China Southern Airlines

Airline
HK: 1055
China

According to its Annual Report filed with the SEC for fiscal year 2019: "In order to provide our aviation services in Iran, our Company has entered into certain ground service agreement with Iran Air whereby Iran Air provides our Company with ground service, maintenance and other support services in return for certain service fees to be paid by our Company in accordance with the agreement. Our Company does not provide, nor has it ever provided any equipment, component, or technology to Iran. The services rendered by our Company to Iran are limited to the provision of international traffic for passengers, cargo and mail and those services provided by our local offices and agents to customers. Our Company does not operate flights within Iran. 

ve Order No. 13382. However, Executive Order No. 13382 only “prohibits all transactions between the designees and any U.S. person.” Our Company is incorporated in the People’s Republic of China and is a foreign issuer in the United States. As our Company is not a U.S. person, our transactions with Iran Air are not prohibited by Executive Order No. 13382. Our Company further understands that it has an obligation to disclose our transactions with Iran Air as described above under Exchange Act Section 13(r)(1)(D)(iii). Iran Air is Iran’s national airline carrier and is controlled or owned by the Government of Iran. Our Company believes that Iran Air can be identified as the Government of Iran under Section 560.304 of title 31, Code of Federal Registration (relating to the definition of the Government of Iran). Our Company has not obtained any specific authorization of a Federal department or agency of the United States concerning our transactions with Iran Air.

Our Company does not anticipate any significant change in our services to Iran, either by way of increasing significantly the size of or altering the nature of our operations in the territory. For the year ended December 31, 2019, the asset of Iran office and revenue generated from the air services to Iran amounted to US$3,624,493.90 and US$5.97 million, representing only 0.001% and 0.004% of the total asset and total revenue generated by our Group for the year ended December 31, 2019, respectively. Therefore, our Company believes that our operations in Iran for the year ended December 31, 2019 were inconsequential and quantitatively immaterial to our business, financial condition and results of operations."

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"Russia’s Aeroflot, Kuwait Airways, China Southern Airlines, Oman Air and Oman’s SalamAir are scheduled to operate flights to Tehran over the weekend, according to their websites." (Reuters, "Factbox: Flights to Tehran canceled after Canada says Iranian missile brought down Ukraine jet," 1/10/2020).

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In 2016, in order to provide its aviation service in Iran, the Company has entered into certain grounding service agreement with Iran Air whereby Iran Air provides the Company with grounding service, maintenance and other support services in return for certain service fees to be paid by the Company in accordance with the agreement. With respect to the Iran Route, the Company’s international route rights associated thereto are derived from and based on the bilateral air transport agreement (the “Bilateral Agreement”) entered into by and between the Chinese government and the Iranian government. 

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Runs multiple flights each week both to and from Beijing Capital International Airport (PEK) and Urumqi International Airport (URC) to Tehran's Imam Khomeini Airport (IKA). (Company Website)

No response at this time.