American Airlines-Lan Chile Alliance Receives Preliminary Approval From DOT.SANTIAGO, Chile--(BUSINESS WIRE)--April 22, 1999-- Lan Chile S.A. ("Lan Chile" or "the Company") (NYSE NYSE See: New York Stock Exchange : LFL LFL Lower Flammable Limit LFL Lutherans for Life LFL Lingerie Football League LFL Like for Like (comparison of sales) LFL Libertarians for Life LFL Lucasfilm Limited LFL Lot for Lot LFL Looking for Love ), Chile's largest domestic and international airline, today announced that the U.S. Department of Transportation (DOT) issued a "tentative order tentative order A customer order that is made for part of a new securities issue before all the terms of the issue have been set. Underwriters take tentative orders to determine investor interest in a new issue. " giving initial approval to the alliance between American Airlines American Airlines Major U.S. airline. American was created through a merger of several smaller U.S. airlines and incorporated in 1934. It continued to buy the routes of other airlines, becoming an international carrier in the 1970s; its routes include South America, the and Lan Chile. "We're very pleased with this approval since it translates into greater benefits for our passengers, which is the reason we signed this agreement. As soon as it goes into effect, Lan Chile and American Airlines will be able to share and improve the high service standards that have allowed us to become partners," said Enrique Cueto, Lan Chile's Chief Executive Officer. Among the benefits of this alliance to Lan Chile and American Airlines passengers are: i) an extensive and complete network of destinations, ii) a broader and better itinerary, iii) better prices, iv) easier check-in and baggage handling to the end-destination, and v) point-accumulation and awards from both airlines. Originally signed in September 1997, the alliance involves code-sharing between both countries as well as shared frequent flyer frequent flyer Hospital practice A popular term for a Pt who is regularly admitted to a particular ER or health care facility, for various reasons systems. Since that time, the code-share agreement was still subject to ratification by both governments, and only frequent flyer benefits could be shared between both airlines. With the provisional approval granted by the DOT, other companies have four weeks to present any observations before the DOT grants final approval, allowing both airlines to implement their Chile-US services using code-sharing shortly thereafter. The alliance reflects a general air industry trend toward globalization globalization Process by which the experience of everyday life, marked by the diffusion of commodities and ideas, is becoming standardized around the world. Factors that have contributed to globalization include increasingly sophisticated communications and transportation and is an important step in that direction, bringing Chile's air industry into world airline networks. Participation in this network will no doubt strengthen Chile's trade, tourism and economic ties with the rest of the world, all key to the country's future economic development. Company Description Lan Chile S.A. is the largest domestic and international passenger/cargo air carrier in Chile and one of the leading airlines in Latin America Latin America, the Spanish-speaking, Portuguese-speaking, and French-speaking countries (except Canada) of North America, South America, Central America, and the West Indies. . Lan Chile serves 15 destinations in Chile, 16 destinations in other Latin American cities and 7 destinations in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , Europe and the South Pacific with a fleet of 47 airplanes. Lan Chile maintains alliances with American Airlines, Canadian Airlines and Quantas of Australia. |
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