Singapore Airlines 2012 Annual Report Download - page 32

030 SINGAPORE AIRLINES
Subsidiaries
SIA Cargo
SIA Cargo reported an operating loss of $119.3 million in the
year in review.
Weak economic activity in major consumer markets affected
trade and airfreight tonnages during the year in review.
SIA Cargo continued with its variable frequency approach
to its freighter network to better match capacity to cargo
demand. On a planned basis, services were reduced during
lull periods and additional services were scheduled during
periods of stronger demand. The company also channeled
resources to operate more short and medium haul services.
New freighter points such as Lagos, Jakarta and Osaka were
introduced in financial year 2011-12 as well.
Besides widening its network, SIA Cargo is also strengthening
its competencies by pursuing new and high growth business
segments such as temperature-sensitive pharmaceutical cargo.
SIA Cargo and joint venture company China Cargo Airlines
started operating joint freighter services between Singapore
and China from April 2012. The new agreement will benefit
customers of both airlines as it will provide more choices of
flights for air cargo shipments between Singapore and China.
SIA Cargo holds a 16% equity interest in China Cargo Airlines.
The company continues to foster close partnerships with
key customers. The Global Partnership Programme,
Operating Review
which is running in its 11th year, recognises the strong
strategic relationship with key multinational players
supporting its business in the airfreight forwarding industry.
Riding on the success of this Programme, SIA Cargo has also
launched a Premier Partnership Programme with the aim of
recognising the locally based forwarders in key markets,
which have relentlessly supported it throughout the years.
This new programme was launched in January 2012.
SIA Cargo launched the electronic air waybill (e-AWB) in
Singapore during the year in review. The goal is to reach
100% e-AWB penetration on the feasible trade lanes for the
Singapore market by the last quarter of the new financial year.
During the year in review, SIA Cargo received the “Award
for Excellence (Air Carrier)” from Air Cargo World. It was
also named Best Air Cargo Carrier in Asia and Best Green
Service Provider (Airline) at the 2011 Asian Freight & Supply
Chain Awards.
SIA Cargo celebrated 10 years of corporatisation on 1 July 2011
with a host of celebratory activities, including an anniversary
luncheon, charity fundraisers and fun activities involving staff
both in Singapore and overseas.
SIA Cargo also continued supporting the arts and heritage,
protecting the environment and helping the less privileged.
These initiatives included partnering with National Heritage
SIA Cargo supported the
Singapore Children’s Society
through fundraisers and
organising outings for
the children.