February 24, 2005
NEWS HEADLINES

US Airways In Restructuring Deal
2/20/05 - US Airways has reached a USD$125 million deal with an investor group to fund its restructuring under bankruptcy protection.

Continental, Air France To Launch Codeshare Flights This Weekend
2/22/05 -- Continental Airlines and SkyTeam partner Air France on Saturday will begin sharing codes on flights from their respective hubs on each side of the Atlantic to 33 U.S. and European destinations. The two carriers will have come full circle since ending a codeshare pact nearly three years ago.

Effective Feb. 26, Continental will place its code on Air France flights between Paris Charles de Gaulle airport and 12 European and Middle Eastern destinations, including Dubai, Lyon, Marseille, Nice, Toulouse and Vienna. In exchange, Air France will place its code on Continental flights from hubs in Houston and Newark to 21 U.S. cities. The two carriers already offer reciprocal frequent flyer programs and airport lounge access and expect to add more codeshare flights in the coming months.

Disruptions as a result of snow in Europe, 23-25 February 2005 -- Due to anticipated further snow-fall within the UK and Europe, a number of flights are disrupted due to expected bad weather. Customers due to travel on any route within the next five days, and certainly over the period 23-25 February 2005, are strongly recommended to check the status of their flight using our online real-time arrivals and departure system. To access this information, please click here.

ALSO IN THE NEWS . . .

Airlines

Hotels

Car/Rail

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AIR

United Airlines Further Expands Asia Service (2/23/05) -- United announced today that it will offer new service between Nagoya, Japan, and Taipei, Taiwan; increased service on its existing route between Chicago and Hong Kong; and a larger aircraft on its Chicago-Beijing summer service.

AirTran to compete with US Airways in Charlotte, N.C. (02/18/2005) -- Discount carrier AirTran will begin flying from Charlotte-Douglas International Airport to Atlanta and Baltimore later this year, sources said Wednesday.

American Airlines and Mexicana Airlines Launch Interline Electronic Ticketing -- American Airlines and Mexicana Airlines have launched interline electronic ticketing. Customers can use a single electronic ticket (e-ticket) when their itineraries include travel on American and Mexicana. The airlines began offering codeshare flights between Mexico and the United States last May, providing American Airlines customers with access to 30 destinations with Mexicana in the Mexican Republic. Passengers that fly with Mexicana can reach 51 cities in the United States.

American Eagle Adds Service Between Nashville and Washington-Reagan -- American Eagle, the regional affiliate of American Airlines, will add nonstop service between Nashville International Airport and Ronald Reagan Washington National Airport. Beginning May 1, American Eagle will operate three round-trip flights each day between the two cities with its 37-seat ERJ-135 jet.

American offers great low ski sales fares -- American is offering great low fares for travel through early April from select U.S. cities to several popular ski destinations in Colorado, Nevada, Utah, Wyoming and Canada. In no time at all, you can be racing down the mountain at your favorite ski resort or sitting by a relaxing fire -- you choose the activity -- while American provides the affordable fares and convenient flights.

American Announces Great Low Fares for Winter and Spring Travel to the Caribbean (2/22/05) -- American is offering great low fares for travel now through mid-June from select U.S. cities to select points throughout the Caribbean, including Puerto Rico and the U.S. Virgin Islands. With American's extensive service to the region -- no airline has more -- you'll soon be soaking up the sun, seeing the sights, or scoping out the shopping. And with American's great low fares, you'll be saving substantially, too.

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American looks forward to introducing strong new competition in U.S.-China market -- American Airlines will begin nonstop service from Chicago O'Hare International Airport to Shanghai, China, on April 2, 2006, subject to government approval. The announcement follows the tentative decision by the U.S. Department of Transportation to grant American the authority to fly to China from the United States. American will become the fourth U.S. passenger carrier to do so.

