And the #Greenwashing Continues

The Myth about Green German Rail

While we have sound plans to establish a profitable airline, planning to operate carbon-neutral, #greenwashing and lip-services dominate responses we get from “impact” investors, why our model cannot be supported. And the same what is heard and seen from politicians and public funds.

Now the last weeks, the “green strategy” is a big issue in the media. European Investment Bank claiming to be be the “Sustainability Bank”. The Mission Hydrogen 24 hour workshop. The reality check on to German Rail’s sustainability. Or the facts about the “global recycling champion” Germany. So let me summarize these reports. And call for any serious investors interested to make a true impact, to talk to us and learn the big impact we want to make. While establishing a profitable, future-focused airline.

German Rail & 100% Sustainable Power?

The Myth about Green German RailDon’t get me wrong, this ain’t new. There have been reports about this ever since they started their fake promotion about 100% sustainable power. But just this week, German Television did a reality check, with rather devastating results!

Just 61% of German Rail’s power comes from renewable energy. 28% come from coal and natural gas, where German Rail partly owns the latest built coal power plant, built against all public opposition. German Rail has long-year delivery contracts for atomic power. And only 33 out of 5,679 railway stations are powered from renewable energies, 0.5 % … And by 2038 (17 years from now) German Rail wants to increase the use of sustainable power to only 80%, targeting 100% only for 2050.

That excludes non-rail business, like Schenker logistics, clearly focusing on Dieseltrucks. Where container transport by rail is more than six times more ecofriendly than trucks. But having demolished most of the industrial accesses, parallel tracks and being delayed on major infrastructure projects like the European North-South rail axis, now backfires and cannot be remedied quickly.

ECB & EIB – the Sustainability Banks?

While we talk with impact investors, we do also understand the European Central and the European Investment Bank claiming to be “Sustainability Banks”. Talking with the very same investors being “naturally” and clearly interested in sustainable projects, we asked why they would not make use of those funds to complement an investment into Kolibri or other impact investments.

The feedback I get is painfully clear. They do not work with the EIB (or other government fund programs) for the bureaucratic process required to be “approved” as an investor. I have multiple statements that attempts to support the investment failed. Assumption being voiced that those funds again go to the big players and into unqualified “green projects” that are mostly about #greenwashing. That includes a claim that EIB funds new aircraft for the dinosaurs – without any requirement(s) for those aircraft or the airline to develop a strategy to reduce their carbon footprint.

I also reached out to one of the experts in my network, working closely with those banks and doing studies on their sustainability, asking why venture capital or family offices don’t work closer with such government funds: “But what you report from your interactions with public investors is true even for smaller and less ambitious projects and companies in that public VC funds invest only if the concept is validated by the market in one way or the other. In other words, only if someone else confirmed the commercial success elsewhere.

Germany – the Global Recycling Champion?

Reality is, that Germany is the global champion in export of plastic trash. Instead of a strict recycling regime, 80% of the trash collected from the recycling bins is being either exported or burned.

The drop in export results directly from China having stopped and banned the import of plastic trash. So now, the pictures of plastic from African countries dominate the respective stories about German “recycling”.

At the same time, the plastics industry is booming. And instead of developing sustainable packaging, the trend is clearly towards mixed-use, the known bad example being “Tetra Pak®“; a packaging made of several layers that make it exceptionally difficult to recycle. And the few recycling factories being more for greenwashing than for recycling any meaningful amounts of that stuff.

There was also a report on TV this week on Coca Cola and how they changed from the recycling glass bottles to throw-away plastic bottles and Aluminum cans. Which was the beginning of the end of bottle recycling. And how their lobbyists ever since fight any recycling requirements…

Aviation – the Scapegoat?

ContrailNow, how about “my industry”, how about aviation? And why is it constantly the scapegoat and blamed for global warming?

When the aviation industry claims that it’s only responsible for 2% of the CO2-emissions, this is also green-washing. As aircraft engines exhaust contains also other “greenhouse emissions” and many if not most not on ground level, but at high altitude. The “contrails” being a visual reflection that people “know” and can identify. Experts in a report about Airbus this week accounted the greenhouse emissions by aviation to 6%. Not much, but only 4% of the world population flies. And 6% is substantial.

So aside our plans to use Kolibri.aero to establish the infrastructure and certify the use of 100% synkerosene to fly carbon-neutral, we also understand the issue of the aircraft-engine exhaust will require further research into greenhouse-effects of the remaining exhaust. But which only can start, once we start flying “carbon-neutral”! And yesterday, I was challenged twice about synfuel and that we’d need to look at use of battery, hydrogen and fuel cells. Referring to a very academic presentation by Prof. Dr.-Ing. Josef Kallo of the German Aerospace Agency (DLR) about How to fly with Hydrogen, addressing fuel cells at the European Hydrogen Workshop by Mission Hydrogen GmbH (Ltd.).

See my recent blog about The Road to Environmentally Friendly Flying

Electric, Fuel Cells and other Aviation #greenwashing

Cheop's Principle: Nothing is ever finished on time and/or on budgetSpeaking with one of those “challengers”, he argued that in 10 years the first regional aircraft will fly on fuel-cells. Being “project planning”, I’d say better add 50% reserve to that, then we talk about 15 years. And personally I still doubt that time line. And then we will have aircraft with 10, 20 or maybe 30 seats. With a range of one to two hours. When we will have aircraft that transports 100 seat? Or ones that can replace the 150-250 seats used by the low cost airlines? When do we expect aircraft to transport 250-350 passengers long haul? Hiding behind “Research”? Science Fiction…

The argument given was that batteries and fuel cells will become more effective. Which I file under “cognitive dissonance“. What excess in miniaturization results in, we all experienced with the B787 batteries self-enflaming. Or the Samsung Galaxy Note 7 “fiasco”. Trying to mend the rules of physics is a true challenge. And that does not even cover the devastating ecological footprint not only of Lithium. If you want to wait for that to be resolved, we talk about “dirty” kerosene still in use in 20, 30 years!

And if that happens, our industry is worth being used as a scapegoat…

Change Happens – NOW!

Salzgitter AG ElektrolyzerSustainable economy and global warming are big issues today, but most that we see is lip services. An investor group just recently checked impact investments for the “real” impact. They reported about 4% of all investments having a quantifiable impact or quantifiable targets. Only 4%. All others to be #greenwashing. On the “impact programs” of the 100 largest companies in Europe they found not a single one having more than one or two percent impact to global warming. Most of them being “lighthouse projects” that are being developed inside a “bubble” that does not immediately impact the company. Mostly lip-services addressing already established programs, but don’t really change the existing processes.

One example mentioned being the Electrolyzer delivered to Salzgitter AG for delivering hydrogen to be used in their steel-making process. A “research project”, largely funded by the hydrogen program. And now, being still in research phase, trialing it’s impact, it’s a “lighthouse project”?

The Fight against #Greenwashing + Lip-Services

We choose to fly Carbon-Neutral in this decade
We choose to fly Carbon-Neutral in this decade

And today I was confronted again with “avoid flying” as the first and foremost advise to stop global warming. While people will fly, economy needs flight connections as well. What we need is to stop blaming aviation, but start changing it. And the governments and public funds won’t help, so we need bold investors with a mission to help establishing the environment that allows us to work together on the common goal. Clean flying. Flying without remorse. Flying with a conscious mind.

We choose to fly Carbon-Neutral in this decade. And do the other things. Not because they are fashionable and easy, but because they must be done. But we can’t do it alone, we need investors that are interested in more than greenwashing their conscience, but the ones supporting the real thing. Investors that understand this is a big deal, it’s disruptive, it’s a journey. A journey that needs conviction, founders with the commitment and vision to make it happen…

Food for Thought
Investors welcome!

