Expansion driven by increasing Next Day Air volume
UPS (NYSE:UPS) today announced the expansion of its express air network to Gary/Chicago International Airport. Service begins Nov. 2, in time for the peak holiday shipping season.
Gary will be served by a UPS Airlines Airbus A300. With a maximum payload of more than 120,000 lbs., the wide body cargo jet can carry more than 14,000 UPS Next Day Air® packages.
“The Gary/Chicago International Airport is well-positioned to add additional capacity and flexibility to the UPS network, helping businesses in Northern Indiana and the Chicago area compete at e-commerce’s fast pace as they serve their customers,” UPS Airlines President Brendan Canavan said. Nationwide, Next Day Air average daily volume grew 20.5% in the first quarter of 2020, the fourth consecutive quarter of double-digit increases.
Each weeknight, the UPS “browntail” will depart Gary late in the evening with a load of packages bound for UPS Worldport, the company’s global air hub in Louisville, KY. After sorting at Worldport, the aircraft will return early the following morning carrying thousands of express shipments scheduled for delivery later that same day.
“UPS expanding its services to GCIA provides the airport with a critical competitive advantage and solidifies its role as the Chicago region’s 3rd regional airport,” said GCIA Board Authority Chairman Timothy Fesko. “This is the latest private sector investment bolstering our operations capability and allows the airport to provide critical benefits to the Chicago metropolitan area.”
UPS anticipates employing about 60 people at the airport, including ground handlers, administrative positions, aircraft maintenance technicians and management employees. Some will be current UPS employees who transfer to Gary, while others will be new hires. Hiring will begin later this year, and positions will be posted on www.upsjobs.com.
An airport facility lease approved earlier today includes 14,000 square feet of office space in the airport’s passenger terminal and a 150,000-square-foot ramp area, with enough space to park two A300s.