11-Jul-2011 11:17 AM

Shenzhen Airlines may transfer Henan Airlines stake to government

Shenzhen Airlines is reportedly holding talks with the Henan Provincial Coal Chemical Industry Group, a subsidiary of Henan Provincial Government, regarding the restructuring plan for Henan Airlines, which was grounded following an accident in Aug-2011 (Yicai, 10-Jul-2011). Henan Government initially had its Henan Transport Investment Group hold restructuring talks with Shenzhen Airlines this year with the hope of Henan Airlines resuming operations at the end of this month. Shenzhen Airlines reportedly stated it may transfer its 51% stake in Henan Airlines to Henan Provincial Coal Chemical Industry Group.