China Eastern reports strong traffic, Qantas to increase stake in Jetstar Pacific


China Eastern Airlines' shares were up 0.4% yesterday, upon the release of the carrier's Sep-2009 traffic results.

The carrier reported a 19% increase in passenger numbers, driven by double-digit domestic growth, while load factors were down marginally, by 0.8 ppts to 70.1%. Cargo volume was also up by double digits (+25%), once again driven by strong domestic demand.

Japan Airlines seeks restructuring aid

Japan Airlines' shares slipped 2.9% yesterday, as further speculation was raised regarding the carrier's turnaround plan. The carrier is reportedly seeking a JPY250-300 billion (USD2.8-3.3 billion) debt waiver through debt forgiveness and debt-for-equity swaps, as well as JPY150-300 billion (USD1.8-3.3 billion) in fresh loans and capital. See related article: Tokyo Haneda hub bombshell; Japan Airlines seeks USD2.8 bln debt waiver, capital increase

Qantas to increase stake in Jetstar Pacific

Qantas' shares were down 0.3% yesterday. The carrier plans to increase its stake in Vietnam venture Jetstar Pacific from 27% to 30% by 2010. According to Jetstar CEO, Bruce Buchanan, Jetstar Pacific has increased its load factor from less than 80% when it took over the carrier's operations, to 85%.

Elsewhere, EVA Air's shares gained 6.9% yesterday, following the previous day's 1.2% gain, as the carrier stated yields are starting to improve. Cathay Pacific's shares were up 1.1% yesterday. See related article: Has the cargo market recovery started? Cathay and EVA Air yields start to improve

Asia Pacific selected airlines daily share price movements (% change): 13-Oct-09

Want More Analysis Like This?

CAPA Membership provides access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find Out More