Land Lease Agreement



Date: 9 January 2014



In accordance with the legal and regulatory requirements under
the "Law of Land Administration of the People’s Republic of China”, this contract regarding land leasing was entered
between China Southern Air Holding Company and China Southern Airlines Company Limited on the basis of equality, voluntariness
and consideration through friendly negotiation.



Chapter 1 General Provisions



Article 1 Parties of this contract:



Lessor: China Southern Air Holding Company
(CSAHC) (hereafter named “Party A”)

Legal address: Guangzhou Baiyun International
Airport

Postal code: 510406

Lessee: China Southern Airlines Company
Limited (hereafter named “Party B”)

Legal address: Guangzhou Economic and
Technological Development Zone

Postal code: 510406



Article 2 Party A leases the land use right to Party B pursuant
hereto. The ownership of the land covered shall be People’s Republic of China, and the land use rights thereof belong to
Party A. Any underground resources, buried property and public utilities shall not be covered under the land use right granted
hereunder.



Article 3 The legal rights of the use of land within the land
use rights leased by Party B pursuant hereto and operating activities thereof are protected by the law of the State.



Chapter 2 Size, Term and Usage of the
Leased Land



Article 4 Party A leases the land use right to Party B (see
Appendix I for detailed description of the land). Transaction price was determined on a fair and reasonable basis and based on
fair market rate, and will be no higher than the price and charging standard offered by other independent third parties.



Article 5 The land leased pursuant hereto shall be used for
air transportation and auxiliary service facilities and welfare benefits. Any changes to the land usage as stipulated herein within
the lease term shall be subject to approval of Party A.



Article 6 The term of the land use rights leased hereunder shall
be 3 years effective from 1 January 2014.



Chapter 3 Rental Payments



Article 7 Party B agrees to pay Party A an annual rental of
RMB 63,582,200 each year. Rental payment, provided by Party B to Party A on a quarterly basis, shall be settled within 15 days
from the start date of the first month of each quarter by bank remittance. Within 5 days upon receipt of payment, Party A shall
issue a receipt of the respective amount.



Article 8 Party B shall remit the rental payment to the bank
account of Party A on or before the respective required payment date. Should there be any changes to the bank account, Party A
shall notify Party B in written form within 10 days after such changes. Party B shall not be liable for any delay in payment(s)
arising from late payment(s) due to failure to give timely notice.











Article 9 Should there be any laws, regulations or administrative
orders requiring to contribute, fully or partially, the rental payments received by Party A from Party B, Party A shall be liable
to comply such laws, regulations or administrative orders. In the event of any loss(es) in Party B arising from violation of Party
A of the forementioned requirements, Party A shall fully compensate Party B on such loss(es).



Chapter 4 Agreed Terms



Article 10 So far as Party A is entitled
to the land use rights of the land and there is no breaches by Party B on the obligations hereunder, Party A shall be obligated
to lease such land use rights to Party B and shall not retrieve or reject to enter into the Land Lease Agreement for any reasons.



Article 11 Party A agrees that land leased by Party B can be
used by Party B and its wholly-owned subsidiaries and investment companies within the scope of usage as stipulated by this contract.



Article 12 Given the historical reason for the land, should
Party A be unable to continue fulfilling its obligation hereunder due to special causes such as government orders or urban planning,
Party A may elect an early termination or amendment of this contract to fully or partially resume the land leased hereunder, subject
to an obligation of Party A to compensate Party B on the properties on the resumed land and the direct financial loss(es) of Party
B arising from redemption of the land on termination of this contract according to relevant requirements of the Government.



Article 13 Any change of the lease type stipulated herein to
transference by Party B during the lease term shall be subject to prior approval of Party A and in such case, procedures and amendments
in the land use rights registration shall be approved in accordance to relevant regulations. In the event of unilateral termination
or amendments on this contract by Party B, Party B shall be liable to compensate the direct financial loss(es) of Party A.



