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STARTED OPERATIONS IN 1993. INTERNATIONAL, SCHEDULED, CHARTER, CARGO, JET AIRPLANE SERVICES.
2000 WESTCHESTER AVENUE
PURCHASE, NEW YORK, NEW YORK 10577-2543, USA
USA (United States of America) was established in 1776, it covers an area of 9,363,123 sq km, its population is 280 million, its capital city is Washington DC, and its official language is English.
NOVEMBER 1995: ATLAS AIR (TLS) IS AN ALL-CARGO OPERATOR, PRINCIPALLY PROVIDING OUTSOURCING OF AIRPORT-TO-AIRPORT AIR TRANSPORTATION SERVICES THROUGHOUT THE WORLD TO MAJOR INTERNATIONAL AIRLINES SUCH AS CHINA AIRLINES (CHI), (KLM), VARIG (VAR), EMIRATES (EAD), & LUFTHANSA (DLH).
HAECO (CAT), TO CONVERT 10 747-200F'S, (MTOW) 833,000, (MLW) 630,000, (MZFW) 590,000 LBS.
1 747-200, EX-LUFTHANSA CARGO (LUB). 1 747-200B (CF6-50E2), EX-ALITALIA (ALI). OPERATES 4 747-200F'S FOR (CHI), & 1 FOR (KLM) (100 TONNES), FROM AMSTERDAM, TO PENANG, MALAYSIA.
JANUARY 1996: 1995 = +$17.8 MILLION (+$3.6 MILLION) (NET PROFIT).
DURING 1995, +3 AIRPLANES FOR TOTAL 9. TO +3 IN 1ST QUARTER 1996. TO ACQUIRE 6 747-200'S (GE), FROM THAI AIRWAYS (TII), & CONVERT TO FREIGHTERS (4 IN 1996 & 2 IN 1997). 5 747-200F'S, EX-FEDEX (FED).
MARCH 1996: NOW COMPLETED 6 747-200F CONVERSIONS AT WICHITA (TOTAL 13).
1 747-200F, EX-SWISSAIR (SWS). NOW HAS 1 747-100F & 10 747-200F'S. 2ND 747-200F WET-LEASED TO LUFTHANSA (DLH). 5 747-200F'S (JT9D-7A) EX-FEDEX (FED) (FLYING TIGERS OLDIES) (20826; 20827; 21650; 21764; 21841), SUBLEASED UNTIL JANUARY 1998 THEN TO BE SUBLEASED TO (DLH) (MOBILE AEROSPACE, ALABAMA, DOING "D" MAINTENANCE CHECK ON 20827).
APRIL 1996: NOW HAS 14 747-200F'S. PLANS FOR +10, BY THE END OF 1997.
MAY 1996: MICKEY FORET, PRESIDENT, EX-NORTHWEST AIRLINES (NWA); MICHAEL CHOWDRY CHAIRMAN & CEO. LATTER AGREES TO SELL 6.7% SHARES TO PAY FOR 6 747-200'S, LEAVES OWNERSHIP AT 63.5%.
JUNE 1996: $256 MILLION CONTRACT, 1/2 ORDER 747-200F, THAI INTERNATIONAL (TII) 3 YEAR WET-LEASED.
JULY 1996: 2ND DELIVERY OF 5 747-200F'S, EX-FEDEX (FED). FAST AIR CARGO (FAC), & CARGOLUX (CLX) 3 YEAR, WET-LEASED 747-200F.
AUGUST 1996: 1 747-200B (CF6-50E2), EX-AIR NEW ZEALAND (ANZ), AND 1 747-200F (JT9D-70A), EX-FEDEX (FED).
OCTOBER 1996: RECEIVED 1ST OF 6 EX-(TII) 747-200'S, TO BE CONVERTED TO FREIGHTER, AT WICHITA. RECEIVED 5TH OF 6, EX-(FED) 747-200F PROPOSAL, FOR 5 747-400F'S (1998).
DECEMBER 1996: TERRENCE RENDLEMAN, SENIOR VP TECHNICAL SERVICES & FLIGHT OPERATIONS, REPORTS TO J MATHENY, SENIOR VP OPERATIONS.
JANUARY 1997: RENEWED EXPIRING LEASES WITH VARIG (VAR), & CHINA AIRLINES (CHI), FOR ANOTHER 5 YEARS (WET-LEASED 747F'S).
1996 = +$37.8 MILLION (+$17.8 MILLION): TOTAL BLOCK HOURS FLOWN = >59,000 (33,265).
HAS <500 EMPLOYEES, WITH 30 AT EXECUTIVE OFFICE IN GOLDEN, COLORADO.
FLIGHT CREW (FC) PAID AROUND $70,000, +LARGE, PROFIT-RELATED BONUSES.
FEBRUARY 1997: RENEWED WET-LEASE CONTRACTS FOR +2 YEARS, FOR 747-200F, CHINA AIRLINES (CHI) TO MIAMI (MIA), & (KLM) TO CHICAGO (ORD).
"AIR TRANSPORT WORLD" MAGAZINE AWARD FOR "AIR CARGO DEVELOPMENT" IN RECOGNITION OF UNIQUE NICHE, ATLAS AIR (TLA) "HAS CREATED IN DEVELOPING NEW MARKETS & SERVICES IN THE AIR FREIGHT INDUSTRY."
3 YEAR WET-LEASE RENEWAL WITH FAST AIR CARGO (FAC), CHILE.
APRIL 1997: +2 ORDERS (1998) 747-200'S. MICKEY FORET, PRESIDENT, SAYS +5 AIRPLANES (1997) FOR 30% CAPACITY, 1 747-2D7B (CF6-50E2), EX-THAI AIRWAYS (TII) (22472). 1 747-2R7F (21650) EX-FEDEX (FED), LEASED.
JUNE 1997: AWARDED 35 CHARTER CARGO FLIGHTS TO BRAZIL.
"D" MAINTENANCE CHECK TO REPLACE SOME THAT ARE COSTLY TO OPERATE (TO LESSOR).
747-200F (CF6-50E2) (RT637) AT CHINA AIRLINES (CHI), INCLUDING STRUT MODIFICATION.
$1.68 BILLION, 10/10 ORDERS (MAY 1998) 747-47UF'S (GE). BOUGHT 747-2F6B (21832) FROM CIT (TCI), LEASED TO PHILIPPINE AIRLINES (PAL).
(+$16.2 MILLION) DUE TO POOR RELIABILITY OF 5 747-200'S, EX-FEDEX (FED). TO ACCELERATE RETURN TO (FED) WITHIN 5 MONTHS.
FOLLOWING RESIGNATION OF MICKEY FORET, PRESIDENT; MICHAEL CHOWDRY ACTING PRESIDENT.
OCTOBER 1997: 2ND 747-200F WET-LEASED TO LINEAS AEREAS SURAMERICANOS (LAR).
DUE TO WORLD SHORTAGE OF (JT9D-7J) ENGINES, TO SEEK APPROVAL OF INTERMIX WITH (JT9D-7A).
DECEMBER 1997: INCREASES TO 11 ORDERS 747-400F'S, WITH 5 IN 1998, INSTEAD OF 4, WITH 3 747-200'S ON INTERIM BASIS.
JANUARY 1998: 1997 = +$23.4 MILLION (+$37.8 MILLION) (NET PROFIT).
TERMINATES LEASE OF 2 747-200'S AT PHILIPPINE AIRLINES (PAL) EARLY, SO CAN BE RETURNED & CONVERTED TO FREIGHTER AT BOEING WICHITA, & ENTER SERVICE IN 2ND QUARTER.
FEBRUARY 1998: RENEWS 2 YEAR, 747 WET-LEASE TO LANCHILE (LAN).
DEPARTMENT OF TRANSPORTATION (DOT) AWARDS ATLAS AIR (TLS), USA - COLOMBIA, ALL-CARGO AUTHORITY TO REPLACE MILLON (MLA).
MARCH 1998: BECOMES 22ND, USA OPERATOR MEMBER, OF AMERICAN AIR TRANSPORT ASSOCIATION (ATA).
APRIL 1998: (DOT) ALLOCATES 44 CHARTER, ALL-CARGO FLIGHTS, TO ATLAS AIR (TLS) TO BRAZIL FOR 1998 - 1999.
CONTRACT FOR 747-200F, FOR CHINA AIRLINES (CHI).
MAY 1998: RENEWS 747-200F MAINTENANCE CONTRACT WITH (KLM).
JUNE 1998: MICHAEL MULZOFF, DIRECTOR QUALITY ASSURANCE (QA) RECEIVES (FAA) "MASTER MECHANIC" AWARD.
ATLAS AIR (TLS) RECEIVES "CARGO AIRLINE" AWARD "FOR EXCELLENCE" FROM INTERNATIONAL AIR CARGO ASSOCIATION IN PARIS.
1ST 747-400F WILL REPLACE A 747-200F AT BRITISH AIRWAYS (BAB) ON LONG-TERM CONTRACT.
JULY 1998: LEASES MIAMI (MIA) HANGAR BAY FROM AMERICAN AIRLINES (AAL), FOR F & E MAINTENANCE, TO PERFORM 747 "B" CHECKS.
ACCELERATES DELIVERIES OF 747-400'S ON ORDER, 5 IN 1998, 4 IN 1999, 1/4 2002, & /6 LATER. 747-245F (266-20827) RETURNED TO FEDEX (FED). 10 747-400'S +OPTIONS, 10 YEAR MAINTENANCE CONTRACT, "POWER-BY-THE-HOUR", FIXED COST, TO LUFTHANSA TECHNIK (LTK) (DLH). TO (KLM) FOR 747-200 FLEET.
1ST 747-47UF DELIVERY (29252). WET-LEASE CONTRACT FOR 747-400F FOR CARGOLUX (CLX). 747-200F RETURNED FROM BRITISH AIRWAYS (BAB), WILL BE 2ND WET-LEASE TO LAS COLOMBIA (LAR).
AUGUST 1998: 10 YEAR CONTRACT TO (ARINC), FOR GLOBAL, DATA LINK SERVICE FOR (SATCOM) EQUIPPED 747-400F'S.
3RD 747-200F (21220) WET-LEASED TO LAS COLOMBIA (LAR). 2ND 747-400F DELIVERY.
SEPTEMBER 1998: PAUL SAWHNY, VP TECHNICAL OPERATIONS, EX-PAN AM.
ATLAS AIR (TLS) IS LEADING FREIGHT CARRIER AT MIAMI FOR FIRST 6 MONTHS: 102K TONS.
1 ORDER (1999-03) 747-200F (CF6-50E2) (21576), EX-AIR FRANCE (AFA).
OCTOBER 1998: MERRILL LYNCH REPORT ON AIRFREIGHT INDUSTRY, SELECTS (TLS) AS "TOP PICK" AND "CONTINUES TO OUTPERFORM EXPECTATIONS."
596 EMPLOYEES (FULL +1/2 PART).
747-200F WET-LEASED TO EL AL (ELA). CONTRACT FOR FREIGHTER SERVICE, WITH IBERIA AIRLINES (IBE), FOR 2 747-200F'S.
SIGNS 2ND CONTRACT FOR 747-400F SERVICES TO CARGOLUX (CLX). BUYS 3 747-271F'S (21964; 21965; 22403), EX-CARGOLUX (CLX), & LEASES BACK TO (CLX). AIRPLANES WERE PREVIOSLY SOLD TO SOUTHERN AIR TRANSPORT (STT).
NOVEMBER 1998: CONTRACT WITH FEDEX (FED) FOR 2 747-230F'S, & 1 747-400F, WET-LEASED (21220; 21221).
DECEMBER 1998: BOEING WICHITA MODIFICATION CENTER CONTRACT TO CHANGE (JT9D-7J) ENGINES TO (CF6-50E2)'S ON APPLICABLE 747-200'S.
4TH & 5TH 747-4UF (29255; 29261) DELIVERIES.
JANUARY 1999: ANNOUNCED 3-FOR-2 STOCK SPLIT. 4TH QUARTER = +$18.1 MILLION (+$9.1 MILLION). 1998 = +$46.2 MILLION (+$23.4 MILLION) RECORD!
ADDED 4 747-400'S IN 1998, & +4 MAJOR AIRLINE CONTRACTS. 1 737-700BBJ IGW DELIVERY.
FEBRUARY 1999: 1 +1 ORDER 747-200SR (21922), EX-ALL NIPPON (ANA). ENGINES WILL BE USED FOR CHANGING (JT9D)'S ON EXISTING 747-200F (20887, 21048) AT BOEING WICHITA. EXERCISES OPTIONS FOR 2 747-400F'S. CONTRACT WITH FAST AIR (FAC) FOR 747-200F. +2 ORDERS (2000-02) 747-400'S (CF6-80C2). FEDEX (FED) CANCELS 1 747-200F, (TLS) WET-LEASE (AIRPLANE TO (FAC).
MARCH 1999: ROBERT ARANDAL, ADVISOR TO THE PRESIDENT, EX-SENIOR VP CARGOLUX (CLX).
737-700 BBJ INTERIOR MODIFICATION BY LUFTHANSA TECHNIK (LTK) (DLH), FOR MICHAEL CHOWDRY, CHAIRMAN & CEO, READY FOR 1999-08.
APRIL 1999: 1ST QUARTER = +$10.2 MILLION (+$5.3 MILLION) RECORD!
640 EMPLOYEES (INCLUDING 341 FLIGHT CREW (FC)).
2ND 747-200F WET-LEASED TO LANCHILE (LAN).
MAY 1999: MARK CLARK, DIRECTOR ENGINEERING & MAINTENANCE PLANNING. JIM PHOENIX, DIRECTOR QUALITY ASSURANCE (QA), REPLACES MIKE MULZOFF, WHO IS TO RETIRE.
JUNE 1999: 747-400F DELIVERY.
JULY 1999: MICHAEL CHOWDRY, CHAIRMAN & CEO NAMED "ENTREPRENEUR OF THE YEAR" BY "ERNST & YOUNG" IN "COMMERCIAL TRANSPORTATION SERVICES" CATEGORY.
747-228F (CF6-50E2) WET-LEASED TO AIR FRANCE (AFA). 747-200F WET-LEASED TO CATHAY PACIFIC (CAT) (12TH CARRIER). 2 747-400F'S (29258; 29259) WET-LEASED TO CHINA AIRLINES (CHI) IN 1999.
AUGUST 1999: TOLEDO - SAO PAULO OPERATIONS, FOR BAX GLOBAL/AERFLORAL (ABX).
LONG-TERM WET-LEASE WITH STERLING (STR) FOR 747-200F (CF6-50E2), FOR 1ST DIRECT ALL-CARGO SERVICE FROM SCANDINAVIA TO USA.
747-47UF (29259, N498MC), DELIVERY, WET-LEASED TO CHINA AIRLINES (CHI), IN (CHI) COLOR SCHEME. 1 747-400F (CF6-80C2) WET-LEASED TO KOREAN AIR (KAL), 2001-12 (14TH CUSTOMER).
SEPTEMBER 1999: (DOT) OK'S USA - BIRMINGHAM, UK, FOR 2 YEARS. OPERATES WILLOW RUN, MICHIGAN, TO BIRMINGHAM - LUXEMBOURG, & SAN JUAN.
747-2D7BF (21783, N522MC), RETURNED FROM THAI INTERNATIONAL (TII).
OCTOBER 1999: CODE SHARE WITH KOREAN AIR (KAL), LOS ANGELES (LAX) - SEOUL.
1ST 9 MONTHS = +$37.6 MILLION (+$28.2 MILLION).
NOVEMBER 1999: MICHAEL CHOWDRY, FOUNDER & CEO + TIM HOEKSEMA, PRESIDENT & CEO, MIDWEST EXPRESS (MWX), NAMED "ENTREPRENEURS OF YEAR" BY "ERNST & YOUNG." MICHAEL'S AWARD WAS FOR "PIONEERING THE CONCEPT OF AIRPLANE OUTSOURCING (EXAMPLE: UNITED PARCEL SERVICE (UPS), FEDEX (FED), (KLM), & SCANDINAVIAN AIRLINES (SAS), PRAISED FOR HIS ABILITY TO PREDICT INDUSTRY TRENDS, AND MAINTAIN AN UP-TO-DATE FLEET OF SUFFICIENT CAPACITY, PLUS HIS COMMITMENT TO CUSTOMERS, THAT ATLAS AIR (TLS) WOULD NOT COMPETE WITH THEM FOR FREIGHT, BUT INSTEAD CARRY FREIGHT UNDER THEIR BANNERS AT LOWER COSTS THAN THEY THEMSELVES COULD PERFORM."
ATLAS AIR (TLS) CONTROLS 18% OF WORLD'S WET-LEASE CARGO MARKET, AS THE WORLD'S 3RD LARGEST CARGO CARRIER, FOR TOTAL REVENUE & TONS.
MOVES ITS GOLDEN, COLORADO, HQ & ITS NEW YORK (JFK) OPERATIONS FACILITIES, TO HARRISON, WESTCHESTER COUNTY, NEW YORK (120,000 SQ FT).
3 747-200F'S & 1 747-400F WET-LEASED TO MALAYSIAN AIRLINES (MAS) MASKARGO.
DECEMBER 1999: (DOT) OK'S USA - SOUTH AFRICA & BEYOND, ALL-CARGO: TO START CHICAGO (ORD) - DETROIT - BIRMINGHAM UK - LUXEMBOURG - CAIRO - JOHANNESBURG - HARARE - NAIROBI.
3RD 747-200SR (21606), EX-ALL NIPPON AIRWAYS (ANA), TO BE USED FOR PARTS. 747-271F SOLD TO CAL CARGO (CRG) (21964).
JANUARY 2000: 4TH QUARTER = +$23.7 MILLION (+31%) (+$18.1 MILLION) RECORD! MAINTENANCE COSTS $729,000 (.53% DIRECT OPERATING COSTS (DOC): 34,000 BLOCK HOURS (+52.2%) (22,330). 1999 = +$61.3 MILLION (+$46.2 MILLION).
1 747-200F (CF6-50), WET-LEASED TO CHINA SOUTHERN AIRLINES (GUN). 2 747-200F'S WET-LEASED TO AEROFLORAL, COLOMBIA.
FEBRUARY 2000: 747-47UF DELIVERY. 2ND 747-47UF (CF6-80C2), WET-LEASED TO KOREAN AIR (KAL).
MARCH 2000: TOP 10 CARGO OPERATORS AT MIAMI IN 1999 TONS (1,000):
1 TLS 260 (+13.7%); 2 AAL 171 (-6.5%); 3 CHA 141 (-1.9%); 4 ARW 119 (+9.4%); 5 TMP 118 (+8.3%); 6 FNE 112 (-29.7%); 7 CKF 92 (-34.1%); 8 UPS 70 (+20.3%); 9 UAL 58K (-6.4%); 10 AMJ 44 (-46.5%).
APRIL 2000: 1ST QUARTER = +$12 MILLION RECORD! (+$2.2 MILLION).
SERVES 76 CITIES, IN 42 COUNTRIES.
2 747-47UF'S DELIVERIES, 1 WET-LEASED TO CHINA SOUTHERN AIRLINES (GUN), REPLACING 747-200F, ON SHENZHEN - CHICAGO (ORD) CARGO ROUTE.
MAY 2000: JAMES CASBARRO, VP TECHNICAL OPERATIONS.
2 747-341C'S (23394; 23395), EX-VARIG (VAR), TO BE CONVERTED TO FREIGHTER BY BOEING AIRPLANE SERVICES (BAS), WICHITA. ALITALIA (ALI) SWAPS ITS 747-200F, FOR 1 747-400F (TLS) WET-LEASED. 1 747-329BC (810-24837, /90 38 05), EX-SABENA (SAB), UNICAPITAL (UAG) 5 YEAR LEASED, CONVERTED TO FREIGHTER BY (BAS), WICHITA (FITS 30 MAIN DECK PALLET POSITIONS).
