Executive Briefings

Oman Air Looks to Beef Up Its Airfreight Operations

Oman Air is planning to ramp up it airfreight service. The CEO of the sultanate's flagship carrier is planning to turn Muscat into a major cargo transport hub.

Wayne Pearce, appointed CEO of Oman Air in January 2012, said in an interview with Arabian Business: "Cargo is a vibrant industry in the UAE, and we are seriously examining the prospect of introducing freighter operations. We really have quite a lot of freight coming into us. We have these light bodies that have 60 tons of cargo from the East and then on to Europe. We are putting a lot of emphasis to filling those up and, down the line, introducing a cargo operation in Muscat. My goal would be to introduce that by the end of the year. I have to go through the proper processes, but things are looking quite promising."

The airline reported earlier this month its cargo revenues increased by 47 percent for the January-to-May period while cargo tonnage increased by 33 percent.

In other action, FedEx Express, the wholly owned subsidiary of FedEx Corp., has agreed to purchase 19 additional B76-300F aircraft to continue to improve the efficiency and technology of the FedEx air fleet. As part of the agreement, Boeing has agreed to convert four B777s - two in 2016 and two in 2017 - to 767 purchase value. FedEx Express currently operates 19 long range 777 freighters and is now committed to purchasing an additional 24 777s. The 767s will be delivered from fiscal 2015 to 2019 and replace current MD-10 and A310-200 aircraft.

The 767s will provide similar capacity as the MD10s, with an approximate 30-percent increase in fuel efficiency and a reduction in unit operating costs of more than 20 percent. They also increase efficiency by sharing spare parts, tooling and flight simulators with the Boeing 757s, which are part of the FedEx air fleet.

David J. Bronczek, president and CEO of FedEx Express, stated: "FedEx Express is positioning itself for more profitable growth by modernizing its aircraft fleet and better aligning it U.S. domestic air network to match current and anticipated shipment volumes."

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Wayne Pearce, appointed CEO of Oman Air in January 2012, said in an interview with Arabian Business: "Cargo is a vibrant industry in the UAE, and we are seriously examining the prospect of introducing freighter operations. We really have quite a lot of freight coming into us. We have these light bodies that have 60 tons of cargo from the East and then on to Europe. We are putting a lot of emphasis to filling those up and, down the line, introducing a cargo operation in Muscat. My goal would be to introduce that by the end of the year. I have to go through the proper processes, but things are looking quite promising."

The airline reported earlier this month its cargo revenues increased by 47 percent for the January-to-May period while cargo tonnage increased by 33 percent.

In other action, FedEx Express, the wholly owned subsidiary of FedEx Corp., has agreed to purchase 19 additional B76-300F aircraft to continue to improve the efficiency and technology of the FedEx air fleet. As part of the agreement, Boeing has agreed to convert four B777s - two in 2016 and two in 2017 - to 767 purchase value. FedEx Express currently operates 19 long range 777 freighters and is now committed to purchasing an additional 24 777s. The 767s will be delivered from fiscal 2015 to 2019 and replace current MD-10 and A310-200 aircraft.

The 767s will provide similar capacity as the MD10s, with an approximate 30-percent increase in fuel efficiency and a reduction in unit operating costs of more than 20 percent. They also increase efficiency by sharing spare parts, tooling and flight simulators with the Boeing 757s, which are part of the FedEx air fleet.

David J. Bronczek, president and CEO of FedEx Express, stated: "FedEx Express is positioning itself for more profitable growth by modernizing its aircraft fleet and better aligning it U.S. domestic air network to match current and anticipated shipment volumes."

Read Full Article