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BUSINESS TRAVEL UPDATE - APRIL 2008
NORTHWEST NEWS

Northwest Airlines Announces Changes to Luggage Policies
Northwest is matching several other U.S. network carriers and implementing a $25 charge for the customer’s second checked bag and $100 for each additional bag for reservations made in coach class on or after March 29, 2008, for travel on or after May 5, 2008. Coach class customers may continue to check one piece of luggage free of charge. These policies also apply to Northwest Airlink customers flying on Mesaba, Pinnacle or Compass Airlines.

The new policy does not apply to silver, gold and platinum Northwest Airlines or SkyTeam elite customers. Full fare customers, booked in Y or B class, and customers traveling on military or government fares can still check up to two bags free of charge. Customers booked in First class can continue to check up to three bags free of charge.

Northwest is also making the following luggage policy modifications effective Saturday, March 29:

The price of a 3rd piece of domestic checked luggage increases from $80 to $100.
The fee for an overweight checked bag (50 to 70 lbs) increases from $25 to $50

Northwest / KLM Expand Codeshares
Northwest and KLM Expand codesharing to the following new markets:

NW-operated KL * flights

  • Detroit - Dusseldorf
  • Detroit - Frankfurt
  • Detroit - London Gatwick
  • Minneapolis - London Heathrow
  • Seattle - London Heathrow

  • Flights are available for sale for travel effective April 5.

    KL -operated NW* flights

  • Amsterdam - Vancouver
  • Amsterdam - Toronto
  • Amsterdam - Montreal

  • Flights will be available for sale for travel effective April 12.

    KL-operated NW*flights

  • Amsterdam - London Heathrow
  • Flights are available for sale for travel effective April 12.

    KL-operated NW*flights

  • Amsterdam-Madrid
  • Amsterdam-Barcelona
  • Amsterdam-Athens

  • Note: NW* codeshare flights are valid for connections only; no local market codeshare service is available.

    Dollars For Doug
    A unique contract clause negotiated as Northwest filed for bankruptcy in September of 2005 designed to keep CEO Doug Steenland committed to the helm through the process, gives him a one-time opportunity to cash in for “staying the course”… At least $7.8M in June if he chooses to depart. Not sure Doug needs the money, but I’m not sure Doug needs the headache anymore either. We’ll keep you posted. And, yes, if he can engineer a merger, there’s another similar payday.


    MERGER UPDATES

    Delta Offers Buy Out to 30,000
    Looking to reduce by 3,000 employees, Delta approached 30,00 with a buy out offer as they continue to reduce domestic capacity in favor of international growth. This would also be a first step in the event that a merger with Northwest or another carrier comes about. Delta currently employs just over 55,000. This offer did not apply to pilots.

    Getting Late…Find a Partner
    Northwest and Delta pilots have continued sporadic formal and informal talks on integrating their seniority lists. As we have noted, aircraft capacity is a key part in merging these lists … and the various heritages of the current Northwest and Delta groups complicates it further. The rumors we hear have the carriers moving forward soon even if the pilot issue is not resolved … with arbitration playing a key role. We’ll see. Others continue to speculate on Continental and United, Continental and Southwest, and other combinations. There are other factors now as the economy falters, credit gets tighter, fuel prices climb up and through the levels used for virtually every carrier's profitability plan and the Bush administration sunset approaches. Many believe that a Democratic or McCain administration would be tougher on any proposed merger. Please bring your seat to the full upright and locked position, stow your tray table and fasten your seatbelt…


    TOPAZ: AGENCIES STILL BEAT AIRLINE, TRAVEL RETAIL WEB SITE PRICES

    Source: Business Travel News online

    Airfares booked last year through corporate travel agencies cost on average $56 less than identical itineraries directly booked through airline Web sites or through online travel retailers like Expedia, Orbitz and Travelocity, according to Topaz International research released last week.

    Topaz said travel agency fares were less costly on nearly 95 percent of itineraries compared with the same itinerary available online to the public. However, Topaz said its research shows the savings gap has closed steadily since it initiated the research in 2001, when the chasm between online public fares and agency fares averaged $171. Though the $56 differential recorded in 2007 matches the lowest gap in 2005, corporate travel agencies have grown slightly in lower-fare reliability: Topaz said agency fares in 2001 were cheaper just over 93 percent of the time, a figure that since grew steadily to last year's 94.85 percent.

    "These studies continue to show that while the differences are less than in the past, they still exist and it should be the goal of all leaders to have processes in place to locate and book the lowest alternatives and validate that their service providers are giving the levels of contracted offerings that have been agreed to," Topaz International president and CEO Bradley Seitz said in a statement.


    TWO AIRLINES CEASE OPERATIONS

    Aloha Halts Flights
    Aloha Airlines said that it will halt all passenger service April 1, signaling the end of an airline that has served Hawaii for more than 60 years.
    Aloha, which filed for Chapter 11 bankruptcy protection on March 21, was a casualty of fierce competition and rising fuel prices. The airline said it will stop taking reservations for flights after Monday.

