Charter Broker

ISSUE 7 JUNE 2010

Safe & secure

ASA advises clients to protect assets Plus a round-up of cargo, passenger and business air charter news

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FOR PROFESSIONALS IN CHARTER FLIGHT PROCUREMENT

ISSUE 7 JUNE 2010

CONTENTS ISSUE 7 JUNE 2010

Safe & Secure

aSa advises clients to protect assets Plus a round-uP of cargo, Passenger and business air charter news

Simon Wagstaff and Julie Ambrose of Asia’s ASA Group warn that it pays to be cautious: see security and safety article starting on page 11.

FEATURES

BROKER NEWS

Due diligence takes priority over profits

Challenge-Pro Foundation offers combined services in Europe and Russia

Up-to-date training, the best equipment and attention to detail are among the factors that underpin passenger safety and security, whether flights are to the world’s hotspots or to seemingly routine destinations.

Air Partner integrates Avinode software to serve spontaneous demand Newly-launched Emerald Jet focuses on bespoke green charter Page 11

Publisher Editor Production

David Wright Rod Smith Kate Woods Chris Carr

Advertising manager

Mark Ranger

Subscriptions

Janet Bell

Administrator

Hilary Tyler

Charter Broker 134 South Street, Bishop’s Stortford, Hertfordshire, CM23 3BQ Tel: +44 1279 714505 Fax: +44 1279 714519 email: info@charterbroker.aero www.charterbroker.aero ISSN 2041-9279 Charter Broker is published six times each year, by Stansted News Limited.

Periodicals postage paid at Rahway, N.J. Postmaster: Send address changes to Stansted News Limited c/o Mercury Airfreight International Ltd., 365 Blair Road, Avenel, New Jersey 07001. Company registered in England no. 2224522. Printed by Stones.

Page 5

Quintessentially launches private charter division

Final frontier: Big business sees African potential

Wings 24 called into action just hours after launch as new initiative takes off

More business is coming out of Africa for charter brokers, operators and freight forwarders. Companies are pushing back the frontiers of private aviation in the east, west and north of the continent.

INDUSTRY NEWS Page 15

Lufthansa Cargo takes key freight development decisions DC Aviation increases long haul capability with three managed A319s

Dutch airports focus on making good reputations better Holland is a small country but it has a good number of airports and a wide charter operator base to draw on when neighbouring countries like Belgium, France and Germany are taken into account.

Page 20

Royal Jet expands cargo capability and adds more BBJs to vip passenger fleet Oryx Jet and Rizon launch partnership Page 18

New freighter promises increased payload

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The opinions expressed by authors and contributors to Charter Broker are not necessarily those of the editors or publisher. Articles appearing in Charter Broker may not be reproduced in whole or part without the express permission of the publisher. Charter Broker is not responsible for unsolicited manuscripts, photographs or artwork.

JUNE 2010

For advertising rates and data visit www.charterbroker.aero CHARTER BROKER 3

NEWS FROM BACA

Efficiency is the key to progress A The world’s largest network for air charter professionals BACA represents the interests of commercial aviation companies particularly in the air charter industries and markets.

Membership includes air brokers, charter airlines, airports, business aircraft operators, freight forwarders, consultants and others. www.baca.org.uk

4 CHARTER BROKER

S WE hurtle towards the second decade of the 21st century, can brokers anticipate bright new aviation technology awaiting them in the future?

There’s nothing as daft as old predictions of future scientific advances. Folk from the 1950s would be disappointed that we are not all wearing silver Spandex suits and flying around town in jetpacks. There’s a general opinion that we live in an era of unprecedented technological change, where things develop so fast that it’s hard to keep up. But in fact that’s not borne out by the evidence.

Take the car – a metal box on wheels driven by a petrol engine first appeared in the 1880s, and will soon have its 150th birthday, yet the basic principle remains unchanged. The shape may vary, efficiency, reliability and comfort have improved, but the 700 million examples in the world today are all essentially the same. Electric and hybrid vehicles are around in tiny numbers, but they won’t have any impact in the immediate future.

Apart from the computer, the really big breakthroughs occurred in the 19th and early 20th centuries – domestic electricity, the light bulb, flight, radio, television, telephones, gas turbines, diesel, indoor toilets – and we’ve actually slowed down since. In fact we’ve gone backwards in some cases; where are scheduled supersonic flights and manned moon landings today?

Realistically, fossil fuels will continue to provide most of the power used by transport, including aviation. No essentially new form of propulsion for aircraft has been available since Sir Frank Whittle flew his prototype jet aircraft nearly 70 years ago.

Electric aircraft are being tested but, like electric cars, we should not expect to see them in big numbers for decades.

Aircraft still usually have points at the front, wings on the side and tails at the back, just as they did in the First World War, and there’s no indication that this will change. There have been plans for ‘blended’ wing aircraft, in which the passengers and the engines are incorporated into a fat boomerang, but nobody is even hinting at building one.

Boeing decided that speed was the most important attribute for an aircraft, and designed the “Sonic Cruiser”, capable of flying at just below the speed of sound over distances up to 10,000 nautical miles. The concept was launched in 2001 and abandoned in 2002. If you add the new engine technology of a hypersonic “scramjet” to an aircraft capable of cruising in earth orbit, you could conceivably fly at Mach 5 from London to Sydney in an hour and a half. I’m not expecting to see aircraft like that at Heathrow in my lifetime.

If a fairy godmother granted three wishes to the industry and brokers, what would they be? Efficiency must surely be wish number one. As Boeing

concluded when it abandoned the 747X programme, airline customers didn’t want the ‘super jumbo’ (Airbus then launched the A380 and proved them wrong). And they then learned that the client didn’t want speed either, if it meant a high cost. What we really needed was economy, so the 787 Dreamliner was born.

If fuel efficiency can be improved by whatever means then everybody wins, from the passenger’s ticket price and the broker’s business volume, to the operator’s fuel bills and good old planet Earth. Of course you can improve fuel efficiency by packing as many passengers into your aircraft as possible. That means big aircraft, operating with high load factors.

A fully-loaded Boeing 747-400 is more than five times as fuel-efficient as a typical mid-to-large business jet.

Hold on, that’s not what we want to hear! If our customers can afford to fly on a business jet, and want to do so, then the fuel efficiency is irrelevant. In this case we have two types of passenger – the ones who will fly where they want and when they want and to hell with the cost or consequences; and the ones who will fly if they can afford it, so they need costs to be kept low. The broker’s best clients are of the first type!

In other words, we would rather like to keep things the same as they are now. And if that’s the way the private jet clients want it, there is little incentive for the industry to come up with any radical changes.

Second on our wish list might be noise reduction.

If aircraft were quieter, we could get them into more airports, at more times of day or night. That would be a bonus which would definitely make the broker’s job easier.

Finally, I would add ‘open skies’ as my third wish. If only we could all fly freely round the world, just think what a wonderful world that would be.

But don’t expect a fairy godmother to offer any huge leaps forward in the immediate future; the aviation business will probably look pretty much the same to the next generation of brokers. But then, as I said before, there’s nothing as daft as old predictions of future scientific advances.

Dick Gilbert, chairman, BACA JUNE 2010

broker news

Challenge-Pro Foundation spearheads combined services in Europe and Russia market niches in the Ukraine including fixedwing and helicopter management, ground handling and dispatch support, fixed-wing and helicopter sales and purchase support, technical maintenance, air tickets sales, vip service arrangements and charter flights.

Nikiforov adds: â&#x20AC;&#x153;This partnership combines an in-depth knowledge of the Ukrainian, Russian and European markets and increases the number of handling departments throughout those regions. We are working on developing business from new segments of the markets as well as improving existing services.â&#x20AC;?

Sergey Nikiforov of Challenge Aero and Elmar Monreal of ProAir cement their companiesâ&#x20AC;&#x2122; increasing cooperation

Air Partner says restructure is paying off Air Partner says its restructuring and move back to core broking business is progressing well. â&#x20AC;&#x153;The process has seen significant costs removed from the business as the board seeks to align overheads with current client demand,â&#x20AC;? it says in an interim management statement for the year ending 31 July 2010. â&#x20AC;&#x153;The cost savings should positively impact the financial year ending 31 July 2011.â&#x20AC;? Air Partner reports improved trading, albeit from a low base, in some business areas.

www.diewildenkaiser.com

The Ukraineâ&#x20AC;&#x2122;s Challenge Aero and Germanyâ&#x20AC;&#x2122;s ProAir are stepping up and formalising their international cooperation with the launch of the Challenge-Pro Foundation.

