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#INTHEAIREVERYWHERE |
Vol. 22 No. 4 | Monday
January 30,
2023 |
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Remember the Price-Fixing Air Cargo Surcharges scandal that rocked the global air cargo industry in late 2010 when 11 carriers were charged and found guilty? Lufthansa and Swiss apparently threw everybody else under the bus and got a special deal, while eleven other carriers were fined with sizably large penalties. On again, off again, the case went on for the past dozen years, if mostly unreported. Well, while you were putting your kids through Grade School, High School and most of College, if you have been (happily, we hope so…) married for that long, the airlines have continued fighting the price-fixing fines, with purpose. We all know airlines are not accustomed to giving up at the first difference and this seems to be one of those circumstances. Let me also add that, even if they were actually doing the price-fixing stuff, they would have been in good company in other sectors . . . Now apparently, finally Air France /KLM beat the rap on December 20, 2022, and were issued an annulment by The Swiss Federal Administrative Court for their €3.9 million fine according to Linklaters, click here. So, what about the others? One by one, the cases have been annulled but don’t hold your breath just as yet—this has happened before: in 2015 several cases were reversed, but were reinstituted again in 2017 on March 17, Saint Patrick’s Day. One wonders whether the destiny of the saint, which implied a number of journeys to and from Ireland in different functions, including those of slave, pastor and revered Christian personality, had anything to do with the meandering path of these legal measures taken precisely on that day. Worth recalling in all of this was the action of Qantas as the only carrier that did not challenge the decision. Recall amongst the people sentenced, who served jail terms, was the late Bruce McCaffrey. Bruce McCaffrey died on February 25, 2014 at age 71 in Bradenton, Florida, from complications of renal failure. Bruce had worked at Qantas Freight for 26 years and was among the first people to be caught up and convicted in the air cargo price fix scandal. Last time I saw him he was awaiting the start of a six-month sentence, but since he had recently had a kidney transplant, the feds were giving him time to recover. That was in 2008, and Bruce met his date with a prison sentence before his date with the grim reaper. Bruce McCaffrey attended Harvard Business School and the UCLA Executive Program in Business, and, like many of us who love America, served during the Vietnam War, Bruce was a U.S. Army helicopter pilot and infantry officer. After the war he joined National Airlines, then Pan American, and then Qantas Freight USA, where he served for 26 years as Vice President of Freight for North and South America. I knew Bruce when he was out in Valley Stream (a community near JFK International) after he had succeeded Gil Philaba—and later George Stark—as boss of Qantas Freight USA. He was always by the book and although a bit distant, he radiated interest in airline history; like me as mentioned, he was a veteran of Vietnam, so we always found some talking points aside from business. I continued to consider him one of my close contacts when Qantas threw him under the bus. The story of my final meeting with Bruce has been close to my heart since it occurred one night close to Christmas 2008, inside the Oyster Bar at Grand Central Station in Manhattan. Bruce looked like hell at 160 pounds, his body evidence to two potentially devastating life events. One was recovery from a kidney transplant, and the second was jail time, as he was amongst the first of the airline executives caught up in the price-fixing scandal.
