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   Vol. 14  No. 62
Tuesday August 4, 2015

Delta Cargo In The Race Ad

Delta Bans Trophy Hunter Cargo     A lion’s head and skin from an East African safari expedition sits on display in the club's trophy room in New York. It was donated to The Explorers Club sometime between 1908 and 1910 by former U.S. president, big game hunter, conservationist, and adventurer Theodore Roosevelt.
     An international outcry has erupted since an American dentist killed a well-known lion named Cecil in Zimbabwe last month.
     Delta Air Lines said it has banned carrying trophy animals effective immediately.

     Well, it seems enough oblivious big-game hunters have posed ridiculously with the innocent animals they have killed to anger the entirety of the world. We’re finally full-up on murderous idiots.
     On July 1, 2015, a 13-year-old lion named Cecil—one of the main attractions at Hwange National Park in Matabeleland North, Zimbabwe, and an integral subject of Oxford University’s Wildlife Conservation Research Unit—was surreptitiously led off park grounds and then unceremoniously killed—his body skinned and his head removed—by an American dentist and recreational hunter named Walter Palmer.
     The backlash was swift and merciless. Walter Palmer’s dental office was shuttered, his clients were instructed to find another dentist, and his office’s Yelp page became a battleground of angry reviewers.      Dr. Palmer quickly went underground. Conservationists, animal lovers, activists, celebrities—it seemed everyone in the world sided (rightly so) with Cecil.
     And now you can add Delta Air Lines to the list.
     Earlier today, in response to a SumOfUs.org petition that received more than 250,000 signatures,      Delta announced a worldwide ban on the shipment of “all lion, leopard, elephant, rhino, and water buffalo trophies as freight.” Delta also received an open letter demanding change signed by over 4,000 Delta SkyMiles Frequent Fliers.
     Delta said, “Prior to this ban, [our] strict acceptance policy called for absolute compliance with all government regulations regarding protected species. Delta will also review acceptance policies of other hunting trophies with appropriate government agencies and other organizations supporting legal shipments.”
     SumOfUs.org’s Campaigns Director Paul Ferris issued the following statement: "Airlines and other large travel corporations would be foolish to ignore the public reaction to the killing of Cecil the lion, and growing concern about the plight of endangered species. We are glad to see Delta Air Lines using its unique position to help end trophy hunting and protect critically endangered species.”
     “Now other airlines need to do the same, and stop putting endangered species at risk around the world. It's clear their customers won't continue to tolerate companies that profit off the trafficking of these threatened animals."
     The sum of us, indeed.
Flossie Arend

For our earlier story on Trophy Transport Bans Click here.

 
Drewry Index Rates Drop In June
The steady decline of the air freight market as 2015 has progressed stood out as forwarders released their latest financials and first half volume figures were released by air freight associations and their members over the last week.
     After IATA concluded that carriers in most regions except the Middle East had seen “weak growth or even contractions” in May and concluded that the expansion of volumes in 2014 had “ground to a halt, and load factors are falling”, Drewry’s monthly Sea & Air Shipper Insight confirmed the trend and revealed a further drop in rates in June.
     The analyst’s, East-West Air Freight Price Index, a weighted average of all-in air freight "buy rates" paid by forwarders to airlines for standard deferred airport-to-airport air freight services on 21 major East-West routes for cargoes above 1,000 kg, declined by another 1.1 points in June to a reading of 88.7. This took it down to its lowest level since it was first launched in May 2012 as, in US dollar terms, it fell below the $2.90 per kg threshold for the first time.
Peter Ulber     Forwarders, with low rates reducing their margins, have also been put under pressure by the weak air freight market. Panalpina CEO Peter Ulber, (right) said in the first six months of the year, the forwarding giant’s ocean volumes grew in line with the market but its air freight performance had been affected by strong headwinds from the under-performing energy sector and lower automotive tonnage.      Panalpina’s air freight volumes were down 2% in the first half compared to a year earlier.
     “Overall, global transport demand softened considerably in the second quarter of the year,” added Ulber.
     In Asia, where volumes have held up reasonably well so far this year, the picture has been more mixed. The key gateways of Shanghai and Hong Kong ] performed relatively well in the first half of the year. Shanghai Pudong Int’l Airport Cargo Terminal Co., Ltd. (PACTL) saw tonnage growth of 10.89 percent year-on-year in the first six months of 2015, while Hong Kong saw a moderate 0.6% gain over the same period.
     But even at the world’s largest cargo airport, growth has been turning negative. In June, Hong Kong saw a 3.5% year-on-year decrease in volumes which was attributed to lower transhipments and underperformance on routes to and from Europe, South East Asia and China. Singapore’s Changi also reported a 2.2% year-on-year decline in volumes in June, although volumes were up 0.2% over the first half of the year.
     These trends were reflected in the performance of carriers. The Association of Asia Pacific Airlines reported softening markets in June as member carriers saw a 0.5% drop in demand compared to a year earlier. With offered freight capacity increasing by 2.5% for the month, the average international freight load factor fell by 1.9 percentage points to 64.1%.
     The forward outlook remains unpromising also. “Panalpina expects the slow growth of the air and ocean freight markets to continue throughout 2015,” said the forwarder.
Andrew Herdman     Andrew Herdman, AAPA Director General, said that after recording growth of 4.8% in the first half of the year, Asian carriers had seen growth moderate in recent months after the earlier boost in demand due to the US West Coast ports strikes wore off when the dispute was resolved and congestion eased. “The outlook for air cargo markets is uncertain, with signs of a slowdown in global trade,” he added.
     Cathay Pacific, which saw a marginal increase in demand in June, also said the outlook for freight was poor. “Growth in the cargo markets has been softening as the year has progressed and we saw a continuation of this trend in June,” said Mark Sutch, (right) General Manager Cargo Sales & Marketing.
     “[June’s] tonnage growth was almost flat year on year and fell well short of the increase in capacity in percentage terms. Traffic out of the home market was generally steady but demand out of Mainland China was more sporadic, and was again affected by strong competition. Leveraging our strong network in Southeast Asia helped maintain traffic flows on our transpacific services and we did not trim capacity on these lanes.
     “Conversely, demand from Asia to Europe remained weak and we pared back freighter services on these routes, relying instead on our extensive passenger aircraft belly lift.”
     Drewry confirmed there was little in market fundamentals to suggest that the air cargo market would rebound any time soon. “Whereas the eastbound Transpacific has taken the brunt of pricing falls in recent months, June’s decline affected all the main East-West trades in broadly equal measure,” said Drewry. “Weak cargo growth coupled with rising capacity has further weakened the market, the latter fuelled by booming passenger demand which added more unwanted bellyhold space.
     “Drewry expects air freight pricing to remain weak over the next few months as carriers release additional passenger capacity.”
SkyKing



