Air Transport Agreement Conditions

I. Terms Applicable to the Air Transport Agreement for International Passengers and Within Chile (Domestic/ National Flights).

Overall Terms

1. For the purposes of this contract, "ticket" or "passage ticket" shall mean "ticket for passage and luggage control", which comprises the terms and notices stated herein; "transport agent" or "carrier" shall signify each and every airline which shall transport or which shall stand committed to carry a given passenger or his luggage pursuant to this Agreement, or which shall render any other service related with such air transport, including but not limited to LAN; "electronic ticket" shall refer to the ticket for passage that appears magnetically registered and, in this case, the Boarding Pass having been delivered, same shall constitute the passage ticket.

2. The passage ticket shall constitute evidence of the entry into and acceptance of the terms of the "LAN Air Transport Agreement" ("Agreement") entered into by and between the Carrier and the Passenger whose names appear issued on such ticket.

3. The name of Carrier may appear abbreviated on the ticket, provided the full name and abbreviation shall appear on the rate schedules, manuals, the terms of carriage, regulations and/or itineraries of Carrier. The address of Carrier shall be that of the airport of exit indicated on the ticket, on the side opposite to the first abbreviation of Carrier. The agreed stopovers shall be those stated on the passage ticket or, in the event of absence of same, those which shall appear on the itineraries of Carrier as scheduled stopovers within the route of the passenger. The carriage to be effected in conformity with this Agreement by several carriers successively shall be deemed to be one single operation.

4. A given carrier who shall issue a ticket for carriage for a route of another air carrier, said issuing carrier shall only act as an agent of the transporting carrier.

5. Any given exemption or restriction of liability of Carrier shall be applicable to and shall inure to the benefit of the agents, employees and representatives of Carrier as well of that of any person whose aircraft shall be used Carrier to effect such carriage and its agents, employees or representatives.

6. Carrier shall be entitled to refuse carriage in the event that the applied rate shall be unpaid or if the ticket has been obtained by any infringement of law. In like manner, Carrier shall refuse to board any given passenger or shall make arrangements to disembark him if it considers that such passenger might jeopardize the security of the flight or of the passengers.

7. Carrier shall stand committed to make all possible efforts to carry the passenger and his baggage with reasonable punctuality. The times that appear set forth in the itineraries or in any other publication shall not be guaranteed in terms of performance/ fulfillment and shall not form part of this Agreement. In the event of need, and without prior notice, Carrier may take action to be substituted by other carriers or to change the aircraft/ flight equipment, and it shall also be entitled to alter or omit stopovers signalled on the ticket if need be. Itineraries shall be subject to change without previous notice. Carrier shall not assume liability in terms of guaranteeing connections.

8. Each and every passenger which shall not appear for travel or which shall arrive late for boarding, shall lose his ticket or may be allowed to revalidate it for some other date, provided the rate paid allows for this.

9. No agent, employee or representative of Carrier shall have authority to alter, modify or waive any stipulation set forth in this Agreement.

10. Scheduled flights must be flown in the exact order indicated on the ticket.Carrier will not  board any passenger who does not comply with the order shown in the ticket.Therefore, Carrier will not board any passenger who has not flown any of the routes listed on his/her ticket.  The passenger understands that if he/she has not flown any of the routes in the exact sequence indicated on the ticket, the ticket shall be cancelled in its entirety, and not subject to reimbursement unless permitted by the specific fare conditions. For example, and not withstanding any other applicable situation, if a passenger does not fly the first segment indicated in his/her ticket (in the case, first departure flight listed in the ticket), he/she may not board any other subsequent flight listed in the ticket (for example, a return or connecting flight).

11. The passage ticket shall additionally be subject to the conditions applicable to the rate with regard to issues such as changes of dates and name, reissuance and refunds.

Hazardous articles within luggage

1. Carrier shall refuse to carry as luggage, whether hand-baggage or invoiced/ paid luggage, any such hazardous articles and substances that might entail an important risk in terms of health, security/ safety or personal property, such as:

• Gases (compressed, liquid, in solution or highly refrigerated), including aerosols, which shall be combustible, toxic or harmless, such as: butane, oxygen, liquid nitrogen, aerosols containing paralyzing gases, refill tubes for liquid gas lighters, etc.
• Corrosives, solid or liquid, such as: acids, acid or alkali ones, mercury, liquid elecrolyte batteries, etc.
• Explosives such as: munitions, fireworks and signal flares, briefcases containing alarm devices, fulminating powder for toy pistols, etc.
• Inflammable liquids, such as: fuels, paints, diluting agents, etc.
• Radioactive materials, whichsoever category they may belong to.
• Oxidizing agents and organic peroxides, such as: bleaches, fertilizers. Toxic and infectious substances such as: insecticides, plaguicides, biological products containing pathogen germs, etc.
• Inflammable solids, such as: wax (matches);
• Arms/ Weapons, meaning as such each and every element or object that has been fabricated, or might be utilized, for attack or defense, such as: fire arms, blade weapons, gases, electric shock elements, sharp devices, exhibiting a cutting edge, : bruising elements, which might comprise clubs/ sledgehammers, axes and canes or sticks/ poles having some weight inside, or that display a pointed shape.

