Cathay Pacific Airways Ltd, Hong Kong has set up an airline information processing company in Guangzhou, capital of China’s booming Guangdong province, to counter Hong Kong’s high inflation rate: it says that information processing is just not economically viable in Hong Kong any more, and blames ballooning wages, rentals and other overheads in Hong Kong for cutting into its profits in recent years; Guangzhou was chosen for its proximity to Hong Kong and its improving communications links; the new company will initially perform revenue accounting work previously done internally by the Cathay unit of Swire Group Ltd in Hong Kong; operations are expected to start in February.
