DHL-Lufthansa freighter debut in 2009

DHL Express and Lufthansa Cargo’s new joint venture cargo airline AeroLogic will take off in the first half of next year with the 103-tonne B777-200 freighters. AeroLogic initially plans to operate a leased fleet of 11 B777-200s, mainly from its home hub in Leipzig, Germany, to/from major Asian markets, subject to obtaining traffic rights.

The first four aircraft are scheduled for delivery in 2009, starting in February, with four more to follow in 2010, two in 2011 and the final one in 2012.

DHL Express, part of German logistics group Deutsche Post World Net, will take the major share of the new B777F fleet capacity on weekdays to boost its Asia-Europe air express network. At weekends, Lufthansa Cargo will take over the main responsibility for filling the aircraft, this time with freight, on both scheduled and charter services, mainly on European routes to/from Asia and also North America (New York and Chicago).

In terms of aircraft block hours, the anticipated split will be 74 percent express network operations and 26 percent general cargo services. Capacity-wise, the weekly split will be DHL 61 percent, Lufthansa Cargo 39 percent.

DHL Express chief executive officer of global aviation, Charles Graham, claimed the advent of the B777F operations would speed up overall transit times for the Europe-Asia express traffic. “The percentage of traffic in both directions between Europe and Asia that we are able to pick up and deliver on the other continent before noon on the second day will increase to something like 80 percent,” he said.

AeroLogic, which is capitalised at USD74 million, is targeted to generate revenue of USD148 million in its start-up year of 2009, rising to USD 444 million in 2010 and USD 814 million once fully operational in 2011. The new airline will lease its first eight B777Fs from a company called Deucalion Capital VII, which is managed by German financial institution DVB Bank.

DHL Express and Lufthansa Cargo’s new joint venture cargo airline AeroLogic will take off in the first half of next year with the 103-tonne B777-200 freighters. AeroLogic initially plans to operate a leased fleet of 11 B777-200s, mainly from its home hub in Leipzig, Germany, to/from major Asian markets, subject to obtaining traffic rights.

The first four aircraft are scheduled for delivery in 2009, starting in February, with four more to follow in 2010, two in 2011 and the final one in 2012.

DHL Express, part of German logistics group Deutsche Post World Net, will take the major share of the new B777F fleet capacity on weekdays to boost its Asia-Europe air express network. At weekends, Lufthansa Cargo will take over the main responsibility for filling the aircraft, this time with freight, on both scheduled and charter services, mainly on European routes to/from Asia and also North America (New York and Chicago).

In terms of aircraft block hours, the anticipated split will be 74 percent express network operations and 26 percent general cargo services. Capacity-wise, the weekly split will be DHL 61 percent, Lufthansa Cargo 39 percent.

DHL Express chief executive officer of global aviation, Charles Graham, claimed the advent of the B777F operations would speed up overall transit times for the Europe-Asia express traffic. “The percentage of traffic in both directions between Europe and Asia that we are able to pick up and deliver on the other continent before noon on the second day will increase to something like 80 percent,” he said.

Lufthansa Cargo chairman and chief executive officer Carsten Spohr said the new joint venture airline would provide his organisation with additional “cost efficient capacity”, reduced flight times and lower cost operations for its freight business on Asian and North American routes.

“Most likely, we will be able to pass on the lower cost advantage to the market place and that should result in us achieving a higher market share,” added the German carrier’s chairman.

Meanwhile, one of AeroLogic’s two managing directors, Thomas Pusch, said the new airline had to move on with preparations for a planned operational start-up in early 2009.

“We have already signed leasing contracts for the new aircraft, unveiled the new brand, decided on the core IT systems, established contacts to facilitate the securing of an AOC (Air Operators Certificate) and opened an office in Leipzig,” he said.

“The next steps include starting traffic right negotiations, especially on Hong Kong which is very important for us, submitting detailed AOC applications, beginning IT implementation and recruiting pilots.”

AeroLogic, which is capitalised at USD74 million, is targeted to generate revenue of USD148 million in its start-up year of 2009, rising to USD 444 million in 2010 and USD 814 million once fully operational in 2011. The new airline will lease its first eight B777Fs from a company called Deucalion Capital VII, which is managed by German financial institution DVB Bank.