China Eastern is expanding its fleet with 16 Airbus A330s. According to Airbus, the total asset value of the aircraft is $2.599 billion. In announcing this it was stated Airbus has granted China Eastern "material price concessions." Take it that the real price being paid is a lot less than the $2.599 billion being quoted.
Airbus, for business reasons, has refused a request spell out the exact details of the deal except that the price concessions will mainly affect the depreciation of aircraft in the operation cost of the company. China Eastern confirms these price concessions are more favourable than the price concessions under its previous October 2004 agreement.
China Investor reports the aircraft are expected to be delivered to the Company in stages from 2011 to 2014. They will primarily be used on long-and-medium-haul passenger routes.
