Since May 1, 2023, the Distribution Cost Recovery Surcharge (DCRS) has been applied per coupon in LATAM emissions generated through GDS (agencies). On May 12, 2025, the EDIFACT Distribution Cost Recovery surcharge amounts were updated as follows:
For all countries (except Brazil):
In Brazil:
1. What is Distribution Cost Recovery Surcharge?
In LATAM's current agreements with GDS, we pay a commission for the use of this channel. This is not the case with any of our other channels. Our Distribution Cost Recovery Surcharge will allow us to cover ONLY that cost. It is important to note that LATAM is not generating additional profits with this charge.
2. In which channels will the Distribution Cost Recovery Surcharge be applied?
It will only be applied in the GDS channel for EDIFACT technology. It does not apply to any of the NDC by LATAM channels or the DCP/eLATAM channel.
3. What is the Distribution Cost Recovery Surcharge for NDC-GDS (DCRS-NDC) and when does it apply?
Starting February 26, 2025, NDC by LATAM content is available via Sabre. Similar to the Cost Recovery Fee applied to GDS EDIFACT bookings (DCRS-EDIFACT), a Cost Recovery Fee will be applied to NDC bookings (DCRS-NDC) made through Sabre as follows:
4. Does the Distribution Cost Recovery Surcharge apply to all markets?
The Distribution Cost Recovery Surcharge applies to each coupon of each ticket purchased with LATAM, with the exception of those sold in the following points of sale:
5. Are there any exceptions to this?
The only exceptions for payment of the Distribution Cost Recovery Surcharge are infants, group bookings (groups, series, and negospace), and tickets purchased in points of sale mentioned in the previous question. Any other type of passenger, market, and point of sale is subject to the Distribution Cost Recovery Surcharge when issued through the GDS channel in its EDIFACT technology.
6. Is it possible to see it in the fare breakdown?
Yes! This is possible, as the fare type in which the Distribution Cost Recovery Surcharge is charged is YR. The only exception is the point of sale in Brazil, where the Distribution Cost Recovery Surcharge is charged within the fare, in the Q fare type.
7. How can agencies avoid it?
Agencies can avoid the Distribution Cost Recovery Surcharge by issuing tickets through the channels available in NDC by LATAM. Click here to find out more.
8. Is it refundable?
9. Is the amount adjusted periodically?
The Distribution Cost Recovery Surcharge will be periodically adjusted to match our distribution costs through GDS as closely as possible, and changes will be communicated in advance.
10. Does the Distribution Cost Recovery Surcharge apply to reservation or issuance?
Distribution Cost Recovery Surcharge will be displayed every time an agency generates a reservation and quotes it from May 1st 2023. However, it will only be charged upon ticket issuance.
11. What happens if the agency reissues a GDS ticket that was issued after May 1st? Does the Distribution Cost Recovery Surcharge apply?
Exchange reissue (no coupons used) maintaining the same number of coupons: surcharge does not apply.
Exchange reissue (no coupons used) adding one or more coupons: surcharge applies.
Historical reissue (from the first used coupon) maintaining the same number of coupons: surcharge does not apply.
Historical reissue (from the first used coupon) adding one or more coupons: surcharge applies.
12. What happens if the agency issues a ticket in GDS before May 1st and reissues the ticket after that date?
Reservations issued before May 1st, 2023, are exempt from the charge unless changes are made that involve an exchange reissue (changes to the first travel coupon).
13. Does the Distribution Cost Recovery Surcharge only apply to LATAM flights?
The YR or Q will be charged on all LA coupons (including marketing) regardless of the issuing carrier.
14. Does the Distribution Cost Recovery Surcharge only apply to LATAM plate issuances?
It is charged per LATAM marketing coupon regardless of the issuing plate.
15. What are the countries included in each territory for the Amadeus DCRS?