São Paulo, March

31, 2008

4Q074Q07 ResultsResults

PresentationPresentation

2

Information and Projection

This notice may contain estimates for future events. These estimates merely reflect the expectations of the Company’s management, and involve risks and uncertainties. The Company is not responsible for investment operations or decisions taken based on information contained in this communication. These estimates are subject to changes without prior notice.

This material has been prepared by TAM S.A. (“TAM“ or the “Company”) includes certain forward-looking statements that are based principally on TAM’s current expectations and on projections of future events and financial trends that currently affect or might affect TAM’s business, and are not guarantees of future performance. They are based on management’s expectations that involve a number of business risks and uncertainties, any of each could cause actual financial condition and results of operations to differ materially from those set out in TAM’s forward-looking statements. TAM undertakes no obligation to publicly update or revise any forwardlooking statements.

This material is published solely for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. Likewise it does not give and should not be treated as giving investment advice. It has no regard to the specific investment objectives, financial situation or particular needs of any recipient. No representation or warranty, either express or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein. It should not be regarded by recipients as a substitute for the exercise of their own judgment.

3

2007 was

a year

of

many

challenges

Macro Economy

Airline Industry

Airlines Brazil

TAM

High volatility (e.g. subprime crisis)

Fuel prices

Scarcity of aircraft, seats, etc due to overall growth in the sector

Conclusion of the “Varig” questionmarkChanges in the governing structure of theindustryCollapse of BRA

Impact of infrastructure on operations

Accident

4

Previousperiod

Currentperiod

J FM AM J J A S OND J F MAM J J AS OND J F MA M J J AS ON D J F8085

9095

100

105110115

120125

130

Domestic Market - Variation(vs previous period)

The domestic market growth reached 12% in 2007 and 13% in February 2008

20072005 2006 2008

Source: ANAC

Accum. market growth 2006

12%

Accum. market growth 2005

19%

Accum. market growth 2007

12%Accum. market

growth 20089.3%

5

We have been domestic market leaders since 2003, reaching 51% in February 2008

33.0%35.8%

48.0% 48.9%43.5%

2003 2004 2005 2006 2007

Domestic Market Share – Feb/08Domestic Market Share – Feb/08

Domestic Market Share (RPKs)Domestic Market Share (RPKs)

Domestic Market Share – 4Q07Domestic Market Share – 4Q07

Varig 3.0%

Outros 7.2%

TAM 48.2%

GOL 41.7%

Varig 3.7%

Outros 7.3%

TAM 50.6%

GOL 38.4%

Source: ANAC

6

The international market (among Brazilian carriers) is recuperating, and grew 50% in February 2008…

Previousperiod

Market

TAM

J F MAM J J A S O ND J F M AM J J A S ON D J F MA M J J A S ON D J F40

60

80

100

120

140

160

180

200

International Market - Variation(vs previous period)

20072005 2006 2008

Source: ANAC

Accum. Marketgrowth 2008

56%

Acum TAM 200641%

Acum TAM 200771%

Acum TAM 200540%

Acum TAM 200871%

Accum. market growth 2005

7% Accum. market decrease 2006

30%Accum. market decrease 2007

5%

7

…with higher growth anticipated for Brazilian carriers due to the unbalance in the bilateral agreements

53.3%

46.7%

53.8%

46.2%

71.5%

28.5%

65.0%

35.0%

2004 2005 2006 2007*0

20

40

60

80

100%

% international traffic

Braziliancarriers

Intlcarriers

* estimates

8

Since July 2006, we are international market leaders among the Brazilian companies

12.0% 14.3%

37.5%

67.5%

18.8%

2003 2004 2005 2006 2007

International Market Share – Feb/08International Market Share – Feb/08

International Market ShareInternational Market Share

International Market Share – 4T07International Market Share – 4T07

Varig 15.4%

TAM 71.5%

GOL 11.8%

Varig 19.7%

TAM 67.3%

GOL 11.2%

Source: ANAC

9

Steady strengthening of our fleetDelivery of 2 A340, 2 A330, 7 A320 and 1 A321 (versus 3Q07)

Redelivery of 3 F100 (versus 3Q07)

BNP Paribas – loan to finance PDP (Pre-Delivery-Payment) for 30 aircraft

Operational efficiency

12.3 block hours per aircraft per day

13.3 block hours per aircraft per day, considering only the operating fleet

Average total load factor of 71.0% in 4Q07

Agreements:Beginning of code-share flights with LAN Group and United Airlines (in November 2007)

4Q07 Highlights (1/2)

10

4Q07 Highlights (2/2)

