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SUMMIT TRAVEL GROUP ETHAN ALLEN TRAVEL
MERIDIAN WORLD TRAVEL
MAY 2005 VOL 3. NO. 5 (800) 338-1308

ETHAN ALLEN TRAVEL & MERIDIAN WORLD TRAVEL Join Forces!

Global Air Traffic Up

International air passenger traffic rose 9.4% year-on-year in the first quarter of 2005, but high fuel prices are robbing the industry of profits, per the International Air Transport Association. Average passenger loadings amounted to 73.7% of capacity, while freight traffic grew 4.2% during the period, the Geneva-based organization said. Figures were slightly distorted as the quarter included the Easter holiday this year but not in 2004, it said. But IATA said airlines still remained a "long way from profitability", while fuel — accounting for 20% of operating cost — was in the range of $50 per barrel. (Source: USA Today)

Third Chicago Airport Proposed

Illinois gave federal aviation officials its blueprint for a small commercial airport in the far south suburbs of Chicago, the most formal step yet toward development of a third Chicago-area airport that has been debated for decades. The plan calls for a single-runway, five-gate airport on 4,200 acres of farmland near Peotone, a small town 40 miles south of downtown Chicago. State officials say the airport could later grow to four parallel runways and 12 gates. Some federal and state officials have said a third airport is needed in the Chicago area to help alleviate congestion at O’Hare International Airport, whose delays can snarl traffic nationwide. However, several regulatory hurdles still must be cleared with the Federal Aviation Administration before construction near Peotone could begin. (Source: USA Today)

Thumbs Down on Cell Phones Aloft

Most air travelers want to keep cell phone restrictions in place on planes, according to a survey sponsored by the Association of Flight Attendants-CWA and the National Consumers League. Sixty-three percent of participants want to keep phones in place while just 21% said it’s time to let people talk on phones during flights. Seventy-eight percent agreed that cell phone use in the already tense, close quarters of a plane could lead to increased passenger unruliness and interfere with flight attendants’ ability to maintain order. Seventy-eight percent believed that cell phones might distract passengers from hearing life-saving instructions in an emergency. Eighty-seven percent were alarmed when informed that pilots have reported many cases of problems with navigational equipment possibly caused by cell phones or other electronic devices turned on in flight. And 84% agreed that it is too soon to lift the ban while the Federal Aviation Administration is still studying whether cell phones interfere with aircraft systems. Currently, the Federal Communications Commission is moving ahead with a rule-making process aimed at lifting its ban on cell phones and other electronic devices in the air. (Source: Association of Flight Attendants/National Consumers League press release).

Consumers Cranky About Carry-on, Waiting Lines

Air travelers are concerned about the amount of carry-on luggage aboard airlines today, according to a CNN/USA Today/Gallup poll. The amount of carry-on baggage irritated 58% of those surveyed; 23% say the amount of baggage passengers bring on board is a major problem, greater than long lines, seat comfort and food and beverage service. Sixty-one percent see long lines as a problem, 21% see lines as a major problem, 40% consider it a minor one. Getting comfortable in flight is a problem for 58% of passengers; it’s a major problem for 18% of them. Fifty percent consider food and beverage service a problem, 15% considered it a major problem. Twenty-nine percent of those polled believe air service could be improved without raising ticket prices significantly; 61% said air travel is about as good as can be expected. (Source: USA Today).



Plaza Hotel to Be Back

The Plaza Hotel will close for an 18-month renovation. Original plans had called for re-opening with just 150 hotel rooms and a shopping mall in space now occupied by some of its most famous restaurants. Following a battle between the hotel’s workers and the developer, it will open with 350 hotel rooms, and the Palm Court, Oak Bar and Oak Room will remain intact. The hotel also promises to save a suite for its most famous resident, the fictional six-year-old Eloise. (Source: BizTravelLife)

Business Travelers Explore In-Room Workout Option

A recent study by the Travel Industry Association of America and the National Business Travel Association showed hotel fitness centers were used at least sometimes by 43% of business travelers. For younger business travelers, the figure was even higher. Gyms have been a standard at full-service hotels for more than two decades. Even some limited-service chains have incorporated cardio equipment into their properties. But not all guests want to go to the hotel gym, where they might have to wait to use a machine or could run into business acquaintances in the unprofessional setting. Now, several major hotel companies are offering ways for guests to work out in the privacy of their guest room -- even if they forgot to bring the right gear. For example, Hilton recently launched in-room mini-gyms through a partnership with Bally Total Fitness. The "fit kit" includes a yoga mat, elastic bands, resistance tubing, hand weights and basic conditioning instructions. As part of the agreement, the hotel can also help coordinate a session with a Bally's trainer. (Source: The Charlotte Observer)



Rental Companies Crack Down on Damages

In the past, car rental companies were willing to overlook minor damage to their vehicles, particularly when evidence of the renter’s responsibility was flimsy. Not any more. The industry, slow to recover from the travel slump that began after 9/11, now appears bent on pursuing even the smallest cases. Independent business travelers who lack the liability insurance protection that corporations negotiate for employees are most vulnerable to the new bill-collecting mentality. They have nowhere to turn except to their credit card companies or car insurers, who have become increasingly reluctant to cover all damages. As a result, they are often left holding the bill. If they contest it, they may face further fees. Car rental experts say that a majority of the corporate travelers who receive a demand from a claims-management company should either submit a claim to their insurance carrier, or more frequently, pay for the damage rather than risk a protracted dispute. (Source: The New York Times)

Business Traveler Spending and Attitudes

A new report from the Travel Industry Association and the National Business Travel Association finds that nearly one third of all travel dollars are spent on business travel. A majority (57%) are men; four in ten (43%) are women. Their average age is 47; 45% are Baby Boomers. Sixty-two percent add a leisure component to at least one business trip a year. The most popular services on business trip are in-room Internet access (45% of business travelers use such services) and hotel fitness centers (43%). Those under 55 are more likely to use those services than older business travelers.

Distance is playing a greater role in the decision of whether or not to fly. Over 60% say they are more likely to drive on a trip of 300 miles or less rather than fly. A majority (60%) say they like to travel; that increases to 69% among frequent business travelers. Still, many think some travel conditions have gotten worse in the past 12 months. Nearly half say that wait times in security lines have gotten worse and more than a third think flight delays and/or in-flight service have gotten worse.

Summit Travel Group is committed to providing you with useful information on the latest developments in the travel industry. The preceding information has been compiled from a variety of sources and is updated monthly.

www.summittravelgroup.com | www.ethanallen.net | www.meridianworldtravel.com

 

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