China Eastern Airlines Shanghai Airlines restructuring of th

With the warmer domestic air transport market, as well as aviation fuel hedging Fukui amount of the reduction in Air China Limited (Air China Limited, referred to as "Air China"), not unexpectedly surrender a dazzling first half of the financial statements.

6.3 billion will be spent, however, held by Hong Kong Cathay Pacific Airways Limited (Cathay Pacific Airways Limited, referred to as "Cathay") of shares from 17.5% to nearly 30% of the generous input, still has not won the State will give the injection of the relatively heavy Air China the financial burden, while the "East on the" restructuring is approved for Air China to build Shanghai International gateway is not a small increase in pressure.

Air China hoped that the Government capital injection

"This money will be raised through a variety of ways, for example, through the capital markets or bank loans." Air China chairman Kong Dong August 24 to accept the "China Times" reporter, disclosed that "money is no problem, now only need to wait for the approval of regulatory authorities. "

Air China and Cathay Pacific in 2006, the two companies through a project called "Stars," the project reached a broad cross-shareholding agreement, aimed at domestic flights by Air China and Cathay Pacific in the international route network to achieve on their respective strengths complement each other .

With international crude oil price fluctuations as well as air transport market downturn, the two companies since last year were caught in the crossfire. Air China last year amounted to a loss of 91 billion yuan last year, Cathay Pacific is also a loss of up to 8.558 billion Hong Kong dollars, the highest ever for the company. The operating loss in the first half of this year Cathay Pacific has up to 765 million Hong Kong dollars.

With the Air August 17 announced an agreement with CITIC Pacific, CITIC Pacific will acquire 4.9 million shares held by Cathay Pacific shares in Air China to Cathay Pacific's stake will increase to 1.18 billion shares, equivalent to Cathay Pacific's issued share capital of approximately 30%, becoming the second largest shareholder of Cathay Pacific.

"This is Air China's strategic behavior." Kong Dong said, "After the completion of the acquisition, Air China's stake in Cathay Pacific will increase to nearly 30%, which is Air China may be holding the upper limit."

Despite the "low expansion" for more attention to international operations of Air China is a more cost-effective, but the purchase price of up to 6.3 billion Hong Kong dollars, but also will operate out of just the initial difficulties since Air China carrying an even heavier financial burden on capital demand even more urgent.

"This year, China National Aviation Group during the first half without any government funding." Kong Dong 27 in Hong Kong, Air China, suggesting that the meeting admitted, "but I hope in the future receive government funding."

To address the restructuring of the East

While at "the three aircraft" in China Eastern Airlines Company Limited (China Eastern Airlines Corporation Limited, referred to as "Eastern"), published in 2009 in the first semi-annual financial report announced in the first half profitability.

Journalists through China Southern Airlines Company Limited (China Southern Airlines Company Limited, referred to as "Southern"), we learn that China Southern is also essential to determine the first half of the first half of profits.

China's fourth largest airline HNA Group Chairman Chen Feng Group Co., Ltd., has recently received the "China Times" reporter, revealed that Hainan Airlines Company Limited a listed company's first half earnings news. However, Air China is clearly more confident.

"Our main business is really profitable airline, after deducting the fair value gains on fuel hedging contracts and other infrastructure subsidies, at the end of June was recorded in the medium-term profits of 2.8 billion." In the August 27 performance at the , Kong Dong stressed that "other airlines, such as the China Eastern's performance report, we are given the book profit. but it depends on the strength of Air China to obtain the actual operating profits, the profit is real money."

Air side said that downturn in the international airline business environment of the capacity to adjust timely to increase the capacity of the Mainland market input, to alleviate the impact of turnover decreases in a certain role. According to the National Air China released statistics show that the production and business operation of its mainland routes passenger throughput in the first half year increased 18.23 percent to 15.8461 million passengers.

However, with China Eastern and Shanghai Airlines Co., Ltd. (Shanghai Airlines Co., Ltd., Referred to as "the Air"), the restructuring of Air China the largest growth potential in China's Shanghai market are likely to encounter strong blocking. 27, the CEA level revealed that the Ministry of Transport Civil Aviation Administration of China has officially approved the merger of China Eastern and Shanghai Airlines, which also shows that no more accidents if the two sides prior to the reorganization will not be like the Singapore Airlines settled China Eastern Airlines as "premature."

"Must face the reality," Kong Dong said: "We will be through the Shanghai branch and soon set up cargo airline in Shanghai to participate in the construction of the Pudong international hub, Air China in Pudong's international long-haul routes continue to maintain its edge. We are The Star Alliance hub in Pudong is a big share of possession. "

Air China is also 27, said Deputy General Manager Huang Bin, "China Eastern and Shanghai Airlines Shanghai market integration will change the competitive landscape, but it will not affect Air China's international gateway to build Shanghai's development strategy and process. Air China market in Shanghai with the Stars Union members for their cooperation, enhance the competitive advantage of international business and accelerating cooperation with Cathay Pacific's cargo to enhance cargo operations in the Shanghai market competitiveness. "

Earlier this year, Huang Bin In an interview, "China Times" reporter, had been revealed, said: "Air China Cargo Airlines has its headquarters and the main force on the Shanghai, aimed at the huge cargo volume a share of the region. "

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