Edgar Filing: CHINA EASTERN AIRLINES CORP LTD

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

___________________

FORM 6-K

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16

under the Securities Exchange Act of 1934

For the month of October 2013

Commission File Number: 001-14550

China Eastern Airlines Corporation Limited

———————————————————————————————————

(Translation of Registrant’s name into English)

Board Secretariat’s Office

Kong Gang San Lu, Number 88

Shanghai, China 200335

———————————————————————————————————

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F: x Form 20-F ¨ Form 40-F

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ¨

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934: ¨ Yes x No

If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): n/a

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

		China Eastern Airlines Corporation Limited
		(Registrant)

Date	October 30, 2013	By	/s/ Wang Jian
			Name: Wang Jian
			Title: Joint Company Secretary

Certain statements contained in this announcement may be regarded as "forward-looking statements" within the meaning of the U.S. Securities Exchange Act of 1934, as amended. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual performance, financial condition or results of operations of the Company to be materially different from any future performance, financial condition or results of operations implied by such forward-looking statements. Further information regarding these risks, uncertainties and other factors is included in the Company's filings with the U.S. Securities and Exchange Commission. The forward-looking statements included in this announcement represent the Company's views as of the date of this announcement. While the Company anticipates that subsequent events and developments may cause the Company's views to change, the Company specifically disclaims any obligation to update these forward-looking statements, unless required by applicable laws. These forward-looking statements should not be relied upon as representing the Company's views as of any date subsequent to the date of this announcement.

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

(A joint stock limited company incorporated in the People’s Republic of China with limited liability)

(Stock code: 00670)

THIRD QUARTERLY REPORT 2013

This announcement is made by the Company pursuant to the disclosure requirement under Rule 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.

The financial statements of the Company for the third quarter of 2013 were not audited, and were prepared in accordance with the PRC Accounting Regulations.

IMPORTANT NOTICE

This announcement is made by China Eastern Airlines Corporation Limited (the “Company”) pursuant to the disclosure requirement under Rule 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (which requires any issuer listed on The Stock Exchange of Hong Kong Limited (the “Stock Exchange”) whose securities are also listed on other stock exchange(s) to simultaneously inform the Stock Exchange of any information released to any of such other exchange(s) and to ensure that such information is released to the market in Hong Kong at the same time as it is released to the other market(s)). At the request of the Shanghai Stock Exchange, a similar announcement of the even date is being made by the Company in Shanghai pursuant to the relevant provisions of the Shanghai listing rules and regulations.

This quarterly report was prepared in accordance with the regulations as prescribed by the China Securities Regulatory Commission (the “CSRC”) in relation to disclosure of information in quarterly reports for listed companies, and is published simultaneously in Shanghai and Hong Kong. The financial statements of the Company for the third quarter of 2013 were not audited, and were prepared in accordance with the PRC Accounting Regulations.

The board of directors (the “Board”) and the supervisory committee of the Company, and its directors, supervisors and senior management hereby confirm that the information set out in this quarterly report is true, accurate and complete, and does not contain false information, misleading statement or material omission, and accept joint and several legal responsibility for this quarterly report.

- 1 -

All directors of the Company attended the meeting of the Board

Name of the person-in-charge of the Company	Liu Shaoyong
Name of the officer-in-charge of accounting	Ma Xulun
Name of the officer-in-charge of the accounting department	Wu Yongliang
(accounting officer)

Liu Shaoyong, the person-in-charge of the Company, Ma Xulun, the officer-in-charge of accounting of the Company, and Wu Yongliang, the officer-in-charge of the accounting department (accounting officer) of the Company hereby confirm that the financial statements forming part of this quarterly report are true, accurate and complete.

The financial statements in the third quarterly report of the Company are unaudited.

MAIN FINANCIAL DATA AND CHANGES IN SHAREHOLDERS OF THE COMPANY

2.1

Main financial data

					Unit:’000 Currency: RMB

	As at the end of the reporting period		As at the end of last year		Increase/ decrease as at the end of the reporting period compared with the end of last year (%)

Total assets		133,327,654		120,962,479		10.22
Net assets attributable to the shareholders of listed company		30,766,418		23,376,346		31.61

	From the beginning of the year to the end of the reporting period (from January to September)		From the beginning of last year to the end of the reporting period last year (from January to September)		Increase/ decrease compared with the same period last year (%)

Net cash flows from operating activities		11,823,223		11,631,280		1.65

- 2 -

	From the beginning of the year to the end of the reporting period (from January to September)		From the beginning of last year to the end of the reporting period last year (from January to September)		Increase/ decrease compared with the same period last year (%)
Revenue		67,112,541		65,528,773		2.42

