GOL Gol Linhas Aereas Inteligentes SA

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN ISSUER 
PURSUANT TO RULE 13a-16 OR 15d-16 OF THE

SECURITIES EXCHANGE ACT OF 1934

For the month of May 2020

(Commission File No. 001-32221)

GOL LINHAS AÉREAS INTELIGENTES S.A.

(Exact name of registrant as specified in its charter)

GOL INTELLIGENT AIRLINES INC.

(Translation of registrant’s name into English)

Praça Comandante Linneu Gomes, Portaria 3, Prédio 24
Jd. Aeroporto 
04630-000 São Paulo, São Paulo
Federative Republic of Brazil

(Address of registrant’s principal executive offices)

Indicate by check mark whether the registrant files or will file 
annual reports under cover Form 20-F or Form 40-F. 

Form 20-F ___X___ Form 40-F ______

Indicate by check mark whether the registrant by furnishing the 
information contained in this Form is also thereby furnishing the 
information to the Commission pursuant to Rule 12g3-2(b) under 
the Securities Exchange Act of 1934. 

Yes ______ No ___X___

Individual and Consolidated

Preliminary Quarterly Information, Without Independent Auditors’ Limited Review Report  

The preliminary quarterly information as of and for the three-month period ended March 31, 2020, without independent auditors’ limited review report is part of the (appendix) Earnings Release First Quarter 2020.

GOL Linhas Aéreas Inteligentes S.A.

March 31, 2020

Gol Linhas Aéreas Inteligentes S.A.

Individual and Consolidated Preliminary Quarterly Information, without Independent Auditors’ Limited Review Report 

March 31, 2020

Gol Linhas Aéreas Inteligentes S.A.

NOTICE TO THE USERS OF THE PRELIMINARY QUARTERLY INFORMATION – PARENT COMPANY AND CONSOLIDATED WITHOUT INDEPENDENT AUDITORS’ LIMITED REVIEW REPORT  

The preliminary quarterly information as of and for the three-month period ended March 31, 2020 contained herein has not been subject to a limited review by GOL's independent auditors. The complete quarterly Information for the first quarter of 2020 is still under review by the Company's independent auditors and will be released after the completion of the relevant work by the independent auditors.

As the complete quarterly information are still subject to review by GOL's independent auditors, the preliminary quarterly information for the first quarter of 2020 is subject to adjustments and changes, which may cause the results, performances or events hereby disclosed to be substantially different from those to be reported in the company's complete quarterly information to be released after the issuance of the limited review report by the Company’s independent auditors. Notwithstanding, GOL does not anticipate that adjustments or changes to the information disclosed herein will be necessary.

The accompanying notes are an integral part of the individual and consolidated preliminary quarterly information.

3

The accompanying notes are an integral part of the individual and consolidated preliminary quarterly information.

4

The accompanying notes are an integral part of the individual and consolidated preliminary quarterly information.

5

The accompanying notes are an integral part of the individual and consolidated preliminary quarterly information.

6

The accompanying notes are an integral part of the individual and consolidated preliminary quarterly information.

7

8

The accompanying notes are an integral part of the individual and consolidated preliminary quarterly information.

9

The accompanying notes are an integral part of the individual and consolidated preliminary quarterly information.

10

1.   Operating Context

Gol Linhas Aéreas Inteligentes S.A. (the “Company” or “GOL”) is a publicly-listed company incorporated on March 12, 2004, under the Brazilian Corporate Law. The Company’s bylaws provide that it has as its corporate purpose the exercise of share control of GOL Linhas Aéreas S.A. (“GLA”), which provides regular and non-scheduled air transportation services for passengers, and development of loyalty programs, among others.

The Company’s shares are traded on B3 S.A. - Brasil, Bolsa, Balcão (“B3”) and on the New York Stock Exchange (“NYSE”) under the ticker GOLL4 and GOL, respectively. The Company adopted Level 2 Differentiated Corporate Governance Practices from B3 and is included in the Special Corporate Governance Stock Index (“IGC”) and the Special Tag Along Stock Index (“ITAG”), which were created for companies committed to applying differentiated corporate governance practices.

The Company’s corporate address is located at Praça Comandante Linneu Gomes, s/n, portaria 3, prédio 24, Jardim Aeroporto, São Paulo, Brazil.

1.1      Actions and impacts resulting from the COVID-19 pandemic

The COVID-19 pandemic, which is seen by the World Health Organization as a “public health emergency of international interest,” has rapidly disseminated throughout the world, causing important disruptions in the global economic activity and starting an unprecedented crisis.

