China Eastern Airlines: Difference between revisions
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Revision as of 03:57, 12 December 2010
File:China Eastern Airlines logo.png | |||||||
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Founded | 1988 | ||||||
---|---|---|---|---|---|---|---|
Hubs | |||||||
Focus cities | |||||||
Frequent-flyer program | Eastern Miles | ||||||
Alliance | SkyTeam (future) | ||||||
Fleet size | 263 passenger 14 cargo | ||||||
Destinations | 103 | ||||||
Headquarters | Shanghai Hongqiao International Airport Shanghai, China | ||||||
Key people | Liu Shaoyong (Chairman) | ||||||
Website | www.flychinaeastern.com |
China Eastern Airlines Corporation Limited (simplified Chinese: 中国东方航空股份有限公司 or 中国东航; traditional Chinese: 中國東方航空; pinyin: zhōngguó dōngfāng hángkōng gǔfèn yǒuxiàn gōngsī) (SSE: 600115 SEHK: 670 NYSE: CEA) is an airline headquartered on the grounds of Shanghai Hongqiao International Airport in Changning District, Shanghai, China.[1] It is a major Chinese airline operating international, domestic and regional routes. Its main base is Shanghai Pudong International Airport, with a hub at Shanghai Hongqiao International Airport.[2]. China Eastern Airlines is China's second-largest carrier by passenger numbers and the world’s third-biggest carriers by market value. The airline posted a net profit of CNY2.21 billion ($326.7 million) for the first half of 2010. On 16 April 2010, China Eastern Airlines announced an initial agreement to join Skyteam.[3][4]
History and Development
The airline was established on 25 June 1988, under the CAAC Huadong Administration. In 1997, China Eastern took over the unprofitable China General Aviation and also became the country's first airline to offer shares on the international market. It founded China Cargo Airlines in a joint venture with COSCO in 1998. In March 2001, it completed the takeover of Great Wall Airlines.[2] China Yunnan Airlines and China Northwest Airlines merged into China Eastern Airlines in 2003.
The Chinese government has a majority ownership stake in China Eastern Airlines (61.64%), while some shares are publicly held (H shares, 32.19%); A shares, 6.17%). On April 20, 2006, the media broke the news of a possible sale of up to 20% of its stake to foreign investors, including Singapore Airlines, Emirates Airline and Japan Airlines, with Singapore Airlines confirming that negotiations were underway.[5][6]
After receiving approval from the State Council of China, it was announced that on September 2, 2007, Singapore Airlines and Temasek Holdings (holding company which owns 55% of Singapore Airlines) would jointly acquire shares of China Eastern Airlines.[7][8] On November 9, 2007, investors signed a final agreement to buy a combined 24% stake in China Eastern Airlines: Singapore Airlines will own 15.73% and Temasek Holdings - 8.27% stake in the airline.[9] Singapore Airlines' pending entry into the Chinese market prompted the Hong Kong carrier Cathay Pacific to attempt to block the deal by buying a significant stake in China Eastern and voting down the deal together with Air China (which already holds an 11% stake in China Eastern) at the shareholders' meeting in December 2007.[10][11] However on September 24 Cathay Pacific announced that it had abandoned such plans.[12]
Air China's parent company, the China National Aviation Corporation, a state-owned company, announced in January 2008 that it would offer 32% more than Singapore Airlines for the 24% stake in China Eastern, potentially complicating the deal that Singapore Airlines and Temasek had proposed.[13] However, minority shareholders declined the offer made by Singapore Airlines. It is thought that this is due to the massive effort made by Air China to buy the 24% stake.[14]
On 11 June 2009, it was announced that China Eastern Airlines would merge with Shanghai Airlines.[15] The merger of China Eastern and Shanghai Airlines was expected to reduce excess-competition between the two Shanghai-based carriers and to consolidate Shanghai's status as an international aviation hub. In February 2010, the merger was completed. Shanghai Airlines became the wholly-owned subsidiary of China Eastern Airlines.However,Shanghai Airlines will retain its brand and livery.The new airlines is expected to have over half of the market share in Shanghai, the financial hub of China.
