TAP Considers Varig Investment

TAP, Portugal’s biggest airline, is in talks to buy a stake in Varig that would help the Brazilian carrier reduce its $2.3 billion of debt. Varig is seeking to stave off liquidation after Brazil’s government, its biggest creditor, refused to bail out the airline. Varig, which defaulted in 2002, is losing domestic market share to competitors such as budget carrier Gol.