Thursday, August 6, 2015

Swiss WorldCargo and Lufthansa Cargo are to launch a two component pricing structure - a net rate plus airfreight surcharge – to reflect the "volatility of external cost factors".
A joint letter to customers states: “The new airfreight surcharge will be significantly lower compared to the combined fuel and security surcharges, which will be eliminated with the start of the winter flight schedule.
“As the surcharge level will be decreased, the change in the pricing structure will subsequently lead to a re-aligned and increased net rate that will reflect the real value of our service in an adequate way. Overall prices of transportation will remain at current levels.”
In countries that are subject to state regulation, such as Japan and Hong Kong, the airlines will retain the current surcharge structure.
Customers will be informed about the applicable airfreight surcharge levels in individual countries in a separate email.
The pricing structure is not an all-in rates offer, as first introduced by Emirates SkyCargo in January this year, a move that prompted several airlines, including Qatar Airlines and IAG Cargo, to introduce similar pricing structures.
The airfreight surcharge will be adjusted “whenever one of these external cost factors changes significantly and thus will display necessary price adjustments in a transparent way”.  
The airlines added: “This would not have been the case with an all-in rate, which we also investigated in detail. An all-in rate would have required a less transparent adjustment mechanism in the event of significant fluctuations in costs beyond our control.”
The letter is from SwissWorld Cargo’s Chief Cargo Officer, Oliver Evans, and Alexis von Hoensbroech, Lufthansa Cargo board member responsible for product and sales.
It continues: “Pricing structure has been the most dominating discussion in our industry in the recent past. Market developments have shown that we need to continue working on our pricing system in order to remain agile and sustainable in the future.
“We have been listening closely to you, our customers, who have been demanding a new and comprehensive pricing concept, to meet your needs and fulfill our own business requirements.”
The letter adds: “The new, market oriented airfreight surcharge reflects the volatility of external cost factors, such as fuel, exchange rates, flight dependent cost such as airport charges and fees, which are beyond our control.
“As in the past, we aim to be a straightforward business partner for you. The new re-aligned surcharge will allow us to largely avoid special processes such as negative rates and thereby shorten our transaction and response times to you."
It continues: “Our talks have shown that both reliable planning and flexibility are becoming increasingly important to you and your customers.
“For an insurance add-on, we will offer you the option of securing stable total rates for certain types of long-term contracts. We will also offer you more opportunities to sign long-term contracts with us whenever your or your customers’ needs arise for such contracts, and even when they extend beyond a single season.”

Source :  http://www.aircargonews.net/news/airlines/single-view/news/swiss-and-lufthansa-to-launch-new-cargo-pricing-structure.html

Sunday, August 2, 2015


 
A large section of the logistics sector is losing the battle to implement planned price increases, coupled with an extremely low success rate when introducing new products and services.
These are the results of the most recent Global Pricing Study*, based on responses from approximately 1,600 managers, conducted by the global strategy consulting firm Simon-Kucher & Partners.
According to the results, logistics firms succeed with only 40% of their planned price increases. And almost 80% of the companies are experiencing higher price pressure compared to last year.
Logistics providers blame these poor results on “fierce competition” and on customers having more negotiating power. As a result, the percentage of logistics companies that only compete on price is twice as high as in other industries.
Dimitris Hiotis, partner at the London office of Simon-Kucher, comments: “The intense competition in the market has led logistics companies to focus negotiations on price; thus self-fulfilling a prophecy of low prices, which further intensifies competition.
“However, focusing instead on value and differentiating the product offering accordingly will allow logistics companies to trade-off value versus price and get the right price for the right product to the right customer."
Hiotis adds: “When a logistics company clearly differentiates their services and products, customers are able to trade off the price they are willing to pay against the level of service they value. This can be a win-win situation for both the logistics company and the customer.” 
Blame is quickly placed on the competitors, although the inability to raise prices is generally self-inflicted, says Philipp Biermann, partner at the Cologne office of Simon-Kucher: "Logistics firms often lack confidence and negotiation tactics.
“They are frequently at the mercy of their customers' professional purchasing departments. Recognising the value of your services, developing a negotiation strategy and turning this into an implementable price - logistics managers must get this into their heads”
The combination of external pressure and low confidence in their own performance has caused almost two-thirds of the respondents, to “suffer from price wars” says Simon-Kucher.
All of them, however, say that it was the competition who started it.
Explains Kornelia Reifenberg, senior director at the Bonn office of Simon-Kucher: "The phenomenon that companies make concessions to their customers in the heat of the moment that they actually cannot justify is very widespread in the logistics industry.
“In the process, they often don't see the signals that their dumping prices give to the competition. They don't grasp that these 'isolated cases' ultimately have a negative impact on the market price level."
When it comes to launching new products and services, the logistics industry has also been struggling: Only 18% of all new products achieve their profit targets, which is the lowest rate ever recorded  - with a benchmark of 28% in other industries.
* Approximately 1,600 participants, of which 39% are C-levels, from companies of all industries and over 40 countries across Asia-Pacific, the Americas and Europe, took part in summer 2014 in an online study conducted by Simon-Kucher.

