UNITED STATES
  SECURITIES AND EXCHANGE COMMISSION
  Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN ISSUER
  PURSUANT TO RULE 13a-16 OR 15d-16 OF
  THE SECURITIES EXCHANGE ACT OF 1934

For the month of April 2004

(Commission File No. 1-14728)

Lan Chile S.A.
  (Translation of registrant's name in English)

Avenida Americo Vespucio Sur 901
  Renca,
  Santiago, Chile
  (Address of Principal Executive Offices)

(Indicate by check mark whether the registrant files or will file annual
  reports under cover of Form 20-F or Form 40-F.)

Form 20-F X Form
  40-F _____

(Indicate by check mark whether the registrant by furnishing
  the
  information contained in this form is also thereby furnishing the
  information to the Commission pursuant to Rule 12g3-2(b) under the
  Securities Exchange Act of 1934.)

Yes ____ No X





---

# FOR IMMEDIATE
  RELEASE

# 

|CONTACTS IN CHILE
      Alejandro de la Fuente - Chief Financial Officer 
      Andres Bianchi - Head of Investor Relations
      abianchiu@lanchile.cl
      Tel: (56-2) 565-3944/3947 | CONTACTS IN NEW YORK
      Maria Barona/Melanie Carpenter 
      lanchile@i-advize.com 
      i-advize Corporate Communications, Inc. 
      Tel: (212) 406-3690
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------

# 

# LAN GROUP
  REPORTS US$48.1 MILLION IN
  NET INCOME FOR THE FIRST QUARTER 2004

Santiago, Chile, April 22,
  2004  LanChile S.A., (LAN, the Group or the
  Company) (Santiago Stock Exchange: LAN / NYSE: LFL) one of Latin Americas
  leading passenger and cargo airline groups, reported today its consolidated
  financial results for the first quarter ended March 31, 2004. All figures were
  prepared in accordance with generally-accepted accounting principles in Chile
  and are expressed in U.S dollars.

---

HIGHLIGHTS

          LAN
  reported a record US$48.1 million in net income for the first quarter with a
  9.8% net margin. This is more than twice the US$21.6 million earned in the same
  quarter of 2003 and is the best quarterly result in the Companys history.

          Operating
  income amounted to US$63.0 million with an operating margin of 12.8%. Operating
  income grew 140% as compared to 2003, and operating margins increased 6.2 points.
  The Groups operating result is also the best in its history.

          Operating
  revenues grew 24.3% to US$491.9 million. Passenger revenues grew 29.8% due to
  a 21.4% increase in traffic and a 6.9% improvement in yields. Cargo revenues
  rose 20.9% as traffic grew 11.4% and yields increased 8.6%. Overall, revenues
  per ATK increased 13.2%.

          LAN
  continues to maintain a healthy financial position. Cash and cash equivalents
  nearly doubled from US$135 million in 2003 to US$257 million in March 2004.
  The Company remains free of short-term debt with nearly all of its long-term
  finances related to aircraft assets.

          On
  March 11th, Fitch Ratings affirmed LANs investment grade credit
  rating and improved the outlook on this rating from negative to stable. LAN
  continues to be one of the few investment grade airlines in the world.

          On
  April 8th, Pablo Piñera resigned as a member of the Companys
  Board of Directors after being appointed to a senior post on the Chilean Ministry
  of Transport, Telecommunications and Public Works. Mr. Piñeras
  replacement is pending the nomination of a new Board of Directors at the Annual
  Shareholders Meeting scheduled for April 30, 2004.

---



---

# Financial and
  Strategic Review

LAN reported net income of US$48.1
million for the first quarter of 2004. This result reflected a significant increase over
the US$21.6 million earned in the same period of 2003 and is the highest quarterly result
in Company history. LAN also reported unprecedented operating and net margins of 12.8% and
9.8%, respectively. The Group delivered this outstanding performance even as demand
remained depressed compared to historical levels and as fuel prices remained at abnormally
high levels. LAN successfully responded to these challenges by fully leveraging its unique
passenger/cargo business mix, its ability to adjust capacity effectively, and its
efficient cost-structure. Moreover, LAN continued to advance its long-term strategic plans
aimed at strengthening its route network, expanding its fleet, and improving its
positioning for continued growth and profitability.

