Amex increasing Cardholder Delinquency Rates
American Express is notifying its corporate cardholders that as of May 1 it will begin assessing a delinquency fee on outstanding totals of $35 or higher that are 60 days or more past due and remain unpaid for one billing period. The new fee will cost cardholders 2.75 percent or $29, whichever is greater. Also May 1, the company will begin suspending cards and charging a $25 administrative suspension fee to accounts that are 90 days past due. The changes were intended to bring the structure more in line with competitors and to control overall delinquency rates, said Amex spokesperson Melissa Abernathy.
More Immunity For airline alliances?
The U.S. Department of Transportation last week approved antitrust immunity for Star Alliance partners United Airlines and BMI British Midland, subject to U.S. and U.K. regulators hammering out an Open Skies aviation agreement within six months. The two sides have been working on such a pact for years. United/BMI immunity was first approved in January as part of a decision to approve American Airlines/British Airways immunity if the carriers agreed to certain conditions. AA and BA refused and withdrew their immunity request. DOT granted the withdrawal last week. Meanwhile, AA and Oneworld alliance partner Finnair last week submitted a request for their own antitrust immunity. Noting no overlap between their operations, AA cited Finnair's "strong route network in northern Europe and beyond into Russia and the major cities of the Baltic region."
Delta To Triple Checkin Kiosk Deployment
Eyeing streamlined airport processes, Delta Air Lines by year-end expects to install an additional 300 self-service checkin kiosks at 80 airports across the country. Delta currently offers the devices at 30 airport locations. Expanded functionality will enable e-ticketed passengers—not just frequent flyers—to check in for domestic flights, check baggage, print boarding passes, select or change seats, request upgrades, change flights and initiate multi-party checkin. Delta said it will be "an industry leader in kiosk checkin technology by the end of the year," though such carriers as Continental, Northwest and United airlines thus far have deployed more self-service checkin kiosks.
Web Rates Raise Questions For Buyers
Pegasus Solutions last week finalized its contract with Hotel Distribution System, the new venture with five major hotel companies—Hilton Hotels Corp., Hyatt Hotels, Marriott International, Six Continents and Starwood Hotels & Resorts Worldwide—to provide technology support to HDS' Internet distribution platform. HDS, which will sell discount hotel rooms, expected to go live in the next few months. What remains unclear at present is whether buyers will be able to get credit for travelers' stays toward volume projections they had made to the hotel companies.