newstodate.aero
FEB 09, 2005 (newstodate): In a surprising move, the Flugleidir Icelandair Group has signed an agreement to purchase the Icelandic cargo airline Bluebird Cargo and the associated freight forwarding company Flugflutningar.
The purchase price for both companies is ISK 3.8 billion and on top of that the Flugleidir Icelandair Group takes on debt obligations for aircraft worth ISK 1.4 billion.
The total turnover of the Flugleidir Icelandair Group Cargo business after this transaction will be more than ISK 7 billion a year.
-This transaction is in line with the Flugleidir Icelandair's Group strategy to grow on the international cargo and charter market. Bluebird is a well run and interesting company and this deal opens up � new market for the Flugleidir Icelandair Group. The cargo business of both companies has grown fast in the past few of years and we expect to maintain that momentum. In addition we see considerable synergies in the operation in the first year of business, says Hannes Smarason, the chairman of the board of the Flugleidir Icelandair group.
Bluebird Cargo, set up and till now part-owned and managed by Thor Kjartansson, by now operates five Boeing 737 cargo aircraft, and 80 percent of its operation is on the international market.
The company is introducing a Boeing 757 in its operation this spring. Four of its aircraft are in operation for the freight forwarder UPS in Europe, while the fifth is operating for the Italian postal services.
Icelandair Cargo, a subsidiary of the Flugleidir Icelandair Group, operates cargo services to and from Iceland and between a selection of international destinations with three full cargo Boeing 757 aircraft and by utilizing the bellyspace of Icelandair passenger aircraft.
The purchase price for both companies is ISK 3.8 billion and on top of that the Flugleidir Icelandair Group takes on debt obligations for aircraft worth ISK 1.4 billion.
The total turnover of the Flugleidir Icelandair Group Cargo business after this transaction will be more than ISK 7 billion a year.
-This transaction is in line with the Flugleidir Icelandair's Group strategy to grow on the international cargo and charter market. Bluebird is a well run and interesting company and this deal opens up � new market for the Flugleidir Icelandair Group. The cargo business of both companies has grown fast in the past few of years and we expect to maintain that momentum. In addition we see considerable synergies in the operation in the first year of business, says Hannes Smarason, the chairman of the board of the Flugleidir Icelandair group.
Bluebird Cargo, set up and till now part-owned and managed by Thor Kjartansson, by now operates five Boeing 737 cargo aircraft, and 80 percent of its operation is on the international market.
The company is introducing a Boeing 757 in its operation this spring. Four of its aircraft are in operation for the freight forwarder UPS in Europe, while the fifth is operating for the Italian postal services.
Icelandair Cargo, a subsidiary of the Flugleidir Icelandair Group, operates cargo services to and from Iceland and between a selection of international destinations with three full cargo Boeing 757 aircraft and by utilizing the bellyspace of Icelandair passenger aircraft.