Projected Profit Increase

Air China Ld
25 July 2007

                               AIR CHINA LIMITED

 (a joint stock limited company incorporated in the People's Republic of China
                            with limited liability)
                               (Stock Code: 753)



                        Overseas Regulatory Announcement



                   Announcement of Projected Profit Increase

                            in 2007 Interim Results



I.      Projected results during the current period



1.      Results covering period: 1 January 2007 to 30 June 2007



2.      Projection of results: in the First Quarterly Report 2007 of the
Company, the net profit at the end of next reporting period was predicted to
increase significantly by more than 100% as compared with the corresponding
period of last year. According to preliminary calculation by the finance
department of the Company, it is projected that the interim net profit of the
Company for 2007 will increase by more than 2000% as compared with the
corresponding period of last year.



3.      These projected results have not been audited by certified public
accountants.



II.    Results in the corresponding period of last year



1.      Net profit: RMB45,000,000 (before adjustment in accordance with the new
2006 Enterprises Accounting Standards)



2.      Earnings per share: RMB0.005 (calculated based on the share capital of
the Company of 9,433,210,909 shares as of 30 June 2006)



III.   Main reasons for improvement of results



During the first half of 2007, the Company recorded a substantial increase in
the operating profits due to such factors as the growth in market demand, the
continuous appreciation of Reminbi and the increase of investment gain. The
Company predicts that its interim net profit for 2007 will increase by more than
2000% as compared with the corresponding period of last year.



IV.   Other Relevant Explanation



The specific figures of the above results prediction are subject to those as
disclosed in the Company's interim report for 2007.



Due to the fact that the Company completed its A share offering on the Shanghai
Stock Exchange in August 2006 and a private placement of H shares to Cathay
Pacific Limited in September 2006, the share capital of the Company has been
increased from 9,433,210,909 shares as of 30 June 2006 to 12,251,362,273 shares
as of to date.



                             By order of the Board

                                   Huang Bin

                                Board Secretary



Beijing, the PRC, 25 July 2007



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, Chen
Nan Lok Philip, 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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