2. With the object of keeping a vigil over flight safety and abiding with current regulations, both Carrier and the security staff at the airport shall stand empowered to take away, for the purposes of proceeding to destruct, hazardous articles and substances carried by the Passenger or in his hand luggage.

3. There is a limited humber of medical articles and toiletries which passengers shall be allowed on board. Before putting them in your luggage, kindly verify with company staff.

4. Many of the articles mentioned above may be carried by air under certain special conditions, covered by a bill of lading and subject to an air cargo rate.

Baggage Allowance

It will be understood by baggage only the personal effects needed to make the trip.

Those packages that weight more than 45 kg and/or its size is bigger than 203 cm (length + height + width) should be shipped as cargo, paying the respective freight. For routes to Europe, Oceania and connections with Iberia, British Airways and Qantas, the maximum allowed weight is 32 kg.

The allowed baggage may be changed regarding fare conditions, cabin and route, and will be expressed in packages.  The carrier reserves the right to modify these franchises and the size of baggage. Contract conditions and fares are registered with the concerned aeronautical authorities. Ask for baggage franchise and payments that will affect the excess baggage directly with your airline or at www.lan.com

For any excess, the carrier may charge fees over such franchise.

As a precaution and security, only one piece of baggage is allowed to be carried on cabin, with dimension and weight that enable them to be placed at the upper compartments of the aircraft or under the seats. This package may not exceed 8 kg in Economy class or 16 kg in Premium Bussines or Premium Economy class and its dimension may not exceed 115 cm (55 cm long + 35 cm high + 25 cm wide).

Notice of Overbookings

In the event of overbookings, certain flights may appear with more seats reserved/ booked than the capacity of the aircraft, therefore, a given seat might not be available on a flight for a passenger who possesses a confirmed reservation. In such case, and subsequent to any efforts made to remedy the situation, including a voluntary request for passengers to relinquish their confirmed space, the Carrier may find itself in need to refuse boarding to a given passenger, who shall be entitled to receive compensation, provided he shall have arrived on time for the departure of the flight. In the event of overbookings, the law, rates and conventions of each and every country shall apply.

Smoking Prhibited

The Carrier has determined that smoking shall not be permitted on any of its flights.

II. International Air Transport Agreement

Notice

If the trip of a given passenger ends or has a stopover in a country different from that of the commencement of the trip, the Convention for the Unification of Certain Rules relating to International Carriage by Air signed at Warsaw October 12, 1929 (hereinunder called the "Convention"), as amended by the Protocol signed at the Hague, September 28, 1995 ("Hague Protocol") shall apply and shall regulate, whensoever appropriate, the boundaries of liability of Carrier in terms of death or personal injuries and of loss or damages to luggage. Kindly also refer to the note entitled "Notice for International Passengers regarding Boundaries of Liability" and "Notice of Boundaries of Liability in Terms of Luggage" as provided to you by Carrier.

Special conditions within the international transport agreement

1. Carriage which shall be effected pursuant to this Agreement shall be subject to the norms and boundaries in terms of liability that appear set forth by the Convention and Hague Protocol System, unless such carriage shall not be "international transport/ carriage" as per the definition contained in such covenant.

2. Without prejudice to the foregoing, the carriage or other service to be rendered by each and every Carrier shall be subject to: (I) the stipulations contained in the ticket of passage ; (II) the conditions established in the applicable rate (III) the terms and conditions of carriage set out by Carrier and the rest of the related regulations that form part of this Agreement (and which may be consulted at the offices of Carrier), except in the event of carriage between a given point in the United States of America or Canada and any other point beyond such countries, in which case the rates current therein shall apply.

3. Paid/ Invoiced luggage shall be delivered to bearer of the luggage ticket. In the event of damage to the luggage during the course of international transport/ carriage, a written claim must be submitted immediately after such damage is discovered and, at the most, within the seven (7) days following the date when such luggage was received. Should delay be incurred, the claim must be submitted within twenty-one (21) days following the date of delivery of the luggage. For purposes of this paragraph, delay shall mean any delay in the receipt of baggage which is directly attributable to the Carrier's handling of the baggage (i.e., delayed shipping, etc.).

4. The ticket shall be valid for one year starting from the date of its issuance, unless indicated to the contrary appears stated on same, in the rate schedules of Carrier, in the carriage conditions or in regulations pertaining thereto. Once such time frame shall have elapsed, such ticket shall have lost all of its value. The rate pursuant to this Agreement shall be subject to changes prior to the start of such carriage.