 

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Impact Investing vs. Whitewashing

Impact Investing

Impact Investing

I am very, very happy that I started speaking to Family Offices and regret that the Pandemic forced a reschedule of one event and kept me from attending another this week. But I am grateful to be allowed attending the first Family Office virtual conferences. It’s a rather steep learning curve. I am grateful for any event reference or invitation that I got and hopefully will still get.

European Climate Goals

Given today’s jabbering by the EU Commission (Mme. von der Leyen) that they – wow – will reduce the CO2 to 55% of the 1990-level … Oh wow? Shall I be impressed? Or cry? EU parliament would have been okay with 60% the news say. But even as is, this “deal” is full of small-print and not really worth the paper it’s written on.

We must be better to make an impact. And we better stop lip-services, white- and greenwashing but address the issues we can address today. Or this expert saying we’re way too late is right.

Though this is totally in line with my initial experience about “impact investing”. Lots of talk and lip services, with little substance too. Hard to find the ones that believe that this is something real.

And what industry is more in desperate need for a sustainability makeover. And having the chance for it?

Aviation Impact Investment
… a Barrel Burst?

Zunum 50 seat electric planeWhile we have clear plans to become Carbon-Neutral in realistically in three to five years, you got to start. And an “impact investor” told me this week that we are too little innovative. Really?

The EU plans give airlines 15 more years to fly dirty. Yes, that is a barrel burst! You got to be kidding me. But sure, it’s completely in line with German and European aviation lobbying, managed well by Lufthansa, Ryanair and the likes. Lufthansa, the airline with the single-largest bailout package in Europe but with virtually no ties attached, especially none about job saving or evolution into turning “green” and flying clean(er). And in Hamburg I heard the synkerosene pilot suffered from disinterest by Lufthansa, aside of a single carbon-neutral flight by Lufthansa Cargo. A nice example of greenwashing!

I’ve summarized the possibilities to turn aviation carbon-neutral for a start (and what comes then) into another article Clean Aviation Whitewashing and the Real Deal, which I publish simultaneously with this article. But the Future of Clean Aviation is Now. It just needs someone with a real interest to start the process. No talking, no lip-services, no whitewashing, but the real deal! With a real ROI.

Impact Investment in IT & AI … What Impact?

AI Impact InvestingThere is a lot of buzz ongoing about Impact Investment in IT and AI. Whereas I just wrote about Big Data & AI, feedback from family offices principals recently confirm my assumption. Of one emphasizing that ESG “tools” are usually a means to white- and greenwash family offices’ IT investments. And as I posted that on LinkedIn, got a lot of feedback from other family office principals that IT hardly makes a real impact by itself. It’s simply a profit-focused investment, mostly just improving existing processes or digitalizing them.

There also was a discussion this week about “decision making AI” or “decision support IT”. From my aviation background, I see IT as an important support tool. One that improves productivity, but more important safety. I do not see an IA-tool taking more than a supportive role at the time being. But I see a lot of claims that direction, which I can only consider white- and greenwashing.

It’s a Trust Thing

Use a magnet to find the needle in the haystack
Oops. Didn’t we tell you? We seek the toothpick…

In my opinion, there is no “impact investing” if you don’t find the right managers with a mindset to leave the beaten path and find profitable developments in the industry. For KOLIBRI.aero we don’t just think about carbon-neutral aviation. Or some solar parks. We think beyond! We understand it’s our duty to make an impact. Investing into our people and the regions we serve. To foster gender equality, diversity and to develop a future beyond our own. In turn, KOLIBRI.aero addresses not two or three, but all 17 of the U.N. Sustainability Development Goals.

In the overall plans, there is one issue being in the U.N. SDGs and EU’s TEN-T, regional connectivity at affordable price. Going carbon-neutral is more important on that in our opinion, but there are obstacles that must be overcome, that is a journey. Decently paid, qualified jobs and ongoing, structured training to fight against poverty. Ideas aplenty on how to establish a disruptive airline, that shows how sustainable aviation can be. If you look outside the box. If you embrace “sustainability”, even the notoriously loss-making scapegoat aviation can change.

The Quick and Dirty

If you want to go Fast, go Alone. If you want to go Far, go TogetherOn the other side – and back to the topic of my previous article, Big Data and AI provide quick success stories. So much easier to use those for white- and greenwashing. But real impact investment may not be so sexy, it may take a longer breath. To turn around our world is a journey, no sprint. It’s why even UBS recently confirmed in a webinar that family offices are more likely the ones truly investing into impact. Because they think long-term. About family impact across generations. Not as politicos or banks or “institutional investors” and venture capitalists in quick, maximized returns, happily overlooking the negative impacts for an improved profitability.

… or The Neverending Story

The concept of the Hyperlook has long ago been visualized by Roger Leloup.A German investor this week told me: “There is too little change in what you’re doing.” That investor referred to either air taxi or hyperloop. Whereas I’ve often enough expressed my concerns about air traffic control taking individual mobility into the third dimension and into potential conflict with commercial (and military) aviation. Just thinking about the increasing drone-warnings disrupting airport operations the past year. That is a very long way to go.

The same for hyperloop, which may connect high-density routes, similar to (German) Transrapid in China. Will this be more successful? The concept is around for more than half a century. And I don’t like the pipes over ground, even Roger Leloup planned them underground. I’ve written more than a year ago in the #flygskam Reality Check about it and about the so much smaller footprint an airport has.

… Academic Thinking – Research Forever

Academic ResearchGlobal CO2 emissions dropped by 7%, with 11% in Europe due to Corona. Especially aviation reduced due to the lockdown by 22% global, some regions by 30%. But those are expected to come back quickly (Source).

Now the EU says it turns the European Investment Bank into a Climate Bank. And they will focus on research. Or to give the dinosaurs a facelift. Maybe it makes more sense to look for ideas to apply the research results to the real world? Why is it that German Transrapid only runs in China, European Skype is now U.S. Microsoft, the first industrial Synkerosene-facility is being build in Norway (EU associated)? Examples aplenty. We research but we’re utterly incompetent turning research into practical products.

Others are faster, but we have a PLANPeople should take rail the politicos wrote. Yeah, I can see Merkel spending a day to travel from Berlin to Brussels. An interesting LinkedIn post, and German Tagesschau reports “Strategy falls short of what is possible and necessary”. A carbon-neutral aviation we plan on existing technological solutions for 2025, latest 2027 for Kolibri and by 2030 operating +200 aircraft carbon-neutral.

It’s embarrassing! Why does everyone find reasons not to invest in large-scale change? No, it is not quick, requires industrial site funding, but it’s about real change! Which in turn would apply pressure on the “establishment” to get their butts up and move. Get out of your comfort zone and make a change.

Divesting the Bad, Investing in Sustainability

Scottish Widows For 200 YearsThere are exceptionally good examples recently, like Scottish Widows devesting “bad stocks” in the value of almost half a million Euro. Whoops?

And whoops again. But they work with Black Rock, a company with a very bad reputation, funding most of the dirty stocks in the world. But on the other side, Black Rock may have started their journey to change? Maybe the money divested may be well invested into those change makers?

Corona is a testing time for about everybody. But also an opportunity for new methods and thinking to rise.

Impact Investment for better ROI!

Kolibri - disrupt aviationThough also notable, there is a bad misinterpretation that impact investment would mean low ROI. I think our business concept for Kolibri is looking at very competitive ROI at a residual risk below other investments. But it is so much easier to accuse impact investment to justify one owns look the other direction, right?

Impact Investment ain’t Philanthropy.
Invest into the future and benefit from it!

And as real impact investment gains support and more and more investors look at their investment portfolio and clear out the dirt, suddenly your “max-ROI”-investment in crude oil, guns or other “bad investments” will turn foul on you. Investment into the main investor in “bad business”, namely Black Rock will backfire on your own reputation. So Black Rock will likely recognize the headwinds and start divesting too? Not to be caught in the fray.

