Vol. 9 No. 1                                                              WE COVER THE WORLD                                                          Monday January 4, 2010

Year's End
News & Noteworthy

Wataniya Airways Takes The Sky

     Wataniya Airways, Kuwait’s service carrier, commenced cargo operations on the 1st of November 2009 by offering the same service product to its cargo clients that is already available to its established passenger base.
     Wataniya Airways Cargo’s aim is to match and exceed the service levels of its regional competitors.
     Finlay McArthur, Network Cargo Manager, said that Wataniya “is a premium service airline operating A320 aircraft from Kuwait to eight major destinations in the Gulf and the Middle East.
     “In order to maximize the cargo opportunities on our A320 fleet, it is essential that we match the type of cargo carried to the service levels we offer.
     “With this in mind we have teamed up with Heavyweight Air Express as Network GSSA who have considerable experience in the kind of service and operations we have developed and now offer to the market.”
McArthur added:
     “As a carrier we have a unique advantage in operating from our own dedicated terminal within Kuwait International Airport.
     “This means we can enhance the service levels we offer in order to add value to our customers supply chain.
     “We intend to build on attracting key players in the Air Express and Perishable market sectors where we can offer tailor made exclusive services.
     “With an average of a 45 minute turn around at most of our network airports, we have developed new working practices and have managed to create a smooth and speedy operation on the ground that delivers the unique service that our clients have demanded”.
     “In a bit less than two month’s from the start of its cargo services Wataniya Airways has already uplifted over 180 tons, with only half the network open for cargo services.
     Neville Karai, Director of Heavyweight Air Express, said that he's “delighted to have partnered with Wataniya Airways to help them establish and market this new cutting edge cargo product across the Middle East.
     “Our first month performance surpassed all our expectations and we look to continue to build on this success into 2010.
     “Our aim is to build a competitive and sustainable business solution that will continue to take our industry forward.”

Restocking Liveries
Middle East Priority

     Between 2009 and 2028, carriers in the Middle East will require 1,418 new passenger aircraft valued at US$243 billion to satisfy above world average demand, according Airbus’s Global Market Forecast.
     Factors driving demand include: Emerging economies, evolving airline networks, low-cost-carrier expansion, expanding urbanization, more growing ‘mega-cities’, as well as ongoing traffic growth and the replacement of need to replace older aircraft with eco-efficient airliners.
     To ease aircraft congestion and to accommodate growth on existing routes, larger aircraft in all size categories will be required.
     Environmental concerns are also increasingly influencing airlines to consider the benefits of larger aircraft, particularly within aircraft families by minimizing training and maintenance costs.
     The region’s passenger aircraft requirement includes: 561 ‘single-aisle’ aircraft, such the A320 Family; 668 ‘twin-aisle’ aircraft, such as the A350 XWB and the world’s best selling long range A330/A340 Family; and 189 ‘very large’ aircraft such as the A380.
     By 2028, the region’s passenger fleet will almost treble to 1,681 from the 586 passenger aircraft recorded at the beginning of 2009. Of these 586 passenger aircraft, newer more eco-efficient models will replace 323 ageing aircraft, 221 will be recycled and 42 will remain in service.
     Air traffic in the Middle East is experiencing rapid growth. In Dubai and Abu Dhabi alone, traffic has increased by 234 percent in the last 10 years. The emergence of the Middle East into one of the world’s top international hubs and tourist destinations is boosting demand, as is its unique geographical position with some 85 percent of the world’s population concentrated within range of a long-haul flight. This includes India, China and the Asia region, which by itself will account for 31 percent of all demand for aircraft in the next 20 years.
     Airbus forecast anticipates long-term resilience of Revenue Passenger Kilometres (RPKs) despite cyclical effects. Airbus anticipates the region will average annual passenger growth rates of 6.4 percent over the next 10 years and 5.4 percent from 2019 to 2028. Looking further ahead, the 20 year growth rate averages 5.9 percent, well above the world average 4.7 percent.
     “The Middle East market encompasses all aircraft segments and is a barometer for the rest of the world. The recovery begins here. As it gains pace, Airbus is ready to meet demand with the world’s most eco-efficient and modern aircraft,” said John Leahy, (left) Airbus’ Chief Operating Officer Customers.
Aviation is key component of economic growth and benefits individuals in all corners of the world. Oxford Economics, a leading ‘think-tank’ predicts that in 20 year’s time, air transport will directly employ 8.5 million people worldwide and contribute US$1 trillion annually to world GDP. Direct and indirect benefits to tourism are even greater.


