China Eastern may sell stake in regional carrier

China Eastern Airlines is in talks to sell some of its 40% stake in Shaanxi-based joint venture China Joy Air to the joint venture partner, Aviation Industry Corp of China (AVIC), XFN-Asia reported, citing state media. AVIC has reportedly agreed to the purchase though the size of the stake has yet to be decided. The stake sale and staff cuts are among the measures expected to help China Eastern weather the global financial crisis. China Eastern also announced that fuel hedging losses for 2008 could amount to US$907.2 million while weakening demand could also result in "significant" losses for the year.