Tag Archives: AERO SA

Aero Expo South Africa 2022

Aero Africa was passionately welcomed back to Wonderboom National Airport in the city of Tshwane, South Africa, this past week and adding Saturday for some of the public to attend the now 2nd edition of the general aviation trade show.

This being Africa’s largest general aviation trade show, covers the full spectrum of services and products for the aviation industry. Discover what direction developments in the General Aviation industry are going.

This years expo was a bit smaller as the previous Aero Africa that took place for the first time back in 2019.

Due to the fact that planned returns of the expo were to take place in 2020/2021, got cancelled due to the all now well known covid-pandemic.

As that being said, we can now appreciate the event is back and we and the industry can only grow stronger going forward.

Visitors were welcome to fly-in to AERO South Africa in their own aircraft for the proceedings of each of the three days.

That including free landing, approach and ground handling fees for fly-ins to the event.

Potential buyers had the opportunity to experience aircraft features first hand as aircraft manufacturers and distributors having the opportunity to host demonstration flights during the event.

A workshop area hosted reputable speakers covering relevant topics were available during the course of the days of all different products, companies ect.

Aero South Africa attracts a broad and international exhibitor base with innovative products new to South Africa by incentivising product launches and global imports.

An interactive platform offering exhibitors and visitor the perfect environment to build and foster relationships with current and future business partners.

Features at AERO South Africa 2022

A private workshop area is available to host seminars and talks at AERO South Africa 2022.

As well as a medium size static park with a number of fixed wing and rotary aircraft on display.

Some of the big aviation companies that were exhibiting such as Absolute Aviation, National Airways Corporation, Cirrus South Africa, Airbus Helicopters, Excujet, DJA Aviation, Flight Schools, Air Ambulances just to name a few.

The airport itself was still busy with charter flights, flight training schools, test flights from the airports local maintenance facilities.

This made up for some as many of the general public thought the event was an airshow but in fact and expo.

AERO South Africa confirmed to take place from the 7-9 July 2022, at Wonderboom National Airport, Tshwane

Messe Frankfurt South Africa is excited to announce that the second edition of AERO South Africa, Africa’s premier event for the General Aviation Industry, will take place from the 7-9 July 2022, at Wonderboom National Airport in Tshwane. The first edition was an overwhelming success and welcomed over 4200 visitors, with over 100 exhibiting companies showcasing the industry’s latest innovations from 14 aviation sectors, across 4000sqm. The three-day event is organised by Messe Frankfurt South Africa in partnership with fairnamic GmbH – the new joint venture of Messe Frankfurt and Messe Friedrichshafen who organise Europe’s largest General Aviation Show – AERO Friedrichshafen.

“The feedback from the inaugural edition of AERO South Africa was extremely positive. We have already seen an unprecedented level of interest from companies wanting to exhibit at the event. To date we are proud to announce that we have confirmed Bose, Bell Helicopters, Concorde Battery, Airbus Helicopters Southern Africa, Pooley’s, Spidertracks, Avcon Jet, Wings n Things, DJA Aviation, Aviation Direct together with SA Weather Service, Aeronautical, Blue Chip Flight School, Sling Aircraft, Get-Wings International, Vektor International, Readiness Squared, Flyfofa and Vitalmed,” says Annelie Reynolds, Portfolio Director at Messe Frankfurt South Africa.

“We are also honoured to have the support of the City of Tshwane as the host city. Wonderboom Airport is the ideal location for our event as it is one of the only venues in South Africa that can accommodate aircraft fly-ins for visitors and demo flights for aircraft OEMs and distributors, allowing for a first-hand experience to a prospective buyer during the purchase process. This not only allows our exhibitors to demonstrate their products, but also makes it more convenient for people to attend the event from around the country. In 2019, AERO South Africa welcomed over 250 fly-ins“‘ Says Reynolds.

Tobias Bretzel, Show Director of AERO Friedrichshafen adds: “We are very pleased to see how AERO South Africa is evolving and I`m strongly convinced that the show will become/ be the most important platform for the General Aviation for both fixed and rotary wing but also for Business Aviation industry in the region. AERO Friedrichshafen taking place from 27 – 30 April 2022 in Friedrichshafen Germany will strongly support the 2nd edition of the South African event.”

