Will Complete 150-Aircraft Purchase; Airbus Has Similar Deal

The need for single-aisle, medium-range airliners in China is growing by leaps and bounds, and Boeing is the latest aircraft manufacturer to enjoy the benefits. Boeing announced Tuesday the aerospace manufacturer signed a general purchase agreement with China Aviation Supplies Import and Export Group for 80 Boeing Next-Generation 737 airplanes.

Those 80 aircraft, combined with 70 airplanes agreed to in November 2005, complete a planned 150-airplane purchase. The first 50 737s were booked in December 2005, with an additional 20 booked in January 2006. Boeing says it expects to finalize agreements for the 80 new orders with the individual Chinese airlines over the next few weeks.

Boeing reports the 737 represents a large portion of the China's airliner fleet. Of the 542 Boeing airplanes currently in service in China's fleet, 366 are 737s. The 737 family of aircraft comprises 41 percent of China's passenger airplanes.

Boeing archrival Airbus has also enjoyed sales success in China, with the announcement last December of a similar 150-plane deal for six Chinese airlines to receive variants of the company's A320 family.

FMI: www.boeing.com