TAM Surpasses Estimates of Expansion into the International Market

SAO PAULO, Brazil, Aug. 27 /PRNewswire-FirstCall/ -- TAM (Bovespa: TAMM4 and NYSE: TAM) is announcing an international market growth plan that surpasses estimates announced to the market at the end of 2007.

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In South America, in addition to the direct flight between Brasilia and Buenos Aires already in operation, TAM will initiate a flight between Sao Paulo and Lima (Peru) before the end of the year. For long distance routes, we have already announced the start of flight service between Rio de Janeiro and Miami, departing from Belo Horizonte starting on September 19.

Before the end of the year, we will be initiating two flights that are now in the final phase of approval before ANAC. Daily flights between:

-- Rio de Janeiro and New York, and

-- Sao Paulo and Orlando

To sustain our plan for international growth, we are adding two Boeing 767-300 aircraft to our fleet plan. With this we will finish 2008 with 125 aircraft, as indicated in the following table:

                                       2008   2009   2010   2011   2012
    B777                               4      4      4      4      8
    B767                               4      4      4      4      4
    Airbus wide-body                   16     18     20     22     22
    Airbus narrow-body                 101    104    110    113    115
    Total Fleet                        125    130    138    143    143

In this way, we will be surpassing the estimates previously announced to the market, maintaining our strategy of selective growth in the international market and serving the main destinations sought by Brazilians. This growth is a response to the opportunity currently available to Brazilian companies that fly to international destinations.

About TAM:

TAM (www.tam.com.br) has been the domestic market leader since July of 2003, and closed July 2008 with 51.1% of market share. The company flies to 42 destinations in Brazil. Through business agreements signed with regional companies, it reaches 79 different destinations in Brazil. TAM's market share among Brazilian companies that operate international flights stood at 72.5% in July. Operations abroad include TAM flights to 16 destinations in the United States, Europe and South America: New York and Miami (USA), Paris (France), London (England), Milan (Italy), Frankfurt (Germany), Madrid (Spain), Buenos Aires and Bariloche (Argentina), Santa Cruz de la Sierra (Bolivia), Santiago (Chile), Asuncion and Ciudad del Este (Paraguay), Montevideo (Uruguay), and Caracas (Venezuela). It has code-share agreements that make possible the sharing of seats on flights with international airlines, enabling passengers to travel to 64 other destinations in the U.S., Europe and South America.