This crisis has significantly increased the uncertainty in the macroeconomic environment, and it will inevitably lead to global recession, according to the World Bank’s report named “The Economy in the Time of COVID-19,” published on April 12. In Brazil, a 5% GDP retraction is being expected in 2020, caused, above all, by weak external demand, lower oil prices, and sharp fall in the economic activity in order to contain the virus.

The measures taken in Brazil to reduce the speed of spread and dissemination of the disease include social distancing, travel restrictions and the closing of borders. As a result, the aircraft industry was one of the first and more affected sectors with regard to its operations and results. These impacts were immediate and severe.

To face this absolutely disruptive scenario, our Company, through its Executive Committee, which is made up of all management bodies, is attentively monitoring this situation and its developments; establishing financial and operational strategies; and defining how it can support the society. In a moment like this, our Company is willing to make all contributions possible by using the tools under its control. This said, our Management took the following actions:

1.1.1.  Adjustment of operations – Essential Network

On March 16, GOL started to reduce its capacity by 50% to 60% in the domestic market, and by 90% to 95% in the international market, in order to reflect the changes in the demand from Customers.

On March 24, as Brazilians were adopting responsible social distancing measures and avoiding travelling due to the pandemic, we adjusted our network again from 750 to 50 essential daily flights between the São Paulo International Airport, located in the city of Guarulhos, and all 26 state capitals and Brasília (“Essential Network”).

11

1.1.2.  Reduction in fixed and variable costs

·      Variable costs: as mentioned above, we reviewed our flight network as the end of March in order to ensure essential services in all Brazilian capitals and the federal district, which corresponded to a reduction of 93% in domestic flights, and a temporary interruption in all international flights, thus reducing the related variable costs;

·      Personnel Expenses: with effects expected as of April, the Company adopted measures aiming at a planned reduction of approximately 50% in payroll expenses and relevant charges, particularly with reduction of working hours and, consequently, a reduction of 35% in salaries of air service and ground service workers; negotiation to reduce the working hours of our crew by 50%; 40% reduction in the compensation of our officers; adoption of unpaid leave (LNR) by approximately 5.4 thousand employees (approximately 34% of our total staff), with these adoptions signed until March 31, 2020; and

In April, with effects expected as of May, we adopted the measures provided for in MP [Provisional Measure] 936/20, reducing the salaries of employees by 50%, the compensation of officers by 60%, and adopting the suspension of labor agreements of around 800 employees, in addition to the 5,400 employees previously mentioned.

·      Other expenses: suspension of expenses for advertising and publicity, and immediate interruption of projects of any nature that are not absolutely essential for the continuity of operations.

1.1.3.  Preservation and strengthening of our cash position and liquidity

·      Aircraft and engines lease: negotiation with key lessors on the postponement of payments for a period of 3 to 6 months, which should enable us to retain funds of approximately R$452.4 million;

·      Fuel costs: agreements with suppliers on the postponement of payments, which should be resumed in installments as of September 2020;

·      Personnel Expenses: interruption in the payment of profit sharing and bonuses for the year 2019, and in the payment of the advance of the 13^th salary and vacation pay;

·      Investments: suspension of non-essential CAPEX, including the interruption of “pre-delivery payments (PDPs); “

·      Engine maintenance services: postponement by 60 to 90 days of payments to suppliers;

·      Taxes, contributions and social charges – suspension of payment of federal taxes through the issue of a court injunction, and also as a result of the measures enacted by the Federal Government;

·      Other expenses and revenues: agreement on the refund of expenses incurred since grounding of 737MAX aircraft, with an immediate effect of R$447 million on cash (see note 1.3); and

·      Loans and financing: postponement of the R$148-million installment maturing in March 2020 to March 2022; obtainment of a waiver for all covenants maturing in 2020; and postponement of the maturity of working capital transactions scheduled for the first quarter of 2020.

12

1.1.4.  Support from the Government and regulatory bodies

·      Maintenance of receivables from air tickets: reduction in reimbursements and cancellations based on the Provisional Measure enacted by the Government, which provides for the rescheduling of flights within a period of up to 12 months;

·      Airport fees: change in the terms of payment of navigation and airport fees, which may be paid until December without penalties; and

·      Maintenance of slots – ANAC: (i) allowance for cancellation of slots as per the regularity index, valid until the end of October 2020, in line with a similar decision issued by other civil aviation organizations and authorities, such as the European Commission and FAA; and (ii) extension of 120 days for renewal of licenses.