Net profit attributable to shareholders of listed company		3,621,361		3,629,755		–0.23
Net profit attributable to shareholders of listed company after deducting non-recurring profit and loss		3,418,440		2,576,564		32.67
Weighted average return on net assets (%)		14.09		16.31		Decrease by 2.22 percentage points
Basic earnings per share (RMB per share)		0.3072		0.3219		–4.57
Diluted earnings per share (RMB per share)		0.3072		0.3219		–4.57

Note:	(1)	The total number of shares of the Company increased from 11,276,539,000 shares as at the beginning of the year to 12,674,269,000 shares as at the end of the reporting period;

	(2)	The relevant earnings per share of the Company in 2012 were calculated based on the weighted average number of the issued ordinary shares of the parent company, namely 11,276,539,000 shares, and the same financial information as at 30 September 2013 was calculated based on the weighted average number of the issued ordinary shares of the parent company, namely 11,789,678,000 shares.

After deducting non-recurring profit and loss and relevant amounts:

			Unit:’000 Currency: RMB

Item	Amount for the period (from July to September)		Amount from the beginning of the year to the end of the reporting period (from January to September)

Gains or losses from disposal of
non-current assets		–466		50
Non-operating incomes and expenses
other than the above		114,793		204,624
Effect on income tax		75		–52
Effect on minority interests (net of tax)		–245		–1,701

Total		114,157		202,921

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2.2

The total number of the Company’s shareholders and the shareholding of the 10 largest shareholders and the shareholding of the 10 largest holders of shares not subject to selling moratorium as at the end of the reporting period

	Unit: Shares

Total number of shareholders	252,289

Shareholding of the 10 largest shareholders

Name of shareholders (in full)	Nature of shareholders	Percentage of shareholding (%)		Total number of shares held		Number of shares subject to selling moratorium held		Number of shares pledged or locked-up

China Eastern Air Holding Company (中國東方航空集團公司) (“CEA Holding”)	State-owned legal person		40.03		5,072,922,927		241,547,927	Nil
HKSCC Nominees Limited (including CES Global Holdings (Hong Kong) Limited (東航國際控股 (香港;有限公司) (“CES Global”))	Overseas legal person		32.97		4,178,469,298		698,865,000	Unknown
CES Finance Holding Co. Ltd (東航金戎控股有限責任公司) (“CES Finance”)	State-owned legal person		3.61		457,317,073		457,317,073	Nil
Shanghai Alliance Investment Limited (上海聯和投資有限公司)	State-owned legal person		3.37		427,085,429		0	Unknown
China National Aviation Fuel Holding Company (中國航空油料集團公司)	State-owned legal person		3.32		421,052,632		0	Unknown
Jin Jiang International Holdings Company Limited (錦江國際;集團;有限公司)	State-owned legal person		2.71		343,288,860		0	Unknown
Aerospace Capital Holding Co., Ltd. (航天投資控股有限公司)	State-owned legal person		0.78		99,088,580		0	Unknown
Sinotrans Air Transportation Development Co., Ltd. (中外運空運發展股份有限公司)	State-owned legal person		0.66		83,157,894		0	Unknown
Everbright Securities Company Limited – Customer Credit Trading Guarantee Securities Account (光大證券股份有限公司客戶信用交易擔保證券賬戶)	Domestic non-state owned legal person		0.21		26,020,930		0	Unknown
Bank of China Group Investment Limited (中銀集團投資有限公司)	Overseas legal person		0.17		21,997,755		0	Unknown

- 4 -

Shareholding of the 10 largest holders of shares not subject to selling moratorium

	Number of
	circulating shares
	not subject to
	selling moratorium
	held at the end
Name of shareholders (in full)	of the period		Class and number of shares

China Eastern Air Holding Company (中國東方航空集團公司)		4,831,375,000	RMB ordinary shares	4,831,375,000
HKSCC Nominees Limited (including CES Global Holdings (Hong Kong) Limited (東航國際控股;香港;有限公司))		3,479,604,298	Overseas listed foreign shares	3,479,604,298
Shanghai Alliance Investment Limited (上海聯和投資有限公司)		427,085,429	RMB ordinary shares	427,085,429
China National Aviation Fuel Holding Company (中國航空油料集團公司)		421,052,632	RMB ordinary shares	421,052,632
Jin Jiang International Holdings Company Limited (錦江國際 ;集團;有限公司)		343,288,860	RMB ordinary shares	343,288,860
Aerospace Capital Holding Co., Ltd. (航天投資控股有限公司)		99,088,580	RMB ordinary shares	99,088,580
Sinotrans Air Transportation Development Co., Ltd. (中外運空運發展股份有限公司)		83,157,894	RMB ordinary shares	83,157,894
Everbright Securities Company Limited – Customer Credit Trading Guarantee Securities Account (光大證券股份有限公司客戶信用交易擔保證券賬戶)		26,020,930	RMB ordinary shares	26,020,930
Bank of China Group Investment Limited (中銀集團投資有限公司)		21,997,755	RMB ordinary shares	21,997,755
Shanghai Light Industry Co., Ltd For Foreign Economic & Technical Co-operation (上海輕工業對外經濟技術合作有限公司)		18,574,343	RMB ordinary shares	18,574,343

