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15 hours ago, Cargoagent said:

AVI traffic is pretty limited right now. AC's 787 fleet can take approx 1000kg of dry ice per acft and the 777 can take 1500kg. With the use of Enviro-containers they will be able to handle large amounts. As long as the temp requirements are accurate. Good time to invest in Cold Chain technologies.

Mainline will not be the problem. Regional flights on the other hand may pose a problem. 

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Cargojet Prepares to Deliver Unprecedented Peak Season with Record Volumes

cargojet.jpg?w=803

MISSISSAUGA, ON, Nov. 25, 2020 /CNW/ – Cargojet Inc. (“Cargojet”) (TSX: CJT) announced comprehensive plans to handle record volumes for the upcoming peak season that typically starts with Black Friday and ends in early January. This year’s peak season is particularly unique given the ongoing challenges of COVID-19 and the recent lock-downs in several parts of the country.

The surge in volumes that started in March/April of this year has already exceeded typical peak season volumes. With holiday shopping now shifting into high gear, and based on our customers’ forecasts we expect to handle even greater volumes in the coming weeks. This peak is expected to be like none other.

According to Statistics Canada, e-Commerce retail sales for March to September grew from $21.5 Billion in 2019 to $36.2 Billion in 2020, a whopping $14.7 Billion or 68% increase. This trend is expected to accelerate for the peak shopping season. The recent survey conducted by the largest national package delivery service showed that almost 80% of Canadians shopped online in the past year and 48% plan on spending mostly or exclusively online this holiday season. Given the increasing uncertainty around regional lock-downs, thousands of small businesses have shifted to on-line sales channels. According to one of the largest online merchant platforms,  thousands of small businesses have opened online store-fronts for the first time and are eager to participate in the holiday season.

Cargojet is taking unprecedented measures to meet the expected surge in volumes while maintaining its industry leading on-time performance.

  • Health and Safety: Cargojet took early measures to institute new processes including extra safety and hygiene measures to keep its employees, aircraft cabins and customer cargo safe. Those measures have proven extremely effective and have become the standard operating procedure all across Cargojet’s network.
  • Additional Staffing: Cargojet is adding additional Pilots, Ground Handling staff, and Maintenance teams to ensure that our network continues to perform at peak performance.
  • Adding an Aircraft: Introduced two additional B767-300F aircraft into Cargojet service in 2020  and most recently on November 09th, 2020 to meet  peak season growth demands.
  • Adding Capacity: Introduced additional flights each Friday, Saturday and Sunday and during the daytime, creating approximately 20% additional  capacity. This has improved utilization of our existing aircraft fleet.
  • Increased Customer Coordination: Introduced hourly, and daily monitoring of customer volumes through our 24/7 control room at our Hamilton National hub.

There is no doubt this peak will be like none other but Cargojet has proven starting with the surge in volumes in March of this year that it has a robust team, a highly flexible fleet and the ability to adapt, handle and succeed in meeting customer expectations in the face of unprecedented challenges.  

Cargojet knows its customers are counting on it and the entire Cargojet team is looking forward to delivering yet another successful peak season for all of its customers.

 

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New AC Cargo VP, plus approval of the 767-300 plan by ACPA.

https://www.newswire.ca/news-releases/air-canada-provides-update-on-cargo-business-808486137.html


  • Jason Berry appointed Vice-President, Cargo
  • Air Canada Pilots ratify collective agreement amendment to enable Air Canada to competitively operate dedicated cargo aircraft in the cargo marketplace.

MONTREAL, Nov. 27, 2020 /CNW Telbec/ - Air Canada is pleased to announce the appointment of Jason Berry as Vice President, Cargo effective January 1, 2021.  Mr. Berry will be based at Air Canada's Montreal headquarters, and will report directly to Lucie Guillemette, Executive Vice President and Chief Commercial Officer.

