China Eastern returns to profit on hedges, government aid

"China Eastern Airlines enjoyed a first-half turnaround, reporting a CNY984.7 million ($143.9 million) profit based on international accounting standards that compares to a CNY212.5 million net loss in the first six months of 2008. CEA credited a CNY2.79 billion hedging gain and "elimination of the civil aviation infrastructure tax that was imposed in the second half of last year, as well as government subsidies," for the result. Operating revenue dropped 15.8% to CNY17.5 billion while expenses fell 15% to CNY16.86 billion owing to lower fuel prices..." ATW Online