Air China Ltd. : Management Discussion of May 2012 Operating Data
06/13/2012| 06:54am US/Eastern
Management Discussion of May Operating Data
During May 2012, International and regional passenger traffic
and the number of passengers carried maintained growth
year-over-year but decreased on a month-over-month basis. The
remaining indicators continued at the same level. As for
cargo, increases continued both in Revenue Freighter Tonne
Kilometres (RFTK) and freighter tonnage carried for regional
routes year-over-year and month-over-month.
Passenger capacity, measured in Available Seat Kilometres
(ASK), in May rose 2.3% year-over-year while passenger
traffic, measured by Revenue Passenger Kilometres (RPK),
dropped slightly by 0.7%. Capacity and RPK on domestic routes
decreased by 1.8% and 5.3% year-over-year respectively.
Capacity on international routes grew strongly at 8.6%, with
RPK also increasing by 6.6%. Capacity on regional routes
strongly expanded by 6.3%, while RPK rose 4.3%
year-over-year. The passenger load factor was 79.5%, a
decrease of 2.3 percentage points year-over-year. For
domestic routes, international routes and regional routes the
passenger load factor decreased by 2.9, 1.5 and 1.4
percentage points respectively.
Cargo capacity, measured in Available Freighter Tonne
Kilometres (AFTK), declined slightly by 1.3% year-over-year
in May. Revenue Freighter Tonne Kilometres (RFTK) and
freighter tonnage carried dropped by 4.8% and 3.3%,
respectively compared with May 2011. The cargo load factor
was 58.2%, a decrease of 2.2 percentage points
Air China was active in expanding its domestic and
international routes. The Wenzhou-Taipei route (two flights a
week), Shanghai-Chengdu-Bombay route (four flights a week),
Beijing-London (Gatwick) route (four flights a week) debuted
2 May. The Beijing-Yangzhou Taizhou route (seven flights a
week) was launched on 8 May.
During the month, Air China purchased a total of 284,000
tonnes of jet fuel at an average price of RMB7780 per tonne,
a year-over-year climb of 4%. The average jet fuel purchase
price at international airports was RMB6837 per tonne, and
the average purchase price of jet fuel for international
flights at the top six Chinese airports was RMB7256 per
tonne, a decrease of 5% and 6% year-over-year respectively.
The average jet fuel purchase price for domestic flights was
RMB8365 per tonne, a rise of 12% compared with May of last
Starting from 1 May, the purchase price of domestic jet fuel
was decreased by RMB129 per tonne.
During May, the Company made the following adjustments to jet
fuel surcharges presented in the chart below.
(Based on Ticket Issue Date)
(Per Head Per
(Per Head Per
Hong Kong to Mainland China
Mainland China to Hong Kong
During the month, the Company added two aircraft, including
one A320 and one B777-300ER aircraft. As at the end of May,
Air China operated a fleet of 311 aircraft.
* Please note that Shenzhen Airlines and Air Macau have been
excluded from the above figures