ProAirâ&#x20AC;&#x2122;s Elmar Monreal says: â&#x20AC;&#x153;Each company ranks highly at national level and has benefitted from longstanding cooperation with each other. The formal union through Challenge-Pro will build on a number of successful projects we have carried out together.â&#x20AC;?

Challenge Aeroâ&#x20AC;&#x2122;s Sergey Nikiforov adds: â&#x20AC;&#x153;The formal partnership will enable us to consolidate and develop the creative and financial potential of both companiesâ&#x20AC;&#x2122; teams. Sharing experience and knowledge is the logical step to take our businesses to new heights.â&#x20AC;?

Monreal says: â&#x20AC;&#x153;The meshing of the combined experience and knowledge of both companies will stimulate the improvement, quality and expansion of numerous services.â&#x20AC;?

ProAir, he points out, has sub-divisions in Stuttgart, Frankfurt, Moscow and Oxford and experience in aviation freight as well as vip passenger handling and its own AOC. Challenge Aero has sub-divisions serving

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Charter Broker

broker news Mister Jet AOC adds new dimension to Real Executive operations Mister Jet, the German-based sister company of Zurich headquartered Real Executive, has gained its own European AOC. Mauricio Dellocchio, founder of both companies, says: “The German-based AOC means we can develop the charter activities of our expanding aircraft management division. We already operate a Challenger 601 and a Falcon 900 and are in the process of negotiating a Global Express.”

Dellocchio, whose father also worked in aviation for many years, says Real Executive was founded in 1992 as a private aircraft management company but has developed its charter broker activities and is now also focusing on building charter operator capability.

The firm’s growth led to it opening a branch in Barcelona in November 2008 and then to the formation of Mister Jet. Real Executive, managed

by Patricio Zunino is, says Dellocchio, performing very well despite the European financial crisis that has hit Spain hard.

“The company has achieved important targets to provide aircraft management services to newlyacquired customers in the region,” Dellocchio says.

“It is developing on the right lines and we are happy with its progress.”

Mister Jet, he says, was formed to provide commercial management and charter services to corporate and private aircraft customers.

“The combination of Real Executive as the aircraft management company and broker and Mister Jet as the commercial AOC operator is working well.”

Charter Broker

Avinode’s Johan Sjöberg and Air Partner’s Ben Bewsey celebrate the empty sector agreement

Air Partner integrates Avinode software to serve spontaneous demand Air Partner plc has launched an empty sectors consumer web site. “It features real-time empty leg availability on private jets worldwide, by sector and aircraft, at prices up to 75% lower than conventional charter rates,” says Ben Bewsey, Air Partner Private Jets UK manager. “We are increasingly serving leisurerelated clients while recognising that corporate charter is becoming more spontaneous.

Air Partner empty sectors provides clients with an at-a-glance range of hundreds of currently available flight options and also allows them to submit specific route and date requests.”

He says the latest Avinode empty leg link software has been integrated into Air Partner’s own system.

“This enables us to broaden our marketplace extensively,” Bewsey adds. “It is also part of a wider commitment to embrace innovative technology to expand our brand geographically. Previously we

provided a competitively-priced empty leg service on request, but this development makes for a smoother experience for clients seeking real-time information. It should also help reduce the number of ‘empty’ aircraft by making sensible use of their movements.”

Avinode’s business-to-business platform for buying and selling charter flights is used in 65 countries, primarily Europe, Russia, North America and the Middle East, with a progressive expansion into Asia, Africa and South America. Bewsey says: “Air Partner has its sights set on further geographic expansion, particularly in Asia and the Middle East.”

Johan Sjöberg, Avinode’s director of sales, says: “More than 4,000 aviation professionals use Avinode daily to charter flights worldwide. The marketplace currently lists 3,500 aircraft with online quoting, availability reports, empty leg postings and picture galleries.”

ACS gets the exact measure of cargo cost savings Dan Morgan-Evans, cargo assistant director of ACS’s London office, recently organised a shipment that took meticulous planning. For the transport of a 30 ton control unit that was needed in Nigeria he insisted that loadmasters went to the site, measured everything precisely and checked before a contract was agreed.

“It fitted with only millimetres to spare,” Morgan-Evans says.

“When I first saw the dimensions, I knew it was going to be touch and go as to whether we could fit it into the Ilyushin, but the operator and I made all the necessary checks before we said ‘yes’.”

Morgan-Evans adds: “Using the IL-76 instead of the next step up, the AN-124, meant that the client paid less than half of what it would have cost without the thorough planning. The client was very pleased with the service and

savings and the aircraft arrived safely in Port Harcourt.” june 2010

broker news LunaJets says empty leg bargains attract new clients Geneva-based LunaJets reports that its dual approach to providing charter broker services is paying dividends. ”We focus 50 per cent on providing services centred on empty legs and 50 per cent on regular broker activities,” says ceo Eymeric Segard. “We had a very good 2009, our first complete year of operation.”

LunaJets, he says, provides a distribution channel for operators to capitalise on missed profit opportunities. Segard explains: “We targeted first and business class travellers with the objective of upgrading them to private aviation by optimising the industry’s empty legs. We count many ex-fractional owners and ex25-hour cardholders among our clients.” LunaJets has re-designed its web site but says many online enquirers go on to utilise its telephone and email capabilities.

june 2010

Newly-launched Emerald Jet focuses on bespoke green charter New York City-based Emerald Jet Charter, a newly-launched broker providing global services, promises bespoke client service by aviation industry professionals on carbon neutral charter flights.

President Tracy Nuzzo (pictured) says: “As standard business practice, the company will offset carbon emissions for every charter flight it brokers without added cost. Charter aviation as an industry needs to get on board and even get ahead in reducing its carbon footprint.”

Nuzzo adds: “Our offices are carbon neutral and so is every flight we broker. We are committed to reducing the impact of our business on the environment both on the ground and in the sky.

Reducing our climate impact is a core value of our company and something we take seriously.”

Emerald Jet Charter, which has satellite offices in Atlanta, Georgia, and Connecticut, is working with Carbonfund.org to

offset emissions in support of renewable energy, energyefficiency and reforestation projects in the United States and abroad. Eric Carlson, president, claims: “These projects have reduced over £5 billion of greenhouse gas emissions globally.”

In addition to fixed-wing, Emerald Jet also offers helicopter charter, including flights from New York City to the Hamptons.

“Our management team is comprised of experienced corporate aviation professionals, including pilots, flight attendants and dispatchers who have spent years flying Part 135 charter flights,” says Nuzzo.

“This knowledge offers great insight into the service of clients in all aspects of the flight from planning stages to the smallest details in the cabin of the aircraft.”

Charter Broker

broker news

Quintessentially’s new private charter division complements lifestyle services Quintessentially Aviation, a new broker and aircraft charter sales and management specialist, has launched as a one-stop-shop for private charter clients.

Part of Quintessentially, a global luxury lifestyle group, it promises clients direct links to worldwide concierge services.

“Quintessentially Aviation was formed initially to cope with the jet needs of our clients globally,” says md Lisa Murray. “However we have a growing number of customers from outside the Q network too.

“As word of mouth travels, private jet users are contacting us.

People are aware of the Quintessentially brand. We are a one-stop-shop – one phone call and their jet, hotel, restaurant bookings, car transfers, opera and theatre tickets and club guest list are all sorted.”

Murray adds: “We have 52 offices globally, covering every continent. There is consistent annual jet business in the Middle

Lisa Murray: building new private charter business East mainly from Saudi Arabia and Abu Dhabi, but demand also originates in Russia with Moscow a prime centre. In Europe we will be servicing clients travelling from London to mainland European cities such as Geneva and Brussels and in the US, New

York, Miami, Vegas and Los Angeles are all busy centres.”

Murray adds: “We are noticing an increase of bookings in India and Hong Kong. Demand is good in Mexico, Panama and Brazil and in Africa we are busy in Nigeria, Morocco and South Africa.”

She says: “As many of our members like to travel during holiday periods we are particularly busy in the summer in the Mediterranean with winter skiing in the Alps and to the Caribbean over the festive season when our clients like to head to St Barts, Mustique, and Barbados.

