CAM buys B767-300 for conversion
Cargo Aircraft Management Inc., a subsidiary of Air Transport Services Group, will buy a B767-300ER for freighter conversion from Qantas. CAM will take delivery of the craft during the fourth quarter, and the conversion is expected to begin by the middle of next year.
CAM now owns a fleet of five B767-300 craft and 36 B767-200s; every plane is currently in the conversion process or has already been converted.
“This additional 767-300ER aircraft extends our leading global position in the medium wide-body freighter market," Joe Hete, Air Transport's president and CEO, said in a statement.
In a note from BB&T Capital Markets regarding the news, Kevin Sterling noted that the purchase from Qantas will help diminish investors' concerns that the company is having a hard time finding adequate feedstock.
“The new 767-300 comes in addition to two incremental aircraft that were also recently announced — another 767-300 from Qantas, which will be converted to a freighter in early 2012, and a 757-200, which will be converted into a combination passenger/freighter aircraft," Sterling wrote in the note to investors. "The 757 is expected to enter service for the military in Q3’12 and also increases our confidence in [Air Transport Services Group’s] ability to retain the military business. In addition, we believe that more 767 feedstock will begin to free up in 2012 now that the Dreamliner is coming online."