Established in 2002, Air China is the biggest carrier air passenger, air cargo and airline related services in China. Primarily based in Beijing, Air China Limited has a network of domestic and international routes serving 70 domestic and 36 international destinations. The Company operates in segments of airline operations, engineering services, airport terminal services, air catering services and other airline-related services. Air China has total assets of RMB 51.74 billion, 23000 employees and handling capacity of 5.17 billion tons. Air China had revenues rose 14 percent to 38.29 billion yuan in 2005 but net income only rose 1 percent to 2.41 billion yuan. Although passenger division, cargo and airline operations have generated higher sales, net income remained low because of rising oil prices, higher employee compensation costs as well as higher aircraft and engine operating lease expenses.

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