Article 14 Party B guarantees to Party A on usage of land strictly
in accordance to relevant laws and regulations of the Government. Land leased by Party B shall not be transferred, subleased or
pledged without approval of Party A. In the event of any loss(es) of Party A arising from the misuse of land of Party B, Party
B shall provide compensation.



Article 15 Party B accepts the commission by Party A, according
to the relevant provisions of the local tax authorities to declare and pay property taxes and tenure taxes. The tax payment is
borne by Party A. The property taxes are settled on quarterly basis and tenure taxes are settled on yearly basis. Party A shall
refund to Party B within 15 working days upon receipt of the duty-paid original certificate and tax return statement of assets
provided by Party B.



Chapter 5 Usage of Land



Article 16 Land hereunder, upon leasing, shall be used by Party
B on purposes related to air transportation business and other auxiliaries in accordance to the land use specified by the State.



Article 17 Any addition of general housings or buildings by
Party B on the leased land shall be subject to requirements of urban planning and general planning of land use and the prior approval
in written form from Party A. Approval procedures with authorities shall be gone through by Party B with necessary assistance from
Party A. Party A confirms that the ownership of the buildings added on the leased land shall belong to Party B, and, upon expiration
and where Party B determined not to extend this contract, belong to Party A albeit appropriate compensation with specific amount
to be negotiated otherwise between both parties shall be made from Party A to Party B.











Article 18 Any change(s) by Party B on the usage of the leased
land shall be subject to requirements of urban planning and general planning of land use and the Land Lease Agreement has to be
signed again according to the changed land usage upon the approval from Party A.



Chapter 6 Expiration



Article 19 Should a party require to continue the use of the
land after expiration of this contract, the party shall submit extension application to Party A 60 days prior to the expiration
date and enter into a renewed contract with Party A.



Chapter 7 Force Majeure



Article 20 None of the parties shall be legally liable to the
failure to perform obligations hereunder, whether partially or fully, due to force majeure. Notwithstanding the above, both parties
shall perform all necessary remediation measures to reduce the loss arising from force majeure. The party affected by force majeure
shall report the situation to the other party within 15 days after such event and provide proof of such force majeure event to
the relevant government authority.



Chapter 8 Breach of Contract



Article 21 Failure to perform the requirements hereunder shall
be regarded as a breach of the contract. The breaching party shall be liable for compensation on the direct financial loss(es)
of the other party.



Article 22 In the event of failure of Party B to provide timely
rental payment, the party shall pay an overdue fine, initially equivalent to 0.04% of the amount of the land rental payment, until
the party completely settled the payment of such installment.



Chapter 9 Applicable Legal and Dispute
Resolutions



Article 23 Resolutions on the entering, effect, explanation,
performance and dispute hereof shall be protected and governed by the law of the People’s Republic of China.



Article 24 Any dispute arising from this contract shall be resolved
by negotiation of the disputing parties. Either party shall have the right to prosecute a lawsuit in the people’s court upon
failure of resolving by negotiation.



Chapter 10 Supplementary Provisions



Article 25 This contract shall not be transferred. Notwithstanding,
in case of restructuring, merger and division of either party, this contract shall continue to be performed by the new organization(s)
entitled to the rights hereunder after the restructuring, merger and division upon issuance of written notice to the other party
and entering of contractual agreements.



Article 26 This agreement shall be made out in quadruplicate
with each party holding two copies of each. The contract shall take effect upon signature and seal.



Article 27 For issues not stipulated in this contract, it may
be included as the annex of this contract upon the negotiation of both parties. The annex of this contract and this contract are
equally valid.