Description of connected relationship
or activities in concert among
the above shareholders

Among the 4,178,469,298 shares held by HKSCC Nominees Limited, 2,626,240,000 shares are held by CES Global in the capacity of beneficial owner. CEA Holding, the controlling shareholder of the Company, owns 100% equity interest in CES Finance; and CES Finance owns 100% equity interest in CES Global, thus CES Finance and CES Global are subsidiaries wholly-owned by CEA Holding. The Company is not aware of any other connected relationship or activities in concert among the 10 largest holders of shares which are not subject to selling moratorium.

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IMPORTANT MATTERS

3.1

Details of and reasons for the substantial changes in main items of financial statements and financial indicators of the Company

✓

Applicable

¨ Not applicable

Item	Change		Reasons for the change
	(%)
Notes receivable		316.67	Primarily due to the use of notes receivable in the settlement of part of the charter flights receivable in this year

Short-term borrowings		–32.32	Primarily due to the decrease in short- term borrowings of the Company

Derivative financial liabilities		–54.90	Primarily due to the decrease in the interest rate and notional principal under the forward foreign exchange contracts in the reporting period

Notes payable		100	Primarily due to the increase in the amounts of letters of credit issued to the suppliers by the Company in 2013

Interests payable		57.38	Primarily due to the increase in the Company’s long-term borrowings, which in turn increased the interest expenses of the borrowings accordingly

Bonds payable		279.31	Primarily due to the Company’s issuance of corporate bonds in 2013

Business taxes and surcharges		–49.80	Primarily due to the implementation of the “transformation from business tax to value-added tax” policy by some of the Company’ subsidiaries since the second half of 2012

Finance expenses		–124.57	Primarily due to the increase in exchange rate of RMB against USD during the reporting period

Investment gains		–58.88	Primarily due to the decrease of operating profits of associated companies and joint ventures during the reporting period

- 6 -

3.2

Analysis of the progress of significant events and their effects and proposed solutions

✓

Applicable

Not applicable

On 30 August 2013, as considered at the fourth regular meeting of the Board in 2013, the Board approved the Company to enter into each of the continuing connected transaction agreements (which included “Property Leasing Framework Agreement”, “Financial Services Framework Agreement”, “Import and Export Agency Framework Agreement”, “Catering Services Framework Agreement”, “Sales Agency Services Framework Agreement”, “Maintenance and Repair Services Framework Agreement”, “Advertising Services Framework Agreement”, “Property Management Services Framework Agreement” and “Hotel Accommodation Services Framework Agreement”) with CEA Holding and its subsidiaries, with a valid term of three years commencing from 1 January 2014 to 31 December 2016, and approved the respective annual cap amounts of the continuing connected transactions for each year from 2014 to 2016. Among the abovementioned agreements, the transactions contemplated under “Financial Services Framework Agreement” and “Catering Services Framework Agreement” and their respective annual cap amounts for each year of 2014 to 2016 were considered and approved at the 2013 first extraordinary general meeting of the Company held on 29 October 2013. For details, please see the announcement in relation to the continuing connected transactions and announcement in relation to the poll results of the 2013 first extraordinary general meeting of the Company published in the “China Securities Journal”, “Shanghai Securities News” and the websites of the Stock Exchange and the Shanghai Stock Exchange on 31 August 2013 and 30 October 2013, respectively.

3.3

The status of implementation of the matters undertaken by the Company and shareholders holding more than 5% interests

✓

Applicable

Not applicable

Background of undertaking

Type of
undertaking

Undertaking party

Content of undertaking

Time and term of undertaking

Is there any implementation period

Whether the
undertaking
has been strictly implemented
in a timely manner

Undertaking in
relation to material asset restructuring

To resolve business
competition

CEA Holding

Pursuant to the “Report relating to share exchange and absorption of Shanghai Airlines Co., Ltd (draft)” published by the Company on 11 August 2009, CEA Holding undertook that: within 3 years after completion of the absorption, it shall duly resolve the problem of business competition between CEA Holding and the Company by means of entrusting the competing business of CEA Holding to the Company, injecting or selling the competing business of CEA Holding to the Company, or CEA Holding acquiring the competing business from the Company. The specific resolutions are subject to the specific conditions at the time of the resolutions and the characteristics of different ancillary operation segments.

