Despite the poor financial performance, 1962 turned out to be the busiest year in Silver City's 16-year history. During that year, the airline and its French partner CAT carried 96,272 vehicles and 238,748 passengers on 43,064 flights, representing increases of 10%, 6% and 12% compared with 1961. In addition, over 43,000 tonnes of cargo were carried. However, these record-breaking traffic statistics did not alter the fact that the airline's air ferry operation was no longer economically viable. With the advent of new, high-capacity roll-on/roll-off ferries competition intensified. Established aircraft manufacturers were not interested in producing reasonably priced replacements for the ageing Bristol Freighters/Superfreighters that were suffering from wing fatigue. The airline's long-standing policy of stimulating the market by continuously reducing fares had resulted in uneconomic yields in the absence of a corresponding reduction in costs. The Hermes fleet had continued in operation serving several UK airports, mainly on inclusive tour flights, with the last example being retired from service in late 1962.