Chinese airlines gain from no-hedge policy

Beijing

CHINA'S airlines are reaping the benefits of a policy not to hedge in the oil market, unlike some of their rivals across the Asia-Pacific.

The "Big Three" - Air China Ltd, China Southern Airlines Co and China Eastern Airlines Corp - will report next week at least a 70 per cent surge in net income for 2015 amid a plunge in oil prices, which helps to trim their biggest expenditure. Hainan Airlines Co, the biggest non-government carrier, is due to report on Thursday.