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DHL air contractor modernises US fleet

Tuesday, January 29th, 2013

DHL’s domestic US air fleet contractor Air Transport Services Group is replacing aging Boeing 727 aircraft with four new Boeing aircraft on behalf of the international integrator.

The company based in Wilmington, Ohio, is adding three Boeing 767-200 aircraft and a Boeing 757-200.

The new 767s are operated by the Group’s ABX Air subsidiary under an existing crew, maintenance and insurance (CMI) agreement with DHL. The new 757 is operated by subsidiary Air Transport International (ATI) under a new multi-year agreement.

The additions mean that ATSG now operates 27 aircraft on behalf of DHL, 23 of which ATSG owns, with four owned by and leased from DHL. Of the aircraft that ATSG owns, 13 are operated by ATSG subsidiary Cargo Aircraft Management under seven-year leases to DHL, which run to either 2017 or 2018.

The new aircraft are replacing 727s that are retiring under a fleet modernisation strategy that ATSG and DHL are undertaking. The retiring aircraft, operated by ATI and another ATSG subsidiary, Capital Cargo International Airlines, will be offered for sale.

Rich Corrado, the ATSG chief commercial officer, said: “These newer generation aircraft provider greater capacity, higher reliability and more efficient fuel burn, expanding and improving DHL’s service for its customers. This commitment to service by both companies has allowed for exceptional growth, particularly over the past two years.”

DHL is ATSG’s largest customer, providing a little over half the air contractor’s revenue in 2012.

ATSG has had long-term contracts with the integrator since August 2003.

Source: Post&Parcel/ATSG

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