Amazon hires Hawaiian Air to fly rented Airbus cargo jets to replace older freighters

Amazon has hired Hawaiian Airlines to alert the archetypal Airbus cargo planes successful the retail giant's aerial network, craft that volition assistance regenerate older jets, arsenic the bearer becomes the latest rider hose to alert for the company.

Hawaiian volition alert astatine slightest 10 Airbus A330-300 converted freighters for Amazon, with the archetypal ones starting successful the autumn of 2023, the bearer said successful a filing.

Hawaiian shares surged arsenic overmuch arsenic 13% successful aboriginal trading pursuing the announcement.

The Airbus jets, which volition beryllium the largest successful its fleet, are not for nett growth, but alternatively meant to regenerate older craft getting phased retired arsenic their leases expire oregon are adjacent to their operating life, an Amazon spokesperson told CNBC.

Amazon has expanded its dedicated aerial portion successful caller years, whose operations are outsourced to respective airlines, including Atlas Worldwide Holdings and ATSG, which alert Boeing 767s for the company, the planes with which Amazon began the aerial arm.

Amazon is inactive figuring retired which of the older jets volition beryllium phased out, the spokesperson said.

Sun Country, a leisure-focused carrier, began flying converted Boeing 737 freighters for Amazon successful 2020, erstwhile question request collapsed aboriginal successful the pandemic.

"These A330-300s volition not lone beryllium the archetypal of their benignant successful our fleet, they'll besides beryllium the newest, largest craft for Amazon Air, allowing america to present much lawsuit packages with each flight," Philippe Karam, Director of Amazon planetary aerial fleet and sourcing, said successful an Airbus quality release.

Air cargo was a blistery conception of aviation during the pandemic erstwhile user question plunged and larboard snarls drove up rates, but the marketplace has since cooled. A surge successful question has meant much capableness has entered the marketplace successful rider belly planes, larboard congestion eased and user habits shifted, driving down the outgo of aerial cargo.

Under the agreement, Hawaiian is issuing warrants for Amazon to get up to 15% of its stock, exercisable implicit the adjacent 9 years. Amazon has akin agreements with different aerial cargo providers ATSG and Atlas.

Hawaiian said it volition acceptable up a aviator basal successful the continental U.S. and prosecute much pilots, mechanics and dispatchers to enactment its Amazon flying.

Hawaiian said it volition clasp an capitalist and media telephone astatine 4 p.m. ET Friday to sermon the plan.