Volga-Dnepr Group misses targets, begins restructuring process

Russia-based Volga-Dnepr Group will be executing a restructuring plan after the group’s three carriers – AirBridgeCargo (ABC), ATRAN and Volga-Dnepr Airlines (VDA) – saw their collective traffic drop by 6% in the first half of 2019, to 2.6 million FTKs, missing targets by 20%.

While an immediate change involves the appointment of a new general director, Volga-Dnepr didn’t elaborate on what the restructuring will mean for its fleet, or whether there will be any changes on that front. At present, the group’s three airlines operate a total of forty-one freighters, including eighteen 747Fs, and five 737Fs, as well as twelve An-124-100s and five Il-76TD-90VDs.

Most of the carrier’s future growth is centered around the 777F platform. Last year during the Farnborough International Airshow, the group and its UK-based affiliate, CargoLogicHolding, inked an LOI with Boeing for the purchase of up to twenty-nine 777Fs along with a firm order for five 747-8Fs. Since then, Volga-Dnepr has firmed up nine of those 777Fs. The group recently entered into a sale-and-leaseback agreement with DAE Capital for three 777Fs, to be operated by ABC.

The group’s other UK-based affiliate, CargoLogicAir, is also going through a restructure of its own. Last week it was announced that David Kerr, the carrier’s CEO, would be leaving the airline. Meanwhile, Germany-based affiliate CargoLogic Germany is still awaiting its German Air Operator’s Certificate (AOC).