Source : http://www.aircargonews.net/news/forwarders/single-view/news/logistics-sector-losing-the-price-war.html  

Saturday, August 1, 2015



The European Commission has opened an in-depth investigation into FedEx’s proposed $4.8bn takeover of TNT Express over concerns the deal could reduce competition and push up prices.
The Commission said it had concerns that on a number of European markets for international express and regular small package deliveries, the merged entity would face insufficient competitive constraints from the only two remaining players, UPS and DHL.
This could lead to higher prices for business customers and consumers, it said.
Both TNT and FedEx described the probe as a phase 2 review and said it was a customeray part of the Commission’s investigation process.
Commissioner Margrethe Vestager, in charge of competition policy said: "Many businesses, and in particular e-commerce, rely heavily on affordable and reliable small package delivery services, and many consumers depend on these services to ensure rapid and safe delivery of goods they have bought.
“The Commission must therefore make sure that FedEx's takeover of TNT would not impede effective competition and would not lead to higher prices for consumers.”
A preliminary investigation conducted by the Commission indicated that DHL and UPS would be the only significant competitive constraint on the merged entity for most international express services, with a destination within or outside the European Economic Area (EEA).
As the proposed transaction would reduce the number of integrators competing in the EEA from four to three, the competitive constraint on the merged entity would be significantly reduced, leading to a concentrated market in several member states for international express delivery services to a destination within or outside the EEA.
The Commission's initial investigation also showed that the merged entity would have very high market shares for services to some destinations leading to potential competition concerns.
The Commission now has 90 working days, until 8 December 2015, to investigate the proposed acquisition and to determine whether initial concerns are founded.
FedEx said the transaction is also being reviewed by other antitrust agencies, including the Ministry of Commerce (MOFCOM) in China and Conselho Administrativo de Defesa Econômica (CADE) in Brazil.
FedEx Express Europe president David Binks said: “We will continue to work together with TNT Express to meet the European Commission’s need for additional due diligence and are confident that the combination of both companies will increase competition and create benefits for customers.
“We continue to make progress on all of the necessary regulatory steps around the world that would allow us to complete this transaction in the first half of 2016 and unite two great teams that share a passion for customer service.”
TNT said it looked forward to the success of the intended acquisition.
“The company will continue to cooperate with FedEx and the European Commission with a view to a positive outcome,” it added. “During the transaction approval process, TNT remains focused on executing its Outlook transformation and turnaround strategy.”
FedEx had sought to assuage competition concerns by promising to sell the TNT air fleet of 54 freighter aircraft would be sold to a third party.
On announcing its half-year results, TNT said it expected the deal to be completed in the first half of next year.
The takeover of TNT is based on an all-cash offer by FedEx for all issued and outstanding ordinary shares, including shares represented by American Depositary Receipts of TNT Express for a cash offer price of €8.00 per share.
FedEx started the formal process to obtain merger control approval from the Commission by submitting the required filing to obtain regulatory clearance on June 26.

