On August 3, 2012, the China Southern Airlines Co Ltd said that its subsidiary Xiamen Airlines signed an aircraft acquisition agreement with Boeing Co to buy 40 737 aircraft. Reports say that the list price of the aircrafts is $3.36 billion.
The China Southern Airlines said that the planes will be delivered between 2016 and 2019. The China Southern Airlines has 51 percent stake in the company. With the deal, the Xiamen Airline’s fleet will increase to 121 aircrafts, which till now has only Boeing planes. The new aircraft will increase the transport capability by 7.93 percent compared to December 2011. The new aircrafts will also facilitate the internationalization of the airlines.