    American Trans Air Shuts Down and Files for Bankruptcy Protection
    Effective April 3, 2008, ATA Airlines has ceased operating and has cancelled all current and future flights. On April 2, 2008, ATA filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court in Indianapolis.

    Passageways queried our bookings and has already protected our Aloha passengers on Hawaiian and United and are working to provide alternatives to American Trans Air as well.



    PASSPORT RULE FOR LAND AND SEA TRAVELERS POSTPONED TO JUNE 2009

    Those traveling to the U.S. by land and sea won't have to present a passport until June 1, 2009, according to a ruling issued by the U.S. Department of Homeland Security and the State Department.

    The ruling follows the congressional passage of a December bill ordering a delay until at least June 2009 of the passport requirement for land and sea travelers.

    AIR TRAVEL
    ALL PERSONS traveling by air outside of the United States are required to present a passport or other valid travel document to enter or re-enter the United States.

    LAND AND SEA TRAVEL
    The following summarizes information available on the Department of Homeland Security’s website.

    CURRENTLY:
    U.S. citizens need to present either (a) a passport, passport card (available in spring 2008), or WHTI-compliant document; or (b) a government-issued photo ID, such as a driver’s license, along with proof of citizenship, such as a birth certificate.

    LATER:
    On June 1, 2009, the U.S. government will implement the full requirements of the land and sea phase of WHTI. The proposed rules require most U.S. citizens entering the United States at sea or land ports of entry to have a passport, passport card, or WHTI-compliant document.

    If you are cruising - check with your cruise line as a passport may be required.

    Always look for the latest travel news on passagewaystravel.com



    AIRLINE MAINTENANCE ISSUES

    On the heels of Southwest’s fine for lax maintenance and record keeping on 737’s and new allegations surfacing April 3 noting that Southwest has pressured the FAA on keeping maintenance issues quiet, both American and Delta have been canceling hundreds of MD 80 flights for safety checks. On Wednesday, March 26, American canceled over 200 flights scrambling Dallas, Chicago, and Miami and its system. Delta followed with its inspections hitting Atlanta and Cincinnati and Sault Lake. United has similarly pulled their 777’s in for checks which will be impacting their schedules at Chicago-O’Hare, Denver, Washington-Dulles and elsewhere for the next several days from 2 April. Northwest does not operate 737s, MD 80s, or 777s.

    LANSING NONSTOPS TO IRELAND POSTPONED

    Shamrock Express announced that charter non-stop flights between Lansing's Capital City Airport and Shannon, Ireland will not be operating as planned in 2008. High fuel costs and changes in airline operations have required the proposed service to be delayed until the summer of 2009.



    HEATHROW'S TERMINAL 5 HICCUPS ON OPENING DAY

    Source: msnbc.com

    Baggage problems wreak havoc at controversial $8.6 billion addition

    March 27, opening day at Heathrow Airport’s grand new Terminal 5 turned sour as severe baggage handling delays led to numerous flight cancellations, stranding many irate passengers.

    What was supposed to be a day of glory for British Airways, sole occupant of the mammoth new terminal, turned into a shambles as problems worsened. The airline was finally forced to restrict passengers at the terminal to hand luggage only, leaving many with the choice of rebooking their flights or seeking refunds.

    Problems developed in the first hours of the new terminal’s operation — when many passengers had to wait more than one hour to receive their bags — and deepened in the afternoon, when many flights were canceled.

    At one point, a British Airways flight left for Paris without any of its checked baggage in the hold, embarrassed airline officials conceded, making a mockery of the earlier claim that the new baggage system would work well from day one.

    “I’m not a happy bunny,” Sarah Lowdon, whose flight to Newcastle was canceled Thursday after she arrived at the new terminal. “They said they’d refund my money but the time I’ve lost is mine. They said it was because of baggage problems, but all I have is a carry-on. I’m being penalized for their mistakes.”

    She said she started her journey with high hopes because of all the hype about the $8.6 billion terminal, the centerpiece of a plan to revive Heathrow Airport’s flagging reputation — only to have them dashed.

    Other disgruntled passengers tried in vain to check in for flights.

    “The terminal looks nice but it would be better if it worked,” said Vincent Groccia as he killed time waiting to see if his flight for Paris would depart late or be canceled. “I tried to check my bags but they told me the conveyor system is not working. I’m hoping to get out of here tonight.”

    There were other, lesser problems as well: a few broken escalators, some hand dryers that didn’t work, a nonfunctioning gate at the new Underground station, and inexperienced ticket sellers who didn’t know the fares between Heathrow and various stations on the Picadilly line.

    Britain’s Department of Transportation released a statement Thursday evening calling for British Airways and BAA, the airport operator, to “work hard to resolve these issues and limit disruption to passengers.”