ATA lays off hundreds -- Discount carrier ATA is laying off more than 300 workers as it pushes through bankruptcy reorganization. ATA is letting go of 133 ticket agents, 19 mechanics and 115 ramp agents in Indianapolis, where the carrier scrapped plans for a major hub, dropping from its current total of 40 daily flights to just four. Another 72 South Bend, Ind.-based workers will also lose their jobs as ATA trims its Chicago Express regional unit.

British Airways suspended some services from Manchester to Oslo & Rome -- British Airways CitiExpress Limited has announced the suspension of a service from Manchester to Oslo for the Summer 2005 schedule, effective 28 March 2005. The BA7903 Manchester to Oslo service and the BA7904 Oslo to Manchester service have been suspended for Summer 2005 season onwards.

Continental Airlines Receives Tentative Approval to Operate Flights to China (2/22/05) -- Continental Airlines has received tentative approval from the U.S. Department of Transportation (DOT) to initiate service to Beijing in the People's Republic of China from its hub at New York/Newark Liberty International Airport.

Delta Offers Customers More Reasons to Visit NC This Spring: Low Fares and New Destinations (2/23/05)-- Delta customers now have more reasons than scenic mountains and rolling coastal plains to visit North Carolina this spring. Add low fares and new flights to new destinations.

Independence Air gets boost after parent restructures finances (2/23/05) -- FLYi, parent of Independence Air, said it completed its financial restructuring, which it said will provide the company with "greater financial flexibility to execute its low-fare business plan."

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JetBlue Nonstop Service Between Portland and JFK -- JetBlue Airways will introduce new daily service to Portland, OR from New York's John F. Kennedy International airport starting May 17, 2005, and add a second daily nonstop between Seattle and JFK commencing June 17.

Northwest Applies For New Authority To Fly To India (2/21/05) -- Northwest Airlines has filed a request with the U.S. Department of Transportation for broad authority to serve India. As its first priority, the airline intends to pursue service from Minneapolis/St. Paul International Airport to Bangalore (via Amsterdam) beginning in October, subject to government approval.

Northwest Ties for World's Oldest Fleet (2/23/05) -- According to the Associated Press, Northwest Airlines ties with Aerolineas Argentinas for the world's oldest average age of its fleet among major airlines. The report says that this is driven largely by the number of DC9s the carrier continues to own, some of which were flying when LBJ was president. Because Northwest owns much of the old equipment outright, continuing to operate it has help manage costs in difficult economic times.

Northwest To Fly Grand Rapids – Washington D.C. Nonstop (2/10/05) -- Northwest Airlines will begin offering the only daily nonstop service between Grand Rapids’ Gerald R. Ford International Airport and Ronald Reagan Washington National Airport, beginning May 2, 2005.

Northwest Airlines’ Nagoya, Japan Flights Now Operating From New “Centrair” Airport (2/18/05) – Northwest Airlines today announced that its flights to and from Nagoya are now operating from the new Central Japan International Airport, known as “Centrair.”

Texas tiff: American-Southwest battle heating up (2/23/05) -- A new round of rhetoric is flying in the feud between American Airlines and Southwest. Executives at Southwest tell the Fort Worth Star-Telegram American is using "scare tactics" to try to sway public sentiment over the Wright Amendment, which restricts long-distance flights at Southwest's home airport of Love Field. Southwest — along with lawmakers from states that would like direct service to Love Field — have been pushing to overturn the amendment. Enacted in 1979 to protect then-new Dallas/Fort Worth (DFW) International Airport, the Wright Amendment was meant to shackle long-distance flights at Love in an effort to persuade airlines to move to the new DFW. Southwest balked, preferring to stay at the smaller, close-to-downtown Love Field, which the airline says better suits its business model, according to the Chicago Tribune. So what are the "scare tactics" Southwest is talking about? American Airlines told The Associated Press last week it will consider building a full-fledged hub at Love Field if the Wright Amendment is repealed — even though doing so would likely harm both AA and DFW. "Were the Wright Amendment to be repealed, we would have to build an operation at Love Field because that's where the customers are going to want to go," Arpey said. Southwest spokesman Ed Steward said such a move would be "ridiculous and unrealistic." Posted at 7:25 a.m. ET

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CAR/RAIL

Amtrak & Pennsylvania Plan Major Track Upgrades Between Lancaster & Philadelphiatle -- Amtrak and the Pennsylvania Department of Transportation will begin the next phase of major track improvements on the Harrisburg - Philadelphia Keystone Corridor this spring. Consequently, train schedules will be adjusted beginning March 7 between Lancaster and Philadelphia.

