If you are in any doubt as to any aspect of this circular, you should consult a stockbroker or other registered dealers in securities, bank manager, solicitor, professional accountant or other professional advisers. If you have sold or transferred all your shares of China Southern Airlines Company Limited, you should at once hand this circular to the purchaser or transferee or to the bank, stockbroker or other agents through whom the sale was effected for transmission to the purchaser or the transferee.

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this circular, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this circular.

(a joint stock limited company incorporated in the People's Republic of China with limited liability)

(Stock Code: 1055) MAJOR TRANSACTION ACQUISITION OF AIRCRAFT

25 August 2016

Page

DEFINITIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 LETTER FROM THE BOARD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 APPENDIX I - FINANCIAL INFORMATION OF THE GROUP . . . . . . . . . . . . . . . . 9 APPENDIX II - GENERAL INFORMATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

In this circular, unless the context requires otherwise, the following expressions have the following meanings:

"Acquisition" the acquisition of the Boeing Aircraft under the Boeing Aircraft Acquisition Agreement

"Articles of Association" the articles of association of the Company

"available tonne kilometers" or "ATKs"

the tonnes of capacity available for the transportation of revenue load (passengers and/or cargo) multiplied by the kilometers flown

"Board" the board of Directors

"Boeing" the Boeing Company, the vendor to the Boeing Aircraft Acquisition Agreement

"Boeing Aircraft" 6 B787-9 aircraft, the subject matter of the Boeing Aircraft Acquisition Agreement

"Boeing Aircraft Acquisition Agreement"

the aircraft acquisition agreement entered into between Boeing and Xiamen Airlines on 27 July 2016, pursuant to which Xiamen Airlines agreed to acquire and Boeing agreed to sell the Boeing Aircraft

"China" or "PRC" the People's Republic of China and, for the purpose of this circular, excludes Hong Kong, Macau and Taiwan

"Company" China Southern Airlines Company Limited, a company incorporated under the laws of the PRC, whose H Shares, A Shares and American depositary shares are listed on the Stock Exchange, the Shanghai Stock Exchange and the New York Stock Exchange, respectively

"CSAHC" China Southern Air Holding Company, a state-owned enterprise established under the laws of the PRC and the controlling Shareholder of the Company

"Director(s)" the director(s) of the Company

"Group" the Company and its subsidiaries (as defined under the Listing Rules)

"Hong Kong" The Hong Kong Special Administrative Region of the PRC

"Latest Practicable Date" 22 August 2016, being the latest practicable date prior to the

printing of this circular for ascertaining certain information contained herein

"Listing Rules" the Rules Governing the Listing of Securities on the Stock Exchange

"Previous Boeing Aircraft Purchase" the acquisition from Boeing of 30 B737NG series aircraft and 50

B737 MAX series aircraft by the Company under the aircraft acquisition agreement dated 17 December 2015, the acquisition from Boeing of 30 B737 MAX series aircraft by Xiamen Airlines under the aircraft acquisition agreement dated 17 December 2015 and the acquisition from Boeing of 10 B737-800 aircraft by Xiamen Airlines under the aircraft acquisition agreement dated 26 April 2016

"RMB" Renminbi, the lawful currency of the PRC

"SFO" Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong)

"Share(s)" share of RMB1.00 each in the capital of the Company

"Shareholder(s)" the holders of the Shares

"Stock Exchange" The Stock Exchange of Hong Kong Limited

"Supervisor(s)" supervisor(s) of the Company

"US dollars" or "US$" United States dollars, the lawful currency of the United States of

America

"Xiamen Airlines" Xiamen Airlines Company Limited, a limited liability company incorporated in the PRC and a subsidiary (as defined in the Listing Rules) owned as to 55% by the Company

China Southern Airlines Company Ltd. published this content on 24 August 2016 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 27 August 2016 12:24:02 UTC.

Original documenthttp://www.csair.com/en/about/touzizheguanxiz/qitabaogao/2016/resource/5775c08bbcbf4048662068dee70c39e6.pdf

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