Boeing [NYSE: BA] and Xiamen Airlines have signed a memorandum of understanding (MOU) for the purchase of up to 30 737 MAX 200 airplanes, valued at up to USD3.39 billion at current list prices, the companies said.
Xiamen, already a 737 MAX customer, sees the MAX 200 as a fit for its low cost subsidiaries, including Jiangxi Airlines and Hebei Airlines.
Both parties said they will work closely to finalize the agreement, which requires the approval of Xiamen Airlines board and the China Southern Airline Group board, as well as the Chinese Government.
Xiamen Airlines currently operates an all-Boeing fleet of more than 140 airplanes including six 787 Dreamliners, 130 Next-Generation 737s and four 757s. The carrier plans to grow its operational fleet to 200 airplanes by the end of the decade and looks to expand regionally with the new 737 MAX.
Xiamen-based Xiamen Airlines is a stated-owned subsidiary of China Southern Airlines.