ANNOUNCEMENT ON KEY OPERATING DATA OF MARCH 2016

RNS Number : 5787V

Air China Ld

19 April 2016

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

AIR CHINA LIMITED

(a joint stock limited company incorporated in the People's Republic of China with limited liability)

(Stock Code:00753)

ANNOUNCEMENT ON KEY OPERATING DATA OF MARCH 2016

The enclosed announcement (the "SSE Announcement") was published by Air China Limited ("Air China") on the Shanghai Stock Exchange on 18 April 2016, which contains combined operating data for March 2016 for Air China and its subsidiaries (collectively, the "Group"). The information contained in the SSE Announcement may be price sensitive. This announcement enclosing the SSE Announcement is being issued pursuant to Part XIVA of the Securities and Futures Ordinance. The data in the SSE Announcement was calculated based on the internal statistics of the Group, which may differ from the data disclosed in the relative periodic reports.

This announcement is issued by Air China pursuant to Part XIVA of the Securities and Futures Ordinance.

The data in the enclosed SSE Announcement was calculated based on the internal statistics of the Group, which may differ from the data disclosed in the relative periodic reports.

Investors are advised to exercise caution in dealing in shares of Air China.

By order of the Board

Air China Limited

Rao Xinyu Tam Shuit Mui

Joint Company Secretaries

Beijing, the PRC, 18 April 2016

As at the date of this notice, the directors of the Company are Mr. Cai Jianjiang, Ms. Wang Yinxiang, Mr. Cao Jianxiong, Mr. Feng Gang, Mr. John Robert Slosar, Mr. Ian Sai Cheung Shiu, Mr. Song Zhiyong, Mr. Pan Xiaojiang*, Mr. Simon To Chi Keung*, Mr. Stanley Hui Honchung* and Mr. Li Dajin*.

* Independent non-executive director of the Company

SSE ANNOUNCEMENT

The SSE Announcement is written in Chinese, with no official English translation. The English translation is provided solely for reference only. In case of any discrepancy between the two versions, the Chinese version shall prevail. The full version of the SSE Announcement is as follows:

AIR CHINA LIMITED

ANNOUNCEMENT ON KEY OPERATING DATA OF MARCH 2016

In March 2016, Air China Limited (the "Company"), and its subsidiaries (the "Group") recorded an increase in combined passenger traffic (measured by revenue passenger kilometers ("RPK")) as compared to the same period last year, but a slight decrease as compared to last month. Compared to the same period last year, passenger capacity (measured by available seat kilometers ("ASK")) increased by 8.4%, while passenger traffic, increased by 4.3%. For domestic routes, passenger capacity increased by 1.3%, while passenger traffic saw a 2.9% decline, as compared to the same period last year. For international routes, passenger capacity and passenger traffic increased by 25.4% and 20.3% respectively, as compared to the same period last year. Passenger capacity on regional routes decreased by 1.7%, while passenger traffic increased by 9.4% as compared to the same period last year. The overall passenger load factor was 78.5%, recording a year-on-year decline by 3.1 percentage points. The passenger load factor for domestic and international decreased by 3.5 and 3.1 percentage points respectively, while the passenger load factor of regional routes saw a growth of 7.2 percentage points.

On 27 March 2016, the Company launched a Daqing-Shenyang-Wuhan route (two flights each week), a Harbin-Tianjin-Guilin route (seven flights each week), a Tianjin-Zhuhai route (seven flights each week), a Chongqing-Changsha route (seven flights each week) and a Chongqing-Shenyang route (seven flights each week).

In terms of cargo operations, in March 2016, both cargo and mail traffic (measured by revenue freight tonne kilometers ("RFTK")) and volume of cargo and mail uplifted saw a growth on a year-on-year basis and as compared to last month. Cargo capacity (measured by available freight tonne kilometers ("AFTK")) rose by 8.5% year-on-year in March 2016. Cargo and mail traffic increased by 5.6% and volume of cargo and mail uplifted grew by 5.4% as compared to the same period last year. The cargo load factor was 53.6% in March 2016, representing a year-on-year decrease of 1.5 percentage points.

In March 2016, the Group added one B737-800 and one A320, and retired one B737-800. As at the end of March 2016, the Group operated a fleet of 594 aircraft.

