Calendar Of Events
March 27-29
Asian Business Aviation Conference & Exhibition
Shanghai, China
www.abace.aero/2012
April 3-6
55th Annual AEA International Convention & Trade Show
Washington, D.C.
www.aea.net/convention/DC2012
April 29-May 3
84th Annual AAAE Conference and Exposition
Phoenix, AZ
events.aaae.org/sites/120501
Business Buzz
‘Airports, Inc.’ Contribute $1.2 Trillion To Economy
A new study released by the Airports Council International-North America shows that America’s commercial airports generate 10.5 million jobs and contribute $1.2 trillion to the nation’s economy.
The Economic Impact of Commercial Airports in 2010 quantifies the contributions of 490 commercial airports in the United States, dubbed “Airports, Inc.” The analysis, prepared by CDM Smith, concludes that in addition to the broader impacts, airports also are powerful economic multipliers in communities and states nationwide.
Using data from 2010, the report shows the following highlights:
- When you consider direct employment, “Airports, Inc.” is the nation’s second largest employer, after Wal-Mart.
- The effect of airports on U.S. GDP - $1.2 trillion - is greater than the total value of all goods and services produced in countries like Mexico, Switzerland or South Korea, according to 2010 World Bank data.
- The annual payroll associated with airports - $365 billion - is comparable to the economy of Michigan.
“This analysis confirms that America’s airports are economic hubs that drive our local, state and national economies, both inside and outside the airport fence line,” said Greg Principato, president of ACI-NA. “Airports are bright spots in a time of economic uncertainty, especially for the 10.5 million American workers who depend on airports for good jobs across the USA.”
Lift-A-Loft Announces New Ownership
Lift-A-Loft was acquired in January by Todd Hunt, a veteran to equipment manufacturing and marketing. He spent several years as COO of a holding company with 10 separate operating units.
“There is a significant need in the market for engineered aerial lift solutions,” Hunt said, “and Lift-A-Loft has a proven track record for delivering these solutions.”
New ownership is now in the process of making strategic investments so that the company can be more effective and take advantage of opportunities to compete for new business.
“The company is off to a good start for 2012 and we expect to make significant strides to increase sales and profit levels in the coming years,” said Hunt. ”You will definitely see some exciting new developments from Lift-A-Loft.”
Flightcom Partners With Asian Rep
Flightcom Corporation announced a partnership with Air-Tec Marketing, authorizing the reseller to provide Flightcom’s wired and wireless aviation ground support communication ground support systems for pushback and maintenance operations to its customers in Asia.
Air-Tec Marketing distributes a broad range of quality aircraft ground support equipment for military, corporate and commercial airlines and will now offer, sell and support Flightcom’s aviation solutions in Singapore, Malaysia, Indonesia and other countries in the Asia region.
The rep firm has been serving airlines, airlines handling agents, airports, aircraft operators and military since 1994.
ATM is the exclusive representative and distributor for a broad range of ground support equipment manufacturers. In addition, ATM after-sales support and technical services.
China To Build World’s Largest Airport
Beijing will begin construction on a new airport this year, which is likely to replace Hartsfield-Jackson Atlanta International Airport as the world's largest. The cost is reported to be $4.80 billion. With nine runways, the new airport will handle more than 130 million passengers and 5.5 million tons of cargo annually.
In other news, China is expected to use 12 million metric tons of aviation biofuel a year by 2020, about 30 percent of projected total jet fuel consumption by that time, according to the Civil Aviation Administration of China.
SATS Signs New Agreements For Its Beijing Joint Ventures
SATS Ltd. entered into a new joint venture agreement with China Eastern Airlines Corporation Limited, China Southern Airlines Company Limited and Capital Airports Holding Company for Beijing Aviation Ground Services Co., Ltd.
Separately, SATS has also inked another new JV venture agreement with Eastern Air Catering Investment Co. Limited, China Southern Airlines Company Limited and Capital Airports Holding Company for Beijing Airport Inflight Kitchen Limited. Established in 1994 and 1993 respectively, BGS provides ground handling services while BAIK offers inflight meals to airlines operating out of Beijing Capital International Airport.
