BRENDAN SOBIE / WASHINGTON DC
FedEx Express is in negotiations to acquire eight ATR 42s from Continental Airlines as it looks set to select the type as its new regional feeder aircraft.
The aircraft are likely to be the first of several ATR transactions involving the US express packages carrier, say industry sources. FedEx is expected to quickly firm up deals on as many as 30 ATR 42s and have them in service with one or two of its feeder partners by the middle of next year.
Cargo kits could either be installed by conversion specialists or FedEx's regional operators Empire Airlines or Mountain Air Cargo. Several modification specialists are vying to convert the aircraft to cargo configuration. Empire and Mountain, which operate 12 and 23 Fokker F27s, respectively, have expressed interest in changing to ATRs.
The ATR 42 was in competition with the BAe ATP and the Saab 340 to meet FedEx's requirements for a new turboprop freighter to replace its 35 F27s (Flight International, 15-21 October). The competition began last year after termination of the Ayres Loadmaster programme, for which FedEx had 75 commitments. FedEx is not commenting on the selection as it wants to acquire aircraft before their value increases on news of its interest.
Continental regional partner Express has already parked about half of its 30 ATR 42s and will retire the rest by year-end. Continental is trying to sell the eight aircraft it owns, while a variety of banks are responsible for remarketing the other 22. American Eagle also has 28 ATR 42s but would prefer to sell its 71 Saab 340s to FedEx. FedEx favours acquiring US-registered aircraft.
Italy's Aeronavali and Canada's First Air and Exel Tech already offer ATR 42 conversion programmes. US firm Worldwide Aircraft Services, which has converted several other regional types, is also vying for the business. Only Aeronavali offers a full cargo door, but FedEx has not yet decided if it wants to fly containers or bulk load the aircraft.
Source: Flight International
