Global Trade This Week – July 26th, 2022
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Keenan Brugh 0:00
You're watching Global Trade This Week with Pete mento and Doug Draper.
Pete Mento 0:09
Hello, everyone. I am Pete mento. And as is always with me, for this incredibly exciting episode of overtreated this week brought to you by DAP logistics. Is the ammunition to my hand gun, the gas to my combustion engine? The why to my what for?
Doug Draper. Doug, it's great to see you, pal.
Doug Draper 0:38
Yeah. It's good to see you! It's a heck of an intro. I appreciate it. Yeah, yeah, that's good. I'm excited about halftime. And my topic, I'm on a high after this weekend, and that's almost say, because the halftime is going to kind of roll it on, on out so it's good.
Pete Mento 1:00
Whenever a guy from Colorado says he's on a high after this weekend, it just really opens the door to a lot of jokes.
Doug Draper 1:07
Yeah, yeah. Then I have some experiences related to one of our topics. So I am totally stoked about personal experiences related to our topics today, which is great examples which how I learned and understand things. So
Pete Mento 1:25
Insight into the world of Dungar.
PAL I opened, which means you get to start with the with the first topic and we got some pretty interesting show notes the after. After halftime today, Doug and I are going to
Unknown Speaker 1:43
merge, much like Voltron. You know, we're gonna merge our two topics into one Uber topic.
Pete Mento 1:53
And really just get into it. So with that Mr. Draper, once you go ahead and
Unknown Speaker 1:59
make it hot, yes.
Doug Draper 2:02
So I was having lunch with a buddy. This is not related to what I just said. But I was having lunch with a buddy last week. And this may define our age. But I had two menu options. I could scan the QR code, or he says we have actual menus. And I might get this QR code out of here. I went out of my hands. But I but I ultimately ended up doing the QR code because I had to zoom in to see about the blackened chicken sandwich and what that was included in it. So that got me the point of that story is QR codes. So this topic is really about QR codes in our supply chain, specific to a couple of things that I think can really have an impact. And it's one of those, I guess it's the modern day version of RFID. That was kind of a thing I was about to say a decade ago, but I think it was 15 years ago, maybe more where everybody was going to have RFID it was going to be mandated by some of the big box retailers, it was going to solve the problems of the world. And so I think that, that QR codes are going to provide some in tremendous amount of insight, data analytics, which will help with understanding consumer behavior, which will impact supply chain decisions, and also just mundane trackability. So QR codes. Here's some example I said I learned with examples. Number one, satellite triangulation triangulate. satellites can triangulate location. And it can be passive, but it can be identified so you can print a QR code. And this technology I believe, is out there it is out there. But it's going to be refined and expanded. But so you printed QR code as the last thing off of the fulfillment or the E commerce PICC line that can then be used to figure out where this shipment is it doesn't have to be scanned, a human doesn't have to engage with a device to scan it. And then an uploaded the QR codes can basically do that on their own infancy. Lots of opportunity for expansion and efficiency. As I mentioned, the humans can scattered as well. So it's going to a DC that may have concrete walls and may be difficult to identify and get that triangulation as one hell of a word. So it can be read by satellites, it can be scanned by humans. And so those are things I was going to happen. The benefits of it is that simple awareness of where things are and people understanding that you can track where your shipment is,
Unknown Speaker 4:46
is a deterrent to
Doug Draper 4:50
a crime and theft. So there is enhanced security with that in and of itself beyond knowing where your product is that Data Capture, I think is the cool part because you with a QR code doesn't have to be on the physical product can be on the packaging, either external or internal packaging. And you can sit there and ask the consumer and incite them to scan that code with additional discounts on the products they just received. And you can pose questions to talk about the supply chain and logistics experience, whether that's final mile, whether its duration of time of order until you receive a tracking number of something like that. So the QR code, market survey may be the right word specific to supply chain experience, which in turn can identify opportunities for enhancement, whether that's final mile options that can be enhanced through the consumer. So data analytics, which is what we've spoken about many, many times before, that you can engage through an incentive through a discount or something for the end consumer to provide immediate feedback. So dynamic QR codes and the ability for them to provide data and analytics is coming. And I think this is I don't think this is my prediction that it's going to be quite a disrupter may not happen next month. But I think that you're going to see the adaptation of QR codes in those different forms, growing, and companies that provide that technology really accelerating in the next 12 to 18 months. So QR codes wave of the future, my friend.
