In 1957, the squadron changed from a fighter-bomber role to become 402 "City of Winnipeg" (Transport) Squadron, initially equipped with eight Beech CT-128 (C-45) Expeditors. In April 1960, the Squadron was equipped with two de Havilland Canada CSR-123 (DHC-3 Otter) aircraft. The Otter proved to be a highly versatile aircraft and greatly increased the scope of squadron operations. On 1 April 1961, 402 Squadron was transferred to Air Transport Command. This change brought the additional responsibility of the provision of regular service flights from Winnipeg, west to Saskatoon, Saskatchewan, as well as to many northern points. By 1964, two additional Otters had been added to the Squadron inventory.