p5 news June19 17/6/09 21:52 Page 5
ttglive.com
news
In brief
■ Job losses and promotion at Abta
Abta is to shed several jobs in a restructure,
Airlines to rip up
while also creating two senior management roles
ahead of the imminent departure of development
director Andy Cooper. These roles will be a head
of public affairs and head of destination strategy.
Current operations manager Susan Lamb has
‘worn out’ SMAs?
been promoted to head of Abta operations.
■ Holidaybreak seeks £33m in shares sale
Chris Gray and Martin Ferguson.
meeting targets as demand plummeted, and all
Holidaybreak is looking to raise about £33 million AIRLINES are likely to be forced to scrap carriers would have to look at alternatives.
by issuing more than 21 million shares. The volume-based sales and marketing agreements McLeod said making nett fares widely
group wants to use the money for investment (SMAs) and find a new way of dealing with the available would be one option, but a return to
opportunities for its education businesses. trade. commission might eventually have to be
Drastic falls in ticket prices and sales have contemplated reluctantly by airlines.
■ Atols may be extended to travel agents made SMAs, which reward travel management Some North American carriers had increased
Abta has unveiled its proposal for extending Atol companies and large leisure agents for meeting commission in their market to stimulate sales,
coverage to agents, allowing them to offer financial volume targets on negotiated fares, unsustain- and Advantage had approached them about
protection to consumers for all components of a able, agents believe. doing the same in the UK, he added.
holiday. Agents would be able to hold an Atol British Airways said it had entered talks with Clive Green, of Clive Green Travel, said SMAs
without adopting principal status, which would TMCs that could lead to two-year agreements were “fast becoming a thing of the past” as
make them potentially liable for the health and signed in April being torn up, with the carrier airlines such as BA scrapped them because
safety of the customer while on holiday. saying it was “open to ideas” agents did not meet targets.
about what could replace them. Scott Davies, BA’s sales
■ Lowcost rebounds with £608,000 profit BA said it might extend an manager for TMC channels, said
Lowcosttravel Group has reported half-year initiative that made nett fares the carrier was reviewing SMAs
earnings before tax of £608,000. This compares available on flights to some because it was “fighting for
with a £105,000 loss in its previous six-month Asian routes, allowing agents to survival” in unprecedented
results. For the period ending April 30, the group’s mark up with a booking fee. trading conditions.
turnover increased by 120% to £35.4 million Ken McLeod (pictured), “We’re not yet sure what the
and bookings almost doubled to 164,300. Advantage development director, best model is and nothing has
said SMAs were no longer been decided. It’s about finding
■ Flybe to lend four aircraft to Olympic Air working for airlines or agencies, Advantage’s Ken McLeod predicts the best way. We are open to
Flybe is to supply four aircraft with crew to new which stood no chance of airlines may reconsider commissions ideas,” he said.
Greek airline Olympic Air, formed out of the
ashes of Olympic Airlines and Olympic Airways.
It will provide four Bombardier Q400 aircraft
plus pilots, cabin crew and engineering support
Trade Media Partner
from August 2009 until September 2010. The
aircraft will be based in Athens. The deal was
unveiled at the Paris Air Show. Credit woe, p11
■ Ritz-Carlton boss interviewed in ttgluxury
The credit crunch has not affected
consumers’ views of staying in
top-end luxury hotels, according
to a survey for Ritz-Carlton. Chief
executive Simon Cooper said a survey
had found 73% of customers had not
changed their view of top-end hotels.
Some 58% also regarded a holiday as
their number one priority for annual
expenditure. For the full interview with Cooper,
see the summer issue of ttgluxury, out today PARTY ON PRINSENDAM: Ace’s third UK Cruise Convention started with smiles all
round on Wednesday in Dover. Beaming onboard HAL’s Prinsendam are, from left: Lynn
ttglive.com
For the latest news, reviews and comment
Narraway, HAL; Tina Porter, Co-op Travel, Gravesend; Darren Driver, HAL; and Ben
from the travel industry, visit ttglive.com Touceda, Co-op Travel, Sittingbourne. For news, videos and more, go to ttglive.com/ukcc
19.06.2009 05
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