American Airlines said it had signed a letter of intent with the Chilean ultra-low cost carrier JetSmart to acquire a minority stake in the airline.
The move would expand options for travelers in North and South America.
“This proposed investment in JetSmart would give customers access to the largest network, lowest fares and best travel loyalty program in the Americas,” said Vasu Raja, the airline’s chief revenue officer.
The partnership would also make American’s AAdvantage frequent-flyer program the largest such program in the Americas
JetSmart, which operates a fleet of Airbus A320 aircraft, and offers short-haul domestic and international service to 33 destinations in South America, operates in Argentina, Brazil, Chile, Colombia, and Peru.
Founded in 2017, JetSmart was established by Indigo Partners, which holds controlling interests in Frontier Airlines in the United States, Volaris in Mexico, and Wizz Air in Hungary.
(Photo: Accura Media Group)