HEBEI Airlines started operation yesterday by sending its first flight from Shijiazhuang to Shanghai.

The carrier, restructured from the former Dongbei Airlines, is 62 percent held by Jizhong Energy Group that represents Hebei government, 35 percent held by Sichuan Airlines and 3 percent held by Zhong Rui Investment Management Co Ltd.

Dongbei Air was set up in November 2007 but suffered from climbing fuel costs and the global financial crisis. Sichuan Air took over the airline this month by investing 400 million yuan (US$58.84 million) to restructure the airline.