Projected Profit Increase

25 Jul 2007 07:01

Air China Ld25 July 2007 AIR CHINA LIMITED (a joint stock limited company incorporated in the People's Republic of China with limited liability) (Stock Code: 753) Overseas Regulatory Announcement Announcement of Projected Profit Increase in 2007 Interim Results I. Projected results during the current period 1. Results covering period: 1 January 2007 to 30 June 2007 2. Projection of results: in the First Quarterly Report 2007 of theCompany, the net profit at the end of next reporting period was predicted toincrease significantly by more than 100% as compared with the correspondingperiod of last year. According to preliminary calculation by the financedepartment of the Company, it is projected that the interim net profit of theCompany for 2007 will increase by more than 2000% as compared with thecorresponding period of last year. 3. These projected results have not been audited by certified publicaccountants. II. Results in the corresponding period of last year 1. Net profit: RMB45,000,000 (before adjustment in accordance with the new2006 Enterprises Accounting Standards) 2. Earnings per share: RMB0.005 (calculated based on the share capital ofthe Company of 9,433,210,909 shares as of 30 June 2006) III. Main reasons for improvement of results During the first half of 2007, the Company recorded a substantial increase inthe operating profits due to such factors as the growth in market demand, thecontinuous appreciation of Reminbi and the increase of investment gain. TheCompany predicts that its interim net profit for 2007 will increase by more than2000% as compared with the corresponding period of last year. IV. Other Relevant Explanation The specific figures of the above results prediction are subject to those asdisclosed in the Company's interim report for 2007. Due to the fact that the Company completed its A share offering on the ShanghaiStock Exchange in August 2006 and a private placement of H shares to CathayPacific Limited in September 2006, the share capital of the Company has beenincreased from 9,433,210,909 shares as of 30 June 2006 to 12,251,362,273 sharesas of to date. By order of the Board Huang Bin Board Secretary Beijing, the PRC, 25 July 2007 As at the date of this announcement, the Directors of the Company are Messrs LiJiaxiang, Kong Dong, Wang Shixiang, Yao Weiting, Christopher Dale Pratt, ChenNan Lok Philip, Ma Xulun, Cai Jianjiang, Fan Cheng, Hu Hung Lick, Henry*, WuZhipan*, Zhang Ke* and Jia Kang*. * Independent non-executive Director of the Company This information is provided by RNS The company news service from the London Stock Exchange