p5 news May1 29/4/09 20:45 Page 5
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news
In brief
■ Mottershead suspended over ‘missing funds’
APC ‘must rise to
Travelzest is investigating a “potential misappro-
priation of company funds” and has suspended
its chief executive, Chris Mottershead. The
company announced the developments following
reports that Mottershead had been lined up,
along with financial officer Colin McKinlay, to £3 to fund ATTF’
run Tui Travel’s Canada business. It said the
sums involved were not “material” in the
Chris Gray.
combine with increases in Air Passenger Duty
context of the Travelzest group as a whole. THE TRUST that refunds and repatriates this year and next to “clobber” the traveller.
customers after failures would be bankrupt by David Mortimer, chairman of the Association
■ Fred Olsen diverts ship from pirate hotspot October if the £1 levy is not trebled, the CAA of Atol Companies, said: “How could they get it
Fred Olsen Cruise Lines has changed the itinerary has revealed. so wrong? It will be perceived across the industry
of Balmoral’s 2010 world cruise to avoid the The Air Travel Trust Fund’s deficit is on course as at best negative and at worst disastrous.”
Gulf of Aden, where MSC’s Melody was attacked to exceed its £50 million credit facility thanks The CAA denied it ever gave an assurance the
by pirates this week. Balmoral was due to visit to dwindling sales due to the recession and last £1 levy would not need to increase, and said its
Indian Ocean ports en route to Dubai and Oman September’s XL Leisure Group collapse. original figures were based on forecasts provided
during its 106-night cruise, but the new itinerary The CAA’s proposal to hike the charge to £3 by the trade, which proved to be over-optimistic.
will now cross the Indian Ocean from Fremantle provoked anger among operators. They said Consumer protection group deputy director
in Australia. they had been assured the £1 Atol Protection David Moesli said the key factors were XL and the
Contribution would not need to rise. recession, which was cutting income from APC.
■ Aer Lingus tipped for a ¤100m loss Tui customer director Tim Williamson said the The six-week consultation on increasing APC
Aer Lingus has warned that its loss for the full company was “outraged” at will be followed by Depart-
financial year will be “below the bottom of the the proposal and was
Going up? APC proposal
ment for Transport consul-
range” of market expectations. The gloomy keeping all options open – tation on widening the
forecasts led one analyst to predict a ¤100 million including splitting packages ■ The CAA has proposed raising scope of Atol to include all
loss for the Irish flag-carrier, compared with to take product out of Atol. APC from £1 to £3 from Oct 1 airlines which sell flights
previous predictions of a ¤41.9 million loss. “The CAA said in its origi- ■ APC forecast to bring in £13m and another holiday compo-
nal document that £1 could less than expected this year nent, and non-air packages.
■ Whiteman quits Holiday Team for Holidayline withstand a large failure ■ XL’s failure cost the ATTF £37m, But that will not include
Maria Whiteman has left The Holiday Team, and a recession; now we’ve and £89m in total flight-only sales.
which she joined as consultant director, to had a medium-sized failure ■ ATTF will be technically Williamson said that
become chief executive of Holidayline UK. with XL and a recession and bankrupt by October and £59m showed the government was
Holidayline runs a group of travel websites they’re saying it has to go in the red by March next year still refusing to listen to the
including
directline-holidays.co.uk. Whiteman up to £3,” he said. if nothing is done industry’s argument that a
was managing director of Travel 2 before joining Williamson said the pro- ■ June 12 deadline for trade views £1 levy covering all flights
The Holiday Team. posed rise in APC would was the best solution.
■ BMI adds flatbeds on Tel Aviv route
BMI will introduce Airbus A330 aircraft on its
Heathrow-Tel Aviv route from May 3 featuring
flatbeds, an onboard chef in business class and
50-inch more leg-room in premium economy.
Fares start from £334 return in economy, £708
return in premium economy and £794 return in
business class.
■ Tom Allen sets up marketing consultancy
Former Cadogan managing director Tom Allen
has set up a new consultancy business, Tom Allen
Partnerships (tomallenpartnerships.com). He is
working with small-business expert Professor
David Carson of the University of Ulster and aims
to advise firms on marketing and distribution.
I’M IN THE MOOD FOR DANCING: Strictly Come Dancing stars Nicole and Matthew
ttglive.com
For the latest news, reviews and comment
Cutler (centre) had the difficult task of judging the Princess Cruises search for a UK
from the travel industry, visit
ttglive.com Travel Dance Star on Grand Princess in Southampton on Saturday. Full story, p22
01.05.2009 05
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