Operating income for the first quarter
reached a record US$63.0 million, a 139.8% improvement over last years US$26.3
million. This growth was driven by strong revenue performance, which together with careful
cost management, led to a 6.2-point increase in operating margins to 12.8%.

Operating revenues grew 24.3% year
over year as a 29.8% increase in passenger revenues and a 20.9% increase in cargo
revenues, fully offsetting a 1.6% drop in other revenues. Revenue growth partially
reflected a low comparison base given the impact of the war in Iraq in 2003.

Passenger revenues, amounting to
US$292.3 million, grew as a result of a 21.4% increase in traffic and a 6.9% improvement
in yields. Traffic increased as load-factors improved to a record 73.9%, even as the
Company increased capacity 11.7%. LAN PERU added new routes out of its regional hub in
Lima, and LAN ECUADOR continued to capitalize on the routes launched in mid-2003 to the
United States, Europe and Latin America. Other capacity was added on specific routes based
on the recovery of demand at certain points-of-sale and competitive opportunities.
Improved segmentation on international routes, a recovery in premium traffic, and the
impact of a stronger Chilean peso on Chilean domestic fares all helped improve yields.
Overall, the combination of improved yields and load-factors led to a 16.2% improvement in
revenues per ASK.

Cargo revenues, which amounted to
US$169.7 million and represented 34.5% of total revenues, grew due to an 11.4% increase in
traffic and an 8.6% increase in yields. Traffic growth reflected a stronger competitive
position and improved demand. In general, while demand on southbound routes to Argentina,
Brazil and Chile has continued to recover, northbound demand remains strong. Increased
yields mainly reflected the Companys cargo fuel surcharge and higher average fares.
As a consequence, revenues per ATK increased 8.7%.

Operating costs increased 16.1% as
system capacity increased 11.6%. During the quarter the Group faced cost pressures from
three main sources. Higher fuel prices led to US$4.8 million in additional expenses
despite a strong comparison base with last years already inflated prices. A 23%
appreciation of the Chilean peso drove higher costs, especially for personnel related
items. Finally, sales growth led to increased commissions and other sales related
expenses. Improved asset utilization, lower aircraft rental expenses, and a broader
revenue base partially offset these cost pressures. During the quarter, LAN continued to
achieve extremely high aircraft utilization rates with its long-haul passenger and cargo
aircraft flying in excess of 15 hours per day. The Company also continued to take
advantage of reduced lease expenses, which were re-negotiated in the first quarter of
2003. Overall, costs per ATK increased 4.6%, while cost per ATK excluding the effect of
fuel prices rose 3.3%.

Positive results and vigorous cash
generation have enabled LAN to further strengthen its financial position. By the end of
the quarter, the Company held US$257 million in cash and cash equivalents, nearly twice
the amount it had at the same time on the previous year. The Group continues to hold no
short-term debt and nearly all long-term debt is related to aircraft assets and features
long-repayment profiles and low interest rates. Additionally, the Company has hedged
approximately 40% of its fuel requirements for the rest of the year. All these attributes
led LANs investment-grade to be affirmed in March, confirming the Group as one of
the very few airlines in the world to have such a rating.

LAN has also continued advancing its
long-term strategy. On March 23rd, its new corporate image, based on the LAN
alliance concept, was launched. As of March 2004, all of the Groups passenger
affiliates adopted the LAN brand. In the future, all of the Companys aircraft will
feature a new, common livery. This change will support the Companys commitment to
provide seamlessly consistent, world-class service across all of its alliance operations,
and will also increase the flexibility and efficiency of the Companys marketing
efforts.

During the quarter, LAN PERU broadened
its network by launching new regional operations. Now, LAN PERU offers service to
Santiago, Buenos Aires, Quito, Guayaquil, Caracas, Bogota, and Mexico City from its Lima
hub. These new routes provide passengers with an unprecedented amount of connections,
facilitating intra-Latin American travel and allowing LAN to increase aircraft
utilization.

