China moving to merge China Eastern, Shanghai Airlines

Source : ATW

"China Southern Airlines Group Chairman Liu Shaoyong was appointed as the new chairman of China Eastern Airlines parent China Eastern Air Holding Co. Friday, appearing to pave the way for the merger of CEA and Shanghai Airlines. In an effort to boost Shanghai's status as an international aviation hub, the State-owned Assets Supervision and Administration Commission of the State Council, CEA's controlling shareholder, reached agreement with the State-owned Assets Supervision and Administration Commission of the Shanghai Municipal Government, SAL's controlling shareholder, on the merger of the two Shanghai-based airlines, an industry insider told ATWOnline Friday. Key details on how the combination will move forward remain undecided, but Liu is expected to be chairman of the merged carrier. The government's plan to revive CEA includes a change in leadership in advance of any consolidation." Next.