EXECUTIVE TRAVEL SKYGUIDE E-ALERT 07/24/06

Welcome to EXECUTIVE TRAVEL SKYGUIDE E-ALERT for the week of July 24, the weekly e-mail of essential business travel news!

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Northwest, flight attendants reach tentative contract agreement
Strike threat rises up again at Comair/Delta Connection
Alaska expands in-flight meal sales program
American seeks DFW-Beijing; UAE carrier to add New York service
Delta, KLM expand code-sharing beyond hubs
Bankrupt Varig clings to life
Oakland Airport to install new food, retail outlets
Marriott adopts no-smoking policy in North America
New Hotels: Hilton in Boston, Mandarin Oriental in Prague


THIS WEEK'S QUESTION FOR READERS: When you fly domestic economy, do you buy meals in flight or pick up something at the airport? In either case, what's your favorite choice for eating at your seat? Send your replies to skyguide@aexp.com.

Last week, we asked if the quality and features of business class seats make a difference to international travelers. They do. "When I fly in business class ... I want and expect lie-flat seats," said reader Patrick Milligan. "I can't say I prefer any particular lie-flat seat, but I do remember and avoid any airline that doesn't offer them - because those airlines are usually scrimping in other areas too." On long international flights, said reader Gene Holcombe, "Comfort is a huge concern to me...Cathay Pacific and Singapore Airlines are over the top in comfort and amenities. The domestic U.S. airlines are way behind." He had especially harsh words for Delta's BusinessElite cabins, which will be overhauled soon - although Holcombe called that planned upgrade "nothing more than a light refresh of their current product." He said he welcomes American's plan to install lie-flat seats and video-on-demand. "I'm glad that American Airlines is following the lead (of foreign carriers) and drawing the line in the sand for other domestic carriers to follow," he said. Reader Lisa V. praised South African Airways for "wonderful business class seats;" but she added that in her experience, "Lufthansa has the worst, followed by United on international routes."

AIRLINES

Northwest, flight attendants reach tentative contract agreement
Flight attendants at bankrupt Northwest Airlines are voting on a new tentative contract agreement that union representatives reached with management last week - and that could avert a threatened strike if it is ratified. That is not a sure thing, however; the flight attendants' rank-and-file members voted down a previous tentative agreement. Balloting on the new proposal is expected to conclude by July 31, the company said. Northwest said the new agreement would give it an estimated annual savings of $195 million if it is approved. New contracts with other major unions at Northwest have been agreed to, but they are contingent on the flight attendants doing the same.

Strike threat rises up again at Comair/Delta Connection
The bankruptcy judge overseeing the reorganization of regional carrier Comair, which operates as The Delta Connection, has reversed an earlier ruling and said last week that the company can terminate its existing contract with unionized flight attendants, raising the possibility of a strike. The flight attendants, who at Comair are represented by the Teamsters, had voted earlier to approve a job action if the company imposed its own wage levels and work rules on the flight attendants unilaterally. Connie Slayback, president of the Comair union, said flight attendants will go ahead with contract negotiations planned for this week, but warned management against implementing the court's new ruling. "If Comair moves to abrogate our agreement, travelers should be aware that strike activity is possible and would disrupt operations at both Comair and Delta," she said.

Alaska expands in-flight meal sales program
Alaska Airlines' meals-for-purchase program, called Northern Bites, will be expanded to the economy cabins of most of its flights longer than three hours, the company said last week. Meals in the program cost $5; Northern Bites will replace free sandwich snacks currently offered. The paid meals are already offered on routes to Mexico. By August 1, it should be available on meal-hour flights between the lower 48 states and Fairbanks and Anchorage in Alaska, and on the Seattle-DFW and Seattle-Chicago routes. Flights to the east coast and to Guadalajara and Mexico City will continue to offer the free sandwich snacks for now.

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INTERNATIONAL

American seeks DFW-Beijing; UAE carrier to add New York service
• American Airlines, which began its first service to China earlier this year on the Chicago-Shanghai route, last week applied with the Transportation Department for Dallas/Ft. Worth-Beijing rights. A new agreement with China two years ago opened the possibility for more air service to be phased in, and American wants to be in the next phase, with non-stop 777 service on the route. Continental has also applied for new China rights between its Newark hub and Shanghai.

• Etihad Airways, the national airline of the United Arab Emirates, said it plans to launch daily service on October 26 between Abu Dhabi and New York JFK. The airline will use new Airbus A340-500 aircraft.

Delta, KLM expand code-sharing beyond hubs
Delta Air Lines and KLM, both members of the SkyTeam alliance, have expanded code-sharing to routes beyond their respective transatlantic hubs. Last week, Delta put its code on KLM flights beyond Amsterdam to Stockholm, Warsaw, Hamburg, Oslo, Bucharest, Gothenburg, Hanover, Nuremberg, Birmingham and Helsinki. "delta intends to grow its code-share services across KLM's network to more than 30 destinations, pending foreign government approvals," a spokesman said. Delta's other European SkyTeam partners include Air France, Alitalia and CSA Czech Airlines. Meanwhile, KLM last week put its code on 14 Delta routes in the U.S. beyond its New York JFK and Atlanta hubs.

