Saturday, March 19, 2005

Airlines need to be greener

Airplanes should strive to be more energy efficient and environmentally friendly, the head of an industry group said Friday.

International Air Transport Association Director-General Giovanni Bisignani told an aviation and environment conference in Geneva, Every new aircraft that enters our fleet is more environmentally friendly than the one it replaces.

But at the same time, Bisignani said airlines not only need to buy their own aircrafts, they also need to pay for the right to fly, land and park.

Further taxes and charges will only limit our ability to invest in the very technology that would facilitate further improvements, the IATA head said.

The Geneva-based IATA represents some of the world's largest air carriers.

Source: Big News Network

Airlines, travel agencies reluctant to agree saying it would be violation of customer privacy

In order to better manage citizens' interactions with China, the Mainland Affairs Council said that the government will implement a law requiring airline companies and travel agencies to report China-bound travelers to immigration authorities.

However, the law, an amendment to the Statute Governing Relations between the People of the Taiwan Area and the Mainland Area in October 2003, has not yet been enforced because airline companies and travel agencies have been reluctant to cooperate.

MAC spokesman, Chiu Tai-san (ªô?quot;¤T), said that keeping track of China-bound travelers is necessary in light of the continuing outbreaks of infectious diseases such as severe acute respiratory syndrome, avian flu and cerebrospinal meningitis in China.

In addition, he said the government needs to get an accurate account of the number of people traveling to China for reference in its policy-making process. He also said that in order to comply with the law, airline companies and travel agencies would be required to purchase software and related equipment in order to provide the information to the immigration department.

Chiu made the remarks after the media reported that the Immigration Office, under the National Police Agency, recently asked airline companies and travel agencies to provide the names, passport numbers and birth dates of China-bound travelers on a daily basis.

According to the report, airline companies and travel agencies are unhappy with the measure and have criticized it as one that invades the privacy of travelers.

Meanwhile, Premier Frank Hsieh (Áªø§Ê) yesterday confirmed the resignation of Chiu, who is now seeking the Democratic Progressive Party's nomination to run in the year-end magistrate election in Taichung county.

Chiu, who has already ran for the legislative election twice, has been planning to run for the year-end local commissioner election for months.

Chiu said he will officially announce his candidacy next Monday.

You Ying-lung (´å?¶©), vice president of the Ketagalan Institute, has been reportedly been considered as Chiu's successor at the MAC.

You, 49, an academic-turned-politician, had been deputy secretary-general of the DPP and vice chairman of the Cabinet-level Research, Development and Evaluation Commission before becoming Ketagalan Institute vice president.

In addition, former Minister of Economic Affairs Lin Yi-fu (ªL¸q?quot;) will succeed Yen Ching-chang (ÃC¼y³¹) as the Republic of China's representative to the World Trade Organization, the Central New Agency reported yesterday.

Yen will retire from public service after stepping down from the WTO post, sources said.

Lin, 63, joined the public service after graduating from National Chengchi University's statistics and accounting department. Between 1972 and 1990, he worked at various ROC overseas trade offices, including those in Australia, the Philippines, Thailand and Canada.

Lin was not retained as economic affairs minister when the Cabinet was reshuffled on February 1. At that time, Premier Frank Hsieh said he would be given other assignments.

Source: http://www.etaiwannews.com/

NEWDELHI: Air fares to South-East Asian destinations are destined for a slide, with Air Sahara pegging its economy class return fares to Singapore and Kuala Lumpur at Rs 10,000. The private sector airline is launching its Delhi-Singapore service on May 11 and Chennai-KL service on May 14.

Jet Airways, which has also been allowed to launch flights to these destinations, is likely to offer matching fares. Consequently, other players like Singapore Airlines (SIA), Air India, Malaysian Airlines and Indian Airlines will have to cut fares.

SIA, Malaysian and SriLankan Airlines have rocked the market with discounts, and the entry of additional capacity is expected to sharpen competition. Air Sahara is planning to open bookings for Singapore and KL by March 30, the airline’s president Ronojoy Dutta said. “We are positioning ourselves as a typically Indian airline,” he added.

“We will operate a Boeing B737-800 on the Delhi-Singapore route,” Mr Dutta said. In the case of Chennai-KL sector, the airline is using a B737-700. Air Sahara is keeping the pricing on club class close to its chest for the time-being. The airline is also putting together tour packages in Singapore and Malaysia through tour operators.

General sales agents have been appointed. Air Sahara is talking to SIA and Malaysian for ground-handling services. Launch of flights to these two destinations will be followed by providing connections to London with wide-bodied aircraft.

Slots have been booked by Air Sahara for operations to Singapore and KL. Preparations have been completed in record time, . The government permission for private-sector airlines to operate to Singapore and Kuala Lumpur was provided on January 31.

Here’s more good news for tourists aspiring to visit the Gulf region, this time thanks to Air-India Express — A-I’s low-cost subsidiary. With fares 30% cheaper than full-service carriers, the no-frills airline is set to shake up the India-Gulf sector.

Travel to destinations, including Dubai, Abu Dhabi, Muscat and Salalah in Oman is set to become cheaper due A-I Express’s competitive fares, which in some cases, is 50% cheaper than existing tariffs.

A return flight on the Delhi-Abu Dhabi route, for example, could be Rs 6,500. The earlier one bookst, the cheaper the fares. The first batch of tickets to be booked are the cheapest, while the tickets sold close to the day of the flight could be on par with normal economy fares. The first flight of the low-cost airline is scheduled for April 29 on the Thiruvananthapuram-Abu Dhabi sector.

A-I Express plans to operate from Kochi, Thiruvananthapuram, Calicut, Mumbai and Delhi in the first phase. This will be followed by entry into South-East Asian routes, A-I chairman & managing director V Thulasidas said on Friday. Deviating from the typical low-cost model, the A-I subsidiary plans to provide simple meals on board. No alcohol, however, will be served free, he added.

The first low-cost airline from India has to face competition from rivals like Air Arabia, which has announced a slashed-down fare of Rs 3,000 (exclusive of taxes) on the Mumbai-Dubai sector.

The aim of the airline is to provide affordable travel options to the booming Indian market for outbound travel, civil aviation secretary Ajay Prasad said while launching the on-line sale of tickets on A-I Express.

The airline will sell tickets on-line, through the Internet to avoid distribution costs like commission to travel agents. If passengers book through travel agents, they might have to pay Rs 125 per sector as transaction fee.

The A-I Express plans to operate Boeing B737-800 aircraft with an all-economy configuration of 181 seats. In the second phase, the airline is expected to launch services to Bahrain and Kuwait, apart from various destinations in South-East Asia including Jakarta. Mr Prasad said the government is looking at purchase of 18 B737-800s for the low-cost subsidiary

Source: TIMES NEWS NETWORK

Scots hotels sold in deal worth :111m

Leisure group Hilton announced the disposal of 11 hotels yesterday, including three in Scotland, in a £111million deal. The buyer is Stardon UK, a joint venture set up by Chardon Hotels, an investment vehicle linked to Glasgow-based hotel operator Chardon Management, and US investment firm Starwood Capital Group.

Hilton said contracts had been exchanged with Stardon for the Dunblane Hydro, Hilton East Kilbride and Grosvenor in Edinburgh, plus eight other UK hotels.

The group, which owns a further 10 hotels north of the border, said the properties being sold were expected to have combined earnings before interest, tax, depreciation and amortisation of about £10million this year. A spokesman for Hilton was unable to put a figure on the individual sale price of any of the hotels involved in the deal.

Completion of the sale is expected within five weeks and is subject to receiving third-party approvals in the case of four of the hotels.

The three Scottish hotels employ 325 staff between them.

Chardon Hotels was set up specifically for the Hilton acquisition by Chardon Management managing director Maurice Taylor.

On successful completion, the 11 hotels will be run by Chardon, which declined to comment on the deal until it was complete.

