China Southern Airlines orders 100 C919 aircraft for $9.9bn, last of China's big 3 to order C919s

China Southern Airlines has ordered 100 C919 aircraft from the Chinese state-owned aerospace manufacturer, the Commercial Aircraft Corporation of China (COMAC), with the agreement signed on April 29, 2024. It follows only three days after Air China also ordered 100 of the same aircraft for $10.8bn and China's other big three airline, China Eastern Airlines, had received its second C919 delivery in July last year and its first going into operation in May 2023. This latest order marks COMAC securing C919 orders from China's core airline trinity. The catalogue price for the order is approximately $9.9bn, with one C919 series aircraft priced at $99 million. The catalogue price includes the airframe and engine. The aircraft will be delivered in stages commencing this year and through to 2031, similar to Air China's delivery schedule. The airline will pay COMAC in instalments in accordance with the delivery schedule for each aircraft. Funding will be sourced partly by internal resources and partly through loans or other finance arrangements by banks or other institutions. ""The purchase of Aircraft aligns with the strategy of our country and effectively meets the medium to long term fleet development needs of the Company,"" China Southern Airlines said in its announcement. ""Under the overall layout of the national civil aviation development strategy, the domestic market demand for narrow-body aircraft is showing a significant upward trend."" China Southern Airlines had reported its net profit for the first quarter had swung from a loss in last year's first quarter to a positive RMB 756 million ($104.4 million). Its operating revenue was up 31% YoY to RMB 44.6bn ($104.4bn) in the first quarter of 2024. Its earnings per share (EPS) was at RMB 0.04 ($0.0055). Its total assets were up to RMB 313bn ($43bn), up from RMB 309bn ($42.7bn) at the end of 2023. Its total liabilities were up from RMB 257.2bn ($35.5bn) at the end of last year to RMB 260.5bn ($36bn). The airline announced that its action plan for 2024 would be to improve quality and efficiency in order to increase returns. The airline revealed on the same day that it will possibly list Sichuan Airlines in 2028 after entering a supplemental agreement and if the qualified listing is not completed by that year, the airline can transfer the equity of Sichuan Airlines. The airline said the listing will ""ensure the safety of the capital injection made by the company to Sichuan Airlines, thereby safeguarding the long-term interests of the company's shareholders."" The airline also announced on April 29, 2024, that its executive vice president, the chief accountant and chief financial officer Yao Yong would resign from his position ""due to a change of duties."" The airline said in a statement that Yong had ""no disagreement with the board and the company"" in their decision.