By Binh Nguyen - The Saigon Times Daily
HCMC - The Prime Minister has approved a plan for converting Vietnam Airlines Corporation into a single-member limited liability company at the helm of the Government.
In its Decision 952/QD-TTg dated June 23, 2010, the Government says it still owns Vietnam Airlines Company Limited (Vietnam Airlines), which is headquartered at 200 Nguyen Son Street in Long Bien District, Hanoi City.
The airline’s core business operations include transporting passengers and their luggage, cargo and postal parcels; and providing air services for topographic shooting, geological survey, medical emergency and rescue.
The company maintains, imports and exports aircraft, engines and spare parts for the aviation industry as well as produces and supplies equipment and services for domestic and foreign airlines.
Vietnam Airlines also supplies ground services at airports across the country, as well as air freight, catering, fuel and lubricant pumping services.
The company can invest in infrastructure development at airports; act as an agent for airlines, manufacturers of aircraft, engines and spare parts, local and foreign transportation and tourism firms; and provide hospitality and duty-free services and items inside and outside airports.
Financing, banking, human resource development and technology supply are also the business fields Vietnam Airlines can engage in. In addition, the company is allowed to invest overseas, participate in merger and acquisition deals; and buy and transfer stakes of projects including those in the real estate sector.
Vietnam Airlines’ chartered capital had been less than VND8.95 trillion (more than US$471 million) by December 31, 2009, according to Decision 952 which took effect from the date it was issued.
In a document issued in late 2009, the Prime Minister allows Vietnam Airlines Corp. and its subsidiary Vietnam Air Petrol Co. (Vinapco) to be converted into single-member limited liability companies if their equitization has not completed before July 1, 2010.