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Latam, American Airlines announce joint business agreement

Latam Airlines Group has just announced the agreement with American Airlines and the International Airlines Group (IAG), the companies British Airways and Iberia, to strengthen the relationship between the companies. According to the CEO of Latam Group, Enrique Cueto, this is excellent news for Latin America, as it will improve the company’s customer connectivity to North America and Europe.

On a gradual implementation, significant benefits will be delivered to customers of Latam Group and its subsidiaries. Access to a network of over 420 destinations (Europe, USA, Canada and South America), best connection times, increased supply of seats, great potential for development of new routes and more direct flights to new destinations or already operated by Latam Group are some examples. It is noteworthy that all new services and options will also be available for members frequent flyer programs LANPASS and TAM Fidelidade.

“This step is necessary to ensure greater network connections to all Latin Americans and increases the possibility in the future to incorporate new routes and open more direct flights to new destinations or destinations already operated by Latam Group and its subsidiaries” explains Cueto.

For the CEO of American Airlines, Doug Parker, when major airlines work together, customers gain more options to choose when and how they wish to travel. “Passengers will benefit from more frequent flights and convenient options than either company could offer individually. Guests traveling to Latin America will soon have access to over 100 additional destinations with Latam, beyond the current network in America, which is already extensive, “he added.

The two agreements with members of the Oneworld will allow LATAM Group and its subsidiaries to increase its network to more than 420 destinations by managing a routes network between South America, the United States and Canada with the American Airlines and a network of routes between South America and Europe with IAG. The countries of South America that are part of the trade agreement between Latam and American Airlines are Brazil, Chile, Colombia, Paraguay, Peru and Uruguay. As for the agreement between Latam and IAG, the countries of South America considered are Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, Paraguay, Peru and Uruguay.

“We already have a close relationship with Latam Group as members of Oneworld, and look forward to further expanding our relationship. This agreement will benefit customers by offering them easier travel to more destinations with better aligned schedules and more frequencies options. This will boost both tourism trips as well as business between South America and Europe, “said CEO of IAG Group, Willie Walsh.

According to a statement from the Latam Group, these agreements will strengthen the hub project in northeastern Brazil, for its strategic geographical position, offering great opportunities for those associations with American Airlines and IAG.

Both agreements are subject to approvals from the competent regulatory authorities in different countries. After its implementation, each airline will continue to operate their businesses independently and will keep track of each of its flights. These agreements do not involve changes in ownership or management of the airlines involved.