Source : http://www.aircargonews.net/news/airlines/express/single-view/news/brussels-launches-probe-into-fedexs-proposed-tnt-takeover.html

Saturday, July 18, 2015



European airlines continued to struggle with the continent’s weak economic conditions last month with volumes and load factors continuing to lag behind last year’s levels.
Combined data from the IAG Group, Lufthansa Group, Air France KLM and Finnair show that demand at the airlines they own declined by 4.6% year on year in June in terms of revenue/cargo tonne km.
Meanwhile, capacity in available tonne km terms from the airlines owned by Lufthansa, Air France KLM and Finnair was down by 2% on last year.
As a result, average load factors slipped to 61.3% compared with 63.3% a year earlier.
The year-to-date figures made for even more painful reading with demand for the first six months down by 5.3% against last year while supply increased by 0.8%.
Average load factors for the year so far stand at 60.7% compared with 65.6% a year ago.
The only real bright spot that can be drawn from the figures is that load factors have reached their highest level since March.
The figures are also indicative of the fact that the airlines have now entered the more steady summer period, with demand historically peaking in the February/March period in line with the Chinese New Year and in October/November ahead of the Christmas period.
Of the individual airlines analysed, Finnair saw the largest year-on-year decline in volumes (14.8%) in June but its capacity was down 15%.
Finnair said: “The cargo overall figures reflect a structural change from the comparison period, as Finnair withdrew from the use of leased NGA freighter aircraft capacity in Asian traffic.
“In June, the cargo traffic consisted almost entirely of belly cargo on scheduled flights.”
IAG’s volumes at British Airways and Iberia were down 6.1% during the month, although it also ended freighter operations recently, affecting year-on-year comparisons.
Air France KLM saw June volumes slide by 6.6%, although it is also greatly reducing freighter capacity – down 22% on last year. Overall capacity at the airline was 5.2% behind last year.
The Lufthansa Group saw June volumes decline by 1.4% on last year, while capacity was up 2.3%.
Lufthansa Cargo, which accounts for more than 80% of the group’s overall cargo volumes, said it was “holding its own” in “a challenging market”.
Lufthansa Cargo chief executive Peter Gerber said: “After an exceptionally good start to 2015, we were aware of the challenging market situation again in the second quarter.
"We are monitoring the market very carefully and can react by adjusting our routes flexibly and quickly to changes in demand.
“This allows us to meet the needs of our customers while at the same time guaranteeing the profitability of the individual connections.”
The weakening performance compared with last year should come as no real surprise for European airlines as the economies of many countries continue to struggle.
In its wrap up for May, IATA said: “European carriers saw demand decline by 1.3% in May, compared to a year ago while capacity grew by 2.7%.
“Consumer confidence remains subdued in the region, and the region is at risk of economic contagion if a disorderly ‘Grexit’ from the Euro were to occur."
Director general and chief executive Tony Tyler added: “The expansion in volumes we saw in 2014 has ground to a halt, and load factors are falling.
“Some economic fundamentals still point to a rebound in the second half of the year, but we have to recognise that business confidence is flat and export orders in decline.”


Source: companies
Notes: IAG figures are cargo tonne km (m), the rest revenue tonne km (m)

Source: companies


Source : http://www.aircargonews.net/news/airlines/single-view/news/tough-june-for-european-airlines.html 


UPS is adding eight origin and five destination countries to its Worldwide Express Freight service, designed for urgent, time-sensitive and high-value international heavyweight shipments.
The expansion adds five countries in Latin America and three in Europe.
UPS now offers the guaranteed service – targeting product launches, inventory shortages or equipment failure replacement parts – to 58 origin and 56 destination countries and territories.
Countries adding origin service include: Bulgaria, El Salvador, Guatemala, Honduras, Nicaragua, Panama, Romania and Serbia.
Countries adding destination service include: El Salvador, Guatemala, Honduras, Nicaragua and Panama.
The service offers guaranteed palletised shipments, over 70 kg, for door-to-door and day-definite delivery, with customs brokerage service included.
“Eastern Europe is experiencing growth in the manufacturing and automotive industries and Latin America is undergoing rapid expansion of general industrial, healthcare, apparel, and high tech businesses,” said Nick Basford, UPS vice president of international marketing.
“We expanded the number of countries we serve due to consumer requests and anticipated future demand.”