Pete Mento 6:36
Doug, I'm, I agree, and I disagree. And I and I hate QR codes all at once. So
Unknown Speaker 6:44
there have been many, many characters
Pete Mento 6:46
on television that I really love. But probably my favorite is Ron Swanson from Parks and Rec. And I really do. Are you familiar with with Ron Swanson? Oh,
Doug Draper 6:55
yeah, of course. Yeah. There's, there's some great one liners that guy has come up with over the years there,
Pete Mento 7:01
Doug, I can see how you also would probably really relate to Lebron James.
Doug Draper 7:06
Not sure you believe me, but I know Ron Swanson. I
Pete Mento 7:09
do. I do. I do believe you. I mean, we're we're older guys, we're fathers we work we get frustrated by the government. And there's a lot of things you and I have in common. But there was that moment when the great there's a great scene, when Aubrey pauses character APR, he calls he calls around and he says, there's this, I'm trying to order something. And those My name is when he says the computer knows my name. It's saying, if you want to save an extra 20% Ron Swanson, just click here. How does it know my name, which is what these things called cookies. And you know, it's snowy over time. And she says, If you really want to freak out, put your address on Google Earth. And the next scene is him shot putting the entire computer like into the dumpster as hard as he can. He's so freaked out over the computer, you know
the way that we've seen this leap and imbalanced the amount of information that can be held in such a small amount of something. And when I first started to learn about QR codes, the way someone explained to us it's just basically a way for an pictograph form someone to put a URL a very specific URL code without you and me having say, how do you make this contraption work and like, you know, HTTP, www dot whatever back slash forward slash dot, dot dot, you know, it's just you take a picture to send you where where you go. It's also an interaction between a company and knee, or company, dog, you know, and who knows what that interaction is doing between my digital device and this company? And what sort of information they're pulling for me. And that, like you said, you know, gathering information, it's allowing for interaction, well, maybe I've had enough of interaction dud, maybe I don't want any more interaction. As we were talking about earlier, you're talking to a dude who's many occasions thought about just exactly how remote can the cabin be that I want to buy away from everybody. And all joking aside, there is tremendous, you know, that that's the negative side of it. The positive side of this is some of these QR codes from an anti theft anti counterfeit standpoint are incredible. Being able to make a application on a phone application on a scanning device, where that QR code can only really be read by something that's been clear to read it. So if you're, if you're a transportation company, or consumer, and the ability to know what's in that package, or to track that package requires a very specific piece of software on a very specific type of phone, you've now transcended just being able to point click and read the menu. Now it's point click and being able to read what's in that manifesto. or maybe there's a hierarchy or Belkin read stuff that I can't. Doug's able to see things on that QR code that I can't guess he has a security clearance based on what the originator of that code has decided. There is a lot to be said here a lot to be gained. And I agree with you. It's, it's a lot deeper than just a weird little barcode on the outside. And I think the pandemic, for a lot of reasons, because nobody wants to touch anything is accelerated the
Unknown Speaker 10:25
growth and the applicability of this.
Doug Draper 10:27
Yeah, absolutely. I think the acceleration and the adaptation, so agreed, my friends,
Pete Mento 10:34
gonna throw this computer in the dumpster one day, and then go into powder, bathe, and like Ron Swanson.
Doug Draper 10:40
Love it. All right, let's flip the script. What's your topic? First Topic for today?