The following table sets forth key operating data for March 2016:

	March 2016	Change vs March 2015 (%)	Change vs February 2016 (%)	Cumulative March 2016	Cumulative change (%)
I. Capacity
1. ATKs (in millions)1	2808.7	8.5	4.9	8259.6	11.3
Domestic	1363.7	0.9	2.9	3971.8	2.3
International	1345.0	18.8	8.5	3970.5	23.1
Regional	100.0	-4.5	-10.9	317.3	1.7
2. ASKs (in millions)2	18966.6	8.4	2.4	56535.4	11.7
Domestic	11534.5	1.3	2.5	33940.2	3.5
International	6638.6	25.4	4.3	20075.4	30.3
Regional	793.6	-1.7	-10.9	2519.8	3.9
3. AFTKs (in millions)3	1096.6	8.5	9.0	3156.8	10.7
Domestic	325.9	-0.4	4.1	918.6	-1.4
International	745.4	13.9	12.1	2157.5	17.6
Regional	25.4	-12.7	-12.2	80.7	-4.7
II. Traffic
1. RTKs (in millions)4	1920.9	4.9	10.8	5547.5	9.1
Domestic	976.1	-1.5	8.2	2814.9	2.9
International	882.4	12.6	15.7	2534.9	16.9
Regional	62.3	8.4	-9.6	197.7	9.1
2. RPKs (in millions)5	14897.5	4.3	-1.1	45110.6	11.1
Domestic	9371.7	-2.9	-0.2	27758.6	2.8
International	4956.8	20.3	-0.5	15477.3	29.8
Regional	569.0	9.4	-17.2	1874.7	11.1
3. RFTKs (in millions)6	587.5	5.6	41.8	1555.8	4.3
Domestic	138.5	5.7	64.7	366.9	3.4
International	439.4	5.7	35.7	1163.5	4.8
Regional	9.5	1.0	55.8	25.4	-6.0
4. Number of Passengers carried (in thousands)	7767.0	0.7	0.0	23056.8	6.2
Domestic	6380.0	-2.3	1.5	18701.4	2.8
International	1023.2	20.5	-2.1	3169.7	28.9
Regional	363.7	9.8	-16.8	1185.7	11.7
5. Total Cargo tonnes carried	149643.0	5.4	52.6	396400.3	3.6
Domestic	88857.3	4.1	62.5	236268.9	2.5

	March 2016	Change vs March 2015 (%)	Change vs February 2016 (%)	Cumulative March 2016	Cumulative change (%)
International	54228.0	7.6	37.8	142744.9	6.1
Regional	6557.8	6.1	62.7	17386.5	-1.9
III. Load Factor
1. Passenger Load Factor (%)7	78.5	-3.1	-2.8	79.8	-0.4
Domestic	81.2	-3.5	-2.2	81.8	-0.6
International	74.7	-3.1	-3.6	77.1	-0.3
Regional	71.7	7.2	-5.5	74.4	4.9
2. Cargo Load Factor (%)8	53.6	-1.5	12.4	49.3	-3.1
Domestic	42.5	2.4	15.6	39.9	1.9
International	59.0	-4.6	10.2	53.9	-6.6
Regional	37.5	5.1	16.4	31.4	-0.5
3. Overall Load Factor (%)9	68.4	-2.4	3.7	67.2	-1.4
Domestic	71.6	-1.7	3.5	70.9	0.4
International	65.6	-3.6	4.1	63.8	-3.4
Regional	62.3	7.4	0.9	62.3	4.2

Note:

1. "ATK(s)" refers to the number of tonnes of capacity available for transportation multiplied by the kilometers flown

2. "ASK(s)" refers to the number of seats available for sale multiplied by the kilometers flown

3. "AFTK(s)" refers to the number of tonnes of capacity available for the carriage of cargo and mail multiplied by the kilometers flown

4. "RTK(s)" refers to the revenue load (passenger and cargo) in tonnes multiplied by the kilometers flown

5. "RPK(s)" refers to the number of revenue passengers carried multiplied by the kilometers flown

6. "RFTK(s)" refers to the revenue cargo and mail load in tonnes multiplied by the kilometers flown

7. "Passenger Load Factor" refers to revenue passenger kilometers expressed as a percentage of available seat kilometers

8. "Cargo and Mail Load Factor" refers to revenue freight tonne kilometers expressed as a percentage of available seat kilometers

9. "Overall Load Factor" refers to RTKs expressed as a percentage of available tonne kilometers

The key operating data above was calculated based on the internal statistics of the Group, which may differ from the data disclosed in the relative periodic reports. Investors are hereby reminded of the risks which may results from inappropriate reliance upon or utilization of the information given above.

By order of the Board