Struggling China Eastern to take out $337m in new loans
24 April 2008
China Eastern Airlines, the least solvent of China's three major state-owned carriers, plans to take out US$337 million in new loans to pay for additional aircraft for its fleet, the Wall Street Journal reported. It is unclear whether the company is desperate for funds or is borrowing to take advantage of the renminbi's strength against the dollar. China Eastern's financial difficulties have continued as strategic investment bids from both Singapore Airlines and Air China parent China National Aviation Holding Co have stalled. In February the Shanghai-based carrier reportedly missed debt payments totaling US$535 million, according to a person familiar with the situation.
Bookmark and Share:
- Fund managers told to support stock market post-quake
- China calls for Rio Tinto boycott
- CLSA could increase stake in Chinese JV
- PBOC: China to use exchange rate to fight inflation
- Rio Tinto considering Chinese partnership for Africa
subscribe to the China Economic Review.