The joint ventures have a 20-year operating term, which will currently expire in 2014 and 2013, respectively. Subject to the approval of the Chinese regulatory authority, the new agreements will serve to renew the respective tenures of BGS and BAIK.
U.S. Weighs EU Carbon Actions
Reuters reported last month that the United States is still considering how to respond to the European Union law forcing airlines to pay for greenhouse gas emissions. The array of potential steps include barring national airlines from participating in the EU program, lodging a formal complaint with the International Civil Aviation Organization, or ICAO, ceasing talks with European carriers on new routes and imposing retaliatory levies on EU airlines. An analyst with Barclays Capital pegged the cost to airlines as more than $391 million this year.
Delta’s Temp Program At MSP: A Delta Airlines program called Ready Reserve that uses temporary workers for numerous positions at the Minneapolis-St. Paul International Airport is drawing fire from the carrier's full-time staffers who say it jeopardizes their jobs and pay. The temporary jobs start at $10.82 and include baggage handling and deicing planes.
Half Penny In Profits: Airlines for America says the industry earned less than half a penny in profits for every $1 of revenue generated during 2011. The trade group laid out a five-point plan that would lower taxes; reduce regulations; remove limits on foreign investments; upgrade aviation infrastructure and reduce oil price speculation.
Middle East Traffic Up: International Air Transport Association said that in January, Middle East airline traffic recorded a growth of 14.5 percent compared to 2011's same periods. IATA added that the region’s airline capacity rose 10.6 percent; however, freight traffic dropped 8 percent.
TMHU Launches Fuel ‘App’: Toyota Material Handling, U.S.A., Inc. launched its Toyota Forklift Fuel Efficiency Calculator application to help customers estimate fuel efficiency savings and performance of their forklift fleets.
Airport, Airline Team Up: Russia’s Vnukovo Airport and Transaero Airlines have agreed to cooperate to improve ground handling of passengers, luggage, air mail and cargo quality in full compliance with ICAO and IATA requirements as well as rules and regulations of the Russian legislation. Transaero will start operations from Vnukovo in May. The carrier will increase its flights to the airport to eventually service up to 2 million passengers annually.
US Airways Objects: US Airways Group Inc. said in a Securities and Exchange Commission filing that a multibillion-dollar runway and terminal expansion at Philadelphia International Airport could harm its finances and business operations and force it to shift flights elsewhere. The airline, which transports nearly 70 percent of the airport's passengers, included the statement in its 2011 annual report to federal regulators.
Franchise Terminated: Million Air, a corporate chain of upscale refueling facilities for private jets, terminated its franchise agreement with SBD Properties, LLC, a firm managed by a controversial developer who began operating a franchise at San Bernardino International Airport in 2010.
Bankrupt AMR Posts Loss: The parent company of American Airlines reported a net loss of $1.98 billion for 2011. In other news, American reported that it could not afford to offer early-retirement incentives to unionized mechanics and flights attendants. The airline also reported a loss of $170 million in January.
IATA Reports January Traffic: The International Air Transport Association announced global traffic results for January showing a 5.7 percent rise in passenger demand but an 8 percent decline in air freight compared to the same month in 2011. The occurrence of Chinese New Year in January (rather than in February as in 2011) exaggerated the increase in passenger demand and the fall in air freight.
Delta Defends Record: More pets died on Delta Air Lines than on any other carrier last year, according to data released by the federal government. Out of 35 pets that died on airlines last year, 19 died on Delta flights. That's up from 16 the previous year. Delta said it carries more pets than many other airlines, in part because of its broad route network.
Eaton Seals On Mars Rover: Eaton’s aerospace facility in Beltsville, MD, provided specially manufactured seals for the Mars Science Laboratory spacecraft that launched in November 2011. Named “Curiosity,” the nuclear-powered rover is expected to reach the Red Planet in August.
Southwest Takes A Break: Southwest Airlines is pausing in its expansion plans, as the carrier grapples with the high price of fuel and its acquisition of AirTran Airways. CEO Gary Kelly told the Wall Street Journal that he sees opportunities to eventually add “hundreds of planes” to Southwest's fleet, but plans to keep the fleet at 700 planes this year.
Court Orders Strike’s End: A German labor court ruled in favor of Frankfurt Airport operator Fraport AG and airline Lufthansa over a strike by the airport’s 200 ground workers. The court said the strike violated the country’s labor laws.
