DHL sticks it right in the back of ABX and Wilmington, OH

In a move that has shocked the aviation community, the German owned freight company DHL has decided to cancel its contract with ABX Air next year and give that business to UPS instead. The deal, seen as a cost-cutting effort by DHL, is expected to bring nearly $10 billion to UPS through a new cargo carrying contract. But it's not all good news.

The hardest hit by this deal is by far the community of Wilmington, OH, the former home of Airborne Express and current home of ABX Air and the Airborne Air Park, which is the largest employer in Clinton County. In 2003 when DHL purchased the sales and ground support network of Airborne Express, there was a great deal of concern in Wilmington. The air arm of Airborne Express subsequently spun off into it's own corporation, ABX Air. Fortunately for Wilmington at the time, DHL retained ABX Air's services through a contract to carry a majority of their air freight in the US with their fleet of 113 aircraft. This also meant the sorters and other employees at the Airborne Air Park could keep their jobs at the time. Next year, though, that contract will end and the tiny town of only 11,000 could face an economic disaster with some estimating 6,000 jobs lost.

What a blow to the gut. No offense to UPS on this, but this is a tough one to swallow.

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