InterGlobe Enterprises and UPS announce MOVIN - new B2B logistics joint venture

Rahul Bhatia-led InterGlobe Enterprises and Atlanta-based logistics major UPS on Thursday, May 27 announced a new joint venture to cater to the Indian market. The joint venture - MOVIN - will be based out of Gurugram and have representation from both UPS and InterGlobe Enterprises.

The name Movin is the combination of Movement and India and it hopes to offer better efficiencies, stronger distribution channels, advanced technology and application of global best practices.

https://twitter.com/InterGlobe_IGE/status/1529818833623474176

The entity will offer a range of B2B logistics services in the domestic market. MOVIN will offer day-definite, express as well as time-definite solutions, which would help businesses with better predictability and competitiveness to integrate into the global value chain.

"India's growth towards a USD 5 trillion economy will be largely supported by the growth of local businesses and logistics, which are key contributors to India's economy. I am confident that InterGlobe's deep understanding of the Indian market, combined with UPS's 114 years of logistics expertise will make this venture a success.The powerful simplicity of MOVIN’s service experience is based on the brand’s people-centric and performance-driven approach that will empower us to deliver outstanding customer experiences to businesses across India."JB Singh, Director, InterGlobe Enterprises

He noted that the JV firm, with its separate board and management team, will have a presence across various sectors, including auto, pharma, healthcare, apparel, electronics and e-commerce B2B among others.

The partners are certain that the foray into the logistics with MOVIN will contribute significantly to the rapid development and growth of businesses, especially small and medium enterprises, in the country, he added.

Leveraging UPS's global logistics expertise combined with InterGlobe's deep understanding of the Indian market, MOVIN will build technology-backed solutions that will link companies across the country to international businesses with speed, reliability and enhanced digital customer experience.

InterGlobe Enterprises and UPS announce MOVIN - new B2B logistics joint venture

The JV will offer seamless integration across air and ground networks to B2B customers, enabling an uninterrupted flow of goods backed by consistent, predictable and responsive operations.

"UPS is excited to launch this new venture with InterGlobe Enterprises. Together we will empower local businesses to grow and connect them to trade opportunities around the world.With a strategy of customer-first, people-led, innovation-driven, UPS further expands its global network, including healthcare solutions, through a unique partnership that creates a suite of services to serve B2B customers' need to grow."Ufku Akaltan, President (Indian subcontinent, Middle East and Africa), UPS

MOVIN will be expanding in a phased manner and will ramp up in July of 2022 starting with Mumbai, Delhi NCR and Bengaluru - with further expansion lined up in other cities across the country.

The JV partnership shows the company's commitment and belief in the future of India which is very bright.

UPS had a joint venture with an affiliate of Jet Airways, but after the airline went bankrupt the venture has been all but dead. India has been on the cards of global logistics giants.

MOVIN will be expanding in a phased manner and will ramp up in July of 2022 starting with Mumbai, Delhi NCR and Bengaluru.

German logistics major DHL acquired Blue Dart in 2004 and currently holds a 74% stake in the company. UPS’ US rival FedEx invested USD 100 million in logistics start-up Delhivery in 2021 which got listed in the stock market.

UPS reported a revenue of USD 97.3 billion in 2021. It provides a broad range of integrated logistics solutions for customers in more than 220 countries and territories. InterGlobe Enterprises has a presence in aviation, hospitality and travel-related services.

All India Jet Airways Officers and Staff Association on Thursday, May 26 said it has filed an appeal before the NCLAT against the Jalan-Kalrock consortium's resolution plan for the airline.

In October 2020, the airline's Committee of Creditors (CoC) approved the resolution plan submitted by the UK's Kalrock Capital consortium and the UAE-based entrepreneur Murari Lal Jalan. The Mumbai bench later cleared the plan of the National Company Law Tribunal (NCLT).

Last week, Jet Airways' air operator certificate was revalidated by the aviation regulator DGCA, paving the way for the relaunch of the airline, which was grounded in April 2019 due to financial woes.

Jet Airways staff association challenges the Jalan-Kalrock consortium's resolution plan

"The resolution plan is contingent on many hypotheticals about the use of crucial assets of the former Jet Airways, including its property, flight slots, and most importantly, its workers and employees," All India Jet Airways' Officers and Staff Association President Kiran Pawaskar said in a statement.

In its petition before the National Company Law Appellate Tribunal (NCLAT), the association has prayed for complete payments of the gratuity, unpaid wages, privilege leave encashment, bonus from April 2018 to June 2019 and retrenchment compensation to all workers and employees, the statement said.