|Party A:                           | Party B:                               
|---------------------------------- | ---------------------------------------
|China Southern Air Holding Company | China Southern Airlines Company Limited
|Authorized representative:         | Authorized representative:             













|List of assets                     |  |                      |           |  | Unit: RMB0’000                          | 
|---------------------------------- |  | -------------------- | --------- |  | --------------------------------------- | 
|Type of assets :                   |  | Shares leased assets |           |  | Airline catering services leased assets | 
|Total land rent:                   |  |                      | 6042.5664 |  |                                         | 
|Total property rent:               |  |                      | 3327.7024 |  |                                         | 
|Total building rent:               |  |                      | 156.4078  |  |                                         | 
|Total pipelines and trenches rent: |  |                      | 188.2898  |  |                                         | 
|Total rent sub-total               |  |                      | 9714.9664 |  |                                         | 
|Total rent(gross) :                |  |                      |           |  |                                         | 











|Breakdown of Real estate lease rental project of China Southern Group : Shares leased land | Exhibit 1
|------------------------------------------------------------------------------------------ | ---------



Breakdown of Real estate lease rental project of China Southern
Group : Shares leased assets



|No |  | Asset no. |  | Parcel name                               |  | Land users at valuation date            |  | Land use rights certificate number |  | Location of parcel                   |  | Registration purpose at valuation reference date |  | Actual development progress at valuation reference date              |  | Remaining useful life of the land |       |  | Land area(m2) |  |          | Total net income (RMB0’000/year) |  |  | Land use tax unit price (RMB0’000/ year) |  |  | Land use tax (RMB0’000/year) |     |  | Business tax rate |  |        | Management Fee Rate |  |  | Land reference annul lease rent (RMB0’000/ year) |  
|-- |  | --------- |  | ----------------------------------------- |  | --------------------------------------- |  | ---------------------------------- |  | ------------------------------------ |  | ------------------------------------------------ |  | -------------------------------------------------------------------- |  | --------------------------------- | ----- |  | ------------- |  | -------- | -------------------------------- |  |  | ---------------------------------------- |  |  | ---------------------------- | --- |  | ----------------- |  | ------ | ------------------- |  |  | ------------------------------------------------ | -
|1  |  | DXJ004    |  | Airport Service Area                      |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008712      |  | No. 46 Yingbin Road, Xinshi District |  | Transportation                                   |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |                                   | 39.26 |  |               |  | 72534.82 |                                  |  |  | 255.5914                                 |  |  |                              | 1.5 |  |                   |  | 0.0059 |                     |  |  | 5.5                                              | %
|2  |  | DXJ006    |  | Ground Service Company 1 (Special Garage) |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008714      |  | No. 46 Yingbin Road, Xinshi District |  | Transportation                                   |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |                                   | 39.26 |  |               |  | 39515.44 |                                  |  |  | 139.241                                  |  |  |                              | 1.5 |  |                   |  | 0.0059 |                     |  |  | 5.5                                              | %
|3  |  | DXJ007    |  | Ground Service Company 2 (Ferry Garage)   |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008715      |  | No. 46 Yingbin Road, Xinshi District |  | Transportation                                   |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |                                   | 39.26 |  |               |  | 2863.99  |                                  |  |  | 10.0918                                  |  |  |                              | 1.5 |  |                   |  | 0.0059 |                     |  |  | 5.5                                              | %













|4 |  | DXJ013 |  | Cargo Warehouse       |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008715 |  | No. 46 Yingbin Road, Xinshi District |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 39.26 |  |  |  | 33792.16 |  |  |  | 119.0735 |  |  |  | 1.5 |  |  |  | 0.0059 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 129.4341 | 
|- |  | ------ |  | --------------------- |  | --------------------------------------- |  | ----------------------------- |  | ------------------------------------ |  | -------------- |  | -------------------------------------------------------------------- |  |  | ----- |  |  |  | -------- |  |  |  | -------- |  |  |  | --- |  |  |  | ------ |  |  |  | --- | - |  |  | --- | - |  |  | -------- | 
|5 |  | DXJ008 |  | Airport Materiel Area |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008716 |  | No. 46 Yingbin Road, Xinshi District |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 39.26 |  |  |  | 34757.01 |  |  |  | 122.4736 |  |  |  | 1.5 |  |  |  | 0.0059 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 133.1299 | 
|6 |  | DXJ001 |  | Cultural Centre       |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008709 |  | No. 46 Yingbin Road, Xinshi District |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 39.26 |  |  |  | 20599.43 |  |  |  | 72.4454  |  |  |  | 1.5 |  |  |  | 0.0059 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 78.7514  | 
|7 |  | DXJ009 |  | Expert Building       |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008717 |  | No. 46 Yingbin Road, Xinshi District |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 39.26 |  |  |  | 1575.94  |  |  |  | 5.553    |  |  |  | 1.5 |  |  |  | 0.0059 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 6.0423   | 
|8 |  | DXJ010 |  | Cabin                 |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008753 |  | No. 46 Yingbin Road, Xinshi District |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 39.26 |  |  |  | 6981.95  |  |  |  | 24.602   |  |  |  | 1.5 |  |  |  | 0.0059 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 26.7477  | 













