Cargo Chat: Bluebird Nordic’s Keinyte discusses fleet growth, geographical expansion

Cargo operators have been actively renewing their fleets, whether through new aircraft deliveries or full conversions, in favor of more economically viable, fuel-efficient aircraft equipped with more capacity to handle the highs and lows of the uncertain airfreight market. See also : Packed to the max: Optimizing the capabilities of new freighters Iceland-based Bluebird Nordic (BBN), which operates both scheduled and chartered cargo services, is one of the carriers growing its fleet to leverage expansion opportunities into new geographical markets. The carrier’s fleet consists of three 737-800Fs, seven 737-400Fs and one 737-300F. BBN is also a family member of Avia Solutions Group, which provides capacity solutions for both passenger and cargo airlines, serving more than 2,000 clients throughout Asia, North America, Australia and Europe. [caption id="attachment_99436" align="alignright" width="246"] Photo / Bluebird Nordic[/caption] Air Cargo World caught up Audrone Keinyte, chief executive of ACMI carrier Bluebird Nordic and parent BBN Cargo Airlines Holdings , about fleet expansion, global market growth capabilities and peak season expectations. What follows is an edited version of the conversation. Air Cargo World : You've been serving in your current role since April. What can you share about your short- and long-term goals as you position the company for growth and success? Audrone Keinyte : I would say that our short- and long-term goals are to expand the fleets and to renew the fleet to -800s , as historically our fleet was mainly 737-400s. This year we are starting to induct the 737-800s into the fleet to have a more economical and more ecological fleet because of the higher loads, capability and capacity, and less fuel consumption. Those aircraft are much more attractive to our customers. Within this year, we are planning to expand the fleet up to 15 aircraft, while in the beginning of the year, there were only 80 aircraft. ACW : Some operators have been growing their fleets, shifting from narrowbodies to widebodies to leverage opportunities in new markets. Is BBN’s new fleet additions aimed for similar growth plans? AK : As BBN Cargo Airlines Holdings, we are expanding to other markets and we are opening [Air Operations Certificates] AOCs in other countries, such as Romania, Turkey and Indonesia , which will take some time as those are in the development stage. In this way we would have our footprint globally, we would have operations in Europe; we would also have [operations] in Turkey, which is the hub between Asia and Europe, and we would also have Indonesia, which covers the traffic rise in Southeast Asia. There are a lot of ambitious expansion plans for the future. ACW : Stakeholders disagree on peak season anticipations, with some saying there is no peak while others expect a muted peak. What are your expectations for peak season, especially as we see capacity soften? AK : From our perspective, we have no available aircraft until the end of the year — even with new inductions that are upcoming — so we have sold our aircraft quite well. But what we hear from … our clients, from the express carriers and from the integrators, is that there is some kind of uncertainty and everybody's a bit cautious because the peak period is not as it used to be. But on the other hand, we have provided additional aircraft for some of our clients for the peak season period, and this is what continues to be done this year. So, for us, it looks quite well. But in general, we hear the same indications about the market. With the expansion of the fleet, we are not only focusing on our existing clients, but also going beyond our standard regions, and we are really expanding the network and the geographical limits of our clients. So, we are going to other regions such as the Caribbean or the U.S. and the Middle East. So that’s why I say that we are very well covered with commercial contracts for the upcoming fleet. But that does not mean that the market demand is very high; we cannot be set on our commercial situation.

Cargo Chat: Bluebird Nordic’s Keinyte discusses fleet growth, geographical expansion

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