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AIR & BUSINESS TRAVEL NEWS 11/09/06
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Jim Mason
2006-09-10 21:26:09 UTC
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AIR & BUSINESS TRAVEL NEWS

A WEEKLY NEWS REVIEW PUBLISHED EVERY MONDAY
PO Box 1315, Potters Bar, Herts EN6 1PU, United Kingdom
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In conjunction with The Times business travel on line
http://www.timesonline.co.uk/businesstravel

11 SEPTEMBER 2006

BREAKING NEWS is that European and US officials have failed to reach
an agreement to replace an agreement on sharing air passenger data.
The current arrangement is due to expire on September 30. Talks will
continue this week to head off any threat to travel disruption next
month or in the future. After September 11 2001, European airlines
supply US authorities with information on passengers entering the
United States including name, address, payment details and telephone
numbers. But earlier this year a European court ended the existing
deal on a legal technicality and gave the European Union and the US
until September 30 to replace it.

ABTA ? pop sensation lined up

ACCOR ? reorganisation and sell-offs

AIRBUS - A380 heads still rolling

BAE SYSTEMS ? selling out

BMI ? one down, two to go

BOEING ? corporate giant turns to former chief

CANJET ? can?t fly

EOS AIRLINES ? two bites at the Big Apple

EXETER INTERNATIONAL AIRPORT ? taking on protests

FLIGHT SUPPORT ? presence at Britain?s third largest airport

FLYBE ? flies in with new aircraft

HILTON ? no butts for smokers

HYATT ? no rest for the wicked

JET2.COM ? rocking the air(waves)

LONDON CITY AIRPORT ? record numbers

MITSUBUSHI ? unveils aircraft ambitions

MONARCH AIRLINES - mobiles off please

NORWEGIAN CRUISE LINE ? sailing bigger

P&O CRUISE ? spending big

VLM ? double Dutch

ON TOUR: Business Travel Show in Dusseldorf

INCIDENTALLY: Football gone mad


COMMENT: PR stunts and record numbers

If Ryanair had suffered huge losses, a major fall-off in passenger
numbers and had to fly empty aircraft last month, we might have more
sympathy for its £3 million claim against the Government.
As it is, the airline, along with British Airways and EasyJet, reports
increased numbers in August over last year and even claims it is the
first carrier to handle four million international passengers in a
month.
None of which gives much weight to its ambitious claim, which it says
are for losses and compensation due to the stringent security measures
put in place after the alleged terror plot to blow up transatlantic
aircraft. Coupled with the fact that Ryanair and Easyjet are now
making tidy sums as more people have to pay to put luggage in the hold
due to restrictions, then isn?t it about time the Irish airline
dropped its claim and got on with its business.
The claim will fail anyway, as the Government can not be seen to cave
in to a profitable business which just happens to not like well-meant
security measures.
It would also be nice for a change if Ryanair realised its impression
of caring more for money than safety was harmful, despite chief
Michael O?Leary?s bluster. And anyway, any money made from the claim
is destined for charity, so why doesn?t Ryanair just make more
donations to charity from its existing profits.
BA says the security crisis cost it £40 million in cancellations and
costs, but it is not joining the Ryanair claim
However, overall BA passenger numbers were still up in August compared
with last year, rising 1.5% to 3.15 million.
The £40m cost is equivalent to about a fifth of BA's pre-tax profits
for the April to June period of £195m.
Easyjet said it lost around £4 million after the alert, but passenger
numbers in August were up 8.4% on the same point last year.
The lesson in the month since the security crisis is that sometimes
you just have to get on with it. Adjust your business, reassure your
passengers and look to the future.
Crying foul, putting in claims and generally behaving like a spoilt
child smacks of a big old PR stunt for Ryanair.
And don?t get me started on that Winston Churchill nonsense. Does
O?Leary not know how the Irish view him?