Hertz to Offer High-Speed Internet Access at Airport Locations Nationwide -- The Hertz Corporation to introduce wireless, high-speed internet access in more than 50 major airport locations nationwide during the first quarter of 2005. In a preliminary agreement with Wayport, one of the world's largest providers of Wi-Fi wireless and high-speed internet access, customers at certain Hertz airport locations will be able to connect to the internet from inside the Hertz facility as well as from the #1 Club Gold rental area. Locations to receive the service include major airports in California, Florida, Texas, New York, Illinois and Pennsylvania.

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HOTELS

Some hotels best their own best deal -- Best-rate guarantees have all but convinced travelers the only place to look for the cheapest rate is on a hotel's Web site. But beware of this sneaky player.

Hotels busy for the next few years (2/23/05) -- U.S. hotel companies will be booking, cooking and smoking-hot for the next few years, as a stronger economy and an uptick in business customers drive more travelers into hotel rooms, pushing room rates higher.

U.S. city hotels hit by labor strife (2/23/05) -- Protracted hotel labor disputes in San Francisco and Los Angeles could be a preview of troubles for other chains nationwide as unions grow more determined and organized in pressing wage and benefit demands.

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OTHER INDUSTRY RELATED NEWS

United Pilots Prevail, Judge Orders Management to Continue Pension Payments (2/18/05) -- U.S. Bankruptcy Court Judge Eugene Wedoff granted an Air Line Pilots Association motion compelling United Airlines to continue to pay pilot "non-qualified" pension benefits, which represent benefits based on pilot compensation that exceed the set limit established by the IRS. The non-qualified pension benefits are paid directly from United's treasury, and management had agreed to this benefit in its collective bargaining agreement with ALPA.

Pilots Respond to Continental’s Announcement of Management Pay Cuts (2/14/05) -- Capt. Jay Panarello, Chairman of the Continental Master Executive Council (CAL MEC), a unit of the Air Line Pilots Association, Int’l (ALPA), issued a statement in response to Continental Airlines’ announcement today of wage cuts being taken by management.

ATA Airlines Flight Crewmembers Approve $12 Million Concessions Package (2/14/05) -- ATA Airlines flight deck crewmembers, as represented by the Air Line Pilots Association, International (ALPA) have voted to accept a $12 million temporary concessions proposal. Out of the 790 pilots and flight engineers who voted, 78 percent voted in favor of the agreement.

Biometric passports could be just around the corner (2/24/05) -- Biometric passports are just around the corner and could mean easier travel for business travelers and a hassle for others. Personal data could soon be made available to authorities without a consumer’s knowledge in an effort to track potential terrorists and illegal immigrants. “(Travelers) will be surprised at how easily they can become the subject of a criminal investigation, just because they have left their fingerprints inside a bank that was robbed two hours later,” said Thilo Weichert of the German Data Protection Association. “They would then have to prove their innocence, and the whole principle that the burden of proof lies with the prosecution could be turned upside down.” Regular travelers could get snared up initially as it will take some time to have new measures come into full effect. (CNN.com)

Tech trims down business travel (2/18/05) -- Business travelers are spending less time away from home and the latest technology is allowing them to do it, according to a recent UK survey.

Piccadilly line 'loop' closure - January 2005 to September 2006 -- Customers using the London Underground to travel to and from London Heathrow’s Terminal 4 from January 2005 are being advised to allow extra time for their journeys.

The construction of a new junction on the Piccadilly Line means that the Terminal 4 'loop' section of track – including the Terminal 4 station - will be closed to the public for 20 months, between 7 January 2005 and September 2006.

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