LAN and TAM celebrate one year after forming LATAM Airlines Group -the largest airline group in South America

June 21st, 2013.- Tomorrow marks a year since the merger between LAN Airlines and TAM Airlines, which gave birth to the largest most important airline group with the best network of destinations in South America, LATAM Airlines Group.

Throughout the first year of the merger, LAN Airlines and its affiliates and TAM Airlines, members of LATAM Airlines Group, have worked diligently to offer an unparalleled network of connections to, from and within South America, benefiting passengers and cargo customers of both airlines with better route options, frequencies and shorter connection times. LATAM Airlines Group currently serves about 135 destinations in 22 countries and transporting cargo to 144 destinations in 27 countries.

"2012 was a historic year for the airline industry, where two highly prestigious airlines in the South American region formed LATAM Airlines Group. This partnership offers unmatchable route connectivity and is the most important achievement in the history of regional air transportation. There is no other airline group in South America that offers more flights or more destinations," said Enrique Cueto, Chief Executive Officer of LATAM Airlines Group, adding that, "the creation LATAM Airlines Group has given us the opportunity to take South America to the world and the world to South America, allowing us to position ourselves before an increasingly competitive scenario, result of the continuing consolidation of the global airline industry.”

Meanwhile, Mauricio Rolim Amaro, Chairman of LATAM Airlines Group, noted that "the growth that LATAM Airlines Group has generated allows us to offer our customers new destination options, create more opportunities for more than our 53,000 employees and generate greater value for shareholders. All this plus contributing to the economic, social and cultural development of our region, while improving passenger and freight connectivity in South America."

Within the merger’s first year, there has been progress on important matters for passengers, cargo customers and shareholders, such as the choice of the global alliance.
With this decision, LATAM Airlines Group will join oneworld in the second quarter of 2014, with a leading position in the region.

LAN and TAM passengers may purchase tickets for either airline on both lan.com or tamairlines.com and loyalty members of LANPASS or TAM Fidelidade frequent flyer programs can accumulate points/miles on both airlines. Higher category members may access LAN and TAM VIP Lounges located throughout South America.

Both LAN and TAM have been key leaders in the South American airline industry and continuously aimed and raising their standards and improving their services. As a result, LAN and TAM have recently been recognized for the fifth consecutive year as the Best Airlines in South America, receiving first and second place, respectively, according to World Airline Survey, conducted yearly by Skytrax, the prestigious English company dedicated to the world airline and airport industry.

Striving to improve passenger travel experience, LAN and TAM blended their inflight entertainment systems on long haul flights on the following aircraft: Boeing 777, Boeing 767, Boeing 787 and Airbus A340. This update increased the number of films from 45 to 110, earning its position in South America as the airline group with the most varied onboard entertainment. 

LATAM Airlines Group has a fleet of 318 aircraft and is one of the most modern in the world.  Seeking to remain on the global forefront, LATAM Airlines Group is bringing efficient aircraft with the latest technology into the fleet – 32 Boeing 787 Dreamliners (3 have been received), considered the most efficient aircraft of its kind, 12 Airbus A350, and 42 Airbus A320neo, which ecological airplanes decrease CO2 emissions by 15%.

In alignment with being on the global forefront, the Group, this year, received its first Airbus A320 with Sharklets, devices that improve the aircraft’s take-off ability, achieve greater fuel efficiency and reduce CO2 emissions by about 4%. Between 2013 and 2017, LAN and TAM will receive more than 100 aircraft equipped with this technology.

In the last year, LATAM Airlines Group and its affiliates have worked to generate greater benefits to the communities where the company operates by decreasing their impact on the environment. For example, changing cargo containers will yield savings in fuel and maintenance as well as reduce annual CO2 emissions by 10 thousand tons. 

Significant progress is expected for passengers, such as establishing common rates for LAN and TAM and increasing flight options for US passengers through codeshare agreements, specifically through the codeshare agreement between TAM and American Airlines. 

Additionally, cargo is on target to achieve the expected synergies and offer a greater network, streamlining the cargo business in general. Among other achievements, domestic operations within Brazil have increased thanks to the cargo capacity offered on TAM passenger aircraft and along with the cargo fleet dedicated to these routes.

LAN and TAM expect to continue their growth and expansion  plan by modernizing their fleet and incorporating new technologies and tools to their operations.  The Company is confident that this merger will bring great results and benefits to their customers and will continue to work on the integration of their operations to allow them to position themselves within the 10 most important airline groups in the world.