JUNE 2000: 1 747-200F TO BE WET-LEASED TO DRAGONAIR (DRG) STARTING 2000-08. 1 747-200F WET-LEASED TO AIR CHINA (BEJ).
JULY 2000: DEPARTMENT OF TRANSPORTATION (DOT) OK'S SCHEDULED CARGO SERVICE TO COLOMBIA, AND BEYOND, VIA INTERMEDIATE POINTS.
1,400 EMPLOYEES (INCLUDING 800 FLIGHT CREW (FC)).
MARCUS SCHLEICH, DIRECTOR MAINTENANCE, EX-FEDEX, (FED), REPLACES JOE LEVELIS, WHO HAS ACCEPTED A NEW JOB IN MIAMI.
JULY 2000: 2ND QUARTER = +$19 MILLION RECORD! (+43%) (+$13.3 MILLION). 1999 = +$53.3 MILLION (+$46.2 MILLION): 93.06 MILLION (FTK) FREIGHT (+73.75); 1,286 EMPLOYEES (+100.9%).
AUGUST 2000: 747-47UF (29252, N491MC), WET-LEASED TO MASKARGO (MAS).
SEPTEMBER 2000: 1 747-200F WET-LEASED TO CHINA EASTERN (CEA) FOR CHINA CARGO AIRLINES OPERATIONS. NEGOTIATING 20 ORDERS 747-400F'S, & 20 ORDERS 767-300F'S.
OCTOBER 2000: SIGNS LEASE WITH ALASKA CARGOPORT FOR 4,491 SQ FT, WAREHOUSE, & 5,342 SQ FT, OFFICE SPACE, TO ENABLE LOWERING COSTS AT ITS TRANSPACIFIC CARGO HUB, WHICH OPERATES AN AVERAGE OF 70 FLIGHTS/WEEK.
3RD QUARTER = RECORD +$23.1 MILLION (+64%)! (DUE TO GROWTH IN ASIAN MARKETS, WHERE THERE IS SIGNIFICANT SHIPMENT BACKLOGS IN KOREA AND HONG KONG).
MARK CLARK, DIRECTOR ENGINEERING & PROGRAMS, RESIGNS, AND IN INTERIM REPLACED BY NEAL SAWHNY, MANAGER POWERPLANT ENGINEERING.
747-2D7BF (21784) WET-LEASED TO MASKARGO (MKO). 747-341F (23395, N355MC) CONVERSION COMPLETED.
DECEMBER 2000: 747-341F (23394, N354MC) CONVERSION TO FREIGHTER COMPLETED.
JANUARY 2001: MICHAEL CHOWDRY, FOUNDER, CHAIRMAN, PRESIDENT & CEO, WAS KILLED IN PRIVATE JET PLANE CRASH NEAR DENVER. RICHARD SHUYLER, NAMED CEO. BRIAN ROWE, EX-(GE), CHAIRMAN. LINDA CHOWDRY, (MICHAEL'S WIFE), PRESIDENT.
4TH QUARTER = +$31.2 MILLION RECORD! (+$31.6%). 2000 = +$85.3 MILLION RECORD! (+39%).
1 747-47UF (29261, N408MC), WET-LEASED TO EMIRATES (EAD). 747-243C (22508) BOUGHT FROM ALITALIA (ALI).
FEBRUARY 2001: 2-YEAR HEAVY MAINTENANCE CONTRACT TO SINGAPORE (SIA) ENGINEERING, FOR 747-200F/300F'S, AT CHANGI.
JAMES MATHENY, PRESIDENT & COO. TERRY RENDLEMAN, SENIOR VP TECHNICAL, RESIGNS TO BECOME PRESIDENT & CEO, OF AEROEXCHANGE, DALLAS, TEXAS. HERB EPPICH, MAINTENANCE PLANNING DIRECTOR.
ATLAS AIR (TLS) SHARES DROPPED >-11% AFTER ONLINE REPORT, SUGGESTING IT COULD LOSE A LARGE SLICE OF ITS BUSINESS FROM ITS LARGEST CUSTOMER, CHINA AIRLINES (CHI) (WHO ACCOUNTS FOR 26% OF (TLS) REVENUES).
747-243BC (22508) TO BE CONVERTED TO FREIGHTER BY (IAI) BEDEK.
SELLS 747-271C (21965) TO CAL CARGO (CRG).
MARCH 2001: 1 747-2D7BF (21783, N522MC) WET-LEASED TO CHINA EASTERN AIRLINES (CEA).
APRIL 2001: PLANS FOR 4TH QUARTER 2002 TO OPEN NEW 315,000 SQ FT, 3-BAY WIDE BODY HEAVY MAINTENANCE (UP TO "C" CHECK) HANGAR, AT MIAMI INTERNATIONAL. IT MAY INITIALLY LEASE OUT 1 BAY. BAYS TO BE LARGE ENOUGH TO HANDLE A380.
TAKES MINORITY STAKE IN UK-BASED CARGO AIRLINE NAMED "GLOBAL SUPPLY SYSTEMS LTD" (GSS), MAJORITY-OWNED BY ENTREPRENEUR, JOHN PORTER, WHO INTENDS TO WET-LEASE 747F'S TO AIRLINES IN UK, AND BEGIN OPERATIONS FROM LONDON STANSTED. (TLS) OWNS 49%, PORTER 51%. TO START 2001-10.
1 747-200F WET-LEASED TO MARTINAIR (MTH). CONTRACT FOR 3 747-200F'S WET-LEASED TO FEDEX (FED) FOR 2001-09 TO 2001-12.
MAY 2001: FURLOUGHS -105 (FC) PILOTS (FC) TO COMBAT ECONOMIC SLUMP.
JUNE 2001: AGREEMENT WITH VOLGA-DNEPR (VDA) TO ACT AS USA, GENERAL SALES AGENT, FOR AN-124 OUTSIZE CARGO SERVICES. (VDA) HAS 60% OF THIS MARKET.
LAYS OFF 200 GROUND STAFF.
STATES IT WILL PARK 6 747-200F'S OF TOTAL 37 747F'S.
JULY 2001: SUSPENDS ITS PLAN TO BUILD 315,000 SQ FT, 3-BAY MAINTENANCE HANGAR IN MIAMI.
AGREEMENT WITH (GE) CAPITAL AVIATION SERVICES (GECAS) (GEH), TO ACQUIRE POLAR AIR CARGO (PAO) FOR $84 MILLION.
747-2D3BF (21251, N505MC), WET-LEASED TO LUFTHANSA CARGO (LUB).
OCTOBER 2001: CARRIED OUT 80 ONE-WAY AIR MOBILITY COMMAND CHARTERS AS PART OF CIVIL RESERVE AIR FLEET (CRAF).
3RD QUARTER MAINTENANCE COSTS = $1.02 MILLION (-64.8%).
NOVEMBER 2001: LAUNCHES ATLAS AIR (TLS) PARTNERSHIP, 3-HUB, CARGO PROGRAM, INCLUDING HIGH-FREQUENCY AIR CARGO NETWORK, STRATEGICALLY POSITIONED HUB OPERATIONS, STARTING WITH LIEGE, BELGIUM; ANCHORAGE; AND MIAMI. AIRLINE CUSTOMERS CAN PARTICIPATE, THROUGH NEWLY INTRODUCED, PARTIAL, ALL-INCLUSIVE, & FRACTIONAL, ALL-INCLUSIVE AIRPLANE PRODUCTS AND SERVICES. EMIRATES AIRLINES (EAD) IS ALREADY TAKING ADVANTAGE OF THE PROGRAM.
PLANS TO DEFER 4 747-400F'S DUE FOR DELIVERY IN 2002.
JANUARY 2002: 4TH QUARTER = -$13.66 MILLION: MAINTENANCE COSTS = $9.16 MILLION (+514.5%). 2001 = -$62.9 MILLION (-$85.3 MILLION) (TOOK -$44.9 MILLION IN AIRPLANE IMPAIRMENT CHARGES RELATED TO GROUNDING 6 747-200'S).
ACCORDING TO AIR CARGO MANAGEMENT GROUP, THE GLOBAL AIR FREIGHT TRAFFIC GREW +8% IN 2000, BUT DECLINED -5% IN 1ST 6 MONTHS 2001, AND EVEN FURTHER AFTER 9/11, WITH 2001 -7 to -10%, BUT PROJECTS 20O2 WILL REGAIN 1999 LEVELS.
CONTRACT TO AIMS, FLORIDA, TO PROVIDE A SUITE OF COMMERCIAL PLANNING, AIRPLANE SCHEDULING, MAINTENANCE PLANNING, OPERATIONS CONTROL, AND FLIGHT CREW MANAGEMENT SYSTEMS.
1 747-400F LEASED TO GLOBAL SUPPLY SYSTEMS (GSS), UK.
APRIL 2002: MAIN BASE: MIAMI INTERNATIONAL AIRPORT (MIA).
MAY 2002: PLANS TO DEFER 747-400F DELIVERIES.
June 2002: 2 737-300F's (23395, N355MC; 24837, N24837), wet-leased to subsidiary, Polar Air Cargo (PAO). 1 747-47UF (32837, N415MC), Boeing (TBC) leased.
July 2002: Contract to Aircraft Management Technologies (AMT), Ireland, for eTechlog, electronic, airplane technical log, which transmits (wireless) technical/operations data, via XML technology/portable computing devices.
Group 2001 = -$62.9 Million (+$85.3 Million); (TLS) = -$66.89 Million (+$85.06 Million): 2.29 Billion (FTK) freight (+68.3%); 1,500 employees (+15.4%). 6 months = 1.02 Billion (FTK) (+12.43%).
1 747-47UF (CF6-80C2) (32838), wet-leased 15 months to EVA Air (EVA). 747-47UF (29252, N491MC), wet-leased to TNT Airways (TNT).
August 2002: Jeff Erickson, ex-Midway (MID)/(TWA), President & COO.
1st 6 months = -$40.9 Million (-$50.6 Million).
September 2002: 747-228F (21576, N536MC), returned from Air France (AFA).
October 2002: 747-47UF (29255, N494MC), wet-leased to (TNT). 747-2D3BF (21251) and 747-47UF (29257, N496MC), wet-leased to Polar (POA). 747-47UF (29253) wet-leased to China Southern (GUN).
December 2002: 1 747-400F wet-leased to Korean Air (KAL) in 2003-01.
747-47UF (32840, N418MC) delivery.
January 2003: 2,500 block hours for military charter flights (747-200SF & 747-400F).
2 747-47UF's (29252, G-GSSB; 32837, N415MC), wet-leased to Global Supply Systems (GSS).
February 2003: 4th Quarter operating revenues = +$413.7 Million (+45.8%), primarily due to the inclusion of Polar Air Cargo's (pao) revenues, strong military charter demand and required charters created by labor disruptions at US West Coast ports. Revenues from its traditional wet-lease services were -44.5%. Atlas Air (TLS) block hours were -.2%, whereas (PAO) were +36.5%. Is negotiating with its lessors on 5 747-200F's and 1 747-300F to reduce or defer operating lease payments. Is in the process of returning 1 747-200F and deferring a 747-400F delivery from 2003-10, to 2006-09.
March 2003: John Blue, CEO, replaces Richard Shuyler, and also CEO of Holding Company.
1 747-400F wet-leased to Air Canada (ACN), for Toronto - Hong Kong (2/week).
April 2003: In an ongoing effort to reduce costs, will eliminate approximately -30% of its ground staff, mostly at New York and Miami facilities.
May 2003: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS), appointed John Dietrich, VP & General Counsel.
747-47UF (29255) returned from TNT Airways (TNB).
June 2003: Israel Air Industries (IAI) Bedek, has multi-year Atlas Air (TLS) contract to provide 747-400F "D" maintenance checks in addition to 747-200F "C" checks.
July 2003: Scott Dolan, Senior VP & COO, (TLS) Worldwide Holdings, ex-Polar (PAO)/(GE).
August 2003: 747-47UF (32837, N923EV) delivery. 747-47UF (29255, N494MC), wet-leased to Global Supply Systems (GSS).
September 2003: Will complete its financial restructuring and implement agreements reached with its creditors and lessors through a pre-negotiated Chapter 11 bankruptcy filing it is planning for 12/03.
1st 6 months = -$65.3 Million.
November 2003: 747-47UF (29253, N492MC) short-term wet-lease to British Airways (BAB).
December 2003: Atlas Air Worldwide Holdings (parent company of Atlas Air (TLS) & Polar Air Cargo (PAO)) has deferred the anticipated date of a Chapter 11 filing to 2004-02. By obtaining pre-negotiated agreements from its major creditors and lessors, it hopes to reduce the time spent in bankruptcy so as to minimize the impact of the filing on its operations.
January 2004: As well as its sister Polar Air Cargo (PAO), Atlas (TLS) filed for Chapter 11 bankruptcy. Both carriers continue to operate. Has arranged for $50 Million in Debtor in Possession (DIP) financing from CIT Group (TCI) and Abelco Finance LLC. Has already developed a restructuring plan and expects to spend only a short time in Chapter 11.
February 2004: Jeffrey Erickson, CEO, repaces John Blue; John Dietrich, Senior VP, General Counsel & Chief Human Resources (HR) Officer; & Wake Smith, Senior VP Planning & Business Development.
March 2004: 747-329F (24837) returned to East Trust. 747-341F (23394) returned from Polar (PAO).
April 2004: Wake Smith, Senior VP & COO replaced Scott Dolan, COO, who resigned to join United (UAL) as President United Cargo.
July 2004: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) & Polar Air Cargo (PAO), emerged from Chapter 11 bankruptcy protection as its new joint plan of reorganization became effective.
2003 = 4.39 Billion (FTK) freight (+26.8%).
747-2F6B (21833) & 747-341F (23394) returned to Goldman Sachs Credit. 747-47UF (29258, N497MC) wet-leased to Emirates (EAD).
September 2004: Atlas Air (TLS) & Polar Air (PAO) were awarded a $25 Million contract from the USA Air Force Air Mobility Command (AMC) to provide fixed air cargo flying in (AMC)'s Fiscal Year 2005, starting 2004-10. Will also support expansion flying which amounted to $186 Million in revenue for 1st 8 months of 2004.
747-243F (23300) wet-leased to Alitalia (ALI). 747-2D7B (22472) wet-leased to British Airways (BAB) til 2005-04.
December 2004: Entered into a revolving credit facility with Congress Financial Corporation as agent for the lenders and Wanchovia Bank, National Association, as lead arranger. The facility provides the borrowers (Atlas Air & Polar Air Cargo) with the revolving loans of up to $60 Million, including up to $10 Million in letter of credit accommodations. The facility has an initial 4 year term after which the parties can agree to enter into 1 year renewal periods.
April 2005: Michael Barna, Senior VP & CFO.
May 2005: Atlas Air (TLS) provides scheduled, freight flights under (ACMI) wet-lease contracts, flying to 101 cities in 46 countries.
(IATA) Code: 5Y - 369. (ICAO) Code: GTI - (Callsign - GIANT).
Parent organization/shareholders: Atlas Air Worldwide Holdings (100%).
Owns: Global Supply Systems (GSS) (49%); & Polar Air Cargo (PAO) (100%).
Main Base: Miami International airport (MIA).
Domestic, freight destinations: Atlanta; Chicago; Dallas/Fort Worth; Miami; & New York.
International, freight destinations: Almaty; Amman; Amsterdam; Bangalore; Bangkok; Belo Horizonte; Bogota; Budapest; Chennai; Dalian; Dhaka; Dubai; Dusseldorf; Frankfurt; Gothenburg; Guayaquil; Hong Kong; Istanbul; Johannesburg; Karachi; Lahore; Liege; Lima; London; Manaus; Milan; Montreal; Mumbai; Nairobi; Osaka; Quito; Rio de Janeiro; Santiago; Sao Paulo; Shanghai; Singapore; & Taipei.
Israel Aircraft Industries (IAI) and PSF Conversions will convert 4 747-400 passenger airplanes to freighters on behalf of Atlas Air Worldwide Holdings (TLS) from late 2007 to mid-2008. The agreement includes an option covering the modification of up to 6 additional 747-400 passenger airplanes to Special Freighters during the 2009 - 2011 period.
August 2005: Atlas Air World Holdings suspends merger of Atlas Air (TLS) with Polar Air Cargo (PAO), when faced with strike action by the (PAO) pilots (FC). (TLS) has 22 747F's that are wet-leased to other operators and (PAO) has 12 747F's including 6 747-400F's.
September 2005: 747-230SF (21644, N508MC), returned from Polar Air Cargo (PAO).
October 2005: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), has begun distributing 40,940 shares of new common stock as it continues to restructure following its emergence last year from Chapter 11. The shares will go to holders of allowed general unsecured claims against (AAWW) and its subsidiaries and are the first to be allocated since an initial pro rata distribution of more than 16 million shares in July. Distribution of the remaining 1,065,950 shares to holders of allowed claims will occur on a quarterly basis beginning in January. As of Septemkber 30, claims of $608.8 million against (AAWW) have been allowed and claims of $52.4 million disputed.
November 2005: Atlas Air Worldwide Holdings President and CEO Jeffrey Erickson said in London yesterday that Atlas (TLS)/(PAO) is looking to go into the passenger wet-lease (ACMI) business using 747-400s. Speaking at the Air Cargo Seminar that opened the Future of Air Transport Conference, Erickson said the company hopes to build on its business relationships with cargo (ACMI) customers, grow its (ACMI) base and add a new revenue stream. The business would be a good fit, he said, because it is counter cyclical with cargo activities, peaking in the summer while cargo has its big peak in the fourth quarter with a smaller peak in early spring. Atlas (TLS)/(PAO) is on the lookout for used 747-400 passenger airplanes, possibly from airlines shedding their 747 fleets or moving over to A380s.
December 2005: Atlas Air (TLS)/(PAO) Worldwide Holdings said that it has identified potential cost savings and revenue enhancement opportunities with the help of a consultant that "if successfully realized, could benefit [it's] operating performance by more than +$100 million over the next several years." While the potential cost savings and revenue enhancements would occur over several years, prospective savings and revenue enhancements that could be realized in 2006 and 2007 "would not be insubstantial," it added. Atlas (TLS)/(PAO) President and CEO Jeffrey Erickson told a conference in London that the company is looking to go into the passenger wet-lease (ACMI) business using 747-400s.
January 2006: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), announced the upcoming retirement of President and CEO Jeffrey Erickson, who steered the company out of bankruptcy in 2004. Atlas (TLS) made the announcement as it reported that it expects to post pre-tax income "in excess" of +$125 million when it releases its final 2005 results in April. This compares to a +$51 million profit earned in 2004. Atlas (TLS) said 2005 revenues will be about $1.6 billion, a +13.5% rise over the $1.41 billion reported for 2004. Cash and cash equivalents climbed to $305 million in 2005 from $133.9 million the previous year.
"Our strong performance in 2005 benefited from the relatively full utilization of our airplanes and higher unit revenues in all four of our service types," said Erickson, who did not give a definitive date for his departure. He will remain on Atlas (TLS)'s board of directors and be "actively involved" in the search for his successor.
GCW Consulting announced that former Atlas Air (TLS) CEO Rick Shuyler joined the Virginia firm as a senior consultant.
April 2006: Atlas Air (TLS) and Polar Air Cargo (PAO) parent Atlas Air Worldwide (AAWW) Holdings, in its first full fiscal year since exiting bankruptcy protection, reported a 2005 profit of +$73.9 million on revenue of $1.62 billion, a performance that left the company confident as it pursues a listing of its common stock on a national exchange. "We believe that reaching these milestones will greatly broaden our potential investor base and therefore interest in (AAWW), ensuring a more liquid market for our shares," Senior VP and CFO, Michael Barna said.
Atlas (TLS) exited bankruptcy in late July 2004, making full-year comparisons difficult. The company provided separate figures for its pre- and post-Chapter 11 performance in 2004, but on a pro forma basis, it posted a profit of +$51 million in 2004 on revenues of $1.41 billion. Operating expenses in 2005 were $1.42 billion compared to $1.37 billion in 2004. Operating profit more than quadrupled from +$44.3 million to +$193.3 million.
