DHL to close Wilmington hub, transfer flying to UPS
06-03-2008, 03:55 PM
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DHL to close Wilmington hub, transfer flying to UPS
Is this true???!?!?
http://www.aircargoworld.com/break_news/05292008a.htm
DHL Closing Wilmington Hub
DHL plans to close its air sort hub in Wilmington, Ohio, as part of its far-reaching restructuring of its financially troubled U.S. express business.
The air sort hub will be closed once DHL phases out its outsourced flying with ABX Air and ASTAR Air Cargo, and turns that business over to its competitor UPS. Some air freight will be shifted to UPS's Louisville hub this year, said Jonathan Baker, DHL director of public relations, with full transition to be completed by the end of 2009.
The fate of other segments of DHL's Wilmington business remains unclear. The Wilmington airport, which DHL owns, would remain open for now, as will the various facilities on site.
DHL said it has not decided whether it will sell the airport, the largest privately owned airport in the United States.
Wilmington is also DHL's largest ground sorting facility and is used to clear and sort international air freight. "We're studying what to do with those operations, whether to remain in Wilmington or go to alternative locations," Baker said.
DHL to Cut ABX Fleet
DHL plans to start reducing its reliance on a fleet of ABX aircraft in the third quarter.
Prior to a public announcement made Wednesday, DHL on Tuesday night informed ABX Air that it will reduce its U.S. air network, including aircraft operated by other carriers, beginning in July and continuing for 12 to 18 months.
"DHL informed us last night that, starting in the third quarter, it intends, as part of a series of cost-reduction programs, to remove from its U.S. air network 39 of the 55 DC-9 aircraft that ABX Air has dedicated to DHL," said Joe Hete, CEO of ABX parent company Air Transport Services Group. "In addition, DHL has notified us that it has commenced negotiations with UPS that could lead to the assumption by UPS of substantially all of the services that ABX Air currently provides to DHL."
Looking further ahead, Hete said his company would aggressively pursue a strategy of expanding business with other customers. ABX Air has been DHL's principal business partner in the United States since August 2003, when it became an independent publicly held company as its former parent, Airborne Express, was acquired by DHL. Hete said he expected to enforce the two commercial agreements that exist between DHL and ABX.
The Aircraft, Crew, Maintenance & Insurance agreement through August 2010 and a Hub Services agreement that runs through August 2009 provided approximately $280.8 million, or 74 percent of ATSG's consolidated revenue, and $4.0 million, or 64 percent of its pretax earnings, for the first quarter of 2008. The reduction of 39 DC-9 aircraft could affect as many as 500 flight, maintenance and support employees.
ATSG provides air cargo transportation and related services to domestic and foreign air carriers and other companies through five principal subsidiaries, including three airlines.
http://www.aircargoworld.com/break_news/05292008a.htm
DHL Closing Wilmington Hub
DHL plans to close its air sort hub in Wilmington, Ohio, as part of its far-reaching restructuring of its financially troubled U.S. express business.
The air sort hub will be closed once DHL phases out its outsourced flying with ABX Air and ASTAR Air Cargo, and turns that business over to its competitor UPS. Some air freight will be shifted to UPS's Louisville hub this year, said Jonathan Baker, DHL director of public relations, with full transition to be completed by the end of 2009.
The fate of other segments of DHL's Wilmington business remains unclear. The Wilmington airport, which DHL owns, would remain open for now, as will the various facilities on site.
DHL said it has not decided whether it will sell the airport, the largest privately owned airport in the United States.
Wilmington is also DHL's largest ground sorting facility and is used to clear and sort international air freight. "We're studying what to do with those operations, whether to remain in Wilmington or go to alternative locations," Baker said.
DHL to Cut ABX Fleet
DHL plans to start reducing its reliance on a fleet of ABX aircraft in the third quarter.
Prior to a public announcement made Wednesday, DHL on Tuesday night informed ABX Air that it will reduce its U.S. air network, including aircraft operated by other carriers, beginning in July and continuing for 12 to 18 months.
"DHL informed us last night that, starting in the third quarter, it intends, as part of a series of cost-reduction programs, to remove from its U.S. air network 39 of the 55 DC-9 aircraft that ABX Air has dedicated to DHL," said Joe Hete, CEO of ABX parent company Air Transport Services Group. "In addition, DHL has notified us that it has commenced negotiations with UPS that could lead to the assumption by UPS of substantially all of the services that ABX Air currently provides to DHL."
Looking further ahead, Hete said his company would aggressively pursue a strategy of expanding business with other customers. ABX Air has been DHL's principal business partner in the United States since August 2003, when it became an independent publicly held company as its former parent, Airborne Express, was acquired by DHL. Hete said he expected to enforce the two commercial agreements that exist between DHL and ABX.
The Aircraft, Crew, Maintenance & Insurance agreement through August 2010 and a Hub Services agreement that runs through August 2009 provided approximately $280.8 million, or 74 percent of ATSG's consolidated revenue, and $4.0 million, or 64 percent of its pretax earnings, for the first quarter of 2008. The reduction of 39 DC-9 aircraft could affect as many as 500 flight, maintenance and support employees.
ATSG provides air cargo transportation and related services to domestic and foreign air carriers and other companies through five principal subsidiaries, including three airlines.
06-03-2008, 03:59 PM
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06-03-2008, 04:15 PM
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Position: Frm. DHLAirways. Blue & White Boeing's Now. YEA!!
Posts: 610
I don't mean to be rude, but where the hell have you been.
There are multiple threads on multiple boards spanning more than one continent on this subject and the prospects for thousands people who will be looking for work because it.
There are multiple threads on multiple boards spanning more than one continent on this subject and the prospects for thousands people who will be looking for work because it.
06-03-2008, 04:21 PM
#4
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Joined APC: Feb 2007
Position: Delta
Posts: 343
Guess I'm out of the loop, I scanned the first page of the cargo board here on APC and saw now thread pertaining to this, that's why I posted it. My thoughts are with the people who will lose their jobs because of this.
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