Airbus Latin America

In My Perspective

Stronger, together: A look back as LATAM prepares for take-off

More Articles September - October 2015

Stronger, together: A look back as LATAM prepares for take-off

LAN’s 86-year and TAM’s 39-year histories in the airline business long predate my own, but their merger to form LATAM Airlines Group has been one of the most tremendous historic milestones I’ve witnessed in my 30-year career. Yes, this does indicate the end of two iconic airline brands, but it signifies the coming together of two strong brands with a common history to form one Latin American airline powerhouse that has, and will continue to, contribute to the development of the region.

Commercial aviation has evolved remarkably in our region. I remember when the airlines of the 1980s were government-owned or controlled, with smaller fleets and older aircraft. Then, the 1990s brought privatization; foreign carriers no longer dominated the market, and airlines were more able to control their own futures. In 1998 TACA (before it was part of Avianca), LAN and TAM came together to make a collective purchase of 90 Airbus aircraft in order to secure more competitive pricing.This historic agreement is the only joint aviation contract ever signed to date (and remains the largest in Latin America) and hailed the beginning of expansion and growth for the region’s carriers.

In the 2000s I saw LAN and TAM expanding and modernizing their fleets with new and more efficient aircraft. This was also the beginning of an era of consolidation and alliances, with LAN and TAM merging in 2012 and have greater purchasing power and stronger presence in the market. But let me tell you, this has been no ordinary consolidation. The merger will make LATAM Airlines Group the continent’s biggest carrier and one of the biggest in the world. The airline group recently solidified their union even further by announcing that they would consolidate both brands under one name-- “LATAM” starting in the first quarter of 2016.

LATAM certainly has lots to look forward to. With 27 A350 XWBs in its backlog, it will be the Americas’ first operator of the highly-efficient wide body airliner with TAM next year. By taking the shared legacy and vision of LAN, TAM and their affiliate carriers, LATAM embodies a region that is passionate, vibrant, and forward-thinking. I’m so proud to see how far they have come and how they continue to bring that spirit to the world’s stage.

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