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Air China Plans to Add Routes, Staff on Olympic Travel Demand

By Irene Shen

July 23 (Bloomberg) -- Air China Ltd., the nation's largest international carrier, will add routes and staff as the 2008 Olympic Games fuel demand for travel to its hub, Beijing.

Air China will increase the frequency of flights to Britain, France and Russia, as well as to the U.S., said Zhang Lan, senior vice president of Air China, in an interview in Beijing. It's also applying to add a route to Pyongyang, capital of North Korea, Zhang added.

China's airlines are adding to fleets and routes to gain from increased tourism during the Olympic Games. Beijing is expecting 1.7 million visitors for the Olympics, with 1.1 million domestic travelers and the rest from overseas, the Beijing 2008 Organizing Committee said April 18, citing estimates from the Beijing Tourism Administration.

``Network expansion may help boost Air China's profit,'' said Zhang. ``We're aiming to become one of the world's best- performing carriers.''

The Beijing-based carrier plans to move all its operations to a new terminal in Beijing Capital International Airport, which will start operation in March 2008. The new terminal, Asia's largest, will handle flights of Air China and its domestic and overseas partners.

Air China will add several hundred support staff and recruit volunteers to help serve the visitors, Zhang said.

The carrier plans to join the Star Alliance by the end of this year. About 60 percent of the carrier's sales come from domestic flights, with the rest from international routes.

To contact the reporter on this story: Irene Shen in Shanghai at ishen4@bloomberg.net

Last Updated: July 22, 2007 12:01 EDT

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