__________________________________________________________________________

ABTA is set to welcome pop industry guru Pete Waterman to this year's
annual Convention, where he will speak on the parallels he sees
between the travel industry and the music industry. Waterman,
responsible for over 200 hit songs in 25 years by Kylie Minogue, Rick
Astley, Steps and more, will talk about how both industries need to
embrace the technical developments that are revolutionising the way
they do business. The event takes place in Marbella between November
27-29 and attempts to stimulate the business by giving agents,
operators and suppliers fresh ideas. http://www.abta.com

ACCOR?s board have approved an ?in-depth strategic review? conducted
by its executive committee, which will see the disposal of non-core
assets to concentrate on its hotels and services businesses. The
French chain will spend €500 million over the next five years on its
services business to enable it to acquire market share, ?potentially
driving an additional 5% growth per year? it said. The hotels division
will gain a new brand for non-standardised economy hotels in Europe,
which will be offered to independent franchisees beginning next year
in France. In the higher upscale segment, the Sofitel brand will be
repositioned, while in the midscale and economy sector Formule 1, Ibis
and Novotel will be relaunched with ?new innovation and design?. Accor
is also accelerating its programme of hotel sales, with a further 535
to be put on the market by 2008, raising about €3.2 billion.
http://www.accor.com

AIRBUS has replaced the head of the A380 programme in another move
designed to calm clients involved with the troubled project. Charles
Champion?s move comes just two months after a crisis over production
delays led to the resignation of the company's chief executive and the
co-head of parent EADS. Airbus said Champion had been replaced by
Mario Heinen, who was in charge of the A320-family jets. Champion will
continue as an advisor to the company. The change came as hundreds of
employees took part in test flights from Toulouse.
http://www.airbus.com

BAE SYSTEMS has agreed to sell its 20% stake in Airbus to EADS for
£1.87 billion. If shareholders agree to the deal, pan-European EADS,
which owns 80% of Airbus, will own the firm outright. The 13,000
Airbus workers in the UK, where aircraft wings are built, are not
thought to be affected by the deal. BAE can sell its 20% stake after a
2001 deal it signed with Franco-German EADS. http://www.baesystems.com

BOEING?s former chief of the commercial aircraft division has popped
up at another US giant with the announcement that Alan Mulally will
become chief executive at Ford. Mulally, who battled Airbus for years,
will work alongside Bill Ford, the great-grandson of the founder of
the car maker. The former Boeing man said his product knowledge
gleaned from the aircraft designer would hold him in good stead for
this new role. http://www.ford.com

BMI is breathing a sigh of relief as a threatened strike by pilots at
its low-cost carrier Bmibaby has been averted. This follows the
pilots' union reaching a deal on pay which members must now vote on.
The proposal reportedly includes a 2.4% pay rise and guidelines on
settling pay from next year. However, Bmi is still in talks with
pilots at its regional and long haul businesses over a similar
dispute. Action at Bmibaby would have hit flights from a number of
airports including Nottingham East Midlands and Cardiff. A strike at
BMI would affect services from Heathrow, Edinburgh, Manchester and
Belfast. http://www.flybmi.com

CANJET AIRLINES, a four-year-old company that tried to take business
from Canada's two big carriers, has grounded its scheduled service,
blaming high fuel costs, rising landing fees and stiff competition.
The move by CanJet, a unit of privately held IMP Group, leaves a gap
in domestic flight services, especially in Atlantic Canada, and
represents the latest in a series of failed attempts at establishing
major discount carriers. In the past decade, names such as Greyhound
Airlines, Canada 3000 and Jetsgo have come and gone. Halifax, Nova
Scotia-based CanJet, which has been flying to 14 Canadian and US
cities with a fleet of 10 Boeing 737-500 jets, said it will offer new
travel arrangements or refunds for anyone booked on its flights after
September 10. http://www.canjet.com

EOS has expanded its Stansted-New York service to a double daily
operation. The airline also reports strong forward bookings for
September flights and reservations running 62% higher than the
previous three month average. Eos now offers a choice of flights
departing twice daily, six days per week from Sunday to Friday. On
Saturdays, Eos will operate one flight from each city. Flights from
London depart at 10.40am and 7pm, arriving in New York at 1.25pm and
9:45pm. http://www.eosairlines.com

