LAN Airlines is parting company with its Australian general sales agent, World Aviation Systems (WAS), and establishing its own Asia regional office in Sydney.
WAS has represented the carrier in the local market for 14 years and will continue to work with LAN in New Zealand.
WAS general manager Kaylene Shuttlewood confirmed the split to Travel Today this morning with the contract set to finish at the end of March.
"LAN is going it alone but only in Australia," she said. "It will help support their growth in the Asia region and is all part of their merger with TAM."
Around 15 WAS staff work on the LAN account with several thought likely to be recruited by the airline.
A joint statement said LAN will move to a "self-handling model" from April 1.
"LATAM Airlines Group will establish an Asia Pacific Regional Office in Sydney to support its expansion as a result of LAN Airlines' growth in Australia and the larger commerial operations in Asia following the merger with TAM Airlines," it said.
"LAN acknowledges World Aviation Systems as a great business partner contributing as an integral factor in the growth of LAN over the past 14 years.
"World Aviation Systems will contine to represent LAN, as part of LATAM Airlines Group until March 31 in Australia and will continue to represent LAN as the GSA in New Zealand."
