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Grand China Airlines Gains Key Investor

April 6, 2006 By: Camie Foster Travel Agent

Grand China Airlines, the new parent company of Hainan Airlines, is gaining an investment of between $60 million and $100 million from Cayman Islands-based Pan American Holdings. The aircraft-investment entity ends up with a stake in Grand China Airlines following the signing of its letter of intent with Hainan Airlines, which is subject to governmental approval. Grand China Airlines also will own Hainan's other subsidiaries, Xinhua Airlines, Changan Airlines and Shanxi Airlines. Its acquisition of Hong Kong-based CR Airways is pending.

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