BOGOTÁ, Colombia, May 12, 2020 – As announced on May 10, Avianca Holdings S.A. (NYSE: AVH, BVC: PFAVH) (the “Company” or “Avianca”) filed for Chapter 11 protection with the United States Bankruptcy Court for the Southern District of New York (the “U.S. Court”). The Company hereby provides additional information with respect to the implications of this filing:

1. In general, the reorganization procedure under Chapter 11 of the U.S. Bankruptcy Code, involves the following steps:

a. each debtor entity files voluntary petitions for relief with the U.S. Court in order to commence the Chapter 11 cases. Immediately upon the filing, a broad statutory injunction comes into effect, which prohibits the commencement or continuation of a wide array of enforcement actions concerning the debtors’ property.

b. Shortly thereafter, the debtors file various motions with the U.S. Court, requesting authority to, among other things, (i) maintain certain operations and (ii) issue payments to various third parties. The U.S. Court rules upon each of these requests at the debtor’s “first day” hearing.

c. Following the “first day” hearing, the debtors proceed to stabilize their operations and financial position, in part by drawing on various provisions of the U.S. Bankruptcy Code. At this stage, the debtors may also seek final approval of debtor-in-possession financing to fund their restructuring efforts.

d. Thereafter, the debtors work to negotiate and document a plan of reorganization, which provides a comprehensive restructuring framework and governs the recovery provided to the debtors’ creditors and equity holders.

e. Assuming certain legal standards are met, the plan of reorganization is then confirmed by the U.S. Court.

f. Following confirmation of the plan of reorganization, the transactions contemplated thereby are effectuated and the debtors emerge from Chapter 11 protection.

2. As of the date hereof, neither the Company nor the U.S. Court have made any decisions regarding the treatment or recovery of the holders of the Company’s common or preferred shares, and therefore holders of the Company’s preferred shares currently have the rights and protections granted by Panamanian corporate law and the by-laws of the Company, as described in the Information Prospectus relating to the Company’s Issuance and Placement of Non-Voting Shares entitled to a Preferred Dividend.