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1. It's like the Delta Airlines or American Airlines of South America, serving as a major international carrier for passengers and cargo across the continent.

2. A full-service international airline similar to Lufthansa or British Airways, but primarily focused on connecting Latin America and the world.

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• Passenger Air Transportation: Provides scheduled flights for individuals traveling to various domestic and international destinations.
• Cargo Air Transportation: Offers freight services for businesses and individuals to transport goods by air across its network.
• Loyalty Programs: Manages programs that reward frequent travelers with benefits such as points, upgrades, and exclusive offers.

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LATAM Airlines Group S.A. (LTM) sells primarily to individuals through its passenger transport services. The major categories of individual customers it serves include:

• Leisure Travelers: Individuals and families traveling for tourism, vacations, and recreational purposes.
• Business Travelers: Individuals traveling for corporate purposes, meetings, conferences, and work-related activities.
• Visiting Friends and Relatives (VFR) Travelers: Individuals traveling to visit friends and family, often connecting communities across the diverse regions LATAM serves.

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• Airbus SE (AIR.PA)
• The Boeing Company (BA)
• General Electric (GE)
• Rolls-Royce Holdings PLC (RR.L)
• RTX Corporation (RTX)
• Safran S.A. (SAF.PA)

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Roberto Alvo, Chief Executive Officer

Roberto Alvo assumed the role of CEO of LATAM Airlines Group on March 31, 2020. Prior to this, he served as LATAM's Chief Commercial Officer starting in May 2017. His extensive career at LATAM also includes roles as Vice President of International and Alliances (from 2015) and Vice President of Strategic Planning and Development (from 2008). He joined LAN Airlines in November 2001, where he held positions such as Chief Financial Officer of LAN Argentina, Manager of Development and Financial Planning at LAN Airlines, and Deputy Chief Financial Officer of LAN Airlines. Before 2001, Mr. Alvo worked in various capacities at Sociedad Química y Minera de Chile S.A., a prominent Chilean nonmetallic mining company. He holds a civil engineering degree and an MBA from IMD in Lausanne, Switzerland.

Ricardo Bottas, Chief Financial Officer

Ricardo Bottas joined LATAM Airlines Group as Chief Financial Officer in January 2025. He brings nearly three decades of experience across diverse industries, including auditing, energy, oil and gas, insurance, and healthcare. Throughout his career, Mr. Bottas has held significant roles in management, control, corporate finance, mergers and acquisitions, and investor relations. Notably, he has previously served as CFO and CEO in various companies prior to his appointment at LATAM.

Ramiro Alfonsín, Chief Commercial Officer

Ramiro Alfonsín has served as the Chief Commercial Officer of LATAM Airlines Group S.A. since November 2024. Before this, he was LATAM's Chief Financial Officer from July 2016. With over 20 years of experience, Mr. Alfonsín previously worked for Endesa, a leading utility company in Spain, Italy, and Chile, where he held positions including Deputy Chief Executive Officer and Chief Financial Officer for their Latin American operations. Prior to his tenure in the utility sector, he spent five years in Corporate and Investment Banking with several European banks. Mr. Alfonsín holds a degree in business administration.

Hernán Pasman, Chief Operating Officer and Maintenance

Hernán Pasman has been the Vice President of Operations, Maintenance and Fleet of LATAM Airlines Group since October 2015. He joined LAN Airlines in 2005 as the head of strategic planning and financial analysis for technical areas. His previous roles include Chief Operating Officer of LAN Argentina from 2007 to 2010, and Chief Executive Officer for LAN Colombia in 2011. Before joining the company, Mr. Pasman was a consultant at McKinsey & Company in Chicago from 2001 to 2005. He also held positions at Citicorp Equity Investments, Telefonica de Argentina, and Argentina Motorola between 1995 and 2001. Mr. Pasman holds a Civil Engineering degree from ITBA and an MBA from Kellogg Graduate School of Management.

