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China Southern unit, Xiamen Airlines, to buy Boeing jets for $1.4 billion

Published 07/27/2016, 05:44 AM
Updated 07/27/2016, 05:50 AM
© Reuters. A China Southern Airline passenger plane lands at a newly-built airport during a test flight in Yongshu Reef island, also known as Fiery Cross Reef, South China Sea

HONG KONG (Reuters) - China Southern Airlines <600029.SS> said on Wednesday its subsidiary, Xiamen Airlines, had signed an agreement to buy six airplanes from Boeing Co (N:BA) worth $1.4 billion at list prices.

China Southern Airlines Co Ltd (HK:1055) (N:ZNH), and its subsidiary, Xiamen Airlines, have been placing large aircraft orders as they look to expand fleets to meet booming growth in travel by Chinese.

The B787-9 airplanes will be delivered to Xiamen Airlines between 2016 to 2018, China Southern told the Shanghai stock exchange in a statement.

© Reuters. A China Southern Airline passenger plane lands at a newly-built airport during a test flight in Yongshu Reef island, also known as Fiery Cross Reef, South China Sea

Xiamen Airlines signed a memorandum of understanding (MOU) to buy up to 30 Boeing 737 MAX 200 airplanes early this month.

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