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Gabriela Hiitola is new Senior Vice President, Finnair Cargo, takes over for Fredrik Wildtgrube who is off to other adventures at AY starting February 1. Gabriela has worked for Finnair for nearly 25 years. The lady is back to where she once belonged, something Gabriela can blow a horn about as she began in cargo as her first job at the national airline of Finland. “I see great potential in the development of the industry and look forward to exploring new opportunities with our team, partners and customers", Gabriela Hiitola smiled, recalling that she has never lost touch with cargo during her career as a pioneer "woman in cargo". Nice to think of some good people in Northern Europe air cargo. Recall Kari Tikkanen came over to New York, and from then on Finnair Cargo to HEL and and everywhere else was the only way to fly. Good luck Gabriela! |
Natilus San Diego has plans (and orders ) to build the world’s first autonomous aircraft for air cargo landed an Ameriflight, LLC Aircraft Purchase Agreement for 20 Natilus Kona feeder aircraft valued at USD$134M bringing total commitments to USD$6.8 billion for delivery of 460+ aircraft. Ameriflight is USA’s largest Part 135 cargo airline, serving 200 destinations with more than 1,500 weekly departures throughout the United States, Canada, Mexico, the Caribbean and South America, with UPS being its largest customer. Founded in 2016, Natilus is designing and manufacturing a new fleet of blended wing body (BWB) autonomous freight aircraft, which will use standard air cargo containers and existing ground infrastructure to provide an innovative turnkey solution for customers. The company says it will produce a series of cargo aircraft including Kona, a 3.8-ton payload short-haul feeder UAV, the Alisio, a 60-ton payload medium/long range UAV and Nordes, a 100-ton payload long-range UAV. Ram Menen, the man who led Emirates SkyCargo from start to greatness,a founding father of modern air cargo is onboard Natilus as an advisor and member of the company’s founding team. “No doubt air cargo industry will be a growth industry for the foreseeable future, led by demand for e-commerce and the need for supply chain cost optimization, even with changes in procurement and production pattern. “The industry is also challenged to reduce its dependency on China, by in-shoring/offshoring, air cargo. E-commerce will continue to grow in double digits while traditional cargo is likely to grow in lower single digit for the next 8-10 years.” “This is where, Natilus with its lower operating cost per freight ton kilometer, will have a great advantage and add value to the cargo operators. “New operational efficiencies will bring fresh cost benefits on the ground. “Since Natilus will have large cargo doors and is a blended wing body design (BWB), it will be ideal for long and large/heavy cargo and will be a good replacement for B747F. “Pilot shortages are likely to continue well into the next decade and we need to remain prepared to limit disruptions. “Unmanned operations will lower the risk of future unknown challenges as unmanned operators or remote pilots will not need to deal with crew time limitations and can operate longer haul flights to get higher asset utilization than traditional airplanes, while lowering costs. “Road feeder service (RFS) trucks are currently the best regional freighters for cargo operators. “The Kona freighter, as example, will be in direct competition with trucks for the 500-700 km range," Ram Menen said. |
If there was ever a time when trains come to mind it is Christmas, when at our house the big trains from Germany roll around the tree all day for about a month. Last year as the result of an invasion of raccoons up in our attic, all the decorations including the Holiday Train Track and many other items carefully stored away went missing. By the time we solved the missing caper, and had packed the critters off to another location, we had also made a fabulous discovery. The Bronx Botanical Garden Holiday Train Show is tops to spend a December afternoon in a place full of families, the wonder of model trains set off against 190 reproductions of famous New York City landmarks made out of living botanicals that is just wonderful. Air Cargo people, put on your bucket list next time you are in New York City at Christmas (2023?), a visit to the fabulous Bronx Botanical Garden, where a company named Applied Imagination presented inspiring botanical models and sculptures, paired with universally beloved G scale model trains that transported thousands through an immersive celebration of the natural world. This year included trains over, under, around and through a lively exciting place filled with botanical creations of all the New York City bridges and the aforementioned 190 New York City Landmarks. Also featured was the Eero Saarinen-designed landmark TWA JFK Terminal, now a hotel at the airport, created at Applied’s workshop alongside a Statue of Liberty and a stunning New York City tenement block (pictured) and the Central Park fountains. More info.: https://www.nybg.org/ |
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Vol. 22 No.1 Putting 2022 In Rearview Mirror |
Vol. 22 No. 2 China Hops To It 2022 In Rearview Part II Chuckles for January 11, 2023 |
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Publisher-Geoffrey Arend
• Managing Editor-Flossie Arend • Editor Emeritus-Richard
Malkin Film Editor-Ralph Arend • Special Assignments-Sabiha Arend, Emily Arend |
Send comments and news to geoffrey@aircargonews.com 100% Green |