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Amadeus says Lufthansa’s €16 fee ‘is a threat to the pluralism of the industry’
Lufthansa faces turbulence over GDS booking charge
TRADE BODIES PUT PRESSURE ON CARRIER AS SMALLER AGENCIES APPEAR MOST THREATENED BY BOOKING FEE. BY IAN TAYLOR
Lufthansa faced a flurry of regulatory challenges as it pushed ahead with imposing a fee on GDS bookings this week.
The €16 (£11.30) Distribution
Cost Charge (DCC) came into force on Tuesday as authorities in Switzerland and Germany studied legal complaints from the trade, and associations in Austria, France and India indicated their preparedness to follow suit. The charge, which applies to Lufthansa, Swiss, Austrian Airlines and Brussels Airlines’ fares, has been rejected by regulators in New Zealand, Brazil, China and Taiwan.
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travelweekly.co.uk 3 September 2015 Ectaa, the pan-European
agents’ and operators’ association, submitted a complaint last month arguing Lufthansa group airlines had breached Europe’s CRS (computer reservations system) code of conduct. The European Technology
and Travel Services Association (Ettsa), which represents GDSs and online travel agents, has prepared a similar complaint, and several organisations are considering complaints of abuse of market dominance by Lufthansa. Amadeus, which dominates Lufthansa’s core German
market, wrote to agents and travel management companies (TMCs) on Tuesday, saying the fee introduces “complexity and cost”. The GDS said: “We believe
the interests of everyone in the industry . . . [are] best served by adhering to the core values of comparison, transparency and neutrality – and the consumer’s freedom to book via the channel of their choice without penalty. “Lufthansa’s surcharge
undermines those values. It remains to be seen whether it is good for Lufthansa Group, depending on how the industry reacts.” An Amadeus spokesman told
Travel Weekly: “This is, in effect, a fare increase in the indirect channel.” He confirmed: “We are
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