Concerns Over Fuel: IATA said 2012 began with no sign of relief in jet fuel prices. After some decline in December 2011, February 2012 has seen jet fuel prices rise 14 percent above levels a year ago.
TIEM Named Company Of The Year: Toyota’s Columbus, IN, manufacturing plant, Toyota Industrial Equipment Mfg., Inc., was recognized as “Company of the Year,” by the Columbus Area Chamber of Commerce.
Partnerships/Acquisitions/Contracts
Jet Aviation Acquires 14th FBO: Jet Aviation acquired the Enterprise Jet Center FBO at Hobby Airport in Houston, TX, adding the 14th FBO to its global network of premium aircraft service and support facilities. Enterprise Jet Center provides fuel, catering, aircraft cleaning and MRO services.
JBT Corporation announced that its JBT AeroTech business has been awarded a contract in excess of $5 million for the supply of gate equipment, including 13 Jetway® passenger boarding bridges, to a major airport in the western United States. The installation of the gate equipment anticipated to be completed in the third quarter of this year.
Swissport Adds Cargo: Swissport International begins cargo handling services at Kansai International Airport in cooperation with Finnair Cargo. The global ground handling provider has operated passenger ground handling and ramp services at KIX Kansai for several years.
ASIG Wins Contract With Spirit: Aircraft Service International Group was selected as Spirit Airlines’ new handler at Los Angeles International Airport. ASIG has already been providing the airline with refueling services LAX and will now add cabin cleaning and ramp side service for Spirit’s six daily flights.
A KLM First: A joint venture between KLM Royal Dutch Airlines and Kenya Airways will be the first carriers to offer direct cargo service between China and Africa. The roundtrip service will be operated twice weekly.
Flightstar Buys Bloomington: The Flightstar Corp., Savoy, IL, recently purchased the assets of Bloomington Avionics Inc., Bloomington, IL. The staff at Bloomington Avionics, as well as its complete line of overhead and services, will transfer and now operate from Flightstar’s FBO at Champaign-Urbana’s University of Illinois-Willard Airport.
People In The News
Patrick Fisher joins Flightcom Corporation as its new director of federal programs. Fisher will use his more than three decades of experience providing technology solutions to military and federal agencies to broaden Flightcom’s presence to the government sector. PIC
Schiphol Cargo has appointed Berend-Jan Rietveld as its marking and communications manager. Rietveld will plan and manage global marketing activity including advertising, media relations, online, literature production and trade show participation. PIC
Jasper’s Top Branch: The Houston, TX, branch of Jasper Engines & Transmissions took home the President's Award for 2011 at the company's annual sales banquet earlier this year. The award recognizes the company’s top branch based on various sales and financial figures. In addition, the branch received awards for Most Improved Profits; Most Improved Gas Engine Sales; Most Improved Marine Sales; and placed third in Branch Customer Retention.
Individually, Houston branch manager, David Eschbach, was named Manager of The Year for 2011. Outside sales rep Brian Flanagan was recognized for Most Improved Sales Volume. OSR Matt Miller ranked as one of Jasper's top five Veteran Sales reps for 2011. OSR Ed Nesbitt ranked as one of Jaspers's top five Rookie Sales reps for 2011. OSR Steve Beltran was recognized as a Bronze Performance Level recipient. GROUP PIC
Ranjiv Ramanathan, head of operations for Air India SATS Airport Services accepted the Air Cargo Terminal Operator of the Year Award at last month’s Indian Supply Chain & Logistics Summit and Excellence Awards. PIC
Damon Danneker was promoted to director of operations for JetFlite International, a provider of aircraft management and charter services worldwide. Danneker joined JFI in 2008 as director of training and was most recently chief pilot.
Airlines for America named Shelley Rubino to the role of vice president, global government affairs. Rubino has extensive policy, legislative and management experience, having served as a liaison between Rep. John Larson (D-CT) and House leadership, members of Congress and the administration.
Jet Aviation appointed Gary Dolski as the new vice president and general manager of the company’s MRO and FBO facility in Singapore, and includes responsibility for the Hong Kong and Kuala Lumpur facilities. PIC
