AA welcomes joint venture of DHL and Cathay Pacific

(HONG KONG, 9 October 2002) -- The Airport Authority (AA) has welcomed the announcement by the express cargo operator DHL Worldwide Express (DHL) and Cathay Pacific Airways (Cathay Pacific) to form a joint venture to serve Hong Kong’s growing air cargo industry, including the new Express Cargo Terminal (ECT) at Hong Kong International Airport (HKIA).

Under the agreement, DHL has acquired a 30% stake in Cathay Pacific’s formerly wholly-owned subsidiary, Air Hong Kong. Air Hong Kong will now purchase a fleet of mid-range, wide body aircraft to operate to major cities in the Asia Pacific region from the airline’s base at HKIA.

The AA awarded the ECT franchise to DHL International (Hong Kong) Ltd. last week. The facility will serve as DHL’s Central Asia Hub and will be the largest of its type in the region.

“The joint venture between DHL and Cathay Pacific will enhance operations of the ECT, providing seamless services to its customers,” said AA Commercial Director Hans Bakker.

“The operation will benefit Hong Kong with hundreds of jobs and related economic benefits, and enhance HKIA’s status as an express cargo hub. It will also enhance HKIA’s position as a logistics centre of the region.”

Ref. PR-650