Pete Mento 10:46
Yeah, Danielle, there's so much that I had to have notes. But it is Christmas in July. It is this week is economist Christmas. It's a big week of information that is coming out. That has a lot to do with what will be happening over the course of the next 12 to 24 months with regards to our economy, and how we're able to gauge how things are going. These are the types of numbers that they happen. And you're like, Oh, well, yeah, the you know, super confidence is at so and so you're like, Oh, yes, of course it is. what inflation is. You know, most people realize inflation when they're done filling up their car, or when they go to buy chicken, and it's 170% More than it was a year ago. That's how you interact with inflation. Or when they go to get a mortgage is when they realize that the Fed fiddles around with with interest rates, they don't understand how all these things culminate into having their foot on the throat of their business, the foot on the throat of their wallet, the foot on the throat of their lives. But this week, all of those things kind of come together as if you most wants to be positively awful. So today, the consumer confidence numbers came out. And they were worse, as you and I were talking about before we got started, you know, and on top of that, that Thursday, we're gonna see the either real hurricane here, which is an indication of the economy, either growing, being stagnant, or going backwards. And if you know what a recession is, that's normally speaking, two quarters of negative growth. And you've already got the White House through its spin doctor saying, Well, normally, that's how we would we would define a recession. But hey, never happened with job growth like this. Never had one with wages being steady like this. How can you say we're in a recession when everybody's working? You know, so there's, there's a lot of spin doctoring going on, where they're saying New Economy, new rules, new definitions, and I say, bullshit. A recession is a recession. And if we're in one, it doesn't matter how it's being consumed by people, it is what it is. If those numbers are negative, you're going to hear some madness. Doug, you're going to hear people on the conservative side of the economic world saying Welcome to the recession. It's all the White House's fault. You're gonna hear people from the White House saying it's not a recession, everything's fine. Sort of like Kevin Bacon, in Animal House, when they were, you know, when everything goes crazy during the remain calm, everything everything will be well, you know, the reality is folks that no recession is ever one President's fault. No recession is ever one year's fault or one decisions fault. It takes a very long time for everything to catch up to itself in for these things to happen. You know, and then the last thing I wanted to make sure is that we talked about the two things Wednesday, tomorrow, you're gonna get the Feds reaction to the crime rate. And if it's gonna go up or down, will it be the three quarters of a coin? Will be a whole point? Are they going to totally freak out? Based on the inflation numbers that come out? You know, we'll find out. And then Friday, those inflation numbers are telling you, I'm telling you, Doug, every indication is that inflation numbers are going to be even higher. And this is one of those situations where politically, people are demanding action, they don't understand it. All they know is it's killing them. It's killing another grocery store. And that there are all of these things that have to do with our business that are causing inflation to be worse. There's all these things that have to do with our business that are desperately negatively impacted by the cost of all these things, whether it's fuel, whether it's PE, so much of the supply chain is human beings still, human beings are demanding more money, which increases the cost of transportation and logistics, warehousing all of it. Interest rates as well want to build a warehouse, which we need desperately is what you're gonna have to pay more for that insurance offer, the more just, you want to buy yourself a new truck. It's gonna cost more for that loan. And there are a lot of people who are financed doing repairs on ships, or warehouses on trucks, and that's going to rise up that cost as well. So this is economist Christmas week. I just wish it made me feel like singing, creaking hot cocoa, and being cheery, there are no presents under this tree.
Doug Draper 15:15
All good points, the one that I'm most interested to see how people react is the inflation numbers on Friday. And I say that because it's tangible, right, a three quarter point or a one point raise. If I'm not buying or have a large purchase, it doesn't really affect me. Inflation affects every single person, regardless of status, religion, political affiliation, so that one I think is going to have the most, the other two are going to be spin bots. And Dr. Both ways. It'll create a little bit confusion and will generate more frustration. There'll be more opposition, but I think the inflationary number on Friday is going to be the one that is going to be the most telling on what transpires, it would have been interesting to have the inflationary if all this stuff's going on in one week, or the inflation numbers on Wednesday, and the interest rate on Friday, right? I mean, it's not like they're gonna gain any more information in 48 hours. So I, you know, I don't I would just flip them around, I think that would help with the decision. Wednesday's release would help with the decision on Friday. I think if you flip those two reports, they'd be more impactful to the general consumer. Yeah. Yeah.
Pete Mento 16:31
I completely agree, Doug. But I think that there's there's some thought like that there's some intention that goes into that decision. And I think that over the course of the next 60 days, something that I really started looking at is a lot of earnings releases that are coming out. We have a lot of technology companies, a lot of retail companies, a
Unknown Speaker 16:50
lot of new newer e comm
Pete Mento 16:53
companies that are beginning to release numbers that are less than favorable. And in a lot of these places are in more expensive real estate areas. And one of the things that had always been consistent in this economy was very expensive real estate has always moved. So San Francisco, Boston, New York, Chicago,
Unknown Speaker 17:15
Seattle, Portland, Oregon, million
Pete Mento 17:19
dollar apartments, snapped up looking right condos, you know, $2 million, and you take a loan against the value of your shares, you sell your shares to get that loan, and then you go and you buy these houses. Well, they're not moving, like they used to a quick search on Zillow and San Francisco shows that went to Boston as well, you know, these two $3 million homes 1.5 1.7 1.1 through their condominiums, apartments, not moving like they used to, there's a reason for that. As a matter of fact, you're gonna start seeing those homes come on, as people use their their, they buy these as they put into their portfolio as an asset. So you're going to see people start selling those for cash, and certainly use that as something to hold on to, as that as being their last resort for their finances, you're gonna start seeing that because interest rates are so high, inflation has gotten so bad, they need to actually get to the cash. And I'm telling you that a month and a half from now, I'll be shocked if I'm wrong about that. But the luxury real estate market is about to zero punch in the nose.
