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Big Delta order for Bombardier jets, likely next week, will be thorn in Boeing's side

Delta is expected to announce next week that it will order 75 Bombardier C Series jets, with options for 50 more, which would in effect breach the duopoly Airbus and Boeing have maintained in the all-important narrow-body sector. While Bombardier has won orders from smaller airlines, a big order from industry leader Delta would be a significant stamp of approval. While such an order would be tiny compared to Boeing’s order book for 4,380 model 737s, it's still something Boeing is likely watching. Delta’s voice is powerful, and a purchase would give Bombardier its first significant inroad among major carriers. “It’s really bad news for Boeing, especially for the 737-700 and Max 7,” said one consultant. "When an airline like Delta takes on a new system like this, it brings the program to an entirely different level.” <br/>

Ctrip OTA invests US$463m in China Eastern Airlines

China’s online travel agency (OTA) Ctrip has invested CNY3b (US$463m) in China Eastern Group, parent of China Eastern Airlines (CEA). The strategic investment is an effort to boost the carrier’s direct sales and enhance its position in the travel chain. The private placement investment represents a 3% stake in the carrier. According to the agreement, “If Ctrip can raise its stakes of CEA to 5% in 12 months after the carrier completes its private placement and can meet certain requirements, it would obtain a seat on CEA as a board observer. If Ctrip can raise its stake to 10% in 12 months after the carrier completes its private placement and meets certain requirements, it would obtain a seat on CEA as a board member.” Both companies vow to strengthen their cooperation in the fields of IT, travel product development and technology connection. <br/>