Hainan Airlines 2 Billion 400 Million Yuan Acquisition Of Three Real Estate Companies

In December 11th, Hainan Airlines (600221.SH) announced that the introduction of good assets to enhance Corporate profits Capacity, Hainan Airlines intends to grant Hainan Airlines Holding Limited liability company (hereinafter referred to as aviation Holdings) wholly owned subsidiary of Hainan hang Peng Industrial Co., Ltd., Hainan Guo Xu Industrial Co., Ltd. and Hainan State Industrial Co., Ltd. 3 real estate item company (hereinafter referred to as three companies) each 100% stake, the proposed transferee price for the assessment value minus the relevant taxes and fees to determine 2 billion 465 million yuan.

The main assets of the three companies are C09, C10, D09 and D01, which are located in the core area of the new city center of Yingshan, Haikou. They are located on the four Guoxing Avenue in the north of Yingshan, near the new Hainan government, Hainan Tower (in construction), new Hainan Airlines building (in construction), and sun moon Plaza (under construction). The total area of the four sites is about 171.92 mu, with a planned construction area of 715 thousand and 300 square meters.

According to the announcement, as of September 30, 2010, four sites had achieved "five links" (i.e. access, electricity supply, water supply, drainage, communication) and "site leveling" within the red line. According to the transfer price of 2 billion 465 million yuan, the floor price per square meter is about 3446 yuan, lower than the market price.

Hainan Airlines said that the construction of the new Yingshan city center in Hainan is speeding up under the background of the international tourism island of the island. The 4 land that the company intends to grant is a non renewable urban central block with excellent geographical location and huge appreciation. After this consignment, the company will choose the right way to deal with the problems such as entrusted development and so on, so as to enhance the profitability of the company. The assignee will not affect the ability of the company to continue its business.

Air holding is a wholly owned subsidiary of Hainan Airlines Group, HNA Group (hereinafter referred to as HNA Group). The transferable share is related party transactions. When the board of directors deliberated the transaction, the related directors had all avoided. The voting procedure was legal and effective, and there was no damage to the interests of the listed company and all shareholders.

The above matters will be considered at the Hainan aviation provisional shareholders' meeting on the morning of December 27th.

In December 6th, Hainan airlines announced that it intends to invest 1 billion 500 million yuan in cash for Hainan International Tourism Island Development and Construction Co., Ltd., a subsidiary of HNA Group, and jointly participate in the development of Hainan's tourism industry. The assignee companies are in Haikou, and the future investment of Hainan airlines in Hainan will further accelerate.