Middle East Biz
Grew In 2009

     The Middle East and North Africa is currently the only region which is experiencing growth in the airline industry this past year, according to recent remarks by the head of the International Air Transport Authority (IATA).
     According to the Director General and CEO of IATA, Giovanni Bisignani, the MENA region experienced a growth of eight percent in passenger demand during the first eight months of 2009.
     In a speech at the annual general meeting of Arab Air Carriers
Organization in Jeddah, the Kingdom of Saudi Arabia, Mr. Bisignani added that the demand was outstripped by a capacity increase of 13 percent.
     Given the positive signs in the MENA region’s airline industry, companies are increasingly looking to profit from the opportunities generated through market growth. Travel catering companies are set to descend on ITCA Dubai, the travel catering and in-flight service exhibition for the Middle East, Africa and Indian Subcontinent, to help build business networks in the region.
     “The Middle East and North Africa has been one of the top performing markets in a difficult year for the airline industry,” said Mark Napier, Exhibitions Director, Dubai World Trade Center.

"No New Year’s resolution for me—in fact I’m still working on a backlog from 2004.”

 

AIG Jordan Surges

     Airport International Group (AIG), the Jordanian company responsible for rehabilitation, expansion and operation of the Queen Alia International Airport (QAIA), released its 2009 third quarter traffic performance report.
     For the first time ever, QAIA handled over 500,000 passengers in both July and August, representing a 10% year-over-year increase. The month of September showed even stronger performance, up 20% from last year.
     Flight volumes have also shown remarkable growth, reaching 15% above 2008 with no less than 20 airline routes being added or increased in frequency, resulting in 62 additional weekly flights during the summer peak.
     Curtis Grad, (right) Chief Executive Officer of Airport International Group said  “Undoubtedly, 2009 has been one of the most turbulent and challenging years for the aviation industry, however QAIA has witnessed remarkable traffic growth despite these adverse economic conditions.”
     In addition, Mr. Grad commended the Civil Aviation Regulatory Commission of Jordan for the air service agreements recently signed with Spain, Kyrgyzstan, the Dominican Republic and Ethiopia during the ICAO air service conference held in Istanbul, which has paved the way for liberalizing air transport between Jordan and these countries.
     The USD$750 million rehabilitation and expansion works at QAIA are well underway, including construction of a new state-of-the-art 100,000 square meter passenger terminal. AIG, under the terms of a 25-year concession agreement with the Hashemite Kingdom of Jordan, is responsible for the operation of the airport, the rehabilitation of existing facilities and the construction of the new terminal.
     AIG is a Jordanian company with private shareholding by Invest AD (Abu Dhabi, UAE), Noor Financial Investment Company (Kuwait), Edgo Group (Jordan), Joannou & Paraskevaides (Overseas) Limited (Cyprus), J&P-Avax
(Greece) and Aéroports de Paris Management (France).

Bahrain Khalifa bin Salman Port Scores

     The General Organization of Sea Ports (GOP) has released the operational statistics for the first quarter of operations, showing steady improvement in the overall efficiencies and turn over times at KBSP for the period. Running at full capacity, KBSP is capable of handling a throughput of 1.1 million TEU per year, with a total of 10,800 ground slots for containers (stacks of five containers).
     “The new Port began operations earlier this year, on April 15th, when we welcomed the APL Dalian, the first container vessel to berth at KBSP,"commented Shaikh Daij bin Salman bin Daij Al Khalifa, Chairman of the GOP.
     “This marked the beginning of the transition period from the Mina Salman facility to the Khalifa Bin Salman Port. Over the course of that period, we saw a steady increase in operational efficiencies, allowing for greater throughput and turnover of cargo and vessels as the port was brought up to speed. This is also due to the fact that both facilities, Mina Salman and KBSP, were being run in parallel by APM Terminals to allow the smooth transition from the old to the new port,” said Shaikh Daij.
     The improvement is very apparent in terms of both berth and crane productivity. Looking specifically at the volume of goods imported, exported and re-exported from KBSP, general cargo throughput was 19.6% higher in June than in April, which represents a 17.3% increase over the same period in 2008.
     Additionally, gate-turn times—the global standard defined by the amount of time required for trucks to enter the port, load or discharge a container and leave the port again - saw impressive improvement compared to the same period in 2008. This surge was mainly due to the design of KBSP’s infrastructure, which included sophisticated services comparable to those in the most renowned international ports, in addition to the installation of top-of-the-line equipment such as the new customs scanner and sophisticated gantry cranes. The port operators, APM Terminals, also played a significant role in these improvements, bringing its global experience in the management of international ports to bear in KBSP, positively reflecting on the overall performance improvements.
     “We are extremely happy with these statistics, as they show a trend of continuous improvement for the first quarter of operations at KBSP. The new port is living up to our expectations and delivering on all fronts, and we look forward to celebrating this success in the near future,” concluded Shaikh Daij.
     The Khalifa bin Salman Port occupies an area of 110 hectares of reclaimed land and is located on the north-east of the Kingdom of Bahrain, only 13 kilometers away from Bahrain International Airport, and it is also linked to the road leading to the King Fahd Causeway.
     The port provides sea freight, shipping, and logistic services in accordance to the highest international specifications and standards in the industry.