Bankrupt Varig clings to life
A Brazilian company called VariLog - a former subsidiary of Varig purchased earlier this year by outside investors - has won a court-sponsored auction to buy the bankrupt airline for just $24 million - plus a promise to invest another $600 million in the ailing carrier. According to wire reports, Varig is down to a fleet of 13 aircraft; most have been grounded or repossessed, and the airline eliminated most of its international routes. The new owners pledged to revive Varig over time, pending negotiations with leasing companies to get more planes back in the air.

AIRPORTS

Oakland Airport to install new food, retail outlets
Watch for plenty of new retail options coming at Oakland International Airport. The city's Board of Port Commissioners awarded a 12-year contract to HMS Host to oversee construction of new concessions, which will include 19 restaurants and shops. Many will be airport outlets of existing Oakland places, like Everett & Jones Barbecue, Genova Delicatessen & Ravioli Factory (Italian), Restaurant Peony (Chinese cuisine); an Oakland Tribune News newsstand and gift store; Vella's Locker Room, with Oakland Raider-branded products; Heinold's First & Last Chance Salloon; Fenton's Creamery; Otaez Mexican Restaurant and Silver Dragon restaurant. National brands will include Starbucks, Chili's, Burger King, Subway, California Pizza Kitchen ASAP, Palm One, See's Candies, Quiznos and Gordon Biersch Brewery.

HOTELS

Marriott adopts no-smoking policy in North America
Marriott International said last week that hotels in all its brands in the U.S. and Canada will be "100 percent smoke-free" starting in September. The company called it "the industry's largest move to a non-smoking environment," since it affects more than 2,300 properties and 400,000 guest rooms. The affected brands include Marriott, JW Marriott, Ritz-Carlton, Renaissance, Courtyard, Residence Inn, SpringHill Suites, Fairfield Inn, TownePlace Suites and Marriott ExecuStay. The new policy will bar smoking in all guest rooms, restaurants, lounges, meeting rooms, public space and employee work areas. More than 90 percent of Marriott guest rooms are already non-smoking, the company said.

New Hotels: Hilton in Boston, Mandarin Oriental in Prague
Newly opened in Boston is the 362-room Hilton Boston Financial District, a renovation of a 1928 building at 89 Broad Street that was the city's first skyscraper ... Hilton has also converted the former Doubletree Hotel in suburban Bellevue, Washington into a more upscale Hilton property ... Doubletree, meanwhile, has taken over the former Radisson in Birmingham, Ala.; it's now the Doubletree Hotel Birmingham Downtown ... A September 1 opening is set for the Sheraton Orlando North Hotel in Maitland, Fla. ... Outside the U.S., Mandarin Oriental plans a September opening for a 99-room hotel in the heart of Prague's old city, built in the shell of a 14th-century monastery ... In Greece, Starwood Hotels is taking on the properties in the Astir Palace resort complex outside Athens - the Arion Hotel there is now part of Starwood's Luxury Collection, while the Nafsika Hotel is a Westin ... Starwood also plans an August 16 debut for a new Westin Hotel in Valencia, Spain ... Newly opened in Bangkok is the Grand Sukhumvit by Sofitel ... Choice Hotels opened a Quality Suites and a Quality Inn in Mexico City's upscale Zona Rosa district ... BridgeStreet Worldwide, which operates corporate rental housing, has expanded its European inventory to include new accommodations in Berlin, Frankfurt, Munich, Oslo, Geneva, Zurich, Milan, Rome, Prague, Copenhagen,, Helsinki, Stockholm and Malmo.

DEALS AND SPECIAL OFFERS FOR BUSINESS TRAVELERS

Air Canada (www.aircanada.com) has expanded the availability of its Flight Pass products for U.S. companies. Valid for trans-border and intra-Canada travel, the airline's U.S. Small Business Pass is good for 30 flights, to be used by up to eight employees over six months. The new Corporate Pass, available for large companies on a negotiated-price basis, is good for use by up to 300 employees. The passes come in a value version called Tango Plus, or a Latitude fare version, for travel requiring maximum flexibility. All users who belong to Aeroplan will receive mileage credit for their flights on the passes.

United Mileage Plus members can now accumulate miles with the purchase of wireless products and services. The new Mileage Plus Wireless program (www.MileagePlusWireless.com) will let members earn 3,000 or 5,000 bonus miles for signing up with major U.S. wireless providers, based on their monthly fee; and 10 miles per dollar spent on wireless accessories. Contract extensions with major wireless providers earn 3,000 bonus miles.

American Airlines is putting short-haul award flights on sale again for members of its AAdvantage program. For travel from September 1, 2006 through February 28, 2007, members can book award flights of less than 750 miles for 15,000 miles roundtrip instead of the usual 25,000. Award trips must be booked on the American Airlines web site to qualify (www.aa.com). For details, go to www.aa.com/shorthops.

For links to other websites where you can search for bargains, click here: www.executivetravelonline.com/reference/deals.html

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For in-depth analysis, news, features and opinions about the current business travel scene, check out Joe Sent Me (www.joesentme.com), produced by veteran traveler advocate/journalist Joe Brancatelli and a team of contributors.
When it comes to fashion, maybe you don't pay much attention to accessories - but you should. Clothes may make the man, but hats and gloves are the icing on the cake. See our style feature in the September issue of Executive Travel magazine, coming soon.

By Jim Glab

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