State of the Art Air Cargo companies (UPS and Federal Express) are posting negative earnings citing high fuel prices. Why then is regional Air Cargo a growth market and how is Alpine Air Express doing well?

Profit margins at Alpine Air Express are greater than UPS and Federal Express combined. – How?

Alpine management has figured out how to stay ahead of escalating fuel prices. – How?

The Company: added additional routes during times when aircraft were previously idle.

• The profits from these routes offset corporate wide fuel expense
• diversified its client base with many new routes from UPS, which include all the fuel needed to fly the routes.
• considered escalating fuel costs when it negotiated all remaining contracts with the U.S. Postal Service.
• custom built a special maintenance program with the FAA enabling reduced operating expenses

The Result: Higher Profits for now and the future