Air Canada today also provided an update on its cargo business and the next steps in its strategic plan as the airline continues to adapt rapidly to evolving market opportunities. To date, Air Canada has operated more than 3,500 all-cargo flights globally, and the airline is now finalizing plans to convert several of its owned Boeing 767-300ER aircraft to freighters to fully participate in global cargo commercial opportunities.

The carrier has successfully concluded collective agreement amendment with its pilots represented by the Air Canada Pilots Association (ACPA), for contractual changes to enable Air Canada to competitively operate dedicated cargo aircraft in the cargo marketplace, which have now been ratified by the Air Canada pilots. 

"Air Canada and Air Canada Cargo have pivoted quickly to new and unique commercial opportunities in response to evolving market conditions over the past 11 months, and Air Canada was the first airline globally to transform aircraft and double freight capacity by removing seats to enable cargo transport in the passenger cabin.  We now operate up to 100 international, all-cargo flights weekly, and with ACPA's recent ratification on cargo operating arrangements, we are planning the conversion of several owned Boeing 767-300ERs recently retired from passenger service to all-freighter aircraft, which will position Air Canada to continue growing its cargo business across the global supply chain," said Ms. Guillemette.

"Jason's entrepreneurial approach combined with his solid air cargo background is well-suited to operationalize these commercial opportunities, and lead the strategic direction of our cargo business to optimize the growth of e-commerce while leveraging Air Canada's fleet and global reach," concluded Ms. Guillemette.

Mr. Berry comes to Air Canada from Alaska Airlines' wholly owned subsidiary McGee Air Services, where he was President with oversight for all aspects of aviation services ground handling, aircraft grooming, airport mobility services, check-in and gate services. From 2012 until June 2019, he led Alaska Airlines' cargo business, with direct responsibility for all aspects of cargo operations and compliance including revenue growth.  Prior to joining Alaska Airlines, he held operational positions with increasing responsibility at other air cargo handlers and operators.

Mr. Berry holds a Master of Business Administration from the University of Washington's Michael G. Foster School of Business, in addition to earning a Bachelor's degree in Computer/Information Technology Administration and Management from Central Washington University, and an Associate's degree in Business and Commerce from South Seattle College.

 

 

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1 hour ago, Specs said:

That explains the Share Price surge this morning - $25+

I am not quite sure how an initiative that will cost significant $$ in the short term (aircraft cargo conversion) and generate very little in revenue, even less in positive cash flow, would drive share price.

AC has suggested a dedicated cargo fleet of 2 late next year growing to 6 over time. That is not a game changer in the cargo segment of the industry, although AC may succeed is lowering cargo yields for everybody. They will be working hard to fill the airplane which may result in lowball cargo rates.

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57 minutes ago, rudder said:

I am not quite sure how an initiative that will cost significant $$ in the short term (aircraft cargo conversion) and generate very little in revenue, even less in positive cash flow, would drive share price.

AC has suggested a dedicated cargo fleet of 2 late next year growing to 6 over time. That is not a game changer in the cargo segment of the industry, although AC may succeed is lowering cargo yields for everybody. They will be working hard to fill the airplane which may result in lowball cargo rates.

The do not need to work very hard to fill aircraft these days, and not likely for the foreseeable future.

 

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1 hour ago, rudder said:

I am not quite sure how an initiative that will cost significant $$ in the short term (aircraft cargo conversion) and generate very little in revenue, even less in positive cash flow, would drive share price.

AC has suggested a dedicated cargo fleet of 2 late next year growing to 6 over time. That is not a game changer in the cargo segment of the industry, although AC may succeed is lowering cargo yields for everybody. They will be working hard to fill the airplane which may result in lowball cargo rates.

I don't think two aircraft are either a game changer or rate reducer. Even three or four. The commercial cargo world is changing in many ways. The pandemic has fuelled the trend to online and courier over bricks and mortar. It's not a bad counter cyclical business to be in so long as it doesn't make too much of a thing of freighters - cargo does best in the winter quarters, both from a traffic and rate perspective, from pre-Christmas stocking through Chinese New Year. 

