Thursday, December 20, 2007

The Race to the Bottom Continues

China Eastern Airlines failed to win a gesture of support from its rival and shareholder Air China for a stake sale to Singapore Airlines Ltd during a meeting of top executives, the Shanghai Securities News reported on Thursday. Citing unnamed sources, the official newspaper said China Eastern Chairman Li Fenghua and President Cao Jianxiong held a three-hour meeting on Wednesday with their Air China counterparts Li Jiaxiang and Cai Jianjiang to explain the significance of the planned China Eastern alliance with Singapore Airlines. However, Air China did not express support for the deal, the newspaper said.
Yeah. Air China is afraid China Eastern managment will learn to clean its planes giving China Eastern an unfair commercial advantage over Air China.

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