China Eastern completes merger

• Source: Global Times
• [05:23 February 09 2010]
• Comments

China Eastern Airlines announced the conclusion of its merger with Shanghai Airlines Monday, the Xinhua News Agency said.

After the merger, made via a share swap agreement, China Eastern will have operating assets of more than 150 billion yuan ($21.97 billion), and 331 large- and medium-sized planes, the Xinhua report said.

The merger between Shanghai Airlines and China Eastern Airlines, one of the three largest State-owned carriers in China, began June 8 last year when the two airliners' shares were suspended from being traded on the Shanghai Stock Exchange.

China Eastern had a share of 32.1 percent in 2008 in the Shanghai local passenger transport market while Shanghai Airlines enjoyed 14.5 percent market share.

China Eastern is expected to have a total market share of 47 percent in Shanghai after the deal, according to a statement on the merger it released last year.

Global Times