The Company continued its fleet
expansion with the delivery of its twelfth Boeing 767-300 passenger aircraft. This
aircraft, incorporated under an operating lease, joined the Companys operating fleet
this week and will enable LAN to increase service on long-haul routes. In the cargo
business, the Company has also expanded its freighter capacity by operating up to five
wet-leased aircraft during the quarter. Furthermore, in April the Company started
negotiations with Boeing regarding the acquisition of two new Boeing 767-300F freighters.
These aircraft, which the Company expects to be delivered in 2005, would significantly
enhance the Groups freighter capacity.

LANs outstanding first quarter
results demonstrate an ability to respond to challenges and fully capitalize on
opportunities. More importantly, this quarters performance is not an isolated
success. The Company has continuously improved its performance and, as a consequence, has
delivered four consecutive record-setting quarterly results, which have led to the
achievement of a symbolic milestone. For the first time in history, LAN earned more than
US$100 million for a 12-month period. This highlights the strength of LANs strategy
and the resilience of the Companys business model. The fact that this has been
achieved in a period of significant challenges and major losses for the airline industry
sets LAN apart from its competitors and establishes its unprecedented position for the
future. In order to take advantage of this, LAN has continued advancing its long-term
plans focusing on broadening its revenue base, leveraging growth opportunities, improving
customer satisfaction, and increasing efficiency. LAN expects these plans will consolidate
its position as Latin Americas leading airline, increase its profitability, and
continue creating value for its shareholders.

# Consolidated
  First Quarter Results

For the first quarter of 2004, the
Company reported US$48.1 million in net incomecompared to US$21.6 million for the
same period of 2003. Operating incomeamounted to US$63.0 million compared to
US$26.3 million in 2003.

Total operating revenuesamounted to US$491.9 million, a 24.3% increase compared with the first quarter of
2003. This reflected a 29.8% increase in total passenger revenuesto US$292.3
million, a 20.9% increase in cargo revenuesto US$169.7 million, and a 1.6%
decrease in other revenuesto US$29.9 million.

Passenger revenues improved due to a
21.4% increase in traffic and a 6.9% increase in yields. Traffic growth outpaced an 11.7%
capacity increase, leading to a 5.9-point increase in load-factor to 73.9%. Traffic growth
included a 1.9% increase in domestic traffic and a 27.1% increase in international
traffic. Yields grew as the impact of a 7.4% increase in average trip lengths was offset
by better segmentation, higher premium traffic, and improved domestic yields due to a
stronger Chilean peso.

Cargo revenues grew due to an 11.4%
increase in traffic and an 8.6% improvement in yields, measured in RTKs. Yields rose
primarily due to an improved competitive environment and the application of a higher fuel
surcharge. Growth in cargo traffic slightly outpaced an 11.3% increase in capacity,
resulting in a 0.1-point increase in cargo load factors to 66.4%.

Other revenues decrease 1.6% as
reduced aircraft lease revenues were partially offset by higher on-board sales and courier
sales in Chile.

Total operating expenses
increased 16.1% during the quarter as capacity, measured in system ATKs, increased 11.6%.
Per unit (ATK) costs (which include total operating expenses as well as net financing
costs) increased 4.6%. Excluding the impact of higher fuel prices, per unit costs
increased 3.3%. Wages and benefits increased 28.6% due to the impact of a stronger Chilean
peso on domestic wages, increases in headcount, and higher bonus payments. Fuel costs rose
21.4% due to a 6.1% increase in prices and a 14.5% increase in consumption. (During the
first quarter of 2004, the Company recorded a US$7.3 million fuel hedging gain compared to
a US$6.9 million gain in 2002, which are recorded as non-operating gains/losses).
Commissions to agents grew 24.6% due to the 26.4% increase in traffic (passenger and
cargo) revenues. As a percentage of traffic revenues, commissions to agents decreased 0.2
percentage points to 14.3% as lower average passenger commissions offset increased average
cargo commissions. Depreciation and amortization expenses increased 6.7% mainly due to the
changes in depreciation policies implemented during the first half of 2003. Other rental
and landing fees increased 8.2% as higher landing charges in specific international
airports and increased wet-lease and allotment expenses were offset by lower insurance
expenses. Passenger service expenses increased 30.9% due to increased passenger traffic,
changes in the passenger mix, and improvements in service. Aircraft rentals declined 15.6%
as the incorporation of new aircraft was fully offset by the reduction of lease rates
during the first quarter of 2003. Maintenance expenses increased 18.7% due to increased
operations and the net effect of a one-time US$1.3 million reduction of expenses of in
2004 related to adjustments in provisions related to the return conditions of leased
aircraft and a one-time US$2.5 million reduction in expenses in 2003. Finally, other
operating expenses increased 20.7% due to increased sales related expenses and increased
training to support future capacity growth.