Among others, the association has demanded that any employee re-hired by the resolution applicant or the Monitoring Committee are paid their gratuity, unpaid wages, privilege leave encashment, bonus and retrenchment compensation as per their entitlements and that any signed document for the waiver/forfeiture of these amounts not be enforced against them.

The airline is forcing workers to waive all their statutory rights they are owed, particularly gratuity, privilege leave, unpaid salary and bonus, the association claimed.

The airline, which is expected to restart services in the coming months, is managed by the Monitoring Committee.

Narayan Hariharan, former Senior Vice President of Jet Airways and legal advisor to employees, said the resolution plan is "precariously held together by a vague business plan".

The airline is forcing workers to waive all their statutory rights they are owed, particularly gratuity, privilege leave, unpaid salary and bonus, the association claimed.

ALSO READ - NCLAT orders Jalan-Kalrock consortium to share details of resolution plan with Jet Airways employees

The plan submitted by the consortium of UK’s Kalrock Capital and UAE-based entrepreneur Murari Lal Jalan was cleared by the Mumbai bench of the NCLT in June 2021.

The airline was earlier owned by Naresh Goyal and Gulf carrier Etihad. Bogged down by financial woes, the full-service carrier shuttered operations in April 2019.

Later, a consortium of lenders, led by the State Bank of India (SBI), filed an insolvency petition in June 2019 to recover outstanding dues worth over INR 8,000 crore.

The plan submitted by the consortium of UK’s Kalrock Capital and UAE-based entrepreneur Murari Lal Jalan was cleared by the Mumbai bench of the NCLT in June 2021.

Various associations such as BKS and Jet Airways Cabin Crew Association had also filed an appeal before the NCLAT last month against the NCLT order.

As per the resolution plan submitted by JKC and approved by NCLAT in June 2021, the new owners would pay a total sum of INR 52 crore to workmen and employees apart from a 0.5% stake in the airline out of the total investment of INR 1,345 crore.

The amount of INR 52 crore would be spent to pay a token sum of INR 11,000 to each employee and workman and a future ticket worth INR 10,000.

Workmen would also get INR 5,100 in cash for medical expenses, another INR 5,100 as school fee reimbursement for children, one-time mobile recharge of INR 500 and a phone or laptop out of the existing assets.

The airline was earlier owned by Naresh Goyal and Gulf carrier Etihad.

This proposal, however, lapsed after only 35.1% out of the 8,973 eligible employees voted in favour of the offer, while 61.6% abstained.

Since the approval, many former staff had approached the labour department over non-payment of gratuity and other dues. Various associations such as BKS and Jet Airways Cabin Crew Association had also filed an appeal before the NCLAT last month against the NCLT order.

Jet Airways posts INR 234 crore loss in March quarter

Jet Airways, which remains grounded for over two years reported a standalone net loss of INR 233.63 crore for the three months ended March. It had a standalone net loss of INR 107.01 crore in the year-ago period, according to a regulatory filing.

Jet Airways, which remains grounded for over two years reported a standalone net loss of INR 233.63 crore for the three months ended March.

Total income stood at INR 11.63 crore in the latest March quarter compared to INR 17.73 crore in the year-ago period. Currently, the airline is being managed by a monitoring committee.

"... the monitoring committee is not in a position to provide the consolidated financial results, as the subsidiaries of the company are separate legal entities, also currently non-operational and the team is facing huge difficulty in obtaining relevant data from the said subsidiaries," the filing said.

Ignorance of rules about satellite phones at airports in India cost a Doctorate student from Odisha dearly as he was not allowed to board his flight to Odisha from Kempegowda International Airport (KIA) on Tuesday, May 24 night.

He had in his possession a Global Positioning System (GPS) phone. When his flight departed by 8:45 PM, Bikash Sahu was cooling his heels at the Airport police station.

Sahu, studying his IIIrd year PhD in Biological Sciences from the National Institute of Science, Education and Research in Khurda, was readying to leave for Bhuvaneshwar by an Indigo flight (6E 411) from the airport around 7 PM.

PhD student not allowed to board Indigo flight to Odisha from Kempegowda International Airport (KIA) for carrying satellite phone

The 26-year-old told The New Indian Express, "I had kept my Gramin GPS phone in my bag and during the screening of my baggage by the Central Industrial Security Force (CISF), it was taken out and examined. I was told this specific phone is prohibited inside the airport. I was detained there."

The CISF later called the Airport police and submitted a complaint about the possession of the banned phone by the student. The student had to go to the airport police station. When this reporter visited the station a little while later, he was being questioned by the police who asked him to submit all the documents about the instrument and his identity.

"I carry out soil testing as part of my course and this phone is very useful for me as a location indicator. Hence, I carry it with me always. I did not know it was not permitted inside the airport. I hope I can catch my flight," he said.

