Bucking the airliner trend, Air China, the national carrier, reported on Thursday a net profit of 147 million yuan (US$18 million) in the first six months of this year ending on June 30.

 

The country's two other major airlines, reported huge losses in the first half of 2006. Eastern Airlines said it suffered losses of 1.46 billion yuan while Southern Airlines was in the red by 835 million yuan.

 

Air China's President Ma Xulun ascribed the result to the company's efforts at improving services, reducing costs and increasing revenues.

 

Eastern Airlines President, Li Fenghua, said Air China's smooth restructuring was a factor in its profitability. Li also said the national carrier was listed in Hong Kong much later than the other two airlines, and thus faced few restricts.

 

Air China also said that its revenue stood at 19.93 billion yuan in the six-month period, an increase of 17.7 percent year on year.

 

(Xinhua News Agency September 1, 2006)