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Published: Thursday, October 18, 2007

Air China chairman says company plans to stick with 747

BEIJING -- Air China Ltd. said late Thursday it has no plans to order the double-decker Airbus A380 jumbo jet because its fleet uses the rival Boeing 747, although it wouldn't rule out purchases of the big Airbus plane in the future.

Airbus executives said earlier this week that Air China was among the customers they were pursuing for the A380. But Air China Chairman Li Jixiang said Thursday that it makes more sense for the company to use just one kind of jumbo jet.

"Usually it would be better for a carrier to stick to one type of big aircraft in its fleet and better to form a certain scale," Li said, speaking to reporters. "Otherwise the costs would rise."

Airbus delivered its first A380s this week to Singapore Airlines almost two years behind schedule. Airbus Chief Operating Officer John Leahy said the plane maker expects new orders from Asia by the middle of next year.

Leahy said Airbus was trying to sell its biggest jet model to Air China and Air India and that it was in talks with Japanese carriers.

Delays to a new Boeing jet, the 787, will affect just one of the 15 models Air China has ordered, Li said Thursday. Air China is seeking compensation for the delay, he added.

Air China expects at least a 15 percent rise in passenger numbers in 2008, up from the expected 35 million to 38 million this year, Li said. The company's international routes are expected to become profitable by full-year 2008, he said.

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