Youngmobile From Oldsmobile

     We Like Mike!
     And not just because he was an Oldsmobile salesman before joining United Airlines Cargo 28 years ago.
     My memories forever linger on my Grandfather Stowell, a pioneer auto salesman, as he worked out in the barn behind our home in Sylvania, Ohio, fixing up his 1928 Oldsmobile, which was built 50 miles north up in Detroit. In the shadowy light of the barn, it was my Grandmother Flossie who held the lantern as he worked on the darkened engine.
     So to learn in 2015 that Mike Oslansky was connected to a now long-gone American icon, which branded one automobile model “Rocket 88,” before moving to a career in air cargo, certainly tickles our nostalgia.
     Maybe even better is the knowledge that Mike has moved easily into becoming the consummate air cargo professional, one galaxy at time.
     Also, despite a track record at UA Cargo that includes what amounts to earning a doctorate in the step-by-step, on-the-job education in the art of shipping by air, today Mike radiates the attitude and zeal of a “young mobile.”
     Mike moved from serving as an account executive at United Cargo from April 1987 to April 1997 to his post today as director, U.S. Cargo Operations, where he started on June 15.
     Along the way he has served as program director for UC360, the cargo IT program, focused on Phase 2 planning.
     Mike has served as manager - Cargo Customer Service; manager, Product Development; sales manager; and corporate account manager at UA Cargo, among other postings at the carriers.
     A young mobile from Oldsmobile works for us, and apparently United Cargo as well.
Geoffrey


Chuckles for August 4, 2015

What Makes EMO Trans Run
In the picture . . . back row, standing left to right: Matt Kmet, Kennon Carter, Eric Lefebvre, Robin Finke, and Stacie Countryman. Front row, seated left to right: Sheryl Jones, April Terry, Eric Poujol, and Kathy Miller.

      Fast growing EMO Trans counts on delivering a top service solution to transportation from 250 offices in 120 countries worldwide.
      In the U.S. the company operates three important corporate competence centers.
      In addition to headquarters in Freeport, New York, EMO fields a center in Los Angeles and also in Atlanta.
      Atlanta corporate functions separately from the Atlanta EMO branch, but its mandate provides major ongoing support to company operations worldwide.
      EMO Atlanta supports Brokerage, Compliance, Ocean Freight, and Route Development to Sales, Marketing, and Administrative matters.
      For example, the Ocean Freight Team of Corporate Ocean Freight Manager Robin Finke, Sheryl Jones Pricing Manager, and Corporate Ocean Export Manager Kennon Carter focuses on operation of several vital company functions, including general procurement and development of global framework agreements for all EMO Trans countries and its vital domestic trucking programs.
      “The corporate ocean team grew from a one-man-show in 2010 that mainly focused on Transpacific business to what is now in 2015 a full department of three covering all directions of the trade,” Robin Finke said.
      At EMO Atlanta Corporate Sheryl Jones gathers all inbound freight rates, getting pricing assistance, and managing weekly allocations for inbound freight across all carriers.
      “Sheryl is the expert on our portfolio of online tools and provides training to our employees,” Robin included.
      Kennon Carter is responsible for all rate procurement and pricing on export lanes from the United States.
      “Kennon’s strong background with EMO Trans as Atlanta’s former Ocean Export Manager is actioning our general ocean product with some innovative thinking, based on his years of hands on service to the trade,” Robin Finke said.