Funds, Indices, Shares or what?

Change ResistanceWell, it’s always easy to invest into existing business. Buying in on indices or major shares, you don’t need to understand anything beyond their “performance” and “marketing message”. If they wash well enough, they might appear shining green or white, right?

As if we did not learn the very recent lessons from German Property Group, Wirecard? On a report that week, a Shortseller mentioned that the higher the interests and dividends, the likelier they are on a rush against the wall. So they look at those stocks first. As do greedy investors…

My very personal experience includes working for a company that became one of the “New Market winners” when they entered the stock market. Happened, after a short flash in the pan, they ended up a penny stock.

Grounded Aircraft FleetsThe “typical” aviation investment is aircraft funds. Whereas KPMG valued them at an average 4% return in 2019, look at all those assets now. Liabilities in most cases, because they had and have no USP. And even back in 2019, the big aircraft lessors being well established with the airlines made good returns, but many funds also underperformed or failed completely.

Shareholder value got a very bad reputation, didn’t it? As if all shareholders would believe in Max-ROI? How about some long-term benefits, how about impact, sustainability and a return that is above the inflation rate and what your bank pays? But that is to my experience and observations the normal “manager type” our world suffers from. Maximizing the own short-term remuneration and bonuses, leaving a wreck behind. Back to IT-investments?

… or what?

Another version has a third question: Who wants to lead the change. Whoops, all gone…

Especially thinking about impact investment, we need long-term thinking. Something bank managers, institutional investors and venture capitalists fail to provide. We need people thinking in decades, in generations. We need Family Offices, private investors. And we need company managers, entrepreneurs, founders thinking not in three years at max ROI, but in 10 years and a real ROI, including but beyond monetary. Maybe at a much better ROI than those straw-fire-startups burn up?

What Impact Do You Target?

What’s the “Impact” you want to make? Is Tesla truly the future? Or is it more hydrogen? How about impact on poverty? Why not investing in “developing countries”, poor countries? Giving them the infrastructure and tools to develop themselves. Another German history lesson. While the leading industry nations cannibalized German technology, machines, entire factories, it left a void in it’s wake. A void that was filled with the help of the Marshall Plan leading Germany into the Wirtschaftswunder.

The investments back in those days did not target the surviving companies, but enabled startups. The remains of those funds are known as KfW, Germany’s Bank for Reconstruction.

Impact vs. Whitewashing

My final topic today is to take a look at the United Nations Sustainable Development Goals or U.N. SDGs.

United Nations Sustainable Development Goals

Good Health & Wellbeing = biotech, right? Every biotech something claims to be SDG3, even the pharma-giants o chem-giant BASF.
Or Decent work and economic growth also used a lot for good argument to be “sustainable”. The Real Estate industry talks a lot about their focus on 9 and 11. Those are just the ones I see a lot “abused”. But also tech companies claiming sustainable under 3 ,4, 5 and 10… Be careful if someone tells you they’d be “sustainable” under consideration of the SDGs.

I like the approach of some family offices very much, that they qualify the real impact. Over time, what is the change. Targets, Milestones. And understanding that real change takes real efforts.

Food for Thought
Comments welcome!

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Corona Cognitive Dissonance

Cognitive Dissonance ResolutionRecent developments and posts really bug me. Don’t the writers of those posts recognize the cognitive dissonance? Yes, we must think positive. But there is a clear distinction between thinking positive and whitewashing or daydreaming. We have a crisis at hand and the “positive signals” aren’t as “positive” as those posts try to make them look like. They look at the marketing messages on the surface but fail to look the slightest bit deeper.

We need positive thinking, but we must also stay realistic!

Whitewashing Statistics

IATA loadfactor 2020Yes, the latest statistics are not there (yet), but we have enough experience to understand that the classic statistics, that I questioned as incomplete and intentionally misleading before the crisis, now in the crisis not only proof insufficient, but even dangerous for all of us, trying to grasp the repercussions to our industry!

Many of our media friends take up the old focus on unrealistic data packages. Yeah, hurray, the airlines add flights, bring the aircraft back in the air. Are. You. Kidding me???

The reason behind is mostly that the aircraft can only be parked for up to three months without the recovery into operational readiness getting substantially more expensive: >100 manhours, replacement and thorough components checks, etc., etc.
So the “losses” from flying empty might well be a cost-saving long-term. Depending on how long the aircraft must be stowed, when the passengers “come back”. But this adds to the “Corona Debt”, that must be funded and some day payed back.

ForwardKeys Average Return FaresThe current IATA Regional Briefing, Europe, June 2020 reports on the beginning of the crisis. Available seats for April plummeted by 95%, the load factors of the remaining flights to 32%! At the same time Gridpoint Consulting analysed the London-Heathrow figures with similar devastating results, an average load factor (2Q20) of 35.5%! And ForwardKeys published some nice figures on air fares, plummeting 20-30% in average.
Now the airlines are reported to bring flights back to the air aggressively. Whereas the German Airport Association (ADV) published in their latest (June) traffic statistics: “Privater Reiseverkehr findet nicht statt”: Private travel does not take place. So those added flights mostly cannibalize the existing, low passenger numbers. Which we will likely see reflected in the next statistics. But keeping the aircraft grounded comes with it’s own bill. Adding to the “Corona Debt”.

So aviation media, please do not simply publish those statistics on how many seats are added to the market, but also check the demand = load factors and the revenue = average ticket prices. It would be worthwhile to look behind those numbers and check the reasoning for those flights. Looking only at the first statistics (increase of available seats) is negative, if the revenue and loads drops further. We need the full statistical picture I was demanding for many years: ASK (available seat kilometers), load factor (how many seats sold) and the average revenue (ticket price). In combination with the CASK, the cost per available seat kilometer) it would allow to understand the real development. And commercial viability, success … or failure! And I do look forward to real “success stories”, a.k.a. “profitable routes”. Routes not piling up more “Corona Debt”.

The Fairy Tale of the Corona Super Vaccine

Yes, as you can see in the archive of my Corona Papers, I also believed what those lying politicos and virologists told us. Though having brought up in a medical household, I looked early behind that cloud-screen. My (published) assumptions were based on a recovery following the common availability of the vaccine – and the treatment. We’ve learned a lot on the treatment meanwhile. And now, like with the face masks they initially called “unnecessary” for pure hidden motives to cover their unavailability, they slowly let the fact surface that:

We must not expect a “super vaccine”!

Corona will turn out more to be like the flu. Okay, not so much like the Measles I referred to earlier. The first infected people in Germany have ceased to have antibodies in their blood a mere three months after their infection. Now they, along with the WHO start slowly telling us the “new truth” (like with the masks), that we will have a long journey ahead, getting used to Corona. And as I kept emphasizing for months already, the time to stop the virus is long over, all we can do – and must do – is to #flattenthecurve. Keep the infections at rates our medical systems can manage. Until the first vaccines are there – to further limit the spread of the disease. Just like we get (or according to statistics mostly don’t) get our yearly flu-vaccination. By which time we will also hopefully by able to “manage” the severe cases with standardized treatment.

But hold it, ain’t that telling, all that lock-down was for nothing???

No! The lock-downs were a vital necessity and still can be! Because the reasons to flatten the curve are still undeniably valid! As I just wrote in the previous paragraph. But we must return to a life that embraces the Corona-virus (and it’s future variants) as what they are. A new “flu”. Maybe more hostile, sure different. But here to stay. And once we will have learned to manage the recurring “waves”, just like the annual flu, we will live on. Without masks if you ask me. Without “social distancing”. And without lock-down. And with air travel and real-world conferences.

Bailing-Out the Dinosaurs

Burning EurosI know, being a German and having taken residence with the family in Germany for the pandemic, I am somewhat biased on what happens here and especially Lufthansa. And that makes me puke. No, I can’t say that nicely.

