28-Jun-2010 8:47 AM

Air China to purchase 20 B737-800s

Air China and AIE (the import agent for the company) ordered (25-Jun-2010) 20 B737-800 aircraft. Details include:

  • Consideration (including the airframe, optional features and engine): USD1,398 million, with Air China stating Boeing granted "significant price concessions";
  • Delivery terms: In stages from 2013 to 2015;
  • Source of funding: Through cash generated from business operations, commercial bank loans and other financing instruments;
  • Capacity: The new aircraft will expand the carrier's fleet capacity (ATKs) by approximately 5% (based on 31-Dec-2009 capacity). The fleet additions are "also expected to reinforce the company’s share in the domestic market, and will also increase frequency of flights for a number of domestic and neighbouring international routes". [more]

Air China took delivery of its 89th B737 (NG) aircraft on 23-Jun-2010 (Ascend, 28-Jun-2010). The aircraft is leased from GECAS and powered by CFM56 7B26/3 engines.