The event will benefit the local economy, as it brings South African and international suppliers to the City of Tshwane and connects them to private airplane and fleet owners, pilots as well as potential buyers.

“We in the Economic Development Division believe the City of Tshwane is the host of choice for the biggest General Aviation Exhibition in Africa, because the City is the hub for General Aviation in Southern Africa. We are fully committed to support Messe Frankfurt in hosting the AERO 2022, 2023 and 2024 General Aviation Exhibitions at Wonderboom National Airport and believe these editions will eclipse the successful event of 2019“, said Christiaan van der Wath, Deputy Director: Aerospace Sector Support at City of Tshwane.

Both exhibitors and visitors expressed their satisfaction with this first-time business-to-business showcase, focusing solely on the niche market of General Aviation. “The show was a roaring success and certainly met our expectations and those of our exhibitors and visitors. We are confident that AERO South Africa will become the premier promotional platform for the General Aviation and we look forward to participating at the next edition,” said Guy Worthington, Executive Director at Absolute Aviation after the 2019 event.

Fanie Jansen, the GM of Hiconnex, an aftermarket parts supplier commented that “AERO South Africa connects the right people with the right industry. It is a firm platform to market your brand to a niche market.”

General Aviation businesses are booking their space at the event at a rapid pace, and it is advisable to enquire about stand availability soon! For stand bookings, contact Annelie Reynolds, Show Director on annelie.reynolds@za.messafrankfurt.com or on 083 308 1251.

Website: www.aerosouthafrica.com
Facebook: www.facebook.com/AEROExpoSA
Twitter: www.twitter.com/AEROExpoSA

Background information on Messe Frankfurt

The Messe Frankfurt Group is the world’s largest trade fair, congress and event organiser with its own exhibition grounds. The Group employs approximately 2,300* people at its headquarters in Frankfurt am Main and in 30 subsidiaries around the world. In 2021, the company had to contend with the challenges posed by the pandemic for the second consecutive year. Annual sales will be approximately €140* million after having been as high as €736 million in 2019 before the pandemic. Even in difficult times caused by the coronavirus pandemic, we are globally networked with our industry sectors. We have close ties with our industry sectors and serve our customers’ business interests efficiently within the framework of our Fairs & Events, Locations and Services business fields. One of the Group’s key USPs is its closely knit global sales network, which extends throughout the world. Our comprehensive range of services – both onsite and online – ensures that customers worldwide enjoy consistently high quality and flexibility when planning, organising and running their events. We are expanding our digital expertise with new business models. The wide range of services includes renting exhibition grounds, trade fair construction and marketing, personnel and food services. Headquartered in Frankfurt am Main, the company is owned by the City of Frankfurt (60 percent) and the State of Hesse (40 percent).

For more information, please visit our website at: www.messefrankfurt.com

* Preliminary figures for 2021

Aviation Insurance

By DJA – Graham Speller

DJA Aviation (Pty) Ltd

Aviation insurance has become a very different commodity to the one we have been used to over the past 15 years or more.

When effecting insurance, you are buying a promise – that’s all. A promise of some future conduct, based on a pre-agreed set of terms and conditions.

You hope (because you cannot guarantee it) that the insurer(s) you have contracted with will fulfil their obligations under the contract. They, in turn, assume that you will do likewise.

And provide both parties follow the rules, keep to their promises and respect each other’s rights under the contract, all is well.

The disastrous losses sustained by Property & Casualty (P&C) losses in 2017 and, to a lesser extent, in 2018, led to a global shift in the manner in which short-term insurance coverage is assessed, priced and offered. Multiple natural disasters – hurricanes, earthquakes, fires, etc. – resulted in massive insured losses, easily exceeding 200% of the global premium income.

Coupled with a collapse of international insurance rates, the direct underwriting losses (the extent by which claims exceeded premium income) placed many/most Insurers and Lloyd’s Syndicates in a life-threatening position, from which they needed to extricate themselves in a very short period of time.