Lufthansa, with a pre-crisis value of four billion (Source: Fortune) and burning five billion in the first three months of the crisis receives a bailout from the German government of € 9 billion. For a 25% silent stake, not allowing them to influence Lufthansa, i.e. relating to job securities (prime CSR), sustainable developments or a less hostile behavior towards smaller airlines they kept and keep walking over, their latest “victim” Air Berlin. No, lesson not learned. The next they announce is to make 22,000 (twenty-two thousand!) jobs redundant. Quite recently, they had to admit that 25% of the refunds for unflown tickets due to Corona have still not been paid back, the media claiming a 1-billion backlog!

airline money burnI was kind of shocked this week, when German Tagesthemen, one of the main news channel mentioned already that this may not be the end, but just the beginning of an expensive further bail-out series for the airline and it’s many subsidiaries. But if they burned 5 billion in three months, how long can they sustain the drought before they burned up the added nine billion?

Don’t get me wrong! I belief that aviation will recover, but that will go slow and take time. What I see now is activism and lots of wishful thinking, piling up more debt and risking the airlines’ long-term survival.

But I keep my emphasis, that bailing out the dinosaurs is not good for anyone, except the dinosaurs. At KOLIBRI.aero, we have a concept in the drawer to invest € 1.6 billion into an airline with 200 aircraft. Okay, establishing the airline in Germany would be a bit more expensive. But no more than € 2.5 billion. Give another € 3-4 billion as a reasonable amount to add a global network, we could develop a “Lufthansa 2.0” based on sustainable aviation (not the Lufthansa greenwashing), true corporate social responsibility (way beyond Lufthansa whitewashing), looking after our own, but also after the regions we serve and the overall responsibility of a major player. There are others like us out there. I’m sure, given € 9 billion, given only € 5 billion, they could make a change. No Corona debt, but a clear profitable business, paying back the debt within 10 years with (above-market) interest. € 9 billion without any strings attached? € 11 billion for Air France/KLM? And meanwhile Austrian – a 100% Lufthansa-owned subsidiary also received a bailout by Austrian government, though “only” € 600 million and with environmental demands attached. But with another € 150 million to go into equity in Austrian parent Lufthansa (Source: CAPA). Swiss received a 1.25 billion loan guarantee for its poor mother Lufthansa (Source: Reuters).

"We are Listening. And We're Not Blind. This is Your Life. This is Your Time!" [Snow Patrol - Calling in the Dark]

And at the same time, one airline after the other is being grounded, Level’ed. No bailouts for Air Berlin pre-, flyBE early into the crisis. None for Level (IAG), Germanwings (LH Group), Laudamotion (Ryanair). And expecting no real “recovery” of the passenger numbers this year, I foresee a large number of the small airlines with one, two, maybe even five or ten airplanes to fail this year. And I get a lot of feedback that this is the time for KOLIBRI.aero. But we struggle not for billions, to launch we struggle to get funding of a mere € 30 million.

But given feedback from “experts” out there, to start it small as a virtual airline, or “aviation investors” not seeing beyond aircraft leasing? I now have hopes that our invitation to attend Prestel & Partner later this year at their real-world conference in Zurich will open the doors of more visionary family office owners, understanding the opportunity such a crisis provides to a business concept like KOLIBRI.aero. As those bailouts must be paid back one day. If the airlines don’t go bankrupt, once KOLIBRI.aero is kicking their butts.

Kolibri @ Prestel&Partner Zurich December 2020

Food for Thought
Comments welcome!

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The True Meaning of Corporate Social Responsibility

For quite a while, I am stumbling over the issue of the common investor understanding of Corporate Social Responsibility (CSR) and their implication that it is the same as Sustainability. Which it is not.

Wikipedia a.k.a. an Academic Idea

Wikipedia on CSRReading the Wikipedia page about it, they see it as a high-level code of conduct for large, international organisations. And focused on the representation of the company towards its customers. I think we must step back and make a change. A change to how we must understand corporate social responsibility. And not just, but especially in times of Corona, this is not a nice to have, it is a desperately needed definition update!

Shareholder Value vs. CSR

The Rise and Fall of Dennis MuilenburgIf you focus on shareholder value, human resources and only your own, personal profit, you end up in a deep, dark pit. Sometimes, like Boeing’s Muilenburg and others who have been on the Olymp, just for that much deeper a fall. Examples aplenty.

In most cases, it’s like the recent decline in employee morale at Lufthansa, Carsten Spohr shelving Germanwings in a “strategic” and likely necessary move, but without the touch to understand the emotional repercussions on overall staff. Them having very well in mind the fate of Contact Air, Cirrus Airlines, but also Air Berlin with their last CEO a Spohr-lackey sent to liquidate the airline. And sure, there is quite some green- and whitewashing involved by such CEOs, having their own “sustainability” and “CSR” departments.

Basic Principle

So what is “CSR” truly about? Or should be? Like with all such “definitions”, there has been a basic idea. Then it was abused to abstraction to #whitewash investments and make them attractive to investors.

To understand the original idea behind corporate social responsibility you simply need to read it. It is everything about the social responsibilities in corporate (organisational) environments. Is it social to support sustainability? Definitely. But not only. Those definitions applied to CSR crippled the original definition. Then the #whitewashing continued. As Wikipedia refers to, there’s a cost-benefit analysis. Don’t get me wrong, it makes sense. But then let’s name it – it’s a business model, has nothing to do with philanthropy.

Micro Level Social Responsibility

Branson on EmployeesCorporate Social Responsibility starts with your immediate environment: Your own organisation!

When I started my aviation career with American Airlines under Bob Crandall, we were a family. My friends at Delta and Pan Am envied us for that family spirit, called us “brain washed”. To date, we were not brain washed, but professionally motivated. Something I miss since the button counters took over. Something Carolyn McCall at easyJet understood and (as I predicted) what left easyJet with her. The top management understanding that humans are no resource and that motivated staff and service are invaluable assets!

Air Asia CEO Tony Fernandes on staff importance CSRAside the example i used on the different approaches between Alex Cruz at British Airways and Branson’s Virgin Atlantic, there was a noteworthy post by Tony Fernandes of Air Asia. Please read it, this is only a key message out of it:

“What always drove us was our people, our AllStars . It’s what’s drives us every time we are in a Crisis. We must do whatever to protect their jobs.”

CSR the KOLIBRI.aero Style

United Nations Sustainable Development GoalsCo-Founder Ndrec coming from a military background, me grown up with American military and starting my career with American, it was clear from the very start, that developing such a better airline, aside profitability ☑ (check), USPs ☑ (check) and sustainability ☑ (check), we must take care of “ours”. What we considered and consider true “CSR”. From the outset, we such looked at staff management and banned to wording of “Human Resources” and its shortened version “HR”. And we looked at the locations we plan bases for, beyond the company, but the impact such development has to the communities “we serve”.

Aviation holistic viewIt might be surprising to the bean counters (accountant-mindset “managers”) that all of our related “cost centers” turned out to be no just driving loyalty, but to be true profit centers and vital in our attempt to melt the cost factors to competitive levels. As a start-up, investing into all the company’s assets, you must be competitive against all those large, established companies like easyJet owning around 70% of their fleet, cost down to maintenance, with roughly 25% being paid off and around 5% being leased to cover ad hoc opportunities (like taking over Air Berlin routes). And while now being a “burden” in Corona times, airlines cannot drop out of leasing either, so the cost still is there. But those airlines can secure credits based on their (aircraft) assets. To develop profit centers that allow to cut down the cost to competitive levels such ain’t a mere strategy, but a vital need.

Summary

 

The Man in the Mirror (Michael Jackson)

As in all my posts addressing moral and ethics, I turn back to my father, who told me that you got to be first and foremost someone you see in the mirror and you like the guy. Secondly, despite all mistakes you do, you must keep your sheet clean. Your sins will backfire on you.

