Air China says expects nine-month loss
Posted: 16 October 2008 1632 hrs
SHANGHAI: Flag carrier Air China warned on Thursday it expected to post a loss for the first three quarters after being battered by disasters, high fuel costs and low passenger numbers.
The state-owned airline said its third-quarter results, due for release on October 29, would be lower due to the global financial crisis, the Sichuan earthquake and disruptions related to the Beijing Olympics, in a statement to the Shanghai Stock Exchange.
The warning was the latest indication that the year, which began on a high with Air China joining Star Alliance of international carriers and being the official Olympic carrier, would end badly.
The airline's first half net profit was down 20.7 percent from last year at 1.2 billion yuan (176 million dollars). Air China shares were down 6.36 percent in Shanghai on Thursday afternoon at 4.86 yuan.
Airline chairman Kong Dong said in August high oil prices and the global economic slowdown would affect business for the rest of the year and into 2009.
The Olympics also proved disappointing for airlines since the government imposed stricter visa policies and beefed up security, prompting many Chinese and foreigners to stay at home.
Posted: 16 October 2008 1632 hrs
SHANGHAI: Flag carrier Air China warned on Thursday it expected to post a loss for the first three quarters after being battered by disasters, high fuel costs and low passenger numbers.
The state-owned airline said its third-quarter results, due for release on October 29, would be lower due to the global financial crisis, the Sichuan earthquake and disruptions related to the Beijing Olympics, in a statement to the Shanghai Stock Exchange.
The warning was the latest indication that the year, which began on a high with Air China joining Star Alliance of international carriers and being the official Olympic carrier, would end badly.
The airline's first half net profit was down 20.7 percent from last year at 1.2 billion yuan (176 million dollars). Air China shares were down 6.36 percent in Shanghai on Thursday afternoon at 4.86 yuan.
Airline chairman Kong Dong said in August high oil prices and the global economic slowdown would affect business for the rest of the year and into 2009.
The Olympics also proved disappointing for airlines since the government imposed stricter visa policies and beefed up security, prompting many Chinese and foreigners to stay at home.
