Domestic route re fuel surcharge

In view of the international crude oil prices continue to rise this year, yesterday, the relevant departments of the state finally agreed to domestic airlines on the domestic routes re fuel surcharge request. Reporters learned that the national development and Reform Commission and the General Administration of civil aviation decided yesterday from August 1st to December 31st to allow airlines to recover fuel surcharges levied on domestic routes. The industry believes that the move can slightly relieve the airline cost pressures, but in view of the fact that this year has been three consecutive increases in fuel prices, airlines this year could still escape the fate of the losses or profits decreased significantly.

It is understood that the standard fuel charge, less than 800 km, to charge 20 yuan per passenger; 800 km including 800 km segment, charge 40 yuan per passenger. Fuel surcharges in the purchase of passenger tickets, passengers have already purchased tickets no longer.

(reporter Zhang Liang)

Aviation stocks rose yesterday

This year, as the international crude oil prices remain high, the national development and Reform Commission in March 15th, June 25th and July 23rd will be the three time the fuel price from 4190 yuan / ton, the original 430 yuan, 300 yuan and 300 yuan, to the current 5220 yuan / ton, an increase of 25%. In the meantime, many domestic airlines have to submit to the national development and Reform Commission to apply for the resumption of the imposition of domestic routes fuel surcharge. The reporter understands, including China Eastern Airlines, China Southern Airlines, Hainan Airlines, Shanghai Airlines and many other domestic listed airlines to issue is expected in the first half of the performance loss or profit decline announcement.

Luo Weide, chief financial officer, told reporters that the national development and Reform Commission agreed to resume the collection of domestic routes fuel surcharge is good news for airlines. By the news, at 2:30 in the afternoon after the airlines yesterday, there were heavy jerking. Among them, the highest increase in Southern Airlines, reaching 4.83%, to close at $2.82, to close at $2.46, up by 4.68%; Shanghai airlines also showed a rise of 3.64%, to close at $3.42.

Mainland Hong Kong and Macao last month re levy

It is understood that in the last month, the relevant departments have been approved by the airlines of China Hongkong, Macao and other special regional airline fuel surcharges levied, and maintain international routes, now all airline fuel surcharges have begun. However, since this year, domestic oil prices have been rising by 1030 yuan / ton, so the fuel surcharge levy to reduce the operating cost of airlines is relatively limited.

Air China Investor Relations Director Rao said that Air China accounted for about 60% of all domestic routes air routes, and Air China's domestic routes are mostly more than 800 kilometers of long-distance routes. The recovery of fuel surcharges will allow airlines to add a way to offset some of the cost pressures caused by rising oil prices. It is reported that, as of the end of last year, the cost of fuel oil accounted for 30% of China's total operating costs.

China Merchants Securities analyst Guo Dongmou believes that the complex domestic fuel surcharge can alleviate airline operation pressure and financial pressure, but is able to fully absorb the influence of oil price but it is still difficult to determine, but also the overall operation state of the 3-4 quarter.

Ease airline cost pressures

Luo Weide said that in July 23rd the price of gasoline rose again after 300 yuan, accounting for the proportion of the proportion of China Eastern Airlines Aviation operating costs accounted for nearly $40%. Although the appreciation of the RMB to bring about $200 million in revenue, but the aviation oil rose $300 in the fourth quarter of this year will increase the cost of about $350 million -4 billion in eastern airlines.

Guo Dongmou told reporters, according to statistics, the average monthly passenger capacity of Southern Airlines between 3 million 300 thousand to 3 million 500 thousand, is expected this year from to December the passenger volume will exceed 17 million. Therefore, China Southern Airlines this year because of the recovery of fuel surcharges can increase the income of about 600 million yuan. According to a rough estimate, the complex domestic fuel surcharge, China Southern Airlines is expected to increase the income of 590 million yuan, China Eastern Airlines to increase the income 350 million yuan, increase the income of more than 90 million yuan.

Luo Weide pointed out that, in fact, there is considerable room for airline ticket prices rise, which is one of the most effective measures to ease the rise in oil prices, and not just rely on re levy domestic routes fuel surcharge. He said that the increase in the price of oil, the airline can be issued according to the Civil Aviation Administration of 4 last year, according to the relevant documents, according to the benchmark price of up to 25%, the provisions of the downward float of the fare adjustment of 45%. However, due to the fierce competition in the domestic civil aviation market, the current discount tickets abound, it is impossible to appear on the basis of the price of the fare on the basis of the situation.

On the one hand, airlines should be based on market supply and demand to adjust their business strategy, the price elasticity is good." Luo Weide said, on the other hand, the airline should strengthen fuel conservation measures or to use the difference between the international oil price to dilute the purchasing cost of fuel oil."