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-   -   FDX liquidates 76 slots to AMZ (https://www.airlinepilotforums.com/cargo/118733-fdx-liquidates-76-slots-amz.html)

wjcandee 12-20-2018 02:56 PM

On the one hand, FedEx is trying to reduce what they might view as unnecessary expenditures. So that militates in favor of the rumour being true.

However, FedEx is going gangbusters in the US; it's the international business that's the problem. The 767s are designed to replace existing domestic aircraft. They do do some South America runs and others, but they are primarily in the US. Which is growing. And the new aircraft increase reliability and lower maintenance expense and in some cases fuel expense. So they are are an expenditure that, well not strictly -speaking utterly necessary, do have positive and quantifiable benefits for the operation. So all that militates against the rumor being true. Also, as pointed out, there would seem to be some potential candidates for those aircraft that would pay more for them then would Amazon.

Reactivity 12-20-2018 05:09 PM


Originally Posted by abxflyr (Post 2728627)
It would take another entity to purchase equipment and contract (CMI) ATSG and its' carrier airline(s) to do work for them. Is this possible? Of course so....but not a likely scenario.

It doesn't really fit into Amazon's penny-pinching style, but the word a few years ago when this all started was that Amazon had been talking to Boeing about buying new 767Fs, so it's not an entirely baseless rumor.

JackStraw 12-20-2018 05:58 PM


Originally Posted by Reactivity (Post 2728756)
It doesn't really fit into Amazon's penny-pinching style, but the word a few years ago when this all started was that Amazon had been talking to Boeing about buying new 767Fs, so it's not an entirely baseless rumor.

I highlighted the baseless rumor.

Precontact 12-20-2018 07:41 PM


Originally Posted by Tango Uniform (Post 2728475)
I'd think UPS would pick up open FDX 767 slots before anybody. I have to agree that its Fake News.

https://leehamnews.com/2018/04/25/bo...st-of-several/
Boeing to hike 767F production; may be only first of several
April 25, 2018, © Leeham News: Buried deep within Boeing’s first quarter earnings report is a single, seemingly innocuous sentence:

“Reflecting the strength of the cargo market, we now plan to increase the production rate on the 767 program from 2.5 to 3 per month beginning in 2020.”

There is more to this than meets the eye. It portends potentially big orders and this rate increase may be only the first to come.

UPS, Amazon

The announced rate increase comes right on schedule to market information received by LNC months ago: that the 767 production rate would be increased to 3/mo in January 2020.

Boeing alerted the supply chain to study increases to this and more: to 3/mo in January 2020, 3/5/mo in July and 4/mo in January 2021.

The rate would come down to 3/mo in January 2025 and 2/mo in July, supply chains sources told LNC.

FedEx currently has 56 767Fs on order, UPS four and Unidentified three. But UPS is looking at an order for the Airbus A330-900F, an as-yet unlaunched version of the A330neo, and market intelligence tells LNC the cargo carrier has rights of first refusal for 767Fs should Boeing up production.

Amazon Prime cargo has long been rumored in the market and press reports to be interested in a large order for the 767F. It currently leases 767s from Atlas Air and Air Transport Services Group.

Reactivity 12-20-2018 10:06 PM


Originally Posted by JackStraw (Post 2728775)
I highlighted the baseless rumor.

Hey, thanks.

Puget Sound Business Journal reported the rumor at the time, so I'd have to say that as rumors go, it wasn't entirely baseless.

BoilerUP 12-21-2018 04:10 AM

There’s been a lot of speculation and rumor about massive AMZN new aircraft purchases...but none of it has ever really made any sense for anybody really paying attention.

Noworkallplay 12-21-2018 06:33 AM


Originally Posted by Cujo665 (Post 2728468)
They just increased their 767 order less than 5 months ago....

They put a big order in back in 2015, and added 6 more around July of this year, along with six 777.

They added 12 more 767 and 12 more 777 to the current firm orders. So Purple now has 124 firm ordered 767 and 55 777. They have taken delivery of 69 767 and 34 777. They also have options for 25 additional 767 and 25 777.

dynap09 12-21-2018 08:52 AM

Put me down in the skeptic category as well. Amazon is a penny pincher in most cases. What's the advantage to them to buying new planes compared to current approach. 76 is a crazy number as well. I don't see it.

Moosefire 12-21-2018 09:57 AM

I’m gonna go with wishful thinking by the OP. If FX needs to reduce domestic capacity it will be done by parking MD10s/Airbuses.

atpcliff 12-21-2018 03:16 PM

If Amazon is buying the aircraft, it may be for themselves. They are currently doing a light renovation to the Comair Corporate HQ complex in CVG so they can move into that space.


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