Operating margins for the
quarter increased 6.2 points to 12.8%. Total non-operating results for thefirst
quarter amounted to a US$4.4 million loss compared to a US$0.2 million loss in 2003. While
interest income increased 73.6% due to higher cash balances, interest expenses decreased
6.6% due to lower interest rates and a reduction in average debt. In the miscellaneous net
line, the Company recorded a US$2.8 million gain compared to a US$8.6 million gain in
2003. In 2004 this included a US$7.3 million fuel hedging gain (compared to a US$6.9
million gain in 2003) as well as a US$3.4 million foreign-exchange loss (compared to a
US$0.3 million loss in 2003). Net margins improved 4.3 points from 5.5% in 2003 to 9.8% in
2004.

# Recent Events

LAN PERU launches
  new routesOn February 6th,
  LAN PERU expanded its operations and further consolidated Lima as a key hub
  for regional travel. By quarter-end, LAN PERU offered service from Lima to Santiago,
  Buenos Aires, Guayaquil, Quito, Bogota, Caracas, and Mexico City. These operations
  dramatically expanded alternatives for intra-regional travel and positioned
  LAN PERU as Perus principal international airline.

Fitch Ratings
  Affirms LAN as Investment Grade and upgrades Outlook to StableOn March 11th,
  Fitch Ratings affirmed LANs BBB- credit rating and upgraded the Companys
  rating outlook from Negative to Stable. According to Fitch, LanChiles
  investment grade rating is supported by its ability to maintain profitability
  while operating in an extremely challenging environment. Fitch highlighted the
  Companys ability to carefully manage capacity, control costs and improve
  aircraft utilization. In addition, Fitch highlighted LanChiles effective
  business model, fleet flexibility, solid financial profile, strong liquidity,
  and improved credit protection measures.

LAN launches
  new brand and corporate imageOn March 23rd,
  a new corporate image, based on the LAN alliance concept, was launched. The
  alliance comprises all of the Companys regional affiliates. Beginning
  in March, all of the members of the alliances will be branded under the new,
  common LAN alliance image, highlighting the delivery of consistent world-class
  service. The Company will implement this change gradually and expect it to be
  finalized by mid-2005.

Pablo Piñera
  resigns from LANs Board of DirectorsOn April 8th,
  Pablo Piñera Echenique resigned as a member of the Board after his appointment
  to a senior position in the Chilean Ministry of Transport, Telecommunications,
  and Public Works and Infrastructure. Mr. Piñera replacement is currently
  pending the Companys Annual Shareholder Meeting that is scheduled to take
  place on April 30th.

