SANTIAGO, Chile—(BUSINESS WIRE)—LAN and TAM have started the technical and preliminary processes for their integration into LATAM Airlines Group (LATAM). With the advisory of international consultants, such processes aim at preparing both companies for the merger, becoming the leading airline in the region. In this context, LAN and TAM have defined the new corporate structure which will be implemented once the merger is completed, as expected, within the first quarter 2012:

Mauricio Rolim Amaro, current Vice-Chairman of TAM’s Board of Directors, will become Chairman of LATAM’s Board of Directors
María Claudia Amaro, will remain as Chairman of TAM’s Board of Directors and will also become a Director in LATAM’s Board
Enrique Cueto, current CEO of LAN, will become CEO of LATAM
Ignacio Cueto, current COO of LAN, will become CEO of LAN
Marco Antonio Bologna, will remain as CEO of TAM
Líbano Barroso, current CEO of TAM Linhas Aéreas, will become CFO of LATAM
“We are very pleased with the integration process between both companies and we expect to complete the process of creating LATAM Airlines Group by the end of first quarter 2012, after obtaining all necessary approvals” says Enrique Cueto, LAN’s CEO.

The remaining management positions of LATAM Airlines Group and the strategic definitions of the new structure will be disclosed in due course. Nevertheless, it is worth highlighting that after the merger is completed, both LAN and TAM will continue operating with their respective corporate structures.

LATAM Airlines Group will be amongst the ten largest airlines groups worldwide and within the three largest in terms of market capitalization. LATAM will offer passenger and cargo transportation to more than 115 destinations in 23 countries, with a fleet of over 280 aircraft and with more than 50,000 employees.

About LAN

LAN Airlines is one of the leading passenger and cargo airlines in Latin America. The company and its affiliates serve over 70 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 70 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 127 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.comor www.oneworldalliance.com.