|9                  |  | DXJ003  |  | Flight Division 1      |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008711 |  | No. 46 Yingbin Road, Xinshi District            |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |             |  | 39.26 |  |           |  | 32989.14 |  |  |  | 116.2436 |  |  |  | 1.5     |  |  |  | 0.0059 |  |  |  | 5.5 | % |           |  | 2.5 | % |  |  | 126.3582 | 
|------------------ |  | ------- |  | ---------------------- |  | --------------------------------------- |  | ----------------------------- |  | ----------------------------------------------- |  | -------------- |  | -------------------------------------------------------------------- | ----------- |  | ----- |  | --------- |  | -------- |  |  |  | -------- |  |  |  | ------- |  |  |  | ------ |  |  |  | --- | - | --------- |  | --- | - |  |  | -------- | 
|10                 |  | DXJ002  |  | Flight Division 2      |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008710 |  | No. 46 Yingbin Road, Xinshi District            |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |             |  | 39.26 |  |           |  | 9969.82  |  |  |  | 35.1311  |  |  |  | 1.5     |  |  |  | 0.0059 |  |  |  | 5.5 | % |           |  | 2.5 | % |  |  | 38.1924  | 
|11                 |  | DXJ012  |  | Training Centre        |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008728 |  | No. 46 Yingbin Road, Xinshi District            |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |             |  | 39.26 |  |           |  | 71748.97 |  |  |  | 252.822  |  |  |  | 1.5     |  |  |  | 0.0059 |  |  |  | 5.5 | % |           |  | 2.5 | % |  |  | 274.8129 | 
|12                 |  | DXJ005  |  | New Terminal           |  | China Southern Airlines Company Limited |  | Niaoguoyobg (2004) No 0008713 |  | No. 46 Yingbin Road, Xinshi District            |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |             |  | 39.26 |  |           |  | 215715.2 |  |  |  | 760.117  |  |  |  | 1.5     |  |  |  | 0.0059 |  |  |  | 5.5 | % |           |  | 2.5 | % |  |  | 826.2205 | 
|Xinjiang sub-total |  |         |  |                        |  |                                         |  |                               |  |                                                 |  |                |  |                                                                      | 543003.8700 |  |       |  | 1913.3854 |  |          |  |  |  |          |  |  |  |         |  |  |  |        |  |  |  |     |   | 2079.8437 | 
|13                 |  | DHEB008 |  | Integrated office area |  | China Southern Airlines Company Limited |  | Hagoyong (2007) No 37764      |  | No. 34 Ganshui Road, Xiangfang District, Harbin |  | Office         |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |             |  | 29.48 |  |           |  | 1854.95  |  |  |  | 52.1377  |  |  |  | 18.0000 |  |  |  | 0.0531 |  |  |  | 5.5 | % |           |  | 2.5 | % |  |  | 56.7291  | 













