Chile’s Antitrust Court Approves LAN and TAM Merger

SANTIAGO, Chile—(BUSINESS WIRE)—LAN Airlines S.A. (LAN) (IPSA: LAN / NYSE: LFL) and TAM S.A. (TAM) (BM&F BOVESPA: TAMM4 / NYSE: TAM), today announced that Chile’s antitrust court, Tribunal de Defensa de la Libre Competencia (TDLC), approved the merger between LAN and TAM. This represents one more step in the process which both companies have followed to complete the transaction.

The antitrust court’s resolution is complex and considers a series of mitigating measures. Therefore, both companies are currently analyzing in depth the implications and impact of the measures imposed by the court.

LAN and TAM will publicly communicate the companies’ position regarding the antitrust court’s resolution and its various mitigating measures as soon as possible.

About LAN

LAN Airlines is one of the leading passenger and cargo airlines in Latin America. The company and its affiliates serve over 76 destinations around the world through an extensive network that offers full connectivity within Latin America, while also linking the region with North America, Europe and the South Pacific, as well as 93 additional international destinations through its various code share agreements. LAN Airlines and its affiliates have a leading position in their respective domestic markets of Chile and Peru as well as an important presence in the Argentinean and Ecuadorian domestic markets. Furthermore, in November 2010, LAN acquired Colombian airline AIRES.

Currently, LAN Airlines and its affiliates operate 125 passenger aircraft while LAN Cargo and its respective affiliates have a fleet of 14 dedicated freighters. The Company has one of the youngest fleets in the world which has meant greater efficiency and a significant reduction in CO2 emissions, reflecting its strong commitment to the protection of the environment.

LAN is one of the few Investment Grade airlines in the world (BBB). The company’s world class quality standards enabled its membership in oneworld™, an alliance of leading global airlines of which LAN has been a member for 10 years. For more information please visit www.lan.com or www.oneworldalliance.com.

About TAM

TAM, including Pantanal, operates direct flights to 45 cities in Brazil and 18 cities in South America, the United States and Europe. Through agreements with companies in Brazil and abroad, TAM’s network encompasses a further 92 airports in Brazil and 92 international destinations, including Asia. The company was founded in 1976 with the commitment to charm clients and offer services distinguished by their high quality at competitive prices. At its 35th anniversary on July 2011, the company has conquered market leadership with a 40.9% market share during July 2011. Additionally, TAM is the leader among Brazilian airlines that operate routes to other countries, with 88% of market share in this segment in July 2011. With the biggest fleet of passenger aircrafts in Brazil (153 operational aircrafts), TAM tends to its clients with the Spirit to Serve and aims at making air trips increasingly accessible to the population. TAM is the pioneer Brazilian airline in the launch of a fidelity program; TAM Fidelidade has distributed 15 million tickets via point redemption and is part of the Multiplus network, currently with 8.6 million associates. Member of Star Alliance, the biggest airline alliance in the world, since May 2010, TAM integrates a network that encompasses 1,185 destinations in 185 countries. For more information, visit www.tam.com.br.