“Quintessentially Aviation arranges all corporate needs from booking a conference or meeting room to picking that perfect discrete restaurant for a dealclosing dinner.”

Quintessentially Aviation operates a carbon offset scheme in association with TreeFlights, committed to planting at least four trees in Kenya for every charter booked.

Quick response Kevelair builds on successful first year Kevelair is developing business in Arab North Africa and focusing on quick response charters as it expands further in 2010 and 2011.

Fabrice Mandon (pictured), gm, says: “Launched during the worldwide economic crisis, we have nevertheless celebrated our anniversary with promising figures. To record 55 flights worldwide in a first business year and attract such a good number of ACMI last summer is a fine achievement.”

He adds: “Kevelair has some very good prospectives. With 19 bookings and rising already confirmed through to September the company looks forward to the rest of 2010.”

Minute attention to detail wins plaudits on trip to Sweden Meticulous attention to detail wins and retains business, according to Germany’s ProAir. This ethos was taken to heart when the company organised a flight from Cologne to Skellefteå in the north east of Sweden aboard a 100-seat BAe 146 aircraft.

Kathrin Schuessler, who was on hand to welcome clients aboard, reported that just some of the details attended to included printed pillow cases and napkins with the client’s logo on.

There were also sweets and drinks on board, adhesive labels on the aircraft, displays at the gate, logo at the check-in counters, and gate catering in an exclusive lounge with direct access to the aircraft.

Charter Broker

CF works to help fight against Gulf of Mexico oil spill Chapman Freeborn Airchartering has coordinated a series of worldwide aircraft charters to New Orleans, US, to help tackle the leak from the site of the Deepwater Horizon rig in the Gulf of Mexico.

CF’s UK office coordinated an initial cargo charter using a B747-400F to transport around 60 tons of technical oil spill equipment from the UK’s East Midlands airport to New Orleans.

A B747-200F charter, managed by the company’s Singapore team, also departed to New Orleans from Singapore with an additional 55 ton

consignment. CF also arranged two further B747-200F charters to transport 80 tons of equipment from Qingdao, China, to New Orleans.

The company’s passenger charter expertise was also called upon by a Netherlands-based salvage specialist company who were dispatched to the region in the immediate aftermath of the Deepwater blow-out.

CF’s Amsterdam office arranged for a Falcon 7X executive jet to transport a team of seven experts to New Orleans. june 2010

Gama Aviation is proud to announce our arrival in the Middle East. Now offering aircraft charter and management from Sharjah International Airport.

For over 27 years Gama Aviation has been one of the

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www.gamagroup.com UAE Office: Building 6EA Office 550, PO Box 54912, Dubai Airport Freezone t: +971 4609 1688

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broker news

In brief...

Wings 24 called into action just hours after launch as new initiative takes off Chapman Freeborn has launched Wings 24 Ltd targeted at airlines seeking fast, reliable ACMI subcharter and outsourced flight support, including permits and aircraft fuelling services. Darren Banham, a member of the management team, says: “We have combined our 24-hour ACMI division and its former operations subsidiary, Paragon Global Flight Support, to form one new company which will assist with passenger and cargo flight operations worldwide.”

Banham adds: “Just four hours after the official launch of Wings 24 the team confirmed its first booking – a sub-charter operation from Dusseldorf, Germany, to Luanda in Angola.

An MD-83 aircraft was quickly drafted in from Paris-based charter airline Blue Line to fly 70 exchange students to the Angolan capital after another airline’s aircraft experienced a longer than forecast maintenance check.

“This is an example of how Wings 24 assists airlines in immediately finding a sub-charter aircraft to continue operating their flight programmes – helping to maintain punctuality and customer service levels.”

Peter Walton: competitive fuel rates Banham continues: “The message coming to us from airlines of all sizes was that they wanted a reliable, cost-effective one-stop-shop for global flight support, so we set about forming Wings 24 as a specialist company that covered all the bases. The feedback so far has been overwhelmingly positive, with clients finding that a flexible approach with a single point of contact is proving both time effective and less stressful.”

The 13-strong Wings 24 team are all professional ACMI and operations experts drawn from airline and aviation backgrounds.

Peter Walton has been

Darren Banham: immediate booking appointed gm of Wings 24 Ltd, with responsibility for day-to-day oversight and strategic development of the London Gatwick-based business. He joined the Chapman Freeborn Group in 1995, and has more than 30 years of aviation industry experience including spells at Air Dispatch International and as gm of Paragon Global Flight Support.

Wings 24, Walton points out, also provides customers with access to competitive aviation fuel rates at airports worldwide.

“By monitoring fluctuating fuel prices around the clock, Wings 24 allows airlines to mitigate the impact of sudden rate changes.”

Fans race to book Grand Prix package from Cloud9 Charter broker Cloud9 reports a strong response from clients to the marketing of a vip package that enables Grand Prix fans to travel to events by private jet.

Company ceo Andrew Mason (pictured) says: “Despite only recently being rolled out for selected races in the 2010 season, with a view to offering it for every event in 2011, Cloud9 has seen a huge amount of interest in the new package from businesses looking to use it for corporate entertainment and from well-heeled race fans looking for something different.”

The package, called the AT&T Williams Grand Prix Experience, covers glamorous fixtures such as November’s Abu Dhabi Grand Prix.

Mason says: “The exclusive package allows invited guests to travel by private jet to selected Grand Prix, enjoy the finest cuisine and in-flight service, chauffeur transfers and the Formula One 10 Charter Broker

experience in the AT&T Williams hospitality suite. It also provides bespoke concierge support among additional services.”

He adds: “There has been strong demand for the package at events such as the star-studded night race in Singapore and the season finale at Abu Dhabi’s Yas Marina circuit among corporate sponsors.”

ProAir responds at the double to save mine from stoppage ProAir decided on a two aircraft strategy to save a copper mine in Sambia, South Africa, from having to suffer a stoppage.

“We received an enquiry for approximately 50,000 kg of building material. The freight had to arrive on site within four days to avoid a stoppage,” ProAir says.

“After scrutinising the facts it became apparent that a combination of two different aircraft was the perfect solution to carry the freight to destination in the fastest possible way.

“An Antonov 12 and a DC-8 were chartered. Both aircraft landed at the destination less than three days after the order was placed.”

ACS Hong Kong reports record first quarter Air Charter Service’s Hong Kong office reports a record first quarter. Gavin Copus, director ACS Hong Kong, says: “The charter market here in Asia is booming at the moment.

“Private jet charterers in this region seem to have learnt from mistakes in the US and Europe when it comes to JetCards and fractional ownership. They realise that ad hoc chartering is more flexible and normally more economical, and that is what we offer. These other schemes require large upfront down payments and are calculated so that the supplier does not lose money on the block hours.”

Copus adds: “We had a great 2009, but we’ve seen incredible growth in the first three months of this year. Sales in excess of US$2.6m in what is traditionally the quiet part of the year is a great achievement.” june 2010

safety & security

Due diligence takes priority over profits Up-to-date training of pilots and crew, the best equipment and attention to detail are among numerous factors that underpin passenger safety and security whether the flights are to the world’s hotspots or to seemingly routine destinations.

This feature starts a regular series examining the broker’s need to treat due diligence on client safety and security as a career-long obligation.

JUNE 2010

Charter brokers and operators who refer business have a professional obligation to their clients to take all reasonable steps to ensure that the aircraft chartered on their clients’ behalf are operated to acceptable standards, ensuring a safe journey.

Client safety must of course, be the first priority well before even the issue of competitive pricing can be addressed. However, though work may start with ensuring that the chosen operator has a first-class safety record and procedures, a broker needs to have an open-ended commitment to ensuring due diligence is as up-to-date and as comprehensive as possible.

The Aircraft Crashes Record Office (ACRO) in Geneva, Switzerland, points out that aircraft safety has come a long way in more than 100 years of ongoing refinement. Built-in safety features include evacuation procedures, computerised auto-recovery and alert systems, engine durability and failure containment improvements and landing gear that can be lowered even after loss of power and hydraulics.

ACRO, which compiles statistics on aviation accidents of aircraft capable of carrying more than six passengers, not including helicopters, balloons or fighters, says: “When measured on a passenger-distance calculation, air travel is the safest form of transportation available.”

But it adds: “However, when measured by fatalities per person transported, buses are the safest form of transportation and the number of air travel fatalities per person is surpassed only by bicycles and motorcycles. This statistic is the one used by the insurance industry when calculating insurance rates for air travel.”