In essence, the 2017-18 P&C losses severely depleted the reserve account of many Insurers and their respective Reinsurers. Without reflating the market, future catastrophic losses may have led to widespread failures, leading to financial ruin for many policyholders.

The aviation market, meanwhile, had been losing money for several years – at least since 2015.

Following a spike in airline insurance rates in 2002, as a consequence of the 9/11 losses, the airline industry entered a golden age of safety, with a continually-falling loss rate and big profits for those Insurers who had not exited the aviation market in the aftermath of the attacks.

Of course, there is nothing quite like seeing your competitors raking it in to encourage you to enter the game, whether for the first time or as a returning player!

This sudden expansion of capacity (more Insurers offering coverage), coupled with benign loss experience, started the “soft market” cycle which, with only momentary pauses, saw airline insurance rates dropping steadily over the next 15 years.

At the same time, many airline Insurers who saw their income being eroded due to the falling rates, turned elsewhere for income – General Aviation became an obvious choice, leading to accelerated softening of GA insurance rates as a result.

If we were to go back 20 years or so, to the late 90s, we would see that aviation rates were probably running at about the same as they are today, in 2020.

In the interim, however, they hit an all-time low.

As part of the efforts to reflate the market in 2018, Insurers were forced to carry out a complete review of all parts of their portfolios (i.e. all classes of insurance), including niche areas like Aviation which, at best, accounts for around 2% of the world’s total short term insurance premium income.

What those Insurers found was that Aviation (and other niche classes) had been “sheltered” by the P&C account for years. Bear in mind that, by comparison, the P&C market accounts for about 60% of the total global premium income.

The consequences were as dramatic as they were rapid.

Many Insurers completely withdrew from underwriting Aviation. Understandably, perhaps, these tended to be those that had been the ones offering the cheapest rates.

Others, who decided to stay in the game, needed to take action on three fronts: increasing rates, restricting coverage and reducing exposure (the shares they write), in order to get their portfolios back into a profitable position.

For an Insurer, a “profitable position” probably means a return of no more than 5% across the portfolio.

In other words, provided they paid out no more than $95 for every $100 of nett income, they are profitable.

Nett income would be calculated, very simply, as gross premium, less expenses, plus investment income.

Given that global interest rates have dropped to virtually 0% in most developed countries, there is no investment income to be made and Insurers are faced with a very simple equation.

Expenses include the overall cost of running the place plus the cost of acquiring business and runs at around 40% of gross premium for most Insurers.

So if an Insurer pays more than $55 in claims, for every $100 of gross premium, they are running at a loss.

Against this background, Insurers have to take great care in how they price their exposure, in order to give themselves a reasonable chance of turning a profit. Losing money is no longer an option and will result in job losses and the potential withdrawal of the Insurer from Aviation, with all that infers.

What Insurers are doing is to take a completely fresh look at the exposure and repricing the risk from the perspective of their own position alone. They call it “modeling the exposure”, which is usually carried out by actuaries.

In “hard” markets like the current one – where rates are being driven up by Insurers, the cost of insurance becomes a key factor for most policyholders.

A true broker will spend his/her working life trying to secure the best possible terms for their client. To some, this means the cheapest rates, but that is a dangerous fallacy.

The terms of insurance are a combination of a number of things. At DJA we refer to The Right Approach. This encapsulates our entire business philosophy, and enables us to fulfil our responsibilities to our clients and provide our clients with the financial peace of mind they need in order to operate.

There are four principle aspects which we say MUST be kept in balance with each other – like the blades of an aircraft propeller.


Naturally, the coverage must be appropriate for the risk and the policyholder’s requirements – no point in cutting out required coverage and hoping things will be OK


The service provided by the Insurer and the Broker, on a day-to-day basis, and especially when claims arise, is important – the insurance will be worthless if you cannot get anything done, or get advice when you need it


This is a big one. Why bother to insure if the Insurer you choose is not going to be able to provide the service or, far more importantly, is not going to respond to claims – either because they don’t want to or because they cannot?


