LAN Airlines
NYSE : LFL

LAN Airlines

July 11, 2005 11:45 ET

LAN Airlines Acquires 25 Airbus Aircraft for Regional and Domestic Routes; Aircraft Scheduled to Begin Incorporation into Fleet Second Semester 2006

MIAMI--(CCNMatthews - Jul 11, 2005) -

LAN Airlines' (NYSE:LFL) Board of Directors authorized the acquisition of 25 short-range Airbus A318 and A319 aircraft. In addition, the company will also subscribe 15 options for the purchase of similar aircraft. The new aircraft will operate flights within Latin America, including routes in Argentina, Peru and Chile.

The estimated amount of the investment for the 25 aircraft is approximately US$750 million. The aircraft will gradually be added to the fleet starting in the second half of next year.

Depending on the model, they will seat between 126 and 144 passengers. LAN currently operates 19 Airbus A319s and A320s. A portion of the new Airbus A318s and A319s will be used to gradually replace the company's current Boeing 737-200 fleet. This new order - which allows for ample flexibility in regards to aircraft types and delivery dates - complements the nine A319 aircraft that will be delivered to LAN between 2005 and 2008 in accordance with LAN's previous order with Airbus.

These modern aircraft incorporate the most advanced technology in the airline industry and offer the widest and most comfortable cabins for passengers, as well as a quieter and more pleasant atmosphere. In addition, they are very efficient aircraft and adapt extremely well to the combination of regional routes and short-haul flights operated by the company.

Ignacio Cueto, Chief Executive Officer of LAN Airlines' passenger division, said: "These aircraft are operated by the best airlines in the world and feature the latest generation of technology. Through them, we have been able to improve substantially our quality, comfort, and service standards, allowing us to offer the best travel experience for our passengers."

The LAN service alliance participating airlines, LAN Airlines (NYSE:LFL), LAN Peru, LAN Ecuador and LAN Argentina, offer a united spirit of reliability and charm that provides passengers the highest level of service and safety with the complete travel experience throughout the skies of the Americas.

The LAN alliance's vast route network reaches a large number of destinations throughout the world, including the Americas, Europe, Asia and the South Pacific. The alliance offers non-stop and direct flights from North America to Argentina, Chile, Colombia, Dominican Republic, Ecuador, Peru and Venezuela with service from 29 North American cities, including daily flights from its Miami, New York and Los Angeles gateways. Passengers traveling with any of the LAN Airline Alliance participating airlines may accumulate frequent flier kilometers in LANPASS. Additionally, passengers traveling with LAN Airlines or LAN Peru may also accumulate frequent flier miles in American Airlines' Advantage or any of the one world™ member frequent flier programs.

For additional information, contact LAN toll-free at 866-I-FLY-LAN (866-435-9526). Visit LAN's website at http://www.lan.com.

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