|14 |  | DHEB007 |  | Training Centre        |  | China Southern Airlines Company Limited |  | Hagoyong (2004) No 16103 |  | No. 89 Changjiang Road, Nangang, Harbin |  | Education                           |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50 |  |  |  | 360.6    |  |  |  | 10.1337  |  |  |  | 14.0000 |  |  |  | 0.0700 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 11.0910  | 
|-- |  | ------- |  | ---------------------- |  | --------------------------------------- |  | ------------------------ |  | --------------------------------------- |  | ----------------------------------- |  | -------------------------------------------------------------------- |  |  | -- |  |  |  | -------- |  |  |  | -------- |  |  |  | ------- |  |  |  | ------ |  |  |  | --- | - |  |  | --- | - |  |  | -------- | 
|15 |  | DHEB005 |  | Flight Building Office |  | China Southern Airlines Company Limited |  | Hagoyong (2004) No 16342 |  | Yiqing Street, Nangang District, Harbin |  | Land for agencies and organizations |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50 |  |  |  | 1584.3   |  |  |  | 44.5237  |  |  |  | 14.0000 |  |  |  | 0.0700 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 48.4714  | 
|16 |  | DHEB006 |  | Cabin Office           |  | China Southern Airlines Company Limited |  | Hagoyong (2004) No 16346 |  | Heping Road, Nangang District, Harbin   |  | Land for agencies and organizations |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50 |  |  |  | 1882.8   |  |  |  | 52.6514  |  |  |  | 18.0000 |  |  |  | 0.0900 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 57.3276  | 
|17 |  | DHEB004 |  | Airport Maintenance 1  |  | China Southern Airlines Company Limited |  | Hagoyong (2004) No 16344 |  | Baijiagang Airport, Daoli District      |  | Civil Airport                       |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50 |  |  |  | 128206.5 |  |  |  | 641.3741 |  |  |  | 2.0000  |  |  |  | 0.0100 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 697.1566 | 
|18 |  | DHEB001 |  | Airport Maintenance 2  |  | China Southern Airlines Company Limited |  | Hagoyong (2004) No 16345 |  | Baijiagang Airport, Daoli District      |  | Civil Airport                       |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50 |  |  |  | 102000   |  |  |  | 510.2716 |  |  |  | 2.0000  |  |  |  | 0.0100 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 554.6539 | 













|19                  |  | DHEB002 |  | Airport Material Area         |  | China Southern Airlines Company Limited |  | Hagoyong (2004) No 16347     |  | Baijiagang Airport, Daoli District                                                           |  | Civil Airport |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |             |  | 50    |  |           |  | 22230.6 |  |  |  | 111.212  |  |  |  | 2.0000 |  |  |  | 0.0100 |  |  |  | 5.5 | % |           |  | 2.5 | % |  |  | 120.8935 | 
|------------------- |  | ------- |  | ----------------------------- |  | --------------------------------------- |  | ---------------------------- |  | -------------------------------------------------------------------------------------------- |  | ------------- |  | -------------------------------------------------------------------- | ----------- |  | ----- |  | --------- |  | ------- |  |  |  | -------- |  |  |  | ------ |  |  |  | ------ |  |  |  | --- | - | --------- |  | --- | - |  |  | -------- | 
|20                  |  | DHEB003 |  | Airport Services and Catering |  | China Southern Airlines Company Limited |  | Hagoyong (2004) No 16349     |  | Baijiagang Airport, Daoli District                                                           |  | Civil Airport |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |             |  | 50    |  |           |  | 9751.9  |  |  |  | 48.7858  |  |  |  | 2.0000 |  |  |  | 0.0100 |  |  |  | 5.5 | % |           |  | 2.5 | % |  |  | 53.0389  | 
|Harbin              |  |         |  |                               |  |                                         |  |                              |  |                                                                                              |  |               |  |                                                                      | 267871.6500 |  |       |  | 1471.0900 |  |         |  |  |  |          |  |  |  |        |  |  |  |        |  |  |  |     |   | 1599.3620 | 
|21                  |  | DCC002  |  | Agency office                 |  | China Southern Airlines Company Limited |  | Hagoyong (2004) No 010500021 |  | No.5038, Jilindadao, Erdao District (Economic and Technological Development Zone), Changchun |  | Business      |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |             |  | 27.4  |  |           |  | 7930.3  |  |  |  | 95.0977  |  |  |  | 6.0000 |  |  |  | 0.0164 |  |  |  | 5.5 | % |           |  | 2.5 | % |  |  | 103.3849 | 
|22                  |  | DCC003  |  | Erdao Office Area             |  | China Southern Airlines Company Limited |  | Hagoyong (2004) No 10500003  |  | 1 Gongli, Jixiang Road, Erdao District, Changchun                                            |  | Civil Airport |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |             |  | 40.13 |  |           |  | 57146   |  |  |  | 537.4347 |  |  |  | 6.0000 |  |  |  | 0.0241 |  |  |  | 5.5 | % |           |  | 2.5 | % |  |  | 594.1943 | 
|Changchun sub-total |  |         |  |                               |  |                                         |  |                              |  |                                                                                              |  |               |  |                                                                      | 65076.3000  |  |       |  | 632.5324  |  |         |  |  |  |          |  |  |  |        |  |  |  |        |  |  |  |     |   | 687.5792  | 













