China Southern Airlines and its subsidiaries will take the 28 aircraft that it is scheduled to receive from 1 July to 31 December, from its leasing arm CSA International.
Under the deal, China Southern will take the 28 Airbus and Boeing jets from CSA International through sale-and-leaseback agreements.
The lease periods have not been determined, but China Southern expects them to be between 10 and 12 years. The deal is worth $1.06 billion.
CSA International is based in the Guangzhou Nansha Free Trade Zone, and is expected to reduce China Southern and its subsidiaries' cost of inducting new aircraft.