DHL Worldwide Express has agreed terms to buy 30 per cent of Cathay Pacific's Air Hong Kong cargo subsidiary. The two companies have pledged to invest US$300m by 2004 to buy more freighters. Currently, Air Hong Kong leases three Boeing 747-200 freighters from Cathay but the company wants to buy five more freighters by 2010.
The joint venture has identified 11 Asian destinations it wants to serve. It may also start flying to mainland Chinese destinations if allowed to do so, said Kenny Tang, general manager of Cathay's cargo business.