EXETER International Airport has received a useful ally in Flybe as it
battles to convince residents that its expansion plans are justified.
In a first for an airport and airline, the pair are urging business to
support and join SAFE (Sustainable Aviation For Exeter) to promote
people's right to choose to fly. The move follows a decision by
protestors to fight plans for airport expansion and more flights, many
by Flybe. The fight comes as owners Devon County Council are set to
announce their preferred bidder for the growing airport.
http://www.exeter-airport.co.uk

FLIGHT SUPPORT, the UK?s newest ground handling company, based on the
Isle of Man, has purchased Manchester Handling, giving it a presence
at Britain?s third largest airport. It has also won a new contract to
provide ground support to Scottish low cost carrier flyglobespan.com
at both Manchester and Liverpool John Lennon Airports, effective
November this year. On 2 November, Flyglobespan commences long haul
flights from Manchester to Cape Town and Toronto. From Liverpool
Airport it launches Prague and Tenerife. New York follows in May 2007.
Manchester Airport becomes the third base in the Flight Support
stable, taking its workforce at Isle of Man, Liverpool and Manchester,
to some 100-plus. www.flight-support.co.uk

FLYBE is to introduce the first of a $950 million fleet of new Embraer
195 aircraft on routes from Birmingham International Airport. The new
generation 118-seat aircraft will enter service on September 29, with
others being phased in throughout the year at all of the airline's
major bases, including Southampton, Belfast, Channel Islands,
Edinburgh and Glasgow. Flybe is launch customer for the E195 which
claims to use over 20% less fuel than the BAe 146 it is replacing in
the airline's fleet. The new aircraft also offers reduced noise
levels, claiming to be 35% quieter than the 146, while it releases
fewer emissions per passenger than any other similar sized aircraft,
according to Flybe. http://www.flybe.com

HILTON opens its first no smoking hotel later this month in
Manchester. The Hilton Deansgate forms part of the city?s historic
Beetham Tower and is close to the city centre. There is no lighting up
in any of the public spaces, and just a few rooms will accommodate
smokers. The hotel is designed in a stylish and modern style and aimed
at those visiting the city on business or leisure.
http://www.hilton.co.uk

HYATT Hotels & Resorts guests can now stay fit all day and all of the
night. The chains ***@Hyatt 24/7 gyms have begun opening across
the US and Caribbean. The gyms feature the latest high-tech cardio and
strength-training equipment, regularly scheduled exercise programs,
and support staff on-site. ***@Hyatt also offers guests in-room,
on-demand yoga videos. http://www.hyatt.com

JET2.COM is continuing the fine tradition of naming its aircraft after
famous people and celebrities. The latest honour goes to the queen of
the airwaves, BBC Radio One DJ Jo Whiley. For those unfamiliar with
her work, she plays bands with talent and follows in the footsteps of
radio legends like John Peel. Her aircraft will serve the carrier?s
Blackpool routes. http://www.jet2.com

LONDON City Airport reports its busiest August ever, with 184,000
passengers using the facility last month. The 20% rise on August 2005
numbers also coincides with the first summer of direct Docklands Light
Railway service to the airport. New routes to Milan, Stockholm,
Stuttgart and Newcastle have also been credited with boosting numbers
at the airport this year, and next month flights start to Madrid. The
rise in passengers comes as a reported shortlist of six bidders
emerged to buy the airport for as much as £700 million from owner
Dermot Desmond, who put it up for sale in May.
http://www.londoncityairport.com

MITSUBISHI Heavy Industries is beginning a $1 billion project to build
Japan?s first passenger jet with the short-haul MJ. Commercial
production of the small jet, dubbed the MJ jet for Mitsubishi Jet, is
due to start in April 2012. Mitsubishi Heavy said the firm plans to
set up a special purpose company as early as 2008 to finance the MJ
project and seek investment from the government, major banks and
trading companies to diversify financial risk. The MJ will come in
72-seat and 92-seat versions and is part of a larger effort by Japan
to develop aircraft that are more fuel efficient and make less noise.
http://www.mhi.co.jp

