Qi Qi:

According to the reports, American Airlines plans to invest US$200 million in China Southern Airlines. It could be an introducing-foreign-capital measure taken by China Southern to carry out its mixed-ownership reform, posing a significant influence to its business. Air China enjoys an advantage in Sino-American air routes network, which requires China Eastern and China Southern to cooperate with big American airlines if they expect to increase their market share in Sino-American air routes market.

Both of Delta Air Lines' investment in China Southern and American Airlines' plan on investment in China Southern are measures to enhance business contact by cooperation on capital. But it should be noted that the cooperation between Air China and Lufthansa, and between China Eastern and Delta Air Lines, are all cooperation between member airlines of the same alliance. However, American Airlines is a founding member of Oneworld, while China Southern is an important member of SkyTeam, which may place hurdles in the business communication between the two parties. Or we can assume that, China Southern would be benefited to a larger extent if it turns to Oneworld, that its power in the Internatioanl network would be increased.

The alliance between Chinese and American airlines in building trans-northpacific air routes network is similar to the alliance between European and American airlines in building trans-northatlantic air routes network, bringing a win-win situation for Chinese and American airlines. Instead, it would be a strike to the transfer business of Sino-American market in Japan, South Korea, Hong Kong, Taiwan and other coutries and regions.

Lin Zhijie:

According to the reports, American Airlines plans to take a stake of about US$200 million in China Southern Airlines through acquisition of China Southern's H shares. It would pose a significant influence on the structure of Sino-American aviation market.

American Airlines is the world's biggest airline and China Southern is the fourth biggest globally and the biggest in Asia. American Airlines' taking a stake in China Southern exerts a profound influence. On the one hand, for the founding member of Oneworld - American Airlines, it has no presence in China mainland - the second biggest market globally, that it requires a strong partner. On the other hand, after China Eastern's cooperation with Delta Air Lines and enhancement of joint operation of Sino-American air routes, as well as China Eastern's cooperation with Delta Air Lines, China Southern, also as a pilot in mixed-ownership reform, needs to find a new partner on Sino-American air routes.

It is reported that the investment just totaled US$200 million - barely enough to purchase a single A380, and American Airlines would nominate an observer without voting rights to the Chinese company's board , but the cooperation would not be limited in these areas. The investment of US$200 million is just to establish a platform, the future cooperation on joint operation of Sino-American air routes, hub construction, e-commerce construction and elevation on flight operation efficiency is expectable.

Zou Maogong:

1. Equity cooperation between airlines is an upgraded version of code-sharing, alliance cooperation and other cooperation methods; 

2. American is the country with the most developed civil aviation industry. The big four airlines in America, especially Delta Air Lines, United Airlines and American Airlines have experienced a long course of development, which include a splendid history, as well as a dilemma of near-bankruptcy. They survived the dilemma and developed to their current position through merging, reorganization, capital integration and other methods.China Airlines could take lessons from their successes and failures; 

3. Now Civil Aviation Administration has set a higher level of requirements on hub routes network, hub airlines and construction on hub airports, which is a significant criteria for a civil aviation power. The domestic civil aviation industry is vulberable in the above areas where America have strength in. China airlines could learn from American airlines' experience in hub consrtuction; 

4. China Southern is not the first airline carrying out equity cooperation with overseas airlines. In addition to Air China and China Eastern before China Southern, I believe there will be more airlines in need of this kind of cooperation; 

5.Currently, China airlines are mainly inviting foreign investments. I hope that more domestic airlines would go out, invest and take a stake in foreign airlines, become a member of its board and learn their operating model and managament pattern.