So you got to start with the good old (wo)man in the mirror. Then think about “yours truly”, family, employees. Then look after the extended community, local and work. If you look at all that, sustainability will be a “natural development” for you.

Food for Thought
Comments welcome!

 

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Evil Russia and Propaganda

Juergen is one of the very few people, I really mean, VERY FEW, people that understand both airlines and airports.

Since being (happily) married to Yulia, I am more frequently approached about Russia and the ultimate evil represented by Putin. Recently, with the Crimea crisis and Turkey, the discussions become more frequent, so I thought to make some statements in a single blog of which I used some before either here or on Facebook or LinkedIn. They keep coming up.

First of all a quote from Robert Heinlein’s Lazarus Long:

DemocracyAutocracy

Initially there was a wording in Wikipedia (meanwhile removed / I can’t find it any more) calling Russia a “democracy Putin style”. Then came the  Crimea crisis.

European Interests: Maidan
European Interests: Maidan

Coup d’Etat vs. Referendum: What’s Democracy?

The Crimea Crisis. Where an elected government was removed by a “people’s coup d’Etat” (Kiev), with lots of reports that tons of Dollars floated around Maidan. And active political support by Europe and America. I have personal Ukrainian friends who told me stories about the dollar flooding there. And using the plural intentionally: Not just one.

UkraineReferendumUSreject
US politics: Rejecting the Referendum

And then, there was a democratic referendum on the Crimea, which the Western nations instantly denied it’s legality.It’s also interesting to note that most Eastern Ukrainians did not initially want to leave the Ukraine, but they did not want to become European either. Why does that nowadays remind the Russians of Scotland or Catalunya? Maybe they have own reasons to want to leave Britain or Spain? And they are allowed? Or will the British or Spanish also apply military intervention to force them? Like Europe does in the Ukraine? What’s Democracy? A religion? If you don’t believe me, I kill you? The first killing shots in the Ukraine came not from the “separatists”, but Kiev was and is to date the aggressor. Despite all that our press says, even they admit it. With very little words and questioning every one of it: Propaganda. And even German state television NDR named it: Propaganda! If you understand German, it’s interesting to listen to the tiptoeing of the interviewing journalist trying to trivialize her harsh, clear statements. Propaganda.

WikipediaPropagandaIt’s interesting to see the Western-dominated Wikipedia’s wording, approving the coup against a democratically elected president but at the same time condemning any actions by the Crimean, Eastern Ukrainians. Condemning the Russian support that they have been asked for by those regions. It’s not that Wikipedia does not mention it. Propaganda is more subtle. It’s in the wording and the amount of explanation you give or keep. It’s that exact example that makes Russians (people!) question “Western democracy”. Or the neutrality even of a trusted source like Wikipedia – it’s written mostly by Americans. With the best intentions. But in the political environment they work from. It’s hard to fight off that subtle, omnipresent propaganda…

Saboteur or patsy? The Russian Security Service parades ‘captured’ Ukranian Yevgeny Panov
Saboteur or patsy? The Russian Security Service parades ‘captured’ Ukranian Yevgeny Panov

Mission ImpossibleTwo weeks ago, a Ukrainian sabot
eur
was caught on the Crimea and confessed on Russian television. In return, our (European) politicians feed the press that there’s no proof and the Kiev government is right to increase the military activities in the Eastern Ukraine. Putting the fox in charge of the hen house…? Reminds me of those (U.S.) Mission Impossible movies: “As usual, should any members of your IM Force be caught or killed, the Secretary of State shall deny all knowledge of any of your actions.”

EUbufferRUMy personal interpretation: When the elected president tried to sign a strong bond with Russia (still independent), Europe tried to force Ukraine to side with Europe instead (dependency), forcing it into an unmanageable situation. When they messed up they stuck to their self-invented stories not to confess their mess-up. And the mess up will remain unresolved for European politicos now fight the deamons they let loose.

My idea for the Ukrainian people would be to force peace and a status quo to both sides. And organize peaceful elections. And commit to them. That would be democratic.
Or make them a neutral country as they were, in between the two blocks. Together with Belarus and the Baltics a buffer zone.

But that would be both against the interests of the PTBs… It won’t happen.

ECB Euro Bet
The Euro Bet
New monetary support. You can deposit it right here with us.
New monetary support. You can deposit it right here with us.

European Separatists

Again: Think about the Brexit. I’ve been asked (on several occasions), why Britain is allowed to elect “out”, but Scotland, Gibraltar, Catalonia or Crimea aren’t. In all cases, there’s big money involved and political interests by the PTBs (Powers-That-Be). But where’s the democracy? And thinking about it, why does Merkel and her CDU in a core country of democracy still have neither signed the United Nations Convention against Corruption, nor do they approve of the basic democratic tool of national referendi? Are they “democratic”? Or capitalists?

Think about Greece. Russians are very much aware that all the money goes to the banks and not the people. Their press tells them the reasons why: Our politicos saving the banks but not the people. Is it Propaganda? Or simple truth?
And such they have a very different view about the situation Russia. The situation is improving for the people. And all setbacks are tightly linked to Western attempts to dominate. Are they wrong? Or do we, do our politicos fool ourselves in the attempt to justify our / their own immoral actions and decisions?

Putin-quote-GMO
No Gen-Manipulated Organisms in Russia

Democracy or Capitalism

A fan of German political TV reports Monitor, I can only confirm that our politicos largely do not follow the interest of the people but that of the Lobbies! Russians rightfully ask, why they should not allow Putin to help his friends, when he looks more after his people than those Western politicos do? There’s no need to fight for the right to water or against the draining of entire landscapes like the ones by Nestlé in Michigan, California  or elsewhere. Interesting how little reports we get in the Western news channels about these issues, ain’t it. The same about Monsanto’s contamination of crops in Mexico, endangering the natural biodiversity of corn in Mexico; Ecowatch reports 59 indigenous species of corn already endangered by such Monsanto contamination!

armstrong-doping
Doping Legend: Lance Armstrong

Olympics

The Western dominated countries once again tried to remove the Russians from the Olympic Games. Whereas the Russians believe the U.S. to be the center of steroid doping in the world. Now Chinese, Bulgarian and Polish athletes have been found doping, but there is no kin liability applied to those countries as it was to Russia. CBS reports on those three cases. In all of them state doping programs are considered to be likely in place German news reported.

The same for the case of Ethiopia’s Almaz Ayana and her new world record on 10,000 m running – the former world champion, Chinese Junxia Wang, having admitted doping just last February.

NATO expansion 1990-2009

NATO Expansion

Look at the NATO. And the promises that were given, though not written down. To not expand militarily into former “Soviet” areas. Now suddenly NATO moves rockets and in the Russian believe nuclear warheads into Poland and the Baltics. Just miles from St. Petersburg and Moscow! Compare the distance between Cuba and Florida or Washington and then think back to the Cuban Missile Crisis. Wonder why Russian people believe in the Western hypocrisy?

Wag the Dog
Wag the Dog

I’m repeatedly reminded about the 1997 movie Wag the Dog. Where during elections the U.S. powers make up a war in Albania to influence the election. Is it a comedy? Movies like that, Homeland or Enemy of the State are simply too close to the perceived reality that Russian people take them as “comedy”.

Simply try to look at it from the other side when the press and especially our politicos tell you something. Why should Russia, Turkey or any other state trust us? We’re only about money. No soul.

Putin’s arguments may be propaganda, but he does it better than ours. He’s the victim, we’re the bullies. And we give the Russian people all arguments they need to believe just that.

export-importThe Arabian Spring

It’s the same for Arabia, where yes, the Arabian Spring was something theoretically good. But see how it destabilized the region? We all pay for the “unfinished business” in Syria. If you talk to Russians, it was the West that wanted to run a coup d’etat there, to weaken Russia and deprive it from a friendly harbor for their fleet in the Mediterranean. For the same reason the West wanted to deprive the Crimea to Russia. Aside of the oil.