The premium must be competitive, having regard to all the other factors. Again, there is no point in cutting down on required coverage, giving up service or selecting a sub-standard Insurer all for the sake of a cheaper premium. That is the height of idiocy and DJA does not see that as a means of fulfilling its duties towards its clients.

A fifth aspect, that is particularly relevant in a hard market, is Relationships. That is, the relationship between the Insured and his Insurers. When things are tough, as they are right now, and claims arise which could go either way (as many can), it can be the strength of the relationship with the Insurer that makes the difference. So we try to promote the maintenance and growth of Insurer-Client relationships wherever we can.

It makes sense to follow an Insurer’s financial strength rating, as applied by ratings agencies who specialize in analyzing insurance companies. Standard & Poor’s and AM Best are the principal ratings agencies for the insurance industry and apply financial strength ratings (FSRs) to hundreds of Insurers all over the world, using a consistent rating methodology that enables and Insurer in one country to be reasonably compared with one in a different part of the world.

Both S&P and AM Best use an alphabet scale, ranging from A as the highest.

The insurer may need to be around to defend you, and settle claims, for many years following a loss – particularly in relation to Passenger Liability claims. The last thing an Insured needs is to find that, at the crucial moment, the Insurer has disappeared. There is no such thing as joint liability under an insurance policy – each Insurer is only responsible for its own share.

Anyone considering whether to accept an insurer it is being offered to underwrite the insurance of substantial assets and potentially-huge legal liability exposures should wish to get a high level of comfort based on the financial strength rating of the Insurer(s) concerned.

Particularly an Insurer located in a foreign country that does not have a subsidiary in the policyholder’s country of domicile and no assets which can be applied to cover its liabilities.

Based on the above scale, an Insurer rated below A- by S&P, or B+ by AM Best – or not rated at all by either – should be carefully considered and further investigations carried out in conjunction with a knowledgeable insurance broker.

The more care and attention that is applied to the selection of the Insurer(s) to be relied upon to fulfil their promises under the insurance contract, the less likely it is that claims will result in tears.


AERO SA set to change aviation exhibitions in South Africa

AERO SA set to change aviation exhibitions in South Africa

Wonderboom National Airport, Pretoria, Tshwane, South Africa
4-6 July 2019.

As a subsidiary of one of the world’s leading events and fairs companies, Messe Frankfurt South Africa in partnership with Messe Friedrichshafen – the organizer of AERO Friedrichshafen, recently announced the launch of AERO South Africa. AERO SA will be taking place at Wonderboom National Airport, Tshwane, South Africa from 4-6 July 2019.

Speaking at the launch event, Konstantin von Vieregge, CEO of Messe Frankfurt SA, said that “although there is a lot of negative sentiment around the South African economy, we are in for the long-haul, and believe that this is the perfect time to launch a business-to-business show specifically related to general aviation in Africa”. “According to the GAMA report 2017, there has been a steady increase in aircraft registrations in South Africa, and that there is a gap in the market for such an event”, said von Vieregge.

A show like AERO SA will be the perfect place to bring clients and businesses together, “Same as AERO Friedrichshafen, the South African edition will focus on Light/Medium sized aircrafts and it will emphasize the importance of aviation as a key to growing the economy. AERO SA will highlight South Africa on the aviation map as well as ensure that South Africa remains the premiere aviation hub on the African continent”, commented von Vieregge.

AERO SA plans to unite a broad spectrum of the general aviation industry under one show and at one location and will be a platform to engage with all sectors of the aviation community, by bringing business-to-business leads to the fore.

“Wonderboom National airport is the perfect venue to host AERO SA, as it allows for the opportunity to conduct test flights, clients can fly their own aircraft to the show, and there is ample space for exhibitors that allows easy access to trade visitors,” said von Vieregge.

AERO SA will focus on ensuring that the costs to exhibit are affordable and that aircraft on display will be charged per aircraft and not by space. AERO SA will base a lot of its strategy on the world-famous AERO Friedrichshafen show that has become one of the world’s biggest general aviation shows.


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