On September 22, China Eastern Airlines issued the Notice on the Special Handling of Passenger Tickets of OTT Airlines, stating that from September 22, China Eastern Airlines and OTT will operate together. This means that 123 Airlines has officially bid farewell to the civil aviation market.
OTT will cancel the liquidation and the Passenger may apply for a refund or change
According to the notice on the official website of China Eastern Airlines, due to the change of the actual carrier, in order to protect the legitimate rights and interests of passengers who have purchased OTT flights, China Eastern Airlines has specially formulated relevant ticket refund and change regulations.
The applicable date of issuance of OTT Passenger Ticket refunds and changes is before September 21 (inclusive), and the applicable flight conditions are that the Ticket contains at least one unused segment and is actually carried by the original OTT and the date of carriage is on or after September 22. There is no restriction on the actual carrier and date of other unused segments in the same ticket.
In accordance with the above scope of application, if you apply for a ticket change or refund after September 22 (inclusive) (subject to the cancellation of the ticket reservation time), you can go through the refund and change procedures in accordance with the relevant rules within the validity period of the ticket.
Among them, the refund is within the validity period of the ticket, and the involuntary refund of the unused segment can be handled at the original ticket purchase channel, and the refund service fee will be waived. If a ticket has been changed in accordance with the above principles, if the application for refund is made, it must be handled in accordance with the conditions of use of the ticket.
At the same time, after the merger of China Eastern Airlines and 123 Airlines, the collection standards of China Eastern Airlines' regional aircraft civil aviation development fund include two requirements: first, flights operated by regional aircraft will be exempted from the civil aviation development fund; The second is to use the flight at the time of the original ticket issuance as the standard for whether to collect the Civil Aviation Development Fund for the regional aircraft. If there is a change in the type of aircraft when the ticket is subsequently reissued or the flight is actually executed, the Civil Aviation Development Fund will not refund or make up for it.
Previously, China Eastern Airlines announced on September 20 that since September 22, China Eastern Airlines and OTT have officially merged their operations, and the flights operated by OTT have been changed from those operated by OTT to those operated by China Eastern Airlines, with no changes to flight numbers, flight dates, class of service, flight times, fares, ticket conditions, and passenger services.
It has only been 4 and a half years since its establishment
According to the data, 123 Airlines Co., Ltd. is a wholly-owned subsidiary of China Eastern Airlines Co., Ltd., headquartered in Shanghai. The predecessor of 123 Airlines was China Eastern Business Aviation Co., Ltd., which was established in September 2008, and 123 Airlines was established in February 2020, and its positioning was to operate domestic aircraft such as ARJ21 and C919 when it was established. On June 28, 2020, COMAC delivered their first domestically produced regional jet ARJ21 to Air China, China Eastern Airlines and China Southern Airlines.
It is reported that in 2023 and the first half of 2024, the net profit of 123 Airlines will be -584 million yuan and -273 million yuan respectively, and the net assets as of June 30, 2024 will be -89 million yuan.
Part of the financial data of 123 Airlines Source: China Eastern Airlines announcement
On the evening of August 30, China Eastern Airlines issued two announcements. One is the "Announcement on the Absorption and Merger of a Wholly-owned Subsidiary, 123 Airlines Co., Ltd.", and the other is the "Announcement on the Capital Increase of the Wholly-owned Subsidiary Shanghai Airlines Co., Ltd." According to the announcement, China Eastern Airlines will deregister and liquidate 123 Airlines, integrate it into the unified operation of the company's large fleet, and increase its capital by 4.5 billion yuan to Shanghai Airlines to reduce its asset-liability ratio.
As of the first half of this year, ECTT operated 24 regional airliners ARJ21. China Eastern Airlines said that the company's absorption and merger of 123 Airlines reflects its emphasis on the operation of domestic civil aircraft, and the integration of the ARJ21 fleet into the unified operation of its large fleet and the overall production organization is conducive to the long-term development of the fleet.
Edited by Fan Fan
Source: Hebei Daily client