The new owners wanted to drop all routes except the Sao Paulo-Rio link, the most profitable on the network. The Civil Aviation Department is insisting that they maintain a number of other domestic and international routes, and they have agreed to look into this.
That probably means that they have no intention of doing anything about it.
Those international routes that are likely to survive are LHR and MIA. Service is patchy at best, a colleague of mine was delayed for 27 hours coming from LHR yesterday, due to a cancellation.
Internally they announced flights to Brasilia, Porto Alegre, Salvador and Florianopolis in addition to the Rio-Sao Paulo link, although several of these were later cancelled.
There will be no easy solution for Varig, the new owners want to keep the best routes and dump the rest, whereas ANAC are insisting that they maintain more than they want to.