ANNOUNCEMENT ON KEY OPERATING DATA OF JULY 2019

SSE ANNOUNCEMENT

The SSE Announcement is written in Chinese, with no official English translation. The English translation is provided solely for reference only. In case of any discrepancy between the two versions, the Chinese version shall prevail. The full version of the SSE Announcement is as follows:

AIR CHINA LIMITED

ANNOUNCEMENT ON KEY OPERATING DATA OF JULY 2019

In July 2019, Air China Limited (the "Company"), and its subsidiaries (the "Group") maintained growth in combined passenger traffic (measured by revenue passenger kilometers (the "RPK")) as compared to the same period last year and to the same period last month. Passenger capacity (measured by available seat kilometers (the "ASK")) and passenger traffic recorded a year-on-year increase of 5.6% and 6.4% respectively. For domestic routes, passenger capacity and passenger traffic increased by 7.4% and 8.1% respectively, as compared to the same period last year. For international routes, passenger capacity and passenger traffic increased by 2.1% and 3.2% respectively, as compared to the same period last year. Passenger capacity on regional routes increased by 16.1%, and passenger traffic recorded an increase of 12.9%, as compared to the same period last year. The overall passenger load factor was 81.1%, representing an increase of 0.6 percentage point as compared to the same period last year. The passenger load factor for domestic routes and international routes increased by 0.5 percentage point and 0.9 percentage point respectively, as compared to the same period last year, and the passenger load factor for regional routes decreased by 2.3 percentage points year-on-year.

In terms of cargo operations, in July 2019, cargo capacity (measured by available freight tonne kilometers (the "AFTK")) increased by 3.0% year-on-year. Cargo and mail traffic (measured by revenue freight tonne kilometers (the "RFTK")) decreased by 4.0%, the volume of cargo and mail carried increased by 0.6% as compared to the same period last year. The cargo load factor was 47.8%, representing a year-on-year decrease of 3.5 percentage points.

The Company launched a Chongqing - Hetian route (three shifts per week) on 2 July 2019, and launched a Guiyang - Nanjing route (seven shifts per week) and a Guiyang - Fuzhou route (seven shifts per week) on 21 July 2019.

In July 2019, the Group introduced two A320 series aircraft and one B737-800 aircraft. As at the end of July 2019, the Group operated a fleet of 679 aircraft, including 286 self-owned aircraft, 192 aircraft under finance lease and 201 aircraft under operating lease.