|23                 |  | DCY001 |  | Camp             |  | China Southern Airlines Company Limited |  | Zhaoyangguoyong (2004) Zidi     |  | No. 58, Section 4, Chaoyangdajie                  |  | Land for transportation    |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |            |  | 50 |  |          |  | 31226.67 |  |  |  | 139.1141 |  |  |  | 4.0000 |  |  |  | 0.0200  |  |  |  | 5.5 | % |          |  | 2.5 | % |  |  | 151.2327 | 
|------------------ |  | ------ |  | ---------------- |  | --------------------------------------- |  | ------------------------------- |  | ------------------------------------------------- |  | -------------------------- |  | -------------------------------------------------------------------- | ---------- |  | -- |  | -------- |  | -------- |  |  |  | -------- |  |  |  | ------ |  |  |  | ------- |  |  |  | --- | - | -------- |  | --- | - |  |  | -------- | 
|Zhaoyang sub-total |  |        |  |                  |  |                                         |  |                                 |  |                                                   |  |                            |  |                                                                      | 31226.6700 |  |    |  | 139.1141 |  |          |  |  |  |          |  |  |  |        |  |  |  |         |  |  |  |     |   | 151.2327 | 
|24                 |  | DDL002 |  | Office and hotel |  | China Southern Airlines Company Limited |  | Daguoyong (2004) Zi No 04001    |  | No. 65, Yingke Road, Jichangjianjiedao, Ganjingzi |  | Land for business services |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |            |  | 40 |  |          |  | 14403.4  |  |  |  | 621.4499 |  |  |  | 6.0000 |  |  |  | 0.0240  |  |  |  | 5.5 | % |          |  | 2.5 | % |  |  | 675.5151 | 
|Dalian sub-total   |  |        |  |                  |  |                                         |  |                                 |  |                                                   |  |                            |  |                                                                      | 14403.4000 |  |    |  | 621.4499 |  |          |  |  |  |          |  |  |  |        |  |  |  |         |  |  |  |     |   | 675.5151 | 
|25                 |  | DSY011 |  | Youth Hostel     |  | China Southern Airlines Company Limited |  | Donglingguoyong (2004) No 02508 |  | Xiantao Town, Dongling District, Shenyang         |  | Transportation             |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |            |  | 50 |  |          |  | 1332.32  |  |  |  | 5.9133   |  |  |  | 2.0000 |  |  |  | 0.0100  |  |  |  | 5.5 | % |          |  | 2.5 | % |  |  | 6.4384   | 
|26                 |  | DSY004 |  | Cargo Area       |  | China Southern Airlines Company Limited |  | Donglingguoyong (2004) No 02505 |  | Xiantao Town, Dongling District, Shenyang         |  | Transportation             |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |            |  | 50 |  |          |  | 17135.56 |  |  |  | 76.0585  |  |  |  | 2.0000 |  |  |  | 0.01000 |  |  |  | 5.5 | % |          |  | 2.5 | % |  |  | 82.6832  | 













