| 46 | COMMITMENTS |
| (a) | Capital commitments |
The Group had the following capital commitments:
| 2017 | 2016 | |||||||
| RMB million | RMB million | |||||||
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Contracted for: |
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– Aircraft, engines and flight equipment (note) |
87,030 | 123,019 | ||||||
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– Other property, plant and equipment |
7,572 | 9,550 | ||||||
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– Investments |
208 | 140 | ||||||
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| 94,810 | 132,709 | |||||||
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Note:
Contracted expenditures for the above aircraft, engines and flight equipment, including deposits prior to delivery, subject to future inflation increase built into the contracts, were expected to be paid as follows:
| 2017 | 2016 | |||||||
| RMB million | RMB million | |||||||
|
Within one year |
28,322 | 28,384 | ||||||
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In the second year |
27,516 | 32,306 | ||||||
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In the third year |
19,273 | 28,983 | ||||||
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In the fourth year |
7,829 | 18,334 | ||||||
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Over four years |
4,090 | 15,012 | ||||||
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| 87,030 | 123,019 | |||||||
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The above capital commitments represent the future outflow of cash or other resources.
| (b) | Operating lease commitments |
As at the reporting date, the Group had commitments to pay future minimum lease rentals under operating leases as follows:
| 2017 | 2016 | |||||||
| RMB million | RMB million | |||||||
|
Aircraft, engines and flight equipment |
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Within one year |
3,048 | 3,814 | ||||||
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In the second year |
2,559 | 3,124 | ||||||
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In the third to fifth years, inclusive |
7,112 | 7,616 | ||||||
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After the fifth year |
7,528 | 7,605 | ||||||
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| 20,247 | 22,159 | |||||||
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Land and buildings |
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Within one year |
332 | 362 | ||||||
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In the second year |
164 | 225 | ||||||
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In the third to fifth years, inclusive |
156 | 411 | ||||||
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After the fifth year |
37 | 732 | ||||||
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| 689 | 1,730 | |||||||
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| 20,936 | 23,889 | |||||||
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