Boeing inks freighter deal worth $11.8B with Russia’s Volga-Dnepr
Boeing just sealed a package of deals with Russia’s Volga-Dnepr Group and Cargo Logic Holding. With the deals, announced at the 2018 Farnborough International Airshow on July 17, 2018, the cargo transportation leader intends to order 29 Boeing 777 Freighters and confirms the order of five 747-8 Freighters. The total sum for the deals is around $11.8 billion at list prices.
The company signed a letter of intent to purchase 29 777F, valued at $9.8 billion, confirmation of an order for five 747-8F, valued at $2 billion, as well as, the purchase of a crew pairing solution, and an agreement to work together on future freighter projects.
"This is a very significant day in our company's history,” said Alexey Isaykin, President of Volga-Dnepr Group and Chairman of Cargo Logic Holding.
“With this package of agreements, we will grow our business with the unique and unmatched 747-8 Freighter and open new market opportunities with the 777 Freighter, the world's longest range twin-engine cargo jet.”
“And we will work with Boeing to develop new freighter solutions that will help us continue to serve the unique and fast-changing requirements of our global customers," Isaykin added.
Volga-Dnepr Group is the world’s largest carrier of outsize cargo as well as one of the world's largest Boeing 747 Freighter operators.
While the Group and its partners have largely built its business on very large four-engine freighters, it now plans to expand its future fleet options with a commitment for the twin-engine 777 Freighter.
Meanwhile, Cargo Logic Holding intends to order 29 Boeing 777 Freighters. The airplane's range and cargo capacity promises to open up significant network and growth opportunities.
"Cargo Logic Air, part of Cargo Logic Holding, started its business by flying 747 scheduled and charter flights to and from the UK. We are excited to extend the network using a range of Boeing family aircraft including Boeing 747-8F, 777F, 767F and 737-800BCF," Isaykin commented.
The package of agreements also includes a commitment for both companies to explore other freighter solutions, such as new production 767 Freighters or converted cargo jets such as the 737-800 Boeing Converted Freighter.
With the resurgence in the air freight market – demand grew nearly 10% in 2017 – Boeing has seen a big spike in interest for cargo aircraft. The U.S. plane maker has accumulated more than 100 orders and commitments for production and converted freighters in 2018.
Rosaviatsia takes action to prevent pilots finding work with foreign airlines
Russia’s civil aviation regulator Rosaviatsia has taken action to prevent local unemployed pilots from finding wor...
Russia to invest $14.5B to boost home-grown jet production
Russia will allocate 770 billion rubles to develop the country’s air transport industry by the end of 2030 in...
Russia asks Bermuda to de-register Russian aircraft following safety concerns
Russian airlines have notified Bermuda’s aviation authorities about the need to de-register aircraft registered in...
Video shows dramatic moment Ukrainian drone strikes Russian oil refinery
Dramatic footage showing the moment a Russian refinery was struck by drones from Ukraine has surfaced online. ...