The decision was prompted by the current restructuring of the airline, in which Varig continued to be a Star Alliance member, operating a reduced flight schedule on behalf of a new company, VRG Linhas Areas.

With the new entity having been granted an official air operator's certificate by the Brazilian authorities, Varig Brazilian Airlines will no longer fulfil the prerequisites for Star Alliance membership.

"In order to deliver the Star Alliance benefits, products and services to customers around the globe on a consistent basis, our member carriers work to certain standards and processes. Unfortunately, [the former] Varig will no longer operate as a network airline and will therefore have to give up its membership in the alliance," said Jaan Albrecht, Star Alliance CEO.

Star Alliance and its member carriers will ensure that the impact of this decision on international travellers will be kept to a minimum.

"Star Alliance continues to offer the most intercontinental flights serving more cities in Brazil than any other alliance and will continue to expand its services in this important and growing aviation market," Albrecht said.

Star Alliance member carriers Air Canada, Lufthansa, South African Airways, Swiss, TAP Portugal and United together provide more than 270 weekly flights to Africa, Europe and North America from six destinations in Brazil. In parallel, the grouping is exploring various options to secure a wider presence in the region.

Star Alliance member airlines will continue to grant Varig's "Smiles" cardholders with Star Alliance Gold or Star Alliance Silver status privileges when travelling on any of their flights until the end of January.