|27 |  | DSY012 |  | Measure and catering area |  | China Southern Airlines Company Limited |  | Donglingguoyong (2004) No 02506 |  | Xiantao Town, Dongling District, Shenyang |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50 |  |  |  | 11412    |  |  |  | 50.6536  |  |  |  | 2.0000 |  |  |  | 0.0100 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 55.0691  | 
|-- |  | ------ |  | ------------------------- |  | --------------------------------------- |  | ------------------------------- |  | ----------------------------------------- |  | -------------- |  | -------------------------------------------------------------------- |  |  | -- |  |  |  | -------- |  |  |  | -------- |  |  |  | ------ |  |  |  | ------ |  |  |  | --- | - |  |  | --- | - |  |  | -------- | 
|28 |  | DSY001 |  | Airport Material Area     |  | China Southern Airlines Company Limited |  | Donglingguoyong (2004) No 02502 |  | Xiantao Town, Dongling District, Shenyang |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50 |  |  |  | 14192.63 |  |  |  | 62.996   |  |  |  | 2.0000 |  |  |  | 0.0100 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 68.4848  | 
|29 |  | DSY015 |  | Office Building           |  | China Southern Airlines Company Limited |  | Donglingguoyong (2004) No 02509 |  | Xiantao Town, Dongling District, Shenyang |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50 |  |  |  | 6971.394 |  |  |  | 30.9438  |  |  |  | 2.0000 |  |  |  | 0.0100 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 33.6454  | 
|30 |  | DSY002 |  | Airport Services Area     |  | China Southern Airlines Company Limited |  | Donglingguoyong (2004) No 02507 |  | Xiantao Town, Dongling District, Shenyang |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50 |  |  |  | 54634.13 |  |  |  | 242.5008 |  |  |  | 2.0000 |  |  |  | 0.0100 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 263.5987 | 
|31 |  | DSY003 |  | Parking apron             |  | China Southern Airlines Company Limited |  | Donglingguoyong (2004) No 02501 |  | Xiantao Town, Dongling District, Shenyang |  | Transportation |  | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50 |  |  |  | 14518.87 |  |  |  | 64.4436  |  |  |  | 2.0000 |  |  |  | 0.0100 |  |  |  | 5.5 | % |  |  | 2.5 | % |  |  | 70.0583  | 





1









|32                   |  | DSY006 |  | Parking apron   |  | China Southern Airlines Company Limited |  | Donglingguoyong (2004) No 02503 |  | Xiantao Town, Dongling District, Shenyang        |  | Transportation                          |              | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 50        |  |  |  | 13397.5 |  |  |  | 59.4663  |  |  |  | 2.0000 |  |  |  | 0.0100 |  |  |  | 5.5       | % |  |  | 2.5 | % |  |  | 64.6482  | 
|-------------------- |  | ------ |  | --------------- |  | --------------------------------------- |  | ------------------------------- |  | ------------------------------------------------ |  | --------------------------------------- | ------------ | -------------------------------------------------------------------- |  |  | --------- |  |  |  | ------- |  |  |  | -------- |  |  |  | ------ |  |  |  | ------ |  |  |  | --------- | - |  |  | --- | - |  |  | -------- | 
|33                   |  | DSY008 |  | Computer Center |  | China Southern Airlines Company Limited |  | Shenyangguoyong (2004) No 0342  |  | No. 388 Qingniandajie, Heping District, Shenyang |  | Land for scientific research and design |              | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 40        |  |  |  | 4545.7  |  |  |  | 150.4611 |  |  |  | 5.0000 |  |  |  | 0.0200 |  |  |  | 5.5       | % |  |  | 2.5 | % |  |  | 163.5664 | 
|34                   |  | DSY009 |  | Boiler Room     |  | China Southern Airlines Company Limited |  | Shenyangguoyong (2004) No 0103  |  | No. 388 Qingniandajie, Heping District, Shenyang |  | Residential                             |              | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |  | 30        |  |  |  | 5156.5  |  |  |  | 37.5589  |  |  |  | 5.0000 |  |  |  | 0.0150 |  |  |  | 5.5       | % |  |  | 2.5 | % |  |  | 40.8412  | 
|Shenyang sub-total   |  |        |  |                 |  |                                         |  |                                 |  |                                                  |  |                                         | 143296.6040  |                                                                      |  |  | 780.9959  |  |  |  |         |  |  |  |          |  |  |  |        |  |  |  |        |  |  |  | 849.0337  |  
|Shares leased assets |  |        |  |                 |  |                                         |  |                                 |  |                                                  |  |                                         | 1064878.4940 |                                                                      |  |  | 5558.5677 |  |  |  |         |  |  |  |          |  |  |  |        |  |  |  |        |  |  |  | 6042.5664 |  















