Air China says hasn't discussed Austrian Air stake

SHANGHAI, July 17 (Reuters) - Air China (601111.SS) (0753.HK) said on Thursday its management has not discussed buying a stake in Austrian Airlines AUAV.VI, after a magazine quoted the Chinese flag carrier's chairman as saying he would consider the possibility.

The Austrian magazine NEWS reported on Wednesday that Air China's acting Chairman Kong Dong had said he would look at a possible sale of the Austrian government's 43 percent holding in loss-making Austrian Air.

A senior Air China executive told Reuters, however, that the issue had not come up at any board meetings, playing down the magazine's report.

"It was merely a courtesy gesture from the chairman when asked about Air China's potential interest in the stake," said the executive, who declined to be named.

Air China's management will study and analyse the issue thoroughly if it is truly interested in buying into Austrian Air, he added.

The Austrian government has hired Merrill Lynch to look at possible buyers for the stake, the NEWS report said. (Reporting by Fang Yan; Editing by Edmund Klamann)