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MSN Air Service Profile and Expansion Plan
- Rudy Singh, President & CEO, MSN Air Service

yellow square Introduction

MSN Air Service is an established airline service provider based in JFK. The company was founded in February 2002 by its President and CEO, Mr. Roopnarine (Rudy) Singh and was created in order to provide superior, cost effective and efficient cargo handling services to our client airlines, meeting or exceeding all airline performance standards and indicators. MSN has a straightforward strategy of delivering consistently superior service at a cost effective price. MSN has evolved from its beginnings, with only one airline account, into an aviation services company that provides a wide range of outsourced services on behalf of 10 major domestic and International air carriers.

yellow square Present:

Experience gained servicing some of the world’s best airlines has given MSN increased ability to consistently realize exceptional performance results. MSN’ has always been very responsive in meeting client needs.

Since commencing operation in our own cargo facility in 2005 MSN has not lost sight of what made it successful – exceeding customer expectations. MSN is very proud of its history and is intensely focused on operating from a more modern facility to be able to maintain its competitive advantage as it embarks on a strategic growth plan. Well trained staff understands that customer needs must be met quickly and effectively and that performance directly influences the bottom line. That is why it is common for MSN employees to go the extra mile in meeting both customer and client requirements.

MSN meets all of the criteria demanded in the ideal aviation services company – Total service reliability provided by experienced professional staff, at a competitive price. Our Company meets, and is in compliance with all local and federal mandates governing domestic and international handling and processing of air cargo at our facility. Our ramp area of 58,000 square feet is available for aircraft parking and ramp handling up to and including Boeing 747-400 freighter aircraft, however the building warehouse is unable to accommodate a full freighter load in and out so we are not able to bid on this type of cargo aircraft only handling.

We have 17,000 square feet of employee parking which exceeds the employee needs or requirement for a 16,000 square foot facility. The entire building/facility has six (6) truck docks 16,000 square feet, 11,600 square feet of which is warehouse. MSN are currently in negotiations with the JFK Airport Authority to move in to a new cargo facility that will triple our space.

yellow square Presently we are the appointed GHA-Cargo Handling Agents for:

• Avianca
• Southern air 747 CARGO SPECIAL CHARTERS.

Collectively we handle over 250 Daily scheduled flights, in addition to courier handling, special charters and mail. Of our current clients Lot Polish JetBlue and Avianca all have plans to increase flight frequency, cargo tonnage availability and increase flights in and out of JFK Airport during 2013. We have been told by Lot Polish that they will soon begin to operate the new B787 Dream liner which will increase cargo loads will 50%. JetBlue have announced that they will upgrade their aircraft fleet to the new Airbus A321, also adding to their current cargo capacity so the future looks bright, hence our plans to increase our facility size.

The following is a menu of accessorial services that we presently offer to current clients:
• Full communications capability
• Hi-speed computer access
• AMS Customs Clearance System
• Hazmat Certified Agents
• Customs Bonded warehouse facility
• Cold Storage on site
• TSA certified cargo screeners
• Exclusive use of safe for hi-value and critical shipments
• Security cage use for sensitive shipments
• 24 hour CCTV monitoring
• 24 hour Security Guard Service within the warehouse
• Transport/Drayage of cargo and mail to and from the aircraft
• Mail sorting and Palletizing
• Baggage and Cargo Loading
• US Mail handling and scanning at Post Office
• Aircraft Parking and Turnaround Service
• 20,000 Square Feet of Refrigerated Space

All cargo security screening is conducted in accordance with all TSA security mandates. Our system was enhanced with (Smith Detection IONSCAN 400B ETD Screening Machine).

Our management team and employees are currently certified under the Model Security Program Training, Cargo Security and Risk Prevention training and awareness program of the TSA. All Staff is vetted through the Security Threat Assessment (STA) via the Port Authority of New York & New Jersey and United States Custom and Border Protection.

MSN Air Service Inc. is committed to achieving a high level of service underwritten by competent personnel, facilities and equipment available to accommodate and perform effectively. Our operating skills and ability are based on common sense and repetitive
Immersion in the mechanics of air cargo and ground handling services. All of our employees have long term experience and a sufficient variety of resources to address the needs of carriers.

