HONG KONG – Hong Kong’s CR Airways said today it has agreed to buy 10 Everett-built Boeing 787 passenger jets and an undisclosed number of Boeing 737-800s.
The airline said it would sign the purchase order with the Boeing Co. on Tuesday, but the airline declined to confirm a report in The South China Morning Post that the deal would involve 10 Dreamliners and 30 737-800s at a list price of $3 billion. Airlines typically negotiate contracts below list prices.
The airline said it would sign the purchase order with the Boeing Co. on Tuesday. However, Dow Jones reported that the formal purchase agreement would be signed in January.
The planes would be used to expand services to mainland China, The South China Morning Post said.
CR Airways mainly offers charter flights to mainland China and regional destinations.
CR Airways is owned by Robert Yip Kwong and has an outstanding convertible bond with an aggregate amount of $140 million held by Yu Ming Investments, Reuters quoted The South China Morning Post story.
The newspaper, according to Reuters, said it was hard to see how CR Airways would finance the deal given the existing shareholder structure and business scope without the help of Hainan Airlines.
In September, China’s Hainan Airlines placed orders for eight 787s from the Boeing Co., the last step in completing a deal for 60 Dreamliners going to six Chinese airlines.
The Chinese government had announced in January that it intended to buy the jets on behalf of the airlines. The 60-plane deal was the largest order to date for the Dreamliner.
Last week, Qantas placed firm orders for 45 787s, the first of what eventually could amount to more than 100 Dreamliners the Australian airline ends up buying from the Boeing Co.
On top of the firm order for 45 787s, Qantas took options on 20 more 787s and secured the right to buy another 50.
Earlier this month, Cathay Pacific ordered 12 777s, from Boeing.
Singapore Airlines remains in the market, reportedly seeking to buy up to 60 long-range jets.
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