FedEx Express, the world’s largest express delivery company, is to end its contract with troubled Okay Airways, opting instead for Yangtze River Express, a cargo airline controlled by HNA Group, to maintain its domestic express air network. The move is yet another setback for the Tianjin-based airline, which is desperately seeking to restart its passenger service before the Lunar New Year after a lack of cash and disputes between its investors forced its service suspension. The suspension of Okay Air’s passenger flights in mid-December interrupted its cargo service, forcing FedEx to end the 21-month collaboration which had originally been set as a five-year deal under which Fedex would lease three Boeing 737 freighters from Okay Air. FedEx has reportedly been paying about US$1.9 million a month to Okay Air.
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