Open Door Policy

      “With ocean freight continuing to be a heavily regulated market, strict adherence to FMC rules and regulations is mandatory.
      “We encourage our service partners with ocean freight needs to reach out to our team.
      "We’re also eager to hear market feedback directly from our customers.
      “Sometimes the best input to service related issues is to simply ask: ‘How are we doing?’” Robin Finke said.


Compliance Solutions

      EMO Atlanta corporate additionally serves as the central support unit for company compliance, making sure the network individually fulfills its internal and external responsibilities whilst moving cargo to and from the U.S.
      Export Compliance Manager Stacie Countryman notes:
      “Administrative Assistant April Terry and I work daily with Director Export Compliance Sven Frigger in our Freeport, New York, corporate office.
      “Our job is to make sure EMO Trans meets or exceeds all TSA requirements dealing with exports.”
Customs Broker Matt Kmet adds that, in addition to providing daily support to the EMO Trans network for import customs compliance, the Atlanta corporate office also oversees participation in customs and trade supply chain security programs such as C-TPAT.
      “We distribute updates on trade, legislation, and Customs and Border Protection mandates as they become available,” he explains.
      “We also perform Customs Compliance Audits for all of EMO Trans CHB offices,” Mr. Kmet.
Geoffrey Arend


Vital ViewsVital Views 1975-2015  

    The year 2015 marks our 40th year in the world of air cargo news reporting—first as Air Cargo News and now as FlyingTypers.
   In 2015 we are fortunate to present the writings of the 102-year-old Richard Malkin, who remains the first air cargo reporter in history (circa 1942) and now serves as FlyingTypers' Senior Editor.
     Here Richard recalls the views of executives over the four decades.

   

2006

Christian UretaChristian Ureta, LAN Cargo’s CEO, nailed down a basic message: “Most industries normally face generated by the natural dynamics of the market. New technologies, product innovation, consumer trends, regulatory changes, are some of the factors that make each industry unique. The changes force companies to constantly look for ways to adapt to new environments. The quest for adaptability has become as critical as achieving growth and operational efficiency.”


1988

William D. ClarkeWilliam D. Clarke, former director of cargo planning at Trans World Airlines, called attention to the following: “When deregulation occurred in 1978, the pricing environment began to change. At first, the changes were not pronounced as forwarders and carriers felt their way through the new-found freedom from regulation, in the past few years, however, the pace has picked up considerably so that the formalized tariff rates are used by fewer and fewer customers. For some carriers off-the-books traffic accounts for as much as 75 percent of the total volumes transported.”


1999

Robert L. Jones, Jr. on the subject of dealing with the customer, the chairman and chief executive officer of Alliance Airlines, had this to say: “You want to avoid problems with the customer, so you make sure that you settle all issues before the contract is signed. After that, all else is easy.”

 

Wing Walker Summer

     Mission: Impossible - Rogue Nation just came out in theaters and features a scene with actor Tom Cruise lashed by his fingertips to the side of a military cargoAirbus A400M turboprop aircraft as it flies all the way up to 5,000 feet.
     “No,” reports Esquire Magazine,”not his stunt double, Cruise himself."
     "I feel that, [with] acting, you're bringing everything physically and emotionally to a character and story."
     Plus, he said, he can do it—so why not? "I've trained for 30 years doing things like this. It allows us to put cameras in places that you're not normally able to do.
     “When I started producing Mission: Impossible, I started developing different action around what I could physically train to do."
Wing Walker      With Rogue Nation, the actor may have finally pushed himself to a place of terror.
     In new, behind-the-scenes footage, Cruise admits that the movie's big plane stunt "scared him shitless."
     If you crave too much aerial action and cannot stand sitting on the sidelines, a UK company called “Into The Blue” is offering customers their very own “Wing Walking Experience,” (right).
     Right now there is still time to book a ride during August for a “Summer Celebration Wing Walk” and it costs only a mere £429.
     Sounds to us like a walk in the heavens at a discount.
     Click here for more information.


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Vol. 14 No. 59
Lost In Translation
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A Glorious Boondoggle
Post Time Remembered

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Vol 14 No. 60
Security Starts With Labor
Adrien Thominet, ECS Speaks
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Chuckles For July 28, 2015
Always On Sunday

New Turkish Cargo Facility
Summertime
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