Juliana Rios, Chief Digital and IT Officer

Juliana Rios brings over 20 years of expertise in services and technology across the finance and airline industries to her role as Chief Digital and IT Officer. Her experience encompasses business transformation, mergers and acquisitions, digitization, IT, and the management of large-scale projects. In her current position, she leads LATAM Airlines' digital transformation initiatives. Before joining LATAM Airlines in 2015, Ms. Rios was a senior executive at Banco Santander in Brazil, where she was responsible for retail business strategy and customer experience, and led integration programs in Brazil, Italy, and the Netherlands. She holds a university diploma in business administration and an MBA in corporate management from IBMEC, Brazil.

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1. Fuel Price Volatility and Macroeconomic Instability

LATAM Airlines Group is highly susceptible to the volatility of fuel prices, which represent a substantial portion of its operating expenses. For instance, aviation fuel accounts for approximately 36% of LATAM's total operating expenses, and a fluctuation of ±15% in regional kerosene benchmarks can materially affect operating margins. Additionally, operating across diverse markets in Latin America exposes the company to economic fluctuations, currency volatility, and potential political instability in these regions.

2. Intense Competition and Pricing Pressure

The Latin American air travel market is characterized by intense competition, which significantly influences LATAM's strategic and operational decisions. Major competitors such as Avianca and Copa Airlines collectively hold a considerable share of the intra-regional market, directly challenging LATAM's network strength. In Brazil, LATAM faces aggressive fare promotions from local rivals, leading to frequent pricing recalibrations. Regional capacity growth often outpaces passenger demand, creating a supply-demand imbalance that exerts pressure on yields and necessitates maintaining competitive operating margins.

3. High Debt Levels

While LATAM Airlines Group successfully emerged from Chapter 11 bankruptcy protection in November 2022 with a significantly reduced debt load and strengthened liquidity, it still maintains a notable level of financial leverage. One report from March 2026 indicated that the company's debt-to-equity ratio stands at 6.01, reflecting significant leverage. Although its interest coverage ratio suggests manageable debt servicing capabilities, a high debt level can still pose a risk if adverse market conditions or unforeseen events arise.

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LATAM Airlines Group S.A. (LTM) operates in the passenger and cargo air transportation sectors across various regions, with a significant presence in South America. The addressable markets for its main products and services are sized as follows:

Passenger Air Transportation

• Global: The global airlines market was valued at approximately USD 588.67 billion in 2025, with projections to reach USD 786.39 billion by 2034, growing at a compound annual growth rate (CAGR) of 3.27% from 2026 to 2034.
• Latin America and the Caribbean: In 2025, the total passenger air traffic to, from, and within Latin America and the Caribbean reached 477.3 million passengers. This represents a 3.8% year-on-year increase compared to 2024. Brazil was the largest air transport market in the region in 2025, recording 129.6 million passengers.

Cargo Air Transportation

• Global: The global air freight market was valued at an estimated USD 335.2 billion in 2025 and is projected to reach USD 506.2 billion by 2034, demonstrating a CAGR of 4.70% during the period of 2026-2034. Asia Pacific dominated this market, holding a 39.5% share in 2025.
• Latin America: The air freight market in Latin America was valued at USD 21.17 billion in 2025 and is projected to grow to USD 32.81 billion by 2034, with a CAGR of 4.99% from 2026-2034. Another source indicates the Latin America air freight market generated a revenue of USD 20,984.2 million in 2023 and is expected to reach USD 39,454.0 million by 2030, with a CAGR of 9.4% from 2024 to 2030. The international segment is a dominant force in the Latin American air freight market.

