Basis of the Proposed Annual Cap for the System Services Transactions Sample Clauses

Basis of the Proposed Annual Cap for the System Services Transactions. The proposed annual cap for the System Services Transactions under the System Services Agreement for the year ending 31 December 2021 is determined with reference to: (i) the historical transaction amounts of such type of transactions between ACCA, Eastern Airlines and Shanghai Airlines for the preceding three years ended 31 December 2019; (ii) the estimated increase in demand of the civil aviation transportation market as influenced by various factors such as the “One Belt and One Road” strategy; (iii) the expansion of Eastern Airlines’ business from time to time through acquisition of other airlines or establishing more branches; and (iv) the broad prospect of China’s aviation market, which the International Air Transport Association expected that it will become the largest civil aviation transportation market in 2024.
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