Time of undertaking: 11 August 2009; term of undertaking: from 29 December 2010 to 29 December 2013

Yes

Undertaking in
relation to refinancing

Trading
moratorium

CEA Holding/
CES Finance

Pursuant to the “Report on non-public issuance of A shares” published by the Company on 17 April 2013, the Company issued 241,547,927 A shares of the Company and 457,317,073 A shares of the Company to CEA Holding and CES Finance respectively, on a non-public basis in April 2013. CEA Holding and CES Finance undertook that: they shall not transfer the A shares of the Company purchased under the aforesaid issuance within 36 months from the date of completion of the issuance of A shares.

Time of undertaking: April 2013; term of undertaking: from 16 April 2013 to 16 April 2016

Yes

CES Global

T h e Company issued 698,865,000 additional H shares to CES Global in June 2013. According to the resolution passed at the 18th ordinary meeting of the sixth session of the Board held on 11 September 2012 and the resolution passed at the 2012 first extraordinary general meeting of the Company held on 9 November 2012, CES Global undertook that: it shall not transfer the H shares of the Company purchased under the aforesaid issuance within 36 months from the date of completion of the issuance of H shares.

Time of undertaking: November 2012; term of undertaking: from 21 June 2013 to 21 June 2016

Yes

To resolve defects
in land and other property ownership

CEA Holding

Due to historical problems, some of the land and property injected by CEA Holding into the Company had not yet been transferred to the name of the Company. In this regard, CEA Holding undertook that it shall, on a best-effort basis, enable the Company to obtain the relevant land use rights certificates and property ownership certificates in relation to its capital contribution to the Company, and complete the relevant legal procedures in relation to the transfer of property ownership; and CEA Holding shall bear all obligations in relation to the losses caused to the Company as a result of the failure of CEA Holding in completing the relevant procedures for transferring the relevant property ownership in a timely manner, and shall indemnify all the losses suffered by the Company in this regard.

Time of undertaking: 2001; effective for a long- term

Yes

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3.4

Warning of and reasons for any expected accumulated losses from the beginning of the year to the end of the following reporting period or substantial changes in profitability compared to the same period last year

Applicable

✓

Not applicable

By order of the Board

中國東方航空股份有限公司

CHINA EASTERN AIRLINES CORPORATION LIMITED

Liu Shaoyong

Chairman

As at the date of this announcement, the directors of the Company are:

Liu Shaoyong	(Chairman)
Ma Xulun	(Vice Chairman, President)
Xu Zhao	(Director)
Gu Jiadan	(Director)
Li Yangmin	(Director, Vice President)
Tang Bing	(Director, Vice President)
Sandy Ke-Yaw Liu	(Independent non-executive Director)
Ji Weidong	(Independent non-executive Director)
Shao Ruiqing	(Independent non-executive Director)
Li Ruoshan	(Independent non-executive Director)
Ma Weihua	(Independent non-executive Director)

Shanghai, the People’s Republic of China

29 October 2013

- 8 -

APPENDICES

4.1

Consolidated Balance Sheet

30 September 2013

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

	Balance at the		Balance at the
	end of the		beginning
Item	reporting period		of the year

Current assets:
Monetary capital		5,147,269		4,237,947
Settlement reserves fund		–		–
Deposits with banks and
other financial institutions		–		–
Derivative financial assets		47,180		18,074
Notes receivable		25,000		6,000
Trade receivables		2,991,073		2,956,181
Prepayments		1,096,218		823,681
Premiums receivable		–		–
Receivables from reinsurers		–		–
Reinsurance deposits receivable		–		–
Interest receivable		9,089		6,309
Dividends receivable		63,384		59,186
Other receivables		1,590,241		1,559,338
Buying back the sale of financial assets		–		–
Inventory		2,238,889		2,087,978
Non-current assets due within one year		–		–
Other current assets		1,190,413		920,135

Total current assets		14,398,756		12,674,829

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4.1

Consolidated Balance Sheet (Cont’d)

30 September 2013

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

	Balance at the		Balance at the
	end of the		beginning
Item	reporting period		of the year

Non-current assets:
Entrusted loans and advances		–		–
Financial assets available for sale		1,955		1,955
Held-to-maturity investments		–		–
Long-term receivables		–		–
Long-term equity investment		1,798,115		1,484,366
Properties held for investment		–		–
Fixed assets		87,007,332		80,481,809
Construction in progress		17,352,303		13,878,942
Construction materials		–		–
Disposal of fixed assets		–		–
Biological assets for production		–		–
Oil and gas assets		–		–
Intangible assets		2,129,270		1,961,250
Development expenses		–		–
Goodwill		8,509,030		8,509,030
Long-term deferred expenses		1,364,109		1,150,712
Deferred income tax assets		18,239		12,043
Other non-current assets		748,545		807,543

Total non-current assets		118,928,898		108,287,650

Total assets		133,327,654.00		120,962,479

- 10 -

4.1

Consolidated Balance Sheet (Cont’d)

30 September 2013

Prepared by: China Eastern Airlines Corporation Limited Amounts expressed in RMB’000

