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Wetlease “Wamos Air”

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Wetlease “Wamos Air” ONE VOICE WETLEASE “WAMOS AIR” 1. INTRODUCTION AND SUGGESTIONS • The aim of this guide is to provide information, steer the conversation and clarify any doubts about the Wetlease process that will be conducted by the LATAM Group as of March 10th with Wamos Air. • This One Voice aligns all strategic and/or pertinent messages the Company needs to transmit through its executives. • This content is confidential and shall under no circumstances be shared . We are counting on you to ensure that this material is not stored online, and if printed, that it be protected in order to minimize the potential for information leakage. 2. EXECUTIVE SUMMARY 1. Due to a scheduled maintenance program for the Rolls-Royce Trent 1000 fleet B787 engines operated by LATAM Airlines Group (Wide Body fleet), some of these planes will be temporarily suspended from service. In order to ensure proper operational commitments and service levels with our customers, several of LATAM Group’s companies will rent three aircraft under a Wetlease contract with Wamos Air, the Spanish airline that specializes in airplane rental services. The Wetlease format includes the rental of A330 airplanes with piloting, cabin and maintenance services. The insurance is also the responsibility of Wamos. Wamos Air is a worldwide recognized company that provides similar services to reputable companies such as Air France and Avianca 2. Initially, the three planes will be assigned to operate on the LATAM Airlines Ecuador Guayaquil-Madrid-Guayaquil (GYE-MAD-GYE) route beginning March 10th and LATAM Airlines Group Santiago-Bogota-Santiago (SCL-BOG-SCL) route starting April 1st. LATAM Airlines Ecuador is also considering the rental of a fourth airplane for the Guayaquil-New York-Guayaquil (GYE-JFK-GYE) route starting May 1st. LATAM Airlines Group S.A. is currently in the process of obtaining the appropriate permissions from the Aeronautical Authorities in Chile and Colombia for operational startup. 3. The aircraft rentals shall be temporary while the pro-active maintenance program of Rolls- Royce T1000 fleet B787 motors is underway. This process has been initiated by Boeing and Rolls-Royce industry-wide, this requiring the Group to remove temporarily some of these aircraft from service. Once the engine maintenance is complete, normal operations will begin with the same operational service standards and routes in place. 4. Remember that this is part of a global Rolls-Royce program to improve engine performance and in no way whatsoever indicates any operational safety issues with these aircraft. 1 5. LATAM has been working with Wamos in recent months to ensure the Group’s safety standards are maintained throughout this period. 6. The Group is making every possible effort to ensure that the service standards we’ve set out for these flights likewise remain the same, minimizing any impact upon the customer experience. 3. ADDITIONAL INFORMATION ABOUT THE PROCESS Background information Due to a scheduled maintenance program for the Rolls-Royce Trent 1000 fleet B787 motors operated by LATAM Airlines Group (Wide Body fleet), some of these planes will be temporarily suspended from service. This is a proactive improvement process that Rolls Royce has planned for these motors. Due to high industry-wide demand, implementation has been delayed. This is not only for LATAM, but also for all airlines that own a B787. 1. The strategy In order to maintain the standard service and operational continuity of the Group, LATAM has set out measures that aim to ensure plane capacity. We wish to fulfill our commercial and operational commitment to our customers and the region. That is why as of March 2018, some of the LATAM Group companies will rent three aircraft - and possibly a fourth - under a Wetlease contract with Wamos Air, the Spanish airline that specializes in airplane rental services. Wamos will run two routes while the maintenance procedure is underway: GYE-MAD-GYE of LATAM Airlines Ecuador and SCL-BOG-SCL of LATAM Airlines Group (Wide Body fleet). The Wetlease format includes the rental of Airbus 330 aircraft with pilot and cabin crew, as well as the maintenance and insurance of Wamos. This practice is widespread throughout the industry in order to adjust to temporary capacity issues. This is why we’ve been working with Wamos in recent months to ensure that our safety standards are upheld during the entire Wetlease period. 2. Safety Commitment Safety is the Group’s utmost commitment to our passengers and employees. That is why before we contracted Wamos, LATAM Airlines Group and its affiliates have conducted rigorous audits of the rental aircraft and shall ceaselessly supervise their maintenance and functioning. Wamos also follows the strictest international safety standards and is handling the approvals needed from the aviation authorities in all the countries where is will be temporarily operating. Furthermore, Wamos is a member of IATA, and as a Spanish company the European Aviation Safety Agency (EASA) also regulates it. The IATA Operational Safety Audit (IOSA) has accredited it. 3. The routes 2 In keeping with the LATAM Group’s customer commitment, bear in mind that the chosen routes will continue operating at the same frequency, but with some schedule modifications that are necessary for the maintenance process that Wamos will carry out in Madrid. ● As of March 10th of 2018, Wamos Air will begin operating the GYE-MAD-GYE for LATAM Airlines Ecuador with three weekly trips. The schedule for this route will vary, affecting the Madrid departure time. ● As of April 1st, and subject to approval by the relevant authorities, Wamos Air will start running the two daily trips of the SCL-BOG-SCL route for LATAM Airlines Group. The first aircraft will be put into service on that date and the second will start on April 10th. The flights will keep their current scheduling. 4. On-board experience LATAM has taken several measures to ensure the consistency of the travel experience and that they comply with the Group’s service standards on these flights. The Airbus 330 that will run the GYE-MAD-GYE route of LATAM Airlines Ecuador has 20 lie-flat reclinable seats in Business and 307 seats in Economy without individual screens. The “Wireless streaming” system is being implemented in order to have on-board entertainment. LATAM Airlines Ecuador flight crews will supervise the flight. Initially, and depending upon the aviation authorizations of Ecuador and Spain, the first two GYE- MAD-GYE route flights on March 10th and 12th will be done as Charter flights. This means there will be differences that will impact the customer experience, including departure and arrival at the Madrid Terminal. The Group is taking all measures necessary to safeguard the experience of these passengers and mitigate any impacts that could arise from these changes. As of March 13th, the GYE-MAD-GYE will be run under the Wetlease system. The A330 aircraft that will run the SCL-BOG-SCL routes of LATAM Airlines Group have 19 full-flat bed seats in Business and 268 seats in Economy with individual screens. This means there will be capacity and cabin characteristics that are similar to the aircraft that normally service this route. Under the Wetlease format, there will not be any changes to the airport procedures, scheduling or connection procedures for LATAM or for the one world passengers that usually fly these routes. The LATAM Pass, LATAM Fidelidade and one world frequent flier benefits and mile accumulation will not be affected. The aircraft livery will undergo no changes, retaining the Wamos image. LATAM Airlines Group and its affiliates will communicate these service changes to the affected passengers through the established channels on the proper dates in keeping with the regulations of each country. 3 .
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