Hawaiian Airlines slowly adds freighters for Amazon business
FreightWaves » Air Cargo
by Eric Kulisch
2d ago
Hawaiian Airlines has commenced operating a second Airbus A330-300 cargo jet for Amazon on a new route between New York’s JFK airport and the retail behemoth’s West Coast air logistics hub in San Bernardino, California, the company reported in quarterly earnings Tuesday. Under a  transportation services agreement that kicked in last year, Amazon (NASDAQ: AMZN) leases the aircraft from a dealer and transfers them to Hawaiian Airlines (NASDAQ: HA) to fly and provide routine maintenance. Hawaiian, which is branching out to all-cargo operations for the first time, began commercial revenue se ..read more
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US Postal Service to migrate air cargo to UPS during summer
FreightWaves » Air Cargo
by Eric Kulisch
2d ago
The U.S. Postal Service plans to shift daily air cargo volumes to UPS before the contract with FedEx expires in September to ensure no service interruption for customers heading into the busy holiday shipping season, the agency and company officials said Tuesday.  UPS’ (NYSE: UPS) ability to leverage its integrated air-and-ground network and bypass its main sort hub in Louisville, Kentucky, will enable the integrated express carrier to better profit from transporting domestic airmail for the U.S. Postal Service than its predecessor, executives said during an earnings briefing for analyst ..read more
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China e-commerce exports, unreliable Red Sea shipping boost air cargo
FreightWaves » Air Cargo
by Eric Kulisch
4d ago
Resurgent air cargo demand and rising rates, powered by the quasi-blockade of Red Sea shipping and continued growth in bookings by Chinese e-commerce platforms, during a normally slow shipping period is creating high expectations among air carriers for peak season and making logistics providers nervous about securing adequate capacity.  Air cargo demand has grown by double digits for four consecutive months, while rates have risen steadily since late February. The strength of the market rebound after a prolonged downturn that bottomed out last August has surprised industry watchers. But ..read more
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Asia Pacific Airlines on notice for $2.9 million FAA fine
FreightWaves » Air Cargo
by Eric Kulisch
1w ago
The Federal Aviation Administration has issued a preliminary fine of $2.9 million against Aeromicronesia Inc., a cargo airline based in Guam that does business as Asia Pacific Airlines, for safety violations related to pilot training and equipment. Asia Pacific Airlines provides scheduled and ad hoc charter service between Guam, the Marshall Islands, Micronesia, the Northern Mariana Islands, American Samoa, Palau and Honolulu. It has five Boeing 757-200 converted freighters on its registry, but two of them have been parked for more than three months, according to aircraft tracking sites. The ..read more
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United Airlines sets bar for Q1 cargo performance
FreightWaves » Air Cargo
by Eric Kulisch
1w ago
United Airlines, buoyed by a significant recovery in market conditions, delivered surprisingly strong cargo results in the first quarter that likely will be the benchmark for comparing the performance of other airlines. United (NASDAQ: UAL) reported after Tuesday’s market close that sales for freight and mail were $391 million, a notably small dip of 1.8% from the same three-month period in 2020 considering the air logistics sector’s 16-month slump that lasted into the second half of 2023 and the revenue hit taken by airlines. CEO Scott Kelly said on a conference call he anticipates it will b ..read more
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Decline in Delta Air Lines’ Q1 cargo revenue has silver lining
FreightWaves » Air Cargo
by Eric Kulisch
2w ago
The rate of decline in cargo revenue at Delta Air Lines slowed further in the first quarter, reflecting an overall improvement in global market conditions for airfreight.  Atlanta-based Delta (NYSE: DAL) on Wednesday reported record first-quarter adjusted revenue of $12.6 billion, but cargo revenue fell 15% year over year to $178 million. The world’s second-largest passenger airline by passengers carried almost never mentions cargo beyond a line on the income statement, but the earnings news release twice said cargo and maintenance service were nearly a 1-point drag on total unit revenue ..read more
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ABX Air pilots choose cooperation over confrontation 
FreightWaves » Air Cargo
by Eric Kulisch
2w ago
LOUISVILLE, Ky. — The exhibit hall at the Omni Hotel here was filled in mid-February with booths representing airlines, logistics providers, airports, truck delivery companies and technology vendors marketing their capabilities to industry peers attending the AirCargo 2024 conference. The stall with a handful of ABX Air pilots from the Airline Professionals Association stood out. Pilots never attend air logistics conferences, let alone rent space for a display. Why would they? They don’t have anything to sell. They fly the planes. But here was the pilots union selling a precious commodity: go ..read more
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UPS plans to hire 300 pilots to support Postal Service contract
FreightWaves » Air Cargo
by Eric Kulisch
3w ago
UPS is looking to hire more than 300 pilots to support an anticipated increase in air cargo demand driven by a new multi-year contract from the U.S. Postal Service, according to the union representing the company’s air crews. “The Independent Pilots Association Executive Board was informed that UPS HR is resuming their pilot hiring process to account for the additional volume surge that will occur as the year progresses,” the union said in a statement shared with FreightWaves. “The initial projected estimate for hiring is expected to be 300+ additional crew members, which is subject to adjust ..read more
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Postal Service’s air cargo shift to UPS makes everyone a winner 
FreightWaves » Air Cargo
by Eric Kulisch
3w ago
The U.S. Postal Service’s decision this week not to renew a contract with FedEx, worth more than $1.5 billion per year, for domestic air transport and award it to UPS after more than two decades actually benefits all three parties, according to industry analysts. At face value, the arrangement seems a blow for FedEx (NYSE: FDX), which will lose one of its biggest customers when the existing contract expires on Sept. 29. And it raises questions about how UPS (NYSE: UPS) can make a decent profit flying mail if rival FedEx was struggling to do so. But experts said the change meets the needs of t ..read more
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Bankrupt charter airline iAero to cease operations
FreightWaves » Air Cargo
by Eric Kulisch
3w ago
iAero Airways, the largest passenger charter and cargo carrier in the U.S., will cease operations on Saturday after an unsuccessful effort to restructure the company under bankruptcy protection, President Timothy Rainey informed employees. Headquartered in Greensboro, North Carolina, iAero operates several narrowbody cargo jets for DHL Express. Other customers include the National Hockey League and U.S. Immigration and Customs Enforcement. The airline’s main flying base is at Miami International Airport.  “It is with great regret that without continuing DIP financing from our lenders or ..read more
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