However, a spokeswoman did say that a further £20million would be spent on upgrading the 11 hotels, which would continue to operate under the Hilton name for six months.

Chardon Management has links with international branded hotel companies that could be interested in a future franchising deal.

The name Chardon was introduced to the Scottish hotel industry in 1973.

Mr Taylor, a former chairman at Best Western Hotels, built up his original Chardon empire from one hotel to eight, before selling them to the Queens Moat House Group.

Chardon Management, established about six years ago, operates hotels including Express by Holiday Inns in Glasgow and Perth, a Holiday Inn in Glasgow and the Quality Hotel at Edinburgh Airport.

It will also manage another Express by Holiday Inn due to open in Dunfermline this year.

Starwood is a privately held global investment-management company based in Connecticut, that specialises in property-related investments on behalf of select private and institutional investor partners.

Its global reach spans markets across Asia, North America and Europe.

Founded in 1991, it has built up a highly diversified portfolio, which includes residential and commercial land developments, in addition to hotel, office, retail, mixed use, industrial, health clubs and golf interests.

It has completed more than 300 transactions representing assets in excess of £4billion.

The group has a majority stake in Starwood Hotels & Resorts Worldwide, which owns the worldwide Sheraton brand.

Keith Findlay
Aberdeen Press and Journal

Friday, March 18, 2005

Airline making heavyset flyers buy extra seat

All Murrysville dentist Michael Gigliotti wanted was a relatively cheap, last-minute flight from his mother's house in Florida to a natural-gas auction in Texas. But a $552 bill for the late-February trip quickly went up when a late-boarding passenger complained he could not fit in the seat next to the 5-11, 300-pound Gigliotti. A supervisor from Southwest Airlines boarded the plane, crouched next to Gigliotti and said he would have to pay for a second seat on the return flight, claiming the dentist's large frame would not fit entirely in the 17-inch-wide space.



Gigliotti did not feel humiliation -- just rage.

"This won't hold up in court," he told the Southwest supervisor.

"It already has," was her response, according to Gigliotti.

The exchange captures a touchy topic in aviation -- how to deal with larger passengers as the nation's waistline expands. More than one-fourth of Americans are now classified as obese, and in an industry obsessed with fitting as many people as possible inside a giant aluminum tube, airline seats have shrunk to 16 inches measured from arm rest to arm rest -- narrower than an average-size computer keyboard and a tighter fit than the typical office chair or general-admission movie seat.

"The airline seats are simply too small for a high percentage of the flying public," Gigliotti said. "We are getting bigger, we're getting taller, we're getting wider."

Southwest is not the only major airline with a large-seating policy. US Airways, Northwest Airlines and America West Airlines all can require an overweight passenger to pay for two seats but said they do everything they can to find a pair of empty adjoining seats on the plane at no additional charge. Midwest Connect, which serves Pittsburgh from Milwaukee, requires that passengers unable to fit in one seat buy two; if there are other seats available on the same flight, they will be refunded for the second.

But other carriers serving Pittsburgh, including United Airlines and Delta Air Lines, have no large-seating requirements. Hooters Air, an airline featuring slim, scantily-clad "Hooters girls" as flight entertainment, has no such policy, either.

"We love large people," said Hooters Air President Mark Peterson. Hooters, which flies from Pittsburgh to Myrtle Beach, S.C., has never charged for an extra seat, he said, and fitting a larger passenger onboard has never been an issue in two years of operating the airline.

While critics of Southwest's policy acknowledge that other airlines do the same thing, some said Southwest deserves to be singled out for its rigidity. "Southwest really expects its employees to enforce it, " said Mary Ray Worley, a board member on the Sacramento, Calif.-based National Association to Advance Fat Acceptance.

At other airlines, she said, "it seems to me their employees exercise a lot more of their own judgment in enforcing or not enforcing their policies. A lot depends on the prejudices of the employees involved."

The large-seating policy is nothing new for the Dallas low-fare carrier, considered one of the industry's most successful companies, having made a profit 31 years in a row. It initiated a "customer of size" policy in 1980, requiring a larger passenger unable to fit in one seat to pay for two. But the airline, saying it could no longer ignore complaints from slimmer passengers, began enforcing the policy more vigilantly in 2002, requiring passengers to pay for the extra space even if others were available on the same flight. A refund is made available if the flight takes off with empty seats.

Each case is a judgment call. There are no scales at the check-in counter. The test appears to be whether a passenger can sit in one seat without lifting the armrest.

The increase in enforcement, leaked in a 2002 memo from Southwest President Colleen Barrett, sparked a few lawsuits and criticism from fat acceptance groups as well as jokes from NBC "Tonight Show" comedian Jay Leno.

The negative attention was unusual for Southwest, used to glowing PR. Leno, in one of his monologues, stuck it to the Texas company, saying, "Boy, Southwest is cracking down on overweight passengers. Now any fat people standing in front of the terminal for more than 15 minutes will be towed." In another joke, he said Southwest had "been overstating each passenger's weight by 80 pounds so they can sell more fat ass seats."

Southwest spokesman Ed Stewart attributed the controversy to "entertainment value." He mentioned the jokes from Leno and said "the reason you do it is because you think you can get a laugh out of it and it is something that affects everybody." The constant attention has "nothing to do with news value." It is little more than "people liking to make fun of other people."

Most passengers, he said, like the policy.

"For every 10 letters you get, nine of them will say they did not enjoy their flight because someone was sitting on them." Stewart said.

A few, though, were upset enough to sue.

New Hampshire businesswoman Nadine Thompson filed a lawsuit last year claiming she had no problem fitting into a Southwest seat but still was asked to pay for a second seat on a Manchester, N.H.-Chicago flight. When she refused, she was escorted from the plane, according to her lawsuit.

Another woman in Spokane, Wash., filed a suit last year saying Southwest humiliated her in front of other passengers on a Orlando-Spokane flight, and that she spent the ride home in tears over her experience.

But no one yet has been successful in overturning the policy in court. In 2000, a California judge ruled that Southwest's policy was "reasonable and not discriminatory" after a woman weighing 300 pounds sued. The woman's civil rights were not violated, the court said.

But "I still think it's discriminatory to make me buy two seats," said the 5-foot-1, 350-pound Ray Worley, of the National Association to Advance Fat Acceptance, who often will call ahead before booking flights to make sure there is enough room. "I believe I am entitled to the space I take up. It's a basic civil right issue. A lot of people believe it is within my control to be whatever size I am. That is completely false."

When Southwest began enforcing its policy more strictly, it went before the National Association to Advance Fat Acceptance's annual convention in Atlanta to explain it. It did not go well, according to Ray Worley, who was there. If Southwest hoped to make the policy more palatable, "They completely failed. . . . The impression I got was they do not want fat people flying their airline. They don't want our business. They want us to go away."

"What would make me want to fly Southwest?"

Airline industry expert Terry Trippler said his biggest problem with the policy is its lack of consistency. If gate agents on one end of a round trip allow a large passenger to pay for only one seat, then the gate agents in another city should arrive at the same decision. But it doesn't always happen that way, Trippler said, and "everybody doesn't always have twice as much money for the airline ticket."

"It's a tough call."

Gigliotti, the Murrysville dentist, also has a problem with the way the policy is applied. "I think there has to be a measurable standard," he said.

"The standard should be, can you put the arms down?"

Gigliotti, who said his shoulders are wider than his waist from weightlifting, claims that he was able to get his arms down "without undue stress." The company, on its web site, said the armrest is the "definitive gauge." But in a Q&A about the policy on its Web site, Southwest said employees can still question the passenger "if a concern exists. ... Condoning an unsafe, cramped seating arrangement onboard our aircraft is far more inappropriate than simply questioning a customer's fit in our seats."

Asked about Gigliotti's experience, Stewart, the Southwest spokesman, said, "I am sure he is a very slim 300 pounds" and it is "always going to be a judgment call." But every time the policy has been challenged, in court, "we have prevailed."