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LATAM Airlines (LTM) is expected to drive future revenue growth over the next 2-3 years through several key strategies:

1. Significant Capacity Expansion and Fleet Modernization: LATAM Airlines projects substantial growth in its passenger operations, measured in Available Seat Kilometers (ASK). The group anticipates passenger operations to grow between 12% and 14% in 2024 and between 7% and 9% in 2025, surpassing 2019 levels in the first quarter of 2024. This expansion is supported by a robust fleet modernization plan, with over 120 aircraft on order through 2030. The fleet is expected to reach 410 aircraft by the end of 2026, including the addition of 41 new planes in 2026 and 27 in 2027. Notably, these additions include fuel-efficient Airbus NEO family aircraft, Boeing 787 Dreamliners (with an additional 10 ordered to expand the 787 fleet to 52 by 2030), Embraer E195-E2 jets for regional routes, and the Airbus A321XLR for extended medium-haul international routes.
2. Extensive Network Expansion in Key Domestic and International Markets: The company is actively expanding its route network, particularly in Brazil and for international connections. LATAM Brazil plans a 12% expansion of its domestic network starting April 2025, adding four new routes and increasing daily flights. New international routes launched in 2024 include Brasília-Santiago, Curitiba-Lima, Fortaleza-Santiago, and Recife-Santiago, and Bogotá-Madrid. There are also plans to launch a new route between São Paulo and Munich, Germany, in the first half of 2025. This network growth aims to capitalize on strong demand, especially in long-haul international markets to Europe and North America, where capacity was boosted by 67% in 2025 compared to pre-COVID levels.
3. Robust Demand for Passenger Travel, particularly in International Segments: LATAM is benefiting from a strong rebound in global travel demand, leading to increased passenger traffic and capacity utilization. The airline transported a record 82 million passengers in 2024 and saw its consolidated capacity increase by 15.1% compared to 2023. International operations are projected to increase by 9.5% to 11.5% in 2025 compared to 2024, and by 11% to 13% in 2026 over 2025. This sustained demand is a key driver for higher passenger revenues.
4. Continued Growth in Cargo Operations: LATAM Cargo's subsidiaries are also expected to contribute significantly to revenue growth. The cargo operations are projected to grow between 10% and 12% in 2024 (measured in Available Tonne Kilometers – ATK). Recent results show a strong increase, with cargo revenues growing by 29.1% in Q4 2024 compared to the same period of the previous year, and by 10.2% year-over-year in Q2 2025. This diversified income stream from cargo services provides an additional growth engine for the company.

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Share Repurchases

• LATAM Airlines Group executed $585 million in share repurchases in 2025.
• A share repurchase program for up to 1.6% of outstanding shares (9,671,006,041 shares) was approved on March 17, 2025, for a duration of 18 months.
• Another share repurchase program was approved on June 26, 2025, authorizing the repurchase of up to 3.4% of outstanding shares (20,550,887,837 shares) over 18 months, with approximately $440 million (CLP 423,348.29 million) repurchased between July 1 and July 30, 2025.

Share Issuance

• In connection with its emergence from Chapter 11 in November 2022, LATAM completed the issuance of $5.4 billion in new securities, offered to pre-petition shareholders via preemptive rights offerings.
• The Chapter 11 plan also contemplated a new US$800 million equity rights offering and an additional $1.37 billion of new convertible notes to be offered to existing shareholders.
• LATAM's shares outstanding increased by 513.46% in 2023 compared to 2022 due to the restructuring.

Inbound Investments

• As part of its Chapter 11 emergence, LATAM received over $8 billion of new money from offerings of new common stock and new convertible notes.
• Delta Air Lines purchased approximately $657 million of new convertible notes Class B in the reorganized LATAM, expected to result in approximately 10% equity ownership.
• Cueto Group and Qatar Airways committed $900 million in additional financing during the initial Chapter 11 filing in May 2020.

Outbound Investments

No information is available for outbound investments made by LATAM Airlines over the last 3-5 years.

Capital Expenditures

• Projected capital expenditures, net of financing, are approximately US$1.5 billion in 2025, US$1.7 billion in 2026, and US$1.7 billion in 2027, primarily focused on fleet expansion and modernization.
• LATAM is expecting to receive 26 aircraft in 2025, 41 aircraft in 2026, and 27 aircraft in 2027 as part of its growth plan.
• In 2025, $1.5 billion was allocated to capital expenditures, and in Q3 2025, LATAM Airlines Group signed a major agreement for the acquisition of up to 74 Embraer E2 aircraft.