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3 hours ago, rudder said:

I am not quite sure how an initiative that will cost significant $$ in the short term (aircraft cargo conversion) and generate very little in revenue, even less in positive cash flow, would drive share price.

I'm not altogether sure myself.  Investors seem to know something though or think they do.

Globalization started about 30 yrs ago and manufacturing here in America and Canada and most of the west all but petered out.  30 yrs ago our pants were made in Tennessee.  Now they're sewn together with bits from Bangladesh,  Vietnam and god only knows where else.  In today's 'Supply Chain',  Trucks and trains are limited in what they can deliver  where and when.  Ships have their own limits as well.  Airplanes have their niche as well but unlike 30 yrs ago their niche is much more dispersed and the traffic is in much higher volumes.  

Is that the nub of it?  Air Cargo is a growing industry and by trying to capture some of it ACA will definitely be improving it's low season yields?

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1 hour ago, Specs said:

I'm not altogether sure myself.  Investors seem to know something though or think they do.

Globalization started about 30 yrs ago and manufacturing here in America and Canada and most of the west all but petered out.  30 yrs ago our pants were made in Tennessee.  Now they're sewn together with bits from Bangladesh,  Vietnam and god only knows where else.  In today's 'Supply Chain',  Trucks and trains are limited in what they can deliver  where and when.  Ships have their own limits as well.  Airplanes have their niche as well but unlike 30 yrs ago their niche is much more dispersed and the traffic is in much higher volumes.  

Is that the nub of it?  Air Cargo is a growing industry and by trying to capture some of it ACA will definitely be improving it's low season yields?

The 767 will open the door to the 777 when they get older. With passenger flights reduced for the next 3-4 years there is a lot of wide body belly capacity missing. Even without the COVID related cargo there's as much or more air freight than ever moving now more than ever.

 

What is a Rouge 767 even worth on the market right now? Not much.......

 

It will also keep ACPA one more challenge to address when the next negots happen.

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NEW" FREIGHTERRada Airlines gets a second Il-62

The Belarusian cargo airline Rada Airlines is small, but has a unique selling point: it is the last airline outside North Korea to use the Ilyushin Il-62. Rada now owns two of them.

17.11.2020

Rada Airlines is doubling its fleet. This is not really worth a lot of news with a previous stock of only one aircraft – wouldn't it be the minor clause that both the single entertainer and the incoming reinforcement belong to a particularly rare aircraft species: Until recently, Rada Airlines named the EW-450TR the world's only active freighter based on the Il-62M. The four-light, 35 years old, converted into the Lastesel Il-62MGr, used to fly for Interflug and has been a guest at Western European airports in the recent past.

 
image-inlineImageC-8f9ce683-1742415.jpg
Papas Dos (CC BY-SA 2.0)
The "new" rada airlines aircraft previously flew as EX-62001 for Manas Air Cargo from Kyrgyzstan. Most recently, however, she stood idle in Kazan.

Second active Il-62MGr

With the reputation as "the only active Il-62 freighter", however, it is over for the EW-450TR, because from now on the ex-airliner receives illustrious company from an art comrade. In Kazan in southwestern Russia, where all Il-62s once saw the light of day in the KAPO aircraft factory, another Il-62MGr came back to life a few days ago. In the future, it will enrich the fleet of the Belarusian cargo carrier as the EW-505TR and supplement its older sister during ongoing operations.

 
 
 
 
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Less than 28 years old

For an Il-62, the new addition to Rada is still a real youngster: it was only in the spring of 1992 that the machine with the factory number 4154535 rolled out of the assembly hall in Kazan. It took more than two years before handing over to the first owner, the long-faded Orient Avia, according to the database russianplanes. It was not until 1994 that the Il-62M, registered as RA-86126, entered commercial life – at that time still as a passenger aircraft. Four years later, Orient Avia went bankrupt and after almost three years at Moscow's Domodedovo Airport, she returned to her birthplace Kazan at the end of 2000.