Safety issues are seemingly endless, ranging from pilot training to Charter Broker 11

aircraft maintenance and from airport security to sensible destination and itinerary precautions. For the small broker, and even its global counterpart, there are numerous issues to be addressed in a finite amount of working time.

Mutual referral networks Brokers and operators work through mutual referral networks and trustworthy personal contacts. Being able to rely on a business contact is critical in an industry where one mistake on even very routine issues can lose tens or even hundreds of thousands of dollars worth of business. There is an anecdote where an entrepreneur chartered private aircraft separately for his wife and his mistress who had very different tastes where flowers were concerned. The florist, out of stock of what was ordered, sent the wrong type of flowers to the wife’s aircraft and the unfortunate broker lost a valuable client.

The broker might not be held legally or professionally responsible for an operator taking on board sub-standard fuel in an out-of-the-way airport or for sub-standard maintenance by a technician with family issues. However, every broker needs to be as sure as possible that no such issues will be a disruptive or even business threatening problem.

Industry databases can help. For example Avinode, which has long carried ARG/US safety ratings in its marketplace, will be featuring Wyvern ratings as well. “This addition will allow members to make informed and reliable choices from an even wider array of operators,” Jim Betlyon, Wyvern ceo, says.

Wyvern, which is now a wholly-owned subsidiary of Avinode, has served the charter industry for more than two decades using bespoke methodologies. The services that now contribute to the Wyvern Standard were created to fulfil the needs of corporate flight departments and charter brokers wishing to conduct safety due diligence on their vendors. Betlyon explains: “These arrangements eventually grew into the formalised procedures carried out by Wyvern to ensure that companies operate within the Wyvern Standard. Initial operations and maintenance inspections tend to take about two days.

Wyvern can also issue a Pilot and Aircraft Safety Survey, or PASS report, for each trip to verify that aircraft are legally operated, insurance is valid and flight crews have relevant flight experience.”

Operators who pass a recurrent Wyvern audit and maintain updated company, aircraft and crew data are issued a Wyvern recommendation. Kristina Jelenic, an Avinode product specialist, explained that the addition of Wyvern recommendations in the Avinode marketplace means that users now have a wider array of safety ratings to view. “By pairing Wyvern recommendations with ARG/US ratings we can now offer both our brokers and operators an even more secure and simple charter experience,” Jelenic said.

The added availability of Wyvern data in the Avinode marketplace is the result of the merger of Avinode and CharterX earlier this year.

Many brokers rely on their personal contacts and networks. Some rely on several, or even a multitude, of different small networks that they know from experience that they can trust. Prestige Aircraft, Real Executive and Corporatejets are an example of broker and charter organisations who have worked together to their mutual satisfaction.

Financial considerations Whatever the approach, both the broker, either directly or indirectly, and the operator have to budget for the cost. Baldwin Aviation and Gray Stone Advisors, a change management consulting firm based in Knoxville, Tennessee, have invested in online, investigative analysis tool targeted at business aviation operators seeking to determine the financial impact of implementing a rigorous and formalised Safety Management System (SMS) on their flight operations. “Mandated SMS programmes are becoming the rule rather than the exception for flight departments conducting international flight operations in today’s global business environment,” says Don Baldwin, ceo and founder of 12 Charter Broker

Networking: pictured left to right are Francisco Del Campo Wright of Prestige Aircraft, Patricio Zunino of Real Executive, Jacint Puigmarti of Corporatejets, Alfred Bijl of Corporatejets and Mauricio Dellocchio of Real Executive.

Universal Aviation: focus on security Baldwin Aviation, “but demonstrating the reasons for investing in an SMS to non-aviation related executives within a company can still be an issue, so this ROI calculator is a simple way to shorten that conversation.”

“We have a lot of business aviation sector clients examining and implementing rigorous and formalised SMS programmes, and others who needed a tool just to help them start the discussion with the folks in finance and accounting,” adds Jim Lara, principal at Gray Stone Advisors. “When we didn’t find a tool on the web that was specific to business aviation, easy to use and didn’t require a purchase, we decided to create one, so we got together with Baldwin Aviation and developed this calculator.”

Baldwin Aviation, an IS-BAO registered SMS implementation company, says the practical benefits of proactive safety management and consistent, up-to-date training can be measured in dollars as well as in time savings and increased operational efficiency. Baldwin points out: “Insurance companies usually recognise the benefits of a well-defined programme by reducing their rates for operators. Consistent monitoring of JUNE 2010

procedures and overall management of operations usually translates into competitive advantages.”

FlightSafety International says its clients can now receive preferential pricing and preferred access to Argus International’s Prism SMS. Director of strategy and business development Chris Weinberg says it is aligned with the ICAO ‘four pillars of safety management’ concept and is fully IS-BAO compliant.

The EBAA is conducting a web-based survey into fatigue that will gather information to help EU-based pilots meet new regulations that become effective in June 2012. Brian Humphries, president and ceo, explains: “This study will collect crucial data from business aircraft pilots that will be used as the basis for customised EU flight time regulations. To date, business aircraft have operated with the same regulations as the airlines, though with some national variations.

When the new regulations are introduced, national variations will not be allowed. But this study, which takes just 30 minutes and needs a minimum of 1,000 responses to validate the poll, will collect crucial data from business aircraft pilots which will be used as the basis for customised EU flight time regulations.” Mark Rosekind of California’s Alertness Solutions, a specialist in the effects of fatigue, is working with EBAA on the project.

Non-commercial business aircraft operators will need to have SMS in place to comply with ICAO requirements. This legislative requirement is driving the development of products and services. AeroEx says: “We now provide comprehensive SMS programme support including essential elements of SMS programmes, web-based SMS Pro applications and SMS manual preparations.”

The major focus of the broker and operator has to be on the aircraft, the airports used and any concerns about the chosen destination. The utmost caution was exercised by brokers and operators as Bangkok generated world headlines. The ASA Group, a charter operator, broker and an Asian vip aviation security specialist with a base in Bangkok, has been on regular high alert for weeks. Simon Wagstaff, ASA md (pictured on the front cover with colleague Julie Ambrose), advises clients to protect their assets as well as their person. “There are some airports where we recommend security measures that are in addition to those provided by the airport,” says Wagstaff. “It is obviously worth ensuring that a multi-million dollar private jet is protected from damage and any intrusions that might affect the client. ASA employs its own personnel but there are obviously situations where local expertise and manpower is also required. In those instances we use firms we know and trust and also employ our own personnel to check and ensure on the spot that the security is at all times to the standards we require.”

Wagstaff says that 2009 was tough but that business has picked up in 2010. ASA opened a new office in Singapore in January and has won a two-year security contract there. He says: “It pays to be cautious although Bangkok is safe for the average person. I have lived in Full advert 60 years x 190:Layout 1 generally 3/6/09 patient 09:56andPage Thailand for several and people are easy 1

Important checks for the charter broker There are numerous procedures that air charter brokers should carry out to ensure aircraft stay secure and safe. A few of the important checks include: • Establishing a screening process and performing proper due diligence on charter operators • Obtaining and reviewing reports from third-party independent safety auditors for operator, aircraft and crew.

• Verifying the charter operator has a current Part 135 operating certificate, the type ratings and qualifications/training of flight crew members, and that the liability insurance carried on potential aircraft is adequate • Obtaining “day of flight” contact information for the client and passenger to get in touch with them directly in case issues arise during the trip • Performing proper due diligence on all clients/passengers and provide information that the charter operator will need to conduct security-related vetting in advance of the flight • Being alert to factors or indications that a flight might not be legitimate, and expressing any concerns you may have to the charter operator going. However, during these uncertain times, trouble could break out at any moment and it is wise to have strategies in place to avoid danger.”

Language skills A decorated British soldier with three decades of experience underpinned by advanced aviation security management training, Wagstaff escorts clients who require the utmost discretion. These include heads of state. Local knowledge and language skills help ensure that clients do not get into trouble at hotspots. ASA started out by providing security services in the Far East in countries including Thailand, the Philippines and Indonesia. It has broadened its sphere of operations to include countries such as Japan and Korea and is diversifying its private aviation services.

