Bleeding domestic carriers in Taiwan have succumbed to pressure from the Civil Aeronautics Administration (CAA) to merge. EVA Air last week merged its three subsidiaries - Great China Airlines, Taiwan Airways and Uni Air to form Uni Airways. China Airlines (CAL) told the CAA that Formosa Airlines will merge with Mandarin Airlines. CAL owns Mandarin and has a 41% stake in Formosa. CAL will pass all domestic routes on to the new carrier, to be known as Mandarin Airlines. According to ...

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