 
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Three years mothballed

The KAPO aircraft plant, which still carries out maintenance work on il-62M, converted the RA-86126 into a freighter in 2003. From then on, it officially operated as the Il-62MGr and now had a large side cargo gate on the port side in addition to a reinforced, roller-fitted cabin floor. About 40 tons of pallet cargo now fit into the four-light, which flew through the country in the following years with interruptions for the in-house cargo airline KAPO Avia. For the first time, the paths crossed with today's EW-450TR, which was also on the road for KAPO Avia at the time. However, while the latter moved directly to Rada Airlines in October 2015, the RA-86126 initially joined Manas Air Cargo in Kyrgyzstan. From October 2017 to November 2020, she remained permanently on the ground, mothballed in Kazan – before being kissed awake again, at the instigation of Rada Airlines.

Rada Airlines holt sich zweite Fracht-Il-62 | FLUG REVUE

 
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Airlines Face ‘Mission of the Century’ in Shipping Vaccines

Mon Nov 30, 2020 - Bloomberg News
By Christopher Jasper and William Wilkes

In cooled warehouses on the fringes of Frankfurt airport, Deutsche Lufthansa AG is preparing its depleted fleet for the gargantuan task of airlifting millions of doses of the vaccines meant to end the global pandemic.

Lufthansa, one of the world’s biggest cargo carriers, began planning in April in anticipation of the shots that Pfizer Inc. to Moderna Inc. and AstraZeneca Plc are developing in record time. A 20-member task force is at work devising how to fit more of the crucial payload onto the airline’s 15 Boeing Co. 777 and MD-11 freighters, along with hold space in a vast passenger fleet now flying at just 25% of capacity.

“The question is how we scale it up,” said Thorsten Braun, who leads Lufthansa’s part in the global effort.

Laid low by a Covid-19 outbreak that’s decimated passenger demand, airlines will be the workhorses of the attempt to eradicate it, hauling billions of vials to every corner of the globe. It’s an unprecedented task, made more difficult by the carriers’ diminished state after culling jobs, routes and aircraft to survive a crisis that’s reduced air traffic globally by an estimated 61% this year.

“This will be the largest and most complex logistical exercise ever,” said Alexandre de Juniac, chief executive officer of the International Air Transport Association, the industry’s chief lobby. “The world is counting on us.”

IATA estimates that the equivalent of 8,000 loads in a 110-ton capacity Boeing 747 freighter will be needed for the airlift, which will take two years to supply some 14 billion doses, or almost two for every man, woman and child on Earth. It’s a tall order, given about one-third of the global passenger fleet is still in storage, based on data from Cirium.

Katherine O’Brien, the World Health Organization’s head of immunization, likens the task of distributing the vaccines after the months-long development sprint to summiting Mount Everest having reached base camp.

“The climb to the peak is really about delivering the vaccines,”

'The possibility of tampering, production of counterfeit shots and even attempts to disrupt distribution are also a concern'

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1 hour ago, Fido said:

Canadians will not need to worry.  With the Liberals screw up we are so far at the back of the line it will be years before any vaccine gets to us.

The head of a U.S. biotechnology company developing one of the most promising COVID-19 vaccine candidates says Canada is not far behind other countries on receiving doses of its vaccine, despite criticism of the government's procurement plan from the Conservative opposition.

"Canada is not at the back of the line," Noubar Afeyan, co-founder and chairman of Moderna, told CBC's chief political correspondent Rosemary Barton on Sunday.

 

Afeyan said that because Canada was among the first countries to make a pre-order with Moderna, the country is guaranteed to receive a certain portion of the company's initial batch of doses as long as the vaccine proves safe and effective and is given regulatory approval.

