The link performance between base station (BS) and user equipment (UE) in long term evolution-advanced (LTE-A) system is already quite close to the Shannon limits and from a pure link-budget perspective, the highest data rates supported by LTE-A require a relatively high signal-to-noise ratio. In later releases of LTE-A, various tools such as relaying, enhancing the support for low-power BSs and improving the link budget are included. This paper studies the relay stations (RSs) for LTE-A downlink physical layer. Multi-input multi-output amplify-and-forward RS is used to enhance the received signal of UEs at cell edge. This paper proposes RSs with orthogonal space–time block codes (OSTBC) transmission for LTE-A system. The received signals for different UEs scenarios are mathematically derived and analyzed. The symbol error rate performance of proposed LTE-A system is illustrated for the scenarios of UEs. Results show that the proposed LTE-A system based RSs with OSTBC transmission improve link performance and achieve higher diversity gains.