A Canada 3000 Cargo has been renamed Cargojet Canada following its acquisition by a company controlled by the freight airline's chief executive, Ajay Virmani.
Canada 3000 Cargo evolved from Royal Cargo after Canada 3000 bought Royal Cargo's parent Royal Aviation. Canada 3000 entered bankruptcy late last year.
Virmani became Canada 3000 Cargo's chief executive last August when, disappointed by the low bids it received for its new Royal Cargo subsidiary after it had put the company up for sale, Canada 3000 decided to expand the operation instead to capture a bigger stake of the Canadian express airfreight market.
It achieved this goal by selling a 50% stake for C$10 million ($7 million) in Royal Cargo to Flagship International Marketing, which Virmani owned and continues to own. Royal Cargo was renamed Canada 3000 Cargo and Virmani, formerly the president of the Canadian division of US freight forwarder Eagle Global Logistics, was appointed the new company's chief executive.
Cargojet Canada operates four 727-200Fs and a 737-200 freighter, although officials of the newly renamed carrier could not be reached to confirm if these are the same aircraft that Canada 3000 Cargo was operating. The new carrier also operates three small turboprops, two Beech 99s and a Fairchild Metro II, on its nightly scheduled freight services to 12 Canadian destinations.
Source: Flight Daily News