The CISF later called the Airport police and submitted a complaint about the possession of the banned phone by the student.

The questioning continued for some time and Sahu was there at the station up to 10 PM and missed his flight. His phone has been confiscated by the police for further examination and he has been let off after submitting a detailed explanation.

A security official told The New Indian Express, "Carrying of any kind of satellite phone inside an aircraft or airport premises is not permitted anywhere in India. It is banned and is considered illegal under the Indian Wireless Act as well as Telegraph Act."

This is not the first time when a passenger is being held at the airport with a satellite phone. There are several instances over the years with the same incident.

This is not the first time when a passenger is being held at the airport with a satellite phone. There are several instances over the years with the same incident.

One such was in October 2019 when A British national was held at Kempegowda International Airport for possessing a satellite phone without authorisation. According to an airport source, Leandrom Muller was heading to Delhi by Air India flight AI 505.

The phone was seized and the passenger was handed over to the airport police station, he said. Satellite phones are not permitted inside Indian airports and flights, another official said. In October 2017, an American woman was detained at the airport carrying a satellite phone.

(With Inputs from The New Indian Express)

Joby AVIATION, a California-based company developing all-electric aircraft for commercial passenger service, has reportedly received the Part 135 Air Carrier Certificate ahead of schedule, which was initially targeted for the second half of 2022.

Representative | The Japan Times

This comes as a major milestone achievement for Joby as the certification will now allow the company to operate aircraft commercially.

Reportedly, the Part 135 Air Carrier Certificate happens to be one of three FAA approvals required for Joby to operate its revolutionary electric vertical take-off and landing (eVTOL) aircraft as an air taxi service in cities and communities across the United States, alongside a Type Certificate and a Production Certificate.

The procedures we’ve prepared lay a foundation for our future eVTOL operations. Over the coming months, we will use our Part 135 certificate to exercise the operations and customer technology platforms that will underpin our multi-modal ridesharing service, while also refining our procedures to ensure seamless journeys for our customers.Bonny Simi, Head of Air Operations and People at Joby, and one of the Company’s FAA-approved pilots, stated

Bonny Simi | Santa Cruz Works

With more than 1,000 test flights completed over the last 10 years, Joby’s eVTOL is currently under development and is expected to be fully certified and ready to enter service in 2024.

FLYING Magazine

Powered by six electric motors, Joby's eVTOL tiltrotor is designed to transport a pilot and four passengers up to 150 miles on a single charge at speeds of up to 200 mph.

While the certification of its electric vertical takeoff and landing aircraft (eVTOL) is underway, the company has decided to operate a fleet of Cirrus SR22s - a single-engine piston-powered high-performance aircraft.

Cirrus SR22 | Representative | Source

On receiving the type certificate for its eVTOL aircraft, the Company will proceed to complete the FAA review process to club the new aircraft type to its existing air carrier certificate.

Previously, Joby had announced a partnership with CAE, to develop and qualify flight simulation training devices to train commercially-rated pilots to fly its eVTOL aircraft.

https://www.youtube.com/watch?v=4wbFw165ar0

SOURCE(s)

COVER: Electric Vehicles Space

The news of a collaboration between Volocopter and Microsoft was first made public in 2020 when Volocopter and Lufthansa Industry Solutions announced plans to develop the VoloIQ for autonomous aircraft operations using Microsoft Azure.

Volocity | Representative | Volocopter

The concept behind the VoloIQ is pretty simple- it aims at providing complete digital transparency and greater ecosystem efficiency in real-time. By utilizing this digital resource, Volocopter’s services and all the relevant process elements needed to realize this service will be user-friendly and digitally accessible for customers, pilots, operators, and stakeholders alike.

Touted to be the digital backbone for enabling the whole Volocopter Urban Air Mobility Services ecosystem, it will also serve as the brain for the company's air taxi services.

Aviation Today

Volocopter’s proprietary intelligent and integrated “Urban Air Mobility Software Platform” will run on Microsoft Azure and will enable the VoloIQ's flight and service support for Volocopter's electric vertical takeoff and landing (eVTOL) aircraft-Volocity, Volodrone and VoloConnect), alongside ground infrastructure (VoloPort) support in real-time.

