Inside Track: New ALPA President Vows Tough Stance With Carriers
New ALPA President Vows Tough Stance With Carriers
The Air Line Pilots Association last week voted to appoint Capt. John Prater of Continental Airlines to serve as the union's president, beating out current president Duane Woerth of Northwest Airlines by a narrow margin. Promising the union a "return to its roots of aggressive bargaining, strict contract enforcement, tenacious organizing and pilot action to restore our contracts and our profession," Prater said he would take a tougher stance against wage- and pension-cutting carriers. Prater in a statement said, "After five years of concessionary bargaining, lost pensions and battered work rules, our pilots are primed to take offensive action. This may mean a return to the hard-nosed tactics of earlier years and a grass-roots mobilization of each and every one of our members."
American Signs Temporary Content Pact With Amadeus
Amadeus and American Airlines last week announced a short-term mutual distribution agreement as the global distribution system and carrier work toward a long-term pact. Through the deal—which mirrors stopgap pacts with Continental Airlines, Delta Air Lines and Northwest Airlines—Amadeus subscribers gain immunity from American's imposition of $3.50 per-ticket surcharges and access to "full content" through November. Amadeus said the agreement is retroactive to Sept. 1, the day new distribution economics entered the marketplace. Amadeus is the only major global distribution system that has yet to structure new long-term content contracts with all the major U.S. hub-and-spoke airlines, but this summer signed a "long-term" content agreement with US Airways, representing its first distribution pact with a major U.S. carrier since GDS deregulation. Amadeus also has an ongoing agreement with United Airlines for access to full content through December.
Worldspan Signs JetBlue
JetBlue Airways and Worldspan last week enacted a five-year "full content" agreement, through which the carrier distributes all published fares and inventory through the global distribution system. After more than a year of nonparticipation, JetBlue in August returned to GDSs with the announcement of new five-year, full-content agreements with both Sabre and Galileo. JetBlue senior vice president of sales and marketing Tim Claydon last month told BTN the carrier was in discussions with other distribution channels amid increasingly favorable airline economics being offered by the GDSs. JetBlue early last year weaned itself off GDS dependence when it left Sabre in favor of direct channels. JetBlue in January 2000 began listing in Sabre, Galileo and Worldspan, one month before launching its first scheduled flight. Since that time, the airline reduced its GDS visibility by exiting Worldspan in November 2001 and Galileo in April 2002.
Marriott Focuses On Global Growth
Marriott International last week detailed its growth plan to add 85,000 to 100,000 hotel rooms worldwide within the next three years. Overall, this plan represents a 5 percent to 6 percent compound growth annually, and the growth will focus strongly on international properties. Marriott expects to add more than 30,000 new hotel rooms outside of North America by 2009, which would be an increase of more than 30 percent. Additionally, as much as 60 percent of additions to Marriott's full-service brands will come outside of the United States and Canada. With this plan, Marriott expects to increase its marketshare outside of the United States, which it currently reports at less than 1 percent.
Starwood Launches 'Green' Luxury Brand
Starwood Capital Group last week announced the creation of a new luxury hotel brand designed to conform with environmentally friendly standards, and the company aims to have 15 hotels signed or under construction within the next two years. The brand, "1" Hotel and Residences, will begin with four new properties in the United States. Starwood Capital plans the first opening in Seattle in 2008, and others will follow in Mammoth Mountain, Calif.; Scottsdale, Ariz.; and Fort Lauderdale, Fla. In addition, Starwood Capital is renovating a historic property in Paris for the brand, and it also is targeting major urban markets including New York, Los Angeles and Washington, D.C. The Natural Resources Defense Council will advise Starwood Capital to help minimize the impact of "1" on the environment.
MPI Names Toronto CVB's MacMillan New CEO
Meeting Professionals International this month said Bruce MacMillan, president and CEO of Tourism Toronto, would become its new president and CEO in December, ending a seven-month search. Former CEO Colin Rorrie abruptly departed in March, and MPI hinted at structural changes that would bring a more corporate-style management to the association.