I’m personally ashamed that our country is one of the big weapon developing and exporting countries in the world. After the Nuremberg Trials, we must be aware that the deaths by the weapons we produce are burden on our souls. We are “Christian”? We may be. Our politicos are not. We’re Accomplices. Our politicos sell their souls. For money. Besmirching ours.

TurkeyPutinObamaTurkey

Having recently discussed online with a Turkish friend living in Turkey, I could not answer some questions. Don’t get me wrong, we agreed Erdogan is a danger. We agreed the “cleansing” based mostly on denunciation and suspicion is dangerous! Taking control of the executive, legislative and judicial branches of power is how Third Reich happened. Beware. But our propaganda would make it worse.

Turkey would be victim to power games between Russia and Europe/the U.S. – and why did that remind me of that “joke” showing up 2015 on the social networks?

If Gülen is behind the attempted coup, would America or Europe act any different? If AFD would be found attempting a coup d’etat with the support from Russia, how would Germany, Europe or the U.S. react? Double values.

We’re afraid Turkey will become Sunni country soon. With repressions on other religions. Will this be bad for the country? Bad for it’s people? A clear Yes. Not for the Sunnis. And funny as it is, in the wake of the Turkish demonstrations pro Erdogan in Cologne, many of my friends in Germany currently argue that if Turkish are not happy with the rules of democratic Germany, they should emigrate to a country of their liking (here: Turkey). But isn’t that exactly the line of argumentation Erdogan follows?

Summary

But we bend our own rules. We constantly break them. For the sake of profit. Germany’s Joseph Goebbels was a propaganda artist. Today mostly more subtle methods are used by industry and politicians to steer the press and it is very difficult for journalists and us normal people to recognize it and not fall victim to it. With very limited success I’m afraid.

To make this very clear: There is a lot of Propaganda. On both sides.

Food For Thougth
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The +50 = Useless Myth

Juergen is one of the very few people, I really mean, VERY FEW, people that understand both airlines and airports.

Okay. So I turned 50 this year. And aside a major C-Check that will make me take additives for lost hardware and discuss health issues with friends and strangers alike? Aside being a dirty old man? Am I useless?

Why should I be?

EinsteinI still will likely work another 15 years at minimum – maybe 20 or more! Many retirees are still fit to work and get bored if they don’t. The majority of students taking up their first new job will be with the company less than five years in the end. Inexperienced and with low salaries companies invest heavily to train them on the jobs they do (or risk to invest into their mistakes). Whereas you can hire experienced people who know their jobs, make less (costly) mistakes and who have a “knowing” touch, usually good for building trust with new customers or prospects.

Not the U.S. ... China. But this graphs looks similar in any "modern" society
Not the U.S. … China. But this graphs looks similar in any “modern” society

Now we also have less and less young people entering the market here in Europe, as well as the U.S. Politicians and commercial bodies paint the picture of lack of junior employees. At the same time, they send their experienced workers home at relatively young age. Or disqualify them as employees as “too expensive” or “less resilient”. It’s the same issue about the demand of an “academic degree” for all employees. Misjudging and neglecting the value of “practical experience”. And yes, that also goes to you Marisa Meyer, whereas I also enjoy similar such personal experience with Lufthansa Group…

Mayer-Paltrow

What really bugs me about this, is that even renowned entrepreneurs and investors often disqualify older entrepreneurs from their support activities, very often, activities address “young professionals”, “under 30” and enjoy other such limitations. The same is true in talks, where “older” entrepreneurs are faced with far higher “expectations” and demands and still don’t get the investment but “hip” high risk investments by teams without any professional experience do. I believe the time to disqualify experience or “gray hair” are over soon. If companies look for good people, they will have to pay more for the few “young professionals” left, who proof to be less loyal and require more mistakes to become experienced. And I know of too many experienced people as well as honor students leaving “bad paid” aviation or not even interested to start in it, as motivation and loyalty are no one-way-street and other industries simply proof more attractive to them than ours.

German Birthrate Image by Welt.de
German Birthrate Image: Welt.de

Oh… And didn’t I just hear Germany became Champion again? In the f#%@ing lowest birth rate in the world!!! Well, that does confirm my own experience about “political child support” by our self-proclaimed “Christian-Democratic Union” led by our Chancellor Merkel. And no, I do not want to talk about “atomic exit”, Greece or “lobbyism” in Germany today. We just have a family tax system that supports DINKs (double income – no kids), but increasingly forces single parents into poverty. With the demographic results shown. So what was that again about 50+? Im now beyond 50. And happy 😀

Food for Thought
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What is ‘Big Data’?

Juergen is one of the very few people, I really mean, VERY FEW, people that understand both airlines and airports.

A new hype shakes up the business world. Everybody talks about “Big Data”. But what is that all about?

nsa
Source: AP Photo/Google, Connie Zhou

Basically it’s an utterly normal issue. More and more data is collected, increasingly larger amounts of data have to be analysed and made “usable”. And this is the crux of the matter, even NSA faces problems with. Because you can’t see the wood for the trees. And to call for the example of the Needle in the Haystack… As I showed years ago, that “problem” is none, but can be solved quickly with the right tool (a strong magnet)…

But what the “experts” try here, is to find from a randomly found pine tree needle from the forest, all the other needles that originally belonged to the same tree. And the forest grows!

Source: Microsoft, 123RF
Source: Microsoft, 123RF

The first, Big-Data-experts came up with, have been personal profiles, coming from a variety of different sources. That Google and Facebook still offer me young Russian ladies for marriage is a good sign that they are way off even that goal. It makes their life not any easier that I don’t work at German Mail in Bonn, neither being the treasurer of Kassel.

Big Data is simply a reality, no “hype”. But it remains a “problem”. To manage “big data”, I need the matching technology on the one side, on the other intelligent and fast fitering algorythms. And as the amount of data grows faster than the processing power, the real problem is predictable. Either I filter the large amount of data very rough, or I filter smaller amount of data very detailed. A question of width and depth of information. So what does NSA do with the data? First, filtering it by catch words and phrases. Then have a highly paid analyst try to separate the wheat from the chaff.

Two dangers:

George Orwell 1984, NSA 2013
George Orwell 1984, NSA 2013

1. False Positive. This defines information that is incorrectly assessed. I.e. in Spam an important message the computer considers Spam. Is it about people and the NSA, a “false positive” can have devastating repercussions, such as the denial for totally innocent people trying to enter the U.S. (such happening).

2. Privacy Protection. It’s being compromised and I keep lately quoting the former U.S. Presidents Franklin und Truman:

“Those who surrender freedom for security will not have, nor do they deserve, either one.” [Benjamin Franklin]

“we want no Gestapo or secret police. FBI is tending in that direction. They are dabbling in sex-life scandals and plain blackmail. J. Edgar Hoover would give his right eye to take over, and all congressmen and senators are afraid of him”. Ersetze FBI durch NSA… Und was, wenn die “Teaparty” tatsächlich an die Macht kommt (vergleichbar bei uns der NPD)? [Harry S. Truman]
Replace FBI by NSA… And what, if the “Tea Party” in the U.S. really get’s to power (comparably our NPD)? We call it something falling into the wrong hands.

In aviation, we also work daily with “big data” and not just British Airways develops ideas to merge their customer profiles with the public profiles of their clients from the Social Networks… We also have to think about how far we want to go. Or if there are other areas of “big data” of interest, such as operations management.

Food for Thought
comments welcome

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Heresy

Juergen is one of the very few people, I really mean, VERY FEW, people that understand both airlines and airports.