Gigliotti was not charged extra for one leg of his trip, from Tampa to San Antonio, but he was charged for a second seat on the return trip to Tampa, despite the presence of other empty seats on the plane, he said. He was able to get a refund by calling a customer service number, but the experience is still with him. He fired off a letter last week to Southwest calling its policy "arbitrary and capricious."

He vows never again to fly Southwest, even after its starts service from Pittsburgh in May. "I just want the public to realize what can happen to them if they fly Southwest."

By Dan Fitzpatrick

PITTSBURGH (Pittsburgh Post Gazette)

AirTran Holdings, Inc. to Webcast Goldman Sachs Transportation Conference 2005

ORLANDO, Fla., March 18 /PRNewswire-FirstCall/ -- Stan Gadek, Senior Vice President - Finance and Chief Financial Officer of AirTran Holdings, Inc. (NYSE: AAI - News), the parent company of AirTran Airways, will present at the Goldman Sachs Transportation Conference 2005 at 12:00 p.m. EST on Tuesday, March 22, 2005.
A live audio Webcast and a copy of the presentation slides will be available to the public at: http://www.airtran.com/aboutus/investor

AirTran Airways, one of America's largest low-fare airlines with 6,000 friendly, professional Crew Members, operates over 500 daily flights to more than 40 destinations. The airline's hub is at Hartsfield-Jackson Atlanta International Airport, where it is the second largest carrier. AirTran Airways recently added the fuel-efficient Boeing 737-700 aircraft to create America's youngest all-Boeing fleet. The airline is also the first carrier to install XM Satellite Radio on a commercial aircraft. For reservations or more information, visit http://www.airtran.com (America Online Keyword: AirTran).

Source: AirTran Holdings, Inc

5 secret Caribbean bargains

Island getaways that won't break the bankBy John Frenaye

The Caribbean has become a second home to the mega-rich including the likes of Mick Jagger (Mustique), Richard Branson (Necker Island) and Donald Trump (Canouan)

But with a bit of careful planning, your jaunt to the sunny shores of some obscure island does not need to break the bank. While those islands will definitely be a pain in the wallet, here are five that won’t.

1. Palm Island. There are more than 30 islands in St. Vincent and the Grenadines — but you don’t want to miss this one. Built in 1964 by John Caldwell, a wealthy American who was granted a 99-year lease from the government, it is a quiet hideaway with reasonable prices. Snorkeling and diving opportunities are abundant and the entire island is informal (shoes are almost totally optional). The beaches are first-rate and on the western side, Causarina Beach allows discrete topless and nude sunbathing. Plan your flights into Barbados and connect to Union Island and catch the ferry. The resort will handle all the transfers and will offer free inter-island airfare on stays of seven nights or longer. Palm Island Resort rates begin at $600 a night per couple and are all-inclusive. Many private villas on the island offer most of the same amenities and rates begin at $350 per night for a beachfront private villa that sleeps eight.

2. Vieques. Now that the Navy firing-range controversy is behind it, the allure of this small island off the East Coast of Puerto Rico is coming into its own. This sparsely populated island offers one resort and a myriad of guest houses. Vieques offers some of the best beaches in the Caribbean including Sun Bay and the more secluded beaches of Media Luna and Navio. While there, be sure to check out their bioluminescent bay — Mosquito Bay. Swimming in these waters at night with the glowing plankton is an experience of a lifetime. For a full service resort and spa, the Wyndham Martineau Bay Resort & Spa is the place, with rates from $215 per night. However the smaller and more personal guest houses are where the real bargains are. Check out the Inn on the Blue Horizon where rates begin at $110 per night and include a breakfast. You can reach Vieques by air from San Juan International Airport ($135 round trip) or, for a more leisurely trip, take a cab from the airport to the ferry and ferry over to the island. The ferry is $2 each way and the cab ride will cost about $65 each way.

3. Tortola. This is the largest and the most touristy of the British Virgin Island chain, but it offers so much and once you venture from Road Town (Tortola’s Capital) the island all of a sudden seems so much smaller and more intimate. Shopping, activities and nightlife are a short taxi away from anywhere, but the sailing, beaches, and scenery are what Tortola is all about. Be sure to take a trip around the island and bring your camera for the wonderful vistas. For a one-of-a-kind party, don’t miss Bomba’s Shack on Little Apple Bay and their famous Bomba Punch. Monthly they host a Full Moon all night party which breaks up around 7 a.m. During the other phases, it is a great place to watch the surfers. There are no big resorts on the island, but two great places are Prospect Reef Resort where rates begin at $115 per night. For a place a little off the beaten path, situated on a West End peninsula, is the Frenchman’s Cay Resort Hotel & Villas where rates begin at $145 per night. Frenchman’s is defiantly a hidden gem and well worth the extra dollars. To get to Tortola, fly into Beef Island Airport and taxi to your hotel.

4. Dominica. For the eco-traveler, Dominica is an isle well worth exploring. Discovered by Columbus in 1493, Dominica is filled with mountains, volcanoes, rain forests, challenging hiking, plus spectacular scuba and snorkeling. While seemingly prone to hurricanes (1979, 1995, and 2004), the island, and its charm, endure. Dominica is not known for its beaches as most people prefer to swim in the fresh water rivers such as the Layou which is a wide river laden with waterfalls, rapids, and calm pools. This is the place for an active vacation — white water rafting, mountain biking, deep-sea fishing, sea kayaking, and diving. Cabrits National Park is rather dry and has some wonderful mountain scenery. Morne Diablotin National Park is the park for the rain forest and hiking. The island only has 850 hotel rooms spread out among many guest houses and locally-owned hotels. Most properties are modern (rebuilt after hurricanes) and range in price from $45 per night to over $300 per night. Dominica is served by two airports.

5. Saba. Like Dominica, beach-goers are not flocking to this tiny volcanic island of 1,200 because, well, there are no beaches. This is the perfect island for doing nothing. Saba is in the eastern Caribbean just south of St. Maarten and offers wonderful mountains to explore, great views, small restaurants and inns, and great diving and snorkeling. The native Sabans are friendly and outgoing and definitely worth getting to know. There are two deluxe hotels on Saba; Willard’s of Saba offering cliffside rooms from $250 per night, and Queen’s Gardens Resort from $145 per night. The other choices are the many small and fun guesthouses and inns. The Cottage Club is a colony of 10 Saban cottages perched high on the hill. Rates begin at $105 per night and there is a discount for honeymooners. Remember, there are no beachfront hotels in Saba, because there is no beach. There is a small airport served from St.Maarten which is worth the experience as it is one of the shortest runways in the world with an end that is a steep cliff dropping into the sea.

While the rates in Mustique, Canouan, or Necker Island might run upwards of $3,000 per night, these five islands offer a taste of the intimate Caribbean that is usually reserved for the high rollers of the world. With a little homework and good travel planner, you can craft a unique experience that may just have you sipping a Bomba Punch with Brad Pitt.

Source: By John Frenaye - http://www.tripso.com/

Room rates are starting to raise the roof - Business Travel - A special report

AUSTRALIA has a similar story to the rest of the world when it comes to hotel room rates. They're basically on the rise.

Rewind a few years and the travel industry grumbled about an oversupply of rooms and the old travel-killing issues of SARS and September 11. Nowadays the industry is rather bullish.

"The hotel industry tends to move in four-year cycles," says Dean Dransfield of D.A. Dransfield & Co. "It takes about four years to build new hotels during which time there's an undersupply of rooms. Then it takes another four years to fill those new rooms up again.

"We are now about halfway through the first cycle again."

With this hardened supply at present, hotels are being tougher with corporate travellers and travel management companies, it seems. Yet while Australian hotel rates are on the rise, it's a tale of three cities.

"In Brisbane, where there is limited supply and occupancy levels are strong, rates are increasing by as much as 10 per cent for corporates," American Express head of consulting, Asia-Pacific, Robert Tedesco says.

