China Eastern expects return to full-year profit
China Eastern Airlines has said that it expects to return to the black in 2009. According to a Bloomberg report, the carrier released a statement to the Shanghai stock exchange China’s third-largest carrier in terms of fleet size said it expected results to “substantially grow compared to the same period last year”, adding that it expected to turn a profit in 2009. The airline, which posted a net loss of CNY13.9 billion (US$2.0 billion) for 2008, did not give specific figures for its earnings last year in the preliminary announcement. The carrier’s full results are due to be released in April.
China Eastern attributed the 2009 improvement to the recovery of the aviation industry and government support, as well as fuel hedging gains. The company booked paper losses of approximately CNY6.2 billion (US$908 million) in 2008.