Air freight containers with the logo design of Amazon are seen at Miami International Airport, in Miami, Florida, United States on June 16, 2021.
Marco Bello|Anadolu Agency|Getty Images
Amazon has actually employed Hawaiian Airlines to fly the very first Airbus freight airplanes in the retail giant’s air network, airplane that will assist change older jets, as the provider ends up being the current guest airline company to fly for the business.
Hawaiian will fly at least 10 Airbus A330-300 transformed trucks for Amazon, with the very first ones beginning in the fall of 2023, the provider stated in a filing.
Hawaiian shares rose as much as 13% in early trading following the statement.
The Airbus jets, which will be the biggest in its fleet, are not for net development, however rather implied to change older airplane getting phased out as their leases end or are close to their running life, an Amazon representative informed CNBC.
Amazon has actually broadened its devoted air system in the last few years, whose operations are contracted out to a number of airline companies, consisting of Atlas Worldwide Holdings and ATSG, which fly Boeing 767 s for the business, the airplanes with which Amazon started the air arm.
Amazon is still finding out which of the older jets will be phased out, the representative stated.
Sun Country, a leisure-focused provider, started flying transformed Boeing 737 trucks for Amazon in 2020, when travel need collapsed early in the Covid pandemic.
“These A330-300s will not only be the first of their kind in our fleet, they’ll also be the newest, largest aircraft for Amazon Air, allowing us to deliver more customer packages with each flight,” Philippe Karam, director of Amazon worldwide air fleet and sourcing, stated in an Airbus press release.
Air freight was a hot sector of air travel throughout the pandemic when customer travel plunged and port snarls increased rates, however the marketplace has actually because cooled. A rise in travel has actually implied more capability has actually gotten in the marketplace in guest stubborn belly airplanes, port blockage alleviated and customer practices moved, driving down the expense of air freight.
Under the contract, Hawaiian is providing warrants for Amazon to obtain approximately 15% of its stock, exercisable over the next 9 years. Amazon has comparable contracts with other air freight companies ATSG and Atlas.
Hawaiian stated it will establish a pilot base in the continental U.S. and work with more pilots, mechanics and dispatchers to support its Amazon flying.
Hawaiian stated it will hold a financier and media call at 4 p.m. ET on Friday to go over the strategy.
