A PYMNTS Company

Region: LAN and TAM, after merger, sill operate separately

By  |  August 11, 2015

The leading executives of LaTam group, which has brought together South American airlines LAN and TAM, have confirmed their intentions to an eventual merger of their operations under the LATAM banner.

The change will cost the new company around $40 million USD over the next 3 years. During this period the companies will continue to operate as separate entities in the countries they currently service, said TAM CEO Claudia Sender.

Enrique Cueto, CEO for Latam Airlines, assured gathered press that, although the air travel sector has been hit by the slowdown in growth and disappointing growth predictions in the region, the organisation stands firmly behind their plans for investment and development.

Finally, the representatives of all three entities sought to dispel rumours about alleged negotiations taking place with other regional airlines, while adding that they welcome any proposals.

Source: La República

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.