Press Release

Gate Gourmet and LAN Airlines Sign New Contract

RESTON, VA, January 29, 2008 – Gate Gourmet and LAN Airlines have signed new multi-year contracts covering the city of Madrid, Spain, a contract extension in Lima, Peru, as well as a host of other services, including catering, galley planning and asset management.

Through the new agreement, LAN and Gate Gourmet expanded their long-term relationship to include catering services at LAN's Madrid operation. There, Gate Gourmet expects to cater at least 315,000 meals on an annual basis for LAN's 1,260 scheduled flights. With LAN's projected expansion out of Madrid, this may increase in 2008 to 350,000 meals for 1,452 flights. 

The company also caters approximately 3.5 million meals annually in Lima for LAN, which has extended its catering contract at that location for the next several years.  Reflecting the strong relationship with LAN and the Latin American community, Gate Gourmet recently opened a new kitchen in Lima equipped with a modern infrastructure to ensure efficient operational flow for its customers.

Gate Gourmet will establish its eighth eGate Solutions operating unit in Santiago de Chile to incorporate leading edge technology and innovation to manage LAN's On Board Service supply chain. LAN has signed on to employ eGate Solutions' market-proven inflight planning and asset management suite of services in Latin America. Gate Gourmet's eGate Solutions team is scheduled to have the software package fully operational for LAN by Feb. 1, 2008.

"Taking advantage of eGate Solutions' offering behind the scenes will allow us to sharpen our focus on our customers, bringing them the best travel experience," said Rodrigo Rivera, Managing Director, Catering and On Board Services Provisioning at LAN Airlines.

"We are delighted to deepen our already close partnership with LAN," said Edwin Garcia, President of Gate Gourmet's Latin American region.  "Gate Gourmet is heavily invested in the communities served by LAN, and the expansion of our strategic partnership, with the new eGate Solutions operating unit in Chile, will position us for additional growth opportunities in the region."

LAN Airlines is one of the leading airlines in Latin America. "LAN" makes reference to the consolidated entity that includes LAN Airlines, LAN Express, LAN Peru, LAN Ecuador, and LAN Argentina, as well as LAN Cargo and its affiliates. The LAN Alliance serves 15 destinations in Chile, 12 destinations in Peru, 10 destinations in Argentina, two destinations in Ecuador, 15 destinations in other Latin American countries and the Caribbean, three destinations in the United States, two destinations in Europe and four destinations in the South Pacific, as well as 52 additional international destinations through its various code-share agreements. Currently, the LAN Alliance operates 72 passenger aircraft and 10 dedicated freighters.

LAN Airlines is a member of oneworld (TM), the world's leading global airline alliance. It has bilateral commercial agreements with oneworld partners American Airlines, British Airways, Iberia and Qantas, as well as with Alaska Airlines, AeroMexico, Mexicana, TAM and Korean Air. For more information visit www.lan.com or www.oneworldalliance.com.