Felipe Ballevona

Felipe Ballevona inquired about the reasons behind the slowdown in international traffic observed in October, specifically whether Colombia is a drag, and also asked for any updates on potential share buybacks.

Answer

Roberto Alvo, CEO of LATAM Airlines Group, clarified that Colombia's international operations are too small to significantly impact overall international traffic. He reiterated that softer demand into the U.S. (leisure) is the main factor, with travelers opting for other regions or domestic travel. Regarding buybacks, Mr. Alvo stated the company is near its financial policy targets, and future capital allocation decisions, including buybacks, are board-level, with business growth remaining the primary focus.

Felipe Ballevona inquired about the reasons for a growth slowdown in international traffic in October, specifically asking if Colombia was a contributing factor, and sought an update on any potential future share buyback initiatives.

Answer

CEO Roberto Alvo clarified that LATAM's international operations in Colombia are minor and not impacting overall international traffic. He reiterated that the slowdown was due to softer leisure demand into the U.S., with passengers potentially opting for other regions or domestic travel, but emphasized that it's not a fundamental demand slowdown. He also noted the expected 10-10.5% ASK growth for 2025. Regarding buybacks, Roberto Alvo stated that the company is near financial policy targets, and future capital allocation decisions, including buybacks, are board-level and prioritize business growth.