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Car Rental
Hertz, Avis Continue Vying to Acquire
Dollar Thrifty
Hertz and Avis, who are vying with each other
to buy Dollar Thrifty, are both seeking antitrust
approval for their proposed deals. Avis said
that acquiring Dollar Thrifty would help it
compete more effectively against Enterprise,
the biggest player in the industry. Hertz says
that it should face fewer hurdles than rival
Avis, because Avis’ low-cost brand, Budget
Rent A Car, competes directly with Dollar Thrifty.
Hertz has also filed papers with the Securities
and Exchange Commission on the matter. (Source:
Hertz and Avis).
Holland America Mexico cruise
from $499
Verandahs
from $699
The excitement of the Mexican Riviera
and wildlife-rich Sea of Cortez await you on a
Holland America Line Mexico cruise vacation. Discover
historic sites, shop for local treasures, and
enjoy all manner of beach and water activities.
Perfect for family vacations, Holland America's
award-winning shore excursions and onboard amenities
allow every guest to experience a tailor-made
Mexican cruise fiesta.
Must be booked
by June 30, 2010.
For more information, call 800.950.2030
or click:
www.summittravelgroup.com
*Offers valid on new
bookings only for travel by 12/10/10. Prices shown
are per-person, land only based upon double occupancy.
Blackout dates, minimum night stays, minimum stay
requirements on air, seasonal surcharges, resort fees
(if any), and other restrictions may also apply. Some
booking and travel dates may vary. CST#2084430-10
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Airlines
DOT Proposes More Protection for Air
Travelers
The Department of Transportation has proposed more rules designed
to protect air travelers, which it says builds on its consumer
protection strategy that started with a three-hour cap on
tarmac delays. The new rules would increase compensation for
any travelers bumped from flights, increasing compensation
from $400 to $650 if you are bumped and then rebooked on an
alternative flight that gets you to your destination one to
two hours late and from $800 to $1,300 if you’re more
than two hours late on domestic flights and more than four
hours late on international flights. The new rules also would
allow air travelers to make and cancel reservations within
24 hours without penalty. The new rules would require full
and prompt disclosure of baggage fees and compensation if
bags are not delivered on time. (Source: DOT)
Spirit Airlines Pilot Strike Continues
Spirit Airlines has canceled flights through Wednesday, assuring
that a pilots' strike will last at least five days and raising
concerns about the airline's survival. However, talks are
set to resume Tuesday, at the request of the National Mediation
Board. The ongoing strike, which began Saturday and has stranded
thousands of passengers, is troubling because "there
is no guarantee that Spirit survives," said aviation
consultant Michael Roche. "Spirit does not have a guaranteed
place in the airline industry, so its pilots are putting themselves
at risk." Spirit pilots say they have been negotiating
for four years and have failed to secure a satisfactory contract
offer.
Front of the Plane is Filling Up Again
Passengers are moving to the front of the plane,
according to the International Air Transport Association.
In March, the latest figures currently available, premium
travel was up nearly 11%. And for the first quarter, it was
up 7.4%. Part of that, of course, was because business and
first class travel plummeted by 25% in 2009 and 2008. However,
premium travel is now growing slightly faster than economy
travel. The recovery varies greatly by region—it is
strongest in Asia, weaker in Europe and across the North Atlantic.
IATA reasons that business confidence has returned faster
than consumer confidence, which means business travel will
recover faster than leisure travel. Although just 10% of travelers
fly in the front of the plane, they account for 30% of revenues.
(Source: IATA).
United Boasts Best On-Time Performance
United finished the first quarter of 2010 in the number one
spot for on-time performance as measured by the DOT. The airlines'
on-time performance exceeded 82% for the first quarter and
included at least two days of 100% completion in 2010—meaning
not one of United's more than 2,000 daily flights was cancelled.
Summer Weather, New Delay Rule Could Mean More Delays
and Cancellations
Rick Seaney, CEO of FareCompare.com, the airfare tracking
Web site, says that the combination of volatile and fast-moving
summer weather and the new rule limiting tarmac delays to
three hours could cause airlines to cancel more flights this
summer. Seaney says that the Federal Aviation Administration
says that summer storms come up more quickly and move faster
than winter storms, grounding flights and causing a chain
reaction of delays to ripple throughout the nation’s
air traffic systems. Airlines, which understandably want to
avoid the $27,500 fine per passenger for delays of over three
hours, are canceling flights preemptively to avoid those fines.
That means, watch the weather and keep in close touch with
your travel agent to make sure you’re at the head of
the line, figuratively speaking, in the event of a delay or
cancellation. (Source: FareCompare.com).
Pilot Labor Unrest Mounts
Pilots are getting impatient with management after years of
making pay concessions to airlines facing or falling into
bankruptcy. Pilots for AirTran, Spirit and Jazz, the low-cost
Canadian carrier, have voted to authorize strikes. United
Airline pilots have picketed to protest the outsourcing of
pilot and other airline employee jobs. And, American Airlines
pilots criticized the carrier’s management during American’s
annual meeting last month. The Allied Pilots Association,
which represents American’s pilots, voiced its support
for Spirit pilots. It said that it cannot let what it calls
an industry-wide “race-to-the-bottom” mentality
to continue. Meanwhile, ALPA’s president, Capt. John
Prater, called on Congress to reform bankruptcy codes, which
he says now let companies strip workers of bargaining rights,
while executives keep getting big bonuses. (Source: APA, APA).
 Summit
Travel Group is committed to providing you with useful information
on the latest developments in the travel industry. The preceding
information has been compiled from a variety of sources and
is updated monthly.
www.summittravelgroup.com
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