My only comment on this is that surely Air China and China Eastern have = been left out in the cold!! ;-)) GREAT PRESS RELEASE!! For Immediate Release:=20 China Southern On Ice Airline Freezes Deal With Kelon=20 GUANGZHOU, China - July 23, 2002 - China Southern Airlines (NYSE: ZNH) = (HKSE: 1055), the largest airline in The People's Republic of China has = iced a strategic cooperation agreement with Kelon (HKSE: 0921), the = largest refrigeration appliance manufacturer in China. This new alliance with Kelon will be in the form of air ticketing, air = cargo and the exchange of China Southern's Sky Pearl Club Frequent Flyer = Sky Pearl Club mileage for merchandise in Kelon's product line.=20 All Kelon employees (and its forwarders) will be guided to China = Southern Airlines as the refrigeration appliance manufacture's key air = transportation supplier. All of Kelon's air cargo will be carried on = China Southern Airlines. China Southern Airlines employees and their family will also enjoy = preferential fares when they purchase the Huabao Air Conditioner and = Rongsheng Refrigerator, made by Kelon. With more than 14,000 employees - including more than 2,000 engineers - = and total assets of more than US$940 Million, Kelon is the first = refrigeration enterprise in the PRC listed on both the Hong Kong (H = share) and Mainland China (A share) exchanges. =20 China Southern Airlines is the largest airline in The People's Republic = of China. The carrier offers the most extensive domestic flight network in China = with direct flights to more than 80 cities - has more than 25% of = China's domestic market share - and more than 50% of Guangzhou's air = market share.=20 The senior management team of China Southern realizes that it will not = face the challenge of free-market competition by just selling airline = tickets.=20 China Southern is instead focused on earning and retaining customer = loyalty. With the rapid growth of China's middle class and facing the challenge = of open market competition, airline customers need both marketing brands = they can rely on and the personalized attention to detail that only = China Southern Airlines can offer. China Southern has quickly established its high yield customer strategy = and is very motivated to exceed this type of customer's expectations. China Southern Airlines is currently cooperating with China Post and = China Mobile in the area of cargo, airline ticketing and customer = services to (1) attract the first time customer; (2) retain that = customer, and (3) retain that customer as a long-term frequent flyer. =20 The largest airline in The People's Republic of China for the past 23 = years, China Southern Airlines www.cs-air.com/en connects more than 80 = cities around the globe. Major business and vacation destinations = served in China include: Beijing, Chengdu, Guangzhou, Guilin, Hong Kong, = Kunming, Shanghai, Shenzhen and Wuhan and as well as International = service, including: Amsterdam, Bangkok, Fukuoka, Hanoi, Ho Chi Minh = City, Kuala Lumpur, Jakarta, Los Angeles, Manila, Melbourne, Osaka, = Penang, Phnom Penh, Seoul, Singapore, Sydney and Tokyo. For China Southern Airlines reservations and information, please contact = your local travel agent. - 30 -