Icelandair Group and US aircraft carrier Titan Aircraft Investments have signed a contract for the sale and re-leasing of two Boeing 767-300ER passenger aircrafts. The aircrafts will later be converted into freighters.

At first. the aircrafts will be used for passenger flights in the Icelandair network  and as charters at Loftleiðir, but will be converted into cargo planes in spring of 2022 and will join the Icelandair Cargo network in autumn 2022. They will replace the company's older aircrafts, but the company plans to take its two Boeing 757-200  freighters out of operation in the next two to three years. The lease agreement is for 10 years and has a positive impact on Icelandair Group's liquidity.

The company will continue to focus on utilizing Icelandair passenger network for freight transport, thereby offering services to numerous destinations on both sides of the Atlantic, in addition to operation these new specially equipped Boeing 767-300 wide-body aircraft on other markets.

Bogi Nils Bogason, CEO of Icelandair Group:

"We see great opportunities in freight transport in our major markets by adding these powerful freighters to our fleet. These are two Boeing 767 wide-body aircrafts that each carry over 50% more cargo than our current aircrafts and are a great fit into the company's network.

Freight transport has been successful in the past year despite the coronavirus epidemic and the outlook remains good. Projects in Iceland are looking to increase and we also see an opportunity to strengthen Iceland as a connecting hub for freight between continents, in much the same way as we have done in the Icelandair passenger network for decades."

Gunnar Már Sigurfinnsson, Managing Director of Icelandair Cargo:

"We believe there will be a high demand for cargo flights in the Atlantic market, both short and long term, that we intend to maintain. These wide body aircrafts increase the company's flexibility and will enable us to expand our market more efficiently than before. This will strengthen Icelandair Cargo´s customer service and extend our operations in the future."