Destinations
China Eastern Airlines has a strong presence on routes in Asia, North America and Australia. The airline keeps deepening its exploration of domestic market potential as it boosts flight frequencies from Shanghai to other chinese cities. The airline is also accelerating the pace of international expansion by increasing flight frequencies to international destinations. In 2007, it began operations to New York from Shanghai, making it the longest nonstop route for the airline. On November 22, China Eastern Airlines started a seasonal service on a Shanghai - Brisbane route, flying twice per week. In addition, the carrier is planning to launch service to Rome and hopes to open more routes to Europe, US and Australia.
Codeshare agreements
As of January 2010, China Eastern Airlines had codeshare agreements with the following airlines\:
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Passenger fleet
China Eastern Airlines is an important customer of Airbus. It was the first Chinese carrier to have ordered from the manufacturer. The backbone of the fleet is the A320 series, which are primarily used for domestic flights. In 2005, China Eastern Airlines placed an order for 15 Boeing 787s. However, the airline is now considering canceling its order owing to the program's continuous delays.[16]
China Eastern Airlines's fleet includes the following aircraft (as of November 2010):
Aircraft | Total | Orders | Passengers | |||
---|---|---|---|---|---|---|
P | J | Y | Total | |||
Airbus A300-600R | 0 | 24 | 250 | |||
Airbus A319-100 | 0 | 8 | 114 | |||
Airbus A320-200 | 0 | 8 | 150 | |||
Airbus A321-200 | 0 | 20 | 157 | |||
Airbus A330-200 | 0 | 24 | 240 | |||
Airbus A330-300 | 0 | 38 | 260 | |||
Airbus A340-300 | 12 | 28 | 247 | |||
Airbus A340-600 | 8 | 42 | 272 | |||
Boeing 737-300 | 0 | 8 | 120 | |||
Boeing 737-700 | 0 | 8 | 126 | |||
Boeing 737-800 | 0 | 8 | 162 | |||
Boeing 767-300ER | 0 | 45 | 200 | |||
Boeing 787-8 | TBA | |||||
Bombardier CRJ200 | 0 | 0 | 50 | |||
BAe 146-300 | 0 | 0 | 70 | |||
Comac C919 | TBA | |||||
Embraer ERJ 145 | 0 | 0 | 50 | |||
Eastern Miles
China Eastern Airlines's frequent-flyer program is called Eastern Miles (simplified Chinese: 东方万里行; traditional Chinese: 東方万里行). Shanghai Airlines, China Eastern's subsidiary, is also part of the program. Enrollment is free of charge. Eastern Miles members can earn miles on flights as well as through consumption with China Eastern's credit card. When enough miles are collected, members can be upgraded to VIP. VIP memberhip of Eastern Miles can be divided into two tiers: Golden Card membership and Silver Card membership. VIP membership can enjoy extra privileged services.[18]
Tier Level | Benefits | Requirements | |
---|---|---|---|
Gold |
|
180000 Elite Points | |
Silver |
|
100000 Elite Points |
Cargo
After the merger with Shanghai Airlines, China Eastern Airlines signaled that it would combine the two carriers' cargo subsidiaries as well. The airline's new subsidiary cargo carrier, consisting of the assets of China Cargo Airlines, Great Wall Airlines and Shanghai Airlines Cargo, will commence operations in 2011 from its base in Shanghai, China's largest air cargo market.[19] China Eastern Airlines signed a strategic co-operation framework agreement with Shanghai Airport Group, which controls both Shanghai Hongqiao International Airport and Shanghai Pudong International Airport. The airline will allocate more capacity to Pudong Airport to open more international routes and boost flight frequencies on existing international and domestic trunk routes.
China Cargo Airlines
China Eastern Airlines's cargo subsidiary, China Cargo Airlines, is China's first all-cargo airline operating dedicated freight services using China Eastern Airlines' route structure. The cargo airline carries the same logo of China Eastern Airlines.
Aircraft | Total | Orders |
---|---|---|
Airbus A300-600RF | 4 | — |
Boeing 747-400ERF | 2 | — |
McDonnell Douglas MD-11F | 4 | — |
Boeing 777-200F | 4 | — |
Total | 14 | 0 |
Incidents and accidents
- On August 15, 1989, a China Eastern flight from Shanghai to Nanchang, a Y-7 (Reg. B-3417disaster) crashed on take off due to No.2 engine failure, killing 34 of 40 on board.
