LATAM Group receives offers for exit financing that exceed US$5 billion each, expects to recover pre-pandemic profitability by 2024

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LATAM Airlines Group S.A. (including certain of its debtor affiliates in Brazil, Chile, Colombia, Ecuador, the United States, and Peru) has released its five-year business plan along with advances regarding its exit financing process. This milestone marks one of the final stages before the presentation of its plan of reorganization. LATAM forecasts recovering 2019 profitability by 2024, and a 78% operational result increase by 2026 when compared to pre-crisis levels.

As part of its exit financing process, LATAM has received several offers to date from its most significant claimholders and its majority shareholders, each of which provides more than US$ 5 billion of new funds, reaffirming the market’s confidence in LATAM.

The business plan includes a vision of the demand recovery, the fleet plan, and financial and operational projections through 2026, in addition to other information. In particular, the group forecasts a return to pre-pandemic capacity (measured in ASKs) by 2024 and a growth of 7% by 2026, compared to 2019, resulting from an estimated recovery of the domestic markets by 2022 and the international ones by 2024, in line with market consensus.

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