4Q20 LATAM Results Presentation

Fourth Quarter 2020
Results Presentation
March 2021
Fourth Quarter 2020 Highlights of LATAM Group
Operations & Network Cargo Business
 Operated 33% of ASKs compared with the  Revenues increased 27%, though total capacity
same quarter last year decreased 24% in the quarter
 At year end, operations reached 38% of ASKs  Freighter capacity increased 21%
in December  Cargo yields increased 41% year-over-year in
 Operational costs decreased 45% in the fourth the period
quarter
Financial & Chapter 11 Recent Highlights

 Liquidity of approximately US$3 bn (US$1.7 bn  LATAM & Delta Air Lines received final
in cash + US$1.3 bn in undrawn DIP financing approval for JVA in Brazil
facility) as of Dec. 2020  Recognized in 2021 S&P Sustainability
 Financial debt reached US$7.7 bn Yearbook as best airline in region and second in
 Exclusivity period for LATAM to file Plan of the world in terms of ESG practices
Reorganization extended until June 30, 2021  Announcement in March of the conversion of
up to eight B767 aircraft to cargo freighters
 Launch of new digital platform in Brazil, adding
to 2020 roll-out in Chile, Ecuador and Colombia
2
2020 Financial Summary
(US$ Millions) 4Q20 4Q19 Change 2020 2019 Change
Total Operating Revenues 898 2,871 -68.7% 4,335 10,431 -54.8%

Passenger 456 2,478 -81.6% 2,714 9,006 -69.9%
Cargo 355 280 +26.7% 1,210 1,064 +13.7%
Others 87 113 -23.3% 411 361 +13.9%
Total Operating Costs -1,399 -2,520 -44.5% -6,000 -9,689 -38.1%

Fuel -206 -744 -72.3% -1,045 -2,929 -64.3%
Ex-fuel -1,193 -1,776 -32.8% -4,955 -6,760 -26.7%
Operating Income -502 350 nm -1,665 742 nm

Operating Margin -55.9% 12.2% -68.1 p.p. -38.4% 7.1% -45.5 p.p.
Net Income -962 227 nm -4,546 190 nm
EBITDA -102 741 nm -276 2,212 nm

EBITDA Margin -11.4% 25.8% -37.2 p.p. -6.4% 21.2% -27.6 p.p.
Note: In 2020, LATAM recognized US$990 million in restructuring expenses and a US$1,729 million loss due to goodwill impairment, both non-recurring, non-operational expenses. 3
Revenues Breakdown by Point of Sale & Business Unit
Revenues by Point of Sale 20191 Revenues by Point of Sale 20201
Peru Colombia Ecuador

8% 4% 2% Peru Colombia Ecuador
8% 5% 3%
Europe
7% Brazil Europe
39% 9% Brazil
Others
33%
9%
Argentina Others
6% 10%
USA Chile Chile
Argentina USA 16%
10% 15% 4% 13%
-55%
Total operating revenues = US$10,431 million Total operating revenues = US$4,335 million
Cargo Others Others
10% 4% 10%
Cargo
Passenger 28% Passenger
86% 63%
1. Considers passenger and cargo revenues in point of sale distribution. 4

Total Operating Costs Decreased 44.5% in Fourth Quarter, 38.1% in FY
Passenger ASK (millions) Average Number of Employees (thousands) Total Operating Costs (MMUS$)
-31.1%
-67.1% -44.5%
38,405 12,638 41,495 2,520

28,603 1,399
4Q19 4Q20 4Q19 4Q20 4Q19 4Q20
Total Costs US$MM 4Q20 4Q19 Change 2020 2019 Change

Fuel Cost 206 744 -72.3% 1,045 2,929 -64.3%
Wages & Benefits 186 440 -57.8% 962 1,795 -46.4%
Fleet Cost1 570 519 9.8% 1,862 1,915 -2.8%
Others2 437 817 -46.5% 2,131 3,050 -30.1%
Operating Costs 1,399 2,520 -44.5% 6,000 9,689 -38.1%
1) Includes cost of Depreciation & Amortization + Aircraft Maintenance 5

2) Includes cost of Commissions to Agents + Other Rental and Landing Fees + Passenger Services + Other Operating Expenses
Fourth Quarter 2020 Credit Metrics
Financial Debt Position Cash and Equivalents as % of LTM revenues
14.0% 39.0% 50.0%

10.0%
3,054 3,121 -30.0%
2,450 1,300 -70.0%
6,864 7,733 1,696 -110.0%
886 -150.0%
September 2020 December 2020 September 2020 December 2020
Cash (US$ MM) Committed DIP financing
Financial Debt (US$ MM) Lease liabilities (US$ MM) Liquidity
Fuel Hedge (% consumption) Cost of Debt1 as of December 31, 2020

PDP
2.8%
8% Banks Fleet
6% 8% 2.7% WACD
5% 6.9%
4.89%
Bonds
6.9%
1Q21 2Q21 3Q21 4Q21
Source: Financial Statements December 2020 6
1) When considering US$375 million of DIP financing provided by Related Parties, our average cost of debt was 5.44%
Fourth Quarter 2020
Results Presentation
March 2021

4Q20 LATAM Results Presentation

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Fourth Quarter 2020

Financial & Chapter 11 Recent Highlights

(US$ Millions) 4Q20 4Q19 Change 2020 2019 Change

Total Operating Revenues 898 2,871 -68.7% 4,335 10,431 -54.8%

Total Operating Costs -1,399 -2,520 -44.5% -6,000 -9,689 -38.1%

Operating Income -502 350 nm -1,665 742 nm

Net Income -962 227 nm -4,546 190 nm

EBITDA -102 741 nm -276 2,212 nm

Peru Colombia Ecuador

1. Considers passenger and cargo revenues in point of sale distribution. 4

38,405 12,638 41,495 2,520

Total Costs US$MM 4Q20 4Q19 Change 2020 2019 Change

Wages & Benefits 186 440 -57.8% 962 1,795 -46.4%

Fleet Cost1 570 519 9.8% 1,862 1,915 -2.8%

Others2 437 817 -46.5% 2,131 3,050 -30.1%

Operating Costs 1,399 2,520 -44.5% 6,000 9,689 -38.1%

1) Includes cost of Depreciation & Amortization + Aircraft Maintenance 5

14.0% 39.0% 50.0%

Fuel Hedge (% consumption) Cost of Debt1 as of December 31, 2020

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