Kilometre per hour (American spelling: kilometer per hour) is a unit of both speed (scalar) and velocity (vector). The correct SI symbol is km/h or km·h-1, although the unit is sometimes written colloquially as kph, kmph, or km/hr. None of these corruptions is correct under the rules of SI in reference to correct style when using symbols. It is often spoken and sometimes written as klicks or kays in slang usage.
By definition, an object travelling at a speed of 1 km/h for an hour would move 1 kilometre.
If the fly were to have a large side cross-sectional view of its situation, it would see that the plane is moving at 1000 kilometersperhour, and in 70 seconds, has travelled about 19 kilometers.
It is only travelling 3 kph in its own reference frame, but since it defines the plane as 0 kph, it can easily surpass the plane's speed.