One of the grounded planes was due to leave Glasgow on Thursday.

Transatlantic budget carrier Zoom Airlines has suspended all of its flights after admitting it was applying to go into administration.

Passengers due to fly with Zoom were told to book with other carriers and to contact card issuers about refunds.

Earlier, two of the airline's jets were held at Glasgow and Cardiff airports.

UK-Canadian Zoom blamed its problems on the "horrendous" price of jet fuel - which had added $50m (£27.3m) to annual fuel bills - and the economic slowdown.

Zoom employs 450 staff in Canada and 260 staff in the UK.

It operated flights from London Gatwick, Glasgow, Manchester, Cardiff, Belfast, Cardiff as well as Paris and Rome.

And it flew to eight destinations in Canada, New York, San Diego, Fort Lauderdale and Bermuda.

"We deeply regret the fact that we have been forced to suspend all Zoom operations. It is a tragic day for our passengers and staff," said Zoom founders Hugh and John Boyle.

"We are desperately sorry for the inconvenience and disappointment that this will cause passengers and those who have booked flights.

"We have done everything we can to support the airline and left no stone unturned to secure a re-financing package that would have kept our aircraft flying."

They added that hopes of securing a new investment package to ensure future operations had failed, meaning administration procedures had to begin.

Zoom said BA and Virgin Atlantic were offering "generous" fares for Zoom passengers.

They had based their business model on oil prices of about $70 or $80. When they topped $140, Zoom simply could not cope

The announcement came after one of its planes was detained at Glasgow Airport for non-payment of air traffic control charges.

Meanwhile passengers on a flight from Cardiff were told to get off their Zoom plane, which was then impounded.

A number of other budget long-haul carriers have gone into administration in recent months including Hong Kong to London carrier Oasis and business class transatlantic firm Silverjet.

The rising cost of oil - which topped $147 a barrel in July - has led to aviation fuel bills soaring.

"They had based their business model on oil prices of about $70 or $80," said Simon Calder, travel editor of The Independent.

"Once they topped $140 they simply could not cope."

He added that "tens of thousands" of passengers were likely to suffer.

Airline analysts say that with consumers being more cost-conscious, many were cutting back on luxury spending such as travel.

http://news.bbc.co.uk/1/hi/business/7586654.stm

Virgin Holidays is to double its outlets in high-street chains by next year but has denied this represents a switch away from the trade.

The operator hopes to increase its seven outlets in Debenhams and Tesco stores to 14. The first opened last December.

Sales and operations director Stewart Baird said the company had seen a significant hike in sales from customers living in a 20 to 30 mile radius of the stores as a result of brochure pick-ups, rather than in-store bookings.

"Each one is moving 2,000 brochures a week. It's about getting more brochures into the market and getting our brand out there. They have worked really well for us. We will try to double it by next year," said Baird.

But he stressed the move was not a sign the company was trying to change its business mix. "Our direct business has not increased over the last 18 months," he said.

Around 75% of Virgin Holidays' sales are from 'controlled' channels, mainly agents, according to Baird, and the operator already has long-term distribution relationships with Stella Travel Services and The Co-operative Travel Group.

Baird added: "This is not about being picky about where you get your sales. We want to grow our business and we have got seats to fill. We are in double-digit growth for this year and have to maintain that. We want to focus our efforts on agents that support us."

The company has also stepped up its marketing this year, with four series of TV advertising planned, compared with two last year. The latest and third tranche of advertisements is now to feature Charlotte Church.

http://www.travelweekly.co.uk/Articles/2008/08/27/28610/virgin-holidays-to-double-high-street-outlets.html

The battles continue between Richard Branson’s Virgin Atlantic and British Airways. Virgin Atlantic said this morning that it has profited from British Airways. When terminal five opened at Heathrow Airport it created numerous delays and chaos at the airport. Virgin Atlantic has said that customers of British Airways that grew tired of the chaos at terminal 5 turned to Virgin Atlantic for their flying needs instead. Virgin Atlantic has said that their profits have risen nearly 8 per cent over the course of the last year.

British Airways disputes this claim that customers are still turned away over any issues that might have occurred because of the opening of Terminal 5. A spokesperson for British Airways said “We do not recognize Virgin’s claims. It was well documented that there were problems at Terminal Five shortly after its launch, but we have seen no lasting effect. Indeed, the number of customers using it has risen by 25,000 since April so we’re obviously more than happy with this progress.” British Airways also said that passenger volume at terminal 5 has increased to 65,000 people a day.