Strengthening of our networkBeginning of international flights

Montevideo (Uruguay) – November 5

Frankfurt (Germany) – November 30

Madrid (Spain) – December 21

Awards receivedMost Valuable Brands in Brazil - Interbrand

The Most Shareholder-Friendly Company in the sector – Institutional Investor

New branding

11

137147

467

1,285

242

225

537

1,357

4Q06 4Q07

2,037

2,361

0

500

1,000

1,500

2,000

2,500

Gross Revenue (R$ M)

Dom.Pax

Int.Pax

CargoOthers

Domestic passenger revenue grew 6%

RPK increased 10%

ASK increased 9%

International passenger revenue grew 15%

RPK increased 65%

ASK increased 72%

Cargo revenue grew 53%

Other revenue grew 76%

Our gross revenue increased 16%...

16%

12

...but total RASK reduced 7.3%...

RASK Total 1

RASK Scheduled Domestic2

LF Scheduled Domestic - %

Yield Scheduled Domestic3

RASK Scheduled Intl2

LF ScheduledInternational -

%

Yield Scheduled Intl3

Yield Scheduled Intl3

(cents of USD)

4Q064Q06

19.28

17.53

69.7

26.42

16.60

73.7

22.58

10.56

3Q073Q07

17.01

15.43

66.3

24.42

12.52

70.8

17.69

9.62

4Q074Q07

17.87

16.69

70.4

24.90

11.26

71.0

15.88

8.96

4Q07

vs 4Q06

4Q07

vs 4Q06

-7.3%

-4.8%

0.7 p.p.

-5.8%

-32.2%

-2.7 p.p.

-29.7%

-15.2%

4Q07

vs

3Q07

4Q07

vs

3Q07

5.1%

8.2%

4.1 p.p.

2.0%

-10.1%

0.2 p.p.

-10.2%

-6.8%

R$ Cents

1 Includes charter, cargo and Other revenues, net of taxes2 Net of taxes3 Gross of taxes

13

CASK excl-fuel

4Q06 4Q07

16.98 17.22

0

5

10

15

20

Total CASKBR GAAP - R$ cents

4Q07 vs 4Q06

4.1%

1.4%

...while total CASK increased 1.4%...

14

...reducing the spread (RASK-CASK)...

4Q06 4Q070

5

10

15

20

RASK/CASK (R$ Cents)BR GAAP

RASKCASK

EBITMargin

Spread

11.9%

2.3

3.6%

0.7

15

4Q06 4Q07

437

353

0

100

200

300

400

500

EBITDAR - R$ M

-19%

23%

15%

...impacting our margins in BR GAAP...

Margin over net revenue

4Q06 4Q07

232

83

0

50

100

150

200

250

300

EBIT - R$ M

-64%

12%

4%

4Q06 4Q07

136

50

0

50

100

150

Net Income - R$ M

7%

2%

-63%

BR GAAP

16

4Q06 4Q07

372

313

0

100

200

300

400

EBITDAR - R$ M

19%

14%

...and in US GAAP...

4Q06 4Q07

229

90

0

50

100

150

200

250

300

EBIT - R$ M

-61%

12%

4%

4Q06 4Q07

166

119

0

50

100

150

200

Net Income - R$ M

9%

5%

-28%

US GAAP

Margin over net revenue

-16%

17

4Q06 4Q07

0.90

0.33

Earnings per shareBR GAAP (R$)

4Q06 4Q07

1.10

0.79

Earnings per share US GAAP (R$)

-63%

...reducing our earnings per share

-29%

18

BR GAAP Leasing IncomeTaxes

Others US GAAP

50

103

-25-10

119

0

50

100

150

200

Net Profit Reconciliation to US GAAP

44 aircrafts are reclassified as capital

leases as per SFAS nº 13

44 aircrafts are reclassified as capital

leases as per SFAS nº 13

The main difference between BR and US GAAP is the accounting treatment of aircraft leasing

19

In an intra-year analysis we can see a strong recovery in the domestic market...

1Q07 2Q07 3Q07 4Q07

14.5

22.0

15.3

22.3

15.4

24.4

16.7

24.9

0

5

10

15

20

25

30

Domestic - RASK and YieldR$ Cents

0

20

40

60

75

Domestic Load Factor - %

69% 72%66%

70%

RASK Yield Load Factor

20

...increasing the total spread (RASK-CASK)

