SINGAPORE: Singapore Airlines (SIA) and China Eastern Airlines
suspended trading of their shares on Tuesday amid reports of a
possible investment deal.
SIA did not state a reason for their suspension of trade at the
Singapore Exchange but said it would make an announcement after the
stock market closes at 5:00 pm (0900 GMT).
The stock last traded at 18.40 Singapore dollars (12.1 US).
Trading of China Eastern Airlines was also halted at the Hong Kong
stock exchange, where the stock last traded at 3.73 Hong Kong
dollars (48 US cents).
China Eastern said it requested the trading halt pending the
release of a "price-sensitive" announcement.
SIA chief executive Chew Choon Seng said on May 11 the Singapore
carrier was in discussions with China Eastern, but that the talks
"have not progressed to a stage where we have any announcements to
make".
The Shanghai Securities News reported from Beijing on Monday that
talks were going on smoothly.
"So far, the talks with Singapore Airlines are smooth ... but the
conclusion of an agreement will depend on the support of the
government," the newspaper quoted China Eastern chairman Li Fenghua
as saying.
Li said China Eastern plans to sell up to a 25 percent stake to a
foreign strategic investor.
lets see what happens later? 