Doug Draper 18:23
Yeah, interesting take. All right, the the most entertaining. The topics outside of halftime are informative. Halftime is really entertaining, we got to have that with our audience. And of course, it's brought to us by CAP logistics, please visit cap logistics.com or cap worldwide.com For for services in our industry. So with that being said, You know what? You go first, because it's gonna be confrontational. And then I'll end on an interesting note. So
Pete Mento 18:57
Doug knows is gonna be complicated, because I'm talking about one of his favorite topics,
Unknown Speaker 19:00
drones, Doug hates drones.
Pete Mento 19:04
Like, I hate the Atlanta Falcons and the Dallas Cowboys and the New York Yankees dog hates drones, like I hate salad like building needs. So, Doug, I don't know how to break it to you. But But I think it
Unknown Speaker 19:20
might be time for you to wave the white flag. All right, fire away one time.
Pete Mento 19:27
And here's why. So there are a number of companies, not the least of which is a company that is owned by Google, or Google's parent right alphabet, based out of China, who is now in very cost effective nature, been able to make reusable, extremely nimble and easy to use drones that are delivering up to seven pound payloads
Unknown Speaker 19:53
hundreds of times a day, all over the world.
Pete Mento 19:57
Now, way above and beyond that The drone industry in in Asia is approaching $50 billion in profits for commercial uses. You had stories last week of how drones were being used to bring life saving medicines all over the world, how drones are being used to actually transport people now. So pilotless drones to transport people where helicopters would have been sent in the past, to get them where they need to be. We can trust people, we can certainly trust cargo. And now you have companies like Tesla, and companies like GM and the such that are beginning to create cargo cargo. Just cargo driven drones just for cargo, and people who are starting to design drone ports just for cargo, Doug, I'm telling you, you're going to die on this hill alone. If you don't get a little softer on it.
Unknown Speaker 20:57
The changes come and changes come in. And it's not a big deal for drones.
Doug Draper 21:04
Those are all really good points. Pete But drones are stupid.
Pete Mento 21:08
I say to you your technocracy is dead on arrival.
Doug Draper 21:16
Until if, until a drawn can move, like really substantive Wait, I get medical, okay, I will wave the white flag on that one, you need to get some medical stuff to somebody that's in a very rural area that weighs seven pounds. All right, that's pretty limited, maybe some medication or something. But I just don't, I don't see it. The weight. There's so much more in the world that there's so much minimal amount of stuff that weighs seven pounds or less, you know, before it was two pounds and three pounds, pop that up to like 70 pounds. And you know, maybe we'll have something here. And the other thing that I that the security aspect of it. Right, you got Chin's that are going to be popping off trying to shoot them out of the air and things of that nature and the regulatory problems that are coming up. I think there were some issues with with Amazon drones. So anyway, I'm not there yet. I'm on the hill. I know there are people behind me. And I got a William Wallace type of mentality against this one and in charging, it's so not there yet, my friend.
Pete Mento 22:23
Doug, I love your tenacity. I love it. Your grandpa Simpson just shaken the cane and everybody the old folks on and I have so much love for ya. Right. Go ahead, Doug. What's up?