Wagstaff says: “We recently had a client who wanted to ski in Japan. He needed a bodyguard who spoke English and Japanese and

PROMOTING PROFESSIONAL STANDARDS IN AIR CHARTER BROKERAGE

WWW.BACA.ORG.UK

THE BALTIC AIR CHARTER ASSOCIATION JUNE 2010

Charter Broker 13

Emphasis on safety: Avinode’s Niclas Wennerholm, evp business development, and Kristina Jelenic, product specialist with Jim Betlyon, ceo Wyvern Inc was a top skier. We provided what he needed. ASA gets all kinds of requests and these include those with some exceptional requirements.

There are numerous scenarios ranging from the ordinary to the very unusual and much might depend on whether the client is travelling alone on business or incorporating a holiday with his family. Generally, however, for many people, it is largely a question of applying common sense and adhering to simple rules. It is always advisable in a foreign country to keep a low profile and not attract any undue attention. In some cases we might advise the client to use a lower profile airport or a hotel with particularly appropriate security procedures.”

Wagstaff points out that, although headquartered in the Far East, ASA operates worldwide with its core operational focus stretching from Turkey in the west to Japan and China in the East. “China is an interesting market with a great deal of potential and it is one that requires a large amount of specialist local knowledge,” Wagstaff says.

Heightened risk These issues are also emphasised by many other security focused companies such as the ASI Group. Gabriella Cserei, the ASI Group’s intelligence analyst, responsible for the northern Africa region, points out that inadequate security measures at airports heighten the risk of operating flights in high-threat destinations.

Cserei says: “The airports in both Bangkok and Islamabad have problems with corruption and substandard monitoring systems. At Mumbai’s Chhatrapati Shivaji facility concerns are a primary threat.

Although attempts have been made to secure the facility following the November 2008 terrorist attacks in the city, a number of security problems plague the airport, including corruption, poor training and management of personnel, as well as substandard facility security measures.” For example, she says, general aviation parking areas are not separately fenced or well lit, and security monitoring of various operational areas is not always adequate.

She adds: “Airport authorities vet contractors who have access to secure areas, though the contractors’ actual employees seldom undergo background checks and have been implicated in acts of vandalism against private aircraft. In addition, general terrorism concerns in India greatly increase the overall threat profile of the airport.”

Similarly, Murtala Muhammed airport in Lagos, Nigeria, another high risk destination, is also primarily characterised by substandard facility security. “Safety shortcomings have been prominent at this facility for years. While some security improvements have been made, including the installation of state-of-the-art security scanners, significant concerns remain. An incident in April 2010 in which a woman reportedly breached security and boarded a flight without a 14 Charter Broker

ticket demonstrated the continuing concerns at this facility,” Cserei says. “Corruption and scams are problematic at this facility. Local police and military personnel regularly solicit money, and con artists posing as immigration officers have been known to extort money from travellers and aviation personnel. Guards and criminals outside the airport are known to bully passengers, using intimidation to extort ‘fees’.”

ASI’s guards, she says, are selected with extreme due diligence and must follow ASI’s strict Post Orders for guarding aircraft. Guards are properly uniformed and are held to a higher standard based on the Post Orders that they must adhere to. ASI’s Intelligence Department also reviews the security conditions of international airports. Through the Intelligence Department, airport security briefings are available to assist clients in making their security decisions.

As with conditions at VABB, the secondary concerns of terrorism and local instability, combined with primary facility security concerns, make this location a higher threat to corporate air travel, Cserei warns.

Regardless of what primary security threat affects a given location, it is generally a combination of concerns that elevate a destination into the high risk category. “As these destinations highlight, security measures are often inadequate at the airports,” she points out. “The executive aviation industry must therefore approach such high risk destinations in just as stringent, if not even more elevated manner as the commercial sector.”

She warns that flight operators must obtain detailed security assessments of destinations and airports in advance of departure.

Secure area Brokers need to check that operators have a strong focus on ensuring aircraft parked at airports are safe – partly to protect their clients’ possessions left onboard, but also to ensure availability of the aircraft for the return leg.

Sri Luckshmanan, security services manager Universal Weather and Aviation, says: “When people go to a shopping centre, they typically try to park in a secure area, lock the doors, set the alarm and take their keys. But sometimes those same individuals travel to a foreign country and leave multi-million dollar aircraft unattended for several days.”

Another client once declined aircraft security and elected to use security tape as an alternative. Luckshmanan says: “When they arrived for departure the next morning, the tape had been tampered with, requiring a time consuming thorough check of the aircraft to ensure no explosives or other threats had been planted. I’ve also had clients that have had large amounts of cash stolen from aircraft that were thought to be in secure airports. This kind of thing can and does happen.”

Luckshmanan says the key is to understand the security risks of each airport that the private or charter aircraft will be using. “Universal can supply its clients with detailed information about each airport and then let them make their decision on whether to hire aircraft security.

It is important to take a number of issues into consideration such as the amount of lighting in the area the aircraft will be parked, the quality of the fencing surrounding the airport, the airport’s policy on who can enter the parking area. We can ensure clients have all the information they need to make informed decisions.”

Matt Burdette, chief of intelligence for the ASI Group, says there remains an increased effort by operators to maintain heightened levels of security that were brought to pre-eminence by the 11 September 2001 attacks. However he warns that there is an increasing risk of complacency in recognising, evaluating and pre-empting new security concerns to aircraft, crew and passengers. “This is of particular relevance to charter brokers and operators who serve an everincreasing number of potential clients and a wide range of destinations,” he points out.

There are many other safety issues which brokers need to study and be familiar with. Charter Broker will be examining these issues and more in forthcoming editions. CB JUNE 2010

AFRICA FOCUS

Final frontier: Big business sees African potential More business is coming out of Africa for charter brokers, operators and freight forwarders. Charter Broker looks at how companies are pushing back the frontiers of private aviation in the east, west and north of the continent as the football World Cup takes centre stage in the south.

JUNE 2010

South Africa, host of the 2010 football World Cup, may be the region attracting the attention of charter brokers but the longer term frontier lies to the north, east and west. The continent boasts oil, minerals and raw materials which have attracted investment and interest from economic superpowers such as China. The Maghreb, Arab speaking North Africa, has an affinity with the Middle East while firms from North America and Europe are also prospecting and investing.

Security risks, a scarcity of FBO and maintenance facilities compared to the more developed markets of North America, Europe and Australasia, and the long-term nature of the market are among factors that have inhibited many from planting business seeds in East, West and North Africa.

However, that is slowly changing as the need for raw materials drives international companies to build commercial relationships with African firms and governments.

Skyward Aviation, which has built a diverse charter broking business in Africa and the Middle and Far East, is looking to expand in Europe. Ali Tunde Bolarinwa, evp of Skyward Aviation which is headquartered in the Dubai international airport free zone, says that the broker is seeking representation to expand its growing network.

Charter Broker 15

The company focuses on demand out of Africa as well as demand into the continent, handling, for instance, an increasing number of Haj flights for pilgrims from Nigeria who make the trip to Mecca at least once in a lifetime. “There are around 75 million Muslims in Nigeria and organising their flights to Saudi Arabia is a large part of our business,” says Bolarinwa.

Bolarinwa, who previously worked for the International Air Services training school in the emirate of Ras al-Khaimah, UAE, says Skyward Aviation also services a constant private charter demand from Saudi families for aircraft including the BBJ and Gulfstream.

Skyward, which has an office in Lagos and representation in Riyadh and Shanghai, also arranges a large number of cargo flights to West Africa from exporters based in South East Asia.

“There are two aspects of our business that we would particularly like to expand and improve,” says Bolarinwa. “We would like to fill more of the empty legs that are experienced by cargo aircraft returning from Nigeria to the Far East and Skyward Aviation would also benefit from expanding its network into Europe. I have been conducting factfinding missions and believe there is good potential in this regard.”

Medical opportunities Expatriates working in Africa are inclined to take out insurance for medical repatriation and this means that the air ambulance sector has tended, in the past, to be better represented than private charter. Italy’s SpA Lombardi Air Ambulance is opening bases in North Africa and Eastern Europe as it expands the scope of its business. The company says: “We are implementing new international governmental and institutional collaborations as well as partnerships with leading global insurance groups.”

The company was launched in 2007 after Capt Carlo Gioia spotted a demand for a structured organisation that could address the technical and human issues involved in aeromedical transport. “We operate a fleet of intensive care unit configured aircraft able to reach any destination and have benefited from an extraordinary growth in 2009 of more than 300 per cent,” the company says.

But the continent is attracting more attention from private charter operators including Abu Dhabi’s Royal Jet and Switzerland’s Vistajet who are developing both mature and emerging markets.

