24-Feb-2010 11:10 AM

Cathay Pacific and Air China near cargo venture agreement: reports

Cathay Pacific and Air China reportedly intend to sign an agreement on forming a Shanghai-based air cargo joint venture before the end of the week (Bloomberg, 24-Feb-2010). Air China will reportedly provide seven freighters for the venture, with Cathay to provide five or six aircraft.  Air China will reportedly own 51% and Cathay the remaining 49%. Air China is Cathay Pacific’s second-largest shareholder with a 30% stake, while Cathay owns 18% of Air China.