Atlas (TLS) operated 39 747Fs at year end (it now has 41) and flew 157,259 block hours in 2005, an increase of +2.1%. (RTM)s fell -30% to 1.41 billion against a -33.1% decline in capacity to 2.16 billion (ATM)s. Load factor rose +3 points to 65.7% LF. Unit revenues grew +30.3% to 25.8 cents and yield increased +24.4% to 39.3 cents.
In the fourth quarter ended December 31, 2005, (AAWW) earned +$27.5 million, a slight improvement over the +$27.1 million earned in the year-ago period, its first full quarter after exiting bankruptcy. Operating profit dipped -2.3% to +$61 million.
Goals for 2006 include an increased presence for its scheduled service business in China, where it already has boosted weekly frequencies from nine to 12, and fleet renewal, which will start with the phasing out of older airplanes this year.
May 2006: Hurt by excess capacity, Atlas Air (TLS) and Polar Air Cargo (PAO) parent Atlas Air Worldwide Holdings (AAWH) posted a first-quarter net loss of -$3.7 million, down from a +$675,000 profit in the year-ago quarter. "Results for the quarter reflect some tough comparables, with a reduction in military charter activity compared with last year and a related excess of 747-200 airplane capacity that could not be fully and sensibly deployed elsewhere," outgoing President and CEO, Jeffrey Erickson said.
To realign capacity with demand, Polar (PAO) will retire or sell four 747-200Fs, a 747-100F and a 747-300F by July 1, reducing its fleet of 11 freighters to five 747-400Fs that will be joined by a sixth moved over from Atlas Air (TLS)'s fleet. "Given shifting market dynamics, we are reducing nonessential capacity in order to sustain and improve our profitability," said Erickson, who will retire June 22 and be replaced by former GeoLogistics CEO, William Flynn.
First-quarter operating revenues fell -4.2% to $332.1 million while expenses were virtually flat at $325 million, producing operating income of +$7.1 million compared to +$20.5 million in the year-ago quarter.
Total airplane block hours, including charters, declined -15.7% to 31,448. Scheduled service traffic dropped -5.8% to 317 million (RTM)s as capacity decreased -5.5% to 500.6 million (ATM)s. Load factor dipped -0.3 point to 63.3% LF. (RATM) grew +12.2% to 25.7 cents and yield increased +12.8% to 40.6 cents.
CFO, Michael Barna said (AAWH) plans to "[optimize] the allocation of available airplanes . . . in line with prevailing business opportunities and market conditions." He added that cost-cutting and revenue-enhancement initiatives will save more than -$100 million over the next 3 - 4 years. The company plans to leverage three additional weekly China frequencies awarded last year "to drive profitability in our scheduled service segment."
Erickson projected "a seasonal pickup in business this year" and said Atlas (TLS)'s cost-saving program means "significantly enhanced long-term growth prospects" for the cargo operator.
Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), received approval from Nasdaq for its common stock to begin trading on the exchange today under the symbol "AAWW." President and CEO, Jeffrey Erickson said trading on Nasdaq was "one of our most important post-reorganization business goals" after emerging from bankruptcy protection in July 2004.
Atlas Air Worldwide Holdings (AAWH) named William Flynn, President and CEO. He will replace retiring Jeffrey Erickson on June 22. Flynn, formerly President and CEO, of GeoLogistics, joins the parent of Atlas Air (TLS) and Polar Air Cargo (PAO) at a time of transition.
Spokesperson Alan Caminiti confirmed that Polar (PAO) will retire four 747-200Fs, a 747-100F and a 747-300F by July 1, reducing its fleet of 11 freighters to five 747-400Fs that be joined by a sixth from Atlas Air's (TLS) fleet. The smaller fleet and retirement of older airplanes requiring three-person crews, means that Polar (PAO) will furlough a to-be-determined number of pilots (FC) later this year, Caminiti said. The furloughs come as (AAWH) moves toward consolidating the pilot workforces of Atlas (TLS) and Polar (PAO) into one unit, a plan long favored by the company that was delayed by last fall's brief strike by Polar (PAO) pilots and its aftermath.
(AAWH), the largest operator of 747Fs in the world with 41, could replace the retired planes with conversions; it has reserved up to 10 747 passenger-to-freighter conversion slots with Israel Aircraft Industries (IAI) in 2007 - 2011, but has not determined whether it will use them. Caminiti also revealed that (AAWH), which now exclusively operates 747Fs, is "open to a lot of airplane types" and may add other types in coming years.
August 2006: Atlas Air Worldwide Holdings (AAWH), parent of Atlas Air (TLS) and Polar Air Cargo (PAO), earned +$10.7 million in the second quarter, narrowed -33% from +$15.9 million earned in the year-ago period, on a -7.3% decrease in revenues to $366.4 million. President and CEO, William Flynn attributed the lower results to reduced scheduled flying and substantially higher fuel prices in scheduled service. He noted that the retirement in the first half of the year of four Polar (PAO) 747-200Fs - - a 747-100F and a 747-300F - -contributed to a "substantial reduction in our maintenance cost expenditures" and helped to lower overall expenses -4.4% to $335.9 million. The company said it hopes to make an announcement on replacement airplanes "shortly."
Operating income was $30.6 million, down 30% from $43.8 million last year. Flynn said (AAWH) is "moving forward with our re-fleeting strategy" by "disposing" of the retired 747Fs in "secondary, more commoditized markets." He added that Polar is saving more than -$25 million in "annualized operating and overhead costs associated with these aircraft" and that the "next step" is investing in next-generation freighters to replace the retired airplanes. As for the remainder of 2006, he predicted a solid second-half performance that "will benefit from the seasonal pickup in all of our commercial lines of business that traditionally leads to a pre-holiday peak season beginning in September and lasting through mid-December."
Atlas Air Worldwide Holdings (AAWH) said it will pay off approximately $141 million of principal under two airplane financing facilities using cash from existing balances and will terminate an existing revolving credit facility with no borrowings outstanding. President and CEO, William Flynn said Atlas (TLS) will take advantage of its cash position, which totaled $309 million after the first quarter, to pay down or terminate facilities "that inhibit our strategic and operating flexibility." The company said it would make the payments, removing the financing liens on 16 747s, among other assets. (AAWW) said it will incur a one-time expense of about $13 million in the third quarter related to the write-off of the remaining, unamortized discount associated with the debt.
Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), will order up to 12 747-8Fs.
747-2F6BF (21832, N534MC); and 747-230BF (21221, N509MC), returned from Polar Air Cargo (PAO).
September 2006: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), promoted General Counsel and Senior VP, John Dietrich to Executive VP and COO, giving him oversight over all aspects of operations. Dietrich has been with Atlas (TLS) since 1999 and previously worked as an attorney for United Airlines (UAL)for 13 years.
Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), placed a firm order with Boeing (TBC)for 12 (GEnx)-powered 747-8F freighters valued at $3.4 billion, with deliveries slated for 2010 - 2011. Atlas (TLS) operates the world's largest fleet of 747Fs with 20 747-400Fs and 15 747-200Fs and had been considering replacements for four 747-200Fs, a 747-100F and a 747-300F retired from Polar (PAO)'s fleet earlier this year. Boeing (TBC) and Atlas (TLS) had appeared close to a 747-8F deal for some time, and the cargo operator will be the plane's North American launch customer.
Boeing (TBC) said it has sold 30 747-8Fs, including the Atlas (TLS)order. That total does not include a yet-to-be-finalized order from Emirates (EAD) announced at the Farnborough Air Show.
October 2006: Atlas Air Worldwide Holdings (TLS)/(PAO) named Adam Kokas, VP General Counsel & Secretary effective October 9.
Atlas Air Worldwide Holdings (AAWH) has reached agreement to sell a 49% equity interest and a 25% voting interest in its (PAO) Polar Air Cargo subsidiary to (DHL) for $150 million cash, the companies announced.
(AAWH) said the deal includes a 20-year blocked-space arrangement with potential revenues of $3.5 billion that "will ensure (DHL) access to airplane capacity in key global markets, while providing the (AAWH) companies with a valuable, long-term customer."
(DHL), which said it was especially interested in Polar (PAO)'s Asian routes, will have access to its six 747-400Fs, as well as available wet-lease (ACMI) airplanes from Atlas Air (TLS). Because (DHL) is a non-USA owned company, it cannot acquire more than a 25% interest in Polar (PAO) under USA law and the deal likely will be subject to review by the USA Department of Transportation.
(AAWH) announced a second-quarter profit of $10.7 million, down -33% from the year-ago quarter. (DHL) will pay $75 million upon the transaction's closing and the remaining $75 million in installments scheduled for January 15 and November 17, 2008.
"Our strategy has been to maximize the value and potential of our scheduled-service business, and this transaction accomplishes that goal," (AAWH) President and CEO, William Flynn said, adding that the deal "provides our company with a significant increase in our cash liquidity and a very attractive long-term revenue stream."
(DHL) Express CEO, John Mullen said the transpacific route "is one of the most rapidly growing and competitive trade lanes globally, and adding capacity through an even stronger presence in the USA is a crucial factor in supporting our dynamic Asian business."
Polar (PAO) will continue to operate independently and there will be no integration with (DHL) or its subsidiaries, the German company said.
747-2F6B (21832, N534MC), & 747-230BF (21221, N509MC), returned from Polar Air Cargo (PAO) and sold to Southern Air (SOF). 747-230BF (21644, N508MC), leased to Tradewinds (TWX).
November 2006: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), reported third-quarter net income of +$7.1 million, significantly narrowed from a +$29.9 million profit in the year-ago quarter.
The company called the three months ended September 30, a "transition quarter," and said fourth-quarter pre-tax income will exceed +$60 million, up from +$45 million in last year's final quarter. It blamed the third-quarter drop on lower military charter "heavy-lift" operations, saying such activity was "unusually high" last year and was back to more normal levels this year. Higher fuel costs also affected earnings negatively.
Operating revenues decreased -10.8% to $361.1 million as expenses lowered -2.6% to $328.2 million, producing operating income of +$32.9 million, narrowed -51.6% from +$68 million in the year-ago quarter. Scheduled service traffic rose +11.8% to 384.1 million (RTM)s on a +17.6% lift in scheduled capacity to 610.3 million (ATM)s, producing a load factor of 62.9% LF, down -3.3 points.
Noting the recent partial sale of Polar (PAO) to DHL, President & CEO, William Flynn predicted pre-tax earnings for full-year 2007 will exceed +$110 million. "We have strengthened our scheduled-service business through network optimization and have leveraged Polar Air Cargo (PAO)'s strategic route structure, optimal assets and high service reliability," he said.
Polar (PAO) will launch twice-weekly flights to Beijing on November 11.
December 2006: Atlas Air (TLS) Worldwide Holdings (AAWH) and (DHL) announced the finalization of (DHL)'s acquisition of a 49% stake in (AAWH) subsidiary Polar Air Cargo (PAO) and a 20-year blocked-space agreement announced in October. The stock purchase agreement was executed November 28.
March 2007: Atlas Air (TLS) and Polar Air Cargo (PAO) parent Atlas Air Worldwide Holdings (AAWH) posted net income of +$59.8 million for 2006, down -19.1% from +$73.9 million earned in the prior year, on an +8.6% decrease in revenue to $1.48 billion.
But the company reported a +66.2% fourth-quarter profit gain to +$45.7 million and projects strong growth going forward, pointing to 12 747-8F freighters it has on order and a partnership deal with (DHL) that will see the express cargo giant take a stake in Polar (PAO). "We actively manage our assets and we have aggressively resized our fleet and cost structure to maximize returns on our asset portfolio," President & CEO, William Flynn said. "Our proactive focus on the quality of our business achieved improvements in operating earnings and margins in the fourth quarter that offset declines in total revenues and block-hour volumes." Full-year operating expenses lowered -7% to $1.32 billion. Operating income decreased -21.2% to +$152.3 million. Total block hours flown dropped -15.3% to 133,261 as the company operated an average of four fewer airplanes compared to 2005. Revenue per block hour rose +8% to $6,016. Scheduled service traffic increased +4.3% to 1.48 billion (RTM)s on a +7.7% lift in capacity to 2.32 billion (ATM)s, producing a load factor of 63.5% LF, down -2.2 points. Yield grew +5.3% to 41.4 cents as (RATM) rose +1.9% to 26.3 cents.
Flynn said the company remains focused on its "continuous improvement" initiatives encompassing "strategic procurement and operational efficiencies to reduce our cost base and enhance performance, reliability and quality levels across our entire operation." Such initiatives accounted for more than $22 million in savings in 2006 including nearly $14 million in the second half. (AAWH) anticipates it will achieve the majority of the $100 million of continuous improvement benefits it has targeted for 2007, with the balance realized in 2008.
Flynn said the "strategic partnership with DHL will significantly enhance the value of our scheduled-service business" and projected the deal will close "as soon as we obtain the remaining necessary regulatory approvals."
747-228F (21576, N536MC), sold to Southern Air (SOF).
April 2007: Atlas Air Worldwide Holdings (AAWH), parent of Atlas Air (TLS) and Polar Air Cargo (PAO), reached a settlement with the USA Securities and Exchange Commission (SEC) regarding accusations of inaccurate financial reporting from 2000 to 2002, agreeing to make no future misleading financial statements, while paying no penalty for alleged transgressions that took place under previous management. The (SEC) said (AAWW) failed to "report accurately its financial results, maintain requisite accounting records and implement adequate internal accounting controls" in fiscal years 2000, 2001 and the first half of Fiscal Year (FY) 2002. In a statement issued recently, Atlas (TLS) pointed out that "none of the present board of directors or members of senior management was a focus of the investigation" and said it had reached a settlement with the (SEC) "without admitting or denying the findings" by agreeing to "cease and desist from committing or causing any violations and any future violations of federal securities laws and regulations." The (SEC) said in an order issued recently that (AAWW) had undertaken "remedial acts" to improve its financial reporting and cooperated with the investigation, leading the agency to end its inquiry. (AAWW) President & CEO, William Flynn said, "Going forward we are committed to the highest level of integrity in our financial reporting."
The company named Michael Steen, a veteran of Exel (SBE) and (KLM) Cargo, as Senior VP & Chief Marketing Officer (CMO). It also promoted Jason Grant to Senior VP, Network Planning & Business Development. A member of (AAWW)'s executive team since 2002, Grant last year served as VP Continuous Improvement.
Atlas Air (TLS) has 50 pilots (FC) on furlough status.
May 2007: Atlas Air (TLS) and Polar Air Cargo (PAO) parent Atlas Air Worldwide Holdings (AAWH) reported first-quarter net income of +$6.2 million, reversed from a net loss of -$3.7 million in the year-ago quarter, on a +6.1% rise in revenue to $353.6 million, the highest total it has ever generated in a first quarter. President & CEO, William Flynn called the results "excellent," adding: "Our active asset management and continuous improvement (CI) initiatives are yielding measurable gains in our margins and operating efficiency, and enhancing our earnings." The company said its (CI) program contributed more than >$12 million in cost savings during the quarter, including gains achieved through outsourcing, reduced fuel consumption and improved parts management. "With this momentum, we maximized returns on our assets and achieved robust results during a traditionally slow period of the year in air cargo demand, as well as a quarter with some sluggishness in key trade lanes," he said.
Expenses increased +3.4% to $336.1 million and operating income totaled $17.5 million, more than double the $7.1 million achieved in the year-ago period. Scheduled service traffic grew +5.7% to 335.1 million (RTM)s on a +4.5% lift in capacity to 523.1 million (ATM)s, producing a load factor of 64.1% LF, up +0.8 point. Scheduled service yield decreased -7.4% to 37.6 cents as (RATM) fell -6.3% to 24.1 cents. (AAWW) attributed the drop to "the impact of an increase in competitive capacity serving the transpacific market and moderation of demand for shipments from China, Hong Kong, Korea and Japan." Scheduled service and commercial charter fuel gallons consumed lowered -1.8% to 32.8 million, as the average cost per gallon dropped -6.3% to $1.92. (AAWW)'s average fleet size during the quarter was 32.7 airplanes, down -16.2% from the year-ago quarter, while average utilization of operating airplanes increased +18.7% to 10.7 block hours daily.
June 2007: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), said it has entered into a joint venture agreement to build a new cargo warehouse at Seoul Incheon. The 12,000-sq-m Atlas Air (TLS) Cargo Terminal, slated to open early next year, will be operated by (AACT) Co, a Joint Venture (JV) comprising Atlas Air (TLS) and Sharp, a South Korean provider of maintenance, ground and related airline support services. It will be the first facility at Incheon to be at least partly owned by a foreign airline. Atlas Air (TLS) has a 30% stake in (AACT), Sharp holds 29% and the remainder is held by several individual South Korean investors.
(DHL) said it officially completed the previously announced transaction to form a strategic partnership with Atlas Air Worldwide Holdings (TLS)/(PAO) subsidiary, Polar Air Cargo (PAO). (DHL) is investing $150 million for a 49% stake and 25% of voting rights in Polar (PAO).
August 2007: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), posted second-quarter net income of +$43.2 million, more than four times the +$10.7 million profit, earned in the year-ago quarter. It credited a -16% fleet reduction and "active asset management" for the improvement, and pointed to a -$27.7 million lowering in income tax expense, owing to a tax benefit related to (DHL)'s purchase of a 49% equity interest, and 25% voting stake in Polar (PAO), a transaction that closed in the quarter. "Our future is bright," President & CEO, William Flynn said. "We expect strong growth in demand."
Second-quarter revenue grew +1.1% to $370.4 million, while expenses rose +1% to $339.2 million, producing operating income of +$31.2 million, up +2% over +$30.6 million in the year-ago quarter. Scheduled service traffic dropped -0.2% to 376.3 million (RTM)s, on a -0.7% dip in capacity to 593.8 million (ATM)s, producing a load factor of 63.4% LF, down -0.3 point. Yield declined -5.4% to 38.3 cents, as (RATM) fell -4.8% to 24.3 cents.
September 2007: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), named Jason Grant, Senior VP & CFO, succeeding Michael Barna, who resigned from the post he has held since 2005 "to pursue other interests." Grant, 35, has been with the company since 2002 and most recently served as Senior VP Network Planning & Business Development.
November 2007: First 6 months = 2.61 billion (FTK)s (-1.39%).
Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), posted third-quarter net income of +$32.4 million, four-and-a-half times more than a net profit of +$7.1 million in the year-ago quarter. President & CEO, William Flynn said the positive earnings resulted from its ongoing effort to "optimize" its fleet of 32 747-200/-400F freighters and cut costs. He noted that airplane utilization was up +4.1% to more than >11.4 hours daily. Cost-cutting and efficiency initiatives provided -$15 million in savings for the quarter, he added. Third-quarter revenue increased +9.6% to $395.9 million as expenses grew +9.9% to $360.6 million, producing operating income of +$35.4 million, up +7.6% from $32.9 million in the year-ago quarter. Scheduled service traffic rose +14.4% to 439.2 million (RTM)s on a +11.4% lift in capacity to 670 million (ATM)s, producing a load factor of 64.6% LF, up +1.7 points. Yield dropped -1.2% to 40.8 cents as (RATM) increased +1.5% to 26.4 cents. "We are looking ahead to a strong fourth quarter and full-year 2007," Flynn said, projecting that annual pre-tax earnings will exceed +$130 million. Pre-tax earnings for full-year 2006 were $+93.8 million.
The Dutch Transport and Water Management Inspectorate levied a €30,000/$43,740 penalty on (TAP) Portugal, and a €15,000 fine on Pegasus Airlines (PGS) for repeated abuse of the legally set special noise regime, during the night and early morning period at Amsterdam Schiphol (AMS). Compliance with the relevant environmental standards at (AMS) has been tightened since July, following an agreement between Airport Coordination Netherlands, the Dutch slot coordinator, and the Inspectorate of the Ministry of Transport and Public Works. In September, the (IVW) imposed a €30,000 penalty on Fly Air (FLM), and €15,000 penalties on Alitalia (ALI), Delta Air Lines (DAL), Corendon Airlines (CDN), and Air Cairo (AOX). In July, Clickair (CLK) received administrative fines of €60,000 and €15,000, and Atlas Air (TLS) one penalty of €15,000.