VistaJet reports that it is expanding into West Africa after experiencing rising interest in its services. It has launched a new partnership with West African businessman Kola Aluko who has joined the company’s advisory board. Thomas Flohr, ceo, says: “A number of clients have signed up for more than 1,200 flight hours and we expect this to increase in the coming months and years.” Africa will, he predicts, become an increasingly important part of VistaJet’s global network.

Royal Jet, which is adding two more BBJs taking the total to seven by 2014, sees growing potential in Africa. “What we found during the recession is that demand from government missions, heads of state and delegations have increased,” says president and ceo Shane O’Hare. “We also have emerging markets in Africa where there is very strong trade despite recession, such as between China and countries in Africa.”

The group, jointly owned by Abu Dhabi Aviation Co and the emirate’s government, operates a fleet that also includes the mid-range Gulfstream 300, the long-range Gulfstream IVSP and the Learjet 60. It serves corporations, governments, jet-set individuals and heads of state globally. The corporate sector is recovering but at a slow pace, with modest growth expected this year, said O’Hare. “From August we will add a Lineage 1000 having signed a new aircraft management deal with UAE-based business conglomerate, the Al Habtoor Group.”

Coordinated expansion The development of business in Africa is part of a coordinated expansion which encompasses cargo as a sector and other continental markets such as Europe. Royal Jet, chaired by HE Sheikh Hamdan Bin 16 Charter Broker

Ali Tunde Bolarinwa: assessing potential in Europe

Shane O’Hare: demand from heads of state

Thomas Flohr: expecting growth

Mubarak Al Nahyan, has launched t he ‘100 Club’ relationship programme. “To join, customers need only commit to a minimum of 20 hours flying time during a year.

Depending on the number of hours flown in a year, members’ discount increases proportionally up to a maximum of nine per cent,” he explains. Members can call on 24/7 assistance and have access to the full Royal Jet fleet.

One BBJ has been refurbished to make it t he world’s most technologically advanced and luxurious executive jet, according to O’Hare. “We have invested a considerable amount of money in this refurbishment, despite the difficult market conditions of the past year, once again reaffirming our commitment to providing guests with the most luxurious in-flight experience possible.”

Gulfstream says it expects to “aggressively continue” to build opportunities in Africa and the Middle East. Jeff Miller, president of communication, says the overall market is shifting from North America to global markets. This “dynamic shift” led to Gulfstream’s pa r t ic ipat ion i n t he Ave x International Airshow, which it describes as its Africa and Middle East aviation platform. The show takes place from in November this year at Egypt’s Sharm El Sheikh international airport.

Freight forwarders are also stepping up their presence in Africa as they build and consolidate global JUNE 2010

networks. The WCA Family of Logistic Networks has opened an eighth regional office in a move that David Yokeum, president, said was necessary for the benefit of the network. “Feedback from members clearly indicated that the WCA family had to strengthen its efforts in the African continent,” Yokeum adds. “Members demanded more strong and professional independent freight forwarders in the region with a wide range of capabilities to further extend the reach of the alliance.”

But the move was made bearing in mind that, though Africa was a

fast emerging market, many international freight forwarders were very cautious about doing business within the continent. Gangadhar Iyer, appointed to meet the challenge of providing contacts and reassurance for the network, has lived in Africa for more than 14 years and has worked closely with shipping lines, air carriers, transport companies, customs brokers and freight forwarders across the continent. He is fluent in English, Portuguese and French.

Iyer says: “The biggest task will be to identify the best freight forwarders that can fit with the networks. I will visit each office, review their facilities and meet their staff. My initial plans are to concentrate on countries that are fast developing and having little or no membership representation within the group.” Independent freight forwarders will have to pass the rigorous financial checks.

Ghana, Iyer adds, was an ideal location for the new office because of its easy access to the northern and southern parts of Africa with an excellent infrastructure in place to visit neighbouring countries as well as regular connecting air flights to various parts of the continent.

The importance of selecting qualified forwarders is critical in Africa due to numerous challenges faced by the logistics industry within the continent. “What may look like a clear straight road on a map might actually be a road riddled with crater sized potholes, or may pass through areas infested with wild animals or even bandits and robbers,” Iyer says. Qualified members would have to be local experts with knowledge of such challenges and be able to find solutions and recognise the potential time constraints in order to build good communication channels with partners and customers.

But Iyer says: “This expansion will not only benefit the forwarders in the region and existing members around the world but shippers and consignees now will be able to have more reliable options to select from, knowing that top forwarders within the group can partner with each other in and out of the continent of Africa.” CB

Essential reading wherever you are Handbook of Business Aviation in Europe The reference book for fixed wing and rotary business aircraft in Europe and the Middle East, including charter operators and their fleets, and airports and handlers listed in detail. www.handbook.aero

Handbook of Business Aviation in Asia Pacific The reference book for fixed wing and rotary business aircraft in the Asia Pacific region, including charter operators and their fleets, and airports and handlers listed in detail. New edition out soon! www.handbook.aero

Global Business Jet Yearbook The reference book for long range business jet owners and operators worldwide, including charter operators and their fleets, and airports and handlers listed in detail. www.gbjyearbook.com

JUNE 2010

Charter Broker 17

Holland focus

Dutch airports focus on making good reputations even better Holland is a small country but it has a good number of airports and a wide charter operator base to draw on when neighbouring countries like Belgium, France and Germany are taken into account. Charter brokers and airports are, however, concentrating on making a good thing better.

Lelystad: attracting more business 18 Charter Broker

Dutch airports are focusing on making their provision of good private aviation facilities excellent to attract growing charter broker and operator business. Although there are a limited number of charter operators in Holland, that is no obstacle to charter brokers providing an efficient, competitively-priced service to their clients. “We serve the Dutch market but Holland’s location provides a great deal more than proximity to our clients,” Global Aviation’s Stephan Van den Hurk says.

“Holland is a good central location despite having few charter operators in its own right. Charter operators in Germany, France and Belgium provide a good, cost-effective service. In many cases, we find that the prices and services that can be obtained in countries such as Germany are best for our clients even allowing for re-positioning.”

Global Aviation, founded 16 years ago and managed by Karin Brocks and Van den Hurk , is headquartered in Eindhoven but carries out a great deal of work for clients based in Amsterdam and Rotterdam.

Van den Hurk points out that, although Holland is a small country, it has good airports countrywide servicing Amsterdam in the north, Rotterdam in the centre and Eindhoven and Maastricht in the south.

“Holland provides a good environment for a business with our focus. It has an entrepreneurial tradition that has seen nationals do business all over the world and I can’t see that ethos changing in the near future,” Van den Hurk adds.

Other airports include Lelystad which is working to provide a new integrated FBO facility. “Most of the people that come to Holland tend to think in terms of Amsterdam Schiphol but there is more than one good airport for business aviation,” says Pieter van der Ham, manager, commercial affairs. “We are part of the same group as Schiphol but we want to provide a good second possibility for those who may currently treat Amsterdam as the only or preferred option.”

Lelystad is working to bring its upgraded FBO facilities into operation later in 2010. Van der Ham says: “Charter operators and brokers already know us but we feel the improvements we are making will attract more of their business. Up to now Lelystad is the busiest airport for the smaller general aviation aircraft in Holland. The airport already has a hotel, restaurant and conference facilities and is three minutes away from the main motorway connecting Amsterdam to the northern part of Holland. Hangarage is available and will accommodate up to Boeing 737 later this year.”

The present grooved runway length is 1,250 metres and the Dutch Minister of Transport has given permission for this to be extended to 2,100 metres. However Van der Ham says: “This investment will not take place immediately due to the present situation in aviation but 250 people are already employed by the airport and a growth in this number is expected.”

June 2010

“Cities including Rotterdam, Amsterdam and Eindhoven have well-developed facilities” But he says that Lelystad’s position just 50 kilometres from Amsterdam city centre favours business development and its finances are boosted by its aviation theme park Aviodrome which attracts up to 200,000 visitors a year.

Van den Hurk says Lelystad is good for turboprops but its shorter runway militates against jet business.

“A longer runway would add appreciably to its attractions but we understand that this project is not l i kely to be i mplemented imminently.”