He says Sydney is also seeing price hikes of about the same amount but Melbourne is lower.

"There is still an oversupply of rooms in Melbourne and there's a little less price pressure."

According to Dransfield, corporates travellers on the run looking for cheap internet rates at Lastminute.com or Orbitz will find they are disappearing.

"Hotels have wised up to the internet and now they're managing their room inventory a whole lot better," says Dransfield. "Hotel group executives and hotel owners woke up to general managers bumping their rates up and down and now we're seeing restricted discounting on the internet.

"CBD properties especially are now putting rooms on the net at rates higher than their average rate."

It seems hotels now recognise the internet is a reliable distribution channel and they can manage it with better effect.

"Not only are they managing their rates better, but hotel groups now recognise its usefulness in targeting potential high-value clients," says Dransfield. "It's not just about having a stylish, well-designed home page."

Source: Nationwide News Pty Limited

Airlines face billions in fuel costs

US airlines face billions of dollars in extra costs from soaring fuel prices, with American Airlines, Delta Air Lines and Continental Airlines bearing the brunt of the rise, regulatory filings show.

The incessant climb in fuel prices, which hit a record yesterday, could threaten to push more big carriers into bankruptcy, adding to the woes of the industry which suffered some $US10 billion ($12.63 billion) in losses last year.

"This is a serious threat," airline economist David Swierenga of AeroEcon said. "Obviously these kind of expenses just suck cash out of the airlines and of course that's what triggers the bankruptcies, they run out of cash."

He added that he had forecast $US3.5 billion in industry losses for this year, but that was based on oil at $US47 to $US48 a barrel rather than yesterday's closing price of $US56.40.

"When you add $US5 a barrel to my crude estimate, the industry is not cash flow positive, so the threat of bankruptcy at those high levels is very real," he said.

Delta, American and Continental are the three main US airlines which have the least in the way of hedges to protect them from jet fuel prices which have soared about 70 per cent from a year ago.

Fuel prices represent the crisis-hit industry's second-largest cost next to labour and rose to an average of over 20 per cent of expenses for the six top airlines in the fourth quarter of 2004 from just 10 per cent in the first quarter of 2002, according to a report by brokerage Fulcrum Global Partners.

American, controlled by AMR Corp., is only 15 per cent hedged in the first-quarter and has no hedges for the rest of the year, compared with 85 per cent for low-cost powerhouse Southwest Airlines.

After getting hit with a $US1 billion increase in costs last year, American, the largest US airline by passenger traffic, could be in for more of the same this year.

The 2004 rise in fuel expenses resulted from a 33.7 cent per gallon, or 38 per cent, increase in prices to an average $US1.21, according to its annual report filed with the Securities and Exchange Commission last month.

While way up from 2003, that price was dwarfed by a record $US1.65 price for spot jet fuel yesterday.

Delta, which budgeted for this year based on a forecast of about $US1.22 a gallon, could be hit even harder by the fuel price surge, and with less cash on hand than AMR, has less margin for error.

In its annual 10-K filing with the SEC, Delta last week said its liquidity needs this year would be "substantially higher" if oil prices did not fall significantly.

Delta warned that every one-cent rise in the average jet fuel price per gallon would increase its liquidity needs by about $US25 million per year. Based on a 40 cent-per-gallon increase in jet fuel prices, the No. 3 U.S carrier could need to find $US1 billion in additional cash this year.

Other major airlines also stand to be walloped by higher energy prices this year.

The following is a summary of what the leading airlines, ranked by size in terms of passenger traffic, have said about the impact of fuel prices:

American: 15 per cent hedged in first quarter, not at all in remaining quarters. Negative impact on fuel costs from 33.7 cent a gallon increase in jet fuel in 2004: $US1 billion.

UAL Corp.'s United Airlines: 11 per cent hedged for 2005, at about $US1.27 per gallon, excluding taxes.

Delta: Not hedged. Said every one-cent rise in the average jet fuel price per gallon will increase its liquidity needs by about $US25 million per year. Business model assumes an average 2005 jet fuel price of about $US1.22 per gallon.

Northwest Airlines: Hedged about 25 per cent for the first quarter, and 6 per cent for the full year. Said a one-cent change in the cost of each gallon of fuel would impact operating expenses by about $US1.6 million per month.

Continental: Not hedged. Annual fuel costs seen increasing by $US40 million for each $US1 increase in crude oil prices, which have risen by about $US14 a barrel so far this year. Also contractually liable to pay regional carrier ExpressJet Holdings Inc.'s fuel costs above 71.2 cents a gallon.

ExpressJet's fuel and fuel taxes exceeded that cap by $US126 million in 2004.

Southwest: 85 per cent hedged with derivatives that cap prices at $US26 a barrel, compared with current market prices of over $US57 a barrel. Expects first quarter fuel costs with hedge to exceed fourth-quarter's 89.1 cents average price per gallon.

US Airways Group Inc.: Said it had no fuel hedged as of December 31, 2004, but added it will recognise about $US2 million a month for previously liquidated hedges, representing about 4 per cent of its 2005 jet fuel requirements.

America West Holdings Corp.: 45 per cent hedged the rest of this year, and 2 per cent hedged for 2006.

A one-cent per gallon increase in jet fuel prices will increase the carrier's annual operating expence by $US5.7 million.

Alaska Air Group Inc.: 50 per cent hedged for 2005; A one-cent per gallon increase in jet fuel prices will increase its annual operating expenses by about $US4.0 million.

JetBlue Airways Corp.: 22 per cent hedged for 2005

Source: http://www.theaustralian.news.com.au/

Thursday, March 17, 2005

Results of 2004 airline performance study to be released

A press conference will be held in April to announced the results of the Airline Quality Rating, a study of the performance and quality of the 16 largest U.S. airlines.

The event will be at 8:30 a.m. CST, April 4 in Washington, D.C. News station CNN will air the press conference live.

The study is conducted annually -- this is its 15th year -- by researchers at the W. Frank Barton School of Business at Wichita State University and the University of Nebraska at Omaha Aviation Institute. It is funded as part of faculty research initiatives at both universities.

Rating of the airlines takes into account factors such as being on-time arrival, denied boardings, mishandled baggage and general customer complaints. Other issues include overall performance, industry trends and the economy.

This year's study focuses on findings in the 2004 calendar year for AirTran; Alaska; America West; American; American Eagle; ATA; Atlantic Southeast; Comair; Continental; Delta; Jet Blue; Northwest; SkyWest; Southwest; United; and US Airways.

Dean Headley, associate professor of marketing at WSU, says the Airline Quality Rating study gives airlines the chance to see how they perform year-to-year. And being in charge of it helps WSU get its name out in the national media.

"It will be live on CNN, on the evening news and in a lot of papers," Headley says. "The university loves the exposure. It just happens to be a button that we can push that stirs up a rather big process."


Source: Lainie Mazzullo - American City Business Journals Inc

International Air Transport Association IATA challenges the EC to do better on aviation policy

"The annual cost that the European Commission (EC) inflicts on aviation is EUR 5.9 billion . This is the legacy of neglect left by the previous Commission and it is an enormous burden on the competitiveness of Europe`s airlines," said Giovanni Bisignani, Director General and CEO of the International Air Transport Association (IATA) in a speech to the European Aviation Club. "If we don`t have urgent action to restore a balanced playing field, the European industry will be damaged, not by competition, but by inefficient European systems," said Bisignani.

The EUR 5.9 billion cost burden is composed of:

EUR 600 million for new regulations on compensation for denied boarding, cancellations and delays
EUR 1.9 billion for failing to take responsibility for war risk insurance and security issues
EUR 3.4 billion for inefficient infrastructure and regulation

Governments must balance the costs of regulations in line with benefits. Bisignani urged the Commission to apply the principles of the its Strategic Outlook to any regulations. "All regulations should pass a jobs test. And let`s also ask: Are they necessary? Are they simple and effective? And what impact will they have on competitiveness? This common-sense approach will support the competitiveness and economic expansion the Europe so badly needs," said Bisignani.

