VARIG's Frequent Flyer Program Smiles Launches Special Promotion.

Business & Travel Editors

NEW YORK--(BUSINESS WIRE)--Nov. 1, 2001

VARIG Brazilian Airlines announced today that it is offering a special incentive promotion for its Frequent Flyer members entitled "Smiles and Money" which allows its Smiles members to travel for a combination of reduced miles and heavily discounted prices. The promotion is valid until Dec. 10, 2001 and is available on all flights operated by VARIG and its two sister companies, RIO-SUL and Nordeste.

For example, travelers from New York need only to utilize 20,000 miles and pay $300 for a round-trip ticket from the U.S. to either Sao Paulo or Rio de Janeiro. From VARIG's third U.S. gateway, Los Angeles, the promotion requires 20,000 miles and the payment of $350. In addition, over 100 domestic Brazilian cities served by VARIG, RIO-SUL and Nordeste are available for an add-on of only $50 for those travelers connecting in Sao Paulo or Rio to other points within Brazil.

Smiles members who wish to travel to other South American cities outside of Brazil such as Buenos Aires, Montevideo or Santiago, will also pay only $50 round-trip for their connecting international flights. A traveler wishing to use this promotion would utilize only 20,000 miles and pay $400 to travel round-trip from Los Angeles to Santiago.

"We are beginning to see traffic improve since the events of September 11 which impacted air transportation so severely on a global basis," said Vicente Cervo, VARIG's Director-North America. "We believe this promotion, which combines the redemption of mileage and discounted fares, will further stimulate travel to South America," he added.

Cervo pointed out that the U.S. dollar is at record levels compared with the Brazilian Real and travelers to Brazil may now take advantage of exceptional values. He also noted that VARIG was offering similar promotions combining mileage usage and payment on its worldwide flights to Brazil from Europe, Asia and other countries within South America and Mexico.

Reservations must be made directly with VARIG and tickets must be issued by VARIG on a round-trip basis with no stopovers nor open jaws allowed. The tickets are not endorsable and must be issued within 72 hours of the initial booking.

Refunds in the event of a cancellation will be honored if made before the beginning of the trip on a totally unused ticket for a payment of U.S. $10. If requested after the date of the trip and within the promotion period, the total amount of the miles will be refunded and 50% of the amount paid will also be refunded. If a refund is requested after the promotion period on a ticket that has not been used, 50% of the amount paid will be deducted but no miles will be refunded.

Flights utilized for this promotion will not be valid for mileage accrual in the Smiles program, nor are upgrades to a higher class allowed.

Smiles members who wish to participate in this valuable promotion are invited to call the airline's Smiles Service Center at 1-800-990-5534.