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Home » Why UPS Is Buying 14 More 747s

Why UPS Is Buying 14 More 747s

February 9, 2018
Fortune

747s may be out of favor with passenger carriers these days, supplanted by newer, more efficient planes, but UPS is still a fan of the freighter model. It also ordered 14 of them in 2016, and all the planes are scheduled to enter service by the end of 2022.

People are demanding more and more express deliveries these days, UPS said. The International Air Transport Association (IATA) said last week that air freight growth was greater last year than at any time since 2010.

“Our intra-U.S. next-day and deferred air shipments are expanding to record levels, and UPS’s International segment has produced four consecutive quarters of double-digit export shipment growth,” explained UPS CEO David Abney.

UPS Airlines President Brendan Canavan said the new freighters would allow UPS to “upsize” its fleets with a “cascading effect that will boost capacity on regional routes around the world.”

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KEYWORDS Air Cargo Business Strategy Alignment Global Supply Chain Management Logistics Logistics Outsourcing Transportation & Distribution Transportation Management
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