5. Passenger must abide with the requirements for travel set forth by any given authority and shall submit the exit and entry documents that shall berequired, and must likewise appear before the boarding desk at the time that Carrier indicates and, in the event the latter shall not have signalled one, with sufficient anticipation to meet the requirements for departure, which shall not be less than two (2) hours prior to the time fixed for departure of the flight.

6.- Flights between Madrid and Frankfurt and vice versa with LAN are considered "No-Schengen" (no inter-community) by the authorities, and therefore passengers on these flights will pass through customs and passport control. It is the passenger's responsibility and obligation to carry the required documentation. LAN is not responsible for damages or inconveniences caused by the passenger failing to comply with this obligation.

Notice to international passengers on boundaries of liability

1. With the exception of what appears set forth in any applicable treaty or law, civil liability of LAN ("Carrier") regarding international flights, may be governed by the Convention for the Unification of Certain Rules relating to International Carriage by Air signed at Warsaw October 12, 1929 (hereinunder called the "Convention"), as amended by the Protocol signed at the Hague, September 28, 1995 ("Hague Protocol").

2. Carrier hereby declares that during each and every flight that shall be governed by the Convention and Hague Protocol System, it shall not invoke the boundaries of civil liability set forth in its Article 22(1) during the course of claims for compensation damages arising from death or personal injuries. In such type of claims, Carrier shall not make use of the defenses/ protections contained in Article 20(1) of the Convention and Hague Protocol System, inasmuch as those claims under 100,000 DEG shall be concerned. With the exception of what appears contained herein, Carrier shall be entitled to resort to the rest of the defenses set out in such Convention and Hague Protocol as well as the claims against third parties that shall be in order.

3. As a case in point, flights operated by Carrier towards and from the European Union, Carrier shall, without delay and at the very latest within the fifteen (15) days following the determination of the identity of the person legally empowered to sue/ claim, shall advance compensation in cash as required to meet the needs of such person entitled to the indemnity, in proportion to the prejudice/harm suffered. Such advances shall in no way constitute an acknowledgement of liability, may be disbursed instead of providing future payments. Said payment shall not be refundable, unless the damage shall have been provoked either wholly or in part by the passenger or by the person receiving same, or whensoever the latter shall not have been entitled to receive indemnity.

Notice of limited responsibility for luggage

The Carrier responsibility for loss, delay or damage of luggage is limited by the international agreements established with respect to international air transport, be it the Agreement for the Unification of certain rules relative to International Air Transport signed in Warsaw, modified by the Hague and Montreal Protocols, as well as the Agreement for the Unification of certain rules for International Air Transport – signed in Montreal, Canada on May 18, 1999 – where applicable.

With respect to items of high commercial value and electronic items, it is recommended that the passenger transports these items as carry-on luggage whenever possible, so that the passengers maintains possession of these items at all times, as the transporter will not be held responsible for these items beyond the limits established by law.

III. National Air Transport Agreement

Notices

If the trip is between places located within the Republic of Chile, it shall be governed by the National Agreement on the Air Transport of Passengers as well as by the Aeronautical Code of Chile, which shall govern, wheresoever pertinent, the boundaries of liability of Carrier in terms of death or personal injuries and of loss or damages to luggage.

Special conditions contained in the national transport agreement

1. The Aeronautical Code of Chile shall supplementarily govern the transport /carriage Agreement and shall prevail as non-revocable in terms of the parties thereto.

2. Without prejudice to the above, the transport or other service that shall be rendered by each and every Carrier shall be subject to: (I) the stipulations set forth in the passage ticket; (II) the conditions set out in the applicable rate; (III) the terms of carriage set forth by Carrier and the rest of the related rules that form part of this Agreement (and which may be consulted at the offices of Carrier ).

3. Passenger must appear at the airport desk at least one (1) hour prior to the time set for the departure of the flight. The Carrier reserves unto itself the right to refuse to board and carry any passenger who does not show up at the signalled time.

4. The ticket shall be valid for one year starting from the date of its issuance, unless indicated to the contrary appears stated on same, in the rate schedules of Carrier, in the carriage conditions or in regulations pertaining thereto. Once such time frame shall have elapsed, such ticket shall have lost all of its value. The rate pursuant to this Agreement shall be subject to changes prior to the start of such carriage.

Notice of limited responsibility for luggage

The Carrier responsibility for loss, delay or damage of luggage is limited by the Chilean Aeronautic Code.

With respect to items of high commercial value and electronic items, it is recommended that the passenger transports these items as carry-on luggage whenever possible, so that the passengers maintains possession of these items at all times, as the transporter will not be held responsible for these items beyond the limits established by law.