---

|                                                                   |  |                                          |      |                |  |              
|------------------------------------------------------------------ |  | ---------------------------------------- | ---- | -------------- |  | -------------
|LanChile
      S.A.                                                |  |                                          |      |                |  |              
|Consolidated
      Income Statement (in thousands of U.S. Dollars) |  |                                          |      |                |  |              
|                                                                  
|                                                                  
|                                                                  
|                                                                   |  | For
        the Three-Month Period ended
|                                                                   | 
|                                                                   |  | March
      31                           |      |               
|                                                                   |  | 2004                                     | 2003 | %
      Change
|                                                                   |  |                                         
|                                                                  
|REVENUES                                                           |  |                                          |      |                |  |              
|Passenger                                                          |  | 292,303                                  |      | 225,109        |  | 29.8%        
|Cargo                                                              |  | 169,739                                  |      | 140,389        |  | 20.9%        
|Other                                                              |  | 29,858                                   |      | 30,347         |  | -1.6%        
|                                                                  
|TOTAL
      OPERATING REVENUES                                     |  | 491,900                                  |      | 395,845        |  | 24.3%        
|                                                                  
|EXPENSES                                                           |  |                                          |      |                |  |              
|Wages
      and Benefits                                           |  | (67,150)                                 |      | (52,222)       |  | 28.6%        
|Aircraft
      Fuel                                                |  | (82,952)                                 |      | (68,318)       |  | 21.4%        
|Commissions
      to Agents                                        |  | (66,076)                                 |      | (53,026)       |  | 24.6%        
|Depreciation
      and Amortization                                |  | (19,416)                                 |      | (18,199)       |  | 6.7%         
|Other
      Rental and Landing Fees                                |  | (66,962)                                 |      | (61,861)       |  | 8.2%         
|Passenger
      Services                                           |  | (11,608)                                 |      | (8,867)        |  | 30.9%        
|Aircraft
      Rentals                                             |  | (32,623)                                 |      | (38,644)       |  | -15.6%       
|Aircraft
      Maintenance                                         |  | (28,200)                                 |      | (23,767)       |  | 18.7%        
|Other
      Operating Expenses                                     |  | (53,940)                                 |      | (44,678)       |  | 20.7%        
|                                                                  
|TOTAL
      OPERATING EXPENSES                                     |  | (428,927)                                |      | (369,582)      |  | 16.1%        
|                                                                  
|OPERATING
      INCOME (LOSS)                                      |  | 62,973                                   |      | 26,263         |  | 139.8%       
|                                                                  
|OPERATING
      MARGIN                                             |  | 12.8%                                    |      | 6.6%           |  | 6.2
      pp.
|                                                                  
|OTHER
      INCOME ( EXPENSE )                                     |  |                                          |      |                |  |              
|Interest
      Income                                              |  | 2,192                                    |      | 1,263          |  | 73.6%        
|Interest
      Expenses                                            |  | (9,393)                                  |      | (10,056)       |  | -6.6%        
|Miscellaneous-Net                                                  |  | 2,806                                    |      | 8,595          |  | -67.4%       
|                                                                  
|TOTAL                                                              |  | (4,395)                                  |      | (198)          |  | NM           
|                                                                  
|INCOME
      BEFORE MINORITY INTEREST                              |  | 58,578                                   |      | 26,065         |  | 124.7%       
|Minority
      Interest                                            |  | 210                                      |      | 185            |  | 13.5%        
|                                                                  
|INCOME
      (LOSS) BEFORE INCOME TAXES                            |  | 58,788                                   |      | 26,250         |  | 124.0%       
|Income
      Taxes                                                 |  | (10,666)                                 |      | (4,639)        |  | 129.9%       
|                                                                  
|NET
      INCOME (LOSS)                                            |  | 48,122                                   |      | 21,611         |  | 122.7%       
|                                                                  
|NET
      MARGIN                                                   |  | 9.8%                                     |      | 5.5%           |  | 4.3
      pp.
|                                                                  
|                                                                  
|                                                                  
|Shares
      Outstanding                                           |  | 318,909,090                              |      | 318,909,090    |  |              
|Earnings
      per share                                           |  | 0.15                                     |      | 0.07           |  | 122.7%       
|Earnings
      per ADR                                             |  | 0.75                                     |      | 0.34           |  | 122.7%       
|                                                                  

