- Aloha Gains With Lower Distribution Costs While Traveline and FCG Limited
Gain Access to Better Fares and New Revenue Opportunities -
PARSIPPANY, N.J., June 19 /PRNewswire-FirstCall/ -- Galileo International,
a leading global distribution services (GDS) company and subsidiary of Cendant
Corp. (NYSE: CD), today announced that Aloha Airlines; Traveline, a Top 50
travel agency; and FCG Limited, an associate of Carlson Wagonlit Travel, have
joined the company's Momentum program, which provides exclusive benefits to
agencies and airlines. Airlines give better content and gain a three-year rate
lock and reduction in distribution fees while travel agencies give up some of
their financial incentives in exchange for enhanced airline content and profit
building opportunities.
(Logo: http://www.newscom.com/cgi-bin/prnh/20020515/GALILEOLOGO )
With the addition of Aloha Airlines, Traveline and FCG Limited, travel
agency participation in Momentum has climbed to more than 25 percent of
Galileo's U.S.-originated bookings while airline participation now represents
almost 40 percent of Galileo's U.S.-originated airline bookings.
"Momentum demonstrates innovative thinking and serves as a critical first
step to address the needs of all parties in the travel distribution arena,"
said Randy A. Laser, Vice President for Pricing and Revenue Management at
Aloha Airlines. "Momentum is a compelling and cost-effective program and we're
pleased to participate in it by providing Momentum subscribers and their
customers with all publicly available fares, including Web fares, in exchange
for the 20 percent cost savings."
"The Momentum program enables Traveline to be more competitive with the
Web market and offers us new revenue-generating opportunities available
through Business Builders Select which provides added earning power at a time
when we can really use it," said Rob Kneen, CEO of Traveline.
Galileo's Momentum program, which went into effect March 1, 2003, was
created to benefit all industry participants in the distribution chain. By
enrolling in Momentum, agencies receive the competitive benefit of more
attractive airline inventory, which includes access to all Web fares and any
publicly available fares the airlines distribute through others GDSs, online
travel agencies and participating airlines' sites.
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. Considerable savings are
being realized by participating airlines, which could total on an annualized
basis in the multi-million dollar range. Momentum is currently available to
only Galileo-connected U.S. travel agencies, but the company is exploring
opportunities to expand the program globally.
"Galileo is the only GDS that is really working to drive costs out of the
travel distribution model," said Mitch Gross, executive vice president of
Galileo Americas region. "Momentum helps all participants win. Agencies with
the vision to join take advantage of long term airline commitments to the
best fares, availability and the real opportunity to increase profits through
Business Builders Select while carriers benefit from reduced fees."
Momentum-enrolled travel agencies are also automatically enrolled in
Business Builders Select, a premium level of Galileo's growing Business
Builders program, which provides exclusive profit-generating and cost-savings
opportunities on select inventory. This includes:
-- Double commissions when booking RCI Holiday Network vacation rentals
-- Up to five percent more for incremental commissionable rentals from
Avis and Budget
-- Up to five percent more for incremental reservations at any of
Cendant's nine affiliated hotel brands and two percent more for
Lodging.com bookings processed through Galileo's e-Agent
-- Access to Budget's lowest-available "association" rates
-- Up to $0.50 per booking additional cash bonus payout annually for any
incremental rental car and hotel bookings processed through Galileo.
Note to Editors:
Other travel agency participants include Rosenbluth International;
Berkshire Travel; Casto Travel; Conference & Travel Services; Mokihana Travel
Service; Nittany Travel; Plaza Travel; Royal Travel & Tours, Inc.; Rubinsohn
Travel; Seawind Tours and Travel, Inc.; Shangri-La Express; and Cendant's
affiliated travel agency operations. Other participating airlines include:
Continental Airlines, United Airlines and US Airways.
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.
About Cendant Travel Distribution Services Division
Cendant's Travel Distribution Services Division is one of the world's
largest and most geographically diverse collections of travel distribution
businesses. The division, employing some 5,000 people in more than 110
countries, includes: Galileo, a leading global distribution system (GDS)
serving more than 47,000 travel agencies and over 51,000 hotels; hotel
distribution and services businesses (Trust, THOR, WizCom); leading travel
agencies, including Cheap Tickets and Lodging.com; an airline market
intelligence company; and Highwire, a corporate travel booking company.
SOURCE Galileo International
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Related links:
http://www.galileo.com
CONTACT:
Galileo US Inquiries, Jill Brenner, Cendant
Travel Distribution Services, +1-973-496-5870,
TDS.CorpCom@cendant.com
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