(Yicai Global) June 22 -- China Express Airlines, a major Chinese regional carrier, will spend up to USD433 million to buy 58 aircraft engines from General Electric and its wholly owned unit.

The engines will be used for fleet maintenance, the Chongqing-based company said in a statement yesterday. The purchase price is calculated based on the engines’ basic cost, but US-based GE will probably offer a discount.

China Express confirmed an order for 28 engines, with the remainder optional, according to the statement. It will procure them through self-purchase, financial and operating leasing, it added.

The engines will be delivered by the end of 2026 at a maximum rate of eight a year. The first will be handed over this year.

The airline operates three China-developed regional ARJ21 jets and 38 Canadian Bombardier CRJ900 planes. The order comprises one CF34-10A engine for the ARJ21 and 57 CF34-8C5 engines for the CRJ900.

Despite the Covid-19 pandemic seriously affecting the aviation sector, China Express’ net profit jumped 22 percent to CNY613 million (USD94.8 million) last year, while revenue fell 12.6 percent to CNY4.7 billion (USD727.2 million).

Shares of China Express [SHE:002928] rose 1.7 percent today to close at CNY15.42 (USD2.38). The broader Shenzhen Component Index added 0.4 percent.

Editor: Futura Costaglione