Sun Country Airlines (NASDAQ: SNCY) Extends Amazon Partnership to 2030, Expands Cargo Fleet

June 20, 2024 10:58 PM PDT | By Team Kalkine Media
 Sun Country Airlines (NASDAQ: SNCY) Extends Amazon Partnership to 2030, Expands Cargo Fleet
Image source: shutterstock

Sun Country Airlines (NASDAQ: SNCY) has announced the signing of an Amended and Restated Air Transport Services Agreement with Amazon, extending their partnership through 2030, with options to further extend the terms until 2037. This amended agreement will see Sun Country operating up to eight additional Boeing 737-800 cargo aircraft starting in early 2025.

Under the new terms, Sun Country’s cargo operations will expand from 12 to up to 20 freighters, with the first additional aircraft expected to begin service in the first quarter of 2025. All eight additional aircraft are anticipated to be operational by the third quarter of 2025.

Commitment to Growth

“Amazon is an extremely important customer to Sun Country, and our strong execution on current cargo services has positioned us well to grow our business. We look forward to continuing to provide services to Amazon into the 2030s,” stated Jude Bricker, Chief Executive Officer of Sun Country Airlines.

About Sun Country Airlines

Sun Country Airlines represents a new breed of hybrid low-cost air carriers, dedicated to connecting guests with their favorite people and places to create lifelong memories and transformative experiences. The airline dynamically deploys shared resources across its synergistic scheduled service, charter, and cargo businesses.

Based in Minnesota, Sun Country focuses on serving leisure and visiting friends and relatives (VFR) passengers, charter customers, and providing cargo service to Amazon. The airline operates flights throughout the United States and to destinations in Mexico, Central America, Canada, and the Caribbean.

Strategic Significance

The extended agreement with Amazon underscores Sun Country’s strategic focus on expanding its cargo operations, which have become a critical component of its business model. This partnership not only enhances Sun Country’s operational capabilities but also strengthens its financial stability by diversifying revenue streams.

The addition of eight Boeing 737-800 freighters will significantly bolster Sun Country’s ability to meet growing demand in the cargo sector. The first of these additional aircraft is expected to commence service in the first quarter of 2025, with all eight aircraft operational by the third quarter of the same year.

 


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