Chengdu-based United Eagle Airlines has issued a new circular entitled "United Eagle's Provisional Measures On Compensating Passengers for Irregular Flights" detailing ways of compensating passengers when a flight is delayed.

This is the first time that a private airline company has provided such a consumer-friendly service in China.

The measures, which United Eagle claims have been made in accordance with the "Instructive Proposals on Economic Compensation for Delayed Flights" issued by the Civil Aviation Administration of China (CAAC), stipulates that United Eagle will pay 20% of the face value of the air ticket when the flight is delayed for 4-8 hours and 40% for more than 8 hours.

The cash compensation is calculated on each RMB10. Less than RMB10 will round up.

Liu Jieyin, president of Okay Airways, the first privately-run airline in China and one of United Eagle's main competitors, has told local media that economic compensation is more than publishing simple measures. He says what is most important is solving problems immediately, and Okay Airways will not use similar measures to compete with its counterparts.

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