Source : http://www.aircargonews.net/news/airlines/express/single-view/news/ups-expands-express-freight-service.html

Thursday, July 2, 2015


 
Cargo demand growth “came off the boil” in May, while capacity additions have resulted in a further weakening of load factors.
Figures from the International Air Transport Association show that demand growth in freight tonne km terms increased 2.1% year on year in May, which is the slowest growth rate recorded this year, compared with growth of 4% for the first five months.
Meanwhile, capacity expanded by 4.3% during the month and as a result of supply increasing ahead of demand, load factors slipped to 44.3% compared with 44.7% in April.
IATA said that carriers in most regions, with the exception of those based in the Middle East, saw weak demand growth or even contractions.
Airlines in North and Latin America and Europe reported that their freight business was smaller in May 2015 than in the same month of 2014. Carriers in Asia-Pacific experienced slow growth as a result of poor import/export performance.
“Cargo growth has undoubtedly come off the boil,” said IATA director general Tony Tyler. “The expansion in volumes we saw in 2014 has ground to a halt, and load factors are falling.
“Some economic fundamentals still point to a rebound in the second half of the year, but we have to recognise that business confidence is flat and export orders are in decline.
“There is also the risk of a shock to the economic system of a ‘Grexit’ from the Eurozone.”
The IATA figures show that Asia-Pacific carriers reported demand growth of 2.8% in May compared to May 2014, below a capacity expansion of 6.7%.
European carriers saw demand decline by 1.3% in May, compared to a year ago, while capacity grew by 2.7%.
North American airlines reported a fall in demand of 2.9% year on year while capacity was cut by 4.2%. Stronger growth, however, is expected in coming months as the effects of poor weather and US seaport congestion fade.
Middle Eastern carriers saw demand grow by 18.1%, on the back of increased trade within the region, as well as shippers taking advantage of the Gulf carriers’ hub strategy. Capacity expanded 19.4%.
Latin American airlines reported a fall in demand of 10.5%, while capacity grew by 4.7%.
“A general increase in regional trade activity has not yet manifested itself in stronger airfreight demand, possibly due to continued weakness in Brazil and Argentina, two of the region’s largest economies,” IATA said.
African airlines experienced a 3% rise in demand and a 1.3% increase in capacity.
Analyst WorldACD also reported a weakening of growth in May, with its figures showing a 1.8% improvement on a year earlier.
“The areas Europe and North America, volume-wise among the best performing areas only one month ago, were the laggards this time around, together with Central & South America, an area that has been suffering for a while,” it said.
“The growth in May came specifically from Africa and the Middle East & South Asia (MESA), with year-on-year increases of 8% and 5.5% respectively.
“MESA was also the fastest growing destination. Interestingly, the Americas did best when it comes to yield comparisons with May 2014.”
Perishable and pharma cargoes led the growth, increasing by 7% and 13% respectively.

Source: IATA

Source: World ACD

Source : http://www.aircargonews.net/news/airlines/single-view/news/airfreight-demand-growth-comes-off-the-boil-in-may.html

Tuesday, June 30, 2015



Hong Kong Association of Freight Forwarding and Logistics (HAFFA) chairman Paul Tsui is to step down and will be replaced by Cliff Sullivan, senior vice-president of A-Sonic Logistics. Mr Tsui is a 30-year veteran of the airfreight industry and in 2001 founded Janel Group, which now employs 250 staff in offices throughout China. Mr Sullivan has been a HAFFA executive committee member since 2001.

Source : http://www.aircargonews.net/news/people/single-view/news/hong-kong-airfreight-chief-steps-down.html


