Latam Airlines Group

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LATAM Airlines Group S.A. Announces The Pricing Of Its Offering Of U.S.$200 Million Of Additional Senior Unsecured Notes Due 2026 At A Yield To Maturity Of 5.979% And A Cash Tender Offer For A Portion Of Its Unsecured Notes Due 2020
July 11, 2019
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Santiago, Chile, July 11, 2019 - LATAM Airlines Group S.A. and its consolidated  subsidiaries (“the Company” or "LATAM Airlines Group") (NYSE: LTM /  IPSA: LTM), the leading airline group in Latin America, announced today that  LATAM Finance Limited (the “Issuer”), an exempted company incorporated in the  Cayman Islands with limited liability and a wholly owned subsidiary of LATAM  Airlines Group S.A., has priced its offering of U.S.$200 million aggregate  principal amount of its 7.000% Senior Notes due 2026 (the “Notes”) at a yield  to maturity of 5.979%. The Notes will be issued as additional notes under the  indenture pursuant to which the Issuer previously issued U.S.$600,000,000  aggregate principal amount of 7.000% Senior Notes due 2026 on February 11, 2019  (the “Initial Notes”). The Notes will be unconditionally and irrevocably  guaranteed by LATAM Airlines Group S.A. (the “Guarantor”). The Notes, which are  senior unsecured obligations of the Issuer and the Guarantor, will mature on March  1, 2026, unless redeemed earlier in accordance with their terms.  Interest on the Notes will be paid on March 1  and September 1 of each year, commencing on September 1, 2019.

  In addition, the Company has  commenced a cash tender offer (the “Tender Offer”) for up to U.S.$300 million  aggregate principal amount of our 7.25% Notes due 2020 (the “Tender Notes”).

  We intend to use the net  proceeds from the sale of the Notes (i) to pay a portion of the consideration  for the Tender Offer and accrued and unpaid interest on the Tender Notes, (ii)  to pay fees and expenses incurred in connection with the Tender Offer and (iii)  the remainder, if any, for general corporate purposes. The remainder of the  Tender Offer consideration will be paid with cash on hand. 

  The Offering is subject to  customary closing conditions, and there are no assurances that the Offering  will be completed. The closing of the Tender Offer is contingent upon the  closing of this Offering. However, the closing of the Offering is not  contingent on any level of participation in the Tender Offer.

  The Notes have not been  registered under the Securities Act of 1933, as amended (the “Securities Act”),  or the securities laws of any other jurisdiction. As a result, they may not be  offered or sold in the United States or to any U.S. persons unless pursuant to  an applicable exemption from, or in a transaction not subject to, the  registration requirements of the Securities Act. The Notes will be offered only  to qualified institutional buyers in accordance with Rule 144A under the  Securities Act and to non-U.S. persons outside the United States under  Regulation S under the Securities Act.

  This communication does not  constitute an offer to sell, or a solicitation of an offer to buy, any  securities. The Offering will be made only by means of the confidential  offering memorandum.

Forward-Looking Statements
This notice  includes and references “forward-looking statements” within the  meaning of the U.S. federal securities laws. These statements may relate to,  among other things, the Company’s business strategy, goals and expectations  concerning its market position, future operations, margins and profitability.

Although the Company  believes the assumptions upon which these forward-looking statements are based  are reasonable, any of these assumptions could prove to be inaccurate and the  forward-looking statements based on these assumptions could be incorrect.

The matters  discussed in these forward-looking statements are subject to risks,  uncertainties and other factors that could cause actual results and trends to  differ materially from those made, projected, or implied in or by the  forward-looking statements depending on a variety of uncertainties or other  factors.
  The Company  undertakes no obligation to update any of its forward-looking statements.

About LATAM  Airlines Group S.A.
  LATAM Airlines  Group is one of the largest airline groups in the world in terms of network  connections, providing scheduled passenger transport service to approximately  141 destinations in 25 countries and cargo services to approximately 148 destinations  in 28 countries, with an operating fleet of 313 aircraft as of March 31, 2019  and multiple bilateral airline alliances. In total, LATAM Airlines Group has approximately  41,000 employees in 26 countries as of March 31, 2019, and transported  approximately 69 million passengers in the year ended December 31, 2018. LATAM  Airline Group's shares are traded on the Chilean Stock Exchanges and the New  York Stock Exchange, in the form of ADRs.