MONARCH has revealed that 67% of its passengers are against inflight
mobile phone use. In an online survey conducted by low-fares airline,
two-thirds of passengers claimed that using a mobile phone during a
flight and having to listen to other people's annoying ringtones would
be one of the most grating inflight experiences for them. More than
1,500 Monarch passengers responded to the survey, in which they were
asked to identify the three things that annoy them the most during a
flight. Top of the 'annoying things' table with 78% was the person
sitting behind them knocking their seat, with this being closely
followed by the person in front of them reclining their seat (69%).
Despite the use of mobile phones not being permitted on flights,
passengers clearly believe that their use would be a huge irritant and
voted it into third place (67%). http://www.flymonarch.com

NORWEGIAN CRUISE LINE is to launch two 4,900-passenger ships in a $2.8
billion deal. The order, which includes the possibility of a third
vessel, will see NCL step up competition against rivals Carnival and
Royal Caribbean in the race to deploy even larger cruise ships. The
first of the three $940 million, 150,000 gross ton, NCL ships is due
to be delivered by the end of 2009, with the second in 2010. The third
would enter service in 2011. The order, the largest in NCL's 40 year
history, will enable the line to introduce new on board features. All
1,415 outside cabins will have balconies but further details of the
ship design and features will not be made available until nearer the
first delivery date. http://www.ncl.com

P&O Cruises is to spend £3 million on an autumn marketing campaign.
The cruiseline is airing two new 50-second commercials until October 8
on mainstream terrestrial and satellite channels. The line has also
worked with Thomas Cook to create a variation of a 'brand' commercial,
which will also run nationally. A national press campaign includes
seven individual single page treatments, each offering an example of
the 'depth of experience' a cruise holiday offers, plus radio and
online activity. http://www.pocruises.com

VLM AIRLINES is increasing its flights from London City to Amsterdam
this month. The airline, which currently operates nine return flights
each weekday to the Dutch capital, will offer 12 flights each weekday
from September 18. VLM is also increasing its weekend services on the
route, offering a return flight each Saturday for the first time, and
adding a third return service every Sunday. The airline?s Amsterdam
service has grown considerably with passenger numbers for April ?
August 2006 up 131% from the same period the previous year. Over
51,000 passengers were carried on this route during the first eight
months of 2006. http://www.flyvlm.com

FORTHCOMING EVENTS THAT MIGHT BE OF INTEREST TO READERS:

EyeforTravel's annual Travel Distribution Technology 2006 Conference.
November 6-7 2006, Hilton Canary Wharf, London.

The event is in its 5th year and the 2006 agenda has just been
announced. It takes place on November 6-7 and has already been entered
into the diaries of senior e-commerce, marketing & IT executives. Last
year this event sold-out. The conference is being held at the new
Hilton at Canary Wharf in London's Docklands over the same dates the
nearby World Travel Market. To see a list of confirmed speakers to
date go to: http://www.eyefortravel.com


The ORBIS Flying Eye Hospital will be a special visitor at Dubai
International Airport during 17-19 September, coinciding with Routes,
the 12th Route Development Forum. The Flying Eye Hospital Team and
ORBIS Executive Director Pamela Williams Jones are offering delegates
and media the opportunity to view the specially adapted DC-10,
featuring a state-of-the-art teaching facility; a clinic for laser
treatment and an operating theatre where doctors in the developing
world receive hands-on surgical training from volunteer surgeons.
ORBIS is using the Routes showcase to present its inaugural Award for
Commitment to Corporate Social Responsibility. This will be presented
on the gala evening of Monday, 18 September to the airline or airport
which has demonstrated the most outstanding and innovative commitment
to supporting charities. Short listed candidates are Cathay Pacific,
Sri Lankan Airlines, British Airways and Athens International Airport.
www.routesonline.com