FedEx’s potential $4.8bn takeover of TNT has edged further forward as the US express giant has filed regulatory paperwork to the European Commission.
Over the weekend, the New York Stock Exchange-listed logistics company confirmed it had submitted the required filing to the EC to obtain regulatory clearance in connection with the intended recommended public cash offer for all issued and outstanding ordinary shares in the capital of TNT Express.
It added that it expected to submit a request for review and approval of its offer document with the Netherlands Authority for the Financial Markets before June 30, as required under Dutch law.
“Based on the required steps and subject to the necessary approvals, closing of the Offer is anticipated in the first half of calendar year 2016,” FedEx said.
Other approvals will also need to be gained, with the offer conditional on FedEx also obtaining the required competition clearances in China, Brazil and, to the extent applicable, the US.
Under the planned deal, the relatively small TNT air fleet of 54 freighter aircraft would be sold to a third party, to assuage the competition authorities in the European Union and elsewhere. This had been one of the major sticking points in the previous proposed UPS takeover.
TNT's owned and leased fleet includes B777Fs, B747Fs, and a combination of BAe 146, Boeing B737Fs and B757Fs. 
The two sides reached a conditional agreement on the deal earlier in April. The agreement recommends an all-cash offer by FedEx for all issued and outstanding ordinary shares, including shares represented by American Depositary Receipts of TNT Express for a cash offer price of €8.00 per share.

Source : http://www.aircargonews.net/news/airlines/single-view/news/fedex-tnt-deal-edges-forward.html

Wednesday, June 24, 2015


Sunday, June 21, 2015

 
DHL Global Forwarding, Kuehne+Nagel and DB Schenker have maintained their position as the world’s leading airfreight forwarders, while the top 25 forwarders recorded a total increase in airfreight demand of less than one percent.
The latest top 25 Global Freight Forwarders List from consultant Armstrong & Associates, based on revenues and ocean and airfreight demand, revealed that the leading companies recorded a 7.7% year-on-year increase in revenues in 2014 to $213bn.
Airfreight demand amongst the top 25 increased by 0.4% to 13.5m tonnes and containerised ocean freight was up 2.3% on 2013 to 22.9m teu.
The leading three forwarders in terms of revenue were once again DHL, K+N and DB Schenker, with all three recording an increase in income during the year.
These three forwarders were also the three busiest airfreight forwarders, with all three growing faster than the 0.4% average recorded by the leading 25.
DHL saw air volumes increase by 2.6% year on year in 2014 to 2.3m tonnes, K+N recorded a 5.3% increase to 1.2m tonnes and DB Schenker’s were up 1.8% to 1.1m tonnes.
The company which recorded the largest increase in airfreight demand was Geodis, which saw a 28.9% jump to 270,600 tonnes. It also recorded a 55.8% rise in ocean volumes.
These two increases propelled the French logistics company eight places up the table to 13, but while volumes rapidly increased, 2014 revenues were up by a lower amount of 2.3% on 2013 to $5.6bn.
The volume increases appear to be the result of new contract wins, with parent company SNCF stating that 2014 figures included wins from Alstom, ABB, H&M, Lego, amongst others, while it also extended its international network of operating hubs, particularly the hubs dedicated to the oil and gas industry.
The company which dropped the most places on the list was troubled AP Moller-Maersk-owned Damco.
The forwarder saw 2014 revenues remain flat at $3.2bn, while air demand was down 16.2% on 2013 at 190,000 tonnes and ocean volumes slipped by 0.7% to 786,000 teu.
New entrants to the list were: Hitachi Transport Systems, Dachser and CJ Korea Express.

Source : http://www.aircargonews.net/news/forwarders/single-view/news/dhl-k-n-and-db-schenker-the-leading-airfreight-forwarders.html

Friday, June 19, 2015

TNT Express has provided an update on its planned $4.8bn takeover by FedEx, stating that the two companies are making timely progress on preparations for the offer but reiterated that it could take a year to gain regulatory clearance.

TNT said that FedEx expects to submit a request for review and approval of its offer document with Dutch financial service regulator Netherlands Authority for the Financial Markets (AFM) before June 30, which is the date by which under Dutch law a request for approval must be submitted to the AFM.

Other approvals will also need to be gained, with the offer conditional on FedEx obtaining the required competition clearances in the European Union, China, Brazil and, to the extent applicable, the US.

“FedEx and TNT Express remain confident that substantive anti-trust concerns, if any, can be addressed adequately and in a timely fashion,” the companies said in a statement.

“Although FedEx and TNT Express aim to obtain the required regulatory clearances as soon as possible, it is noted that completing the formal clearance procedures could take up to one year. As such, it may be required to obtain an exemption from the AFM to (further) extend the offer period.
“FedEx and TNT Express confirm that the companies are making timely progress on the preparations for the offer,” they said.

