LanChile S.A. Authorizes Payment Of Cash Dividend.

Business Editors

SANTIAGO, Chile--(BUSINESS WIRE)--Dec. 30, 2002

Lan Chile S.A., ("LanChile" or "the Company") (NYSE: LFL) Chile's largest domestic and international airline, announces that at an Ordinary Board of Directors' Meeting held on December 26, 2002, the Board authorized payment of a provisionary cash dividend to be charged to the corresponding 2002 earnings in the amount of US$ 0.02809 per common share (one American Depositary Share represents 5 common shares) to all registered shareholders at the close of business on January 10, 2003.

The dividend will be paid on January 16, 2002.

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. Together with its code-share arrangements and affiliated airlines, the Company serves 15 destinations in Chile, eight destinations in Peru, 17 destinations in Latin America, 25 in North America, eight destinations in Europe and four in the South Pacific. Currently, the Company operates 42 passenger aircraft and 10 cargo freighters. LanChile is a member of oneworld (TM), the most international of the global airline alliances. It has bilateral commercial agreements with oneworld partners American Airlines, British Airways, Iberia and Qantas and also with Alaska Airlines, AeroMexico, TAM and Varig.

For more information visit www.lanchile.com or www.oneworldalliance.com.