Bisignani laid down four specific areas for the Commission to address urgently:

Implement an effective Single European Sky:

Delays in Europe have an annual cost of US$1.5 billion and 15 million minutes of unnecessary flight. "The Single European Sky is not a panacea, but it would make routes more efficient, reduce delays and improve environmental performance. We must turn this 15-year story of failure into a success," said Bisignani.

Effective Regulation of Monopoly Suppliers:

"Governments fostered competition but forgot to regulate monopoly suppliers. Europe`s regulators are phantoms," said Bisignani. In their place, IATA is challenging Air Navigation Service Providers to achieve a 20% efficiency gain by matching the best-in-class performance of their European colleagues. "We see airports increasing charges as yields are falling. The Commission must do better with a robust regulatory system that challenges our monopoly suppliers to be more efficient," said Bisignani.

Equal Treatment of Air and Rail:

"The Commission was right to eliminate subsidies for airlines in Europe. So we cannot be silent when governments heavily subsidize other modes of transport," said Bisignani. An IATA commissioned study revealed that while Germany makes a net profit on aviation of EUR 11 per 1,000 passenger kilometres, it subsidizes rail by EUR 51 for the same distance. In France the profit on aviation is EUR 67 while the subsidy to rail is EUR 78. "Airlines pay when they park, fly or take-off. Why do we have to pay for competitors as well? The sum of rail subsidization in Europe is US$50 billion per year. We can do better to level the playing field," said Bisignani.

Free the Industry from Outdated Regulation:

"We must modernize the 60 year-old Chicago Convention. We support a vision of progressive liberalization that governments agreed to at ICAO`s Fifth Air Transport Conference in 2003. But I do not see any real results in Europe. I hope that the Commission will make an agreement on an Open Aviation Area with the US a priority. Why should outdated bilateral agreements determine what commercial services are offered to travellers?" said Bisignani.

"We have been disappointed in the half measures of the past: Intensifying competition without effective regulation of monopoly suppliers; penalizing airlines for delays but failing to effectively implement the single sky and regulating without understanding," said Bisignani.

"Europe`s network airlines are competing in a global market without subsidies. Restructuring, consolidation and careful cost management help them cope with extraordinary challenges like the cost of fuel. But they have a limited future if European policy does not support a competitive industry. I am confident that the new Commission with Mr. Barrot at the head of Transport and Energy will do better to understand the leadership and change that air transport needs in Europe and globally," said Bisignani.

Source: http://www.traveldailynews.com/

Delray shuts beach after mass shark sightings

Delray Beach's city beach is closed to swimming Wednesday due to more shark sightings, according to city recreation officials.

DELRAY BEACH - There was hardly a riffle on the ocean Tuesday morning, allowing beachgoers and lifeguards a glimpse at an unusual phenomenon — hundreds of sharks gliding by.


After the sighting the city's beach was closed for the day.

"They moved very slowly, swimming through what they believe is their ocean," said Eric Feld, operations supervisor for the city's ocean rescue department. "It was very majestic watching them swim."

The sharks were seen in 10 to 15 schools of about 20 between noon and 12:30 p.m. a few feet offshore. They looked like spinners or black tips, Feld said. Spinners, which often jump out of the water, have been spotted in the past couple of weeks.

"The spinners can put on quite a show. They are not real predators towards people, but you don't want to be someone they mistake for bait," he said.

The beach was closed as a precaution, leaving thousands of people stranded on the hot sand.

Shelly Price, visiting from New Jersey, said he heads for the beach every Tuesday while his wife takes an art class. He stood on the sand, dripping wet after using a nearby shower.

"You've got to cool off somehow," he said.

Many stayed to gaze at the calm water, though the sharks didn't make another appearance. Feld said they were lingering about 30 to 50 feet offshore during the afternoon, though the schools weren't as large.

The beach at Palm Beach County's Gulfstream Park, north of Delray Beach, was closed Monday afternoon. Boca Raton Ocean Rescue received word Tuesday that the sharks were heading south toward Boca Raton, but they never showed up, so the beach remained open, said Mickey Gomez, director of recreation services.

It's unclear why the sharks came close to shore. They might have been searching for bait fish or moving into warmer waters because of recent cool weather, Feld said.

"They're always out there. Surfers see them all the time," he said.

"I've been coming here for 25 years, and I've never seen sharks," said Sigi Schneider, vacationing from Calgary, Alberta, as she headed inland carrying her beach chair and sandals. She wasn't disappointed, she said.


By Dani Davies

Palm Beach Post Staff Writer

Wednesday, March 16, 2005

Hilton Group Announces Exchange of Contracts of 11 UK Hotels

London - Hilton Group plc announces the exchange of contracts on 15 March 2005 for the sale of eleven hotels in the United Kingdom to Stardon UK Limited - a joint venture between Starwood Capital and Chardon Hotels Limited.

The hotels - which were projected to have an EBITDA in 2005 of approximately £10 million - have been sold for £111 million in cash, which equates to net book value. Completion of the sale is expected within five weeks and, in respect of four hotels, is subject to receiving certain third party approvals.

Wolfgang M. Neumann, Area President, Hilton UK & Ireland, said: 'Hilton UK & Ireland is pleased by the progression of the portfolio re-alignment process in the region, underlined by this announcement regarding the arrangement with Chardon Hotels Ltd. With four new hotels already underway, and other new properties close to finalisation, Hilton expect to have replaced this room stock in the UK & Ireland by the end of 2007.'

Souce: http://www.hospitalitynet.org/

Northwest Airlines freezing U.S. routes

Minnesota-based Northwest Airlines, which lost $878 million last year, is freezing domestic routes at 2004 levels but will increase foreign routes.

The airline had planned to increase U.S. routes by 2 percent to 3 percent this year but continued to post losses. Northwest said it faces rising fuel costs and fare cuts by competing airlines.

Northwest ranked last among the 11 largest U.S. carriers in the J.D. Power and Associates airline customer satisfaction survey of 3,100 passengers.

Airlines were rated for check-in/boarding/departing, reservations/scheduling, aircraft interior, in-flight amenities and flight crew.

A Northwest spokeswoman said the carrier was third in Fortune magazine's most recent global airline survey, the St. Paul Pioneer Press said. Northwest had the second best on-time performance among major airlines according to U.S. Department of Transportation statistics.

Discount airline JetBlue was No. 1 in the J.D. Power survey with top marks for its aircraft interiors and in-flight amenities. Southwest got high marks for in-flight operations

Source: Big News Network

Alliance completes e-ticket links

The oneworld alliance is to become the first to offer interline e-ticketing (IET) between all members of its group.

The rollout of oneworld's IET will be completed within a month and will mean alliance customers will be able to travel with just one electronic ticket throughout the alliance's combined network.

That network is served by the alliance's eight member airlines (including Qantas, Cathay Pacific and British Airways) and their 17 affiliates.

oneworld Managing Partner John McCulloch said the alliance was created to make travel to more places easier for more people and completion of interline e-ticketing links between all member airlines was a significant step towards that goal.

Mr McCulloch said the move would make travel simpler and also cut costs considerably for member airlines. - Travelpress travel news

Source: http://au.travel.yahoo.com/news/trvpress.html

Foreign airliners to slash travel agents’ commission

NEW DELHI, MARCH 15: Foreign airlines have started announcing the commission cut for travel agents in India. The reduction, from 7% to 5%, will come into force from May, industry sources said. Some airlines, including British Airways, have already informed travel agents about their decision to cut commission. Others are in the process of doing the same.

Meanwhile, travel agents across the country are boycotting sale of Air-India tickets, according to Stic Travel chairman Subhash Goyal. The Board of Airline Representatives (BAR), led by Air-India, has taken the decision to reduce travel agents’ commission to 5%.