December 2007: Atlas Air (TLS) is accepting Flight Crew (FC) resumes, however, it is not hiring at this time.
January 2008: 2007 Performance Statistics: 5.39 billion (FTK)s (-2.17%) freight traffic. SEE ATTACHED - - "TLS-2007-STATS."
February 2008: Atlas Air Worldwide Holdings (AAWH), parent of Atlas Air (TLS) and Polar Air Cargo (PAO), more than doubled its net income in 2007 to +$132.4 million from the +$59.8 million earned in the previous year. Full-year revenue increased +5.4% to $1.56 billion, while expenses rose +6.8% to $1.41 billion, producing operating income of +$154.8 million, up +1.6% over +$152.3 million in 2006. Total block hours lifted +0.2% to 133.5 million, and scheduled service traffic escalated +8.9% to 1.61 billion (RTM)s on a +7.3% rise in capacity to 2.49 billion (ATM)s. (RATM) grew +0.4% to 26.4 cents, but yield decreased -1.2% to 40.9 cents.
The company said that it has reached agreement to expand its (ACMI) wet-lease relationship with (DHL) Express (DHK), which last year purchased a 49% equity interest and a 25% voting interest in Polar (PAO) and also gained access to Atlas (TLS) freighters on an (ACMI) basis. President & CEO, William Flynn said Atlas (TLS) has agreed to place two 747-400Fs into (ACMI) wet-lease service on behalf of (DHL) on a three-year term, starting March 29. Six Polar (PAO) 747-400Fs already are scheduled to enter into express network (DHL) service in late October.
(AAWH) ended 2007 with 32 747Fs and said it has made pre-delivery deposit payments on five 747-8Fs for delivery in 2010. It said it plans to take delivery of an additional seven 747-8Fs by the end of 2011, though it has not yet announced firm financing on those airplanes. The company said that this year, it will acquire a 747-400F from an undisclosed operator, and will transition one of Atlas (TLS)'s 747-400Fs from another contract to (DHL) services. It will take delivery of a 747-400BCF in the fourth quarter, to be used for non-(DHL) business. Flynn commented that Polar (PAO)'s "transformation" into a (DHL) network carrier will "substantially de-risk our business," enabling it to transport "predictable loads" leading to "significant expansion in margins and earnings." Looking ahead, he said that despite "current economic uncertainty, we expect to increase pre-tax earnings in 2008 and to grow them dramatically in 2009." He projected that pre-tax income, which was +$132.7 million in 2007, will rise to +$165 million to +$175 million in 2009.
747-230BF (21220, N512MC), sold to Tradewinds International (TWX).
May 2008: Atlas Air (TLS) and Polar Air Cargo (PAO) parent Atlas Air Worldwide Holdings reported a first-quarter net loss of -$5.3 million, reversed from a profit of +$6.2 million in the year-ago period, but insisted the result reflects high fuel costs from which it largely will be insulated when Polar (PAO)'s blocked-space agreement with (DHL ) begins later this year. "Our business fundamentals are solid and our performance is on track . . . apart from the impact of fuel prices," President & CEO, William Flynn said. "Record commercial fuel prices, up nearly +50% over last year, had a substantial impact on our [Polar (PAO)] scheduled services results during the first quarter." But he noted that "our direct exposure to fuel costs will be largely eliminated in late October when [Polar (PAO)] commences flying under its long-term blocked space agreement with (DHL) Express. "First-quarter revenue increased +5% to $373 million, while expenses lifted +11.2% to $375.6 million, producing an operating loss of -$2.6 million, reversed from a +$17.5 million operating profit in the year-ago period.
June 2008: The International Brotherhood of Teamsters filed a petition with the USA National Mediation Board seeking a vote to represent Atlas Air (TLS) and Polar Air Cargo (PAO) flight crew (FC) members.
July 2008: Atlas Air Worldwide Holdings (TLS)/(PAO) ordered (GE)'s Tech (CF6) upgrade kits for the (CF6-80C2)s that power its 747-400F fleet. Deliveries will begin this month.
August 2008: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), reported second-quarter net income of +$1.5 million, down -96.5% from +$43.2 million in the year-ago period. President & CEO, William Flynn said that "aside from the impact of fuel prices . . . our performance remains on track." Fuel expenses leaped +69.5% to $207 million. Flynn added that fuel costs "will effectively be eliminated" when Polar (PAO) becomes a DHL Express carrier in October, allowing it to experience "de-risked earnings growth . . . Our future is bright." Second-quarter revenue rose +17.8% to $438.8 million, while expenses increased +24.5% to $425.2 million, producing operating income of +$13.6 million, down -56.5% from +$31.2 million last year. Scheduled service traffic grew +21.8% to 458.4 million (RTM)s on a +20.8% lift in capacity to 717.4 million (ATM)s, producing a load factor of 63.9% LF, down -0.5 point.
September 2008: Atlas Air (TLS) is accepting resumes from 747 First Officer Pilots (FC) and interviewing. Applicants can send their resumes to firstname.lastname@example.org.
October 2008: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), said last week that full-year 2008 pre-tax operating profit will "exceed $65 million," a downgrade from previous guidance of "approximately $85 million." President & CEO, William Flynn cited "lower utilization of our 747-200 airplanes and weaker yields [owing to a weak economy] having a negative impact."
November 2008: Atlas Air Worldwide Holdings, parent of Atlas Air (TLS) and Polar Air Cargo (PAO), posted third-quarter net income of +$5.2 million, down -84% from +$32.4 million in the year ago period.
It blamed the drop on fuel costs and "soft demand." President & CEO, William Flynn noted that Polar (PAO) becoming a DHL contract carrier last month will lead to "significant earnings improvement" in 2009 by "de-risking our business model."
Third-quarter revenue rose +15.6% to +$460.7 million, while expenses jumped +21.2% to $440.4 million, producing operating income of +$20.2 million, down -42.9% from +$35.4 million last year. Scheduled services traffic increased +1.3% to 445 million (RTM)s on a +4.5% lift in capacity to 710.3 million (ATM)s, pushing load factor down -2 points to 62.6% LF.
Looking ahead, Flynn projected operating income of +$55 to -$60 million for full-year 2008 and a doubling to +$130 million for full-year 2009, owing to benefits from the DHL contract.
1st 6 months = 2.36 billion (FTK)s freight traffic (-9.63%).
December 2008: Atlas Air (TLS) and Polar Air Cargo (PAO) flight crew (FC) voted to join the International Brotherhood of Teamsters (IBT), the union announced. They formerly were represented by the Air Line Pilots Association.
February 2009: Atlas Air Worldwide Holdings (AAWH), parent of Atlas Air (TLS) and Polar Air Cargo (PAO), reported 2008 net income of +$63.7 million, down -51.9% from a +$132.4 million profit in 2007, citing "a challenging year for global trade and airfreight," high first-half fuel prices and the "global recession" in the second half of the year. The results were helped by a deferred pre-tax gain of $153.6 million related to DHL purchasing a 49% equity interest in (PAO), which started operating as a DHL Express carrier in October.
President & CEO, William Flynn said (PAO) becoming a DHL carrier and (AAWH) retiring seven of its 14 747-200s "de-risk" the company's business and position it to "substantially improve earnings in 2009 and to report solid first-quarter results in a difficult market."
Full-year 2008 revenue rose +1.9% to $1.61 billion, while expenses jumped +14.1% to $1.62 billion, producing an operating loss of -$8.5 million, reversed from an operating profit of +$154.8 million in 2007. Scheduled service traffic dropped -14.6% to 1.37 billion (RTM)s on a -12.6% decline in capacity to 2.18 billion (ATM)s, producing a load factor of 63% LF, down -1.5 points. Yield improved +14.9% to 47 cents while (RATM) rose +12.1% to 29.6 cents.
(AAWW) said it will retire seven of its 14 747-200s and report a largely non-cash pre-tax special charge of approximately $85 to $95 million associated with retirements. "The current pronounced downturn in global airfreight demand has caused us to accelerate our plans to retire a portion of our older 747-200 assets," President & CEO, William Flynn said.
May 2009: Atlas Air Worldwide Holdings (AAWH), parent of Atlas Air (TLS) and Polar Air Cargo (PAO), posted first-quarter net income of +$23.4 million, reversed from a -$5.3 million loss in the year-ago period, as it benefited from the first full quarter of (PAO) 's operating as a DHL Express carrier. The (PAI) (ACMI) contract pushes much of (AAWH)'s fuel and maintenance expense to DHL. (AAWH) also retired seven 747-200F freighters last year (half of its 747-200F fleet), assets that previously were a big expense burden. All told, expenses fell -47%, enabling it earn a healthy profit despite generating less revenue.
President & CEO, William Flynn said the DHL deal "has transformed expected margins on 747-400F airplane assets that had been deployed in our former scheduled service segment, where [AAWH] was responsible for fuel and yield risk . . . We are positioned to substantially improve earnings in 2009 with a much smaller airplane fleet." First-quarter revenue dropped -34.5% to $244.5 million but was offset by the -47% plunge in expenses to $200.8 million, producing operating income of +$43.7 million, reversed from an operating loss of -$6 million in the year-ago period. Total block hours flown declined -21.9% to 22,908 but revenue per block hour on (ACMI) services lifted +15.7% to $6,905.
747-243F (22507, N516MC), WFU at Roswell.
August 2009: Atlas Air Worldwide Holdings (AAWH), parent of Atlas Air (TLS) and Polar Air Cargo (PAO), reported second-quarter net income of +$11.3 million, a more-than-sevenfold increase over a +$1.5 million profit in the year-ago period, as it continued to benefit from (PAO) becoming a DHL Express carrier and its cost-cutting initiatives.
President and CEO, William Flynn noted to analysts that the strong result was achieved despite "a difficult demand environment" in which worldwide air cargo traffic dropped by around -18%. He said the company likely will report positive results for the full year owing to its "very resilient business model" that includes (PAO) operating as a DHL Express airline, which pushes fuel expenses and other operational costs from (AAWH) to the delivery giant, and the company operating a smaller fleet (28 747F freighters compared to 42 as recently as 2007) that it believes allows it to better match capacity to demand.
He also credited (AAWH)'s "continuous improvement" program that resulted in slashing $115 million in annual costs as of the end of last year. Executive VP & COO, John Dietrich recently said "A significant component [of being profitable despite the economic downturn] is how we're managing our business. We have looked at every aspect of our business to find ways of operating more efficiently and more cost-effectively."
Second-quarter revenue fell -45.3% to $240 million, while expenses lowered -49.6% to $214.5 million, producing operating income of +$25.5 million, nearly double +$13.3 million last year. Total block hours flown decreased -16.1% year-over-year to 26,308 as, largely owing to the DHL arrangement, (ACMI) block hours lifted +46.8% to 18,484 while scheduled service block hours were eliminated. Commercial charter block hours more than doubled to 2,683.
Flynn said (AAWH) will have "better visibility" on 2010 demand later this year, explaining, "There are still a lot of moving pieces in the market." But he noted that "global airfreight traffic in the past few months is showing some signs of incremental improvement." He cautioned, however, that there "is still an imbalance between traffic and capacity that has put pressure on airfreight yields." He reiterated that (AAWH) is in "live talks" with Boeing (TBC) regarding a new delivery schedule for 747-8F freighters, for which it has firm orders for 12. It originally was supposed to receive six of the type in both 2010 and 2011.
October 2009: Atlas Air Worldwide Holdings (AAWH) reported third-quarter net income of +$14.7 million, a nearly threefold increase over +$5.2 million earned in the year-ago period and its third quarter of strong earnings growth this year. President & CEO, William Flynn credited its 2009 earnings growth despite a weak air cargo market to its decision to retire 14 less efficient 747-200F freighters in 2007 and 2008 and turning former scheduled services subsidiary Polar Air Cargo (PAO) into a DHL Express carrier in October 2008. Looking forward, he cited "ongoing improvement in both supply and demand in global airfreight since earlier this year . . . We expect to see improving trends continuing through the fourth quarter and expect our fourth-quarter net earnings to exceed +$18 million on that basis."
He added that talks with Boeing (TBC) continue regarding a revised delivery schedule for the 12 747-8F freighters (AAWH) has on order. It originally was supposed to receive six of the type in both 2010 and 2011. He said (AAWH) and (TBC) have agreed to reschedule three deliveries to 2012 and 2013 but there is no agreement yet on the other nine.
With its fleet downsized (currently 28 airplanes) and the DHL deal in full effect, it generates less revenue compared to last year, but its costs are much lower. Third-quarter revenue fell -44.5% to $255.5 million, while expenses lowered -48.5% to $226.9 million, producing operating income of +$28.6 million, up +41.6% from +$20.2 million last year.
The 747F freighter specialist also announced that it plans to offer 5.25 million shares of common stock in an underwritten initial public offering (IPO) and that it has extended for an undisclosed period its wet-lease (ACMI) contract with freight forwarder Panalpina, for which it has provided airlift for 15 years.
(AAWH), the 747F wet-lease freighter specialist, announced that it has won a contract to operate "outsourced premium-passenger private charter service" between Houston Intercontinental and Luanda using two customized executive-class, 747-400s provided by Angola's SonAir (SON). The "Houston Express" charter service will ferry members of the USA-Africa Energy Association between the USA's primary oil center and West Africa on thrice-weekly flights. The service is not open to the public.
(AAWH) subsidiary Atlas Air (TLS) will receive undisclosed, contractually determined revenue for operating the airplanes, with SonAir (SON) assuming responsibility for passenger revenue and certain direct costs, including fuel, (AAWH) said. President & CEO, William Flynn said outsourced charter passenger service is the "next and important step for our company." (SON) is a subsidiary of the Sonangol Group, the Angola-based multinational energy company. (USAEA) members are USA energy companies that explore and develop West African petroleum resources.
January 2010: 2 747-481S (29263, N263SG; 30322, N322SG), deliveries.
(TLS) has 134 combined pilots (FC) and flight engineers on furlough. (TLS) is no longer accepting resumes.
December 2009: The USA Air Transport Association (ATA) announced that 15 airlines have signed Memos of Understanding (MOU)s with either AltAir Fuels, Rentech or both expressing nonbinding commitment to support future biofuel supply. Air Canada (ACN), American Airlines (AAL), Atlas Air (TLS), Delta Air Lines (DAL)/(NWA), FedEx Express (FED), JetBlue Airways (JBL), Lufthansa (DLH), Mexicana (CMA), Polar Air Cargo (PAO), United Airlines (UAL), (UPS) Airlines, and US Airways (AMW)/(USA) signed with both providers. Alaska Airlines (ASA) and Hawaiian Airlines (HWI) went with AltAir only and AirTran Airways (CQT) signed with Rentech. The (ATA) said discussions with additional fuel producers "about other projects" have started. "This agreement is a significant step forward, establishing a framework for a large group of diverse carriers to negotiate a definitive fuel purchase agreement," Rentech President & CEO, D Hunt Ramsbottom said.
AltAir is working on producing some 75 million gallons of jet and diesel fuel derived from camelina oils or comparable feedstock per year at a new plant in Anacortes, Washington, USA. Rentech plans to produce around 250 million gallons per year of synthetic jet fuel derived principally from coal or petroleum coke near Natchez, Mississipi, USA with the resultant carbon dioxide sequestered and the carbon footprint potentially further reduced by integrating biomass as a feedstock. Last summer, eight airlines operating at Los Angeles International (LAX) signed a deal with Rentech for the supply of a renewable synthetic diesel fuel for use in ground service equipment (GSE).
February 2010: Atlas Air (TLS) and Polar Air Cargo (PAO) parent, Atlas Air Worldwide Holdings (AAWH) reported 2009 net income of +$77.8 million, up +22.1% from a +$63.7 million profit in 2008, as (AAWH) reaped the benefits from turning (PAO) into a DHL Express carrier in October 2008 and its decision to retire -14 less efficient 747-200F freighters in 2007 and 2008.
(AAWH) parked additional 747-200Fs late last year and at the beginning of this year, leaving it with just five plus 22 747-400Fs, giving it an "efficient" fleet that it believes is helping it operate profitably. It plans to begin taking deliveries of 12 747-8Fs in 2011.
President & CEO, William Flynn said Atlas (TLS) was able to take advantage of a rebounding commercial charter airfreight market in the 2009 fourth quarter. "The global scale and scope of our operations positioned us very well to participate in a vigorous commercial charter market in the fourth quarter, especially in the Asia/Pacific region," he commented. "Low inventory levels and stronger-than-expected holiday demand during the quarter generated yields in our commercial charter segment not seen since ports on the USA West Coast were shut down in the second half of 2002."
Revenue generated by commercial charter operations more than doubled in the quarter to $102.2 million from $46.7 million in the 2008 period. Atlas (TLS) posted 2009 fourth-quarter net income of +$28.3 million, down -54.6% from +$62.3 million in the year-prior period when its bottom line was boosted by $153.6 million related to DHL's purchasing a 49% equity interest in Polar (PAO).
Revenue for full-year 2009 was off 34.2% to $1.06 billion while expenses lowered 43.7% to $911.5 million, producing operating income of +$150 million, reversed from an operating loss of -$12.1 million in 2008. Total block hours flown decreased -10.2% to 108,969.
Looking ahead, Flynn projected that the Purchase, NY-based company will earn a net profit of +$80 million for full-year 2010 assuming "a modest pace of economic recovery."
March 2010: Atlas Air (TLS) said it reached an agreement with Boeing (TBC) to take over operation of (TBC)'s four 747-400 Dreamlifter freighters "toward the latter part of this year." (TBC) uses the Dreamlifters to ferry major assemblies for production of 787s. It expects to deliver the first 787 to (ANA) in the fourth quarter and then begin ramping up Dreamliner production. Atlas (TLS) and (TBC) signed a nine-year contract under which (TLS) will operate the four Dreamlifters to support the 787 supply chain. Atlas (TLS) said it "will receive contractually determined revenues for the operation of the Dreamlifter airplanes, with Boeing (TBC) assuming responsibility for certain direct costs, including fuel." (TBC) will maintain ownership of the airplanes.
July 2010: British Airways (BAB) has wet-leased three 747-8F freighters from Atlas Air (TLS) Worldwide Holdings (AAWH)’s UK partner, Global Supply Systems (GSS). Under the five-year agreement, Global Supply Systems (GSS) will provide airplanes, crew, maintenance and insurance (ACMI) wet-lease services for (BAB)’s World Cargo unit, starting in 2011. (GSS) will lease the freighters from Atlas (TLS), which owns 49% of (GSS). Atlas (TLS) expects to take the first of the 12 747-8Fs it has on order in early 2011. The delivery schedule has not been disclosed.
“The decision to once again work alongside our long term freighter partners, (GSS) and Atlas Air (TLS), to upgrade to the 747-8F freighter was an important step by British Airways (BAB) World Cargo (BAWC),” says (BAB)’s Managing Director, Steve Gunning, in a statement. “It is our view that long-haul freighters form an integral part of our overall business strategy—providing flexibility and capacity on resilient and growing lanes—as we strive for continued excellence in all key areas of the business, including product range, customer service and, of course, network offering.” The companies’ statement notes that the 747-8F is 5.6 meters, or 18.3 ft, longer than the 747-400F freighter, which is already operated by (BAB) (BAWC). “With a maximum structural payload capacity of 140 tonnes (154 tons), the 747-8F is expected to provide +16% more revenue cargo volume compared with the benchmark 747-400F,” they say, adding, “The additional +120 cubic meters/4,245 cubic feet of volume afforded by the longer fuselage offers space for four additional
main-deck pallets and three additional lower-hold pallets.”
