CHINA Eastern Airlines Corp said yesterday that it plans to add 19 aircraft this year to boost its passenger and cargo capacity as it taps the nation's robust economic growth and the Beijing Olympic Games.

The Shanghai-based carrier said that it will put into use 17 Airbus SAS planes and two Boeing Co aircraft to meet the growth in domestic transport demand, it said in its annual results statement.

The carrier also said it aims to boost passenger numbers by 9.7 percent year on year to about 43 million in 2008 as it expects solid growth amid Shanghai's ambitions to be a pivotal air hub and the Beijing Olympics.

Cargo and mail volume is expected to climb 13.7 percent from a year earlier to 1.07 million tons and total traffic turnover may reach 8.8 billion ton-kilometers.

China Eastern said yesterday that it flew into a profit last year due to government subsidies and the yuan's appreciation, which cut the value of its foreign-currency debt, despite higher fuel costs.

Its net profit last year reached 586.46 million yuan (US$83.8 million), from a loss of 2.99 billion yuan in 2006. Gross revenue soared 13.92 percent on year to 43.53 billion yuan.

''The yuan's appreciation will likely help the carrier continue to book a profit in the first quarter,'' said Tao Wei, an analyst with China International Capital Corp. ''But the industry's growth is set to decline and costs pressure on the company will grow over the long term.''

Shares of China Eastern rose 2.78 percent to close at 11.46 yuan in Shanghai, while the Shanghai Composite Index added 1.57 percent yesterday.