American Airlines to Impose USD 2.00 Booking Fee
Per Segment on Canadian Galileo Users
ARTA Canada and ARTA to Meet with AA on 08 December 2010
Toronto, 18 November 2010: Canada's Association of Retail Travel Agents (ARTA Canada) advised today that American Airlines has announced a booking fee for non-U.S., non-Caribbean users of various Travelport GDS services.
For Canada, and based on the information we have been able to determine at the current time (subject to change and or additional confirmation), the fee per segment applies to all AA and AA Eagle marketed segments (presumably segments with an AA code irrespective of operating or ticketing carrier) when booked and not cancelled as of 20 December 2010 via Galileo only (in Canada). Worldspan seems not to be affected in the Canadian market.
The fee is USD 2.00 per segment (CAD 2.04 for reference and processing) but will be billed via BSP Canada ADM. It is based on a booking made by a Canadian point-of-sale user of Galileo irrespective of place of travel origin.
"American Airlines advises that the fee is being imposed because Travelport, the owner of Worldspan and Galileo, has sharply increased the fees which AA must pay for booking services. AA further advises that the surcharge on agents is to recover the added costs AA must pay to Travelport. This is precisely the tug-of-war between airlines and GDSs which frustrates agents, increases their costs, and eventually impacts fees recovered from consumers. We've been down this road before with airlines, and perhaps the time has come for the industry to seriously consider a neutral, industry-owned GDS based on the best-of-breed XML platforms out there; something I've been advocating for 15 years!", said ARTA Canada President Bruce Bishins, CTC.
ARTA Canada and ARTA are scheduled to meet with American Airlines on Wednesday, 08 December 2010 to discuss various matters regarding AA's distribution plans.
About ARTA Canada
ARTA Canada is the largest non-profit federally incorporated professional association of travel retailers in Canada, the members of which consist exclusively of travel agencies and travel agents. In addition to advocating fair and equitable treatment of travel consumers, ARTA Canada represents the commercial and strategic interests of its member travel agencies and travel agents in a variety of national and provincial domains including regulatory and legislative matters, automation, technology, sales and marketing, and distribution.
ARTA Canada is the strategic partner in Canada of the U.S.-based Association of Retail Travel Agents (ARTA). ARTA Canada is the Canadian member of UFTAA, the United Federation of Travel Agents' Associations. For complete details about ARTA Canada's new $99 membership campaign or to join ARTA Canada, including secure payment on our web site, please visit www.artacanada.ca/join.