Chief Chen looked at Hou Haitao. Hou Haitao was unwilling to get involved, but he still said: “Manager Feng, these are all not outsiders and Chief Chen was my predecessor. These people are all my friends. Just tell them the real prices of the aircraft.”
Feng Yu glanced at Hou Haitao. These people were not outsiders? You are talking as if you are good friends with them. Why did you keep quiet when we were at Sichuan Airlines?
“Since it’s like this then I will give Director Hou face. Let me know how many planes do you all need? Currently, I only have these two models. Of course, if you have some models in mind, you can let me know too. If the Soviet Union permits to export those models, I can contact the factories there and let you know the price.”
The leaders looked at each other, and it was Sichuan Airlines Director Cheng that speaks first: “Manager Feng. Currently, we are interested in these two models. We have no plans to procure other models now. However, if you got better deals, you can let us know. We, the 6 airline companies intents to purchase 20 Tupolev Tu-154 and 12 Ilyushin Il-76. How much will it be?”
Feng Yu was jumping with joy in his heart. This order was more significant than he had expected. China’s aviation must be developing faster than his previous life.
These airlines had planned to purchased aircraft from the world-renowned aircraft manufacturer, Boeing, initially. They had planned to acquire some aircraft, and those aircraft cost over 200 million RMB each.
Now Feng Yu had a better offer for them, and these aircraft only cost a quarter of Boeing’s planes. Although Tupolev Tu-154 could not be compared to Boeing 7 series planes, the cost performance index of Tupolev Tu-154 was higher than Boeing.
The Civil Aviation Administration Headquarters immediately ordered all the airlines to stop the negotiations with Boeing. With a better deal around, they should grab it. Even some airlines which had wanted to order aircraft with Airbus, also approached Civil Aviation Administration Headquarters saying that they wanted to purchase Soviet aircraft from Feng Yu.
Although Airbus was much bigger, and the performance was better than Boeing, but they do not have ready stocks. If they make the order now, they would have to wait for at least a year.
The Soviet aircraft were cheaper and had ready stocks. The airline company could also show their support for the Civil Aviation Administration.
With these airlines coming together, the number of planes they intent to procure became bigger. Even Shenzhen Airlines, which had no intentions of purchasing aircraft initially, also ordered 3 planes.
Feng Yu rubbed his chin and thought for about the prices Kirilenko told him.
“Tupolev Tu-154, 42 million RMB per plane and Ilyushin Il-76, 78 million RMB per plane. This is about 70% of the market price, and it is the lowest price.” Feng Yu said.
These people knew about the price Feng Yu wanted. Even though the current rates were slightly lower, they felt that there was still room for negotiations. Moreover, they were placing a big order, and they should be getting more discount. All of them had forgotten that when they negotiate with Boeing and Airbus, they had no discount!
“Manager Feng, how will you settle the paperwork for your sales of planes to us?” Someone asked.
Feng Yu thought in his heart. Finally, it’s here. These people want to make use of the procedures to force him to give more discounts. Feng Yu had expected this way before. He glanced at Hou Haitao. It’s your turn to act!
Hou Haitao saw Feng Yu’s glance at him and said: “Cough…… Our Bing City Aviation Factory will settle the paperwork and procedures for Manager Feng’s planes.”
What?!
The changes were too fast. Half an hour earlier, Hou Haitao was still telling them that he will help them to lower Tai Hua Trading’s prices. But now, Hou Haitao had disrupted their plans. They had not expected this to happen.
Everyone stared angrily at Hou Haitao. Did you receive any favors from Feng Yu?
Feng Yu had really given Hou Haitao some benefits. Not only he had given him the technologies of two types of aircraft engines, but he also gave him two sample engines for Bing City Aviation Factory to research.
There were all free for Hou Haitao. Feng Yu had spent almost 10 million RMB worth of goods on trading those with Kirilenko. In name, this was a donation to the Aviation Factory and all the technologies and engines will arrive together with the planes at Bing City.
After spending 19 million, the Bing City’s Aviation Factory will help Feng Yu settle all the procedures and paperwork for the planes. After all, the Aviation Factory had military backgrounds. It would take ages if Feng Yu were to resolve these by himself.
Also, with the Aviation Factory helping Feng Yu, it was impossible for the Civil Aviation Administration to make things difficult for Feng Yu. The Aviation Factory was not under their jurisdiction.
After Hou Haitao finished speaking, he looked down and dare not look at anyone, especially his former director. He had no choice. He had no way to get his hands on the technologies and the engines. Furthermore, Feng Yu was giving them to his factory for free. He could not resist this offer.
Bing city’s Aviation Factory was converted from a military factory to an ordinary factory. The factory only manufactures and research on the engines of small planes and helicopters. Their most profitable product was a small plane used for spraying pesticides and firefighting.
With these technologies, they could improve the factory’s products, and Hou Haitao would be promoted for sure!
Hou Haitao did not felt that he had done anything wrong. This was the best for his factory and himself. The airlines also did not suffer any losses. All this while, they had wanted to purchase bigger aircraft at higher prices. Now they had gotten a better deal and should not be greedy. It was not easy for Xiao Feng to run his business.
“Cough…… You all don’t have to worry about the paperwork and procedures. I had made myself clear about the prices. Give me an answer. If you do not want, then I will make a trip to Europe two days later. I guess with the price I am selling, it will not be hard for me to sell all these planes.” Feng Yu said.
“Manager Feng, sell the planes to us. This is also a contribution to your country’s aviation industry. The country will remember your contributions.” Someone tried to make use of Feng Yu patriotism.
“Yes. I want to sell the planes to you. Didn’t I contact Sichuan Airlines Director Cheng? But it is all of you that do not accept my price. I can’t be keeping these planes for myself and selling them. Anyway, if I sell the planes to another country, I am creating income for the country. There will be taxes too.” It might be easy to use patriotism in the older generations, but it does not work on Feng Yu. Money was the only thing in Feng Yu’s mind!
“But it is too expensive, and we do not have that much money.”
“Really? How come I heard that Shanghai Airlines is about to order aircraft from Boeing? And the aircraft are Boeing 727 model. That model is no longer in production. Which means that those were leftover stocks sitting in their warehouse. Those planes cost more than 200 million each, right? My planes are cheap and good. The performance is also good. The price I wanted is already the cost price. Am I right, Director Hou?”
Damn. Why are you asking me again?
Hou Haitao stared at Feng Yu and replied: “That’s right. This price can be considered as the cost price. Manager Feng does not have many profits!”
The people from the airline companies were pissed. We had kept quiet when you. Hou Haitao helped Feng Yu to settle the procedures. Now, you are helping him with the pricing?
Fuck! Which side are you on?!