Unaudited

	Balance at the		Balance at the
	end of the		beginning
Item	reporting period		of the year

Current liabilities:
Short-term borrowings		6,009,938		8,880,244
Borrowings from Central Bank		–		–
Deposits from customers and other banks		–		–
Advances from banks and
other financial institutions		–		–
Derivative financial liabilities		153,420		340,149
Notes payable		500,000		250,000
Trade payables		11,652,471		10,848,016
Account collected in advance		3,894,489		3,559,027
Financial assets sold for repurchase		–		–
Handling charges and commissions
payable		–		–
Staff remuneration payable		2,416,582		2,601,875
Tax payable		1,702,196		1,756,442
Interest payable		373,663		237,421
Dividends payable		4,800		–
Other payables		3,116,789		2,954,190
Amounts due to reinsurers		–		–
Insurance deposits payable		–		–
Securities trading agency fees		–		–
Security underwriting fees		–		–
Non-current liabilities due within one year		12,490,218		13,414,181
Other current liabilities		4,000,000		4,000,000
Total current liabilities
		46,314,566		48,841,545
Non-current liabilities:
Long-term borrowings		23,240,935		20,596,163
Bonds payable		9,482,822		2,500,000
Long-term payables		20,266,622		22,507,716
Special items payable		111,710		116,558
Expected liabilities		–		–
Deferred income tax liabilities		29,361		29,326
Other non-current liabilities		1,456,611		1,328,529

Total non-current liabilities
		54,588,061		47,078,292
Total liabilities
		100,902,627		95,919,837

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4.1

Consolidated Balance Sheet (Cont’d)

30 September 2013

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

	Balance at the		Balance at the
	end of the		beginning
Item	reporting period		of the year

Owners’ equity (or shareholders’ equity):
Paid-up capital (or share capital)		12,674,269		11,276,539
Capital reserves		17,506,425		15,135,450
Less: Treasury shares		–		–
Special reserves		–		–
Surplus reserves		–		–
Provision for ordinary risks		–		–
Undistributed profits		585,724		–3,035,643
Exchange difference in foreign
currency statements		–		–
Total equity attributable to equity holders
of parent company		30,766,418		23,376,346
Minority interests		1,658,609		1,666,296

Total owners’ equity		32,425,027		25,042,642

Total liabilities and owners’ equity		133,327,654		120,962,479

Legal representative of the Company: Liu Shaoyong

Officer-in-charge of accounting: Ma Xulun

Officer-in-charge of the accounting department: Wu Yongliang

- 12 -

4.1

Balance Sheet of Parent Company

30 September 2013

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

	Balance at the		Balance at the
	end of the		beginning
Item	reporting period		of the year

Current assets:
Monetary capital		866,524		726,965
Derivative financial assets		47,180		18,074
Notes receivable		–		–
Trade receivables		4,616,902		3,601,021
Prepayments		266,916		414,702
Interest receivable		–		–
Dividends receivable		94,666		138,409
Other receivables		10,135,100		5,270,769
Inventory		1,899,145		1,794,447
Non-current assets due within one year		–		–
Other current assets		1,140,349		1,125,151

Total current assets		19,066,782		13,089,538

Non-current assets:
Financial assets available for sale		–		–
Held-to-maturity investments		–		–
Long-term receivables		–		–
Long-term equity investment		11,080,796		12,342,036
Properties held for investment		–		–
Fixed assets		56,563,642		54,469,625
Construction in progress		16,021,345		12,231,183
Construction materials		–		–
Disposal of fixed assets		–		–
Biological assets for production		–		–
Oil and gas assets		–		–
Intangible assets		1,127,451		943,257
Development expenses		–		–
Goodwill		8,509,030		8,509,030
Long-term deferred expenses		1,030,144		825,625
Deferred income tax assets		–		–
Other non-current assets		282,257		251,411

Total non-current assets		94,614,665		89,572,167

Total assets		113,681,447		102,661,705

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4.1

Balance Sheet of Parent Company (Cont’d)

30 September 2013

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

	Balance at the		Balance at the
	end of the		beginning
Item	reporting period		of the year

Current liabilities:
Short-term borrowings		5,135,817		7,555,262
Derivative financial liabilities		153,420		340,149
Notes payable		500,000		–
Trade payables		14,292,865		11,393,136
Account collected in advance		3,355,130		2,955,551
Staff remuneration payable		1,641,972		1,604,161
Tax payable		807,036		919,523
Interest payable		288,016		161,649
Dividends payable		–		–
Other payables		5,174,788		4,167,065
Non-current liabilities due within one year		9,879,994		11,030,817
Other current liabilities		4,000,000		4,000,000

Total current liabilities		45,229,038		44,127,313

Non-current liabilities:
Long-term borrowings		17,231,664		15,087,334
Bonds payable		4,786,797		–
Long-term payables		14,312,110		17,273,947
Special items payable		91,352		91,821
Expected liabilities		–		–
Deferred income tax liabilities		–		–
Other non-current liabilities		851,317		769,696