Writing last week’s blog, I was confronted again with my criticism of church. For the ones of you who don’t know: I believe in God. Being maybe not what church tells us, but “some higher entity”.

geocentric-theoryResearching on “heresy”, I sure stumbled over Galileo Galilei. Church-accused of heresy and put under house arrest for the remainder of his life, we nevertheless all know today that church was wrong and our world is not the center of the universe.
Galileo’s approach taking Augustine’s position on Scripture, can be interpreted today as the reminder that the bible was written by people who never heard of contraception, Internet or space flight … Trying to interpret things they could not understand they used metaphors.
So I believe the Bible and especially the life of some Jesus of Nazareth to have a good ethic and moral message, but written and rewritten in centuries after Christ lived, from hearsay, tales and songs, church only declared Christ to be son of god a good 435 years later.

I also deny to condemn people with other believes to hell, as it was Christ who died on the cross to take the sins of humanity until the final day of judgement at the end of the world. Being a Jew himself, I doubt that he made or wanted any differentiation between confessions: “Father, forgive them. They don’t know what they are doing”.

And he might have known of some religions, but I am sure the people later interpreting his life never imagined Australia or the Americas. Though isn’t it important to believe in God? Looking at the different churches and religions that raised from the Old Testimony and believing in the same God, they are their worst enemies. Thinking about Manitou as the god of the Indians, his “ghosts” as the angels, I don’t see, why it should not simply be a different understanding of God and his angels, stemming “naturally” from a different history. And in fact, they understood their position as a caretaker of nature, not rulers and destroyers (what blasphemy).

It’s not about church, or the Bible, it is about being a good man. If you interpret the Bible (or the Koran or any other religious foundation) to justify murder, war or theft, you are evil and have a sick understanding of what Christ, Mohammed, Buddha or whoever you believe in wanted.

Is it heresy to question interpretations of church? Is it heresy after millenia of proven mistakes they made? Didn’t church fall in with the Third Reich and condemn Jews happily to death? Did they not enrich themselves by stealing their money? Did they not commit murder and sanction war – in history to date? Are they not accused through time and again to abuse children? No, I do not believe in church. I believe there are many decent people in the churches. About the system I agree with Lazarus Long:

“The most preposterous notion that H. Sapiens has ever dreamed up is that the Lord God of Creation, Shaper and Ruler of all the Universes, wants the saccharine adoration of His creatures, can be swayed by their prayers, and becomes petulant if He does not receive this flattery. Yet this absurd fantasy, without a shred of evidence to bolster it, pays all the expenses of the oldest, largest, and least productive industry in all of history.”

And yes, by the way: “The second most preposterous notion is that copulation is inherently sinful.”

Food for Thought
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Alexei Navalny vs. Edward Snowden

Juergen is one of the very few people, I really mean, VERY FEW, people that understand both airlines and airports.

NavalnySnowdenTo make this very clear… This is not against U.S. or Russia or Germany, we have enough problems everywhere. It is a case to point the mirror to the U.S. and Russia.

Is it truly necessary to prosecute Edward Snowden and to mess internationally (not just with some South American President) on all diplomatic levels to catch someone who has done what he believes to be right at the risk to never see his home again? “Exile” was a punishment in the past and exile is what Snowden chose.
Snowden obviously had a point, even in the United States, many citizens think he did “the right thing”. And is that not what America claims to be all about? Spying friends is certainly not what it is all about and even as a historic friend of the United States and it’s people, I don’t like the witch hunt I see here.

Now comes Alexei Navalny and the United States, in the midst of a global diplomatic crisis expresses their disgust with the court ruling? As wrong as it is, I think the United States currently has to start looking into a mirror. Dear Michael McFaul, Ambassador of the U.S. in Moscow: “We are deeply disappointed in the conviction of @Navalny @Snowden (and @Manning) and the apparent political motivations in this trial.”
What did become of that “Land of the Free and the Home to the Brave” I love so much? Big Brother? I liked Tom Clancy’s “NetForce”. But Prism goes far far beyond it!
A country that supports such control of citizens and friends alike has to allow the warning cries from Germany – we have a history that tells stories about abuse of information and publicity. Not just Gestapo, the East German Stasi has tried just the same. What makes you better? The government? The Weimar Republic was not a bad government, but do you know what comes tomorrow? There are stories about one J. Edgar Hoover, about whom Wikipedia says:

Pres. Truman + J. Edgar Hoover
Pres. Truman + J. Edgar Hoover

Late in life and after his death Hoover became a controversial figure, as evidence of his secretive actions became known. His critics have accused him of exceeding the jurisdiction of the FBI. He used the FBI to harass political dissenters and activists, to amass secret files on political leaders, and to collect evidence using illegal methods. Hoover consequently amassed a great deal of power and was in a position to intimidate and threaten sitting Presidents. According to President Harry S Truman, Hoover transformed the FBI into his private secret police force; Truman stated that “we want no Gestapo or secret police. FBI NSA is tending in that direction. They are dabbling in sex-life scandals and plain blackmail. J. Edgar Hoover would give his right eye to take over, and all congressmen and senators are afraid of him”.

In the wrong hands, who knows what might have become of the United States? Listen to Truman. Mr. Obama, today you are the president.

On the other side, we have some Alexei Navalny who dares to threaten Putin and to research and make public illegalities in Russia. It takes a lot of bravery and civil courage to do so in Russia, even more unfortunately in a Russia of some Vladimir Putin. Whatever good he may have done for the country in his past, he sticks to power too much to my liking at the risk to not end up an icon just as one Nelson Mandela (as he still could I believe), but closer to one Joseph Stalin. At the same time ruining what one Mikhail Gorbachev and the people of Russia had achieved with Glasnost. Though with greedy politicians and industry managers in the “West”, there is not much danger, anti-democratic countries may suffer from commercial repercussions, right? And Putin might have a “good reason” for his doing, though even with good motives, I think he’s in danger of messing it badly.

The question is also more of a Christian dimension: “He who is without sin among you, let him be the first to throw a stone at her.”

JesusSin

Who is the United States, with a war in Iraq based on the lie of “weapons of mass destruction”, with Guantanamo and witch hunts against Bradley Manning or Edward Snowden, with an NSA mass-trampling on privacy concerns that the illegal attempts of data collection by Google, Microsoft or others become a child-game in comparison?

Who is Germany, recently having delayed again ratification of the signage of the United Nation Convention against Corruption? The country that does not take a stand for what’s good but who’s government yields to the lobbies?

But being “bad kids on the block”, we are still democratic countries. The ones who can make a stand is us. The people. I can decide to dislike and talk about Edward Snowden. I can condemn the NSA, no matter how much I do believe Barrack Obama to be a “good man” or how much I do love America. We have the saying: Power Corrupts. Absolute Power corrupts absolutely. But we, the people still can raise our voice, we can blog and talk and discuss and stand for what we believe in. And in the end of the day, we make mistakes as anyone else. But at least I can look into the mirror and say: “I like this guy”. And if we are lucky, we do what you Barrack Obama said you would want to become the President for: To make a Change.

And I don’t think Angela Merkel is in a good position to do that right now. Slave to the lobbies, pampering Putin for Russia’s natural resources and wealth and, as she does for China, not any more democratic than Russia these days. Neither is Obama, for what I am immensely sorry!
But I am. And not throwing any stones, I can beg: Obama: Stop the Witch Hunt! And I can beg: Putin: Don’t end up the man who reinstated dictatorship in Russia!

You’re both good, decent men! Show it!


This article today calls me to pull out my favorite Lazarus Long-quotes once more:

Democracy is based on the assumption that a million men are wiser than one man. How’s that again? I missed something.
Autocracy is based on the assumption that one man is wiser than a million men. Let’s play that over again, too. Who decides?

