China Eastern Airlines plans to raise as much as CNY15 billion ($2.23 billion) through the non-public issuance of A-shares and plans to use part of the proceeds to induct 38 aircraft. The A-shares, which refer to renminbi-denominated shares traded on the Shanghai stock exchange, will be issued to "not more" than 35 investors, including China Eastern's controlling shareholder CEA Holding, the Shanghai-based carrier says in a 10 May filling to the Hong Kong stock exchange. CEA Holding intends to subscribe for at least CNY5 billion of the A-shares in cash. As of 10 May, CEA Holding holds 56.43% of the total number of shares of China Eastern. CNY10.5 billion of the proceeds will be used for the introduction of 38 aircraft, while the remainder will supplement working capital. "The projects to be funded with the proceeds will facilitate the expansion of fleet size and optimisation of fleet structure, improve the company’s air transportation capacity, ensure the sound development of the company’s business, and promote the smooth implementation of the company’s strategy," China Eastern says. "At the same time, the company’s capital strength and scale of assets will be improved, and thus the company will be able to effectively respond to the adverse impact of the Covid-19 pandemic, ease the pressure on capital requirements for its daily operating activities, maintain its sustainable development, and reinforce and enhance its industry position, thereby providing better investment returns for investors."

Wizz Air has signed a memorandum of understanding with Saudi Arabia to explore a presence in the kingdom, which aims to triple its passenger numbers by 2030. The MoU with the Saudi ministry of investment of is designed to "explore airline market development opportunities" in the kingdom, says Wizz, adding: "This will provide unprecedented opportunities for airlines and the aviation supply chain." This is in the context of Saudia Arabia's Vision 2030 programme, which envisages bolstering investment in the sector by $100 billion and boosting passenger numbers in the kingdom to 300 million per annum. That vision that was outlined by Saudi minister for transport and logistic services SalehAl-Jasser on 9 May at the Future Aviation Forum being held in Riyadh. The minister was keen to highlight opportunities for the private sector as part of this, including in operating 25 airports that are set to be privatised, as reported by Al Arabiya. Wizz says the MoU: "reflects a shared vision between the parties" on the central European budget carrier's potential contribution to stimulating new demand in the kingdom, "thereby making a significant contribution to Saudi Arabia's planned growth". The two parties plan to co-operate on future investments and operating models that could bolster the Saudi Arabian aviation industry, as well as increase its connectivity and bring in more tourists. The agreement brings comparisons with Wizz Air Abu Dhabi, the low-cost carrier's unit in the UAE capital that is owned in conjunction with a state-owned investment firm and plans to link the location with markets within 6 hour flight time of the destination, opening it up to much of the Indian subcontinent.

Airbus faces greater pressure to increase production than other airframers in order to attract new single-aisle orders. The European manufacturer's head of business analysis and market forecast, Bob Lange, said during a panel discussion at the Airline Economics Growth Frontiers conference in Dublin on 9 May that it's "extremely difficult" to find available production slots for A320-family jets before 2028. Lange acknowledges that earlier slots are available under aircraft orders placed by lessors. But he cites the lack of available slots as a key reason to increase production. Airbus is under way to raise monthly A320-family output to 65 aircraft by mid-2023 and, earlier this month, disclosed a plan to raise production further to Rate 75 in 2025. The airframer delivered 49 and 37 A320-family jets in March and April, respectively. Boeing has available 737 production slots from 2025, said the US airframer's vice-president of commercial marketing, Darren Hulst, during the discussion. Embraer strategic marketing director Daniel Galhardo, another panellist, said that the company still has "opportunities" for its E-Jet family in 2023. The Brazilian airframer delivered 48 E-Jets in 2021, and six during the first quarter of 2022. Galhardo says that Embraer is in the process of ramping up production with a target of reaching a pre-Covid rate of around 90 commercial aircraft deliveries per annum in 2024. ATR too has available production slots during the second half 2023. "I am a bit more flexible," says the turboprop manufacturer's head of commercial for Europe and North America, Mark Dunnachie. He notes that order and delivery cycles for regional aircraft tend to be much shorter than for mainline jets. Following 31 deliveries in 2021, the airframer jointly owned by Airbus and Leonardo plans to increase annual production to 50 turboprops in 2024. Boeing, for its part, has reached a monthly target of producing 31 737s "through the supply chain", Hulst says. He declines to specify further rate targets and says that Boeing's current objective is to stabilise production. At the end of the first quarter, Boeing had 320 undelivered 737 Max jets in its inventory, the company said in April. Hulst estimates that airlines will require 130-135 new single-aisles per month over the next decade. He argues the "core" of that demand will be in the capacity segment served by the 737-8 and -9. "We are not going to see a wholesale shift from 160/170-seat aircraft to an average seat count over 200," he says. Hulst adds that the in-development 737-10 will "complement" that market. Airbus's Lange responds that Boeing's narrowbody outlook does not give him much reason for concern as he sees an "inherent strength" in the European airframer's narrowbody series. Nearly 60% of the airframer's A320-family backlog is for the A321neo, with the balance mostly attributed to the A320neo and, to a marginal extent, A319neo. Despite the assuring orderbook for the largest model, Lange does sound a warning about Airbus's production prospects amid supply-chain challenges and wider uncertainties. "I am much more concerned that we focus all our attention on producing the aircraft, getting back to delivering the aircraft on time, getting back to delivering them on quality." He adds: "It's not something we are happy with." Air Lease chief executive John Plueger said during a separate presentation at the Growth Frontiers conference that "every single" recent narrowbody delivery for the US lessor has been one or two months late. Citing a deal with Airbus for 116 mostly single-aisle aircraft which was finalised in December 2021, Plueger says the airframer sent a letter weeks later, in January, to notify Air Lease that all aircraft from that deal would be delivered later than previously specified. Plueger suggests the delays may have been visible when the deal was signed. In any case, he says, "this [situation] is going to be with us for a while".