Anti-SARS Material Shipping adds Major Windfall to China Postal Airlines

China Southern Airlines has announced that China Postal Airlines' revenue has reached record highs - even during the peak of the SARS crisis in China.

Nearly one year ago to date here in Beijing, China Southern Airlines inked a new agreement with the China State Post Bureau which secured China  Southern's position as the premier cargo, mail and overnight mail carrier in China as it injected RMB 150 Million ($18M US) in cash and acquired 49% of the entire equity capital of China Postal Airlines.

"China Southern Airlines' vision in its partnership with China Postal is being proven to be right on target," said Mr. Wang Changshun, President,  China Southern Airlines.

Mr. Wang announced that China Postal Airlines' revenues have reached record highs even as the nation struggled to contain and eradicate SARS. "The staff of China Postal worked tirelessly to ensure the normal, on-time operation of its postal aviation express network."

He added that when the SARS crisis first began to expand throughout Beijing, China Postal Airlines quickly established its own Anti-SARS  management team. "Through its Anti-SARS management structure, China Postal Airlines enacted emergency disease prevention and control measures to protect its staff, especially the front line aircraft operational staff's health."

Beginning in mid-April, while many airlines began slicing flights from their schedule, China Postal Airlines not only kept its original route schedule and flight operations but actually expanded them. "Monthly revenue for  April 2003 actually increased 43.5% compared to the same period in 2002," said Mr. Wang.

In May, China Postal Airlines expanded flight operations by adding additional flights between Shanghai and Guangzhou and Shenzhen and Kunming to meet the growing demand of Express Mail and the transportation of Anti-SARS materials.

"As the lucrative next-day, overnight mail business booming in China, China Southern Airlines continues to position itself as China's answer to Federal Express," added Mr. Wang.

Based in Beijing, China Postal Airlines operates air routes between Beijing, Chengdu, Guangzhou, Shenyang and Shenzhen.

With a potential market base of 1.2 Billion domestic customers, China Postal Airlines has a huge potential in mail air transportation and significant ground logistics transport capability.