Branson also commented during the announcement that “It’s ironic that just as regulators are breaking up one monopoly - BAA - British Airways and American Airlines are trying to create another. Our results prove that consumers want choice on transatlantic routes. Unless the regulators block the proposed BA/AA monopoly, consumers will lose out - and they’ll pay higher ticket prices for the privilege.”

http://www.asap.co.uk/news/virgin-atlantic-claims-british-airways-passengers-prefer-to-fly-with-them-5633512.html

Timeshares Gaining Popularity Among Former Vacation Home Owners

Karen Phelan, Broker/Owner of Preferred Timeshare Resales, based out of Lake Tahoe, has observed a new breed of timeshare buyers enter the market over recent months. Phelan said, "The buyers we're starting to see more of are those who have formerly owned Vacation Homes. These buyers rarely considered timeshare ownership until now. Even in signs of today's uncertain residential real estate market, many still dream of owning a vacation home in their favorite vacation destination. With timeshares, many would-be vacation home buyers and former vacation home owners are discovering their dream is still well within reach."

Why? They are discovering timeshares are an attractive alternative to owning a vacation home, based on economics and common sense:

Affordability: Former vacation home owners and would-be second home investors are instead buying timeshares at a fraction of what it costs to own a vacation home. There is often no mortgage, and money isn't tied up in one huge investment. Most people who own timeshares often own multiple weeks, particularly after they've purchased their first one and have seen the many benefits, luxuries, and affordability of timeshare ownership.

No Long Distance Worries: To defray costs, many vacation home owners need to make their homes available as a vacation rental. There are worries about vacancy factors, tenants calling all hours of the day (or night) with maintenance issues, and arranging to maintain the vacation home long-distance. Conversely, when timeshare owners check out of their timeshares, there is no need for these concerns.

Maintenance: Annual maintenance fees are diminutive in comparison to second home ownership maintenance costs. Timeshare Maintenance fees typically include property insurance, future furniture replacements and other updates, maintaining the premises, resort management and personnel, maid service, and other operational costs involved in the operation of the resort.

Location: Although almost all timeshare resorts are in top-rated vacation destinations, a large reason timeshare owners love their timeshares is they are not locked into a fixed location. With large exchange companies, such as Interval International (I.I.) and Resort Condominiums International (R.C.I.), Timeshare owners can "Put their vacation home on wheels". In any given year, owners can swap one or more of their weeks to thousands of other timeshare resorts and enjoy various vacation experiences.

Luxury/Amenities: Most timeshare condo residences offer more luxury and amenities than that of a vacation home.

Wayne Jackson, a long time industry veteran and Timeshare Resale Specialist with Preferred Timeshare Resales shared, "As an example, we have a client who sold his multi-million dollar lake front vacation home, and he nows owns six weeks of timeshare. His logic for timeshare ownership is he only was getting out to Lake Tahoe from Chicago for six weeks per year, and there were a lot of maintenance and property tax costs for such little usage on his large home. Although he loved his large vacation home, it didn't make financial sense at some point. He also shared that he truly enjoyed that someone else was the maid and maintenance man at his timeshares, so he now can finally rest and relax on vacation."

http://www.timesharesdaily.com/index.php/20080808181/Latest/Timeshares-Gaining-Popularity-Among-Former-Vacation-Home-Owners.html

Kaanapali Beach Club on Maui laid off 20 workers Tuesday -- just four weeks after parent company Diamond Resorts International fired 34 employees when it closed its North Beach Grill restaurant.

The cuts, which come on the heels of mass layoffs at Maui Land & Pineapple Co. and Molokai Ranch, affect about 40 percent of a nearly 50-member housekeeping staff, and were due to the switchover to a full timeshare operation, which typically doesn't provide daily housekeeping services, according to a source familiar with the situation who asked not to be identified.

The company has limited services to towels and trash only and once-a-week midweek cleaning, though wholesale and direct-pay customers will continue to receive daily housekeeping services, the source said.

Management at the 413-room timeshare resort didn't return calls for comment.

"It's really a slap in the face, especially during negotiations," said Cade Watanabe, a spokesman of Unite Here Local 5, the hotel workers' union, which is in the midst of negotiating a new contract that covered about 240 bargaining unit employees at KBC prior to the layoffs.

The employees have been working under an extended agreement since the contract expired on Jan. 1.

"We view these layoffs as a direct attack on workers," he said.

