Xiamen Airlines reports profitable 2008

China Southern Airlines subsidiary Xiamen Airlines posted a net profit of CNY210 million ($30.7 million) in 2008, its 22nd consecutive year in the black despite the collective loss suffered by Chinese carriers last year.

Xiamen did not disclose its revenue or expense figures but cited the "effective cost control" facilitated by its all-Boeing fleet and "proper capacity adjustments" for the result.

It currently operates 49 aircraft: Three 737-500s, 15 737-700s, 23 737-800s and eight 757-200s. When forced to cut capacity as the market soured, it canceled its lease of four 737-500s and sold one 757. Leases on two 737-500s have been ended this year as well.

Passenger boardings in 2008 rose 3.9% year-over-year to 9.6 million while cargo volume increased 2.1% to 124,000 tonnes.

Unlike Shenzhen Airlines, a profitable carrier that is keen on rapid expansion (ATWOnline, April 20), Xiamen said it has no interest in gorwing its business during the first half of this year.