Vol. 8 No. 79                                         WE COVER THE WORLD                                                            Monday July 27, 2009

Remembering Gerry Kash

   Gerry Kash died Saturday July 25 after a prolonged illness.
   He was present at the creation of modern air cargo and was a character that they do movies about—a tough guy with a heart of gold.
   We were walking around the big KLM Cargo facility at Schiphol, with the great Jan Meurer and a gaggle of press when KLM opened a new section about twenty years ago.
   Inside an operations office with a view of the hardstand our eyes fastened upon a weary dark green B707 320C featuring a yellow tail with wings and the letters TMA outlined inside a circle.
   The airplane represented Lebanon and the aircraft was from Trans Mediterranean Airways, the legendary all-cargo TMA.
   Some reporters and others who noticed the TMA aircraft made fun of the old drooping bird, as sleeker aircraft and B747 combis rolled by.
   Jan and I just looked at it with wonder and awe and respect.
   Later over drinks we both decided that TMA was the airline that would not die.
   People, we concluded, should be so lucky.
   When I broke into the business and started The Cargo Paper at JFK in 1971 (and later Air Cargo News in 1975) Gerry Kash was TMA Director North America.
Gerry was a tough New York character who was blunt and direct and in USA built TMA into a serious air cargo factor against big odds.
   He also played hard.
   Among other things Gerry and another Jerry (Clancy) and Samir Haddad (come to think about it) used to host an old fashioned two-fisted all day into the wee small hours smoking and drinking party and slugfest every St. Patrick’s Day.
   Matching up TMA with the wearing of the green was a natural and the Irish whiskey/coffee & beer & corned beef was endless.
   “We were all young and going to live forever and glad to be together in an exciting industry that was just taking off,” Gerry later told me.
   “We celebrated in our offices because part of the action was somehow putting together another freighter flight,” Gerry laughed.
   “Gerry was a pioneer in a very young industry and a good friend to many,” his friend Jim Larsen, former Seaboard and later Port Authority Cargo Marketing chief told Air Cargo News FlyingTypers.
   “Cargo was the thing and Gerry who began with Pan Am Clipper Cargo was at the top of his game at TMA in 1967 when I first met him,” Jim recalled.
   “In later years he co-founded MM, a freight forwarding company.
   “Gerry also gave back his time and expertise to the community working tirelessly in helping the JFK Air Cargo Association and the Annual JFK Air Cargo Expo get off the ground, serving as secretary/treasurer for many years.
   “Gerry was in and out of hospitals recently and finally gave out.
   “But across four years he put up a hell of a fight,” Jim added.
   “Gerry Kash was a good guy who loved air cargo and shared what he knew with others and always worked for the betterment of the community of air cargo professionals,” said Bill Boesch.
   “Gerry’s passing draws the circle of true pioneers in our business even closer.”
   “Gerry was a JFK original,” his friend Peter Appleton of Airline Cargo Services, Inc. recalled.
   “I first met him back in 1970 when I arrived as one of the first wave of UK "Foreign Legion" to open Pandair's USA operation.
   “JFK was this "hostile territory" to be conquered.
   “Gerry, in spite of his brusque exterior and who would never suffer fools, guided me and made it an exciting place to do business.
   “I will miss him.”
   Downstairs at our home in the basement here in Queens, New York on a shelf under the bar near the 69th Regiment Armory plaque, there is one of those TMA white Irish coffee mugs that they used to hand out full of the goods every March 17.
   The mug, like the old airplane on the hardstand and Gerry Kash, has been part of our life for almost 40 years now.
   For the record, TMA of Lebanon in business since 1953 as the first Arab all-cargo airline and first airline from anywhere to fly cargo around the world is still in business with a website that says it still operates a variant of the B707-320C, an aircraft type that was first delivered to the carrier in 1967.
   Somewhere, freed of his broken body, Gerry has one eye on the charts, while a fleet of angels is swapping the old stories awaiting push back.
Geoffrey

Come say goodbye to Gerry Kash today Monday July 27 from 2:00-4:00 p.m. and from 7:00-9:00 p.m. at Moore Funeral Home, 54 West Jamaica Ave, Valley Stream, NY (near JFK). 1-516-825-0036.

Pradeep Cool Hand

As 2009 Heats Up

     Pradeep Kumar is Senior Vice President – Cargo Revenue Optimization at Emirates, Sky Cargo responsible for Capacity and Network Control Center, Revenue Management, Pricing and Yield Management, Revenue Planning and Systems Development, Global Accounts and Customer Relations.
     He is also an individual that has been part of the SkyCargo miracle almost since its beginnings.
     When he was appointed to this position in July 2007, it is probable that he could not have imagined the
importance, ever-critical nature of his job in 2009.
     But as the Q&A points up despite the continuing downward pressure all around this year, Pradeep has a cool, hands on approach when it comes to keeping his eyes on the prize.
     When we saw him in Dubai moving from meeting to meeting a few months ago the thought occurred that in his job function little had changed.
     Revenue optimization that was once thought to be quite important, has become only more so, as margins slim.
     Still, Pradeep soldiers on which seems to be the name of the game for many in air cargo these days.