An official of Travel Agents Association of India (TAAI) also pointed out that confrontation between airlines and travel agents has begun. Travel agents from the north and south regions have started boycotting foreign airlines in phases, the official said. “To begin with, they have returned letters and publicity material of foreign airlines. Subsequently, they’ll stop selling tickets too,” he added.

Travel associations across the country will take a joint decision on the future course of action this week, according to Prime Travel managing director Arun Verma.

Another tour operator pointed out that boycotting foreign airlines could be the best way to handle the situation. “Last time, we had succeeded by boycotting Lufthansa, which was spearheading the commission cut movement,” he argued. But, this time, travel agents are up in arms against a group of airlines led by Air-India. According to TAAI president Balbir S Mayal, last year, eight foreign airlines had tried to reduce the IATA commission of travel agents in India from 7% to 5%. But due to an acute agitation, this move was abandoned.

Industry insiders indicated that the commission could be brought down to 0% over the next two years, in line with the international practice.

Travel agents, including 2,000 IATA-recognised and 5,000 non-IATA members, have already made representations to the ministries of civil aviation and tourism, protesting the foreign airlines move.

Source: http://www.financialexpress.com/

Over 100 industry leaders will gather to discuss marketplace direction and chart courses that include Lanyon solutions

Lanyon, Inc. (www.lanyon.com) announced today their upcoming Global Customer Summit will be held in Dallas March 29-30, 2005. The event will gather a range of industry leaders to hear keynote speakers and review plans for next generation solutions. The two speakers will present their vision of emerging trends that will impact global travel management, purchasing, and content distribution strategies.

John Burns, President of Hotel Technology Consulting will address the attendees. Mr. Burns will pose key questions about how strategic planning can address travel industry trends and how the continued evolution of technology will impact the travel sector. Mr. Burns heads an international consulting service specializing in assisting hotel chains and independent hotels in optimizing their central reservations and electronic distribution programs.

Maria Chevalier, Vice President Hotel Relations and TPS Hotels at WorldTravel BTI will discuss several significant changes that lie ahead related to travel procurement and purchasing. Ms. Chevalier has held various leadership positions in the travel industry during the past 20 years. These have included a COO role of a mid-sized travel agency. Business Travel International is one of the world's leading travel management organizations operating in almost 100 countries.

Attendees will have the opportunity to observe first-hand how Lanyon content and automated electronic publishing solutions can be implemented in their businesses. Sessions that showcase a variety travel management experts have been slated enabling attendees to meet and discuss the many approaches to corporate preferred lodging programs

Tuesday, March 15, 2005

Intercontinental Hotels Group joins Reed Travel Exhibitions as sponsor for International CMP Manual

The Convention Industry Council(CIC) is pleased to announce that InterContinental Hotels Group has agreed to co-sponsor the new Convention Industry Council International Manual , 1st Edition along side Reed Travel Exhibitions.

"InterContinental Hotels Group has extensive background in supporting all levels of successful meetings globally," said Mary E. Power, president and CEO of CIC. "We feel they are the perfect partners in this important international manual."

"It is appropriate for InterContinental Hotels Group to co-sponsor this international manual as we are the world`s most global hotel company with seven well recognized brands in the industry. Furthermore, we are committed to the educational advancement of meeting planners worldwide. This manual supports this objective and we are delighted to be a part of bringing it to fruition" said Jon Ketover, Director, Groups and Meetings with InterContinental Hotels Group.

With a strong team of authors from around the globe in place, the manual will be edited by Tony Carey, CMM, editor and author of The European Handbook. CIC is positive that the international manual, which will mirror the original North American CMP Manual, will provide an authentic view of international meeting practices. The international supplement hopes to broaden the scope of all professional meeting and event organizers globally. Upon publication in 2005, the CIC International Manual will be added to the required reading list for the CMP examination along side its North American counterpart. With a self study section at the end of each chapter, the international manual will not only be used as a study guide for prospective CMP candidates but will also serve as a useful resource for the 10,000 existing CMP`s to stay current on international meeting practices

Souce: MICE Industry : CVBs
Convention Industry Council

Cheap travel less likely

The sudden collapse of low-cost carrier Jetsgo on the verge of the peak travel season is causing airfare prices in Canada to already start to climb

Airlines Explore Web-Based Booking Engines

United says its efforts to get agencies and businesses to look at alternatives to the global distribution systems isn't about leaving those systems behind.

When United Airlines assembled its biggest business and travel-agency clients in January to introduce them to some up-and-coming travel-technology providers, it hoped to build momentum for a new wave of distribution alternatives it believes can make the process of selling airline tickets cheaper and easier. But while executives across the industry say big changes on the distribution landscape are overdue, they're not ready to write off the global distribution systems that have served them well for decades.
"We will not move to any new model because there's a benefit just to the supplier," says Michael Qualantone, VP of global distribution for American Express Business Travel. "We can't have a cost transference where the airlines save money at the expense of agencies and customers."

Qualantone declined to say whether American Express participated in the United meeting, but he did say he's not convinced that the technologies United is pushing from companies like Farelogix, G2 SwitchWorks, and ITA Software are ready to satisfy American Express' needs. All the new technologies are Web-based booking engines, whereas the global distribution systems still depend heavily on less-flexible mainframe technology. But until they can match the content offered by Sabre Travel Network and Cendant Corp.'s Galileo, which each carry fares for 500 carriers, American Express isn't about to make a change.

Change may come sooner rather than later. Earlier this month, both Farelogix and G2 said they received significant rounds of funding that should provide them with the cash to continue expanding their distribution footprints. Farelogix received $6 million in funding from Sandler Capital Management, while G2 garnered undisclosed investments from IT venture firm Norwest Venture Partners and travel-industry investor Texas Pacific Group.

American Airlines isn't holding any meetings with business and agency clients to plug the upstart distributors, but CIO Monte Ford says the world's biggest carrier is looking into ways that Farelogix, G2, and ITA can help it get distribution costs under control. Likewise, American is having similar conversations with the global distribution systems. "They seem to be as engaged as we are in figuring how to distribute our product better and to lower our costs," Ford says. American's goal isn't to switch one distribution channel for another, but rather to get costs sufficiently under control so it can add channels such as options from the up-and-comers.

United says its efforts to get agencies and businesses to look at alternatives to the global distribution systems isn't about leaving the latter behind. "If their future role includes ways that can help United lower our distribution costs, we're here to listen," Derek Lewitton, United's director of distribution strategy, says in an E-mail. "Regardless of what type of industry you're in, to not explore the savings that comes with next-generation technology over legacy technology is completely irresponsible."

By Tony Kontzer
InformationWeek

Tourism dominating local economy

Tourism now dominates the local economy to a level that it can no longer be called a sector, and Barbados economic development and its future is now locked into an activity which is in essence a national endeavour.

According to Hudson Husbands, chairman of the Barbados Tourism Authority (BTA), the overall importance of tourism to the local economy means that the industry is too important to be used as a political football.

We are playing with our lives and the life of a nation. It cannot be trapped in bureaucratic red tape. We must not despise this business because of history, because around the world countries that do not have a lot of resources are using their history and their heritage to prosper, he said.

Husbands, who was speaking at the first quarterly general meeting of the Barbados Hotel and Tourism Association (BHTA), which took place last week at Accra Beach Hotel, noted that tourism generated US$402 million in local capital investment in 2004, which is 65 per cent of total capital investment according to statistics compiled by the World Travel and Tourism Council (WTTC). He further stated that the sector is now three times the total size of the other productive sectors combined, now contributes 75 per cent of export earnings and employs 52 per cent of the local workforce.

It has driven economic development, infrastructural development to enhance the quality of life, it has driven employment creation, it has been resilient in the face of wars, natural disasters, terrorism, epidemics and economic crises. Some countries have realised the power of tourism and are using it to create substantial wealth and to drive their economies. Other countries are treating it as an economic sector, he said.

