PARSIPPANY, NJ - (March 6, 2003) - Galileo International, a leading global
distribution services company, today announced that four additional travel
agencies -- Casto Travel (California), Royal Travel & Tours (Illinois),
Conference & Travel Services (Indiana) and Berkshire Travel (Pennsylvania)
-- are now participating in the Company's Momentum pricing and promotions
program, which went into effect March 1. Travel agencies representing more
than 25 percent of Galileo's U.S.-originated bookings are currently enrolled
in Momentum.
"This is a great marketing and productivity development," said Gus
Vallejo, chief operating officer of Casto Travel. "Our clients want and need
access to all fares, including Web fares, especially at a time when every
travel dollar is critical. Having easy access through Galileo enhances our
agency's service delivery and sets us apart from the rest."
In addition to previously announced benefits of enrollment, U.S. travel
agencies that participate in Momentum will now have access to even more
revenue-generating benefits through Business Builders Select, a premium level
of Galileo's growing Business Builders program. Effective March 1, 2003,
participating agencies are eligible for an additional cash bonus payout from
Galileo for any incremental rental car and hotel bookings processed through
Galileo that exceed the participating agency's 2002 booking baseline. The
incremental cash bonus payout is exclusive to U.S. agencies participating in
Momentum and Business Builders Select and is valid for bookings with all
rental car and hotel suppliers.
Participating Momentum travel agencies already have access to a growing
list of Business Builders Select revenue generators -- double commissions when
booking RCI Holiday Network vacation rentals, up to 5 percent more for
incremental commissionable rentals from Avis and Budget, up to 5 percent more
for incremental reservations at any of Cendant's nine affiliated hotel brands,
and 2 percent more for Lodging.com bookings processed through Galileo's
e-Agent. Additionally, participating agents will gain access to Budget's
lowest-available "association" rates.
These value-add benefits can deliver real revenue. For example, a
$12 million ARC agency could easily achieve more than a $6,000 return with
these Business Builders Select features. Combined with the overall profit-
generating Momentum components, the same agency is looking at least a net
$23,000 contribution to their bottom line.
"'Momentum' is growing as more visionary agencies join us and there is no
doubt we'll continue to see even greater participation from both agencies and
airlines," said Mitch Gross, executive vice president of Galileo Americas
region. "In today's tough travel market, more of our agency partners want the
advantage of the best fares and availability and real earning power generated
through Business Builders Select. An added bonus is that Momentum stabilizes
the distribution model and dramatically reduces cost for carriers - just when
they need it most."
Momentum benefits all industry participants - travel agencies, airlines,
Galileo, and consumers. As of March 1, each participating agency gains the
competitive benefit of more attractive airline inventory from participating
airlines, including Web fares, access to enhanced revenue-generating bookings
through Business Builders Select, and locked-in financial incentives for three
years at a reduced rate.
In exchange for providing access to all publicly available fares,
participating airlines receive an approximate 20 percent reduction in segment
fees for bookings processed by a Momentum agency. These savings will
translate to millions for participating airlines on an annualized basis.
United Airlines and US Airways are already committed to Momentum.
Momentum is currently available to only Galileo-connected U.S. travel
agencies, but the company is exploring opportunities to expand the program
globally.
About Galileo International
Galileo International (http://www.galileo.com) is a global technology leader.
Its core business is providing electronic global distribution services for the
travel industry through its computerized reservation systems, leading-edge
products and innovative, Internet-based solutions. Galileo is a value-added
distributor of travel inventory dedicated to supporting its travel supplier,
agency and corporate customers and, through them, expanding traveler choice.
A subsidiary of Cendant Corporation (NYSE: CD) and part of Cendant's Travel
Distribution Services Division, Galileo is headquartered in Parsippany, NJ,
and has offices worldwide.
For More Information:
Galileo US inquiries
Travel Distribution Services
+ (973) 496-5870
TDS.CorpCom@cendant.com
SOURCE Galileo International
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Related links:
http://www.galileo.com
CONTACT:
Galileo US inquiries - Travel Distribution
Services, +1-973-496-5870, TDS.CorpCom@cendant.com
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