On the flip side, timeshare operations have been helping to keep the industry viable in these tough economic times, said Carol Reimann, executive director of the Maui Hotel & Lodging Association. "Their occupancies aren't affected as drastically as the hotels with the current economic situation," she said.

While Maui has been hardest hit by a dramatic slowdown in the tourism industry due to rising fuel prices, declining consumer confidence and spending power, the layoffs were not due to the current economic situation, the source said.

Maui has seen a 22 percent drop in total visitor arrivals in June, and an 8.8 percent decline in travelers for the first half of the year. Maui County's unemployment rate rose to 4.4 percent last month from 3.1 percent a year earlier.

Maui Land & Pineapple last month laid off 274 employees while Molokai Ranch, which is part of Maui County, terminated more than 120 workers in March.

Diamond Resorts, a Las Vegas-based vacation ownership company, re-entered the Hawaii market in 2007 with the $700 million acquisition of rival The Former Company Corp.

http://starbulletin.com/2008/08/21/business/story01.html

RCI were the pioneers of the time-share holiday, now they have introduced an entirely new concept which allows you to own your own holiday property, rent it out and earn credits which can be used for holidays in other destinations. An investor can have all the benefits of owning their own property and utilizing it when not in use, rather than simply renting a holiday space.

Norwich, United Kingdom, August 21, 2008 --(PR.com)-- RCI, the world's largest holiday property management service have introduced a revolutionary new opportunity for oversees property investors.

RCI were the pioneers of the time-share holiday, now they have introduced an entirely new concept which allows you to own your own holiday property, rent it out and earn credits which can be used for holidays in other destinations. An investor can have all the benefits of owning their own property and utilizing it when not in use, rather than simply renting a holiday space.

In 1974, RCI instigated the concept of exchange holidays. Timeshare developers sell holiday ownership interests typically in either one-week intervals or as packages of points that can be used to reserve resort accommodations. Members share in the occupancy rights of a development and therefore pay an annual maintenance fee after the initial purchase. The conditions of a timeshare can vary vastly, obviously different prices result in different standards of property, the time of year they can be visited and for how long etc.

RCI’s new service allows for a property buyer to purchase their own holiday accommodation – which they can use whenever they want for as long as they want. When the property is not being used, RCI arrange tenants for it, the owner will receive 70% of the rental income and also through renting it out they will receive credits from RCI which can then be traded for holidays in other destinations. This is a great new twist on the classic timeshare service, allowing for an investor to earn money but also have their very own holiday home for whenever they desire it.

RCI have pioneered this project with the Whiterocks resort of luxury apartments in Bafra, northern Cyprus. Northern Cyprus is swiftly growing economically and as a popular holiday spot. The house prices are also set to rise a great deal in the next few years. Bafra is a tranquil yet prospering village nearby beautiful white beaches and clear seas, the area is set to include a Marina, shopping centre, beachside tropical gardens, parks and a golf course. The unspoiled coastline provides coves, seaside bars and restaurants, water sports and fishing.

An investor can now purchase one of the top-to-toe five-star apartments designed by Whiterocks and Blue C development. They can holiday in the beautiful location whenever they wish and during the rest of the year rent the apartment out hassle free, whilst earning bonus holidays. It is a simple solution for oversees investors who wish to earn money and holiday hassle free.

http://www.pr.com/press-release/101205

You can tell the British holidaymakers from across the Appian Way. They’re the ones filling their handbags with rolls, croissants and those little containers of marmalade that are all included in the bill at the hotel they booked at, in the heady days before our economic world was turned upside down.

Avoid Euro hefty capitals like Athens and Paris, opt instead for Cruises or enjoy the Great British summer at home

They’re the ones scuttling out of the little Provençal restaurant without leaving a tip, and the ones surreptitiously trailing a hand across the floor of the Trevi fountain hoping to pick up some loose coins to pay for their next beer. This thing that we dare not yet call a recession has transformed a nation of credit-card binge spenders into misers, and left us wondering whether there is anywhere in the world we can still afford to go on holiday.

We already knew that the euro was going through the roof; the pound has dropped almost 20 per cent against it in the past year. A friend of mine tells me that this summer, at the Travelex in St Mark’s Square, he was asked to pay £195 for 200 euros. “That’s an exchange rate of one for one,” he spluttered at the smiling Venetian clerk, before declining the offer and heading off in search of a cash machine. But now even that most beleaguered of currencies, the American dollar, is gaining on our feeble pound, forcing us reconsider that planned pre-Christmas shopping spree in New York.

