July 7, 2004, Taipei, Taiwan- China Airlines deployed its first new A330-300 passenger jet on the Kaohsiung-Hong Kong route today. The inaugural ceremony for flight CI625 was presided over by Mr. Philip Wei, President of China Airlines. All passengers on the inaugural flight received a scale model A330-300 aircraft as a souvenir.

¡§The comfortable cabin facilities, and modern and safe navigation systems of the A330-300 will provide passengers with a high degree of value-added service,¡¨ said Mr. Wei. ¡§China Airlines will use this new aircraft to serve southern Taiwan, so that we can continue to provide better service to our cherished clients in this market.¡¨

The new A330 is powered by two GE CF6-8E1A4 engines, and its range is adequate for all of CAL¡¦s Asia regional routes, including Delhi, India. The aircraft is configured in two classes, with 36 seats in Dynasty Supreme Class and 277 seats in Economy Class. The A330, with 313 seats, has 18% more passenger capacity than CAL¡¦s current A300-600R, which has 265 seats. The A330-300 also has 100% more cargo capacity than the A300-600R.

CAL¡¦s newly designed Dynasty Supreme Class features high-tech shell-shaped seats and extended pitch, offering more comfort and privacy. Economy Class seats feature new adjustable lumbar support controls. Regardless of class, every seat is equipped with CAL¡¦s new AVOD (audio video on demand) system. The choice of entertainment includes 24 movies and short features, more than 40 music CDs, and 15 video games. Passengers can enjoy the interactive entertainment system in English, Chinese or Japanese.

The A330-300 has the same cockpit design as CAL¡¦s A340-300s. As a result, it takes only a modest amount of additional training for an A340-300 pilot to become a qualified A330-300 pilot. The two aircraft also share a high degree of commonality in maintenance and spare parts. These features will lead to reduced pilot training costs, and enhanced maintenance quality.

In 2002, China Airlines ordered 14 A330-300s. In addition to the first aircraft deployed on the Kaohsiung-Hong Kong route, CAL will introduce a second A330-300 in July and the third of its kind in December. The additional 11 aircraft will be introduced before 2007. The A330s will gradually replace CAL¡¦s A300-600Rs on 20 Asia regional routes.

Following delivery of the first A330-300, China Airlines now operates a fleet of 63 aircraft with an average age of less than 6 years, and serves 47 passenger and cargo destinations in 21 countries. According to IATA statistics, China Airlines is ranked 26th in the world in terms of passengers carried, and 7th in terms of international cargo traffic.