"The people who were willing to move early on with even less proof of the efficacy have assured the amount of supply they were willing to sign up to," Afeyan said in an interview on Rosemary Barton Live

"Nothing that happened subsequently can affect that."

Moderna's mRNA vaccine is currently in Phase 3 clinical trials and preliminary data released two weeks ago show it appears to be 94.5 per cent effective.

Millions of doses procured 

The federal government secured an agreement on Aug. 5 with Moderna for 20 million doses of its vaccine, with the option to procure an additional 36 million doses. The U.S. announced a deal for up to 500 million doses just days later, while the U.K. and European Union inked deals with Moderna only in the past two weeks.

In total, Canada has procured up to 429 million doses from seven companies — the most per capita of any country in the world, according to research from Duke University's Global Health Institute.

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2 hours ago, Fido said:

Canadians will not need to worry.  With the Liberals screw up we are so far at the back of the line it will be years before any vaccine gets to us.

I don't think "the when will we get it" matters but rather how prepared are we to issue it to the various communities across Canada and if we will have enough trained people to administer the injections in a timely fashion.  As always the "Devil is in the detail". 

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15 hours ago, Malcolm said:

I don't think "the when will we get it" matters but rather how prepared are we to issue it to the various communities across Canada and if we will have enough trained people to administer the injections in a timely fashion.  As always the "Devil is in the detail". 

That's exactly right. There are so many issues that could slow the process. Storage and transportation issues. Who gets vaccinated first? second? third? When we have multiple vaccines, who gets which one (some might be more effective for seniors, but then you need a distribution network able to separate streams; you're not going to have drug store vaccination sites storing multiple vaccines with different storage requirements). You need a really good PR strategy to deal with a number of issues - encouraging participation is the most important, there is a percentage of the population that won't get vaccinated no matter what, but another percentage that want to wait a bit (weeks or months) to make sure the vaccine is safe. (They're the same people who don't download a new computer operating system the first day it's available, but wait a while to let others root out the bugs and await the inevitable bug fixes. That's not something you want to let proliferate if we want to get out of the pandemic ASAP)

My bet from a lot of reading is that all adult Canadians who want and need a vaccination (i.e they don't believe they have had Covid) will have it by early- to mid-summer. I theorize that will be about 25 million people. Right now, none of the likely vaccine candidates are going to be approved for kids and teens under 18. So that's about 8 million Canadians who will wait until the fall when at least some of the vaccine candidate go through trials with younger control groups. People who have had COVID have to be persuaded to get vaccinated before the winter; some will say, 'I had the virus, I have antibodies,' but we don't know yet how long or how strong those antibodies will be. However, they don't have to be vaccinated until the beginning of the fall. As I said, we need a robust communications strategy to deal with these and other issues.

So for me, the front of the line, back of the line issue is moot. I can see more of these negative issues brewing in the US because of the greater degree of polarization about all things to do with the virus. Four vaccine candidates have submitted their preliminary data to Health Canada for approval. I expect another, Novavax, to do so in by mid-February. The challenge is to get through the next 2-3 months when everything is against countries in the Northern Hemisphere.

Edited by dagger
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well they can just skip over me.  Not putting a rushed, barely tested vaccine in my arm when the companies that produce it have ZERO liability should something go wrong.  The track record isn't exactly spectacular.

 

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5 hours ago, Airband said:

Hell, yeah. Polio? Smallpox? - just a damn con job!

Ever see a drug commercial on TV?  Most of the time the complications are worse than the initial problem.

Drugs are not always the answer

 

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One of the maybe vaccines has said today that the immunity will last 3 to 4 months but how exactly how long is not known as there is no experience beyond the 3 to 4 months to backup any claim re immunity.  So it may come down to which one you take.  As for me I have a trip booked next fall and I will cancel it in enough time to avoid making a full final payment unless :

1. I can get medical travel insurance coverage.

2. I can get vaccinated in time to satisfy any and all travel restrictions. 

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