---



|LanChile S.A.                                  |                                          |         |                 
|---------------------------------------------- | ---------------------------------------- | ------- | ----------------
|Consolidated Operating
        Statistics      |                                          |         |                 
|                                               |                                          |         |                 
|                                               |                                          |         |                 
|                                               | For
        the Three-Month Period ended
|                                               | March
        31                         |        
|                                               |                                          |        
|                                               | 2004                                     | 2003    | % Change        
|                                               |                                         
|Operating Statistics                           |                                          |         |                 
|                                              
|                                               |                                          |         |                 
|System                                         |                                          |         |                 
|                                              
|ATKs (millions)                                | 1,240.5                                  | 1,111.0 | 11.6%           
|ASKs (millions)                                | 5,178.9                                  | 4,636.4 | 11.7%           
|RTKs (millions)                                | 851.0                                    | 738.5   | 15.2%           
|RPKs (millions)                                | 3,829.5                                  | 3,154.0 | 21.4%           
|Overall Load Factor
        (based on ATKs)%   | 68.6%                                    | 66.5%   | 2.1
        pp. 
|Break-Even Load Factor
        (based on ATK)% | 60.3%                                    | 63.3%   | -3.0
        pp.
|Yield based on RTKs
        (US Cents)         | 54.29                                    | 49.49   | 9.7%            
|Operating Revenues
        per ATK (US Cents)  | 37.25                                    | 32.90   | 13.2%           
|Operating Costs per
        ATK (US Cents)     | 32.75                                    | 31.32   | 4.6%            
|Fuel Gallons Consumed
        (thousands)      | 73,290                                   | 64,028  | 14.5%           
|                                               |                                          |         |                 
|Passenger                                      |                                          |         |                 
|                                              
|ASKs (millions)                                | 5,178.9                                  | 4,636.4 | 11.7%           
|RPKs (millions)                                | 3,829.5                                  | 3,154.0 | 21.4%           
|RTKs (millions)                                | 344.7                                    | 283.9   | 21.4%           
|Passengers Transported
        (thousands)     | 1,550.7                                  | 1,371.9 | 13.0%           
|Load Factor (based
        on ASKs) %          | 73.9%                                    | 68.0%   | 5.9
        pp. 
|Yield (based on RPKs,
        US Cents)        | 7.63                                     | 7.14    | 6.9%            
|Yield (based on RTKs,
        US Cents)        | 84.81                                    | 79.30   | 6.9%            
|Revenue/ASK (US cents)                         | 5.64                                     | 4.86    | 16.2%           
|                                               |                                          |         |                 
|Cargo                                          |                                          |         |                 
|                                              
|ATKs (thousands)                               | 762.8                                    | 685.5   | 11.3%           
|RTKs (thousands)                               | 506.4                                    | 454.7   | 11.4%           
|Tons Transported (thousands)                   | 116.6                                    | 99.0    | 17.7%           
|Load Factor (based
        on ATKs) %          | 66.4%                                    | 66.3%   | 0.1
        pp. 
|Yield based on RTKs
        (US Cents)         | 33.52                                    | 30.88   | 8.6%            
|Revenue/ATK (US Cents)                         | 22.25                                    | 20.48   | 8.7%            