Doug Draper 22:37
Alright, so this is a story about how a flame thrower can really helped them find the importance of friendship. So I keep this this one super sheet. Super sweet, short. So this past weekend, I went to a college reunion. And I was as you know, I was in a fraternity, I'm a believer in fraternities if they're done right, it can be very beneficial. And there's 23 guys in the class that I went through 19 showed up at one of our friend's house on a lake. So out of 2330 years later, 19 of us showed up. And it wasn't all Kansas City guys, there was mean literally la New York, Miami, Chicago, Denver, they all came in. And you know, the first half of the of it was telling nothing but stories. And I was I was, you know, literally crying because we were laughing so hard. And people like I don't remember that story. And just it was it was amazing. In the camaraderie and we picked up right where we left off and fraternity or no fraternity if you have a group of tight friends. And you have that experience. It it can come together. And then the second half of the weekend was really getting into conversations about how your career has gone. What what type of things did you miss out on? What What are your biggest fears as you get older and some really heavy type of discussions, which helps perpetuate the trust of friendship. And will we do this again, in five years, we'll keep relative dialogue moving forward and having a general chair for one another. And when I was flying back on, on Sunday, it just helped validate that having a core group of friends, wherever they may be, is just important for the health and the psyche of an individual. And don't take those for granted. Reach out, it's even easier now to stay in contact. I know there's group texts, and everybody has funny memes they send to their buddies and all that kind of stuff. But don't underestimate the importance and the value that friendship can bring to you, your health, your psyche and moving forward so I had such an amazing time. So here's where the flame thrower comes in. So the guy that we had hosted the event is one of those guys that has everything you name it he's got it doesn't matter how quirky it is. He's got this massive smoker He's got every tour you want on the, on the ocean or on the on the lake. He's got this amazing Sonos sound system, where you literally just walk into another room and the music follows you and everything else. So collectively, we got together and said, Well, you get somebody that has everything. You get them a flame thrower, and he was coming around on a boat ride at night, whenever he was taking some of us are some of the guys out turns the corner, we crank Hells Bells from AC DC, and we fire up this flame thrower. That cost like $1,200, right, this thing is not, you know, something small shoots like 3540 feet in the air and, and just fired it up. And everybody was screaming and it was weird, like kids. And genuinely, our friend that hosted came off and he's like, this is perfect. I mean, he was on he was a little buzzed, and you know, but he was almost in tears, about how generous it was for his friends to think of something out of the box to give to him on such a special weekend. So anyway, that's the flame flower connection. thing, but don't take your friends for granted. Stay connected, stay relevant. And I had one hell of a weekend.
Unknown Speaker 26:11
And it was great
Pete Mento 26:15
that I went from this moment where I'm like, this is some real Dr. Phil stuff.
Unknown Speaker 26:19
You know,
Pete Mento 26:21
what I'm saying to you is you to find opportunities to embrace your masculinity in your friendship. To do we have to have a talk about responsible flame thrower ownership, like I you know, what type of group of middle aged men by each other? I know they're unregulated too. I know there's no regulation on that like flame throwers. Like you can. You can just go by where we did like so there you all are half in the bag. Playing with fire. This is why we can't have nice things. This is why we can't have nice things decisions like this. So way to go. Yes. Yeah, the
Doug Draper 27:03
fuel is 60% gas 40% Diesel, and it shoots out this spray of liquid fuel in order for the flame to catch you know it's an instant But anybody that was down on the on on the fire pit area flame in this thing, you just walk away covered like napalm and you're just covered with with fuel, they didn't matter, because we were with my buddies
Unknown Speaker 27:27
having a good time. Having a good time,
Pete Mento 27:31
you know, it's play with the lower half of the bag like
Unknown Speaker 27:33
responsibly. Exactly. You know,
Pete Mento 27:37
next year, we're going to buy him a fully automatic ak 47. Maybe at some claymores Yeah, you know, kind of stuff.
