LSG Sky Chefs creates Frozen-Food JV in China

Wider Cooperation with China National Aviation (Group) Limited

February 19, 2007

LSG Sky Chefs recently signed a joint venture contract with China National Aviation (Group) Limited (“CNAC”) to establish a frozen meal plant facility in Qingdao, Shandong Province, China. The company is equally owned by China National Aviation (Group) Limited and LSG Asia GmbH, an LSG Sky Chefs group company.

LSG Sky Chefs has created this joint venture in order to meet the growing demand for airline catering, and especially frozen food supplies, in the Asia/Pacific region. With this addition the company will be able to build on its already considerable expertise in frozen-food production acquired through its subsidiary LSG-Sky Food, located in Germany, which opened in 1994. During the initial phase the new facility will have a production capacity of 35,000 deep-frozen airline meals per day within 10,000 sqm of space. The plant is scheduled to open in early 2008.

“We are happy that we have been able to sign this agreement with our highly valued partner CNAC / Air China Group with whom we established our very first JV in China as early as 1980,” said HK Cheung, LSG Sky Chefs’ Regional COO Asia/Pacific. “Airlines in this part of the world are showing interest in these products due to the high quality and consistency of the meals.”

LSG Sky Chefs has been building a leading position in the Chinese market since 1980. Qingdao will be the eleventh facility within the company’s extensive network in mainland China.

The LSG Group is the world’s leading provider of end-to-end on-board products and services. These include catering, onboard retail and entertainment, onboard equipment and logistics, consulting and lounge services. The company’s dedication to culinary excellence and expertise in logistics has led to its successful entry into adjacent markets like train services and convenience retail. Its catering activities are marketed under the “LSG Sky Chefs” brand name, through which it delivers 591 million meals a year and is present at 211 airports in 50 countries. In 2015, the companies belonging to the LSG Group achieved consolidated revenues of € 3.0 billion.