    British Airways was forced to apologize and restrict some passengers to hand luggage only.

    “We always knew the first day would represent a unique challenge because of the size and complexity of the move into Terminal 5,” British Airways’ Director of Operations Gareth Kirkwood said. “We are working extremely hard on solutions to these short-term difficulties.”

    The delays ruined what had been promoted as a milestone day in British aviation.

    It took 19 years for the new terminal to move from concept to reality. George Bush was president of the United States when the whole thing started — George Herbert Walker Bush, that is.

    Despite the troubles, in some other ways it was a successful first day of operations for the terminal, which was officially opened by Queen Elizabeth II at a ceremony several weeks ago.

    The weather cooperated, flooding the building’s oversize atrium with brilliant sunshine, and travelers were able to admire the wide open views of the greening English countryside.

    The highly automated check-in system seemed to work fairly well in terms of reducing lines at check-in facilities and security checkpoints. The terminal, built to handle 30 million passengers per year, seemed remarkably quiet and calm once it started normal operations.

    Comparing the new structure to the existing Heathrow terminals is like comparing the Four Seasons hotel in Paris to a Days Inn in Dayton. No fast food here: A wide variety of pricey gourmet food is available, public seating areas are comfortable and clean, and even the lavatories are stylish, with soft lighting, dark floors, and modern equipment.

    Trash cans were the only things missing. They are banned for security reasons, as in most British transport facilities.

    The terminal opening drew a crowd of about 300 environmental protesters, including many who vowed to step up efforts to prevent any further expansion of Heathrow and its flight operations.

    “This airport expansion is a stark example of how the government’s rhetoric doesn’t match its actions,” said Tamsyn East, a 28-year-old activist wearing a red T-shirt with “stop airport expansion” printed in front. “They say they want to lead the fight against climate change, but they’re allowing all this.”

    The airport operator also faces a tussle in its quest to fingerprint domestic passengers and passengers who transfer from international to domestic flights. Plans to start fingerprinting Thursday have been “temporarily” dropped due to privacy concerns raised by an independent watchdog agency.


    SAVE THESE DATES!


    Join Passageways Travel, Globus Vacations and Royal Caribbean Cruise Lines for a night to "Discover Europe".

    We will have experts on hand to talk about Scotland, Italy, River Cruises, Ireland, and the RCCL variety of cruise options available today. Wonderful film footage that will bring Europe to life so you can pick the vacation style that suits you best.
    Cruise & Tour, River Cruise, Regional Discovery or Independent Vacations. Special group discounts, shipboard credits and door prizes.

    April 8 / 6:00-7:30pm
    Midland Center for the Arts
    Lecture Hall
    1801 W. St. Andrews
    Midland MI 48640

    April 9 / 6:00-7:30pm
    Hagerty Center
    715 E. Front Street
    Traverse City MI 48986

    April 22 / 6:00-7:30pm
    Hampton Inn
    Gaylord MI 49735

    RSVP to 800-548-6716

    ITALY'S GREAT CITIES


    September 6-13, 2008

    Join Passageways’ Bonnie Pintozzi on this 9-day trip which will show you the highlights of Italy, covering all the notable features from St. Peter’s, the Sistine Chapel, the Coliseum and the Forum in Rome to Michelangelo’s David in Florence and St. Mark’s Basilica and Doges’ Palace with the Bridge of Sighs in Venice.
    Local Guides in these cities will answer all your questions.

    Also included: a special welcome dinner in a lively Roman restaurant, stops in Pisa to admire the Leaning Tower and stops in Verona to see Juliet’s balcony.
    Scenic rides will show you the Tyrrhenian coast, the Lombardian plains, the flat Po area, the wooded Etruscan Apennine mountain range, and Tuscany’s Chianti wine country.
    In Venice a private boat ride and a glassblowers’ demonstration are included.

    Priced at $1750.00 per person.
    Call or stop by your local Passageways Travel office or go to passagewaystravel.com


    GREECE AND EASTERN MEDITERRANEAN CRUISE


    Explore the ancient world with a modern touch. Enjoy beautiful beaches and enlightening experiences. Embrace history with the elegance of Royal Caribbean Cruise Lines.

    October 18-30, 2008
    Your adventure will start and end in Rome with stops in Mykonos, Ephesus, Rhodes, Limassol, Alexandria, Athens and Naples.
    All the while cruising on the Legend of the Seas - a ship filled with an endless supply of entertainment and relaxation options. Legend of the Seas boasts 70,000 tons of fun and adventure for up to 2,076 guests. With 9-hole miniature golf, four whirlpools and a Solarium with a sliding roof, there's something for everyone on board this cruise ship.

    Pricing starts at $1778.03/pp
    Call or stop by your local Passageways Travel office or go to passagewaystravel.com



    Copyright © 2008 Passageways Travel Services, Inc.