Total non-current liabilities		37,273,240		33,222,798

Total liabilities		82,502,278		77,350,111

- 14 -

4.1

Balance Sheet of Parent Company (Cont’d)

30 September 2013

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

	Balance at the		Balance at the
	end of the		beginning
Item	reporting period		of the year

Owners’ equity (or shareholders’ equity):
Paid-up capital (or share capital)		12,674,269		11,276,539
Capital reserves		17,921,711		15,551,235
Less: Treasury shares		–		–
Special reserves		–		–
Surplus reserves		–		–
Provision for ordinary risks		–		–
Undistributed profits		583,189		–1,516,180

Total owners’ equity (or shareholders’ equity)		31,179,169		25,311,594

Total liabilities and owners’ equity (or shareholders’ equity)		113,681,447		102,661,705

Legal representative of the Company: Liu Shaoyong

Officer-in-charge of accounting: Ma Xulun

Officer-in-charge of the accounting department: Wu Yongliang

- 15 -

4.2

Consolidated Income Statement

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

Amount

from the

Amount

beginning of

Amount

for the

the year to

last year to

for the

corresponding

the end of

reporting

period of

the reporting

period

last year

period (from

(from July to

January to

Item

September)

Total revenue

25,633,287

25,125,993

67,112,541

65,528,773

Of which: Revenue

25,633,287

25,125,993

67,112,541

65,528,773

Interest income

–

Premiums earned

–

Handling charges and

commission income

–

Total operating costs

23,234,772

22,661,247

65,162,862

63,159,264

Of which: Operating costs

20,868,445

19,633,297

59,110,071

55,149,960

Interest expenses

–

Handling charges and

commission expenses

–

Payments on surrenders

–

Net compensation

expenses

–

Net provision for

insurance contract

–

Insurance policy

dividend expenses

–

Reinsurance expenses

–

Business taxes and

surcharges

74,977

217,968

279,838

557,395

Selling expenses

1,583,237

1,532,240

4,208,311

4,003,998

Administrative

expenses

683,492

691,812

1,940,344

1,861,622

Finance expenses

24,621

586,049

–394,984

1,607,427

Assets impairment loss

–

–119

19,282

–21,138

Add: Gains arising from changes

in fair value (loss

indicated by “–”)

6,905

7,729

18,551

17,576

Investment gains

(loss indicated by “–”)

45,991

73,171

57,042

138,717

Of which: Investment gains

on associated companies

and joint ventures

–

Exchange gains

(loss indicated by “–”)

–

- 16 -

4.2

Consolidated Income Statement (Cont’d)

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

Amount

from the

Amount

beginning of

Amount

for the

the year to

last year to

for the

corresponding

the end of

reporting

period of

the reporting

period

last year

period (from

(from July to

January to

Item

September)

Operating profit (loss indicated

by “–”)

2,451,411

2,545,646

2,025,272

2,525,802

Add: Non-operating income

596,448

312,467

1,777,437

1,411,942

Less: Non-operating expenses

2,651

3,222

7,780

15,292

Of which: Loss on disposal of

non-current assets

–

Total profits (total losses

indicated by “–”)

3,045,208

2,854,891

3,794,929

3,922,452

Less: Income tax expenses

123,163

112,480

204,074

291,313

Net profit (net loss indicated

by “–”)

2,922,045

2,742,411

3,590,855

3,631,139

Net profit attributable to equity

holders of parent company

2,858,060

2,634,649

3,621,361

3,629,755

Minority interests

63,985

107,762

–30,506

1,384

Earnings per share:

(1) Basic earnings per share

0.2255

0.2336

0.3072

0.3219

(2) Diluted earnings per share

0.2255

0.2336

0.3072

0.3219

Other comprehensive income

–

Total comprehensive income

attributable to equity holders of

parent company

–

Total comprehensive income

attributable to minority

shareholders

–

Legal representative of the Company: Liu Shaoyong

Officer-in-charge of accounting: Ma Xulun

Officer-in-charge of the accounting department: Wu Yongliang

- 17 -

4.2

Income Statement of Parent Company

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

Amount

from the

Amount

beginning of

Amount

for the

the year to

last year to

for the

corresponding

the end of

reporting

period of

the reporting

period

last year

period (from

(from July to

January to

Item

September)

Revenue

13,730,012

13,387,605

35,685,101

35,016,763

Less: Operating costs

10,875,450

10,291,398

31,324,085

29,193,321

Business taxes and surcharges

10,365

19,272

35,448

54,977

Selling expenses

1,010,107

940,959

2,653,069

2,533,916

Administrative expenses

360,385

382,409

1,043,779

1,035,217

Finance expenses

26,671

468,799

–316,874

1,300,104

Assets impairment loss

14,966

–21,000

Add: Gains arising from changes

in fair value (loss indicated

by “–”)

