2021-03-30 16:00Fleet and Operations - As of the reporting period, Air China operates a fleet of 707 aircraft with an average age of 7.74 years, serving 674 routes, including 48 international routes and 620 domestic routes[4]. - Air China has expanded its service network to 1,300 destinations across 195 countries and regions through cooperation with Star Alliance members[4]. - The company operated 40 international flights per week, the highest among domestic airlines, following the Civil Aviation Administration's "Five Ones" policy[38]. - The company launched new domestic routes such as Beijing-Hengyang and Beijing-Daxing-Bazhong, and international routes including Shanghai-Pudong-Singapore[40]. - The company introduced 14 new aircraft in 2020, including 2 A350 and 8 A320NEO, while retiring 6 aircraft[90]. Financial Performance - The total operating revenue for 2020 was CNY 69,503,749, a decrease of 48.96% compared to CNY 136,180,690 in 2019[23]. - The net profit attributable to shareholders for 2020 was a loss of CNY 14,409,429, representing a decline of 324.85% from a profit of CNY 6,408,576 in 2019[23]. - The operating cash flow for 2020 was CNY 1,408,174, down 96.33% from CNY 38,340,183 in 2019[23]. - The total assets at the end of 2020 were CNY 284,070,710, a decrease of 3.46% from CNY 294,253,553 at the end of 2019[23]. - The company reported a loss of CNY 18,474,520 for the total profit in 2020, compared to a profit of CNY 9,104,639 in 2019, marking a decline of 302.91%[23]. Customer Engagement and Loyalty - The total number of Phoenix Miles members reached 68.18 million by the end of the reporting period, reflecting the company's strong customer loyalty program[1]. - As of the end of the reporting period, Air China's frequent flyer program, Phoenix Miles, had over 68.18 million members, contributing 52.3% to passenger revenue, an increase of 6 percentage points year-on-year[41]. - The company has optimized its mobile applications and e-commerce platforms, completing 112 iterations and adding over 1,970 new features[57]. - The company launched a series of innovative travel products, including "Your Journey, Defined by You," to enhance customer engagement and revenue generation[59]. Safety and Risk Management - Air China is committed to enhancing service quality by prioritizing passenger health and safety, implementing strict pandemic prevention measures throughout the travel process[9]. - The company has established a comprehensive risk management mechanism to prevent operational risks and enhance governance capabilities[9]. - In 2020, Air China achieved a total of 1.553 million safe flight hours, ensuring the safety of major transportation tasks[8]. - The company executed over 100 charter flights to support the resumption of work and school during the pandemic, receiving widespread customer recognition[41]. Cost Management and Efficiency - The company implemented a cost control strategy focusing on optimizing fleet operations and improving resource efficiency, which helped mitigate the impact of the pandemic[42]. - The company maintained strict cost control measures, rapidly restructuring its cost structure to ensure stable cash flow[59]. - Total operating costs decreased by 33.22% to CNY 75.63 billion, primarily due to reduced fuel costs and lower flight operations[73]. - The company reported a significant reduction in financial expenses by 78.77%, from RMB 6.17 billion to RMB 1.31 billion[63]. Market Position and Strategy - The company is positioned as China's only flag carrier, with a focus on building a strong national aviation brand and expanding its international route network[35]. - The company aims to create a world-class aviation transport group during the "14th Five-Year Plan" period, focusing on quality development and safety[9]. - The company aims to enhance its global network and improve passenger experience as part of its strategic transformation[31]. - The company is actively pursuing a hub network strategy to strengthen its position in key markets, including the Yangtze River Delta and the Guangdong-Hong Kong-Macau Greater Bay Area[113]. Corporate Governance and Management - The total compensation for the board members and senior management during the reporting period amounted to CNY 1,581.57 million[166]. - The company has established over 20 governance systems, including the "Board of Directors Proposal Collection Management Regulations" to improve proposal quality[199]. - The company has a diverse board structure, including independent directors who hold a majority in key committees[197]. - The company has maintained its auditing relationship with Deloitte for both domestic and international audits for four years[130]. Environmental and Social Responsibility - The company has established a comprehensive carbon emission monitoring system, becoming the only domestic airline to do so[49]. - The company has implemented ecological restoration projects in drought-affected regions, investing 291.51 thousand RMB in ecological protection[150]. - The company has engaged 39 volunteers in the "Aviation Blue Sky Classroom" initiative, providing a total of 1,088 teaching hours[150]. - The company trained 4,890 grassroots cadres and technical personnel as part of its poverty alleviation efforts, contributing to the exit of two regions from the national poverty list[60].