South American carriers LAN and TAM have proposed a possible merger between the two airlines, which would result in the LATAM Airlines Group. If the merger goes through, and it’s far from a done deal, LAN and TAM would retain their brand names and continue to operate as separate airlines and keep their headquarters in Sao Paulo (TAM) and Santiago (LAN). If the two airlines merge, LATAM will become the largest carrier in South America and the 11th largest worldwide.

Currently, TAM is a member of Star Alliance and LAN participates in oneworld and the airlines have not announced which alliance they would pick. In a customer FAQ list on a Web site about the merger, we found this statement: “We deeply value the alliance relationships we have built. In the short term, there will be no changes regarding our alliance partners. Continue to book and fly on alliance partners as you would today. After the transaction is completed, LATAM would evaluate the best alliance options for the combined carrier group.” To read more about the possible merger, visit http://www.latamairlines.com