1.1.5.  Impacts on the individual and consolidated preliminary quarterly information

As mentioned above, the impacts of the COVID-19 pandemic on the Company were immediate and severe, its main consequence being the adoption of the essential network. Below is presented a table summarizing the adjustments and reclassifications made in this preliminary quarterly information, as well as the details on each of these items and additional disclosures in the text below:

As a link between the travel and tourism industries, our Smiles subsidiary is also being affected by the crisis, with impacts on its operations and results. The main effect was the reduction, in the first quarter of 2020, in the volume of redemption of miles accumulated by the participants of the Smiles Program, particularly regarding air tickets, hotel accommodation and car rental. In April, the Company also recorded cancellations, above the usual levels, of miles redeemed in previous months. Accordingly, a provision for cancellations, in the amount of R$22,271 was recorded as of March 31, 2020.

Additionally, as a result of the reduction in operations due to the adoption of the essential network, the Company derecognized cash flow hedging transactions, since it expects a drop in the fuel consumption previously estimated. Accordingly, the amount of R$291,925 was transferred from the “equity valuation adjustment” group, in shareholders’ equity, to the item “derivative losses” in financial income.

Also, as a result of the temporary interruption in all international flights, the Company also derecognized the hedge accounting transactions used for protecting future revenues in foreign currency (subject matter of the hedge), using lease agreements as hedge instruments. Accordingly, the amount of R$290,346 was transferred from the “equity valuation adjustment” group, in shareholders’ equity, to the item “exchange variation expenses” in financial income.

13

The expectations of realization of assets and liabilities were reviewed. As a result, the Company reclassified Recoverable taxes and contributions in the amount of R$61,020, since the realization of these assets will be postponed.

Another impact on the balance sheet was the lower performance of investment funds in the period. All activities and growth estimates were adjusted to negative figures.

It is important to note that, during this period, management maintained the Company’s investment policy, by investing in sovereign equity funds linked to the SELIC basic rate, and private credit fixed income funds with high liquidity and high quality.

With regard to lease balances payable as of March 31, 2020, short-term obligations in the amount of R$233,081 were renegotiated with creditors.

The Company has also conducted impairment tests in the balances of property, plant and equipment, goodwill and slots rights. No provision for impairment was recorded, as mentioned in notes 17 and 18.

The Company we have also carried out a detailed review of budget estimates for the current and coming years (“Business Plan”). Accordingly, we are able to evidence and conclude, based on the information available, that we have the conditions to continue operating and to fulfill our obligations according to the maturities that were renegotiated with our suppliers and creditors, as detailed in Note 1.2.

1.1.6.  Support to the Society, the Employees and the Customers

Passenger transportation services are essential for the society. We recognize our duty of care towards our audiences, and we are working closely to the authorities to help reduce the impact of COVID-19 on the population and the health services.

Regarding the flights in our essential network, we are taking extraordinary measures in addition to the strict sanitation standards of the civil aviation sector. Our aircraft are sanitized and disinfected on a daily basis.

The measures used include keeping the integrity and health of our employees as a priority. As from the second week of March, all administrative employees have been working remotely. The employees are being continuously monitored by the Company’s leadership and the People and Culture area, which manages our human resources.

In order to improve our Customer Assistance services in a period of high demand and uncertainty, we created specific communication channels on the coronavirus that are constantly updated. We reinforced our dedicated Customer Assistance team, giving priority to more urgent cases. This team helps customers with the reorganization of air ticket bookings with flexible conditions for changes in future flights.

Regarding the Smiles loyalty program, we have also improved the digital channels by deploying the free online cancellation self-service, which is available in our website and in the “Smiles Fidelidade” app, and our chat, for customers with optional GOL tickets. This system was developed internally in a record time.

Since the crisis may last for an undefined period and, thus, impact customers’ travel plans, our Smiles subsidiary announced that the effectiveness of the program’s categories is being postponed. Moreover, the current year is not being considered as base for requalification for the next year, since the analysis of downgrade of categories would take into account the accumulation of miles originated from stretches flown in the period from January to December 2020. This enables customers to gain more time within their categories, and take advantage of the benefits provided.

14

At the social level, as a contribution to and in recognition of those who fight COVID-19 on the frontline of the battle, the Company, in partnership with GLA, is now providing free transportation to health professionals, and in partnership with the subsidiary Smiles is now crediting miles for them to travel throughout Brazil to provide care to patients affected. At each GOL stretch flown, they receive 1,000 miles.

