China Southern will sell its 50% share of engine overhaul shop MTU Maintenance Zhuhai to its state parent, shoring up its balance sheet with the proceeds, 1.61 billion yuan (US$236 million). The move mirrors that of nearby Hong Kong rival Cathay Pacific, which this month said it would sell part of its stake in its maintenance business Haeco to its parent for the same reason.

The big-three Chinese airlines are comfortably outperforming the local stock market, even as operating profits remain weak. Shares in the largest — China Southern — have risen 95% from their low in the past 52 weeks, while China Eastern is 108% above its 52-week low. The price of Air China, widely regarded as the best managed of the three, has tripled since hitting a cyclical low in November. By comparison, the Shanghai Composite index has gained 71% since its 2008 low.

A government task force of corporate turnaround experts will help Japan Airlines draw up a restructuring plan no later than early November. The carrier and its creditors expect it to run out of cash at the end of the year, said Transport Minister Seiji Maehara. The airline’s financial condition is not yet critical, but it must reform itself while it is still in a condition to do so, said the minister.