(AAWW) President & CEO, William Flynn notes, “We are delighted to confirm (GSS)’s agreement with British Airways (BAB), and to extend our long-standing and successful relationship with one of the world’s preeminent airlines. “We anticipate significant growth in our fleet with our new 747-8F airplanes. Together with our modern 747-400F freighters, our airplanes anchor a fleet strategy that focuses on
our customers and reinforces our position as the most advanced,
most efficient and most reliable provider of leased freighter airplanes and outsourced airplanes operating services and solutions to the global aviation industry,” adds Flynn.
August 2010: Atlas Air Worldwide Holdings (AAWH), parent of Atlas Air (TLS), Polar Air Cargo (PAO), and Titan Aviation Leasing, posted second-quarter net income of +$32.8 million, a more than three-fold improvement over a +$10.6 million profit in the year-ago period. Total block hours flown increased +22% year-over-year to 32,207, while average utilization of operating airplanes excluding dry leases totaled approximately 12.6 hour per airplane per day, up +24.8% compared with 10.1 hours last year. The strong performance reflects "a substantial increase in flying activity by wet-lease (ACMI) and commercial charter customers," the company stated.
President & CEO, William Flynn said the cargo carrier's continued growth in earnings is "driven by the global scale and scope of our customer offerings and continuing improvement in airfreight demand, which has seen global airfreight traffic rise above pre-recession levels. Tight supply in the wide body, long-haul, heavy freighter space has also contributed to a significant improvement in rates."
(AAWH) projected that its full-year adjusted net earnings will "exceed $113 million." Full-year 2009 net income was +$77.8 million, up +22.1% from a +$63.7 million profit in 2008. Second-quarter revenue rose +48.4% to $356.2 million, while expenses lifted +36.6% to $292.9 million, producing operating income of +$63.3 million, widened +148.2% from +$25.5 million last year.
January 2011: Atlas Air Worldwide Holdings (AAWH) received the Air Transport World (ATW) Magazine "2011 Phoenix" award in recognition of an airline that has achieved a commercial rebirth through a life-changing business transformation. SEE ATTACHED - - "
TLS-2011-01-ATW PHOENIX AWARD."
Atlas Air Worldwide Holdings (AAWH) Executive VP & (CCO), Michael Steen was elected the new Chairman of The International Air Cargo Association, replacing former Cargolux Airlines International (CLX) President & (CEO), Ulrich Ogiermann. Long one of the air cargo industry's most prominent figures, Ogiermann in November was indicted in the USA after the USA Department of Justice brought price-fixing charges against him. He said in a statement that he was leaving the (TIACA) Chairman's role for "personal reasons." Steen had been serving as (TIACA)'s Vice Chairman.
February 2011: Atlas Air Worldwide Holdings (AAWH) is "in a transformative phase" in which it is solidifying profitability and is poised to escalate earnings further when new 747-8Fs begin delivering, President & CEO, William Flynn told investors. Speaking to the Stifel, Nicolaus & Company Transportation & Logistics Conference, available via webcast, he noted the company's record annual net profit of +$143 million for 2010, representing a +86% improvement over 2009 net income of +$76.2 million.
Flynn pointed out that (AAWH), parent of wet-lease (ACMI) cargo carriers Atlas Air (TLS) and Polar Air Cargo (PAO), is achieving the strong results even though "Boeing (TBC) has yet to deliver the 747-8. We were already supposed to have three in service. We expect three [to be delivered] by year end and as those airplanes deliver, we see a substantial step-change leap to another level of earnings performance." (AAWH) has 12 747-8Fs on order.
(AAWH) saw full-year 2010 revenue surge +26.4% compared to 2009 to $1.34 billion, while expenses heightened +21.8% to $1.1 billion, including a +49.2% jump in fuel costs to $300.2 million. Operating income was +$227.9 million, up +51.9% over an operating profit of +$150 million in 2009. Total block hours flown in 2010 lifted +17.8% year-over-year to 128,358 including a +18.9% rise in (ACMI) block hours to 91,357.
"We anticipate steadily improving results throughout" 2011, Flynn said. "Airfreight demand going forward is very strong. New supply introduction [throughout the air cargo industry] has lagged demand [leading to] substantially higher yields."
Atlas Air (TLS) is accepting applications and interviewing for an undisclosed number of pilots (FC).
May 2011: Atlas Air Worldwide Holdings (AAWH), parent of wet-lease (ACMI) cargo carriers Atlas Air (TLS) and Polar Air Cargo (PAO), posted first-quarter net income of +$10.5 million, down -68.9% from a +$33.8 million profit in the year-ago quarter.
(AAWH) noted that "the market was unable to quickly and fully absorb the dramatic rise in aviation fuel prices that began midway through the quarter." It also said its military charter business suffered, with demand for deliveries down from the year-ago quarter.
President & (CEO), William Flynn commented, "We anticipate steadily improving results throughout the year. Our guidance continues to assume that we will receive and place into service three 747-8Fs from Boeing (TBC) in the beginning of the fourth quarter of 2011. To date, we do not have a final delivery schedule agreement with (TBC)." (TLS)/(PAO) has 12 747-8Fs on order.
Flynn does not see the first-quarter year-over-year earnings dip as a sign that (AAWH)'s momentum is slowing, particularly since its (ACMI) business performed well. "We expect earnings in 2011 and beyond to continue to benefit from our premium assets, the global scale and scope of our customer offerings and from the commercial and operating transformations that we are implementing," he stated. "We're fully utilizing our fleet of  highly reliable and efficient 747-400 airplanes, maximizing the capabilities of our older Classic 747 airplanes through military and commercial charter operations, and consistently delivering value-added operating solutions. Airfreight volumes continue to grow from record levels in 2010, and market demand for our high-payload, fuel-efficient 747-400 airplanes remains strong."
First-quarter revenue rose +0.8% compared to the year-ago period to $297.6 million, while expenses heightened +13.8% to $281.1 million, including a +14.9% increase in fuel costs to $74.2 million. Operating income was +$16.5 million, narrowed from an operating profit of +$48.1 million in the 2010 March quarter.
(ACMI) block hours flown during the quarter increased +22% year-over-year to 23,699, and total block hours heightened +12.1% to 31,210. (ACMI) revenue per block hour rose +6.5% to $6,162.
July 2011: Atlas Air Worldwide Holdings (AAWH) Senior VP, General Counsel & Chief Human Resources (HR) Officer, Adam Kokas was named Chairman of the Cargo Airline Association, succeeding (ABX) Air VP Flight Operations, Robert Gray, who held the position for five years.
September 2011: Atlas Air Worldwide Holdings (AAWH) said it will place two 747-8F freighters with Panalpina next year. (AAWH) said the two airplanes will be delivered in the first half of next year and immediately be placed into service for the Swiss freight forwarding and logistics giant. Under a multi-year wet-lease (ACMI) contract, (AAWH) subsidiary, Atlas Air (TLS) will operate two 747-8Fs dedicated to long-haul international cargo carriage on behalf of Panalpina.
(AAWH) President & (CEO), William Flynn said, "These new airplanes will give Panalpina increased capacity and revenue-generating capability in a growing global airfreight market, while improving fuel economy."
(AAWH) said that (ACMI) contracted services (the largest segment of its business) saw first-half 2011 revenue rise +28.1% to $306.5 million.
Boeing (TBC)'s 747-8F freighter program was dealt another blow when Atlas Air Worldwide Holdings (AAWH) canceled three of the 12 747-8Fs it had on order, citing "lengthy delays and performance considerations."
Coming on the heels of Cargolux's (CLX) surprising decision to decline delivery of the first two 747-8Fs the (AAWH) move raises more questions about the airplanes's operating performance. A (CLX) executive said the 747-8F had an "overall performance shortfall," but there has been wide speculation that Qatar Airways (QTA), which holds a 35% stake in (CLX), played a strong role in the delivery deferral, in part to express its dissatisfaction with (TBC) over 787 delays.
But (AAWH) has long been eager to take delivery of its 747-8Fs and place them into wet-lease (ACMI) services. The termination of its first three 747-8Fs lends credence to the notion that the airplane (or, at least, the early-build units) fall short of promised performance metrics.
However, Cathay Pacific Airways (CAT) said it is "satisfied" with the 747-8F and will accept its first of the type next month. (CAT) is due to receive five 747-8Fs this year, four of which are on the flight line at (TBC) facilities in Everett, Washington, and five next year. (CAT) has options for a further 10.
(AAWH) said it now expects to receive three 747-8Fs in 2011, four in 2012 and two in 2013. The first five already have been placed under long-term wet-lease (ACMI) contracts with British Airways (BAB) (three) and Panalpina (two). (AAWH) President & CEO, William Flynn stated, "As prudent asset managers, terminating the first three airplanes was the right decision for our fleet, our customers and our stockholders. We expect the remaining 747-8Fs in our order to be better-performing airplanes than those we have terminated."
By the end of 2013, (AAWH)'s cargo fleet is expected to comprise nine 747-8Fs and 24 747-400Fs. It plans to retire its last five 747-200Fs by mid-2012.
November 2011: Boeing (TBC) celebrated the delivery flight of the first 747-8F Freighter for Atlas Air Worldwide Holdings (AAWH). The delivery is the first of nine 747-8F Freighters Atlas Air (TLS) has on order. (TLS)’s 49% subsidiary, Global Supply Systems (GSS), will operate the new freighter for British Airways World Cargo (BAB) through a five-year wet-lease agreement.
As part of the lease agreement for three 747-8F Freighters with (GSS), British Airways World Cargo (BAB) will utilize the airplanes on long-haul routes to cargo hubs in Asia, Africa, India, and the United States.
January 2012: Atlas Air (TLS) is no longer accepting Flight Crew (FC) resumes but plans to hire 20 to 30 First Officers from the current preferential hiring list in 2012. (TLS) is accepting online applications. (TLS) attended the FltOps.com: Global Pilot Career Conference and Job Fair in Newark, New Jersey, USA on October 28th. See FAPA.aero.
February 2012: Atlas Air Worldwide Holdings (AAWH) announced its Atlas Air (TLS) unit has entered into an $865 million term-loan facility with Apple Bank for Savings, guaranteed by the Export-Import Bank of the United States, to finance the company’s six remaining 747-8F airplane deliveries. The 747-8Fs are expected to be placed in (TLS)’s international aircraft, crew, maintenance and insurance (ACMI) wet-lease service.
When drawn, the facility will consist of six separate 12-year term loans. The six airplanes covered by the facility are expected to be delivered between mid-2012 and mid-2013.
The company said the first five airplanes in (TLS)’s order for nine 747-8Fs (including three for British Airways (BAB) World Cargo, which were delivered in the fourth quarter of 2011, and two for Panalpina, to be delivered in mid-2012) have been placed under long-term (ACMI) contracts.
March 2012: Atlas Air (TLS) has taken delivery of (22566, N650GT), the first of five ex-(ABX) Air 767-200F freighters it is adding to the fleet to operate on behalf of logistics provider (DHL) Express.
April 2012: Delta (DAL) TechOps signed a multi-year agreement with Atlas Air (TLS) to provide maintenance and support services for three 767-300ER airplanes, including 331 (APU) and (CF6) engine time and materials maintenance support, and 767-300ER (PBH) component support.
May 2012: Atlas Air Worldwide Holdings (AAWH), parent of wet-lease (ACMI) cargo carriers Atlas Air (TLS) and Polar Air Cargo (PAO), posted a first-quarter net income of +$12.8 million, up +21.9% from +$10.5 million in the year-ago period.
(AAWH) President & (CEO), William Flynn said the results were “well above” the company’s expectations. “The improvement was primarily due to a substantial pickup in the commercial airfreight market during March 2012,” he said. “Volumes and rates improved dramatically compared with January and February, and we were well-positioned to help customers respond to an increase in demand for airfreight capacity, especially out of Asia, for new, high-tech product launches, pharmaceuticals, automotive parts and other high-value, time-sensitive-to-market shipments,” he said.
First-quarter revenue was $359.30 million, up +20.7% from $297.61 million in the year-ago quarter, reflecting increases in revenue per block hour and volumes in (AMC) Charter business, including strong growth in military passenger service, as well as higher rates and volumes in (ACMI) and Commercial Charter operations.
Operating expenses were $338.7 million, up +20% from the 2011 first quarter, primarily due to increases in airplane fuel, labor expense, depreciation and amortization, plus other operating expenses, the company said.
Flynn said the company is reaffirming its 2012 guidance and continues to expect that market growth during the year will be “seasonal and self-half weighted.” He added: “Our new 747-8Fs are driving growth and profitability in our business. They have begun to enter service and will be an important contributor this year. In addition, we will benefit from our first full year of (AMC) Charter passenger service and a continuing step-up in (CMI) flying for Boeing (TBC) and (DHL) Express. We also anticipate that approximately 57% of our maintenance expense will be incurred in the first-half. As a result, we anticipate a sequential increase in our quarterly earnings throughout the year.”
Atlas Air Worldwide Holdings (AAWH) announced that its Atlas Air (TLS) unit has inked an agreement with Etihad Airways (EHD) to provide 747-400F freighter service for Etihad Cargo.
The contract, which begins in June, is for one 747-400F under a multiyear aircraft, crew, maintenance and insurance (ACMI) wet-lease. According to (AAWH), this will be the first 747-400F in Etihad Cargo’s global network and it will link Asia, Africa, Europe and other global trade lanes with Etihad Airways (EHD)’s hub in Abu Dhabi.
Boeing (TBC) marked the 20th delivery of its new 747-8. The airplane, a 747-8F Freighter, was delivered to Atlas Air Worldwide Holdings (AAWH), Inc. Atlas Air (TLS) will operate it on behalf of Panalpina (PLP), the Swiss-based freight operator. This marks the first time in Panalpina (PLP)’s history that an airplane has been painted in the company’s livery.
The 747-8F Freighter will immediately enter service when it departs Seattle for Hong Kong. The 747-8F, named the ‘Spirit of Panalpina,’ will then fly from Hong Kong on to Luxembourg with cargo on board.
Atlas Air (TLS) has ordered nine 747-8F Freighters, two of which they will operate for Panalpina (PLP).
The 747-8F Freighter offers +16% more capacity than the 747-400F Freighter. It is environmentally more progressive, with double digit improvements in fuel efficiency and CO2 emissions and a noise footprint reduction of -30%.
SEE ATTACHED CURRENT STATUS FROM "AIRWAYS" MAGAZINE - - "TLS-2012-05 - CURRENT STATUS-A/B."
June 2012: Astar Air Cargo (DHL) has lost its biggest customer DHL with almost no advance notice. It has now retired all of its remaining 8 DC-8-73F freighters and will have to lay off up to -200 of its staff. Astar (DHL), however, plans to continue operating at least one of its airplanes on a contract for the USA government. DHL will replace some of the flying done by Astar (DHL) on its behalf with a new agreement with Atlas Air (TLS) that will operate five 767-200F airplanes on its behalf. (ABX) Air also now operates an additional 767-200F and an additional 767-300F on behalf of DHL. Atlas Air (TLS) now operates nine 747-400F freighters on behalf of DHL.
July 2012: Atlas Air Worldwide Holdings (AAWH) announced its Atlas Air (TLS) unit has taken delivery of a fifth 747-8F freighter. It is the second airplane of the type to be placed into service for Panalpina under a previously announced multiyear airplane, crew, maintenance and insurance (ACMI) outsourcing contract.
September 2012: Atlas Air Worldwide Holdings (AAWW) will operate two 747-8F freighters for DHL Express under a wet lease (ACMI) agreement beginning in the fourth quarter.
Operated by Atlas Air (TLS) in the Polar Air Cargo (PAO) Worldwide express network, the 747-8F will be deployed in the Asian and transpacific markets and will replace two 747-400Fs in service for DHL Express.
“With these new 747-8F freighters, DHL Express will have increased capacity and revenue-generating capability in one of the fastest developing regions of the world,” (AAWW) President & (CEO), William Flynn said.
Atlas Air (TLS) ordered nine 747-8Fs and expects to take delivery of the final two airplanes in the first half of 2013.
October 2012: The International Air Cargo Association (TIACA) said it has agreed to “enhanced cooperation” with (ICAO), particularly in the area of security. The cooperation will also cover “environmental practices, market access, capacity building and air cargo safety,” (TIACA) stated. The organization, which counts as members, a range of air cargo players, including airlines, forwarders and airports, said it “will intensify participation in relevant (ICAO) meetings.”
The announcement of increased ties with the (UN) body follows (TIACA)’s recent International Air Cargo Forum & Exposition in Atlanta, during which industry executives expressed mixed views about the state of the global air cargo sector. According to a (TIACA) release of quotes from the conference, (UPS) Airlines President, Mitch Nichols said the stuttering world economy continues to work against air cargo’s speed advantage over other transport modes. “The global economy is not moving as fast as I’d like,” he said. “When things slow down, people don’t want things so fast.”
(CEVA) Logistics (CEO), John Pattullo warned air cargo traffic growth is likely to continue to be slow in the near term. “I think we will have a sluggish economy and we will be battling for share in a sluggish but stable economy,” he said.
Atlas Air Worldwide Holdings (AAWH) (TLS) President & CEO, William Flynn said long-term prospects are still bright: “Manufacturing is moving and airfreight remains vital. It is never a smooth, straight line but each time there is a challenge, airfreight recovers and grows.”
Atlas Air (TLS) has taken delivery of its sixth 747-8F freighter, which will be operated by Atlas Air (TLS) in Polar Air Cargo Worldwide (PAO)’s express network under a wet-lease (ACMI) arrangement for the benefit of (DHL) Express. (TLS) expects to receive one additional 747-8F in 2012 and two in the first half of 2013 for a total of nine.
Atlas Air (TLS) is accepting flight crew (FC) applications and interviewing for future classes.
See FAPA.aero: Pilot Career Conferences & Job Fairs
...For Future & Active Pilots (FC).
November 2012: Atlas Air Worldwide Holdings (AAWH), parent of Atlas Air (TLS) and Polar Air Cargo (PAO), posted third-quarter net income of +$33.9 million, up +20.2% over a net profit of +$28.2 million in the prior-year period. Revenue rose +13% year-over-year to $409.3 million.
President & (CEO), William Flynn said the company achieved strong results even as the overall air cargo market has “underperformed expectations this year.” He said (AAWH) expects “strong, double-digit earnings growth” for the full year, though not as robust as previously anticipated “given the relative underperformance of the airfreight market to date this year and the softer-than-expected peak season that is materializing.”
(AAWH) earned +$62.3 million in operating income in the third quarter, up +43.2% year-over-year. Block hours flown in its core wet-lease (ACMI) business rose +7.7% to 28,451 and revenue per (ACMI) block hour increased +1% to $6,247.
April 2013: SEE ATTACHED "AIRWAYS" MAGAZINE UPDATE - - "TLS-2013-04 - UPDATE."
Atlas Air (TLS) continues to operate three-class, 189-seat, Boeing 747-400s on the "Houston Express" from Houston to Luanda, Angola on behalf of the USA-Africa Energy Association (USAEA) in cooperation with SonAir (SON) of Angola. SEE ATTACHED PHOTO - - "TLS-2013-04 - HOUSTON EXPRESS."
May 2013: Polar Air Cargo (PAO) and Atlas Air (TLS) parent, Atlas Air Worldwide Holdings earned first-quarter net income of +$20.1 million, up +57% over a net profit of +$12.8 million in the year-ago period, on a +5% rise in revenue to $377.3 million.
August 2013: According to FAPA.aero, 24 flight crew (FC) were hired in April but none in May. A class of 4 (FC) was planned in July. No more (FC) hiring is projected for 2013.
November 2013: The (FAA) is poised to order airlines to avoid flying 787 Dreamliners and 747-8 jumbo jets with General Electric Company (GEC) engines near thunderstorms after some of the planes experienced ice buildup.