The two companies are confident they will receive regulatory approval, with FedEx chief executive David Bronczek arguing that the takeover would increase competition in Europe by creating a third strong competitor, which would benefit customers over the long term.

Under the planned deal, the relatively small TNT air fleet of 54 freighter aircraft would also be sold to a third party, to assuage the competition authorities in the European Union and elsewhere. This had been one of the major sticking points in the previous proposed UPS takeover.

TNT's owned and leased fleet includes B777Fs, B747Fs, and a combination of BAe 146, Boeing B737Fs and B757Fs. 

The two sides reached a conditional agreement on the deal earlier in April. The agreement recommends an all-cash offer by FedEx for all issued and outstanding ordinary shares, including shares represented by American Depositary Receipts of TNT Express for a cash offer price of €8.00 per share.
Earlier this week, TNT reported a 1.3% year-on-year increase in first quarter revenues to €1.6bn, but operating income for the period slipped to a €11m loss from a €15m gain last year and net profits slipped to a loss of €19m this year from a neutral result for the same period of 2014.



Source: companies
Notes: TNT financial figures converted using XE.com 31/12/2014 exchange rate for comparision purposes only
News URL: http://www.aircargonews.net/news/airlines/express/single-view/news/fedex-and-tnt-deal-on-track-but-clearance-could-take-a-year.html

Thursday, June 18, 2015



FedEx has provided more details on its decision to retire freighters early, while also providing an update on its proposed takeover of TNT Express and saying that it will continue on the acquisition trail.
Speaking shortly after the announcement of its fiscal year fourth quarter results, the US express giant said its decision to retire 15 aircraft and 21 related engines and also adjust the retirement schedule of an additional 23 airframes and 57 engines was part of a profit improvement plan.
FedEx chairman, president and chief executive officer Frederick Smith said: “We’re getting rid of very inefficient fuel burning aircraft of high maintenance to a newer fleet, better maintenance, better reliability, better fuel efficiency.
“So we’re balancing our fleet in the US and around the world and that’s part of our profit improvement plan.
“We need to buy [to modernise the fleet] 12, 15 airplanes a year and we continue to do that and you can count on us continuing to that because they are aluminum, they oxidize, they wear out and the new models fortunately burn a lot less fuel and are much more reliable.
“One of the reasons that the fleet can go down is that we don’t need as many spares with the new technology airplanes as we did with the old ones.
FedEx Express president and chief executive David Bronczek said the planes that were to be retired were “basically parked in the desert”.
“They were in engine repair that was going to be too expensive to bring back,” Bronczek said.
The company also said it hoped to complete the acquisition of TNT earlier than expected, although no new time line was provided.
In May, it predicted it would take a year for the purchase to gain regulatory clearance.
Executive vice president, general counsel and secretary Christine Richards said: “We’re doing a tremendous job. We are preparing to submit our initial offering documents as required by Dutch law by the end of this month.
“And we are well underway with the preparation of the necessary filings with competition authorities.
“We have been in consultation with European Competition Commission and continue to believe FedEx and TNT operations are highly complementary in Europe and we do not believe that the transaction faces any competition issues for the commission.
“So we’re in good shape. We’re going to try to get this done as quickly as we can.”
FedEx said it would also continue to be “aggressive in the acquisition space” over the coming years.
“As to any specifics about any specific space,” said executive vice president and chief financial officer Alan Graf. “I will just say that depends on the fit, the culture, the price and all three of those things are vital.”

