Russian freight specialist Volga-Dnepr Group is undertaking a restructuring effort, including a change of leadership at its AirBridgeCargo operation.
Volga-Dnepr says the measures have been spurred by overcapacity in the global freight market and a decline in demand.
These circumstances "did not allow the companies within the group to maintain profitability" over the first half of this year, it admits.
Freight traffic of its three divisions – outsize cargo firm Volga-Dnepr, plus AirBridgeCargo and Atran – fell by 6% during the six-month period. It says this is 20% below budget forecasts.
Volga-Dnepr Group says its board is intending to restructure the company to cut costs as well as improve services and quality.
AirBridgeCargo will have a new general director, Nikolai Glushnev, who will take over from Sergei Lazarev.
Volga-Dnepr says his "key task" will be to "restore the confidence" of the carrier's customers.
"[We are] confident that the decisions taken to change the management team and increase operational efficiency will return [the company] to growth this year," it adds.
AirBridgeCargo operates a fleet of Boeing 747 freighters, complementing the Volga-Dnepr arm's Antonov An-124s and Ilyushin Il-76s, and Atran's Boeing 737s.