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TAM expands as domestic demand soars

Brazilian carrier TAM Airlines is expanding its fleet on the back of rising demand for domestic flights across the vast country.

The airline is to add two Airbus A330s, two A321s and three A319s to its fleet to meet domestic demand which is forecast to soar by as much as 18% this year.

Chief executive Líbano Barroso said: “In 2010 we observed a change in passenger profile in Brazil, with the migration of travellers from buses to airlines, especially on journeys of more than 800 kilometres.

“We believe that much of the growth in the coming years will come from middle class Brazilians that will fly for the first time.” TAM expects domestic load factors in 2011 will range from 67.5% to 70%, while international loads are forecast to average 83%.

Historically, growth in demand in the Brazilian domestic aviation market has a strong correlation with GDP growth, the airline said.

International attention is focusing on the country as it prepares to host the 2014 football World Cup and the 2016 Olympic Games in Rio de Janeiro.

 
 

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