Any government will work if authority and responsibility are equal and coordinate. This does not insure “good” government; it simply insures that it will work. But such governments are rare–most people want to run things but want no part of the blame. This used to be called the “backseat-driver syndrome.”

Food for Thought
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Ethics in Tourism

Juergen is one of the very few people, I really mean, VERY FEW, people that understand both airlines and airports.

There is quite a discussion in Germany these days about Tourisms and Ethics, ever since German politician (Klaus Brähmig of Merkel’s governing party CDU) called for a boycott of travel to Egypt and other “non-democratic” countries. It also comes up on Lufthansa’s latest move to not charge a “service fee” on their website.

Shift Happens NarratedAll in all, I am being questioned by many friends about topics, that make me wonder, how you could call Germany “social market economy” and not what it is: Capitalism! But that is not just in Germany, we talk about a global trend. If you believe in Capitalism, the world is good. The rich get richer, the poor get poorer and the middle class erodes one way or the other (likely “the other”).

There was this video in 2006, I referred to ever so often: Shift Happens Narrated. I did not yet find a good update with 2011 figures, but believe it, it get’s worse.

Is capitalism the right answer? Everything that makes money is good? Do we learn from Exxon Valdez, Deep Water Horizon or the recent gas leakage in the North Sea? Obviously not.

MonsantoRecent reports claim that the international hydra Monsanto intentionally spreaded gene-manipulated (GM) corn crops in Mexico – against the law and in attempted secrecy. This way, they try to get a hold on Mexican farmers, who will in return be charged the “license” fees for using GM corn of Monsanto origin! There is no way, the corn could have reached the fields in a natural way, where it was found. Is everything allowed if it brings money?

Lately (2010), a strong movement forced a political acknowledgement to the Human Right to Water! Do you see the little blue planet picture? But people starve to death, simply missing access to clear water! The consumption of bottled water in Germany exploded from 12.5 l in 1970 to about 130 l in 2006! Did you know that multinationals pump water in areas where the local people face a dry period? This happened even in Michigan, USA – it is not limited to third world countries. That is anti-social, unethical and simple capitalism of the worse kind.

And despite the growth of Solar Power and other alternative energy possibilities, our governments build atomic power plants where we don’t know how to get rid of the waste products, they support building of dirty coal power plants, emitting more Carbon-Dioxide than thousands of old cars could, simply dancing to the whistles of the energy lobbies. They let Greece go into a major crisis, simply to give the banks time, to move their foul papers to the state. Don’t believe it? There is extensive German coverage on Monitor, a bi-weekly report by public television channel ARD in it’s dossiers.

All that said… What about the travel industry?

wigMany years ago, there was a question about the difference of a Tourist to a Terrorist. With tourists, there are no bombs involved, but the results are even more devastating… Yes, this is exaggerating. But thousands of divers ruin the coral reefs around the world. Thousands of tourists skiing the alps (or Rocky Mountains) have a devastating effect to that natural preserve. Aircraft exhausts are in high altitude, having a worse effect than ground time. But even back in 2007/08, when I was involved in the feasibility study for a WIG, all development I hear about is “less kerosene”, bio-fuels replacing kerosene (with unknown new side-effects), but that project stalled with the world financial crisis and seems to be of a low priority. Coutries like the Maldives could replace their entire local aircraft fleet and replace by a clean alternative.

I hear a lot about the “reduced noice levels” of aircraft, but in the discussion about the night flight ban in Frankfurt, I asked publicly, where there are hard facts about this? How did the noise levels reduce and why are the airports then paying new millions every year in counter-noise-modifications in their neighborhood?

Many meetings could be replaced by professional video conferencing, but our managers keep the “need” to meet for their routine meetings “in person”. Trains focus on high speed route networks in competition to air (and that makes sense), at the same time neglecting the local traffic – how to commute from a small township to the bigger town for work?

Yes, I love aviation, I am an airliner by vocation. But yes, I have a soul and yes, I question the tendency to keep status quos without need. The feasibility study provided figures that such a solution would pay off within maximum three years, then it’s a cash cow. It could revive the old harbor cities (the ones on the seaside). But such revolutionary developments are opposed by the “old school”, all the investment going into the airport infrastructure.

Responsibility begins with each and everyone of us. We are supposed to be Christian’s, but Christian behavior would call for social behavior and I cannot see such. The question is: Where will we be in 100 years? Watch the “Shift Happens” video again:

flat-earthName this country

Richest in the World. Largest military. Center of world business and finance. Strongest education system. World center of innovation and invention. Currency the world standard of value. Highest standard of living.

… England … In 1900!

How did travel develop in the past 100 years. People traveled by ships, horse carriage and some railroad systems. Just a 100 years ago, Titanic sunk. Today it takes less than six hours to travel from Frankfurt to Boston. In the 60’s, American Airlines and IBM invented Sabre and revolutionized the distribution of airline seats. I was with American, when they started to provide Sabre terminals to the first travel agencies in Germany – which have already gained experience with the START-system, accessing the Lufthansa “Res”-system through a pre-windows environment! In 1996, as the “GDS Coordinator” I was primary element for the development of the first Internet Booking Engine for business travel (air, hotel, car). We had “e-Mail” (called “SITA-Telex”) in the late 80’s, no one spoke about “Internet” then. But I also introduced the “Internet” and the new “World Wide Web” to the Airline Sales Representatives Association back in 1994, recommending i.e. Continental Airlines to register their domain name for a few bucks quickly. They sure ignored my recommendation and for years used “www.flycontinental.com” instead.

GalileoCRSIs that “you”?

What is our business? Is it to manage a GDS? Many travel agents (seem to) believe so. Then we are database operators. AN20MAYFRAHKT18 – that is a database request. Is your business to issue tickets? Then you are no longer needed, as eTicket is the new standard.

What was “your business” 100 years ago? It was not to book the air ticket and the hotel. It was a complete consulting, how to get Grammy from her home in Middlesex to Aunt Cathy, who emigrated with her husband to this new colony Swaziland in the South of Africa. Could she use some of the new airplane-routes? Where could she use trains? Where were carriage routes? What vaccinations would she need, where would she stay overnight, what could she do on the multi-day-stops en-route?
Or you booked the summer seaside. If you lived in England, you were lucky, you could book one of the “packages” offered by some “Thomas Cook”. Else, you had to read a lot about the “common” spas, recommend and explain you client the advantages, book the trip, the hotel, the treatments.

And yes, it was expected from you to be knowledgeable about the countries, their political, cultural, economical and social systems. If you traveled to an Islamic country, what are the rules? Why to be careful and patient about cows in India. And to know that India was British colony. Sometimes I wonder, how many of the people selling “Seidenstraße” ever learned some detail about Marco Polo. Venice, Genoa have been the center of the world those days – the “seafaring nations”. Frankfurt, London, Atlanta, Peking are the centers today – of the “airfaring” world. What are “nations” in a globalizing world? But U.N. is a toothless tiger. Lybia, Tunesia and Egypt were (as Kuwait) some years ago immediately targets of military – for the sake of crude oil. But in Syria thousands are slaughtered, but they are not a capitalist necessity, so the world looks and doesn’t do.

Ethical DilemmaAn old saying says: Don’t talk about ethics to a hungry man!

Ethics begins with myself. Do I fly or drive – or do I take a train? Is the trip necessary? Can I achieve the same outcome with a video-conference and e-Mail? It is also about: Is this to the best of my employer – or do I justify the trip, simply because I want to see someone – or get somewhere. And it is about: Can I help to make this world a better place?

Yes, companies are about making money. But if only money rules, we adore the Golden Calf again. How un-Christian can we get? Talk to me about Ethics in Tourism. Yes, we got to survive. But at all cost?

The travel industry prospers, but for some reason, the employees do not participate. It’s all about money. Is it?

 

Food For Thought

And as usual, your comments – private or in the blog – are appreciated…

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