6,905

7,729

18,551

17,576

Investment gains (loss indicated

by “–”)

173,839

71,941

–163,737

229,975

Of which: Investment gains on

associated companies and

joint ventures

–

Operating profit (loss indicated

by “–”)

1,627,778

1,364,438

785,442

1,167,779

Add: Non-operating income

405,904

299,587

1,318,165

1,246,326

Less: Non-operating expenses

859

2,198

4,244

6,235

Of which: Loss on disposal of

non-current assets

–

Total profits (total losses

indicated by “–”)

2,032,823

1,661,827

2,099,363

2,407,870

Less: Income tax expenses

–

Net profit (net loss indicated

by “–”)

2,032,823

1,661,827

2,099,363

2,407,870

Earnings per share:

(1) Basic earnings per share

–

(2) Diluted earnings per share

–

Other comprehensive income

–

Total comprehensive income

–

Legal representative of the Company: Liu Shaoyong

Officer-in-charge of accounting: Ma Xulun

Officer-in-charge of the accounting department: Wu Yongliang

- 18 -

4.3

Consolidated Cash Flow Statement

From January to September 2013

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

		Amount from		Amount from
		the beginning of		the beginning of
		the year to		last year to
		the end of the		the end of the
		reporting period		reporting period
Item		(from January		(from January
		to September)		to September)
1.	Cash flow from operating activities:
	Cash received from sales of goods and
	provision of labour services		69,790,279		66,409,838
	Net increase in customer deposits and
	deposits with banks		–		–
	Net increase in borrowings
	from Central Bank		–		–
	Net increase in advances from other
	financial institutions		–		–
	Cash received from original insurance
	policy premium		–		–
	Net cash received from reinsurance
	operations		–		–
	Net increase in policyholders’ deposits and
	investment		–		–
	Net increase in disposal of derivative
	financial assets		–		–
	Interest, handling charges and commissions
	received by cash		–		–
	Net increase in advances from banks and
	other financial institutions		–		–
	Net increase in repurchase of business funds		–		–
	Refund of taxes received		–		–
	Other cash received from operating activities		4,729,012		4,223,044

	Sub-total of cash inflow from operating activities		74,519,291		70,632,882
	Cash paid for purchase of goods and
	receiving of labour services		45,648,236		42,170,361
	Net increase in customers deposits and
	advances		–		–
	Net increase in deposits with Central Bank
	and banks		–		–
	Compensation paid pursuant to original
	insurance contract and settled in cash		–		–
	Interest, handling charges and commission
	paid by cash		–		–
	Insurance policy dividend paid by cash		–		–
	Cash paid to and for employees		10,302,690		10,156,469
	Taxes paid		2,183,702		2,647,767
	Other cash paid for operating activities		4,561,440		4,027,005

	Sub-total of cash outflow from operating activities		62,696,068		59,001,602

	Net cash flows from operating activities		11,823,223		11,631,280

- 19 -

4.3

Consolidated Cash Flow Statement (Cont’d)

From January to September 2013

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

		Amount from		Amount from
		the beginning of		the beginning of
		the year to		last year to
		the end of the		the end of the
		reporting period		reporting period
		(from January		(from January
Item		to September)		to September)

2.	Cash flow from investing activities:
	Cash received from disposal of investment		3,286		4,804
	Investment income in cash		5,319		40,668
	Net cash recovered from disposals of fixed assets, intangible assets and other long-term assets		33,858		236,606
	Net cash received from disposal of subsidiaries and other business units		–		–
	Other cash received from investing activities		1,594,016		1,846,722

	Sub-total of cash inflow from investing activities		1,636,479		2,128,800

	Amount paid in cash in relation to purchases of fixed assets, intangible assets and other long-term assets		14,215,852		8,302,280
	Investments paid in cash		258,289		–
	Net increase in pledged loans		–		–
	Net cash received from subsidiaries and other business units		–		–
	Other cash paid for investing activities		2,100,007		870,420

	Sub-total of cash outflow from investing activities		16,574,148		9,172,700

	Net cash flow from investing activities		–14,937,669		–7,043,900

- 20 -

4.3

Consolidated Cash Flow Statement (Cont’d)

From January to September 2013

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

		Amount from		Amount from
		the beginning of		the beginning of
		the year to		last year to
		the end of the		the end of the
		reporting period		reporting period
		(from January		(from January
Item		to September)		to September)

