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UNIGLOBE TRAVEL ANNOUNCES Strategy TO BILL AMERICAN AIRLINES FOR LOST COMMISSION

UNIGLOBE TRAVEL ANNOUNCES Plan TO BILL AMERICAN AIRLINES FOR LOST COMMISSION REVENUES,Ray Ban Sunglasses
UNIGLOBE TRAVEL ANNOUNCES Plan TO BILL AMERICAN AIRLINES
FOR LOST COMMISSION REVENUES
LAS VEGAS, June 2 /PRNewswire/ -- U. Gary Charlwood, the chairman and chief executive officer of UNIGLOBE Travel (International) Inc., has announced plans to send American Airlines a bill to cover commissions lost soon after the airline reduce fares by as considerably as 50 percent final week.
"Airfares in North America are currently among the lowest on the planet,Ray Ban Aviator 3025," Charlwood told 1,Cheap Ray Ban Sunglasses,200 delegates attending the travel organization's annual convention on Sunday.
"To slash them even additional is tiny more than a wild-eyed grab for improved market place share that could only result in much less competition and higher fares in the future."
Charlwood mentioned the tremendous surge in travel that was anticipated when the cost war started has yet to materialize,Ray Ban UK, but inside the brief term the travel business is reeling from its effects.
"The suicidal price cuts announced by American Airlines final week will only mean improved losses for an airline business already beset with turmoil and red ink. If their objective would be to drive other carriers out of enterprise, it will not happen overnight. At some point, sanity and explanation have to prevail; American Airlines' board of directors will ultimately see to that."
Charlwood mentioned the airfare wars have become an absolute nightmare for travel agents who have to situation new tickets and refund portions of their commissions every time the airlines juggle their fares,Ray Ban Eyeglasses.
"From our perspective, this commission clawback is an unfair and short-sighted organization practice that cannot go unchallenged," Charlwood said.
Charlwood said UNIGLOBE Travel and the rest of your retail market resent being forced to return commissions paid on previously-issued tickets and service already supplied by the retail agent.
"If we are told a ticket is one value, and sell it for that value, why should we be forced to return a part of our commissions when American Airlines decides to escalate a cost war?
"It is like getting invited to dinner after which being asked to return the salad per week right after you may have already eaten it.
"American Airlines can price its item anyway it desires, but our organization intends to send an invoice on behalf of these agents who will likely be forced to return previously earned commissions as a result of this newest round of price cuts."
Michael Levy, president and chief operating officer of UNIGLOBE Travel (International) Inc., said while the value alterations announced by American Airlines will hurt compact independent travel agents by far the most,Ray Ban Optical, the entire business is impacted. He noted that sizeable organizations just like UNIGLOBE Travel are seeing an increase inside the number of calls from independents trying to sell their retail operations because the price tag war requires its toll.
"On behalf with the 900 UNIGLOBE Travel locations worldwide, we are going to make a statement to American Airlines by sending a rather massive bill for commissions promised and solutions rendered,Ray Ban Wayfarer," Levy vowed.
"We invite other individuals inside the travel industry to join us within the protest," Levy mentioned. "Agents outside the UNIGLOBE Travel organization who wish to add any of their lost commissions to the bill, should certainly contact the nearest regional office of UNIGLOBE Travel (International) Inc. ST: Nevada IN: AIR LEI SU:
JL -- LA008 -- 6115 06/02/92 ten:01 EDT EDT n abbr (US) (= Eastern Daylight Time) hora de verano de Nueva York.
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