Doug Draper 27:44
Yeah, well, you know, 3d print that. Yeah, we'll see how it goes. Anyway. We'll see how we can. Well, that
Pete Mento 27:53
was yeah, that was halftime, brought to you by our good friends at CAP logistics. And as promised at the beginning, we have a combination
Unknown Speaker 28:02
of our last we're putting
Pete Mento 28:05
it all together. You're putting your chocolate in the peanut but my peanut butter here we are, we are mixing. We are mixing my Stolichnaya with your seven. So you want to kick it off done. How do you how do we kick
Doug Draper 28:19
it off? I think mine's a good, you know, leap into it, then we'll go anyway, mine is simply like wire ocean containers or ocean carriers subtly getting in the air freight business. Going from the high seas to the blue skies. We've seen a lot of discussion. Maersk air cargo has popped up. CMA MSC they're all kind of getting into the air business. And really, it's a handful of reasons. Right? It's a broader service offering integrating and logistics, I think over the supply chain craziness in the last two and a half years, there is opportunity when the vessels are full, where people are just adding necessity flipping things to air freight. And these ocean carriers are smart people, and they're realizing that they have heard in that discussion. And in the room, where those things are happening. It can be spin and sold as integrated. The thing that you're noticing are integrated logistics. I'm noticing partnerships at first, right, they're aligning themselves with other air carriers. So they're not doing some acquisition. Yet. There's a few companies that are doing acquisitions and literally buying aircraft, but they're outsourcing it to companies to to run and operate. You will see some more acquisitions in the future. And this is really starting to take off in the European market. So here in America, I think you're going to hear more about it. But kind of overseas starting first. The other thing that we spoken about Pete Which I think is the underlying most important thing is if you own and control the rails, you can control your destiny and so this is just another way where they own and control the high seas and they're going to transit and transition that into the year. are afraid as they've seen that market grow. And the supply chain cast isn't any ending anytime soon. So it's a natural transition to other modes of transportation that these companies can afford to jump into the ocean freight carriers can afford to jump into. And I think it's an interesting wave, and it will continue to happen. So that's my take on it, I think yours is a good dovetail. So let a rep
Unknown Speaker 30:25
know
Pete Mento 30:27
that you bring up all these great points here, you know, the, the the opportunity that they have is incredible. These these ocean carriers are flush with cash. And as they began to make acquisitions, particularly in the fording space, what they were, what they were probably pleasantly happy to realize is, these borders that they bought these integrators that they bought, the airfree, it was was very
Unknown Speaker 30:52
profitable. lucrative, it filled
Pete Mento 30:56
in a lot of gaps where or maybe in times of financial uncertainty, air freight always, always pulls them through. And I can say, with a tremendous amount of my own personal experience, air for each one of those things that just comes out of nowhere, you'll have an opportunity with a client, who is finds themselves in a desperate situation, and made a lot of money out of nowhere, seemingly out of nowhere. And it's got nothing to do with you, it's got nothing to do with you, other than you just happen to have space. And you happen to have a relationship with a carrier, and you have a customer who found themselves in a really bad position, and you were able to make a good deal. And that's what it was, you know, in your in your customer trust you and you happen to have the best price and a pretty awful market, you made it happen for him. And airfree is very lucrative. So now you've got these ocean carriers who bought freight forwarders. And those reporters now have the backing financially of these behemoth ocean companies who are saying, Wow, you guys like doing leases? Let's do a bunch of them. Like, really, you wanna want to go and get equipment? Yeah, why not do it all the time, you know, ship plan, who cares? You know, and they're gonna they're doing it. And they're saying this is probably, given the way that economies go, there's probably going to be a pretty impressive opportunity. Once the ocean freight market is down a little bit, odds are the air freight market is going to come back. And you know what the right, because if you look at it, historically, air freight markets tend to go wacky, with ocean freight markets tend to get quiet. And that's been the case for a long, long time, air freight rates have been nuts, for a lot of external reasons, but they're probably going to get there to stay that way. Even after the ocean rates tend to get better. Another thing that you bring up that I think when we talked about the rails, right, this is a situation where you can make a port anywhere, and port congestion up and down the East Coast, you are limited to the places you can bring a ship and you're still limited on airports, but there's more of them than you can airport shop. And because of the way these places are set up, you could say I'm gonna bring it into Toronto, I'm gonna drive it bond across the Canadian border, bring it to the US and distributed, or I'm going to bring it into buffalo, or I'm gonna bring it into Akron, wherever. But I'm going to make it work for me. And I'm going to use my rails my internal ability to push things through. Based on what works for my client next, the cardinal mix, it really is. It gives you ability for more creativity, to have more artistic expression with it, which is probably a really weird way to put it, I guess. But these are the times that they've got the money and other people, they've had the clients where they can probably pull it off. Now unfortunately, leading to my topic, couldn't pick a worse time.
Unknown Speaker 33:50
You've got very little
Pete Mento 33:54
faith in our infrastructure. You have carriers that were bailed out financially that bailed out again, during COVID. They bailed out again during COVID. So they could keep their people working. And now in a summer where everybody can't wait to fly somewhere.
Unknown Speaker 34:09
We just can't
Pete Mento 34:12
keep the planes moving. Because we didn't keep people flying. The money was picked up and the money was used to return profits to shareholders not to keep people employed. And now they can't keep the planes moving. It can't keep maintenance going. Because they simply don't have enough people. The number of times I personally have been waiting a flight and have been told it's been canceled, or it's been delayed because we just don't have personnel for the equipment
Unknown Speaker 34:39
is ridiculous. And it's really insulting.
