Inside Track - 1998-09-14
<B> Inside Track</B>
<B>Air Canada, Northwest Strikes to End</B>
Leaders of Northwest Airlines' pilots union met on Saturday to vote on a proposed contract settlement ironed out during mid-week. According to a Northwest spokesperson, however, it could take up to 10 or 12 days for the airline to achieve full operations. Also over the weekend, Air Canada's pilots were voting on a tentative contract that, if approved, would put the airline back in the air early this week.
Meanwhile, the National Business Travel Association found in a survey of 300 corporate travel managers that 77 percent had anticipated the Northwest strike and rebooked on other airlines, and over 65 percent of those may move their business permanently to other carriers. The survey, conducted Sept. 2-4, also found that 22 percent of travel managers are using low fare, niche or new entrant carriers as an alternative, and 58 percent have not experienced a problem rebooking travel.
<a name="story2"><B>Star Alliance Tests Tech System</B>
The Star Alliance is developing with Unisys a system to translate messages carrying information on reservations, seat assignments, boarding passes and loyalty programs into each carrier's unique host system language. The system, called Starnet, now is in the testing phase and is expected to be rolled out in 35 locations worldwide by year-end and fully completed within five or six months.
Starnet is expected to better integrate the alliance's passenger services at the airport, a key issue for travel managers and travelers (<I>BTN,</I> April 27). Eventually, it could be used to streamline the alliance's corporate data collection. "In the corporate arena, the Star Alliance airlines don't collect data in the same way," said Joe Laughlin, United's director of business markets. "And because Starnet can collect data on anything related to passenger name records, the system could really be helpful in understanding corporate agreements."
<a name="story3"><B>Marriott To Add Tenth Brand</B>
Marriott International will launch a new brand at its Lodging Owner Conference in Palm Springs, Calif., on Nov. 5. Marriott already owns nine brands, ranging from full-service hotels to extended stay facilities. The company would not reveal details on the newest brand.
<a name="story4"><B>Patriot Mulls Sale of Interstate Hotels</B>
Patriot American Hospitality expects to announce its new structure within the next two weeks. Both Host Marriott and Paine Webber are rumored to be interested in purchasing Interstate Hotels Corp., which insiders expect to be spun off or sold as part of the restructuring. Both companies declined to comment.
<a name="story5"><B>Carlson Wagonlit Makes Atlanta Move</B>
Carlson Wagonlit Travel confirmed it is moving its international headquarters from Ft. Lauderdale to Atlanta, citing Atlanta's growing role as a technology and operations center for the company. CWT just moved to Ft. Lauderdale less than a year ago, though in 1996, BTN reported that it planned to establish its international headquarters in Atlanta.
<a name="story6"><B>Shakeup At AMR Leaves Sales Opening</B>
American Airlines does not yet have a replacement for vice president of passenger sales Peter Bowler, who has been in the position for nearly two years (<I>BTN,</I> Sept. 15, 1997) and now will take over for Dan Garton as president of American Eagle. Among other changes announced, Garton was named AA's senior vice president of customer services, a new position that reports directly to CEO Don Carty.
<a name="story7"><B>Cendant Names Pfeffer CEO</B>
Eric Pfeffer last week replaced John Russell as chairman and CEO of hotel operations at Cendant Corp., after Russell assumed the new position of vice chairman of the travel division and president and CEO of the time-share unit.