Rob Blaauw, charter sales manager Europe of Aviation Charter Limited, says Holland is a developed market but an expansion of FBO facilities and choice would still be welcome. “Cities including Rotterdam, Amsterdam and Eindhoven have well-developed facilities and a good perception of what is needed to attract charter operators and owners of private aircraft,” Blaauw says. “However Holland, like other developed economies in Europe including Germany and the UK, must work hard to improve how business

Rob Blaauw

Stephan Van den Hurk

aviation is perceived. Governments need to realise that modern aircraft are much quieter nowadays and that business aviation brings much needed business and jobs with comparatively little impact on the environment, particularly when compared to sectors such as heavy manufacturing or construction.

“Such industrial sectors are obviously essential but business aviation also has a key role to play in networking, communication and winning business orders. Holland could very much benefit from 24-7 business aviation airports.”

Blaauw says Aviation Charter, based in Canterbury, Kent, is pleased that associations like BACA are taking up such issues with civil aviation authorities and governments.

The Handbook of Business Aviation in Europe (HBAE), Charter Broker’s sister publication, lists all operators based in the Netherlands including Solid Air and Jet Netherlands and many helicopter operators but, despite being a small national market, it has attracted foreign operators.

Belgium’s FlyingGroup wants to continue developing activities on Dutch soil by increasing operations out of Rotterdam and Schiphol.

Ben Paindavin, marketing and PR director, says: “As a key player in private aviation in the Benelux, we significantly strengthened our European network with the launch of operations in the Netherlands.

From Rotterdam and Amsterdam more than 2,000 destinations can be reached within Europe and further afield. We have based three types of private jets in the Netherlands – the Mustang, the Challenger 604 and the Falcon 50EX.” Two four-seat Mustangs operate from bases in Rotterdam, Antwerp and Luxembourg while a Falcon 50 configured for eight passengers is based at Schiphol. “The Challenger 604 services Holland, offers a spacious and luxurious cabin and is configured for 12 passengers,” he adds. CB

Subscribe to Charter Broker at www.charterbroker.aero June 2010

ISSUE 3 OCTOBER 2009

MEDEVAC

IAC examines Middle East potential

Plus a round-uP of cargo, Passenger and business air charter news

Charter Broker 19

industry news

Lufthansa Cargo takes key freight development decisions Lufthansa Cargo AG is refining and expanding its operations. It has formed a joint company with Austrian Airlines called Austrian Lufthansa Cargo GmbH. Headquartered in Vienna, the new company will market the entire freight capacity of aircraft operated by Austrian Airlines and Lufthansa Cargo in the Austrian market.

“All the freight handling activities in Austria and the expansion of Vienna airport into a further hub for Lufthansa Cargo will be managed by the company,” says Franz Zöchbauer who, with Hasso Schmidt, manages the company and staff of about 120.

The expansion comes at the same time as Lufthansa Cargo and Mojix report the successful completion of a pilot deployment of the Mojix Star passive real time location system (RTLS). “Lufthansa Cargo is testing this innovative technology to locate single cargo shipments, pallets and containers on a real-time basis enabling better control of loading and shipping processes and reduced costs,” says Karl-Heinz Köpfle, board member operations. After extensive tests the RTLS will be integrated into Lufthansa Cargo operations in Frankfurt.

Separately Lufthansa Cargo has further

tightened its strict regulations governing the transport of live animals. The company has taken a permanent decision which means it will no longer transport dogs or cats which are intended for use in animal experiments.

Lufthansa Cargo: refinements and expansion

DC Aviation increases its long haul capability with a further three managed A319s New Riga FBO reports rising business levels Riga airport reports growing demand for services at what is billed as the first purpose built business aviation hangar in the Baltic states and Scandinavia.

Rick Hooper, who heads FBO Riga and previously worked for NetJets Europe as its FBO relations manager, says the facility’s total area covers 3,700 sq m. “The new venture of FBO Riga began its existence as the result of the efforts of three separate entities,” he explains. These are the Baltic Business Aviation Centre Ltd, FCG Ltd (Flight Consulting Group) and Triangel Ltd. Hooper adds: “The company has devoted much of its time and energy in seeking out and attracting well known western fleet operators as well as private business jet owners.”

20 Charter Broker

Germany’s DC Aviation is chartering three managed A319s.

“This gives us a total of four ACJs for charter,” says ceo Steffen Fries.

“Starting now we can offer larger groups extremely comfortable travel alternatives to destinations such as Beijing, South Africa or New York.”

Fries points out that the additions significantly expand the long haul capability already offered by DC Aviation’s Challenger 604s, Legacy 600s, Global Expresses, Gulfstreams 550s and the company-owned, 48-seat Airbus.

He adds: “In the Middle East along with Europe, there is

Steffen Fries: client comfort priority demand for charter flights with these exclusive vvip aircraft.

We are receiving requests for charter flights from private

individuals as well as large corporations. The A319s offer a level of comfort on long-haul flights that is simply unbeatable.”

DC Aviation served as lead adviser and supervisor in the remodelling and delivery of each of the three A319s. “The services provided by the company ranged from defining the specifications to technical inspections during manufacture as well as final delivery and acceptance from Airbus. DC Aviation then also supervised the interior completion of the aircraft,” Fries adds. “Each has a unique solution and is tailormade for the respective customer.”

Geodis Wilson claims new freight world record The industrial projects division of global freight management company Geodis Wilson, which has built a specialist team to handle wind energy logistics, has arranged the transport of what it says are the two longest cargo pieces ever flown by an aircraft.

Henrik Funk, global manager wind energy projects, says: “The giant Antonov AN-225 was used to transport two brand new wind turbine blades with a length of 42.1 metres for our client LM Wind Power. The project involved a full turnkey operation including inland transport from the LM Wind Power manufacturing plant in Tianjin to Tianjin airport, China, intricate loading on to the AN-225, customs clearance, supervision of unloading and final delivery from the Skrydstrup Vojens Danish military airport, the only Danish airport capable of handling this large move.” june 2010

In brief...

Royal Jet expands cargo capability and adds more BBJs to vip passenger fleet Royal Jet is expanding its presence in the UK and European markets having just signed an agreement with UAE dedicated cargo aircraft operator Maximus Air Cargo. A Royal Jet representative office in the Maximus office facilities at London Stansted is now open.

The agreement is in line with the target of Abu Dhabi Aviation (ADA) Group, a principal shareholder of Maximus Air Cargo and a joint shareholder of Royal Jet, to combine the offices of Maximus Air Cargo, Royal Jet and eventually Abu Dhabi Aviation Company, the commercial helicopter and fixed wing aircraft operator, under one roof.

“This move will effectively create a one-stop-shop environment which will provide easy and

Freight forwarders benefit as business picks up says Cargolux Freight forwarders are benefiting as multi-nationals increase shipments amid signs of a recovery in business, according to Cargolux. “Based on growing customer demand,” it adds, “we have introduced a third weekly frequency to Komatsu and Seoul.”

Two Trans-Pacific flights have also been launched linking Hong Kong with Chicago and New York on Thursday and Sunday.

The company says 2009 was arguably the most difficult year in the history of air freight. “The industry registered a decline in freight volume of well over 20 per cent during the year, compared to 2008. This led to immediate overcapacity with dire consequences for all players including Cargolux.”

“The production delay of the B747-8F has pushed the first delivery to Cargolux from 2009 to late 2010. We saw this development with mixed emotions. On one hand, the delay helped Cargolux to preserve much needed cash. On the other hand, the company could have june 2010

immediate access to almost all types of aircraft to suit customers’ every need and service requirement,” Royal Jet points out.

Abu Dhabi-headquartered Royal Jet is adding two more BBJs taking the total in its growing fleet to seven. “We are bringing one BBJ size aircraft into service and expect to add another one in 2014,” says Shane O’Hare, president and ceo. “Our sixth BBJ

will feature 22 seats and two generously proportioned lounges.

A private office and stateroom with bathroom gives the feel of a small boutique hotel making it extremely comfortable with lots of living space for families as well.”

He adds: “From August we can also add a Lineage 1000 to our fleet list having recently signed a new aircraft management deal with UAE-based business conglomerate, the Al Habtoor Group.”

O’Hare says: “The Lineage 1000 is one of the latest and most technologically advanced business jets designed to seat up to 19 passengers. Royal Jet can offer guests the full range of aircraft capacity and prices from the Learjet 60 carrying six passengers to the BBJ.”

well used the added efficiency, lower fuel consumption, higher range and payload to reduce its operating costs,” it reports.

