Commercial Paper

Air China Ld
24 August 2006

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and expressly disclaims any liability whatsoever for any loss whatsoever 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: 753)



SHORT-TERM COMMERCIAL PAPER PROGRAM



The Company hereby announces that it has received a confirmation from the
People's Bank of China on a short-term commercial paper issuance program of the
Company, pursuant to which and within the mandate of the shareholders meeting
dated 30 May 2005, the Company is going to issue short-term commercial paper in
an amount of RMB2 billion on 29 August 2006 in mainland China to institutional
investors in the inter-bank bond market. The Company intends to use the proceeds
from the above issuance for its working capital and to optimise the whole debt
structure of the Company.


               By order of the Board
                 Air China Limited
             Zheng Baoan    Li Man Kit
             Joint Company Secretaries



Beijing, 24 August 2006



As at the date of this announcement, the Directors of the Company are Messrs Li
Jiaxiang, Kong Dong, Wang Shixiang, Yao Weiting, Christopher Dale Pratt, Ma
Xulun, Cai Jianjiang, Fan Cheng, Hu Hung Lick, Henry*, Wu Zhipan*, Zhang Ke* and
Jia Kang*.



*  Independent non-executive Director of the Company




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