China Southern Says ``MOO'' To Animal Cargo Flights; Now The #1 Carrier in China in Transporting Live Animals.

Business Editors/Travel Writers

GUANGZHOU, China--(BUSINESS WIRE)--June 18, 2003

China Southern Airlines (NYSE:ZNH)(HKSE:1055), the largest airline in The People's Republic of China, is now the #1 airline in China in the safe and humane transportation of live animals.

China Southern Airlines' mammoth Boeing 747-400 freighters, delivered less than one year ago, have already accomplished numerous "emigrating" missions of prized animals by air to/from more than 10 international cities including Bangkok, Bombay and Chicago.

"All I can say is 'MOO,'" said a beaming Mr. Li Kun, Vice President, China Southern Airlines. "We don't care if the animal crows, roars or sings like a Canary ... we'll carry anything."

Even in April, during the highest point of the SARS epidemic, China Southern Airlines successfully carried out six freight animal charters, generating RMB 6.5 Million ($785,000 US) in unplanned revenue.

"This type of unplanned revenue is really something to 'crow' about, said Mr. Li, added that his company's highly efficient animal charter service has already won accolades for China Southern Airlines' 747-400 cargo operation. Numerous customers at home and around the world have sought out China Southern and in less than one year, 31 special animal cargo charter flights with nearly 3,000 tons have been carried.

On June 20, 2002, China Southern Airlines took its first ever delivery of Boeing 747-400F and was on its way to establishing its own 747 freighter fleet.

And the dream of its own charter freight service began.

To meet customer's demand, China Southern Airlines' new charter service offers individualized flight departure, arrival to any world-wide destination -- and guarantees the safe transportation of live animals.

"Our 747-400 freighters will fly anywhere, anytime to meet our customer's demands," says Mr. Zhang Zhifeng, General Manager, Cargo Department, China Southern Airlines.

Mr. Zhang added that, "When we started focusing in on our charter service, our business sales staff immediately began to promote our aircraft to freight forwarders and private farms around the world. They keep in constant contact with various stockbreeding import & export companies and large wild animal zoos to collect market information, analyze market opportunity, negotiate and sign transportation agreements."

He added that, "Our hard work gained great successes, obtaining the first live animal charter in less than one month after the freighter was delivered. China Southern Airlines' Chicago Office successfully won the bid (against numerous international airlines) to transport 148 Canadian breeding cattle totaling more than 70 tons from Chicago to Beijing."

China Southern Airlines has also improved its customer service quality, expanding its cargo on-line Internet sales system to provide clients with a complete turnkey program which covers door-to-door pick-up, stowage, loading & unloading and complete tracking information.

Shippers can track the entire process -- in real-time -- from anywhere in the world via the Internet. This high quality customer service enables China Southern Airlines' branded service -- Easy Cargo 5000 -- to keep current customers and work to earn the trust of new business. "China Southern Airlines' chartered cargo service rapidly tapped into the cargo market with varied chartered services coming on the heels of transporting not only breeding cattle but a wide range of communication supplies," said Mr. Zhang.

The most amazing scene happened -- Christmas Day 2002.

Swooping down like Santa and his reindeers, China Southern Airlines' mammoth 747-400 carried 100 Bangladeshi tigers and 2,000 Siam alligators from Bangkok, Thailand to Sanya, Hainan. The local media reports say that it was the first time in the world 100 tigers were transported by one aircraft at the same time to the same city.

For this single aviation event, the Sanya Maitree Company has applied for listing in The Guinness Book of Records.

China Southern Airlines Cargo, as a new member in global air freight charter service, has achieved spectacular results ... due in large part to a highly efficient operation to win over the marketplace with aggressive "Westernized" sales & marketing techniques.

China Southern Airlines' Cargo Department has numerous internal layers to make just one charter possible, including flight application, route mapping, ground handling and CIQ (customs, immigration & quarantine) coordination.

If any one of these levels are not cleared, the business will go elsewhere.

And China Southern Airlines -- like every other airline in the world -- is in the business of time management.

Because time is money.

Customers will charter cargo aircraft because they want their merchandise, products or live animals to the final destination -- now.

In order to meet these customer demands for rapid on-time delivery, China Southern Airlines -- beginning with its first cargo charter flight -- has closely worked to streamline its operations.

The China Southern Cargo Department created up a special Task Force to coordinate the sales, marketing and operations of its charter services; the Flight Operation Department provides flight crew scheduling to "squeeze" as much time for additional charter flights; the Capacity & Network Management of the Passenger Service Department actively communicates with the Civil Aviation Administration of China (CAAC) to guarantee the charter flights operational status.

China Southern Airlines has quickly ramped up its cargo charter flights operations.

So, when a customer comes to China Southern Airlines to book a cargo charter flight -- it takes only one week for China's largest airline to complete all charter arrangements including flight schedule and ground handling coordination.

The largest airline in The People's Republic of China for the past 23 years, China Southern Airlines www.cs-air.com/en connects more than 80 cities around the globe. Major business and vacation destinations served in China include: Beijing, Chengdu, Guangzhou, Guilin, Hong Kong, Kunming, Shanghai, Shenzhen and Wuhan and as well as international service, including: Amsterdam, Bangkok, Fukuoka, Hanoi, Ho Chi Minh City, Islamabad, Kuala Lumpur, Jakarta, Los Angeles, Manila, Melbourne, Moscow, Osaka, Penang, Phnom Penh, Seoul, Singapore, Sydney and Tokyo.

For China Southern Airlines reservations and information, please contact your local travel agent.