LATAM sees USD215m in merger synergies to-date, expecting USD300m in synergies in 2013

LATAM Airlines Group achieved (11-Nov-2013) USD215 million to-date in LAN Airlines-TAM Airlines merger synergies, and is expecting to achieve USD300 million in synergies in 2013 and USD600-700 million overall by its target of Jun-2016. Synergy measures include "cost reduction and efficiency initiatives" focused on reducing fuel consumption, reducing cost per ASK by 4.2% year-on-year in 3Q2013, which was also achieved by a 6.5% decline in average fuel price paid per gallon. LATAM also reduced its headcount by 0.7% year-on-year as of Sep-2013, mostly at TAM, with ex-fuel cost per ASK-equivalent declining 1.4% year-on-year in 3Q2013. [more - original PR]