Podcast: CFS 2023 preview with GlobalX, Reliable Robotics, Empire execs

Jeff Lee
Hello and welcome to this episode of cargo facts connect, the podcast of cargo facts, the newsletter of record for the air cargo and freighter aircraft industries for over 40 years. I’m Jeff Lee, editor of cargo facts and it’s Friday, the 20th of October. With just a handful of days to go until Cargo Facts Symposium, this week, I checked in with a few of our speakers to get their quick thoughts on their respective areas of expertise as a sneak peak of what’s to come next week. First, Global Crossing Airlines Chairman and Chief Executive, who will be joining me in a fireside chat.

Jeff Lee
Hey, Ed, thanks for joining me. And of course, we’ve got cargo facts symposium next week, and you are one of our fireside chats. Thanks again for that as a Preview of next week. Just very briefly, tell me what your view is of the current free market both domestically and internationally as you undertake your expansion.

Ed Wegel
Well, thanks, Jeff, for having me next week, I look forward to our fireside chat. We’re in a very interesting environment. Now with the sort of difference between narrow body freighters and wide body freighters. We focus on the narrow body side with the A 321 freighter where we see strong demand. We see demand coming back also on the wide body side. But that’s got somewhat of a disruption in the market. So we’re cautiously working through that. But we’re very bullish on the narrowbody market. And we’ve got a lot of airplanes coming. So we feel pretty good about our position and the future.

Jeff Lee
You do have a lot of airplanes. For now, though, you have three a 321 freighters. Now, what does it feel like? First of all, to be one of the you know, an early adopter of the 321? And certainly you are the only operator of that type in the Americas right now.

Ed Wegel
Yeah, we we made the decision early on, even Well, before we were certified, that the 321 freighter is going to be a real thing. And we move quickly to tie up some of these aircraft and otherwise and leases. So we we feel good about our position with the airplane. And yes, we are the first operator in the Americas. We actually have to a 321 freighters operating into Tel Aviv today to bring 50 tons of supplies for the Israeli people. So I think we’re the only US cargo airline operating into Tel Aviv right now. And the 321 freighter actually makes that possible. So we’re very bullish on the airplane. We’re very bullish on our prospects and our positioning in the in the Americas, with the aircraft.

Jeff Lee
Right. Well, yeah, congratulations and well done. So as we, you know, quickly approached next week, what, what are some of the things you’re looking forward to, for cargo fac symposium.

Ed Wegel
But cargo Facts is great symposium conference for us, because we get to see all the leasing companies, freighters all in one place, we get updates on the cargo market and in the freighter market, and cargo demand across the world. So that gives us a great update. And it’s an opportunity to see a lot of people in a very short period of time, and hopefully get some transactions done. So cargo fax continues to be high on our list of priorities for for our outreach to the community. And we look forward to seeing everyone next week.

Jeff Lee
Yeah, good to the end. We look forward to seeing you as well. And we look forward to diving into some of these in a bit more detail. So but for now. Thanks, Ed. And we’ll see you next week.

Ed Wegel
We’ll see you in San Diego. Thank you, Jeff.

Jeff Lee
Next, I spoke to Myles Gala, Chief Business Officer of reliable robotics.

Jeff Lee
Hey, miles, thanks for taking some time out of your busy schedule. And as we look forward to CFS next week, tell us what are you excited about presenting to attendees at at our event?

Myles Goeller
Yeah, thanks, Jeff. I’m really looking forward to the event. It’s it’s it’s always been both a great event professionally and then just socially a lot of fun seeing so many people in the industry. Reliable robotics is is working on systems that automate aircraft and allow them to be remotely operated. And it is very clear to us that the market that’s going to adopt this technique Have a GE first at real scale is going to be the cargo market, starting with small freighter aircraft, but over time taking that same technology to large aircraft that that carry the bulk of goods today. There is no better event to see, you know, the leaders in that space than CFS. So it’s, it’s a great opportunity for us to explain what we’ve been doing and reliable over the last year and, and get more feedback from the market in terms of exactly what type of solutions they need.

Jeff Lee
Good. Well, yeah, speaking of, you know, the progress you’ve made in the past year, just just how much progress have you made? And how encouraged Are you by not only the development that the reliable has made, but generally this flight automation technology? What’s how encouraged are you about the progress this year?

Myles Goeller
Yeah, absolutely. So the I think everyone in the industry understands that what really is the the pacing item, and the end, the real hurdle for advanced automation in aviation is certification. It’s the regulator being able to validate that these systems are safe, not only the systems on the aircraft, but how you integrate them into the airspace. We are reliable for a huge milestone this year with the FAA formally accepting our certification plan described as our project specific certification plan. That means that they have accepted the certification basis and the means of compliance for our, our automation system. And that’s not just a huge milestone for us. But it’s it’s a demonstration that the regulators are engaged in this process, and that they are working with industry to certify this type of technology.

Jeff Lee
Right. That’s a good point. Well, thank you. And we look forward to hearing about this in much more detail during your presentation next week. So thanks again, and look forward to seeing you in San Diego.

Myles Goeller
Super, I look forward to it.

Jeff Lee
I also caught up with Empire airlines chairman and CEO Tim komberec.

Jeff Lee
Tim what’s your quick take on the regional and turboprop free to segment today?

Tim Komberec
You know, it’s been it’s been interesting, I think we saw as as you know, we both are operations are somewhat different, but we both five for integrators and and mine being FedEx primarily. And we watched during the pandemic, that xy, everything you could get their hands on and everything we could get in the air. And then of course, there’s a lot of what I call trimming going on right now as the market kind of kind of normalizes and but I think on a on a regional side, what we’re seeing is the demand for our services with our customers still strong. It may be shifting a little bit and it’s definitely affected at least remember Empire standpoint by the lack of critical labor pilots and mechanics. So it limits some of the things I could I could be doing for them. Because I may not be able to accrue all of it or maintain all of it. So it’s had a serious negative impact. But I’m seeing that I kind of feel that there may become more and more emphasis on original size aircraft as they try to right size some of the markets out there. So

Jeff Lee
right and speaking of aircraft, what other major changes do you see coming to this market apart from the new ATR and sky couriers?

Tim Komberec
Yeah, I mean, you never know what our customer may want, but I see no indications that they aren’t happy with the three gauges of airplanes I have, we will see the ATR 40 twos will be phasing out of the fleet replaced either with the new 70 twos, or, quite frankly, in many cases with a with a sky courier. And we’ve already started to do that. My Santa Barbara run was a 42 forever and now it’s operated by two sky carriers. But as far as a new type of airplane that will do what these will do. I mean, FedEx is a Obviously that long term commitment, all three of these airplane types. They the even at 208, which is the oldest, probably the oldest airplanes in the fleet. They, the programs they’ve gone through as far as, for lack of better word, zero timing earplugs out and ensuring that they got technology to occur but a feature that extra spent the money on it.

Jeff Lee
Yeah, well, we shall see you. Thank you, Tim.

Jeff Lee
That was Tim Komberec, chairman and CEO of Empire airlines. Thanks as well to Ed Wegel, chairman and CEO of Global Crossing Airlines and Reliable Robotics chief business officer Myles Goeller. We look forward to seeing everyone in San Diego next week. And that’s it for today. For more multimedia coverage like this search cargo facts connect on iTunes and Spotify and visit cargo facts.com. Thank you very much for tuning in, and join us again next time.