An airworthiness directive (AD) due to be released is an “interim action” to ensure pilots (FC) fly clear of icing conditions that could reduce thrust from (GEnx) engines. The USA move follows Japan Airlines (JAL)’s decision to shift to other jets from 787s on some Asia routes. The icing risk adds urgency for pilots (FC) to steer clear of thunderstorms already shunned because of potentially deadly lightning and turbulence. Jets flying at high altitudes through tropical zones can be at risk from powerful storms that promote the formation of performance-sapping ice, according to (GEC). “It’s a relatively rare phenomenon, because it requires just the right meteorological conditions,” Hans Weber, President of San Diego-based aviation consultant, Tecop International Inc, said. “This isn’t a problem that will be limited to (GEC) engines. These crystals have been found in all engines at high altitudes near thunderstorms.”
The 787 Dreamliner, the first jet made chiefly of composite materials, entered service with (ANA) Holdings Inc’s All Nippon Airways (ANA) in October 2011. (ANA), the biggest 787 Dreamliner operator, uses Rolls-Royce Holdings (RRC) engines on its planes.
(JAL)’s 787s have (GEnx) engines, as do the 787S flown by United Airlines (UAL), the only USA airline flying 787s. (UAL) hasn’t changed schedules or routes for its 787s, said Christen David, a spokeswoman.
Atlas Air Worldwide Holdings Inc (AAWW) (TLS), the lone USA operator of 747-8s, adjusted operations after Boeing (TBC)’s November 23 warning for (GEnx)-equipped jets to stay 50 nautical miles/93 kilometers from storms, said Bonnie Rodney, a spokeswoman. Any disruptions for the freighters “will be minimal and can be managed with only minor re-routings,” Rodney said.
Cathay Pacific Airways (CAT), the Hong Kong-based airline, said it has 10 Boeing 747-8Fs in its fleet that are powered by (GEnx) engines. As a precautionary measure, it’s standard operating procedure for 747-8F freighters is to avoid flying into thunderstorms, (CAT) said in an e-mailed response.
“This looks a lot like a classic teething issue,” Richard Aboulafia, an Aerospace analyst at Fairfax, Virginia-based consultant, Teal Group, said by e-mail. “It’s probably isolated to just the engine, and even then just one of the two engines available as options. It’s also probably easily fixed with a software tweak, rather than any kind of hardware modification.”
(GEC) said it’s making software modifications to eliminate the ice-buildup risk and expects them to be available in the first quarter. Marc Birtel, a Boeing (TBC) spokesman, said the engines’ design and maintenance practices, together with the new instructions, allow for the jets’ “continued safe operation.” “The (FAA) has been working closely with Boeing and (GEc) to monitor and understand these events as the companies develop a permanent solution,” the (FAA) said. It didn’t give a specific time for issuing the (AD) on the planes, which only covers USA carriers.
Both the 787 and 747-8 have had bumpy debuts. The 747-8 was two years late in starting service in 2011, and slack demand forced Boeing to cut output. The 787, whose 2011 entry was 3 1/2 years late, was grounded for three months in January after meltdowns in the lithium-ion battery packs on two 787s.
There have been six cases since April of planes with (GEnx) engines temporarily losing thrust in high-altitude icing conditions, (GEC) said November 23. Five were with 747-8s and one was with a 787.
(JAL) will replace 787s on flights between Tokyo and Delhi with 777s until November 30, and will switch to 767s on its Tokyo - Singapore route.
Boeing (TBC) surpassed 1,000 orders for the 787 with its haul at the Dubai Air Show this month. (TBC) handed over 57 of the four-engine 747-8s, through the end of last month, most of which are freighters.
“Airlines wouldn’t be too concerned about engines in terms of costs,” K Ajith, a Singapore-based analyst at (UOB) Kay Hian Pte. “There will be some of sort compensation for airlines. Despite the problems, the airplane is quite popular.”
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December 2013: Atlas Air (TLS) has signed an agreement with Hong Kong-based, (BST) Logistics, a business partner of Navitrans International Freight Forwarding, for the wet-lease of one 747-8F. The contract is scheduled to begin in February 2014 and will allow (BST) Logistics to provide dedicated airfreight services on key global routes connecting the USA, Europe, and Asia. Of (TLS)'s six 747-8Fs, two currently operate for Luxembourg's Panalpina World Transport (PLP), two are operated by Polar Air Cargo (PAO) on behalf of (DHL) Express, while a fifth operates for Etihad Airways (EHD).
January 2014: Atlas Air Worldwide Holdings (AAWH) has completed previously announced agreements to acquire 3 Boeing 777Fs for its dry-leasing subsidiary Titan Aviation. The 2011-vintage airplanes were acquired from affiliates of Guggenheim Aviation Partners (GUG) and are on long-term lease to a European express carrier.
The International Airlines Group (IAG) Cargo will end its arrangement with Global Supply Systems (GSS), which operated 3 Boeing 747-8F freighters on its behalf. The move comes after British Airways (BAB), which formed (IAG) Cargo with Iberia (IBE)’s freight division, decided to pull out of the dedicated freighter airplane market.
Alas Air Worldwide Holdings (TLS) said British Airways (BAB) had terminated the lease agreement ahead of schedule. (TLS) shares fell as much as -19% in early trading on January 17th. (TLS) said the lease for three 747-8F airplanes operated by (TLS)'s UK subsidiary, Global Supply Systems (GSS) was terminated, following British Airways (BAB)'s decision to exit dedicated cargo-freighter service.
(GSS) was operating the three 747-8F airplanes for (BAB) and the lease agreement was originally scheduled to end in April 2014.
Atlas Air (TLS) said it would receive early termination fees from British Airways (BAB). (GSS) will redeliver the 747-8Fs to (TLS).
(IAG) Cargo will retain a dedicated cargo service, a 5x-weekly, London - Hong Kong route, which will be operated by Qatar Airways (QTA) Boeing 777Fs. Both British Airways (BAB) and (QTA) are members of the Oneworld (ONW) alliance. “This new partnership is an important step forward for us and enhances our relationship with (QTA),” (IAG) (CEO), Willie Walsh said. “It allows us to continue delivering significant capacity for our customers through the important gateway of Hong Kong. With the ongoing arrival of our next generation airplanes, (IAG) Cargo’s customers will now benefit from increased belly-hold capacity as well as the deployment of freighter services on capacity constrained routes.”
February 2014: Atlas Air (TLS) and Qantas Freight (ACS), the cargo unit of Australia’s Qantas Airways (QAN), have extended their aircraft, crew, maintenance & insurance (ACMI) wet-lease contract.
Purchase, New York-based (TLS) and (ACS) have had an (ACMI) accord for the last decade, and (TLS) said the renewed agreement clears it to continue operating two Boeing 747-400F freighters in (ACMI) service for Qantas (QAN) on transpacific routes linking Australia and Asia to the USA. The length of the contract extension was not disclosed.
Qantas Freight (ACS) Executive Manager, Alison Webster added that Atlas (TLS)’s (ACMI) service has allowed (QAN) to have greater access to “valued [cargo] customers in China, the USA, Thailand, New Zealand, and Australia. (TLS) gives us the ability to integrate long-haul freighter airplanes into our fleet and strengthen the reach of our cargo network.”
March 2014: 747-47UF (29261, N408MC) ferried Moscow (VKO) to Ostend. Has additional Astral Cargo (Kenya) and (ANA) Aviation stickers. To be based at Ostend.
May 2014: Atlas Air Worldwide Holdings reported first-quarter net income of +$7.9 million, down -60.4% from a net profit of +$20.1 million posted in the year-ago quarter.
Atlas Air Worldwide is the parent company of Atlas Air (TLS) and Titan Aviation Leasing, and majority owner of Polar Air Cargo (PAO).
Atlas Air (TLS)’s adjusted net income for the 2014 first quarter, reconciled to non-(GAAP) measures, was +$11.3 million, up +91.9% from the +$5.9 million in adjusted net income year-over-year. (TLS)’ adjusted earnings exclude a special charge of $3.4 million after tax, “mainly related to the company’s UK affiliate Global Supply Systems Limited,” Atlas Air (TLS) said. Its 2013’s first-quarter adjusted earnings excluded an income tax benefit of $14.2 million, “related to the tax treatment of extraterritorial income from the offshore leasing of certain airplanes,” the company said.
(TLS) President & (CEO), William Flynn said 2014 is “off to a good start. Within our wet-lease (ACMI) segment, results benefited from an increase in the number of new [Boeing] 747-8F freighters in operation as well as an increase in flying for our (CMI) customers. In dry leasing, investments in attractive, modern 777F freighters on long-term leases drove a significant increase in [revenue].”
Atlas Air (TLS)’s first-quarter revenue rose +6.9% year-over-year to $403.4 million. Operating expenses increased +5.8% to $375.2 million, leading to operating income for the quarter of +$28.1 million, up +24.5% year-over-year.
Revenue for the company’s wet-lease (ACMI) division rose +9.4% year-over-year to $198.1 million. (ACMI) block hours flown fell -0.3% to 28,008, and (ACMI) revenue per block hour increased +9.7% to $7,074.
The company’s dry leasing division’s first-quarter revenue of $24.7 million was over 6 times the revenue the company reported for this business in the year-ago quarter ($3.7 million). “In dry leasing, revenue and profitability grew following the acquisition of 6 777F airplanes since March 2013,” (TLS) said.
Atlas Air (TLS)’s commercial charter business segment reported 1st quarter revenue of $114.5 million, up +25.7% year-over-year. Commercial charter block hours flown grew +20% to 5,661 and commercial charter revenue per block hour rose +4.8% to $20,226.
(DHL) Express (DHK) has leased 2 Boeing 747-8Fs from Atlas Air (TLS). The 2 747-8Fs, previously operated by Global Supply Systems ((IATA) Code: GSS, based at London Stansted) (GSS), will be operated by Atlas Air (TLS) in Polar Air Cargo (PAO) Worldwide’s transpacific express network under an (ACMI) wet-lease arrangement. The 747-8Fs replace 2 Boeing 747-400Fs currently in (ACMI) service for (DHK).
In January, Global Supply Systems (GSS)' parent, (IAG) Cargo, announced the premature termination of its contract with Atlas Air (TLS). The operator had concluded that given current global air-cargo market trends, belly-hold cargo space available on fellow (IAG) airlines' British Airways (BAB) and Iberia (IBE) airplanes was more than adequate to suit its needs.
Premier Aviation Overhaul Center and Atlas Air Worldwide Holdings (AAWH) (TLS)(PAO) have signed a 2-year agreement plus options for heavy maintenance on Boeing 767-200s, 767-300s and 747-400s.
August 2014: Atlas Air Worldwide Holdings (AAWH) posted 2nd-quarter net income of +$29.6 million, up +47.5% from the +$20 million net profit reported in the year-ago quarter. Purchase, New York-based (AAWH) is parent company to Atlas Air (TLS) and Titan Aviation Leasing, and majority owner of Polar Air Cargo (PAO).
“Our 2nd-quarter results illustrate the positive contributions being generated by the investments we’ve made and the initiatives we’ve undertaken,” Atlas Air (TLS) President & (CEO), William Flynn said. “In the face of an uncertain airfreight market and an anticipated decline in military cargo demand, we have diversified our business mix and are driving business resilience.”
(TLS)’ adjusted net income for the 2nd-quarter, reconciled to non-(GAAP) measures, was +$15.9 million, down -22.1% year-over-year from the +$20.4 million in adjusted net income for the 2nd quarter of 2013. (TLS)’ adjusted earnings exclude a special charge of $1 million after tax, related to the company’s UK affiliate Global Supply Systems (GSS) Limited. Additional adjusted earnings exclusions included an income tax benefit of +$24 million, “due to beneficial tax planning related to the tax treatment of extraterritorial income,” the company said. “This was partly offset by a noncash loss of -$9.4 million after tax resulting from the trade-in of used spare engines for new engines under the company’s engine acquisition program.”
For the 2nd quarter, (TLS)’s consolidated operating revenue increased +9.3% year-over-year to $441.2 million. Operating expenses grew +16.7% year-over-year to $414.5 million. Consolidated operating income for the quarter was $26.7 million, down -45% year-over-year from $48.5 million in the year-ago quarter.
(TLS)’ wet-lease (ACMI) division 2nd-quarter revenue grew +2.6% year-over-year to $186.7 million. (ACMI) block hours flown fell -2.5% to 27,652 and (ACMI) revenue per block hour increased +5.2% to $6,752. “Results within our (ACMI) segment are benefiting from modern 747-8Fs, as well as an increase in flying for our (CMI) customers,” Flynn said.
Revenue at Atlas (TLS)’ dry leasing division quadrupled year-over-year during the second quarter, to $25.5 million. (TLS) points to the addition of 5 777F airplanes since July 2013 (bringing its 777F total to 6) as the division’s source of increased profitability.
Atlas (TLS)’ commercial charter business segment posted 2nd-quarter revenue of $134 million, up +13.7% year-over-year. Commercial charter block hours flown grew +6.2% year-over-year to 6,727 and commercial charter revenue per block hour increased +7% from the year-ago-quarter to $19,913.
November 2014: Etihad (EHD) Cargo has placed a 3rd Boeing 747F freighter from Atlas Air Worldwide Holdings (TLS) as part of a multi-year wet-lease (ACMI) agreement. The 747F, which is scheduled to come into service in November, has a payload capacity of 115 tonnes and a range of >8,000 km.
February 2015: Outsourced air services provider Atlas Air Worldwide Holdings (AAWW) (TLS)/(PAO) reported full-year consolidated net income of +$106.8 million for 2014, up +13.8% from 2013’s net profit of +$93.8 million. (AAWW) is the parent company to Atlas Air (TLS), Titan Aviation Holdings, and majority owner of Polar Air Cargo (PAO). The company is based in Purchase, New York.
“2014 ended on a strong note and 2015 is starting out well,” (AAWW) President & (CEO) William Flynn said. “After the 1st significant peak-season in several years, airfreight activity in the 1st-quarter [of 2015] so far continues to reflect the broad-based pickup in demand that began in 2014.”
(TLS)’s 4th-quarter net profit was +$41.6 million, a +39% year-over-year (YOY) improvement on the company’s (4Q) 2013 +$30 million net income, as well as the Atlas (TLS)’ best quarterly net result of the year (compared to (1Q) 2014’s $7.9 million; (2Q) 2014’s $29.6 million; and (3Q) 2014’s $27.6 million).
Atlas Air (TLS)’ adjusted net income for the year, reconciled to non-(GAAP) measures, was +$93.5 million, down -3.4% (YOY) from 2013’s full-year +$96.8 million in adjusted net income.
(TLS)’ consolidated full-year revenue grew +8.6% (YOY) to $1.8 billion; expenses were up +10.4% (YOY) to $1.62 billion. The company’s operating profit for the year was +$176 million, down -5.8% (YOY). (TLS)’ consolidated revenue for the fourth-quarter was $488.9 million, up +3.9% (YOY); operating expenses were also up +3.9% (YOY) to $428.7 million. The company’s operating profit for the quarter came to +$60.2 million, up +3.7% (YOY).
Atlas’ (TLS)' wet-lease (ACMI) division full-year revenue was up +3.1% YOY to $778.1 million. (ACMI) block hours flown for the year were down -0.3% (YOY) to 115,042; (ACMI) revenue per block hour grew +3.3% (YOY) to $6,764. “[ACMI] block hours were impacted by lower 747-400 flying by certain (ACMI) customers and the return of three 747-8F airplanes from British Airways (BAB) in April and early May of 2014,” (TLS) said.
Full-year revenue at (TLS)’ commercial charter division was up +6.4% (YOY) to $906.7 million. Total charter block hours flown increased +5.1% (YOY), to 44,697. “The increase was primarily driven by incremental passenger flying for the US Air Force Air Mobility Command (AMC) as former competitors exited the charter market and increased commercial cargo demand,” (TLS) said. Total charter revenue per block hour was up +1.2% (YOY) to $20,285. Passenger charter block hours flown were up +11.7% (YOY) to 13,085; passenger charter revenue per block hour dipped -0.8% (YOY) to $20,449. Cargo charter block hours flown were up +2.6% (YOY) to 31,612; cargo charter revenue per block hour grew +2% (YOY) to $20,217.
Atlas (TLS)’ dry-leasing division, Titan Aviation more than doubled its revenue in 2014, to $100.1 million, up from $35.2 million in 2013. (TLS) pointed to the introduction of 3 new Boeing 777-200LRF airplanes in the 2014 first quarter, plus 3 777-200LRFs acquired in 2013, as the source of its revenue growth in 2014. All of the freighters are being dry-leased to customers on a long-term basis.
August 2015: News Item A-1: "United (UAL) (CEO) Plays Fast and Loose With Facts in NY speech on Gulf Carriers" Karen Walker in (ATW) Editor's Blog, July 31, 2015.
United (UAL) (CEO) Jeff Smisek was practically punching the air in a hard-hitting speech in New York that focused mainly on the Gulf carriers, which he said represent the single biggest threat to USA aviation. But how correct were the many accusations he flung?
I was at the Wings Club lunch event, which was oversold despite it being the club’s 1st July event. I reported and posted the main content of Smisek’s speech, which you can read here (the 1st covers his Middle East points, while the 2nd covers the initial part of the speech, which focused on airlines behaving like businesses).
Let me say that Smisek’s remarks on USA airlines operating like businesses were bang on point. He never mentioned the (DOJ) and (DOT) investigations launched this summer into alleged collusion and price-gouging (both ridiculous in my mind), but this part of the speech was clearly aimed as much at Washington, as it was customers who buy overpriced sodas and hotdogs at a stadium and do not question why they should pay more for a stadium seat with a good view, but think it outrageous to pay for a better seat on an airliner or for a bag that costs more for the airline to transport.
So good for Smisek for saying it clear and loud: airlines are businesses and it’s time everyone recognized that.
Smisek then moved to the Gulf carriers and why (UAL), (DAL) and (AAL) are sticking to their guns in their campaign against the expansion of Emirates (EAD), Etihad (EHD) and Qatar (QTA) in the USA market through their countries’ "Open Skies" agreements.
A couple of things I’d like to note. Smisek delivered his speech away from the podium and without any notes. It was a very slick, engaging and dynamic speech with several soundbites that he knew would be attention-grabbers and raise a laugh, which they did. The Gulf carriers had been “caught with their subsidies down by their ankles;” “it’s good to be king” (a reference to Mohammed bin Rashid Al Maktoum’s power while flashing an organizational chart of (UAE) leadership that all pointed to Maktoum).
My feeling was that he has given close versions of this speech several times before to those people and organizations that the so-called "Partnership for Fair & Open Skies" has reached out to support their campaign.
There were many pilots (FC) in the room from several airlines, including (UAL), (AAL), (DAL) and (SWA). Pilot unions were among the 1st to support the campaign and Smisek several times referred to hundreds of USA job losses that would result from Gulf carrier expansion.
But what about some of the points he presented as facts? Below are my counterpoints to some of those “facts” and why this was in the end a clever speech, but not one that did the USA campaign much credit.
Smisek: “All 3 Gulf carriers are losing tons of money”
Counterpoint: All the evidence with (EAD) is that it is very profitable; (ATW) figures show the Emirates Group posting a +$1.5 billion net profit for 2014. The report commissioned by (AAL), (DAL) and (UAL) made a significant error saying (EAD) passed on fuel hedge losses to the Dubai government and (EAD) documented the real facts in its report. (EHD) reported a 2014 net profit of +$73 million, its 4th consecutive year of profit.
Smisek: “Airline traffic should grow at about the same rate as Gross Domestic Profit (GDP); the Gulf carriers have been growing almost four times (GDP).”
Counterpoint: My thanks to Airline/Aircraft Projects Inc consultant, Craig Jenks who was in the room and points out that in growth economies, such as those the Gulf carriers predominantly serve, airline traffic typically grows at about twice that of (GDP).
Smisek: “Lufthansa (DLH), Air France (AFA) - (KLM), and British Airways (BAB) have been decimated by the Gulf carriers.”