Husbands further made the point that the other productive sectors of the economy are tapping into the tourism sector and reaping benefits.

Nobody is untouched by this business, craftpersons, entertainers, food processors, manufacturers, farmers, technology companies, fishermen, everyone is benefiting.

He also made the point that the Caricom Single Market and Economy (CSME) is in effect a tourism economy, as that sector already dominates 70 per cent of economic activity in the region, and has a regional identity.

People all over the world know the Caribbean as a result of our tourism product. The CSME must bring tourism to the centre of the CSME plan, it must not be an afterthought or a secondary notion.

Hudson provided many examples of the impact which tourism has had on the Dubai economy to show what is possible in Barbados. Dubai, an oil-dependent economy, has been successful in using tourism to diversify its economy. According to Husbands, one of the many initiatives devised in Dubai to develop the tourism sector was the creation of a business centre which housed a media city. As a result, today every major media house in the world is located in Dubai and has a major head office or sub-regional office there.

They set up something called Internet City, and now every major technology company is domiciled in Dubai. That breaks something which we suffer from right now, the notion of overdependence on leisure tourism, which creates seasonality. Business travel and conference business is the kind of business we need to fill the gaps, he said.Ç

Source: By Terence Murrell. http://barbadosadvocate.com/bbs.ram

Dubai bags travel writers award at ITB-2005

Dubai has bagged the prestigious Pacific Area Travel Writers Association (PATWA) award for being a ‘Destination for Romance, Adventure and Shopping’. This is the first award in this category. Mr. Mohammed Khamis bin Hareb, Director Operations and Marketing, Dubai Department of Tourism and Commerce Marketing (DTCM) has received the award at a ceremony held on the sidelines of the International Tourism Exchange (ITB-2005) in Berlin.

Backed by 74 co-participants sharing a 440-square-metre stand with 51 booths, Dubai has a strong presence at the world’s largest travel trade fair for the 16th successive year.

The ceremony was attended by PATWA Chairman, Mr. Sagal Ahluwalia, Mr. Ahmed Al Maghrabi, Minister of Tourism, Egypt.

The department has been conducting aggressive promotional and marketing initiatives across the world, through its network of 14 Overseas Representation (OR) offices.

Dubai’s successful emergence on the world tourism map in a relatively short span of time has been acknowledged globally. Dubai hotels played host to over five million guests in 2004, an increase of 8.8 per cent over the previous year.

In an interview with Christine Fleischberger of n-tv, German’s leading business TV channel, Mr. bin Hareb said Dubai hotels played host to 240,000 German guests in 2004, up by 51 % from the previous year.

He said: “German visitors love Dubai. They appreciate the high quality in service, true Arabian hospitality and the attractive blend of tradition and modernity. We not only have established Dubai as a premium brand, but also an extremely popular year-round business and leisure destination.”

Source: http://www.strategiy.com/

Monday, March 14, 2005

Top 10 Spring Break Cities

Travel experts say this year's most popular spring break destinations are the usual suspects. Hot weather and cool nightlife are the two overriding factors involved in the city's popularity. This year's picks for students and others planning a winter escape come as no big surprise. According to VacationSpot.com, the top destinations for Spring Break 2005 are:

* Daytona Beach
* Honolulu
* Cancun
* Las Vegas
* Miami
* New Orleans
* Orlando
* Phoenix/Scottsdale
* San Diego
* Tampa/St. Petersburg/Clearwater Beaches

Many of these destinations have great bargains right now and surfing the web for fun in the sun isn't a bad idea. Vacation rentals are ideal for families and large groups traveling during Spring Break. The various rentals offer multiple bedrooms and bathrooms, recreation or family rooms, fully equipped kitchens, private pools, hot tubs and outdoor grills. The added sleeping and living spaces make traveling in numbers more comfortable and affordable.

Travel experts say rental properties offer consumers more for their money and now that these properties can be booked online, finding and booking them is as simple as a click of the mouse. VacationSpot.com is the first website that lets people instantly check availability, review photos, property descriptions, and quality ratings, and choose and book from thousands of vacation rental properties in the most popular worldwide destinations.

Source: http://www.lincolntribune.com/

All Aboard: Infectious Disease Flies on Planes Too

(Ivanhoe Newswire) -- People aren’t the only organisms jetting around the world. Infectious diseases are making these trips as well, and analyzing the risks they pose to passengers is the topic of a new review article in this week’s The Lancet.

Researchers looked at previous studies conducted among air travelers, including those involving the spread of tuberculosis on planes. Results suggest sitting within two rows of a contagious individual during a flight lasting longer than eight hours places passengers at risk of getting the disease. Another study that examined transmission of SARS during air travel found sitting up to seven rows away could result in infection.

What can airlines do to decrease the risk of disease transmission during flights? The authors say evidence points to more frequent recirculation of cabin air. One study using a computer model to predict infection rates, for example, indicated doubling the air exchange could cut the infection risk from tuberculosis in half. The authors also note using disinfectants to clean the cabin between flights to areas of the world prone to malaria and other vector-borne diseases can help reduce disease transmission, although only Australia, the Caribbean, India, Kiribati, and Uruguay currently follow international recommendations calling for this strategy.

What can passengers do to do protect themselves? The investigators point to simple measures such as frequent hand washing, which has been proven to reduce the transmission of airborne and other infectious diseases.

In an accompanying commentary, fellow researchers say greater use of HEPA filters on airplanes could further reduce the risk of transmission of infectious diseases. They write, “Regulations requiring HEPA filters for any airplane that recirculates air should be seriously considered.”

This article was reported by Ivanhoe.com, who offers Medical Alerts by e-mail every day of the week.

SOURCE: The Lancet, 2005;989-996,927-929

Air industry allowed to spread its wings

The Scotsman

SINNERS redeemed are a special pleasure. For decades the Civil Aviation Authority (CAA) was the enemy of the air traveller. It was that classic model of a regulator "captured" by those it was meant to be regulating. Specifically the large airlines, British Airways in particular, and the large airports, led by Heathrow, suppressed or neutered open skies over Britain ... or even over routes to foreign destinations.

The CAA used to be on the side of darkness - like the bad guys in Star Wars - but it has been converted. Now it favours competition and new entrants into a previously closed industry. The authority dates its conversion to 1993 when it relaxed the rules and permitted the low-cost, no-frills flights that have transformed everyone’s expectations. This unlocked latent demand. In 1990, six million plane journeys were taken by Brits; by 2004 this had leapt to a whisker under 30 million.

There is one simple test of how liberal an aviation trade person is. The shibboleth is the word "slots". These are the permissions to take off and land at an airport. They are highly prized at Heathrow, but less precious on Papa Westray.

If something is rare, then it needs to be priced to be rationed out. Slots are strange, intangible assets: no traveller ever sees one, balance sheets rarely ever reveal them - yet they are the crucial properties owned by airlines. They represent a huge bias towards the older airlines. BA is by far the greatest custodian of these rights. Many inherited from the defunct Imperial Airways, BOAC and BEA and even Dan Air. Take away its slots and BA would simply evaporate.

In its recently published report, the CAA argues that we should move towards an auctioning of these slots. Perhaps this sounds technical and obscure, but it is the essence of real competition in aviation.

We all know that Ryanair and the other low-cost airlines have opened up hundreds of routes, but note how they are almost all linking provincial locations and never metropolitan hub airports. The CAA says that regional airports have been the main beneficiary of the liberalisation of the rules. Its report is crafted in the opaque language of public bodies, but it cannot hide the vibrant nature of airports most of us had never heard of until a few years ago.

Look at the flight figures of Scotland’s two main airports, Edinburgh and Glasgow. Their flight numbers have jumped 141 per cent since 1990. Edinburgh carried 2.492 million passengers in 1990 and 7.995 million in 2004, an increase of 219 per cent. Glasgow carried 4.286 million in 1990 and 8.521 million in 2004, up 99 per cent. If other businesses in Scotland were to flourish in this manner, what a booming economy we would have. It is worth noting that those figures do not reflect investment or even subsidy. They illustrate the simple truth that lower fares generate greater traffic. Destinations previously ignored can become highly lucrative.

