POST Online Media Lite Edition


Air China's Shenzhen Airlines to buy Boeing aircraft for $4.3bn

Staff writer |
Air China announced that its unit Shenzhen Airlines entered into the Aircraft Purchase Agreement with Boeing.

Article continues below

The company agreed to buy the Boeing Aircraft, being 46 Boeing model 737 aircraft, in aggregate of approximately $4.3 billion basic price, equivalent to approximately HK$33.33 billion.

The aircraft basic price comprises the airframe price, optional features price and engine price. The consideration is payable by cash in instalments. Shenzhen Airlines is expecting to take delivery of the Boeing Aircraft in stages from 2016 to 2020.

The company said the transaction will be funded through cash generated from Shenzhen Airlines' business operations, commercial bank loans and other financing instruments.

The deal is expected to expand the overall fleet capacity of the firm and optimize its fleet structure. The company expects the Boeing Aircraft will deliver more cost efficient performance and provide more comfortable services to its passengers.

What to read next

China Postal Airlines to buy 10 Boeing 737 airplane
Ethiopian Airlines got its Dreamliner
Singapore Airlines to finalize $13.8 billion Boeing order next week