinian government declared that both airlines were worth nothing since they made USD 832 million losses while Marsans argued they were worth USD 250 to 450 million.