UK-based maindeck operator CargoLogicAir has reportedly suspended operations after being flagged in an audit by the UK’s Civil Aviation Authority (CAA).
Various unconfirmed media reports suggest that the airline’s financial situation has left it unable to fund its continued operations. This may have been the trigger for the regulator’s concern that the carrier would not be able to maintain the requisite level of compliance and/or safety performance which puts flight safety at risk.
Publicly available information on the CAA’s website indicates the airline is still listed as holding a Type A Air Transport License, despite industry speculation that it has been stripped of its license.
Last year the airline announced that it would halve its freighter fleet from four to two B747Fs in what it said was a response to market conditions. Just last week CargoLogicAir sold one of its B747-400Fs (previously owned by the now-defunct German/Chinese carrier, Jade Cargo) to Cargolux.
The Volga-Dnepr Group, whose owner Alexei Isaikin operates five cargo airlines – including CargoLogicAir, Volga-Dnepr Airlines, AirbridgeCargo, Atran Airlines, and new licensed CargologicGermany – suffered significant losses during 2019.
Cargologicair posted 2018 revenues of GBP 213.7 million (EUR 253.58 million) with its net loss reaching GBP 18 million, up from 2017’s net loss of GBP 2.5 million.