ACNFT:    What are you doing differently this year in face of the business meltdown challenges?
PK:    Cost containment initiatives at various levels are in place in order to offset the impact on decline in revenue and yield erosion.
     In addition, we are leveraging information technology to handle many operational and customer centric tasks bringing in process and cost efficiencies.
ACNFT:   What (if any) are the positives of operating under such financial pressure. Also will this time in history change the way business is done in the future?
PK:    The ongoing crisis will lead every one firmly into the 21st century. It has taught us to stop trying to manage the requirements of the 21st century with 20th century solutions.
     Technology will lead to attain efficiency in air cargo.
ACNFT:    What has surprised you this year?
PK:    To date we have dealt with the challenges during the Gulf War, currency crisis in Asia etc.
     But what we are going through is different, and honestly we never imagined air cargo shrinking up to 30% during first quarter of this year.
     The impact is far more drastic than the worst case scenario we ever had planned for.
ACNFT:    What impact do you feel from new Cargo Mega Terminal in Dubai and what lies ahead for that facility?
PK:    The impact is manifold.
          (a)  Previously, cargo was processed at different locations in different working environments, which resulted in duplication of various labor-intense processes, communication gaps, cost inefficiencies, etc.
          In addition, with the heavy 6th Freedom traffic connections, ability to connect and distribute cargo from Dubai in line with the commitment to customers was a challenge and undermined our efforts to a great extent in delivering a premium and quality service.
          Furthermore, the situation had a major impact on yield and revenue optimization due to our inability to optimize revenue per position.
          We can have the best systems – and intentions – in the world to deliver the best but it all depends on the efficiency where the rubber meets the tarmac.
          (b)  With the move to our Cargo Mega Terminal, processing of cargo takes place under the same roof and, with state-of-the-art technology, we have achieved both process and cost efficiencies.
          (c)   We were able to achieve optimal utilization of the available capacity, which gave us an immediate increase of 35% additional revenue earning capability.
          (d)   We are now offering 'deliver as promised' commitments and are handling temperature-sensitive perishable cargo with cool chain options, shock sensitive vulnerable cargo with special areas for stowage along with all other cargo which require special handling and storage.
ACNFT:    What is the most important thing to Pradeep right now?
PK:    To achieve our revenue objectives for the current financial year.
ACNFT:    Can you elaborate of near- and longer-term prospects?
PK:    Emirates is not immune to the turbulence in world economy. Global air freight is often seen as a barometer of world trade. Traffic is likely to slow for the rest of the year before the market stabilizes.
      Lower fuel prices, stronger U.S. Dollar, unprecedented government efforts to battle the global economic crisis as well as the decreased freight capacity by airlines in recent months will help to boost the air cargo industry next year.
ACNFT:    How is current world situation impacting?
PK:    Even though there is doom and gloom in the world economy which impacts air freight, there are opportunities and leveraging our strength in people, technology and strong network with wide-body capacity serving most of the secondary markets with one stop and the team is out to make the best of them.
ACNFT:    Areas of growth (new markets)?
PK:    Middle East, Africa and South America.
ACNFT:    What lies ahead for SkyCargo?
PK:    Emirates has not slowed down and is going ahead with the acquisition of aircraft in line with the medium- and long-term plans. The introduction of these wide-body aircraft into new markets allows us to further strengthen our market position and deliver customers value for their money.
Geoffrey

     Air Cargo News FlyingTypers leads the way again as the world’s first air cargo publication to connect the industry to the broadly expanding and interactive base for social commentary—Twitter.
     Here are updates from Twitter so far this week. To be added to this 24/7/365 service at no-charge contact: acntwitter@aircargonews.com

July 24:   EU ban lifts & Garuda Indonesian’s Quantum Leap could change airline by 2014. Garuda plans 62 cities from 41 & from 62 to 116 aircraft.

July 24:   2For2 Innovative and smart Swiss World Cargo added ZRH/OSL last month & 2 dailies with 2 tons uplift per flight.www.swissworldcargo.com.

July 24:   Happy Birthday to Ralf Auslaender, top executive at DUS based Leisure Cargo. Leisure handles entire cargo business for 18 tourist carriers.

July 24:   The NYSE Arca Airline Index up 4.5% to 20.36 points as 10 of 13 components advanced. First time above 20 points at close since February.

July 24:   USA airlines stocks Friday continued solid gains as clouds lifting on revenues later this year. Arca Airlines benchmark Index zooming.

July 24:   After a half century plus routine flights between China and Taiwan will be a reality. For anybody older than 50, who would have thunk it?

July 24:   Emirates Airline goes Dubai-Rome twice-daily (from 11 weekly) starting March 28, 2010. A380 gets one daily, A330-200 handles other.