Strong demand from China is helping underpin usage. “Ten years ago, the Cargolux office

located at Shanghai Hongqiao airport offered one weekly service to Luxembourg. In 2010, after 10 years of continuous growth, weekly frequencies reached eight with a weekly tonnage of close to 900,” the company reports.

Royal Jet: increased presence

Swiss WorldCargo launches non-stop services Swiss WorldCargo is now offering air cargo capacity on Swiss’s new Zurich to San Francisco route which has six non-stop flights per week between Europe and its California air freight hub. Jack Lampinski, md Americas, says: “There will be a combined weekly capacity offer of 500 tons between Zurich and the US west coast.”

Al Bateen reports good feedback and rising business levels Al Bateen Executive Airport has announced a 30 per cent increase in aircraft movements in the first quarter of 2010 compared with the same period in 2009. Abu Dhabi Airports Company (ADAC) says: “Feedback from brokers, operators, manufacturers, distributors, handling organisations, and fractional providers and charter and lease companies has been good. An ILS precision approach capability upgrade is underway and the airport is establishing itself as the hub for business aviation in the Middle East.”

Al Bateen boasts more than 90 parking and maintenance spaces in hangars for different aircraft sizes along with 20 apron parking stands and is planning a luxury hotel.

Patriot Aerospace unveils Coventry plans

Brokers enjoy new Global Jet Concept Legacy Harrods Aviation London Luton FBO hosted a reception for Global Jet Concept as it demonstrated the Legacy 600, newly available for charter in the UK, to assembled charter brokers and private clients.

The aircraft (pictured) is named ‘St Nicholas’ after the patron saint of sailors. Global Jet international sales director Janus Kamradt says: “St Nicholas is already a very popular aircraft. The Legacy 600 can seat 12 passengers and has bed capacity for six. It offers a large and luxurious cabin, a full service galley and a very generous luggage compartment.”

Aviation group Patriot Aerospace has acquired the UK’s Coventry airport, promising to create a vibrant, commercial regional general aviation hub for leisure, business and freight. “It dovetails with the group’s extensive national flight training, charter, sales and engineering operations,” says the company’s owner Sir Peter Rigby.

Charter Broker 21

industry news

In brief...

Asia boosts Hahn airport cargo levels

Rizon Jet ceo Patrick Enz, Oryx Jet ceo Mike Bradly Russell and gm Rizon Jet, Biggin Hill Jackie Nikolajsen celebrate ‘one-stop-shop’ plans

Oryx Jet and Rizon launch partnership Oryx Jet has established its operational base at London Biggin Hill. “Our initial managed fleet centres on the Challenger 604 but further aircraft types will be introduced as required,” says Mike Bradly Russell, ceo and major shareholder.

Rizon Jet plans to provide maintenance and technical support on the managed Challengers.

“Oryx’s arrival at Biggin Hill complements the

activities of Rizon Jet, which will offer a one-stop suite of services to business aviation,” says its ceo Patrick Enz. “While operating separately, it is the intention that our two companies will work closely together to build support for the wide range of services we plan to offer at the one location.” Bradly Russell adds: “Our clients will have access to a brand new and luxurious Rizon FBO facility.”

Signature accesses better worldwide hotel discounts Signature Flight Support Corporation has completed the rollout of HotelTrak, developed

by Global Crew Logistics, to its 58 US-based FBOs and is implementing the system across its international network.

“One of the services that Signature offers its customers, which include the flight crews and passengers that travel through its FBOs, is to arrange hotel accommodation,” says chief commercial officer David Best. “Previously, each Signature FBO handled the hotel bookings manually and negotiated hotel discounts locally. We are now in a better position to negotiate hotel rates and provide customers with rates that they might not have accessed otherwise.”

22 Charter Broker

The A330-200F: volume plus

New freighter promises increased payload The A330-200F, billed as offering 30 per cent more volume than any freighter in its class, has been granted EASA type certification.

Christian Favre, A330/340 chief engineer, says: “Thanks to some design optimisation, the aircraft’s payload capability of 70 tonnes is one tonne more than first expected.”

Favre says: “This is timely as the freighter market is already showing signs of recovery, rising by 20 per cent so far this year. The A330-200F features an optimised fuselage cross section, offering flexibility to carry a wide variety of pallet and container sizes.”

Airbus says industry projections suggest more than 3,400 freighters could be needed in the next 20 years to cater for a 5.2 per cent average annual growth rate. This would include demand for around 1,600 midsized freighters such the A330-200F.

Germany’s Hahn airport reports that cargo transport levels are recovering thanks to increased business with Asia. The total volume of cargo shifted in 2009 was 174,664 tonnes, according to Jörg Schumacher, spokesman for the executive board of Flughafen FrankfurtHahn GmbH. “Much of this development can be attributed to increased business with the countries of Asia. Despite the difficult market environment the company is just 2.6 per cent below the result for good cargo year 2008. Passenger development also shows little change compared to the year before last.”

BACA expands its international client base The Baltic Air Charter Association (BACA) says it has seen its membership grow by 15 per cent in the last year.

“Traditionally our membership has been mostly European, but we are now also signing up more people from further afield, including Dubai, the US, the Philippines, Australia and Kenya,” says chairman Dick Gilbert. Three new council members appointed for 20102011 are Tony Coe, Aviation Complete Ltd; Martin Lener, Tyrolean Jet Services and Volker Meissner, Aviation Charter Ltd. Separately, Phoenix Aviation, based in Nairobi, Kenya, has announced that it is the first African BACA member.

Phoenix says it was also the first fixed wing private air charter company in Africa to be awarded with an ISO accreditation under the scope of supply for provision of domestic, regional and international charter flights, aircraft maintenance and worldwide medical air ambulance charter for both UKAS (UK accreditation) and ANAB (US accreditation). june 2010

Career Opportunities

CARGO SALES MANAGER

Next issue: August 2010 Final bookings: July 22

Air Partner plc, one of the world’s largest charter brokers, has an exciting new position within their Freight division. Based in the Cologne office we are looking for a Cargo Sales Manager whose main responsibility will be to lead the sales activity of the Group’s freight division by pro-actively developing and executing a sales strategy in the European territories.

If you are looking for senior sales, operations or management staff, then you can reach every charter broker in Europe and the Middle East by advertising your vacancies here.

All adverts appear in the printed and digital editions of Charter Broker, and we can advise on the best advert size from your text.

The Cargo Sales Manager will undertake an array of tasks and responsibilities including: ✈ Creating and implementing a sales strategy for the Territory in line with the Group Freight Strategy. ✈ Providing leadership to the sales effort across the freight departments in Gatwick and Cologne. ✈ Carrying out a pro-active sales effort including face-to-face meetings, client presentations and telephone ‘cold’ calling campaigns. ✈ Working with country and account managers and analysts to ensure successful delivery of services through the entire sales process. ✈ Attending conferences, exhibitions and trade events as required to establish new contacts.

For details of our fully inclusive pricing, or if you have any questions at all, please call or email me

Mark Ranger +44 (0) 1279 714509 mark@charterbroker.aero

As this role is based in Cologne with regular contact with the UK, fluency in both languages is required; the ability to speak other European languages in addition would be advantageous. The ideal candidate will also have a good understanding of European freight forwarding and air cargo markets with excellent sales skills. Candidates will need to be able to demonstrate a logical approach to problem solving and be apt at keeping up with a changing situation.

This role will involve extensive travel in Europe and candidates will need to have the flexibility to travel at short notice.

If you would like to apply for this role please send your CV and covering letter to careers@airpartner.com by the closing date of 30th June 2010.

n or io sit at n Vi str ope gi w re no BGAD10 - the UK Business & General Aviation Day, Tuesday September 21st, Marshall Airport, Cambridge UK. The UK’s only dedicated business aviation event - BGAD10 - will take place again this year.

Presented jointly by Marshall Business Aviation and European Business Air News/Charter Broker, BGAD is an effective day of networking.

You’ll see around 40 exhibitors, an excellent line

up of business aircraft - helicopters, props and jets - and be able to take part in quality, free to attend seminars.

BGAD has become a must attend event for business aviators in the UK - we look forward to seeing you there. Register online at www.bgad.aero

For further information, visit the BGAD web site or contact Mark Ranger on +44 (0) 1279 714509, email: mark@bgad.aero

E U R O P E A N

BUSINESS AIR NEWS JUNE 2010

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