3.	Cash flow from fund raising activities:
	Proceeds received in cash from investments		3,622,392		153,850
	Of which: Cash received by subsidiaries from investment by minority shareholders		–		–
	Cash received from borrowings		21,065,079		28,303,603
	Proceeds received in cash from bonds issuance		6,985,069		–
	Other proceeds in cash from fund raising activities		–		236,475
	Sub-total of cash inflow from fund raising activities		31,672,540		28,693,928
	Cash paid for repayment of indebtedness		22,652,548		26,045,464
	Cash payments for distribution of dividends, profits or payments of interest expense		1,212,963		1,451,906
	Of which: Dividend and profit paid by subsidiaries to minority shareholders		18,720		23,042
	Other cash paid for fund raising activities		2,333,647		4,152,103

	Sub-total of cash outflow from fund raising activities		26,199,158		31,649,473

	Net cash flow from fund raising activities		5,473,382		–2,955,545

4.	Effect of changes in exchange rate on cash and cash equivalents		–6,405		14,389

5.	Net increase in cash and cash equivalents		2,352,531		1,646,224
	Add: Balance of cash and cash equivalents at the beginning of the period		2,511,696		3,860,973

6.	Balance of cash and cash equivalents at the end of the period		4,864,227		5,507,197

Legal representative of the Company: Liu Shaoyong

Officer-in-charge of accounting: Ma Xulun

Officer-in-charge of the accounting department: Wu Yongliang

- 21 -

4.3

Cash Flow Statement of Parent Company

From January to September 2013

Prepared by: China Eastern Airlines Corporation Limited Amounts expressed in RMB’000

Unaudited

		Amount from		Amount from
		the beginning of		the beginning of
		the year to		last year to
		the end of the		the end of the
		reporting period		reporting period
		(from January		(from January
Item		to September)		to September)

1.	Cash flow from operating activities:
	Cash received from sales of goods and
	provision of labour services		35,589,683		36,123,141
	Refund of taxes received		–		–
	Other cash received from operating activities		4,082,237		3,584,422
	Sub-total of cash inflow from operating
	activities		39,671,920		39,707,563
	Cash paid for purchase of goods and
	receiving of labour services		23,160,203		21,106,208
	Cash paid to and for employees		6,181,371		5,810,053
	Taxes paid		1,122,808		1,307,964
	Other cash paid for operating activities		2,960,439		2,971,937

	Sub-total of cash outflow from operating
	activities		33,424,821		31,196,162

	Net cash flows from operating activities		6,247,099		8,511,401

2.	Cash flow from investing activities:
	Cash received from disposal of investment		963,295		12,165
	Investment income in cash		212,499		60,044
	Net cash recovered from disposals of
	fixed assets, intangible assets and
	other long-term assets		2,381,975		187,590
	Net cash received from disposal of
	subsidiaries and other business units		–		–
	Other cash received from investing activities		84,138		125,240

	Sub-total of cash inflow from investing
	activities		3,641,907		385,039
	Amount paid in cash in relation to purchases
	of fixed assets, intangible assets and
	other long-term assets		10,027,898		6,253,475
	Investments paid in cash		47,084		316,840
	Net cash received from subsidiaries and
	other business units		–		–
	Other cash paid for investing activities		3,936,090		–

	Sub-total of cash outflow from investing
	activities		14,011,072		6,570,315

	Net cash flow from investing activities		–10,369,165		–6,185,276

- 22 -

4.3

Cash Flow Statement of Parent Company (Cont’d)

From January to September 2013

Prepared by: China Eastern Airlines Corporation Limited

Amounts expressed in RMB’000

Unaudited

		Amount from		Amount from
		the beginning of		the beginning of
		the year to		last year to
		the end of the		the end of the
		reporting period		reporting period
		(from January		(from January
Item		to September)		to September)

3.	Cash flow from fund raising activities:
	Proceeds received in cash from investments		3,572,391		–
	Cash received from borrowings		18,405,031		25,024,644
	Proceeds received in cash from
	bonds issuance		4,789,526		–
	Other proceeds in cash from fund raising
	activities		–		236,475
	Sub-total of cash inflow from fund raising
	activities		26,766,948		25,261,119
	Cash paid for repayment of indebtedness		19,391,729		22,467,664
	Cash payments for distribution of dividends,
	profits or payments of interest expense		887,727		1,184,601
	Other cash paid for fund raising activities		2,206,334		2,846,448

	Sub-total of cash outflow from
	fund raising activities		22,485,790		26,498,713

	Net cash flow from fund raising activities		4,281,158		–1,237,594

4.	Effect of changes in exchange rate on
	cash and cash equivalents		–3,510		14,072

5.	Net increase in cash and cash equivalents		155,582		1,102,603
	Add: Balance of cash and cash equivalents
	at the beginning of the period		617,422		852,012

6.	Balance of cash and cash equivalents
	at the end of the period		773,004		1,954,615

Legal representative of the Company: Liu Shaoyong

Officer-in-charge of accounting: Ma Xulun

Officer-in-charge of the accounting department: Wu Yongliang

- 23 -