We have gained a very good reputation as a JFK cargo handler since 2005. In addition, since that time there has been significant interest shown in MSN by various airlines who have expressed a desire to enter into negotiations that will allow MSN to become their cargo handler of choice. In May 2012 we concluded talks and began new cargo handling business for major domestic and international airlines, we have added 36 full time staff to bring our total to 68 full time employees and expect to continue to add people.

yellow square Vision for the Future:

JFK offers tremendous potential for a ground handler. Our Mission is to become a significant provider of Aviation Services providing high value quality service in JFK. MSN believes that we have the expertise necessary to manage and successfully operate larger air cargo facilities. To accomplish this we have developed a Four Point Plan:

• Attract Hire, Develop and Retain a Management Team that is recognized for its skills and Talents.
• Deliver Responsive Service that Meets or Exceeds Customer Expectations.
• Expand Depth and Breadth of Service Offerings.
• Minimize Risk while Achieving Excellent Financial Results

To accomplish Point one of our Plan we will synchronize corporate and field Human Resource functions and standardize recruiting process. We have implemented a comprehensive employee compensation package and formalized our performance review process, in addition we are about to roll out a Leadership Development Program.

Point two of the Plan will be accomplished by ensuring 100% employee participation in Client Carrier provided Training Programs. We will exceed Client Carrier performance indicators. We will complete quarterly Station Compliance reviews and Conduct Formal Management Performance reviews with strict accountability.

The third Point of our Four Point Plan must be accomplished with the support of the PANYNJ. In the short term our Strategic growth is dependent on securing additional Cargo warehouse space. Our immediate goal now is our wish to lease cargo building 263. A formal request for MSN to be allowed to lease cargo building 263 was submitted to the PANYNJ. We have had many solid opportunities from several carriers who have invited MSN to submit a bid on cargo handling. In order to make a proposal on any additional ground handling business we need to increase our JFK footprint. To do this we need to have more adequate warehouse and office space at a fair market rate, a rate that is based on the building capabilities and specifications, that will allow us to bid and handle any and all types of cargo, including all “cargo only” airlines and any other passenger airline cargo business. We have begun to create and continue to update our sales and marketing collateral material. We attend key industry events and are able to leverage our existing relationships. We have had various meetings and discussions with the Port regarding several empty buildings and their availability going back to 2006.

yellow square Financial:

MSN has a proven and measureable record of successful growth. As we know a handling agent is never able to completely control all aspects of the aviation business. We are unable to influence airline flight schedules into one of our gateway cities and we are at the mercy of the world economy; therefore the final part of our Four Point plan is our financial planning. We have grown in revenue and our contribution to the Port Authority has increased year after year. In 2012 we increased revenue over last year by $1.2m.

MSN has recorded an average of 20% Gross Revenue growth in the last six years. We feel that this growth is sustainable for the next two years without any additional clients due to the increased flights, upgraded aircraft type and additional routes to and from JFK from our present client carriers. LOT Polish to begin A330, Avianca and Air India to start B787 service subject to battery problem resolution and JetBlue increase in International Caribbean destinations. We are in serious talks with other carriers who we feel strongly will support our application for a move to building 263 and allow MSN to become their Handler of choice. We regret we are unable to divulge the names of the airlines concerned at this time as they all have current ground handling agreements.

The MSN Gross Revenue:

Year      Gross Revenue
2013      $ xxxxxxxxxx (Projected with existing clients)
2014      $ xxxxxxxxxx (Projected with new business)
2015      $ xxxxxxxxxx (Projected with new business)

Our Rent and Port fees are:

Year     Port Rent     Port Fee
2012     $ 623,917     $181,000.00 (Projected)
2013     $ 803,000     $221,000.00 (Projected)

In addition to our increased contribution to the Port Authority in rent and Port fee we have more than tripled our employees since 2006, we now have 72 full time employees who have each contributed to the NY State and Federal tax revenue.

We have utilized historic financial data to develop realistic operating budgets. We complete a monthly budget review process with all managers in addition to minimizing costly errors by driving accountability to our front line employees. We are now evaluating every handling opportunity on its individual merits. Our existing revenue stream is adequate to facilitate growth into a newer building.

yellow square Handling Company Contacts:

MSN Air Service
Cargo Facility 86. Cargo Area C
JFK International Airport


Rudy Singh
President & CEO
E-Mail: Rudy@msnairservice.com
Cell: 917-822 6690

Aditya (Deo) Sookdeo
General Manager
E-Mail: Deo@msnairservice.com
Cell: 917-642 2762

Terry Williams
Executive Vice-President
E-Mail: Terry@msnairservice.com
Cell: 917-577 6252
Tel: 718-244 5304. Fax: 718-244 5313

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