Pete Mento 34:44
When this is happening at the same time that these carriers are celebrating just historical financial outcomes. It seems our faces Wow, things are great. Aren't they? Just fantastic financially, like yeah, they're good. Great, I'm sleeping on the floor of Logan Airport, because I didn't want to go home, because I got four hours before my flight to wherever it goes. And I've got British Airways telling me, if you want to fly to Great Britain or anywhere in Europe on us, please wait till September. Because you know, we can't sell more than 100,000 seats a day. And we're being told that all these carriers are overselling flights. They know that they can operate them, but they're still selling the space on them, which to me sounds a little sketchy. And we don't seem to have any governmental oversight that's willing to call them on their bluff. Because they are truly the kind of industry that we really do rely on. And they're essential, and nobody wants to kick them down about it. It's a sad state of affairs, particularly when you and I work in an industry that relies on them utterly relies on them. She thinks
Doug Draper 35:49
you had a congestion piece Peter, your your, your take on that is epic, and you travel a little bit more than I do. But my flight on Sunday was going to depart at 130 got delayed get delayed, got canceled. They could book me on a flight 10 eight or 10pm on Monday, so it'd be a whole nother day and a half. So we ended up just saying screw it and buying a one way ticket on another carrier. pretty inexpensive. But the whole trip cost me an extra 250 bucks. Right? And you know what? That sucks. And I complained, and we did it. And we moved on. So I think that congestion, the need is greater than the frustration level that you have. And that's you and I speaking in the cargo is the same way. It's like we're doing the best that we can. It's crazy. And the last thing I'll say is the worst airport in the world to get stuck for over 12 hours is the Kansas City
Unknown Speaker 36:38
Airport. It's horrible. The city orrible it's awful.
Pete Mento 36:44
Yeah, the way the way that that security setup for each individual little cubbyhole, you know you go through it and then you're stuck there for the two gates and you gotta go back out of it. And yeah, it's terrible. It's it. It's absolutely awful. I hate it. Best best airports to be stuck enough. I've legitimately probably followed maybe 15 16 million miles in my career. I got the points to prove the best ones to be stuck out longterm. Definitely Minneapolis St. Paul in tastic airport to be stuck out long term. Great services, Dallas Fort Worth. Great One to be stuck at long term in my humble opinion. Right. And I'm a huge fan of Charlotte and here's why. rocking chairs, lots of different options. And if you get stuck there, lots of places where you can stay overnight. I've never been able to not find a hotel room in Charlotte. But Kansas City is awful. LA is terrible. Absolutely terrible. JFK is awful and LaGuardia is like instead of guardia is a never ending disappointed. Philly terrible in Miami is my own circle of health
Unknown Speaker 37:53
nice my own circle I can
Doug Draper 37:55
be you know a topic on a show like the top top worst airports and we spin it but I'll agree Charlotte and I was specifically going to say the rocking chairs Charlotte is pretty legit. i
Unknown Speaker 38:07
It's great great.
Pete Mento 38:10
Yeah, and the smaller the airport the worst security is because they're convinced that they're gonna find you know somebody from from Al Shabaab or something with you know, a nuclear device in in their in their bag. But also some of those small airports like you know, high point and stuff some of the sometimes the food is just awesome. The new the new orleans terminal is great. The food there is
Unknown Speaker 38:33
unbelievable. Like,
Pete Mento 38:34
like, like dooky Chase and Kathy Dumon and like one believable looking get a
Unknown Speaker 38:40
chip with airport,
Pete Mento 38:42
it's also flying through. But Detroit also great airport, you know, the Northwest terminal that McCune Delta, just rattling them off here and I and all you got to remember that for a solid 20 years, I flew I flew probably three times a week, every week for my whole life and and then I was fine international for at least two weeks out of that month, every single month. That's all I did was flat. And now we just sit here and complain in my eight by 10 hole office just that you wine
Doug Draper 39:17
will have to spend that somehow. And I think that's going to shut us down close this out for another edition of global trade this week. I totally want to thank Ron Swanson. Sorry, Pete mento for being my co host a love the dynamic. The fact that we agree on a lot of stuff we certainly disagree on other which makes the show interesting and fun for our audience and kept logistics going on. Thanks for taking care of us week in and week out. We can't thank you enough. So with that, Pete, enjoy your week, and we'll set you up next next next week. All right. Take care.