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Shenzhen Airlines Signs For Zunyi Airport Company
December 19, 2007 |
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Shenzhen Airlines has signed a framework agreement of cooperation with Zunyi municipal government to set up Zunyi Airport Company Limited.
According to the agreement, Shenzhen Airlines holds 70% shares of the new company, worth RMB17 million in cash and other intangible assets, and the Zunyi municipal government holds 30% of the property rights of the airport.
Shenzhen Airlines promises that they will open routes from Zunyi to Beijing, Shanghai, Shenzhen, Guangzhou and Chengdu during the first year after Zunyi Xinzhou Airport opens for operation. And they will open some regional flights as they see demand rising for other destinations.
As for passenger resources, Shenzhen Airlines says it must ensure the new airport reaches 30% of year-on-year growth for the first three years. On the Beijing and Shenzhen routes, Asia United Business Aviation Company Limited founded by Shenzhen Airlines and Hong Kong-based Business Aviation Asia Limited, may arrange a lounge in Zunyi to provide services for business travellers.
In addition, Shenzhen Airlines has agreed to establish a base in Zunyi in the year following the new airport's opening and allow the other airlines to open routes to Zunyi Xinzhou Airport.
Zunyi municipal government says they will grant tax discounts to Shenzhen Airlines' base and affiliated organs in Zunyi as well as Zunyi Xinzhou Airport for 10 years after it is opened.
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