ATSG will start flying for Amazon 767Fs previously operated by Atlas

[caption id="attachment_16267" align="alignright" width="375"] ATSG is expected to deliver at least six more 767Fs to Amazon in 2019. Its affiliate carriers may pick up additional CMI flying beyond that.[/caption] Amazon is shifting 767-300Fs from Atlas Air to ATSG affiliate carrier Air Transport International ( ATI ) for CMI flying, Cargo Facts has learned. Although Atlas’ leasing affiliate, Titan Aviation Holdings , will continue to lease nineteen freighter-converted 767-300Fs to Amazon, CMI operations for at least two aircraft will be “assigned by Amazon to another provider,” Atlas confirmed to Cargo Facts . Air Transport Services Group ( ATSG ) later added that its carrier ATI will operate the two freighters being transferred. Amazon has provided no reason for the CMI reassignment, but the saga between Atlas Air and the Airline Professionals Association Teamsters Local 1224, the union representing its pilots, could have been a factor. Following Atlas’ 2016 acquisition of Southern Air , the two parties have been unable to settle a contract. Most recently, on Aug. 27 Atlas prevailed in arbitration and the union was ordered to continue negotiations for a joint collective bargaining agreement. ATI, for its part, reached an agreement with its pilots union last year. Amazon did not identify aircraft being transferred by MSN. However, l ast Friday, a 767-300F (30109) was brought to Wilmington (ILN), and a week later, the aircraft remains at the airport. While the purpose of the aircraft’s visit has not been officially confirmed, there are only a few options that make sense. Amazon Air has indeed resumed operations at ILN, but an aircraft would not stay at the airport for more than a few hours unless it were in need of maintenance. MRO facilities familiar with the 767 platform are plentiful at ILN, where ATSG is based, but Cargo Facts has no record of Atlas sending a 767F there for maintenance. Instead, 30109 is most likely the first aircraft undergoing conformity checks ahead of service entry with ATI. Even absent the transfer, ATSG affiliate carriers have been preparing to increase flying for Amazon. In August, ATSG increased the number of freighter-converted 767Fs it planned to redeliver to Amazon in 2019 from five to six. Recent changes to contracts with other customers that will soon take effect also free up crew resources for additional CMI flying. Last month, 21 Air announced it had secured a deal to operate 767Fs on a CMI basis for Aeromexico – flying that is currently handled by ABX Air and could enable expanded CMI flying for Amazon. As the transfer reveals, under certain conditions Amazon retains the right to reassign CMI flying and could move additional aircraft in the future. “As per our contract, Amazon is provided the option to make adjustments to their network as they determine,” Atlas confirmed in a written statement. Originally, Atlas’ 2016 agreement with Amazon included the dry lease of twenty 767-300Fs from Titan for a period of ten years. As aircraft were converted and dry leased to Amazon, they were handed over to Atlas for CMI operations as part of a seven-year deal that included an option for a three-year extension. The number of 767-300Fs dry leased and operated for Amazon by Atlas affiliates was reduced to nineteen in February following the loss of unit 25865. For now, just two aircraft will be reassigned to another CMI operator and Atlas Air will continue to operate seventeen 767-300Fs for Amazon on a CMI basis. Titan Aviation will continue to lease nineteen 767-300Fs to Amazon under long-term agreements expiring between 2026 and 2028, regardless of the CMI transfer. A separate agreement with Atlas’ sister airline Southern Air to operate at least five and up to twenty 737-800BCFs on a CMI basis for Amazon also remains in place, and unaffected by the reassignment. This story was updated at 10:20 am local time to confirm ATI as the operator for the two aircraft being reassigned by Amazon. Join us for the 25th Annual Cargo Facts Symposium, Oct. 16-18 at the InterContinental San Diego. With unparalleled networking and continuing education opportunities, Cargo Facts Symposium consistently attracts the best in the industry. To register and for more information visit www.cargofactssymposium.com today!

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