A Share Issue 5

Air China Ld
17 August 2006

The Stock Exchange of Hong Kong Limited takes no responsibility for the contents
of this announcement, makes no representation as to its accuracy or completeness
and expressly disclaims any liability whatsoever for any loss whatsoever arising
from or in reliance upon the whole or any part of the contents of this
announcement.



                               AIR CHINA LIMITED

 (a joint stock limited company incorporated in the People's Republic of China
                            with limited liability)

                               (Stock Code: 753)

                          Completion of A Share Issue

The A Shares of the Company will be listed on the Shanghai Stock Exchange on 18
August 2006.

The Company is pleased to announce that the A Share Issue has been completed.
The A Shares of the Company will be listed and commence trading on the Shanghai
Stock Exchange on 18 August 2006. Some key information in respect of the A
Shares listing is as follows:

Place of listing                       Shanghai Stock Exchange
Date of listing                        18 August 2006
Stock Name                             Air China 
Stock Code                             601111
Total number of issued shares          11,072,210,909 (comprising 3,226,532,000 
  in the Company after                 H Shares and 7,845,678,909 A
  the A Share Issue                    Shares, of which 4,826,195,989 
                                       A Shares are held by CNAHC)

Following the A Share Issue, pursuant to the approval of competent PRC
authorities, all the issued shares of the Company other than H Shares before the
A Share Issue, namely the shares held by CNAHC and CNACG, have been registered
with China Securities Depository and Clearing Corporation Limited as circulative
A shares with restrictive trading period and will be traded in the A share
market subject to 36-month lock-up period commencing from the date of listing.

The Company will publish a full announcement in the newspapers in the PRC on 17
August 2006. The said announcement will set out the above information, details
of the A Share Issue as well as basic information about the Company. The
announcement can be viewed at the website of the Shanghai Stock Exchange
(www.sse.com.cn) with effect from 17 August 2006.

DEFINITIONS

In this announcement, unless the context otherwise requires, the following terms
shall have the following meanings:

'A Shares'         The ordinary shares of RMB1.00 each issued by the Company
                   and listed on the Shanghai Stock Exchange                
                                                                            
'A Share Issue'    the issue of 1.639 billion A Shares by the Company to    
                   qualified institutional investors as approved by CSRC and
                   investors including domestic individuals, legal persons  
                   and etc. who have opened accounts at the Shanghai Stock  
                   Exchange (except those prohibited from subscribing for   
                   the shares by the applicable laws and regulations at the 
                   time of the A Share Issue), which are proposed to be     
                   listed on the Shanghai Stock Exchange                    
                                                                            
'Company'          Air China Limited, a company incorporated in the People's
                   Republic of China with primary listing on The Stock      
                   Exchange of Hong Kong Limited and secondary listing on   
                   the Official List of the UK Listing Authority            
                                                                            
'CNACG'            China National Aviation Corporation (Group) Limited, a   
                   company incorporated under the laws of Hong Kong and a   
                   wholly-owned subsidiary of CNAHC as at the date of this  
                   announcement                                             
                                                                            
'CNAHC'            China National Aviation Holding Company, a company       
                   incorporated under the laws of the People's Republic of  
                   China which currently directly owns approximately 43.59% 
                   of the Company's share capital as at the date of this    
                   announcement                                             
                                                                            
'Director(s)'      the director(s) of the Company                           
                                                                            
'H Shares'         Overseas listed foreign shares of RMB1.00 each in the    
                   share capital of the Company which are listed on the Hong
                   Kong Stock Exchange and traded in Hong Kong dollars and  
                   admitted to the Official List of the UK Listing Authority
                   and are admitted for trading on the market for listed    
                   securities of the London Stock Exchange                  
                                                                            
'PRC'              the People's Republic of China, excluding, for the       
                   purpose of this announcement only, Hong Kong, Macau and  
                   Taiwan                                                   
                                                                            
'RMB'              Renminbi, the lawful currency of the PRC                 


                             By order of the Board
                               Air China Limited
                          Zheng Baoan      Li Man Kit
                           Joint Company Secretaries

Beijing, 17 August 2006

As at the date of this announcement, the Directors of the Company are Messrs Li
Jiaxiang, Kong Dong, Wang Shixiang, Yao Weiting, Christopher Dale Pratt, Ma
Xulun, Cai Jianjiang, Fan Cheng, Hu Hung Lick, Henry*, Wu Zhipan*, Zhang Ke* and
Jia Kang*.

*  Independent non-executive Director of the Company

                      This information is provided by RNS
            The company news service from the London Stock Exchange                   ZG