Volodrone | Representative | New Atlas

VoloIQ will use artificial intelligence to enable :

Global-scale air taxi operationsSeamless customer service (such as simple booking) and integration with smart cities, existing mobility providers, and new servicesIncrease safety and efficiency, decrease costs, and ensure a reliable and smooth user experience off- and onlineOptimize aircraft utilization and an increased lifetime for individual components

From the newest technologies to regulation, creating solutions to seamlessly address the cloud computing requirements for supporting continued advancements in aviation is a complex endeavor. We certainly see the potential a secure, robust, and efficient cloud platform could offer aerospace and urban air mobility operators. Working in collaboration with Volocopter, we will start to build the foundation for a commercial model for an aerospace cloud.Uli Homann— CVP of Cloud and AI at Microsoft

Uli Homann | Twitter

Furthermore, the VoloIQ's solid scope will streamline Volocopter's transition into an autonomous air taxi services provider when the time comes and bolster its efficient maintenance and infrastructure as soon as it becomes operational.

Having Microsoft on board as a project partner and investor is proof that the solutions Volocopter creates – like the VoloIQ – are pioneering and hold remarkable market potential. We're proud that Microsoft Azure is the one to provide a secure cloud and thus to ensure safety remains at the forefront of our operationssaid Alexander Oelling, Volocopter's Chief Digital Officer

https://www.youtube.com/watch?v=lw-CPfsoM8A

Volocopter plans to launch commercial flights in Paris and Singapore by 2024.

SOURCE(s)

COVER: Volocopter

InterGlobe Aviation, the operator of India’s largest airline IndiGo, on May 25 reported a consolidated net loss of INR 1,681.80 crore for the quarter ended March 2022 (Q4FY22), due to a surge in aircraft fuel expenses.

The company had posted a net loss of INR 1141.98 crore in the corresponding quarter of the previous fiscal. A Bloomberg poll had estimated a quarterly net loss of INR 978.30 crore on revenue of INR 8.000.30 crore for the quarter under review.

Revenue of the company jumped 29% from a year ago to INR 8,020.75 crore versus INR 6,222.95 crore logged in the same quarter last year. Its passenger ticket revenues came in at INR 6,884.70 crore, up 38.4% while ancillary revenues stood at INR 1,058.30 crore, up 18.8% compared to the same period last fiscal.

IndiGo reports a loss of INR 1,682 crore due to a surge in aircraft fuel expenses in Q4

Ebitdar (earnings before interest, taxes, depreciation, amortization, and restructuring or rent cost) for the quarter fell 73.50% YoY to INR 171.80 crore from INR 648.30 crore. Ebitdar margin plunged 830 basis points to 2.1% from 10.4%.

Fuel expenses surged over 68% to INR 3,220.58 crore against INR 1,914.46 crore a year ago. Overall costs; however, rose 32% to INR 9,885 crore during the same period.

"This quarter has been difficult because of the demand destruction caused by the Omicron virus in the first half. Although traffic rebounded and demand was robust during the latter half of the quarter, we were challenged by high fuel costs and a weakening rupee.As we work to return the airline to profitability, we are focused on maintaining our cost leadership position and continuing to build the most efficient network in the region."Ronojoy Dutta, CEO, IndiGo

So far this year, Brent crude has surged 50% while in the March quarter it gained nearly 39%. Operating profit margin contracted sharply to 2.1% in the quarter from 10.4% a year ago.

Dutta further said that the company believes IndiGo is best positioned to maximise revenue in a recovering market.

The airline’s fleet, comprising 41 A320ceos, 143 A320neos, 56 A321neos, and 35 ATRs, operated a peak of 1,577 daily flights, including non-scheduled flights, during the quarter.

During Covid, IndiGo’s highest quarterly loss was INR 3,174.2 crore in Q1 FY 22.

The firm said it sees the first quarter of the fiscal year 2023 capacity to increase by around 150% while for the whole fiscal, it expects capacity to increase by around 55-60%.

As of 31 March, IndiGo had a total cash balance of INR 18,227.5 crore, while the airline’s total debt (including the capitalised operating lease liability) stood at INR 36,877.80 crore. During Covid, IndiGo’s highest quarterly loss was INR 3,174.2 crore in Q1 FY 22.

IndiGo's load factor (occupancy rate) in the quarter ending March was 76.7% as compared to 70.2% recorded in the quarter ending March during the last year, it said. Yields, a metric of profitability, increased 19.2% to INR 4.40.

The airline’s fleet, comprising 41 A320ceos, 143 A320neos, 56 A321neos, and 35 ATRs, operated a peak of 1,577 daily flights, including non-scheduled flights, during the quarter.

ALSO READ - After 7 quarters of losses, IndiGo reported a profit of INR 130 crore

InterGlobe Aviation, which operates IndiGo, in February reported a standalone net profit of INR 130 crore for the quarter ending December 31, 2021, due to a rebound in travel demand during the holiday season, though fuel costs surged.

It reported a net loss of INR 620 crore in the year-ago period. Revenue from operations rose 90% to INR 9,295 crore as against INR 4,910 crore in Q3FY21.