WRITTEN BY: FELICITY STREDDER | 25/08/2016
A five-year agreement has been signed between Atlas Air and FedEx Express, which will see the former provide five 747-400 freighter aircraft to the logistics company during peak seasons.
Though Atlas Air has previously provided freighters to FedEx, and will do so for the 2016 peak flying season, this is the first agreement to secure aircraft this far in advance. William J. Flynn, President and CEO of Atlas, said: “We have worked closely and successfully with FedEx for many years, but this is our first agreement that allows both companies to plan for the longer term.”
The new contract, to begin next year and continue through to 2021, suggests that FedEx is confident about its position in the market despite the onset of rival company Amazon's "Prime Air" freighter service, which also has a service agreement with Atlas Air. The online entity leased a fleet of 20 767-300 aircraft from the airline, the first of which entered into service earlier this month.
In the light of these two deals, it seems Atlas may have steered towards the e-commerce and logistics markets as the traditional air cargo market has slowed in recent times.
News cited from magazine.groundhandling.com