Counterpoint: None of these airlines are decimated. All 3 carriers, as reported in the (ATW) 2015 World Airline Report, ranked in the top 10 of world carriers by passenger (RPK)s for 2014 and by operating revenue. (BAB) owner, the (IAG) was the world’s 6th most profitable, with a net profit of $1 billion. Lufthansa (DLH) and (AFA) - (KLM)’s financial problems are at least in part related to their internal struggles with unions to restructure costs and be competitive with Europe’s successful low cost carriers (LCC)s. Smisek did caveat this statement, saying (BAB) was “a little better protected” because of its Heathrow (LHR) hub. But that gives scant credit to (IAG)’s smart management and, as a side note, ignores the fact that (IAG) (CEO) Willie Walsh has made clear that the USA campaign (and adjacent campaigns in Europe) are protectionist. Qatar Airways (QTA), by the way, now owns a 10% stake in the (IAG) and is a Oneworld (ONW) Alliance member alongside (BAB) and (AAL).
Smisek: “These [Gulf] carriers would not exist without government subsidies.”
Counterpoint: Many, if not all legacy European carriers and many Asian carriers, too, exist only because of the initial funding and support they received from their then-government owners. A similar sentence could be said of the 3 consolidated majors: none would exist today without Chapter 11 and the ability to wipe out debt through Chapter 11-protected restructuring. And, as the (ATW) 2015 World Airline Report shows, (EAD) and (EHD) are profitable.
Smisek: The Gulf carriers represent “the biggest single threat to our new-found prosperity.”
Counterpoint: With thanks again to (AAP)’s Jenks, who calculates that without the Gulf carriers, (UAL) might perhaps run 3 extra India flights and 1 extra Frankfurt flight, due to alliance partner Lufthansa (DLH) being able to operate better (FRA) - India service; not a make-or-break for prosperity
Smisek: The USA/(UAE) "Open Skies" agreement gave (UAE) carriers “unfettered access to the USA market, while the USA got access to Dubai.”
Counterpoint: The size of the country is not the point of "Open Skies" treaties. Indeed, the case could be made that it’s the smaller country that should fear being swamped by USA airline capacity. Regardless, the USA has "Open Skies" agreements with The Netherlands, Singapore, Panama and many other small-country states.
Smisek: (referring to a question about (EAD)’s Dubai - Milan - New York (JFK) fifth freedom route) “They are flouting their right to stop and refuel in Europe to add point-to-point business, even though today’s aircraft technology doesn’t need refueling to get from the Emirates to the USA”.
Counterpoint: Commercial 5th freedom rights are in all "Open Skies" agreements and have nothing to do with “fuel stops.”
Smisek: [Etihad (EHD)’s] new "Residence-class suites with butler service" is something that “no one would pay for” and can only be offered by a subsidized airline.
Counterpoint: (EHD)’s first Residence booking on its Abu Dhabi - (JFK) route, which starts December 1, sold within hours of becoming available.
Smisek: If airlines were governed by (WTO) rules, Gulf carrier activity “would be a clear case of dumping.”
Counterpoint: Irrelevant. Airlines are not under (WTO) jurisdiction and it’s the last thing USA airlines (and unions) want, because it would open them up to changing their current ownership/citizenship and cabotage protections.
Finally, back to that “good to be the king” remark. Actually, Maktoum is Vice President & Prime Minister of the (UAE) and is the Emir of Dubai.
A day later, 4 other USA airlines said they have formed a new coalition to oppose the campaign to fight expansion of the Gulf carriers in the USA. The (CEO)s of Atlas Air (TLS), FedEx (FED), Hawaiian Airlines (HWL), and JetBlue Airways (JBL) submitted a joint letter to the USA government saying that what (AAL), (DAL), and (UAL) are seeking would be a breach of the "Open Skies" treaties and are a political maneuver to reduce competition.
October 2015: Atlas Air Worldwide Holdings (AAWH) appointed Chung Mak as VP (APAC) Sales & Marketing.
November 2015: 747-87UF (62441, N859GT), ex-(B-LJN), delivery and 767-33A (27310, N648GT), ferried Shannon to Tel Aviv for cargo conversion.
January 2016: "Atlas Air Worldwide Holdings (AAWH) (TLS)/(PAO) to Acquire Southern Air (SOF) in Major USA Cargo Merger" by (ATW) Aaron Karp, January 19, 2016.
Atlas Air Worldwide Holdings (AAWH) (TLS)/(PAO) has agreed to acquire Southern Air Holdings (SOF) for $110 million in an all-cash transaction. The deal, if approved by the USA Department of Transportation (DOT), would mark a major consolidation in the USA air cargo industry.
Purchase, New York-based Atlas (AAWH) is the parent company of international airfreight carriers Atlas Air (TLS) and Polar Air Cargo (PAO). It operates the world’s largest Boeing 747F freighter fleet. Cincinnati-based Southern Air (SOF) is also affiliated with Florida West International Airways (PAI), which is part of the transaction.
(AAWH) President & (CEO) William Flynn called the transaction “strategically compelling, highly complementary and immediately accretive.” (AAWH) said that the deal is “expected to close in the next few months.” Flynn added that (AAWH) is “eager to capitalize on the substantial opportunities that the transaction will provide, especially [adding] 777 and 737 airplane operations.”
(SOF) flies 5 777-200Fs and 5 737-400Fs under flight services agreements with (DHL) Express, which also owns a 49% stake in Polar (PAO). Miami-based Florida West (PAI) operates 767-300F scheduled and charter services under contract with Chile-based LAN Cargo (LCO).
“The result [of the merger] will be a more diversified and profitable company offering access to the widest range of modern, efficient airplanes together with a broader mix of services and a greater scale and global footprint that will drive significant value for our customers and shareholders,” Flynn said.
The companies will have a combined fleet of >75 aircraft.
(AAWH) said the transaction is “expected to be immediately accretive” to adjusted earnings per share in 2016, and noted it will complete the deal with cash on hand, adding no debt to its balance sheet.
April 2016: News Item A-1: "Atlas Air Worldwide - Southern Air Cargo Merger Completed" by (ATW) Aaron Karp, April 7, 2016.
Atlas Air Worldwide Holdings (AAWH) has closed its acquisition of Southern Air (SOF) Holdings for $110 million.
Purchase, New York-based (AAWH) is the parent company of international airfreight carriers Atlas Air (TLS) and Polar Air Cargo (PAO). It operates the world’s largest Boeing 747F freighter fleet with >40, including 10 747-8Fs.
Cincinnati-based, Southern Air (SOF) flies 5 777-200Fs and 5 737-400Fs under contract for (DHL) Express, which also owns a 49% stake in Polar (PAO). Southern Air Holdings additionally owns Miami-based Florida West International Airways (PAI), which operates 767-300F scheduled and charter services under contract with Chile-based LAN Cargo (LCO), and now will be an (AAWH) (TLS)/(PAO) subsidiary.
The USA air cargo merger deal was 1st announced in January. “The strategically compelling, highly complementary combination provides Atlas Air Worldwide immediate entry into 777F and 737F airplane operating platforms with opportunities for additional growth, enhancing Atlas Air Worldwide’s position as a leading global provider of outsourced airplane and aviation operating services,” (AAWH) said.
(AAWH) President & (CEO) William Flynn added, “We have known and respected Southern Air (SOF) for some time, and we have a lot in common. Our complementary operations will also provide a broader array of services for customers and new avenues of business growth, which will generate greater opportunities for employees and drive value for shareholders.”
Post-merger, all of the (AAWH) subsidiary carriers will have a combined fleet totaling 75 airplanes. (AAWH) noted that it did not assume any debt in connection with the transaction.
News Item A-2: El Al Israel Airlines (ELA) has wet-leased a 747-400F from Atlas Air (TLS) for use on its Tel Aviv Ben Gurion to New York (JFK) via Liège cargo flights.
May 2016: News Item A-1: "Amazon Doubles Size of Air Fleet with Deal to Lease +20 More 767-300ERF Jets"
Amazon.com will lease 20 767-300ERF cargo airplanes from Atlas Air Worldwide Holdings (AAWH) (TLS). This comes just a few months after Amazon struck a similar deal with Air Cargo Transport Services Group (ATSG) (ABX).
See attached - - "TLS-2016-05 - Amazon 767-300ERF Lease-A/B.jpg."
News Item A-2: "Amazon Agrees to Contract 20 767-300ERF freighters from Atlas Air" by (ATW) Aaron Karp, May 5, 2016.
Amazon has reached an agreement with Purchase, New York-based Atlas Air Worldwide Holdings (AAWH) to wet lease 20 Boeing 767-300ERF converted freighters, the 2nd freighter lease deal, Amazon, the Seattle-based online retail giant has signed this year.
Under the agreement, Atlas Air Worldwide (AAWH) subsidiary, Atlas Air (TLS) will operate 20 767-300ERFs on a crew, maintenance and insurance (ACMI) wet-lease contract with Amazon for an initial term of 7 years. Operations are slated to start in the 2nd half of this year and get up to full service in 2018.
In addition, (AAWH) has granted Amazon warrants to acquire up to 20% of the air cargo operator’s common shares at a price of $37.50 per share over a period of 5 years, plus an option to acquire an additional +10% over a period of 7 years, meaning Amazon could ultimately own as much as 30% of Atlas Air Worldwide (AAWH).
Amazon Senior VP worldwide Operations Dave Clark said the Atlas Air (TLS)-operated 767ERFs will support package delivery to Amazon customers “who love ultra-fast delivery, great prices and vast selection.”
Amazon’s deal with Atlas Air Worldwide (AAWH) comes <2 months after Amazon struck a similar wet lease agreement with Wilmington, Ohio-based Air Transport Services Group (ATSG) (ABX), which will also operate 20 767ERFs on behalf of Amazon.
FedEx Corp (FED) Executive VP Market Development & Corporate Communications, Mike Glenn recently rejected speculation that Amazon is attempting to build its own air cargo network to compete with FedEx (FED) and United Parcel Service (UPS). “The reality is it will be a daunting task requiring tens of billions of dollars in capital and years to build sufficient scale and density to replicate existing networks like FedEx (fed),” Glenn said.
August 2016: Air cargo operator, Atlas Air Worldwide Holdings (AAWH) (TLS)/(PAO) posted 2016 2nd-quarter net income of +$20.6 million, down -27.5% from the +$28.4 million net profit the company reported in the year-ago quarter. Atlas Air Worldwide, headquartered in Purchase, New York, is parent company to Atlas Air (TLS), Southern Air Holdings (SOF) and Titan Aviation Holdings, and majority owner of Polar Air Cargo (PAO).
“The 2nd quarter was one of the most important in the company’s history,” Atlas Air Worldwide Holdings (AAWH) President & (CEO), William Flynn said. “We acquired Southern Air (SOF) and we agreed with Amazon (AZO) to lease and operate 20 767-300s.”
“Our acquisition of (SOF) in early April and the addition of its express-focused 777 and 737 (CMI) services generated immediate earnings accretion in the 2nd quarter,” Flynn said.
Atlas Air Worldwide Holding (AAWH)’s consolidated revenue was down -2.8% year-over-year to $443.3 million, reflecting an increase in military cargo and passenger demand but a slower pace in general commercial cargo demand, the company said.
2nd-quarter expenses rose +7.1% year-over-year (YOY) to $422.4 million, reflecting start-up expenses associated with the company’s upcoming long-term 767 service agreement with Amazon.
“We expect to place our 1st airplanes into service for Amazon soon in this quarter,” Flynn said. “We have secured all of the conversion slots and the vast majority of the feedstock airplanes required to support 20 767-300s for Amazon by the end of 2018.”
The company’s operating profit for the quarter was +$20.8 million, down -66% from operating income of +$61.2 million in the 2015 June quarter.
The company’s total block hours flown in the (2Q) rose +19.1% (YOY) to 53,312. Higher revenues and block hours during the quarter were driven by Atlas Air (TLS)’s acquisition of Southern Air (SOF) and increased 747-400 flying, the company said.
News Item A-2: A Boeing 767-300F converted freighter flight from Seattle to Wilmington, Ohio marked the inauguration of Amazon-dedicated air cargo service being provided on a contract basis by Atlas Air Worldwide Holdings (AAWH).
Seattle-based online retail company Amazon (AZO) in May reached an agreement with Purchase, New York-based Atlas Air (TLS) to wet lease 20 767-300F converted freighters, the 2nd freighter lease deal it signed this year. Amazon (AZO) earlier this year struck a similar agreement with Wilmington, Ohio-based Air Transport Services Group (ATSG), which also will operate 20 767Fs on behalf of Amazon.
The Atlas Air (TLS) 767-300F that flew August 11 bore Amazon’s "Prime Air" livery. By the 2nd half of 2018, all 20 Atlas (TLS) 767-300Fs dedicated to Amazon are expected to be in service.
October 2016: News Item A-1: "Boeing to Convert 9 767s for Amazon's Cargo Fleet" by Dominic Gates email@example.com, Seattle Times Aerospace Reporter, October 12, 2016.
Atlas Air (TLS) is having Boeing (TBC) convert 9 used 767 passenger airplanes that (TLS) will fly as part of its 20 jet airplane "Prime Air" fleet for Amazon (AZO).
To deliver the freighter airplanes more quickly, Boeing (TBC) may open a new 767F freighter conversion line to take on some of the work at one of its existing joint venture (JV) airplane modification facilities in China or Taiwan.
(TLS) started leasing and flying its 1st "Prime Air" 767F for Amazon (AZO) in August. "The remaining 19 airplanes that are being leased to operate for (AZO) are expected to enter service through 2018. Atlas (TLS) has acquired "the vast majority" of the 20 used passenger airplanes it will need for the (AZO) contract and has secured all of the necessary slots at freighter-conversion facilities (including the 9 mentioned above).
Atlas (TLS) based in Purchase, New York State, announced last May that it would lease 20 767-300s to Amazon (AZO), as the on-line retail giant (based in Seattle) moves to aggressively expand its package-delivery logistics with its own dedicated air cargo fleet.
Those airplanes were in addition to the 20 767 jets (AZO) agreed to lease in March from freight carrier the Air Transport Services Group (ATSG) of Wilmington, Ohio.
Boeing (TBC)'s current market outlook forecasts the need for 400 wide body jet conversions over the next 20 years, with strong demand for 767F freighter conversions due to a rise in e-commerce.
Boeing (TBC) currently completes all its passenger-to-freighter conversions at a facility in Singapore, at a (JV) with airplane maintenance firm (ST) Aero. However, demand for 767F freighter conversions - not only from (AZO) but also from other express package carriers such as FedEx (FED), (UPS) and (DHL) for operation in the USA and in Asia (is high enough that Boeing has been studying whether to open a 2nd conversion line).
A senior air cargo executive said Boeing is far along in an approval process to open a 2nd 767 conversion line, either at its maintenance (JV) with China Eastern Airlines (CEA) in Shanghai or at Evergreen (EVA) Aviation Technologies in Taipei (with the latter now favored).
Used 767 airliners can be acquired for $10 million or less, and converting them to freighters costs another +$15 million or so.
December 2016: Purchase, New York-based air cargo operator Atlas Air Worldwide Holdings (AAWH) has contracted with Japan’s Nippon Cargo Airlines (NCA) to operate a 747-400F freighter for them, the 2 companies announced December 1.
Atlas Air (TLS) said the agreement is initially for 1 747F to be flown on transpacific routes connecting Asia and the USA; service is scheduled to begin in January 2017. Additional 747Fs may be added to the agreement in the future, (TLS) said. “We look forward to providing [NCA] and its customers with [our] service and a platform for future expansion,” (TLS) President & (CEO) William Flynn said.
“[As we] begin this strategic arrangement with Atlas Air (TLS), we look forward to having a long, mutually beneficial relationship,” (NCA) President & (CEO) Fukashi Sakamoto said.
(AAWH) is the parent company of Atlas Air (TLS), Southern Air Holdings (SOF) and Titan Aviation Holdings, and is the majority shareholder of Polar Air Cargo Worldwide (PAO).
Nippon (NCA) Cargo operates a fleet of 8 747-8Fs and 5 747-400Fs; (NCA) operated 684 flights in October 2016. From its hubs in Tokyo, Osaka and Kitakyushu, (NCA) flies directly to Amsterdam, Milan, Shanghai, Taipei, Hong Kong, Bangkok, Singapore, Anchorage, San Francisco and Los Angeles, with connections to Frankfurt, New York (JFK), Chicago O’Hare and Dallas/Fort Worth.
January 2017: Wilmington, Ohio-b1ased Air Transport Services Group (ATSG), parent of cargo carriers (ABX) Air and Air Transport International (TIN), has acquired Tampa, Florida-based (PEMCO) World Air Services (ASC).
(PEMCO) (ASC) offers heavy maintenance, repair & overhaul (MRO) services to airlines, and also is a leading provider of passenger-to-freighter conversions on narrow body airplanes with a focus on 737-300 and 737-400 conversions.
Financial details of the acquisition were not provided, though (ATSG) said it did not assume any (PEMCO) (ASC) debt as part of the transaction. “This acquisition will allow for a number of strategic benefits through combining operational strengths, expanded capabilities and cost savings related to shared services between the companies,” (ATSG) said. In particular, (ATSG) subsidiary Airborne Maintenance & Engineering Services (AMES) and (PEMCO) (ASC) will jointly market (MRO) services globally.
“The combination of (PEMCO) (ASC)’s conversion and (MRO) sales of both Airbus (EDS) and Boeing (TBC) products with (AMES)’ existing offerings will create a sustained, growth-oriented aircraft maintenance product and services portfolio,” (ATSG) President & (CEO) Joe Hete said, adding that “the (PEMCO) (ASC) acquisition is expected to be accretive to (ATSG)’s earnings starting in 2017.”
February 2017: News Item A-1: Atlas Air Worldwide Holdings (AAWH) earned a 2016 net profit of +$41.5 million, a nearly 6x- increase over net income of $7.3 million in 2015, though the 2015 results are skewed by 1-time charges related to settling class-action litigation.
The Purchase-New York based air cargo operator’s annual revenue was essentially flat in 2016 at $1.8 billion. But President & (CEO) Bill Flynn called 2016 “historic” for Atlas (TLS), which acquired Southern Air (SOF) for $110 million and entered into a wet-lease contract with Amazon (AZO) during the year. “We acquired (SOF), expanding the array of aiplanes and services that we provide, especially to the fast-growing express market,” he said. “We entered into strategic, long-term agreements with (AZO) to serve its rapidly growing e-commerce business. With our expanding business base and the ongoing development of our strategic platform, we are well-positioned to grow earnings [in 2017].”
Atlas Air Worldwide’s 2016 expenses dipped slightly year-over-year to $1.6 billion and operating income was $168.3 million, up +36.3% over an operating profit of +$123.5 million in 2015.
Total block hours flown rose +18.2% year-over-year in 2016 to 210,444.
News Item A-2: Atlas Air Worldwide Holdings (AAWH) has secured all 20 767-300s it will wet lease to Amazon (AZO), according to President & (CEO) Bill Flynn.
Purchase, New York-based Atlas (TLS) has also secured freighter conversion slots for all of the used airplanes. It is additionally acquiring one spare 767-300 to dedicate to Seattle-based Amazon (AZO).
(TLS) last year inked the wet-lease contract with (AZO) and started operating the 1st 767-300F for (AZO) under the Prime Air brand in August 2016. (AZO) has also signed a similar 767-300FR wet-lease deal with Ohio-based Air Transport Services Group (ATSG).
By the end of 2018, (TLS) will have placed all 20 767-300Fs in service for (AZO), Flynn told analysts while discussing the air cargo company’s 2016 earnings. The airplanes are being converted by Israel Aerospace Industries (IAI) and Boeing (TBC), he said.
Flynn noted there is a “good feedstock” of used airplanes available to convert to freighters.
March 2017: 767-36NER (30111, N1093A), converted to freighter by (IAI) Bedek and ferried Tel Aviv to Rome (RME). 767-37DER (26328, N635GT), re-registered (N1327A), ferried Lourdes to Tel Aviv for cargo conversion.