_________________________________________________________________________

ON TOUR: Business Travel Show in Dusseldorf

Quality, not quantity, was the consensus of opinion among exhibitors
and participants attending the second Business Travel Show in
Dusseldorf, held at the city?s Messe during 7-9 September. The Centaur
Exhibitions-backed show, which complements the show in London?s Earl
Court, saw some 11% more visitors than the previous year, with an
increasing number of visitors from Switzerland, the Benelux and
Denmark. The 100-plus exhibitors, which included Ethiad Airways,
Emirates, Cathay Pacific, British Airways, Jet2.com, Virgin and
Germanwings, had a steady flow of interest. Air Berlin had a strong
presence, hard on the heels of its new status as Europe?s third
largest low cost airline. The DBA brand, prominent in domestic
Germany, especially at Munich and Dusseldorf, will become Air Berlin,
?powered by DBA.? One of the industry?s regional airline founding
fathers, Gus Boots, founder of Air Bremen, was among the visitors
promoting his travel agency First Travel mbb Reisen. He works with Tui
and the majority of Germany?s airlines and like many observers,
expects Air Berlin to become a major force on the European scene.
Luxair took the opportunity on its stand it promote its new fleet
type. Three Bombardier Q400s join the fleet from April next year and
they will be deployed on Luxair?s flights to Frankfurt, Saarbruchen
and Munich. Ethiad was promoting its new frequent flyer programme,
Guest, launched just last week. Executive jet operator Triple Alpha,
returning to the show, highlighted a strong growth in demand in
corporate aviation. It has doubled its Citation II and V fleet from
four to eight aircraft and from February 2007, gets it first
Challenger 300 to manage. It was at the show to network with the
prestigious hotel groups exhibiting, looking to cater for demand for
ski and spa breaks. No word on the status of Dusseldorf
Monchengladbach Airport, which has been closed to scheduled services
for several years now. The last service was by European Air Express
which moved its regional services, together with Lufthansa Regional,
both carriers refusing to accept an unprecedented proposal from owners
Dusseldorf International, to ban on aircraft with less than 50-seats.
Subsequently there are plans to expand the 1,200 nm runway and build a
new passenger terminal in a bid to attract regular flights again. Also
absent was Dusseldorf Weeze Airport, formerly Niederein, served by
Ryanair and Sky Airlines. Highlight of the event was the after show
party at Dusseldorf International Airport, with themed food and drink
from sponsors China, Australia, the southern states of the USA, Delta,
Emirates and DER Travel Solutions. The London Business Travel Show
will take place on 13-15 February at Earl?s Court.
www.businesstravelshow.de


INCIDENTIALLY: No just football anymore
If you thought football was just 22 men running around kicking a ball,
scoring some goals and getting sent off, then think again. Manchester
United, who else apart from the Johnny-come-latelys at Stamford
Bridge, are set to launch an 800-page celebration book with the help
of Qatar Airways. The airline has teamed up with United for the Middle
East launch of the ultimate collection of memorabilia. The Manchester
United Opus is a grand 800-page book, weighing 35kg! Qatar will fly
famous names from the club like Sir Bobby Charlton, Denis Law and Eric
Cantona, together with Formula One supremo Bernie Ecclestone, model
Caprice, former England football manager Sven Goran Eriksson and
Indian Test cricketer Sachin Tendulkar to Dubai for the launch. Oh,
and celeb chef Gary Rhodes is doing the food?
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Jim Mason
2006-09-10 21:30:08 UTC
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Post by Jim Mason
AIR & BUSINESS TRAVEL NEWS
If Ryanair had suffered huge losses, a major fall-off in passenger
numbers and had to fly empty aircraft last month, we might have more
sympathy for its £3 million claim against the Government.
As it is, the airline, along with British Airways and EasyJet, reports
increased numbers in August over last year and even claims it is the
first carrier to handle four million international passengers in a
month.
None of which gives much weight to its ambitious claim
A very good point which has gone largely un-noticed.

Jim
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