|Breakdown of Real estate lease rental project of China Southern Group : Airline catering services leased assets | Exhibit 2
|--------------------------------------------------------------------------------------------------------------- | ---------



Breakdown
of Real estate lease rental project of China Southern Group :Airline catering services leased assets



|No                                                |  | Asset no. |  | Parcel name                    |  | Land users at valuation date                                        |  | Land use rights certificate number |  | Location of parcel                                    |  | Registration purpose at valuation reference date |            | Actual development progress at valuation reference date              |  | Remaining useful life of the land |          |  | Land area(m2) |  |          | Total net income (RMB0’000/year) |  |  | Land use tax unit price (RMB0’000/ year) |  |  | Land use tax (RMB0’000/year) |     |  | Business tax rate |  |        | Management Fee Rate |  |  | Land reference annul lease rent (RMB0’000/ year) |  
|------------------------------------------------- |  | --------- |  | ------------------------------ |  | ------------------------------------------------------------------- |  | ---------------------------------- |  | ----------------------------------------------------- |  | ------------------------------------------------ | ---------- | -------------------------------------------------------------------- |  | --------------------------------- | -------- |  | ------------- |  | -------- | -------------------------------- |  |  | ---------------------------------------- |  |  | ---------------------------- | --- |  | ----------------- |  | ------ | ------------------- |  |  | ------------------------------------------------ | -
|1                                                 |  | DXJ011    |  | Xinjiang Airport Catering      |  | China Southern Airlines Company Limited                             |  | Niaoguoyobg (2004) No 0008754      |  | No. 46 Yingbin Road, Xinshi District                  |  | Transportation                                   |            | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |                                   | 39.26    |  |               |  | 14269.36 |                                  |  |  | 50.2813                                  |  |  |                              | 1.5 |  |                   |  | 0.0059 |                     |  |  | 5.5                                              | %
|2                                                 |  | DHEB004   |  | Heilongjiang Airoport Catering |  | China Southern Airlines Company Limited                             |  | Haguoyong (2004) No 16344          |  | Baijiagang Airport, Daoli District                    |  | Land for Beiji International Trade               |            | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |                                   | 50       |  |               |  | 6962     |                                  |  |  | 34.8282                                  |  |  |                              | 2   |  |                   |  | 0.0100 |                     |  |  | 5.5                                              | %
|3                                                 |  | DLD001    |  | Dalian Beiji Trade Building    |  | Dalian Baoshui District Beiji International Trading Company Limited |  | Baoshuiquguoyong (01) Zi No 4002   |  | Storage and processing area, Baoshui District, Dalian |  | Civil Airport                                    |            | Outside parcel red line “Liu Tong” and area inside red line “smooth” |  |                                   | 50       |  |               |  | 7752     |                                  |  |  | 205.2457                                 |  |  |                              | 6   |  |                   |  | 0.0300 |                     |  |  | 5.5                                              | %
|Airline catering services leased assets sub-total |  |           |  |                                |  |                                                                     |  |                                    |  |                                                       |  |                                                  | 28983.3600 |                                                                      |  |                                   | 290.3552 |  |               |  |          |                                  |  |  |                                          |  |  |                              |     |  |                   |  |        |                     |  |  | 315.6534                                         |