Source : http://www.aircargonews.net/news/airlines/single-view/news/fedex-updates-on-freighter-retirements-and-tnt-acquisition.html

Sunday, June 14, 2015



Boeing has upped its expectation for demand of new aircraft from last year’s forecast, predicting that 38,050 new airplanes will be needed over the next 20 years.
The company predicted that by the end of the 20 year forecast period, the commercial airplane fleet will double, from 21,600 airplanes in 2014 to 43,560 airplanes in 2034.
Last year, its forecast was 3.5% lower than its newly issued estimate.
It said 58% of the 38,050 airplanes delivered over that time will be to accommodate growth.
Boeing Commercial Airplanes vice president of marketing, Randy Tinseth, said: “The commercial airplane market continues to be strong and resilient.
“As we look forward, we expect the market to continue to grow and the demand for new aircraft to be robust.”
During the period cargo traffic is expected to grow at about 4.7% per year.
“The air cargo market continues to strengthen, and will drive demand of some 920 new airplanes over the 20-year forecast,” Boeing said.
"We've seen two years of solid growth in the air cargo market and we expect that growth to continue," Tinseth added. "That's great news for our line of production freighters, including the 747-8, 767 and 777."
The single-aisle market continues to be the fastest-growing, largest overall segment, requiring 26,730 airplanes over the coming two decades.
Boeing said these aircraft are the “foundation of the world's airline fleet”, operating more than 70% of the world's commercial aviation routes.
Emerging markets and low-cost airlines were fuelling the need for this type of aircraft.
Boeing forecasts that the widebody segment will require 8,830 new airplanes, led by small widebody airplanes in the 200- to 300-seat range such as the 787-8 and 787-9 Dreamliner.
This year's forecast reflects a continued shift in demand from very large airplanes to efficient new twin-engine products such as the 787 and new 777X.
While airline growth still accounts for the majority of new demand, a large and growing number of aging aircraft will require replacement. About 2 to 3% the installed fleet will require replacement each year.

Source: Boeing



Source : http://www.aircargonews.net/news/airlines/single-view/news/boeing-ups-aircraft-demand-expectation.html

Friday, June 12, 2015



American Airlines Cargo has extended its reach in eastern Europe with the appointment of FlyUs as its general sales agent (GSA) in both Hungary and Poland. 
Both countries are currently off-line destinations in the American Airlines network, with cargo being trucked from both Budapest and Warsaw to London, Frankfurt, Munich or Paris for direct entry into the system.
Zsolt Szabó, FlyUs country manager, said that all eight American Airlines gateways in the US, as well as onward destinations in Mexico, Central America and South America have appeal for customers in Hungary.
Said Szabó: “A wide range of commodities - including electronics, pharmaceuticals, automotive and healthcare equipment - are already featuring in the kind of shipments for which we are receiving bookings. 
“We have potential business from across the whole of Hungary and are expecting demand for service to the new pharmaceutical facility in Philadelphia too, as there are several pharmaceutical factories here exporting goods all over the US and onwards to the Latin American countries.”
In Poland, customers have started sending shipments destined for the airline’s east coast hubs, with car parts, ships spares, electrical devices and cosmetics featuring in the early bookings. 
Country manager Pawel Wlodarczyk said: “We are a young and enthusiastic team and have already identified areas of business where we can win traffic for key locations in Brazil, Argentina and the Caribbean from Warsaw, central Poland and the industrialized south of the country.”
 In both countries, a dedicated sales staff has been appointed to handle the American Airlines Cargo business.

Source : http://www.aircargonews.net/news/airlines/gssa/single-view/news/american-goes-further-east-with-flyus.html


Etihad Cargo is offering World Cargo Alliance (WCA) members special rates for certain destinations when they use the Worldwide Information Network (WIN) booking platform.
WCA members who are participants in Etihad's loyalty programme, CargoConnect, and who also use the WIN for booking and air waybill transactions, will qualify for special rates on selected origins and destinations on the Abu Dhabi-based carrier's network.
The platform offers instant pricing for all online Etihad origins and destinations, e-booking, e-air waybill plus track and trace.
Etihad Cargo vice president David Kerr said: “Part of our continuing growth story will be underscored by our ability to meet the needs of our customers, in a rapidly evolving cargo market, whether they are a large multi-national company or a small and medium-sized enterprise (SME) user that needs to send goods and services around the world to grow their business."
Membership of CargoConnect is free and gives members the benefit of exclusive pricing as a WCA member, while allowing users to earn Etihad Guest Miles for all cargo shipped on Etihad Airways.

Source :http://www.aircargonews.net/news/airlines/single-view/news/etihad-teams-up-with-wca.html