An Internationally Recognized Achievement: LanChile and Ladeco Receive ISO 9002 Certification.

Business & Travel Editors

MIAMI--(BUSINESS WIRE)--Aug. 28, 2000

LanChile and Ladeco have become the first two airlines in the world to have their flight operations, run using the Total Quality Management (TQM) and Human Factors method, certified according to the ISO 9002 standard. This significant achievement guarantees that the LanChile group of companies meets the world's most demanding standards for passenger and cargo transportation, using a system that ensures the highest quality of planning, implementation and control of flight operations.

LanChile and Ladeco have become the only airlines in the world to apply total quality standards to their global passenger and customer services. This process took two years of intensive labor, which culminated in the German company, TUV CERT, granting the LanChile holding certification according to the standards applied by that country.

The benefits of ISO 9002 standards include a detailed evaluation of all procedures and accompanying documentation, along with more direct and specific administrative control, thus improving staff performance with regard to responsibilities and compliance with the high quality standards demanded by oneworld.

During the ceremony held for the official presentation of the certificate, Franz Huml, leader of TUV Rheinland, which audited the LanChile group of companies, said that "LanChile and Ladeco developed a quality system inspired by the ISO 9002 model in record time, a clear demonstration of their great concern for the safety and efficiency of all their operations. Thus, LanChile and Ladeco have taken the lead worldwide, by becoming the first global airlines to adjust their flight operations to this standard, which will come into effect in December of this year."

Luis Ernesto Videla, LanChile's Chief Operating Officer, affirmed that "this certification represents a real breakthrough and constitutes a new guarantee for the company's passengers and customers that it will meet the highest standards of safety, efficiency and service excellence, even going beyond the levels demanded by current legislation. This landmark achievement forms part of the goal we have set ourselves to become one of the world's top companies, recognized internationally for the quality of our service."

As part of LanChile Airlines' growth strategy, the carrier continues to introduce new aircraft and services to ensure the highest quality of service, efficiency and safety for its passengers in order to be recognized as one of the top 10 airlines in the world. LanChile, a new member of the oneworld(TM) global airline alliance, currently offers 45 weekly non-stop and direct flights from its North American gateway cities of Miami, New York and Los Angeles to Lima, Santiago, Buenos Aires, Bogota, Caracas, Guayaquil and Punta Cana. Passengers traveling with LanChile or its affiliate LanPeru may accumulate mileage in American Airlines AAdvantage, LanChile's LanPass and any of the oneworld(TM) member frequent flyer programs.

For additional information, contact LanChile Airlines at [phone].

Visit LanChile Airlines' (NYSE:LFL) website at www.lanchile.com.