May 2017: Atlas Air Worldwide Holdings (AAWH) posted a net loss of -$752,000 for the 1st quarter of 2017, reversed from (AAWH)’s +$471,000 net profit in the year-ago quarter. Additionally, Atlas (TLS) President & (CEO) William Flynn said the company has placed 2 Boeing 747-8Fs with Hong Kong-based Cathay Pacific (CAT) Cargo on an (ACMI) (Crew, Maintenance & Insurance) basis, with service beginning in May.
The Purchase, New York-based air cargo operator reported $475.4 million in operating revenue for the quarter, up +13.6% over $418.6 million in revenue for (1Q) 2016. Expenses were up +13.2% year-over-year (YOY) to $451.4 million. Operating income for the quarter was $24 million, up +19.8% (YOY). “We are building on our 2016 achievements and growing our earnings this year,” Flynn said May 3. “We will have a full year of contribution from Southern Air (SOF) and expect a positive impact on our full-year results from our service for Amazon (AZO).”
Atlas Air (TLS) completed its acquisition of Southern Air (SOF) in April 2016, and entered into a wet-lease agreement with Amazon (AZO) a month later, providing the Seattle-based retail giant with 20 Boeing 767-300Fs on an (ACMI) contract for an initial term of 7 years. (TLS) placed its 2nd 767-300 into service with Amazon (AZO) in February; 2 more are entering into service with (AZO) in May.
“In addition to Cathay Pacific (CAT) other significant new customer agreements with Asiana (AAR) Cargo, Nippon Cargo Airlines (NCA) and FedEx (FED) will all contribute to earnings growth this year,” Flynn said. “Earnings in the 1st quarter were in line with our expectations and our outlook for the year.”
Atlas (TLS) said its (ACMI revenue during the 1st quarter ($200.7 million, up +9.8% (YOY)) was primarily driven by (TLS)’ acquisition of Southern Air (SOF) and lower costs related to crew training, partially offset by increased heavy maintenance costs and the temporary redeployment of several aircraft to (TLS)’ charter business segment.
(TLS) reported a -$5.2 million unrealized loss on financial instruments during the quarter, related to outstanding warrants, cutting into (TLS)’ income from continuing operations net of taxes, which totaled $35,000 for (1Q) 2017 (compared to $471,000 in (1Q) 2016). On an adjusted basis, (TLS)’s 1st-quarter income from continuing operations net of taxes was $8.3 million, up +7.8% (YOY).
The company expects its full-year 2017 adjusted income from continuing operations net of taxes will increase by a mid-single-digit to low-double-digit percentage compared to Atlas (TLS)’s $114.3 million full-year 2016 adjusted income.
(TLS)’ total block hours flown in the 1st quarter increased +30.8% (YOY) to 55,116. (ACMI) block hours flown during the quarter grew +31.8% (YOY) to 38,946.
747-45EF (27063, N618BC), ex-(B-16402) (GECAS) leased 2017-02. Ferried to Marana Mojave for permanently wqithdrawn from service.
June 2017: 747-87UF (GEnx) (37561, N856GT, returned from Polar Air Cargo (PAO) lease and leased to Cathay Pacific.
August 2017: News Item A-1: Atlasglobal (TLS) has resumed operations to Najaf (NJF) in Iraq on August 15, a sector which it last served from its Istanbul Atatürk (IST) base in December 2015.
Flown 2x-weekly (Tuesdays and Thursdays) by (TLS)’s A319s and A320s, the 1,709 km sector faces 2 incumbents (with Turkish Airlines (THY) (daily) and Iraqi Airways (IRQ) (4x-weekly) providing the competition. As a result of this new route, Atlasglobal (TLS) now offers 4 cities in Iraq, with Najaf flights joining existing rotations to Erbil, Baghdad, and Sulaymaniyah.
News Item A-2: Purchase, New York-based air cargo operator Atlas Air Worldwide Holdings (AAWH) will operate a 2nd Boeing 747-400F freighter for Japan’s Nippon Cargo Airlines (NCA) beginning September 1, the 2 companies said on August 22.
Atlas Air (TLS) initiated its relationship with the Narita International Airport (NRT)-based cargo carrier in December 2016, launching flights for (NCA) in January. The 2 companies indicated additional airplanes may be added to their agreement in the future.
As with the 1st 747-400F, the additional freighter will fly transpacific routes connecting Asia and the USA.
(AAWH) President & (CEO) William Flynn said the move follows the "successful start of the 1st airplane for (NCA) earlier this year and underscores our focus on the fast-growing Asia Pacific market.”
Atlas Air (TLS)’s transpacific routes flown for (NCA) fly an eastward trajectory between Narita (NRT), Ted Stevens Anchorage International (ANC) and Chicago O’Hare International (ORD). (TLS)’ westward (NCA) flights operate in 3 trajectories: (ORD) - Dallas/Fort Worth International (DFW) - (ANC); (ORD) - (DFW) - (ANC) - (NRT); and a direct nonstop (ORD) - (NRT) flight.
Atlas Air Worldwide Holdings (AAWH) is the parent company of Atlas Air (TLS), Southern Air Holdings (SOF) and Titan Aviation Holdings, and is the majority shareholder of Polar Air Cargo Worldwide (POA).
Nippon Cargo (NCA) operates a fleet of 8 Boeing 747-8Fs (all leased) and 5 747-400Fs (1 owned by (NCA), the remainder leased). (NCA) has hubs in Tokyo, Osaka and Kitakyushu, from which (NCA) flies directly to Amsterdam, Milan, Shanghai, Taipei, Hong Kong, Bangkok, Singapore, Anchorage, San Francisco, and Los Angeles, with connections to Frankfurt, New York (JFK), Chicago O’Hare, and Dallas/Fort Worth.
October 2017: Atlas Air Worldwide Holdings (AAWH) has agreed to a deal with Boeing (TBC) to convert 9 767 passenger aircraft into Boeing converted freighters (BCF).
November 2017: "Atlas Air Worldwide (3Q) Results Hurt by Alleged Pilot Work Slowdown" by Aaron Karp , (ATW) Plus, November 8, 2017.
Atlas Air Worldwide Holdings (AAWH) President & (CEO) Bill Flynn said he expects a USA federal court ruling later this month on a preliminary injunction sought by the company to stop what Atlas Air (TLS) is calling “illegal, intentional work slowdowns and service interruptions” by its pilots (FC). “We have an issue with our union,” Flynn told analysts and reporters, referring to the International Brotherhood of Teamsters (IBT) representing (TLS),the cargo operator’s flight deck crew (FC).
(AAWH) faces “intensifying operational and staffing crises” resulting from “mismanagement” (not because of a pilot work slowdown) the union representing the cargo operator’s pilots (FC) said.
Following the release of Purchase, New York-based Atlas (TLS)’s results for the 3rd quarter, for which the company posted a net loss of -$24.2 million, (TLS) President & (CEO) Bill Flynn spent much of an earnings call with analysts harshly criticizing the International Brotherhood of Teamsters (IBT), which represents (TLS) pilots (FC). (IBT) has engaged in a “violation of the Railway Labor Act” to gain “unlawful leverage” in ongoing labor contract negotiations, Flynn alleged. Atlas subsidiaries Atlas Air (TLS) and Polar Air Cargo (PAO) have seen a “significant increase in sick and fatigue calls [by pilots (FC)] near the time of the departure,” he added.
Atlas (TLS) is seeking a preliminary injunction in the USA federal court to compel the pilots (FC) to stop what (TLS) is calling “illegal, intentional work slowdowns.” A court ruling is expected in November.
(IBT) Atlas executive council Chairman Robert Kirchner responded to Flynn’s allegations by saying the company has grown too fast and cannot keep pace in terms of pilot (FC) hiring. It also is paying pilots (FC) too little, causing many Atlas pilots (FC) to depart the company, he said.
Atlas reported a +19.6% year-over-year increase in block hours flown in the 3rd quarter. Last year, it acquired Southern Air Holdings (SOF) and entered into a major wet-lease contract with Amazon (AZO), for which it is now operating 10 Boeing 767-300F freighters and plans to add +10 more by the end of 2018. It has also rapidly expanded in Asia, placing 7 747F freighters into wet-lease service for Asian carriers in the 1st 9 months of 2017.
“The company’s mismanagement of its transformational change has strained our operation, maintenance and support functions and is undermining the airline’s safety and reliability, especially as we head into peak flying season,” Kirchner alleged. “We cannot properly do our jobs if the company does not work with pilots (FC) on solutions to these challenges.”
He added that the company will continue to face “unsurmountable staffing issues as pilots leave the airline for better paying jobs.”
Flynn said Atlas does have enough pilots and has hired extra pilots to counter the alleged work slowdowns. “Our total pilot workforce has grown significantly over the last several years,” he said.
In response to the work slowdown allegations, Kirchner has accused Atlas of “harassing pilots who are sick or fatigued” in an effort to try to maintain an “increasingly strained” operation.
The war of words between Flynn and (IBT) comes as the cargo operator reports a robust global air cargo environment and expects a strong 2017 peak season and continued growth in 2018.
Click below for photos:
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TLS-747-400F - 2017-09.jpg
TLS-747-87UF - 2012-07
TLS-747-8F - 2011-11
TLS-747-8F - 2012-05
TLS-767-300F - 2016-10.jpg
1 737-700BBJ IGW (CFM56-7B) (179-30076, /99), INTERIOR MODS LUFTHANSA TECHNIK, WET-LST (BJC). CORPORATE VIP.
0 747-2D3BSF (CF6-50E) (296-21251, /77 N505MC), EX-(RJA), WET-LST (LUB) 2001-07. WET-LST (PAO) 2002-10. FREIGHTER.
0 747-2D3BSF (CF6-50E) (297-21252, /77 N506MC), EX-(RJA), (PCI) LSD. FREIGHTER.
0 747-2D7B (CF6-50E) (402-21782, /79 N523MC; 417-21783, /79 N522MC; 424-21786, /80 N524MC; 479-22337, /80 N526MC; 504-22471, /81 N527MC; 597-22472, /84 N528MMC), EX-(TII), CONV TO F, AT WICHITA, 21783 WET-LST (CEA), 21784 WET-LST (MAS) 2000-10. 22472 WET-LST (BAB) TIL 2005-04. FREIGHTER.
0 747-2F6B (CF6-50E) (421-21832, /79 N534MC; 423-21833, /80 N535MC) EX-(PAL), 1 WET-LST (CHI), 1 WET-LST (ALI). 21832 WET-LST (PAO) 2004-04. 21833 RTND 2004-07. 21832 RF (PAO) 2006-08, ST (SOF) 2006-10. FREIGHTER.
0 747-212BSF (CF6-50E2) (253-21048, /75 N808MC), EX-(SIA). W/O AFTER DUSSELDORF ACCDT 2005-01. FREIGHTER.
0 747-228F (CF6-50E2) (SCD) (245-20887, /74 N809MC), EX-(AFA), LST (CLX). STORED AT ROSWELL 2010-01. FREIGHTER.
0 747-228F (CF6-50E2) (SCD) (334-21576, /78 N536MC), RF (AFA) 2002-09. ST (SOF) 2007-03. FREIGHTER.
0 747-230BSF (CF6-50E2) (294-21220, /76 N512MC; 299-21221 /76 N509MC; 320-21380, /78 N507MC; 356-21644, /79 N508MC), EX-(DLH), WET-LST (CHI), 21220, WET-LST (FED) 1998-12. 21380 RTND 2004-05. LST (SOF). 21221 WET-LST (PAO) 2004-05. 21644; RF (PAO) 2005-09. 21221 RF (PAO) 2006-08, ST (SOF) 2006-10. 21664; LST (TWX) 2006-10. 21220; ST (TWX) 2008-02. 21380; STORED AT MOJAVE 2009-04. 21644; RF (TWX) STORED ROSWELL 2010-01. FREIGHTER.
0 747-243BC (CF6-50E) (497-22507, /80 N516MC; 613-23300, /85 N517MC; 647-23476, /86 N518MC), EX-(ALI), # LST (PAO) 1997-09. 22508 CONV TO F, BY (IAI) 2001-02. 23300 WET-LST (ALI) 2004-09). 23476 RTND 2004-10. 22507; WFU AT ROSWELL 2009-05. 23300 STORED ROSWELL 2010-01. FREIGHTER.
0 747-245F (JT9D-70) (394-21764, /79), EX-(SEA), LST (FED). FREIGHTER.
0 747-271F (CF6-50E2) (21965; 524-22403, /81 N537MC), EX-(CLX), LST (CLX); 21965 ST (CRG) 2001-02. FREIGHTER.
0 747-281SR (CF6-45A2) (21922), EX-(ANA) 1999-02. FREIGHTER.
0 747-341F (CF6-50E2) (627-23394, /85 N354MC; 629-23395, /85 N355MC), EX-(VAR), CONV TO F 2000-05, 23395 WET-LSD 2002-05. 23394 RF (PAO) 2004-03. 23394 RTND 2004-08. FREIGHTER.
0 747-329BC (CF6-50E) (810-24837, /90 N24837), EX-(SAB), (UAG) 5 YR LSD 2000-05, CONV TO F BY (BAS) WICHITA. WET-LST (PAO) 2002-06. RTND AIR TRUST 2004-03. FREIGHTER.
0 747-45EF (27063, N618BC), EX-(B-16402) BOUGHT FROM (GECAS) 2017-02. FERRIED TO MARANA MOJAVE FOR PERMANENTLY WITHDRAWN FROM USE 2017-05. FREIGHTER.
15 +1/6 ORDERS 747-47UF (SCD) (CF6-80C2B1F) (1165-29252, /98 N491MC; 1169-29253, /98 N492MC; 1179-29254, /98 N493MC; 1184-29255, /98 N494MC; 1213-29256, /99 N495MC; 1217-29257, /99 N496MC; 1220-29258, /99 N497MC; 1227-29259, /99 N498MC; 1240-29260, /00 N499MC; 1192-29261, /98 N408MC; 1242-30558, /00 N409MC; 1244-30559, /00 N412MC; 1304-32837, /02 N415MC; 1307-32838, /02 N416MC; 1319-32840, /02 N418MC), 29254 WET-LST (CLX); 1 WET-LST (FED); 29258; 29259; WET-LST (CHI); 2 WET-LST (KAL) 1999-08; 1 WET-LST (GUN) 2000-04; 1213-29256, N495MC WET-LST (BAB), 1 WET-LST (ALI); (1242-30558, /00 N409MC; 1244-30559; 31212; 2000-04; 29252 WET-LST (MAS); 29261 WET-LST (EAD) 2001-02. 29255; 29256; WET-LST (GSS) 2001-05. 29252 WET-LST (TNB) 2002-07. 32838 WET-LST 15 MTHS (EVA) 2002-07. 29255 WET-LST (TNB) 2002-10. 29257 WET-LST (POA) 2002-10. 29253 WET-LST (GUN) 2002-10. (DLH) MAINT. 29252 WET-LST (GSS) 2003-01. 29255 WET-LST (GSS) 2003-08. 29258 WET-LST (EAD) 2004-07. 29259 WET-LST (EAD) 2005-01. 32838; NOTED AT TOKYO 2012-07 IN DHL COLORS. 9 OPERATED FOR DHL. 29261; FERRIED MOSCOW (VKO) TO BE BASED AT OSTEND 2014-03. FREIGHTER.
2 747-481 (1204-29263, N263SG; 1250-30322, N322SG), 2010-01. 30322 LSD FR/OPS FOR SONAIR (SON) 2010-05. FREIGHTER.
1 +11/14 ORDERS 747-87UF (GEnx) (62441, N859GT, 2015-11), EX-(B-LJN), FREIGHTER.
6 +3 ORDERS 747-87UF (GEnx) (37565, N851GT, 2012-07 - - SEE PHOTO - - "TLS-747-8F - 2012-05;" 37571, N852GT), INCL 1 WET-LST (GSS)/(BAB), AND 2 WET-LST PANALPINA (PLP). 2 WET-LST (DHK) 2014-05. 37561, N856GT, RETURNED FROM POLAR AIR CARGO (PAO) LEASE AND LEASED TO CATHAY PACIFIC 2017-06. FREIGHTER.
5 767-231F (22566, N250GT; 22572, N653GT), EX-(ABX) AIR. EX-(N702AX). LSD FROM & OPERATED FOR DHL IN FULL DHL COLORS. FREIGHTER.
1 767-3YOER (26206, N505CS), RE-REGISTERED (N1181A) 2017-01.
1 767-306ERF (27957, N637GT), RE-REGISTERED (N1321A) (TO SINGAPORE FOR CARGO CONVERSION. FREIGHTER.
1 767-31KER (27205, N1373A), EX-(GF-TCCA), FERRIED MANCHESTER TO TEL AVIV FOR CARGO CONVERSION. FREIGHTER.
1 767-33AF (27310, N648GT), FERRIED SHANNON TO TEL AVIV FOR CARGO CONVERSION 2015-11. FREIGHTER.
1 767-351ER (25221, N640GT), EX-(N585MS). OPERATED FOR DHL. FREIGHTER.
1 767-36NERF (30109, N632GT), RE-REGISTERED N1049A, TO TITAN AVIATION LEASING FOR AMAZON (AZO) PRIME AIR 2017-01. FREIGHTER.
1 767-36NER 30111, N1093A), CONVERTED TO FREIGHTER BT (IAI) BEDEK 2017-03. FREIGHTER.
1 767-37DER (26329, N1327A), EX-(N635GT) CONVERTED TO CARGO 2017-03. FREIGHTER.
1 767-375ERF (24086, N1709A), EX-(CS-TLZ) 2017-01. FREIGHTER.
6 777LRF, EX-(GUG) FOR DRY-LEASING SUBSIDIARY, TITAN AVIATION 2014-01.
Click below for photos:
TLS-WILLIAM FLYNN 2007-11
LINDA CHOWDRY, CHAIRMAN.
JEFF POTTER, PRESIDENT & CHIEF EXECUTIVE OFFICER (CEO), ATLAS AIR WORLDWIDE HOLDINGS (AAWH).
WILLIAM FLYNN, PRESIDENT & (CEO) (TLS) & (PAO) (2006-05).
JOHN DIETRICH, EXECUTIVE VP & CHIEF OPERATIONS OFFICER (COO), EX-(UAL). (2006-09).
MICHAEL STEEN, EXECUTIVE VP & CHIEF COMMERCIAL OFFICER (CMO), EX-(SBE)/(KLM) (2007-04).
ROBERT ARANDAL, ADVISOR TO PRESIDENT, EX-SENIOR VP (CLX) (1999-03).
JASON GRANT, SENIOR VP & CHIEF FINANCIAL OFFICER (CFO) (2007-09).
ADAM KOKAS, SENIOR VP GENERAL COUNSEL & CHIEF HUMAN RESOURCES (HR) OFFICER (AAWH) (2006-10).
JAMES CASBARRO, VP TECHNICAL OPERATIONS, (JFKDO5V),
PAUL SAWHNY, VP TECHNICAL DEVELOPMENT.
JIM CATO, VP FLIGHT OPERATIONS & LABOR RELATIONS.
JIM FORBES, VP GROUND OPERATIONS.
CHUNG MAK, VP (APAC) SALES & MARKETING (2015-10).
CAROL PRIDE, CHIEF INFORMATION OFFICER (CIO) & VP INFORMATION TECHNOLOGY (IT) (2000-07).
JIM PHOENIX, SENIOR DIRECTOR QUALITY ASSURANCE (QA)/ENGINEERING (2000-09).
MARKUS SCHLEICH, DIRECTOR MAINTENANCE, EX-(FED) (2000-06).
NEAL O'CONNOR, DIRECTOR ENGINE PLANNING & SCHEDULING (1999-07).
NEAL SAWHNY, DIRECTOR ENGINEERING & MAINTENANCE PROGRAMS (2000-12).
HERB EPPICH, DIRECTOR MAINTENANCE PLANNING (2001-01).
GARRY CIBELLI, DIRECTOR AIRCRAFT PLANNING & SCHEDULING (1999-07).
BOB BRASTER, MANAGER RELIABILITY.