By Max Kingsley-Jones & Darren Shannon
FedEx Express is set to acquire almost 10% of the world’s Boeing 757-200 fleet over the next 10 years to satisfy its need to replace its ageing Boeing 727-200 fleet.
The US express package carrier revealed plans to acquire around 90 757-200s last week at its annual shareholders meeting in a transaction that is valued by FedEx’s board of directors at $2.6 billion. The entire cost has been included in the company’s $3 billion capital spending budget for fiscal 2007.
Converted aircraft are expected to enter service between 2008 and 2016, replacing the airline’s 90 727-200s. FedEx has revealed few further details about the acquisition, saying only that it has “located the appropriate amount of 757s to meet our near- and medium-term needs”. Sources say that this is likely to number just under half of its eventual total requirement and will possibly comprise a mix of the two engine types available on the twinjet – the Pratt & Whitney PW2000 and Rolls-Royce RB211-535E4 – acquired from an assortment of suppliers.
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Precision offers one of the four 757 freighter conversions available |
Production of the 757 ended last year with the delivery of the 1,048th aircraft. According to Flight’s Acas database, there are around 980 757-200s either in service or parked, the majority of which are passenger models operated by airlines. It is not clear how FedEx will undertake the passenger to freighter conversion of its 757 fleet, although some observers believe it may acquire one of the four programmes that have already been developed.
These comprise programmes developed by Alcoa-SIE Cargo Conversions, Pemco World Air Services, Precision Conversions and the original Boeing-developed 757 Special Freighter conversion which is being subcontracted to Israel Aircraft Industries and Singapore Technologies Aerospace.
Source: Flight International
