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Reader Pete writes in:

Hi, I’ve got award tickets to Brazil booked on Varig. I used my U.S. Airways miles a while ago, and we’re going to a wedding in Rio. I’ve read that Varig Airlines is cancelling flights and is in danger of shutting down entirely. What happens to my tickets if Varig stops flying? Thanks!

Well, Pete, you may want to change those tickets to other flights, or you are going to be sweating it out. Varig (short for Viacao Aerea Rio-Grandense), was Brazil’s largest airline for years, though it’s fallen on hard times lately, and it’s been crushed domestically by competitors TAM and Gol. Recently, flights have been cancelled, planes have been repossessed, and even a last-minute bailout offer by Varig employees fell short — they couldn’t come up with the cash. Another offer is pending, but the airline is very much at risk of going belly-up.

You’d be in good company if you change your tickets. Even the Brazilian national soccer team rebooked their tickets. They’re flying home from the World Cup on Lufthansa.

If I were you, I’d call US Airways and see if you could rebook your tickets. Visit the Star Alliance website first to see what your routing options are, and offer these as suggestions to the phone agent when you call. Since you’re flying to Rio, presumably from the United States, you might ask for a rebooking onto United, a fellow Star Alliance member. If you’re flying from Europe, try for Lufthansa. But, since Varig is still technically flying (and you didn’t indicate when you’d be flying to Rio), any change will probably cost you money; it’s entirely up to the folks at US Airways. If Varig shuts down, you’ll probably be able to make changes for free. Ask for a fee waiver if they intend to charge you for the change.

Alternatively, if rebooking the award isn’t an option, consider cancelling the award tickets (recrediting your account) and buying tickets with real money. You’ll feel safer knowing you’ll actually attend the wedding.

If you must (or want to) risk it and stick with the existing Varig itinerary, you may want to look into travel insurance to cover you in case of flight cancellation. Check with the credit card you used to pay any taxes or fees, too, to see if some automatic coverage is included. Before you pay for any insurance, make sure they cover 1) frequent flyer tickets, and 2) Varig.

Good luck, and keep us posted…

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tags: travel | air travel | Varig | frequent flyer miles