TAM Airlines Consolidates Fleet and Initiates New Air Network

Mon May 26, 2008 6:48pm EDT

* Reuters is not responsible for the content in this press release.

Flights to be operated exclusively with modern A320 aircraft configured for
Executive and Economy classes; company no longer operates the F-100 aircraft

SAO PAULO, Brazil, May 26 /PRNewswire-FirstCall/ -- TAM Airlines, a Group
TAM company (Bovespa: TAMM4 and NYSE: TAM) with headquarters in Asuncion
(Paraguay), will consolidate its fleet of aircraft and initiate a new air
network starting today (May 26). All TAM flights will be on the Airbus A320
aircraft, configured for Executive and Economy classes. The change allows the
company to increase the number of seats on flights and adjust its air network
to better serve the passengers.
    The new TAM Airlines fleet will include three modern Airbus A320 aircraft,
configured for 12 seats in Executive class and 144 in Economy. Executive class
passengers will have access to TAM's VIP lounges at principal airports where
the company operates. Facilities are well equipped, allowing travelers to rest
peacefully and comfortably prior to departure.
    With the standardization, the company will no longer operate the F-100
aircraft with 108 seats. Inaugurating a new era in regional aviation with its
incorporation into the TAM fleet in 1990, the F-100 was used to fly routes in
Brazil and South America. TAM came to have 50 aircrafts of this model.  As of
the end of last year, TAM Linhas Aereas is no longer using this plane for its
domestic flights.
    The TAM Airlines air network has been modified to better serve the needs
of passengers traveling in South America. TAM operations in Bolivia will be
exclusively concentrated in the city of Santa Cruz de La Sierra. Scheduled
departures and arrivals for some flights have been changed to make things more
convenient for travelers, allowing for connections to TAM flights in Brazil
and abroad.
    In order to introduce these changes in the fleet and air network in South
America, TAM Airlines will today (May 26) begin placing ads in newspapers and
magazines in Asuncion and Ciudad del Este (Paraguay), Santiago (Chile), Santa
Cruz de La Sierra (Bolivia) and Cordoba (Argentina).
    In March, TAM Airlines became the new name for TAM Mercosur, pursuant to
brand repositioning guidelines that go along with the expansion of Group TAM
in the international market. The company offers flights from Asuncion to
destinations in Argentina (Buenos Aires and Cordoba), Bolivia (Santa Cruz de
La Sierra), Brazil, Chile (Santiago), Paraguay (Ciudad del Este) and Uruguay
(Montevideo). It also provides the connection from Cordoba (Argentina) to
Brazil via Asuncion. It operates direct flights to Sao Paulo from Asuncion,
enabling passengers to make connections to a wide variety of locations in
South America, Europe and the United States, leveraging TAM's extensive air
network in Brazil and abroad, in addition to code-share arrangements with
international airlines.
    Investor Relations:
    Phone: (55) (11) 5582-9715
    Fax: (55) (11) 5582-8149
    invest@tam.com.br
    http://www.tam.com.br/ir

    Press Agency:
    Phone: (55) (11) 5582-8167
    Fax: (55) (11) 5582-8155
    tamimprensa@tam.com.br
    MVL Comunicacao
    Phone: (55) (11) 3594-0302 / 0304 / 0305

    About TAM:
    TAM (http://www.tam.com.br) has been the leader in the Brazilian domestic
market for more than four years and closed April 2008 with a 47.1% market
share. The company operates flights to 42 Brazilian destinations. It serves 79
different destinations in the Brazilian market through commercial agreements
with regional companies. Among Brazilian airline companies, TAM's
international market share was 72.4% in April. Its international operations
include direct flights to 17 destinations: New York and Miami (USA), Paris
(France), London (England), Milan (Italy), Frankfurt (Germany), Madrid
(Spain), Buenos Aires and Cordoba (Argentina), Santiago (Chile), Caracas
(Venezuela), Montevideo and Punta del Este (Uruguay), Asuncion and Ciudad del
Este (Paraguay), and Santa Cruz de la Sierra and Cochabamba (Bolivia).
Additionally, it has code share agreements with international airlines, which
allow passengers to travel to another 64 destinations in the United States,
South America and Europe. TAM was the first airline company to launch a
loyalty program in Brazil; TAM's program currently has 4.7 million members and
has redeemed more than 5.5 million tickets in exchange for points.
SOURCE  TAM

Libano Miranda Barroso, TAM Investor Relations, +011-55-11-5582-9715, fax,
+011-55-11-5582-8149, invest@tam.com.br
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