Cathay Pacific Airways Ltd. succeeded in purchasing Dragonair with 12.29 billion Hong Kong dollars, and increased 10% holdings of Air China Ltd to 20%. Because Air China Ltd's sudsidiary China Aviation (Macau) owns 51% holdings of Air Macau, Cathay Pacific Airways Ltd. increased the holdings of Air Macau indirectly in this way.

Towards the purchasing activity of Cathay Pacific Airways Ltd. Air Macau yesterday (9) indicated that, this holding reorganization didn't involve the part of holdings of Air Macau, Air China Ltd still remains to be the biggest shareholder of Air Macau.

But people in aviation business thought, this resource reorganization session of Hong Kong aviation industry would bring the new situation for aviation markets of cross-strait and in all four regions (Mainland, Macao SAR, Hong Kong SAR & Taiwan), the power of airlines of Hong Kong and Macau on cross-strait routes would strengthen further. However, facing the increasing tide of tough competition, Air Macau will necessarily be affected in a passive manner shortly. Unless Air China Ltd continues to act as the biggest shareholder of Air Macau, continue to support Air Macau and the development of whole aviation industry in Macau, don't leave Air Macau to become the "orphan". (Translation: CARNOC Tao Mengping)

Original address: http://news.carnoc.com/list/70/70150.html