China Eastern to issue 7 bln yuan worth of shares

SHANGHAI, July 13 (Reuters) - China Eastern Airlines (600115.SS)(0670.HK) said on Monday it would merge with Shanghai Airlines (600591.SS) in a share swap and issue A shares and H shares worth about 7 billion yuan ($1.03 billion) to replenish its working capital.

Trading in China Eastern's shares listed in Hong Kong and Shanghai, suspended since last month, will resume trading on Monday, it said. ($1=6.832 Yuan) (Reporting by Donny Kwok and Samuel Shen, Editing by Jacqueline Wong; Reuters Messaging; jacqueline.wong@thomsonreuters.com; +8621 6401 1791))