- On April 6, 1993, China Eastern Flight 583, a McDonnell-Douglas MD-11, (Reg. B-2171disaster), from Shanghai to Los Angeles, had an inadvertent deployment of the leading edge wing slats while cruising. The aircraft progressed through several violent pitch oscillations and lost 5,000 feet (1,500 m) of altitude. Two passengers were killed.
- On October 26, 1993, Flight 5398 from Shenzhen to Fuzhou, a McDonnell-Douglas MD-82 (Reg. B-2103disaster) crashed near Fuzhou airport, after a failed attempt to go around on approach, killing 2 of 80 on board.
- On September 11, 1998, China Eastern Flight 586, a McDonnell-Douglas MD-11, flying from Shanghai Hongqiao International Airport to Beijing Capital International Airport, suffered a nose gear failure after take-off. The aircraft landed back in Shanghai with the nose gear up on a foamed runway.[20]
- On November 21, 2004, Flight 5210 from Baotou to Shanghai, a Bombardier CRJ-200 (Reg. B-3072disaster) small passenger jet crashed in Inner Mongolia one minute after departure, killing all 53 occupants.
- In March 2008, pilots of 21 CEA flights returned their aircraft to the airport of departure, citing various reasons for doing so, as part of a union contract dispute. In retaliation, the government removed the carrier's rights to a range of services in the southern China province of Yunnan. In late October 2008, Chinese media reports indicated that the carrier would shortly be able to resume flights to Kunming, Xishuangbanna and Dali.[21]
See also
- Aviation industry in the People's Republic of China
- List of airlines of the People's Republic of China
- List of airports in the People's Republic of China
- List of companies of the People's Republic of China
- Transportation in the People's Republic of China
References
- ^ "China Eastern Airlines Corp. Ltd. (CEA)." Yahoo! Finance. Retrieved on October 3, 2009.
- ^ a b "Directory: World Airlines". Flight International. 2007-04-03. p. 64.
- ^ China Eastern to join SkyTeam, SkyTeam press release, 16 April 2010
- ^ China Eastern backs SkyTeam partnership, China Daily, 17 April 2010
- ^ Shanghai Daily
- ^ Channel News Asia
- ^ SIA approved to buy into China Eastern Flight Global, 31/08/07
- ^ "SIA, China Eastern Airlines announce strategic tie-up". Channel NewsAsia. September 2, 2007. Retrieved 2007-09-02.
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(help) - ^ "Singapore Airlines, Temasek sign China Eastern deal". Channel NewsAsia. November 9, 2007. Retrieved 2007-11-09.
{{cite news}}
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suggested) (help) - ^ "Cathay Pacific to try and block Singapore Airlines: report". Agence France-Presse. Channel NewsAsia. September 22, 2007. Retrieved 2007-09-22.
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(help) - ^ http://news.bbc.co.uk/chinese/trad/low/newsid_7000000/newsid_7009900/7009931.stm Chinese
- ^ Cathay Pacific abandons China Eastern plan
- ^ FT.com / Companies / Transport - Air China pursues China Eastern stake
- ^ Anderlini, Jamil (2008-01-08). "Shareholders reject Singapore Air offer". FT.com. Retrieved 2008-01-08.
- ^ http://news.xinhuanet.com/english/2009-07/12/content_11697906.htm
- ^ http://atwonline.com/aircraft-engines-components/news/china-eastern-considers-canceling-15-787s-1129 29.11.2010
- ^ http://www.planespotters.net/Airline/China-Eastern-Airlines
- ^ http://www.easternmiles.com/uk/index.jsp
- ^ http://atwonline.com/airline-finance-data/news/new-china-eastern-cargo-carrier-launch-jan-1-shanghai-0929 September 30, 2010
- ^ ASN Aircraft accident McDonnell Douglas MD-11 B-2173 Shanghai-Hongqiao Airport (SHA)
- ^ Aviation Week & Space Technology Vol. 169 No. 16, 27 Oct. 2008, "Rerouted", p. 18
External links
![](http://upload.wikimedia.org/wikipedia/en/thumb/4/4a/Commons-logo.svg/30px-Commons-logo.svg.png)
- Official website
- Official website (Worldwide)
- Official website Template:Zh icon
- Europe and North America - China Eastern Airlines
- Flotte et Destinations de China Eastern Airlines