SFGate: China Airline Launches Maiden Flight

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Monday, July 18, 2005 (AP)
China Airline Launches Maiden Flight
By CHRISTOPHER BODEEN, Associated Press Writer


   (07-18) 00:07 PDT SHANGHAI, China (AP) --

   Private low-cost carrier Spring Airlines launched its maiden flight on
Monday, becoming the newest player in China's increasingly modern and
sophisticated travel industry.

   Spring is one of several private airlines entering the Chinese market
following the launch of China's first private airline of the modern era,
Okay Airways Co., in March. Like Okay, Spring avoids the more heavily
traveled routes such as Beijing-Shanghai, focussing on niche markets for
tourists and business travelers.

   One of the airline's three Airbus A320 jets departed from its base at
Shanghai's Hongqiao Airport on Monday morning with 180 passengers on
board, arriving about one hour later in the eastern coastal city of
Yantai, said airline spokesman Li Weimin.

   Daily flights to the central resort city of Guilin were also to begin
Monday evening, Li said.

   "Everyone was very pleased with how things went," Li said. "We want to
allow people to fly who've never been able to afford it before," he said.

   To keep operating costs low, Spring sells tickets exclusively from its W=
eb
site and offers only bottled water on its flights instead of meals. Ticket
prices drop closer to departure times.

   With increasing numbers of newly affluent Chinese flying, the government
has been retooling its industry regulation.

   State carriers have been consolidated into three large groups to boost
efficiency and end a damaging price war. Early last year, the government
began easing restrictions on private investment in airlines. Two other
private airlines, Eagle Airlines and Huaxia Airlines, are expected to
debut soon.

   The expansion is fueling sales at aircraft makers ranging from U.S.-based
Boeing Co. and Europe's Airbus SA to Brazil's Embraer. Boeing says Chinese
airlines will spend $183 billion on aircraft over the next 20 years.

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Copyright 2005 AP

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