Caribbean Airlines Sells Two ATR 72-600s: Is Fleet Cut Signaling Deeper Issues?

Caribbean Airlines (CAL) is moving to reduce its fleet. The state-owned carrier will sell two of its owned ATR 72-600 turboprop aircraft this year. This decision is part of a broader effort to cut costs and improve financial health.

However, CAL Chairman Reyna Kowlessar stated the aircraft sale has "absolutely no correlation to job cuts." The airline is committed to a collaborative process with its staff, she added.

Fleet Strategy and Financial Pressure

The two aircraft up for sale are 14-year-old ATR 72-600s, registered as 9Y-TTB and 9Y-TTC. A disposal notice was posted on the airline’s website on January 8. The planes are being offered on an 'as is, where is' basis.

9Y-TTC is scheduled for disposal on March 1, 2026, while 9Y-TTB is set for October 1, 2026. Interested parties had until February 6, 2026, to submit a bid for the 9Y-TTB 9Y-TTC disposal.

These Regional turboprop aircraft were part of a controversial 2011 deal. CAL initially ordered nine ATRs to replace its older Dash 8 fleet. The airline eventually took five, paying US$18.9 million each. The choice to purchase the aircraft instead of leasing them, a common industry practice, depleted the airline's cash reserves at the time.

As of 2026, CAL operates a fleet of ten ATRs. Five of these are owned, and five are leased. The sale will reduce the number of owned ATRs to three.

The High Cost of High Utilization

The decision to sell highlights the high operational costs associated with the fleet. While ATRs are known for fuel efficiency, CAL's aircraft require significant maintenance. This is due to their Turboprop high utilization rates, which are among the highest in the world.

This high utilization is directly linked to the airline’s Airbridge operation—the frequent inter-island service. Maintenance costs for the ATRs are estimated to range between US$600 and US$800 per flight hour.

Network Optimization and Contraction

The Caribbean Airlines ATR 72-600 sale follows recent route adjustments. CAL has been implementing its ongoing CAL network optimization program. This included the discontinuation of services to Tortola and San Juan, Puerto Rico, effective January 10, 2026.

The airline also restructured its Barbados hub starting in February 2026. Aircraft and crew based there were moved to operate out of Trinidad.

These Fleet contraction and route cuts appear to signal a shift in the airline’s focus. An unnamed aviation expert noted that the moves suggest a pivot from growth to survival. This contrasts with the airline’s 2023–2027 strategic plan, which called for expansion. Selling assets to downsize the fleet can indicate deeper cash flow issues in the high-cash, low-margin aviation industry, according to the expert.

Job Security and Union Response

Despite the CAL fleet reduction and route cuts, CAL Chairman Reyna Kowlessar maintains there will be Caribbean Airlines job cuts denial. She emphasized that staff have been included in the decision-making process through departmental consultations.

However, the Aviation, Communication and Allied Workers Union (ACAWU) expressed concerns. While supporting efforts to increase efficiency, the union’s President General, Nwannia Sorzano, stated some cost-cutting measures are "contrary to good industrial relations." Sorzano noted the union's difficulty in securing meetings with the board and government leaders, leaving workers vulnerable.

Finance Minister Davendranath Tancoo commented on the airline’s restructuring. He said the current administration is taking "hard but sensible decisions" to rebuild the national carrier. Tancoo also pointed to billions in debt and substantial deficiencies allowed to fester under the previous administration. He expects employment to be tied to output and expertise, not political patronage.

This Aviation restructuring strategy is a critical step for the airline’s long-term financial stability. The Caribbean Airlines cost reduction efforts aim to streamline operations and manage resources responsibly.

For more information on the aircraft type, visit ATR. The airline's official updates are available on the Caribbean Airlines website.

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