RASK

CASK

1Q07 2Q07 3Q07 4Q0715

16

17

18

RASK/CASK (R$ Cents)BR GAAP

EBITMargin

Spread

4.8%

0.8

1.7%

0.3

2.8%

0.4

3.6%

0.7

21

Our balance sheet remains solid

R$ million - BRGAAP 2007 2006 2005 2004

Cash 2,607 2,453 995 297

Short-Term Debt 1,005 363 216 204

Long-Term Debt 1,345 895 425 399

Total Debt 2,350 1,258 641 603

Shareholder's Equity 1,492 1,449 760 191

Capitalization 2,837 2,344 1,185 590

Aircraft and flight equipment leases 6,166 5,032 4,389 4,557

Total Debt Adjusted 8,516 6,290 5,030 5,160

Total Capitalization Adjusted 9,003 7,376 5,574 5,147

Debt / Capitalization 83% 54% 54% 102%

Adjusted Debt / Adjusted Capitalization 95% 85% 90% 100%

Adjusted Net Debt / Adjusted Capitalization 66% 52% 72% 94%

22

Even with the appreciation of the Real, revenue in foreign currencies increased

28%

72%

31%

69%

4Q06 4Q070

20

40

60

80

100%

Revenue(Passenger + Cargo)

DomesticInternational

Dollarexchangerate

DomesticInternational

2.138

72%28%

1.771

62%38%

Approximately 50% of our costs

(including fuel) are exposed to foreign

currencies

Approximately 50% of our costs

(including fuel) are exposed to foreign

currencies

-17%

ASK proportion

23

Stocks performance since follow-on

www.tam.com.br/irwww.tam.com.br/ir

Stocks performance

-50%

50%

150%

250%

350%

IPOJun/14/2005

Follow-onMar/10/2006

12/28/2006 12/28/2007

TAMM4 TAMN IBOV DJBR20

VariationTAMM4 = 56%

IBOV = 21%TAMN = 62%

DJBR20 = 12%

VariationTAMM4 = 56%

IBOV = 21%TAMN = 62%

DJBR20 = 12%

VariationTAMM4 = 133%

IBOV = 43%

VariationTAMM4 = 133%

IBOV = 43%

VariationTAMM4 = -35%

IBOV = 44%TAMN = -22% DJBR20 = 63%

VariationTAMM4 = -35%

IBOV = 44%TAMN = -22% DJBR20 = 63%

24

On January 30, 2008 we announced a share buy- back program

The program has the following characteristics

Shares will be held in treasury and subsequently cancelled or transferred,

without reducing the company's capital stock.

The acquisition will respect the limit of up to 4,000,000 preferred shares,

equivalent to 5.56% of the total of this class of shares in circulation

Will remain in effect for a maximum period of 365 days

UBS Pactual Corretora and Credit Suisse will mediate the operations

We already started the purchase

25

Average domestic market share above 50%Average domestic load factor at approximately 70%Aircraft utilization per day (block hour) higher than 13 hoursReduction of 7% in total CASK ex-fuel in BR GAAP yoyOpportunity in the international market

Third frequency to ParisInauguration of two new international long haul frequencies

Market demand growth from 10% to 15%(in RPK terms)

2007 Guidance2007 Guidance

TAMTAM

MarketMarket

Our guidance for 2007, released in the end of 2006

11.9%

2007 Realized2007 Realized

•

Since January•

Milan (Mar)•

Frankfurt (Nov)•

Madrid (Dec)

48.9%

70.5%

12.6

5.2%

26

2006 Actualreduction

Actual 2007 Block hours InternationalDestinations

2007Adjusted

11.86

-0.6211.25

-0.14-0.08

11.02

10.0

10.5

11.0

11.5

12.0

CASK ex-fuel(R$ Cents)

CASK reduction reached 74% of the target due to block hours and additional international destinations

-5,2%

BR GAAP

-7,1%

27

Maintain leadership in both domestic and international markets

ASK growth of

Domestic 14%

International 40%

Average load factor at approximately 70% overall

Reduction of 7% in total CASK ex-fuel in BR GAAP yoy

Three additional international destinations or frequencies in 2008

Domestic market demand growth from 8% to 12% (in RPK terms)

2008 Guidance2008 Guidance

We have a positive outlook for 2008

TAMTAM

MarketMarket

28

3

14

88

10

4

18

101

4

20

104

4

22

110

4

24

113

8

24

115

2007 2008 2009 2010 2011 2012

115123

128136

141147

0

50

100

150

Total fleet

Our growth plan is supported by a flexible fleet plan

B777 MD11 Airbus wide-body Airbus narrow-body F100

Since dec/07 we

are monofleet in

domestic operations

Since dec/07 we

are monofleet in

domestic operations

29

To be the preferred airline company

Excellence in Technical-

Operational

Excellence in Service

Excellence in

Management

We signed a commitment

PASSION FOR AVIATIONPASSION FOR AVIATION

30

São Paulo, March

31, 2008

4Q074Q07 ResultsResults

PresentationPresentation