AA To Attendants: Corp. Travelers Expect Better ServiceAmerican Airlines is seeking to improve the perception of inflight service provided by flight attendants following criticisms from some of the carrier's Northeast corporate clients. In an internal memo to flight attendants based in Boston, Washington and the New York area, AA Northeast regional managing director John Tiliacos discussed "eye-opening feedback" from corporate accounts regarding poor inflight service. "What is particularly alarming about this feedback is that the key individuals at these corporations that are responsible for choosing the carrier their company's employees will use are being pressured by their employees to seek an alternate carrier to do business with instead of American," Tiliacos wrote. "These are corporate accounts that are worth millions of dollars in revenue to American, which we quite frankly cannot afford to lose to a competitor." An AA spokesperson confirmed the contents of the memo and said that the airline "can always do better in this competitive business."
AWA To Cancel Corporate Incentive ProgramAmerica West Airlines on May 1 will discontinue the Corporate AWArds discount program, which has been providing 5 percent savings on all fares purchased by enrolled companies, with no performance hurdles. An airline spokesperson said, "The program didn't garner the benefit we needed for it to continue." Corporate AWArds became a less relevant tool for the carrier upon its transition to a low-fare operation beginning in 2002. The program was first introduced in mid-2001.
TRX Sees Recovery In First Quarter NumbersAtlanta-based TRX last week announced first-quarter transaction processing records for each of its five solutions: booking, pre-ticketing, post-ticketing, information management and customer care. Based on the three months ending in March, TRX said it expects this year to manage more than 82 million data records and to process and fulfill more than 93 million travel transactions worth $35 billion in air sales. "The record volumes in 2004 indicate robust travel industry recovery in both corporate and leisure travel in the U.S. and Europe," said president and CEO Trip Davis. Among other data shared by the company, TRX said its ResX online self-booking tool made 440,000 reservations in the first quarter, up 79 percent year over year. TRX in March 2001 cited weak market conditions in shelving plans for an initial public offering. Later that year, TRX accepted a $15 million investment by Sabre Holdings
(BTNonline, Sept. 5, 2003), but BCD N.V. remains its majority owner. Davis last fall said "We definitely have an IPO as one option for TRX in the next few years," depending on growth and market conditions. TRX has roughly 1,600 employees in 11 U.S. and European offices.
Bankruptcy Court Grants Air Canada An ExtensionDays after losing a key investor and its chief restructuring officer, Air Canada this month was given more time to restructure under bankruptcy court supervision. The stay period now expires May 21, allowing the company "to develop a process for soliciting new equity or other post-emergence financing." Air Canada is seeking to replace Trinity Time Investments, which said it would not commit to Air Canada beyond April 30. Unless extended, financing packages from General Electric and Deutsche Bank also expire at the end of the month. The carrier insisted it was running business as usual. Air Canada partner United Airlines also recently was given more time for its restructuring efforts
(BTN, March 29).Nonstop North America-Middle East Flights To LaunchClaiming an industry first, Emirates Airlines on June 1 will initiate nonstop service between New York JFK and Dubai, United Arab Emirates. Service aboard Airbus A340-500 aircraft will feature the carrier's new First Class Suite and business and economy classes. Emirates soon plans to announce flights between other destinations in the Americas and Dubai, which "ranks among the world's fastest-growing commercial hubs
(BTN, Sept. 8, 2003)."ACTE To Issue Positions, Research Results In OrlandoThe Association of Corporate Travel Executives this week at its annual conference in Orlando will level criticism at Pittsburgh International Airport's proposed security changes and the International Air Transport Association's regulations. ACTE has said IATA licenses and change fees cost the industry E2 billion in Europe. Meanwhile, ACTE will unveil responses from 1,000 U.S. business travelers regarding the registered traveler program and from European business travel executives on U.S. imposed data privacy rules.