With the purpose of reducing the negative impacts of the COVID-19 crisis, Smiles Fidelidade has launched several initiatives to stimulate participants to use their miles in products offered by other partners, particularly retailers, through the Shopping Smiles program.

The Company’s most important commitment will continue to be the integrity and health of persons. Accordingly, we are strictly following the guidelines issued by WHO, and undertaking to do everything we can to face this turbulent period in the best way possible.

1.2  Capital structure and net current capital

As of March 31, 2020, the Company’s negative shareholders’ equity attributed to the controlling shareholders amounted to R$11,037,301 (R$7,676,671 on December 31, 2019), while the negative net current capital was R$7,262,828 (negative R$5,435,223 as of December 31, 2019).

The variation recorded in the three-month period ended March 31, 2020 is the result of a devaluation of approximately 30% of the Real against the US Dollar.

As shown in note 1.1, due to the outbreak of the COVID-19 pandemic, the Company took a series of measures in March and April 2020. In this period, we have also carried out a detailed review of budget estimates of its Business Plan. Accordingly, we are able to evidence and conclude, based on the information available, that we have the conditions to continue operating and to fulfill our obligations according to the maturities that were renegotiated with our suppliers and creditors.

The Management’s assessment considers the Company’s business plan that includes future actions planned by Management, as well as other relevant macroeconomic and aviation sector’s assumptions, such as the estimate of the US dollar exchange rate and aviation fuel prices. The Management’s assessment also assumes that the Company will adjust its fleet size to demand and match seat supply to demand, in order to maintain a high load factor, reduce costs and adjust its capital structure.

In accordance with the Management’s assessment, the consolidated current assets and the budget forecast of cash flows to be generated by the operation will be sufficient to meet the Company’s working capital and investment needs in the next 12 months.

Additionally, the Company has access to credit lines, should it be necessary.

The Company will continue to strengthen its balance sheet management and results in order to guarantee sustainability. Management believes that the business plan reviewed, presented and approved by the Board of Directors on April 30, 2020, demonstrates all elements required to continue as going concern.

15

Based on this assessment, the Management concluded that there are no material uncertainties related to the Company’s ability to continue operating; therefore, the financial statements have been prepared based on this assumption.

1.3. Grounding status of Boeing 737 MAX

On March 11, 2019, as a result of a second accident involving a Boeing 737 MAX 8 aircraft, and as SAFETY is GOL’s number one value, the Company’s Management decided to suspend the operation of its seven aircraft before being required to do so by the regulatory authorities.

As a result of this strategy, the Company quickly reconfigured its flight network in order to supply the capacity required to meet the new demand levels, through revised lease agreements. The aircraft downtime and additional efforts caused the Company to incur unplanned costs, including interline fares due to the relocation of passengers, accommodation, meals and other expenses for passengers, additional fuel consumption, airport tariffs and fees, salaries and charges related to overtime, payment for the lease of additional aircraft and negative publicity, causing disruption in the Company’s business.

The return of these aircraft is subject to authorization by the Brazilian regulatory authorities and destination countries, mainly Brazil and the United States of America.

As a consequence and in recognition of a long-lasting partnership, the Company reached an agreement with Boeing. The terms of the agreement are strictly confidential, but they aim at providing (a) compensation that addresses damages resulting from the aircraft grounding to date, and as a result of the non-delivery of aircraft, as set forth in the purchase agreements; (b) reduction in the number of firm commitments by 34 aircraft to 95 in total; (c) the flexibility to additionally adjust the number of aircraft; and (d) the flexibility to convert the existing orders for other Max-models.

In accordance with the accounting principles and standards in force, the amounts mentioned in the agreement were recognized in this quarterly financial information as follows: R$446,942 as “Receivables” in the current assets group, with counter-entries of R$136,962 in “advances for acquisition of property, plant and equipment” in fixed assets, since it is a repayment of “pre delivery payment” and R$309,980 recorded in the income statement, with R$63,041 as a result of exchange variation, R$193,503 as other income and expenses, net since it refers to a reimbursement of expenses incurred in prior years, and the remaining amount distributed in the other lines of the income statement. These amounts do not affect the statements of cash flow presented in this quarterly financial information.

The amount of R$446,942 was received in full by GOL on April 1, 2020.

Additionally, subject to future events, the Company will be entitled to credits with a present value of approximately R$1,9 billion to be invested in future acquisition of new aircraft, which, in turn, will reduce the amount of future depreciation and financial costs, since the credits will affect the present values of assets and liabilities related to use rights.

16