Whole Lotta Dnata

Gary Chapman (right) and Robert Williams (left).

     Dnata, the international airport services provider, acquired two of the UK’s leading ground handling operations, Plane Handling Ltd., which is currently part of the Go-Ahead Group plc. It provides cargo and ramp handling services at London Heathrow Airport and cargo handling services at Manchester Airport.
     At the same time Dnata is also acquiring passenger and ramp handling operations at Terminal 3 & 4 at London Heathrow Airport from Aviance Ltd, which is also part of the Go-Ahead Group plc.
     These acquisitions, which are valued at £15m, mark Dnata's entry into the airport handling business in the UK and are consistent with its strategy of developing an international network of outstanding quality and service. The transaction will be completed on 30th January, 2010.
     With these acquisitions, Dnata will now be operating at 19 airports in eight countries, including Australia, China, Pakistan, the Philippines, Singapore, Switzerland as well as the UAE.
     Gary Chapman, President, Dnata, said: "We are very pleased to add Heathrow and Manchester to our growing international network. These businesses already provide an outstanding quality of service to their airline customers in the UK and will be a perfect fit with our businesses in Dubai, Singapore, Switzerland, Australia and at other points across the globe.
     "Dnata is committed to further developing the strengths of Plane Handling and ensuring that its airline customers continue to enjoy the highest possible levels of customer service.”
     Robert Williams, Managing Director of Plane Handling, who will assume News & Noteworthy responsibility for both business units, said: “Our management and employees enjoy the full confidence of our new shareholder and Dnata is eager to work with the current management team. We are extremely excited about the future for both our employees and our customers.”
     Plane Handling and Aviance’s Terminal 3 & 4 operations provide airline and cargo handling to over 20 airlines at Heathrow and Manchester with key customers including Virgin Atlantic Airways, Cathay Pacific, Singapore Airlines, Etihad Airways, Jet Airways, Qantas, Air New Zealand and Emirates. The combined businesses employ around 1,600 staff across the two airports and offer the full range of handling activities including passenger services, baggage, ramp, load control, communications and cargo.

Captain Cargo
Fashions For Freight Dogs

Captain Cargo grew up in Southern Africa, where, at the age of nineteen, he started flying by accident. After ten years spraying tsetse flies, locusts and other nasty insects, interspersed with spells flying tourists and Hemingway wannabes around the Okavango Delta and Kalahari Desert, he moved to the United Kingdom.
After obtaining a UK ATPL, he joined an airline that flies freight for a major parcel delivery company. He has been doing it ever since, and now flies a Boeing 757 freighter around Europe, mainly at night. Mail to: CaptainCargo@aircargonews.com

 

     I guess uniforms are essential, though I often think the standard uniform of white shirt, tie, black jacket and trousers is inappropriate for freight flying. Come winter, most of us ditch various parts of the uniform and all sorts of jackets, scarves, woolly hats etc. appear, with some of the more colorful characters looking more like motorway workers with the whole ensemble topped off with a high-vis vest.
     Still, when you look at the uniform UPS pilots have to wear, I suppose ours isn’t so bad. Except the hat. I mean, what a ridiculous piece of attire. It would be more at home on the head of one of the Village People than walking through an airport. I lost mine years ago. There are probably only ten pilots in the company that wear one.
     One company I worked for, a well-known Scottish airline, was quite strict about the uniform. Hats were obligatory, and I had to polish over the orange stitching on my Doctor Martin boots.
     Some of our pilots and engineers have come up with novel labor-saving combinations.
     Why iron a shirt when you can wear a jumper over it? Just turn down the heating in the flight deck. If the other crew members get cold, tell them to put on a jumper.
     By far the best, though, was one of our Captains who used to fly a Bandeirante. Realizing that all the passengers ever saw of him was his right hand, shoulder and arm, he only ironed the right hand side of his shirts.
     Now he’s flying freight, he doesn’t iron his shirts at all.
     As winter drags on, I’m expecting the company to publish something about dress code. It won’t get much response.
     It’s just too cold in Scandinavia to insist we wear the standard issue clothes.
     We can only heat the flight deck on the ground with the apu running.
     We stand around in the mornings waiting for taxis in the snow or rain.
     The passenger crews walk past us as they report for work in their immaculate uniforms and shiny shoes and look down their noses at us, their shoddy brethren flying ancient dirty machines while they press buttons and stare down the hostess’s cleavage as she serves them breakfast.
     Ah, little do they know. As they fly their six sectors a day on the same route all week, waiting for their slots, I’m asleep, waiting for darkness and the noise of three JT 8’s piercing the night, carrying me off to some city I never expected to visit this week.
     My dirty boots rest on the footrest in front of me, tie removed hours ago, as I wonder if we’ve lost radio contact or if it is just another quiet night.
     Sleep well, my immaculate friends.

Happy New Year and the best of the best during 2010 from our family to yours.

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