
TAM Airlines provides scheduled air transportation in both the domestic market and the international market through its operating subsidiaries TAM Linhas Àereas and Transportes Aéreos del Mercosur S.A. (TAM Mercosur). According to data provided by DAC, the Company is leading airline in the domestic market, with a 46.1% share of this market in December 2005 as measured in RPKs.
TAM Airlines offers flights throughout Brazil, serving the largest number of destinations in Brazil of all Brazilian airlines, and operates scheduled passenger and cargo air transport routes to 46 cities, in addition to a further 27 domestic destinations that the Company serves through regional alliances with other airlines.
Tam Airlines serves as well 11 international destinations and provides connections to other destinations through commercial agreements with American Airlines Inc. (American Airlines), Air France-KLM S.A. (Air France) and certain other airlines. TAM offers convenience to its passengers by offering frequent and direct flights to and from all major domestic airports at competitive prices. In 2005, the Company carried approximately 18.2 million passengers on domestic flights and approximately 1.8 million passengers on international flights. At December 31, 2005 TAM averaged 636 take-offs per day.
Tam Airlines in their constant growing primarily caters to the business market but also operates in the leisure and cargo markets, which complement its primary operations and allows TAM to maximize the use of its aircraft. TAM currently operates with a fleet of 84 leased aircraft, consisting primarily of Airbus models A330, A320 and A319, as well as Fokker model 100 aircraft. The Company currently has 9,669 employees.

