SATS is to acquire Worldwide Flight Services, the world’s largest air cargo handler from existing owner, Cerberus Capital Management for €2.25 billion.
The companies said the combination would create a global air cargo platform with stations across Asia, the Americas, and Europe. Customers will benefit from the combined platform’s broader suite of services, operational best practices, and integrated technology.
WFS chief executive Craig Smyth said: “WFS has become the leading global air cargo logistics provider thanks to our commitment to customers, our experienced team, and our partners at Cerberus.
“This combination will deliver exciting benefits for our customers and our people. We have great respect for SATS and enjoy similar values. By bringing together our respective strengths, we will be able to build on our trusted relationships around the world.”
SATS chief executive Kerry Mok, commented: “WFS is an industry leader because it has dedicated people and an unwavering commitment to customers. Our proposed acquisition is a transformational opportunity for SATS and will create a global leader and a go-to provider of mission critical aviation services. In our newly combined markets, SATS and WFS will be at the heart of global trade flows, operating in the world’s busiest airports and supporting the biggest companies.”
Following the close of the transaction, WFS will become a wholly owned subsidiary of SATS and the WFS management team will continue to lead the business.
The transaction is subject to regulatory and SATS shareholders’ approval and is expected to close by the end of March 2023.
World’s biggest airfreight handler sold to SATS
Shipping line MSC to set up airfreight arm
Mediterranean Shipping Company (MSC) has become the latest global container shipping company to develop an air freight arm.
MSC, which by some counts in the world’s largest container shipping operator is developing an MSC Air Cargo solution to complement its seafreight services.
It follows similar moves by Maersk and CMA CGM.
The service will be available from early 2023, following the delivery of the first of four MSC-branded Boeing 777-200F aircraft that will be operated by Atlas Air
MSC has also appointed Jannie Davel, formerly of Delta Cargo, Emirates SkyCargo and DHL to develop its air cargo business and to build the team that will implement it.
MSC chief executive Soren Toft said: “We are delighted to announce the development of MSC Air Cargo and to welcome Jannie Davel to spearhead this
exciting new offering for MSC clients. This is our first step into this market and we plan to continue exploring various avenues to develop air cargo in a way that complements our core business of container shipping.”
WFS sets the dogs on rogue battery shippers
Worldwide Flight Services (WFS) and Diagnose are pioneering detection of undeclared lithium batteries using dogs. It follows a six-month trial in France.
Currently, there are few means to physically check for undeclared lithium batteries, which pose one of the biggest threats to flight safety due to their fire risk.
WFS and Diagnose partnered in March 2022 to carry out a feasibility study using dogs to detect the presence of lithium batteries in cargo shipments, mail and baggage.
The test phase was conducted at WFS cargo terminal in Lyon and involved two dog detection teams, specially trained by Diagnose, and their trainers. Derived from the free-running explosives detection method which Diagnosed mastered over 20 years ago, the trial enabled the dogs to check large volumes of different types of cargoes and has produced remarkable results.
Global Head of Health, Safety, Security & Environment (HSSE) at WFS, David Clark, said: “Over the six months, the two dogs involved in the trial were very precise in their detection of lithium batteries, with 100% accuracy. They located both lithium ion and lithium metal phone batteries in various cargo units whose volume sometimes exceeded 2 to 3 cubic meters.
More specifically, they were able to detect a single button battery (ion metal battery) within a 1 cubic meter shipment. In response to one of the biggest aviation safety challenges, WFS and Diagnose believe this can help to significantly strengthen safety measures.”
The testing period also allowed for the development of an operational protocol, a standard training programme, and an end-of-training and ongoing performance evaluation.
WFS and Diagnose, a subsidiary of the ICTS Europe group, will now make France the centre of excellence for the detection of lithium batteries by dogs. In future phases, dogs could be deployed across EU airports or in response to customer requirements within 5-6 months as more dog detection teams are trained. Diagnose is currently present in nine countries, equipped with 400 teams of dog-handlers.
Oren Sapir, CEO at ICTS Europe group, added: “The challenge presented by lithium batteries is a major concern for aviation safety. Goods that are properly declared, correctly packed and, above all, in good condition present little risk, but it is clear that batteries, or devices containing batteries, are transported every day in passenger luggage and in airfreight shipments without being declared.
“By working in partnership with WFS, we believe the results of our dog detection trial can be a very important breakthrough in ensuring the highest standards of aviation safety, which are our shared priority. We will be presenting the results of our trials in France to IATA and the regulatory authorities in the next stage of this initiative.”
