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Cathay Pacific

Catering venture agreed on

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BEIJING Capital International Airport and Singapore Airport Terminal Services yesterday signed a deal to set up a joint-venture company to operate a catering service at the China national airport.

They signed an agreement to establish the Beijing Airport In-flight Kitchen Limited Company, with a joint investment of US$8.4 million.

Meanwhile, Cathay Pacific Catering Services yesterday signed an equity joint venture agreement to build and manage a flight kitchen at Ho Chi Minh City International Airport in Vietnam.

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The new Beijing company will be jointly run for 20 years and will formally begin operating in 1995, ending the monopoly in the airport's catering service.

It will provide catering services, including Chinese and Western drinks and cakes, and handle the sale of in-flight duty-free goods.

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About 8.7 million passengers used Beijing airport last year, about 34 per cent more than in the previous year. Passenger volume is expected to increase at an annual rate of 24 per cent in the foreseeable future.

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