The efforts to make more use of Atlantic City International Airport and strengthen the county economy have had a significant success. A charter airline startup headquartered in Miami will make ACY its base in the Northeast market.
Global Crossing Airlines will seek contracts for flights from Montreal, Toronto and U.S. cities to the airport. Its ACY base would also provide support for services elsewhere.
The corporation plans to develop a group of charter airlines internationally. Its U.S. airline will do business as Global X, and future operations are planned in Canada and Ecuador.
In a presentation to investors last week, Chairman, CEO and founder Ed Wegel said Global Crossing within six months intends to lease 10 Airbus passenger airliners and five to 10 planes for cargo to handle its needs through 2022. All will be A320 models. The company also will lease an A321 to be flown on routes to Cuba from Canada and Florida.
Wegel said that due to the idling of regularly scheduled airliners during the pandemic, aircraft leasing rates are half what they were six months ago, and Global Crossing needs 40% less cash than it projected just three months ago.
He said two airplanes will be placed in Atlantic City to start, and the company is discussing a land lease to develop a hangar at the airport capable of holding one A320.
Wegel said the ACY use agreement signed with the South Jersey Transportation Authority gives the company “a huge stake in that market.” He added, “We have started development of the Atlantic City focus,” meeting with all of its major casinos. Service supporting the city’s casino industry is expected to begin by next summer.
In addition to casinos, Global Crossing seeks contracts with hotels, cruise lines and major tour operators — including for Cuba.
Wegel said the company is under budget and on track with securing the various certifications needed from the Federal Aviation Administration and the federal Department of Transportation.
Stock in the startup is available in the over-the-counter market, and the company intends to trade eventually on the NASDAQ exchange. Wegel told investors that he and other insiders have bought significant stock in the company. “Management is committed and has some skin in the game,” he said.
We hope Global Crossing takes off and provides a valuable service to New Jersey’s casino industry. The SJTA, its airport division and the Atlantic County Economic Development Alliance have brought a strong possibility of solid improvement to the local economy. It’s not the ever-elusive game changer that some mistakenly think is how economies develop. It’s some of the steady, incremental growth that actually matters in the long run.