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Hainan Airlines (Code: HU)

Hainan Airlines Company Limited (HNA) is a civil aviation enterprise listed in Shanghai Stock Market. The company was established by the restructuring of the former Hainan provincial Airlines Company in January 1993, and started its operation on May 2nd, 1993. The registered capital of the Company is RMB730 million.

Hainan Airlines is the core enterprise of the Air Transportation Business Unit, and the other subsidiaries under this unit are China Xinhua Airlines, Chang'an Airlines, Shanxi Airlines. Up to the end of 2005, the business unit of air transportation of HNA Group has more than 8,900 employees among which there are 1500 pilots, 1400 engineers, and 1600 flight attendants. The education background of the employees is composed of 101 postgraduates, 2700 bachelors, and 2800 college students. Up to October 2005, the number of the total fleet in air transportation unit of HNA Group is 113 aircrafts, ranging from 10 to 200 seats and applicable for trunk routes, regional routes and business charter services, among which are 6 Airbus A319, 52 Boeing 737-300/400/700/800s, 5 Boeing 767-300ER, 29 Donier 328-300s, 4 Hawker88XPs, 7 Y7s and 4 737-300 QC and 2 737-300 all cargos.

HNA keeps its continuous, fast and healthy development status during its operation of 12 years with a steady increase trend of its KPI. The total throughput of HNA in 2004 was 1.567 billion ton-kilometers, the aircraft movements were 140.9 thousand, the cargo volume was 143.4 thousand tons, the passenger throughput reached 10 million and the total sales revenue was as high as RMB8.4 billion. All these index of excellent performance helped HNA to be the fourth biggest airlines in China. HNA has established Haikou, Beijing, Ningbo, Sanya, Xi'an, Taiyuan, Tianjin and Urumchi as its aviation bases, and Guangzhou, Changsha as its operational situations since 1993. 500 routes of HNA radiate out to more than 80 destinations at current stage. The airlines has also served international schedule flights from Sanya to Seoul, from Haikou to Osaka, Haikou to Bangkok, Beijing to Budapest and charter flights from Haikou to Singapore, from Haikou to Seoul, from Haikou to Busan, and from Haikou to Kua1a Lumpur.

Hainan Airlines keeps a good safety record during its 12 - year operation of flying over 1 million accumulated safe block hours and transporting over 50 million passengers. HNA has achieved the excellent safety operation with zero incidents rate per 10,000 hours. In 2000, 2001 and 2003, HNA was awarded the prize by CAAC, the Golden Eagle Cup. The service of HNA got the public praise of passengers. HNA won the award in the activity of "Passengers Commenting Airlines" for 7 times, and won the first prize in praise of National airlines flights punctuality several times. The punctuality rate of flights keeps above 80% for 6 years. HNA has established an excellent safe and service brand in China.