---



|                                                                      |  |                       |  |          
|--------------------------------------------------------------------- |  | --------------------- |  | ---------
|LanChile
      S.A.                                                   |  |                       |  |          
|Consolidated
      Balance Sheet (in thousands of US$)                |  |                       |  |          
|                                                                      |  | As
      of March 31,
|                                                                      |  |                      
|                                                                      |  | 2004                  |  | 2003     
|                                                                      |  |                       |  |          
|ASSETS                                                                |  |                       |  |          
|                                                                     
|CURRENT
      ASSETS                                                  |  |                       |  |          
|Cash                                                                  |  | 5,238                 |  | 3,467    
|Time
      Deposits                                                   |  | 158,701               |  | 100,602  
|Marketable
      securities                                           |  | 92,596                |  | 31,260   
|Accounts
      and notes receivable -trade and other                  |  | 159,287               |  | 147,216  
|Accounts
      and notes receivable from related companies            |  | 1,718                 |  | 2,166    
|Inventories                                                           |  | 34,251                |  | 33,904   
|Prepaid
      and recoverable taxes                                   |  | 12,608                |  | 8,641    
|Prepaid
      expenses                                                |  | 23,562                |  | 22,566   
|Deferred
      income tax assets                                      |  | 8,050                 |  | 5,282    
|Other
      current assets                                            |  | 16,270                |  | 16,467   
|                                                                     
|Total
      current assets                                            |  | 512,281               |  | 371,571  
|PROPERTY
      AND EQUIPMENT (net)                                    |  |                       |  |          
|Aircraft                                                              |  | 798,450               |  | 817,297  
|Other                                                                 |  | 198,922               |  | 197,603  
|                                                                     
|Total
      property and equipment                                    |  | 997,372               |  | 1,014,900
|OTHER
      ASSETS                                                    |  |                       |  |          
|Investments                                                           |  | 1,662                 |  | 2,113    
|Goodwill                                                              |  | 44,256                |  | 47,055   
|Notes
      and accounts receivable from related companies            |  | 343                   |  | 462      
|Long-term
      accounts receivable                                   |  | 8,323                 |  | 9,417    
|Long-term
      deferred taxes                                        |  | 0                     |  | 0        
|Deposits
      and other                                              |  | 82,437                |  | 79,516   
|                                                                     
|Total
      other assets                                              |  | 137,021               |  | 138,563  
|                                                                     
|Total
      assets                                                    |  | 1,646,674             |  | 1,525,034
|                                                                      |  |                       |  |          
|LIABILITIES
      AND SHAREHOLDERS' EQUITY                            |  |                       |  |          
|                                                                     
|CURRENT
      LIABILITIES                                             |  |                       |  |          
|Bank
      loans                                                      |  | 0                     |  | 0        
|Current
      portion of long-term loans from financial instituitions |  | 63,710                |  | 61,690   
|Current
      portion of long term leasing obligations                |  | 16,291                |  | 15,432   
|Dividends
      Payable                                               |  | 208                   |  | 19       
|Accounts
      payable                                                |  | 157,471               |  | 123,695  
|Notes
      and accounts payable to related companies                 |  | 9                     |  | 310      
|Other
      creditors                                                 |  | 467                   |  | 248      
|Air
      traffic liability                                           |  | 119,219               |  | 91,558   
|Other
      current liabilities                                       |  | 117,809               |  | 92,573   
|                                                                     
|Total
      current liabilities                                       |  | 475,184               |  | 385,525  
|LONG-TERM
      LIABILITIES                                           |  |                       |  |          
|Loans
      from financial institution                                |  | 549,777               |  | 600,653  
|Other
      creditors                                                 |  | 709                   |  | 745      
|Provisions                                                            |  | 74,440                |  | 66,677   
|Notes
      and accounts payable to related companies                 |  | 921                   |  | 1,164    
|Air
      traffic liability                                           |  | 53,128                |  | 65,398   
|Deferred
      taxes                                                  |  | 53,376                |  | 27,101   
|Obligations
      under capital leases                                |  | 6,091                 |  | 9,926    
|Other
      Long-Term Liabilities                                     |  | 28,629                |  | 33,830   
|                                                                     
|Total
      long-term liabilities                                     |  | 767,071               |  | 805,494  
|MINORITY
      INTERES T                                              |  | 3,733                 |  | 3,585    
|                                                                     
|SHAREHOLDERS'
      EQUITY                                            |  |                       |  |          
|Common
      stock                                                    |  | 134,303               |  | 134,303  
|Reserves                                                              |  | 2,620                 |  | 2,620    
|Interim
      Dividends                                               |  | (34,999)              |  | (8,958)  
|Retained
      earmings                                               |  | 298,762               |  | 202,465  
|                                                                     
|Total
      shareholders ́ equity                                      |  | 400,686               |  | 330,430  
|                                                                     
|Total
      liabilities and shareholders ́ equity                      |  | 1,646,674             |  | 1,525,034

---

SIGNATURE

Pursuant
  to the requirements of the Securities Exchange Act of 1934, the registrant has
  duly caused this report to be signed on its behalf by the undersigned, thereunto
  duly authorized.

Date: April 26, 2004

| | Lan Chile S.A.                                                                                     
| | ---------------------------------------------------------------------------------------------------
| | /s/ Alejandro de la Fuente Goic
      By: Alejandro de la Fuente Goic
      Chief Financial Officer