UPS has retired its entire fleet of McDonnell Douglas MD-11 cargo planes, an announcement made just months after one of the aircraft crashed during take-off in Kentucky, resulting in 15 fatalities.
Chief Executive Carol Tomé confirmed the decision during a fourth-quarter earnings call, stating the company chose to "accelerate our plans and retire all MD-11 aircraft in our fleet."
The fatal incident on Nov. 4 in Louisville claimed the lives of the plane’s three-person crew and 12 individuals on the ground near Muhammad Ali International Airport. Investigations revealed the aircraft’s left engine detached from the wing, causing it to crash after ascending only approximately nine metres 30 feet).
Following the disaster, the Federal Aviation Administration (FAA) grounded all MD-11s. An agency statement released on Tuesday indicated the FAA is still reviewing "all the facts and circumstances" to determine if the aircraft type will be permitted to fly again.
The MD-11s constituted around 9% of UPS’s fleet, and their write-off resulted in an after-tax charge of $137 million for the company, Tomé noted.
To rebuild its capacity, UPS expects to receive 18 new Boeing 767s over the next 15 months. During the recent peak holiday season, the company had to import aircraft from international locations, boost ground transportation, and lease additional planes to manage demand.
Tomé expressed her gratitude, stating: "I am incredibly proud of our team at Worldport and how they responded to this accident. And I would like to thank the Louisville community as well as our business and industry partners for their outpouring of support."
The National Transportation Safety Board (NTSB) reported that investigators discovered cracks in components securing the engine to the wing of the crashed UPS plane. These critical flaws had not been detected during routine maintenance, with the last inspection of these specific engine mount parts occurring in 2021.
The crash had a devastating impact on Louisville, striking a nearby Kentucky Petroleum Recycling plant, causing minor explosions, and hitting Grade A Auto Parts, an auto salvage yard where many of the victims were either visiting or working.
