After more than three years' negotiation, China Southern Airlines has inked an agreement yesterday to become a member of the SkyTeam Alliance, making it the first Chinese airlines to join a global airlines alliance.

Currently there are three major airlines alliances: the Star Alliance, Oneworld and SkyTeam.

Industry insiders said that airline alliances generate big incomes for their members: member companies can reduce their fuel costs via group purchases and get cheaper airport services through joint negotiations. They can also build complementary air route networks to attract more passengers.

Reportedly, Air China and Shanghai Airlines will join the Star Alliance on December 12. China Eastern Airlines will also discuss the matter with its new partner Singapore Airlines.

For more details, please read the full story in Chinese (http://www.dfdaily.com/node2/node27/node120/userobject1ai39259.shtml).

(China.org.cn November 16, 2007)