Earlier, at the International Air Transport Association’s (IATA) AGM in June, Director General, Willie Walsh, called on governments to develop and implement research methods for lithium battery detected. H said: “The industry is raising the bar to consistently apply existing standards and share critical information on rogue shippers. But there are some areas where the leadership of governments is critical. Stronger enforcement of existing regulations and the criminalisation of abuses will send a strong message to rogue shippers. The accelerated development of standards for screening, information exchange, and fire containment will give the industry even more effective tools to work with.”
Emirates goes live on WebCargo
Emirates SkyCargo capacity is available for ebookings on the WebCargo platform on 27 September. It is part of a phased introduction, with the UK Spain, the Netherlands, Germany, France, Italy and Turkey going live on that date. Capacity will be available to customers across all of Europe at the end of October, followed by Australia and the US in November. Customers in Asia and Africa will have access by January 2023.
With the launch, airlines representing over 40% of global air cargo capacity are available for bookings on WebCargo, including Qatar Airways, American Airlines and Turkish Airlines.
DHL opens Jo’burg hub
DHL Global Forwarding has inaugurated a new transhipment hub and head office in Johannesburg, South Africa. The primarily solar-powered complex is in the Sky Park Industrial Estate close to OR Tambo International Airport and offers temperature-controlled chambers and GDP-trained personnel to cater to the needs of the life sciences and healthcare sector.
The new €7 million (R127 million) facility includes offices and a 10,000sq m warehouse and meets the highest Transported Asset Protection Association (TAPA A) security standards.
At the facility’s opening ceremony, Clement Blanc, CEO of DHL Global Forwarding for South Africa (SA) & Sub-Saharan Africa (SSA) said: “A new facility in Johannesburg is a natural next step in our efforts to support economic growth and accelerate the pace of supply chain transformation undergoing in South Africa. This facility expands global connections to Africa, ensuring that sectors like LSH can operate smoothly, access an efficient and reliable logistics network, and continue to grow.
“We are excited to be able to transport both time- and temperature-sensitive pharmaceutical goods and health products, among other services.”
IAG adopts Envirotainer’s Releye
IAG Cargo has approved Envirotainer’s the Releye RLP & RAP containers for pharmaceutical goods. The units allow customers to track their shipments and view the status of their cargo autonomously for 170 hours without recharging.
AfA provides security input
The Airforwarders Association (AfA) is to advise the Transportation Security Administration (TSA) in the US on the commercial concerns and requirements of freight forwarders in the second year of its two-year term on its Aviation Security Advisory Committee (ASAC). ASAC is a statutory committee, established in 1989 following the bombing of Pan American World Airways Flight 103 over Lockerbie, Scotland. It furthers TSA’s security mission through consultation with key partners on aviation security matters, including the development, refinement, and implementation of policies, programs, rulemaking, and security directives.
Blue Sky thinking for Etihad
Etihad Cargo has become the first Middle Eastern carrier to participate in The International Air Cargo Association’s (TIACA) BlueSky multi-sector sustainability verification programme.
The scheme, which also includes airports, ground handlers and general sales and service agents, comprises an evidence-based desktop verification process in which participants assess their progress against sustainability criteria such as decarbonisation, waste elimination, biodiversity protection or support for local economies and communities.
Blue Sky thinking for Etihad
Etihad Cargo has become the first Middle Eastern carrier to participate in The International Air Cargo Association’s (TIACA) BlueSky multi-sector sustainability verification programme.
The scheme, which also includes airports, ground handlers and general sales and service agents, comprises an evidence-based desktop verification process in which participants assess their progress against sustainability criteria such as decarbonisation, waste elimination, biodiversity protection or support for local economies and communities.
New president for AA Cargo
American Airlines Cargo has appointed Greg Schwendinger as president. It follows the departure of Jessica Tyler in May who moved to another leadership role within the airline. Schwendinger has held various roles across the airline and most recently led the finance team at health care services provider, AccentCare.
Hactl gains IATA training cert
Hong Kong Air Cargo Terminals Limited (Hactl) has become the first cargo terminal operator in Hong Kong to achieve IATA’s new Competency-Based Training and Assessment (CBTA) Center Certification.
Hactl has been an IATA Accredited Training School (ATS) since 2003, offering training both for its own staff and those of third parties including airlines, freight forwarders, industry organisations and educational institutions.
Following an agreement by the ICAO Dangerous Goods Panel in September 2019, IATA Dangerous Goods training has been evolving from traditional learning to the new, skills-based competency-based training and assessment format, which becomes mandatory from 1 January 2023.
Having received both CBTA Corporate and CBTA Provider accreditations, Hactl is certified to continue providing DGR training to employees, as well external clients.