Air China, Cathay Pacific consolidate launch of Air China Cargo

AIR China and Cathay Pacific Airways have consolidated their respective air freight businesses to launch the new Air China Cargo to be based in Shanghai.


Air China will hold 51 per cent of the shares and Cathay Pacific will hold 25 per cent of the shares plus 24 per cent of economic interests in Air China Cargo, said a statement from Air China posted on PRNewswire-Asia.


Air China Cargo's board of directors will comprise four Air China members and three Cathay Pacific members. The consolidation will create a fleet of 12 Boeing 747-400 aircraft for the new air freight carrier.


The consolidation of both airlines' air cargo businesses is part of their long-term cooperation strategy. This latest collaboration is expected to increase fleet development and strengthen the market position of both airlines.


"The operation centre in Shanghai will satisfy the market demands of the Yangtze River Delta, which makes up two-thirds of Air China's service area. The cooperation will help Air China Cargo reach all-round global development," the company statement said.
(Source:http://www.schednet.com)