LAN Airlines and TAM shares fall as regulator proceeds with review

LAN Airlines and TAM announced their shares fell to their lowest levels in at least seven months after a Chilean antitrust regulator decided to proceed with a review of their planned merger to create LATAM (Bloomberg/Reuters, 19-Mar-2011). LAN reportedly declined 1.7% to USD24.7 and TAM 3.8% to USD19. The regulator reportedly stated the probe would take six to nine months. LAN stated the investigation could delay the deal, stating even if it were approved by the end of 2Q2011, the companies would not be able to merge before 4Q2011.