CANADIAN carriers Cargojet and First Air have signed a cooperation agreement on a three times a week freighter service from Ottawa and Winnipeg to the arctic city of Iqaluit.
Cargojet will assume the remaining lease obligation of First Air’s B767-200 extended range freighter aircraft, subject to lessor approval, in a deal that creates “significant cost efficiencies” for both carriers.
In a joint statement, the carriers said that they will maintain their respective and existing end-user customer relationships, adding: “The two airlines plan to widen their cooperation into other areas, such as joint cargo handling and aircraft maintenance.”
Cargojet operates a domestic overnight air cargo co-load network between thirteen major Canadian cities and has a fleet of 22 Boeing freighter aircraft.
First Air, with a fleet of 23 aircraft, offers passenger, cargo, charter and scheduled services.
Brock Friesen, president and chief executive (CEO) of First Air, says: "Cargojet is a perfect fit for First Air, a complementary network and an outstanding record of reliability and service.”
Ajay Virmani, president and CEO of Cargojet, adds that both organisations would benefit from “reduced costs and enhanced revenues."
In early June, Cargojet sourced funding from Element Financial Corp to finance three Boeing 767-300ER freighter aircraft for approximately $100 million.