Overnight airfreighter Kitty Hawk Inc. hopes to find revenue growth on the ground.
Over the last two months, the company has been building a trucking network, and on Monday, it will open a hub for the operation at Dallas/Fort Worth International Airport.
The service broadens Kitty Hawk's offerings to include cheaper options for shippers who don't necessarily need their goods the next morning.
It also represents an important expansion for the company, whose core business of handling overnight, heavyweight airfreight is expected to see little growth because of changing shipping patterns and rising fuel costs.
Historically, dips in demand for premium overnight air service have followed spikes in fuel prices – only to bounce back soon afterward, said Kitty Hawk chief executive Robert W. Zoller Jr.
But over the last two years, those shifts to cheaper but slower truck service have extended beyond a few months.
Dallas Morning News
Over the last two months, the company has been building a trucking network, and on Monday, it will open a hub for the operation at Dallas/Fort Worth International Airport.
The service broadens Kitty Hawk's offerings to include cheaper options for shippers who don't necessarily need their goods the next morning.
It also represents an important expansion for the company, whose core business of handling overnight, heavyweight airfreight is expected to see little growth because of changing shipping patterns and rising fuel costs.
Historically, dips in demand for premium overnight air service have followed spikes in fuel prices – only to bounce back soon afterward, said Kitty Hawk chief executive Robert W. Zoller Jr.
But over the last two years, those shifts to cheaper but slower truck service have extended beyond a few months.
Dallas Morning News