Scottish aviation is odd. With Turnhouse and Abbotsinch only 48 miles apart, it may have been wiser to have a single airport at Shotts serving all of the central belt. History has bequeathed us these two rivals. Prestwick Airport, on the Ayrshire coast is a curiosity often best explained as little more than a specially protected venture as it lay in the constituency of George Younger, once secretary of state. Now it has found profitable niches.

The CAA report observes that airports ceasing to be publicly owned has stirred them into being more lively and innovative. It ducks the question of why BAA, indeed a publicly quoted company, is still so near to a monopoly. The company owns Aberdeen, Edinburgh, Glasgow, Gatwick, Heathrow, Stansted and Southampton. I don’t doubt BAA sites are far more efficient than when they were nationalised, but is this not too dominant? You can’t compete with your colleagues other than in a charade sense.

Dundee airport is run by the city council. Could this be why it is so much less a place than Aberdeen airport. My favourite Scottish airport may be Inverness. It links to the world through its London routes but is its own hub for the Highlands and Islands, carrying everyone in the Hebrides to shop at the Marks & Spencer in Inverness.

Scotland carries its peculiarities. They have posh names but translate into plain English: "subsidies". Scottish Enterprise operates its well-intentioned "route development funds". If there was truth in its corporate flannel, it would be a superstar. It argues that £6.8 million of subsidy will generate £150 million in benefits and 600 tourism jobs. The reality is more humble. Of the 17 recipients of these subventions, seven have folded. Scottish Enterprise’s "help" can be the kiss of death.

Scotland also enjoys, or suffers, "public service obligation" routes. These are subsidies mostly for remote islands with cash from the Scottish Executive, Western Isles Council, Shetland and Orkney Councils. The CAA warns of the hazard of a "race to subsidy effect". What a breath of fresh air. The old-style CAA would have been busy urging more subsidies. Perhaps the Executive might consult the CAA’s team before subsidising the proposed tram-line from Waverley to Galashiels.

It is a great oddity that aviation fuel is untaxed. This is an interesting fiscal curio. The argument is that aviation fuel cannot be taxed as it would give an advantage to other nation’s airlines. Here is an example of a phenomenon I believe we will hear far more of in the future - "tax competition" between different jurisdictions.

The CAA says that, in principle, we all may prefer to travel on shorter routes by train, car or bus, but it does not detect strength from these rivals. If I wanted to travel between Edinburgh and London I regard the four hours on GNER as far more relaxing than hurtling out and then in from the airports.

Flying from London to Manchester strikes me as eccentric as well as expensive, but it shows how the railways have to market themselves far more. It is baffling that it is cheaper to fly than jump on the train at Euston.

I find this report on the emergent vitality of regional airports a comfort and a confirmation that "integrated" or "planned" transport fails. The experimentation of a more liberal market is far more successful. Some airlines may fail, but they are learning all the time and finding routes no central authority ever imagined.

• John Blundell is the director general of the Institute of Economic Affairs

Dragonair plans to start flights to Australia

HONG Kong's Dragonair plans to start flights to Australia, the company said.

Dragon Airlines - Hong Kong's second largest carrier - plans to expand its service to China, start flights to Australia and South Korea and launch a cargo service to the United States in the coming months, chief financial officer Francis Wai said.

Founded in 1985, the airline flies to 30 destinations in Asia as well as cargo services to Europe, the Middle East, Japan, Southeast Asia and China.

Dragonair posted record passenger and cargo volume in 2004, when it flew 4.5 million passengers, up 49.2 per cent from 2003. Cargo volume rose 26.8 per cent to 342,413 tonnes.

Mr Wai expects passenger numbers and available seat kilometres -- the number of seats multiplied by the number of kilometres flown -- each to increase by more than 20 per cent in 2005 as a result of increased flights. "The number of outbound travelers from the mainland is rising following the extension of the individual travel scheme," said Mr Wai, referring to China's relaxed policy on mainland visitors to Hong Kong.

"This, combined with good inbound numbers, should help ensure travel numbers to our main market continue to rise," he said.

Herald and Weekly Times

Sunday, March 13, 2005

Romantic alternative to Cancun Travel

Lack of electricity adds to luxury of cabana complex



Hartford Courant

TULUM, Mexico – It was having to leave my blow dryer at home that prompted any second thoughts about a two-week vacation at Cabanas La Conchita, a deceivingly primitive cabana complex on the Caribbean coast.

I had actually looked forward to the thought of no television, no air-conditioning, no electricity and no telephones when first approached about the vacation. Dreamy thoughts of ocean breezes and evening candlelight overshadowed the fact that limited generator-powered lighting meant no outlets for my Conair, a staple in my life.

But within moments of arriving at this casita-style resort, thoughts of my tresses evaporated. I was in love.

From the simple but tasteful cabanas capped with cathedral style palm-thatched palapa roofs, to the pristine beach and lapis- and tourmaline-colored sea, this was my dream vacation. The eight cabanas, including a two-bedroom unit and another romantically perched just yards from a priceless water view, looked like the quintessential beach vacation postcard. Look inside any of these cozy cottages, and you couldn’t help but be enthralled by the eclectic mix of Aztec, American Southwest and Mayan art, furniture and accessories that decorated each room.

The bed in our second-floor room was made up in the whitest linens I’d ever seen. It looked like a giant present just waiting to be unwrapped, thanks to the swathe of mosquito netting that, fortunately, we only admired and never needed to use. Shells and mosaics were embedded in the rich, color-washed adobe walls. The hand-rubbed tile floors sparkled. The bathroom, with more than enough hot water 24 hours a day, boasted a shower big enough for two.

And it was quiet.

“That’s what we sell, peace and quiet,” said Jorge Rosales Rodriguez, who, with his artist wife, Cynthia, purchased the former run-down hostel several years ago with plans to make it their own vacation getaway.

“We were getting so many requests from others that wanted to vacation there that we decided to fix it up and rent the cabanas,” said Rosales Rodriguez, who splits his time between La Conchita and another home in California. “It’s quiet because there is no electricity, highways or the things that attract big hotels and noise. That’s why we are fighting to keep those amenities out. We don’t want to be another Cancun,” he said, referring to the well-known resort city just 80 miles north on coastline Highway 307. “What we are is why people come here.”

And come they do. The cabanas are rarely empty; more and more tourists looking for a quiet place to recharge are finding this paradise. La Conchita is one of several casita complexes along the dirt road that leads to Punta Allen. And though they all offer a relaxing vacation alternative, La Conchita seemed to have the handle on how to do it best.

Besides its spanking-clean rooms, lots of hot water and a staff that did all they could to make sure the stay was pleasurable, La Conchita also offered laundry service, coolers and daily ice, and beach towels.

And La Conchita had other amenities to soothe the soul and nourish the body.

Included in the room charge of $95 to $110 a night (off-season) was breakfast, and I don’t mean a bagel and coffee. I mean breakfast and then some.

Though swimming, combing the powder-soft sand and reading were tops on my vacation list, my travel partners had other plans. We took advantage of the great snorkeling, which included dips in the freshwater cenotes (caves and sinkholes that reach down to underground rivers) and cavorting with sea turtles, as well as sightseeing, eating out and shopping.

Bicycling, fishing, scuba and adventure tours also were available within walking distance. A convenience store, public telephone and currency exchange kiosk were within steps of our place. Be advised though, most places, including La Conchita, do not accept credit cards. Only cash or traveler’s checks will do.

Though La Conchita is scheduled to add its own restaurant and bar in the next few months, only breakfast was served when we visited. But within a few minutes of our lodging were places that not only served authentic Mexican fare but offered the best brick-oven-baked pizza I’ve ever had, and homemade pasta that was to die for.