Businessweek

China Southern Airlines Company Limited provides commercial airline services throughout Mainland China, Hong Kong, Macau and Taiwan regions, southeast Asia and other parts of the world. As of December 31, 2011, the company operated 720 routes, of which 576 were domestic, 106 were international and 38 were regional. The company also operates regional routes and international flights. As of December 31, 2011, the company had 38 regional routes and 106 international routes. The company’s regional operations include flights between destinations in Mainland China Hong Kong, Macau and Taiwan. Its international operations include scheduled services to cities in Australia, Bangladesh, Canada, France, Georgia, India, Japan, Kazakhstan, Korea, Kyrgyzstan, Maldives, Nepal, Netherlands, Nigeria, Pakistan, Russia, Saudi Arabia, Tajikistan, Turkey, UAE, USA, and southeast Asian destinations. As of December 31, 2011, the company had a fleet of 444 aircraft, consisting primarily of Boeing 737 series, 747, 757, 777, Airbus 320 series, 330, and 380. The company has code-sharing agreements with international airlines, including China Airlines, Mandarin Airlines, Japan Airlines, Korean Air, Asiana Airlines, Malaysia Airlines, PT. Garuda Indonesia, Kenya Airways, Pakistan International Airlines, Czech Airlines, Vietnam Airlines, Aeroflot-Russian Airlines, Air France, KLM Royal Dutch Airlines and Delta Air Lines. Route Bases In addition to its main route bases in Guangzhou and Beijing, the company maintains certain regional route bases in Zhengzhou, Wuhan, Changsha, Shenzhen, Shenyang, Changchun, Dalian, Harbin, Urumqi, Haikou, Zhuhai, Xiamen, Shanghai, Xi’an, Fuzhou, Nanning, Guilin, Shantou, Guiyang, Chongqing and Sanya. Domestic Routes The company’s domestic routes network serves substantially all provinces and autonomous regions in China, including Guangdong, Fujian, Hubei, Hunan, Hainan, Guangxi, Guizhou, Henan, Heilongjiang, Jilin, Liaoning and Xinjiang, and serves all four centrally-administered municipalities in China, namely, Beijing, Shanghai, Tianjin, and Chongqing. In 2011, the Group’s most profitable domestic routes were between: Guangzhou-Beijing, Beijing-Guangzhou, Shenzhen-Beijing, Beijing-Shenzhen, Urumqi-Beijing, Fuzhou-Beijing, Guangzhou-Shanghai, Shanghai-Guangzhou, Beijing-Urumqi and Xiamen-Shanghai. Regional Routes The company offers scheduled service between Hong Kong and Guangzhou, Shenyang, Wu Yi Shan, Changchun, Xiamen, Shantou, Beijing, Guilin, Meixian, Wuhan, Zhengzhou, Zhanjiang, Luoyang and Nanning; between Macau and Hangzhou, Fuzhou, Xiamen and Quanzhou; between Taipei and Guangzhou, Shanghai, Fuzhou, Hangzhou, Xiamen, Shenyang, Changsha, Wuhan, Dalian, Guilin, Harbin, Guiyang, Changchun, Nanning, Zhengzhou and Shenzhen; between Kaohsiung and Fuzhou, Xiamen; between Taichung and Xiamen. International Routes The company is the principal Chinese airline serving southeast Asian destinations, including Singapore and major cities in Indonesia, Thailand, Malaysia, the Philippines, Vietnam, Myanmar and Cambodia. In addition, the company provides scheduled services to the cities in Korea, Japan, Australia, The United Arab Emirates, Russia, Holland, New Zealand, India, France, Kazakhstan, Nepal, the United States, Kirghizstan, Iran, Turkmenistan, Tajikistan, Pakistan, Canada, Georgia, Azerbaijan, Bangladesh, Maldives, and Uzbekistan. After joining Skyteam Alliance, the Group has established a network reaching 926 destinations globally, connecting 173 countries of regions and covering major cities around the world. In 2011, the company’s major international routes were: Guangzhou-Osaka, Seoul-Shenyang, Seoul-Dalian, Shenyang-Seoul, Guangzhou-Los Angeles, Tianjin-Xiamen-Singapore, Beijing-Guangzhou-Phnom Penh, Dalian-Seoul, Guangzhou-Sydney and Osaka-Guangzhou. Aircraft Fleet As of December 31, 2011, the company operated a fleet of 444 aircraft with an average age of 6.20 years. In 2011, the company entered into one agreement for the acquisition of six Boeing B777F freighters and Xiamen Airlines entered into one purchase agreement for the acquisition of six Boeing B787 series