Then there is the stratospheric rise in the cost of air travel. Thanks to fuel surcharges, a return flight to Sydney, which at the time of the 2000 Olympics was £450, now costs north of £900, of which more than a third comes as taxes and charges. As we report in today’s Travel section, those airlines we once thought of as low-cost carriers – Ryanair, BMIbaby and easyJet – have added so many extras to their prices that the advertised fares now come across as introductory offers, opening bids.

They charge for checking bags, checking in at the airport, carry-on bags, carry-on babies, paying by debit card, paying by credit card – just about everything but breathing. One friend recently bought tickets on a “low-cost airline” that were advertised at a total of £99 for him, his wife and infant, and ended up paying almost £400.

One option is to remain in our homes and hardly spend anything. Apparently, that is precisely what a lot of us will be doing this Bank Holiday weekend – watching rubbish old movies on our Freeview digital boxes; digging out boil-in-the-bag meals from the back of the freezer and completely ignoring the fact that the sell-by date was some time back in the summer of 2006; washing it down with a leftover bottle of Chianti that is more paint stripper than vin de table; and then going to bed early.

Or else we can get a grip, and think of ways to go abroad that won’t jeopardise the mortgage/children’s school fees/our pension fund, but still add a little joy to our fraught daily lives. Recently Dr Adrian Furnham, professor of psychology at University College London, warned readers of The Daily Telegraph that holidays are vitally important if we are to cure ourselves of two recent conditions – MPA (mobile phone addiction) and BDD (BlackBerry deprivation disorder). The best way to wean ourselves off our addiction to technology was, he said, to “go on holiday and turn the bloody things off”. Quite so.
So, what is required here is some creative thinking. For one thing, the most cost-effective way of travelling through the eurozone without suffering the euro-pain is to cruise through it. More and more Brits are taking to these floating holiday homes: over the next 12 months it is estimated that one and a half million of us will go on a cruise in one form or another. An example: Fred Olsen Cruise Lines is offering a one-week cruise on its newest ship, the Balmoral, for £395, reduced from £1,300. It starts from Dover, so there is no air travel involved, and visits La Rochelle, Bilbao, Corunna and Cherbourg.

As with all cruises, you can spend as much of your free time as you like eating – all the meals are included in the price – and between courses you can waddle around and see the sights of these lovely French and Spanish cities without once having to reach into your wallet. I know of one couple who returned from a trip-of-a-lifetime, 97-day, round-the-world cruise and regaled their friends with story after story – not of the great sights they had seen or the great adventures they had enjoyed, but of the free meals they had eaten.
If carbo-loading is not your idea of a fun time, you could resort to that other British holiday favourite – free sightseeing. While a visit to the Colosseum will cost you £18, a trip to the Pantheon is free. Similarly, in Greece a visit to the Acropolis sets you back £20, but Crete’s Chania Old Town costs nothing. In Paris, going up the Eiffel Tower will set you back £31 (admittedly that’s for a family of four, but it’s still just exploitation), whereas an equally edifying stroll around Mont Saint Michel won’t cost a penny.

There are also some exceptions to supersonic costs of euro-holidays. The one that my friends are now preaching about is Latvia. One cost-conscious teacher and his family of four returned recently and proclaimed the Latvian coast as “perfection… what the Med must have been like 40 years ago, and with prices to match”. The trick here is to avoid the capital, Riga, in the late evening: because it is cheap, Riga has become stag-party central for British grooms-to-be; if you are out late at night, and not fully alert, you are in danger of being on the receiving end of a projectile vomit or two.

Alternately, you could turn your back on Europe completely and plan a trip to more cost-effective, non-euro countries that don’t involve long flights with hefty fuel charges. Egypt finally seems to have solved its problem with tummy bugs and poured millions into developing the Red Sea coast, where the sun never stops shining, while Turkey is just as beautiful as Greece, but with better food and without the euro-priced menus. Both are only four or five hours’ flying time away. They are also destinations with a large choice of package holidays – so you can pay all your costs up front in sterling, especially if you book an all-inclusive deal.

Finally, it would be remiss of me not to point out the one place on earth where the creaking pound goes further than anywhere else – Zimbabwe. When Robert Mugabe took power in 1980, the pound bought you two Zimbabwean dollars. On my most recent visit, just four months ago, a pound bought 80 million dollars, and today that figure has ballooned to more than two billion. You can still get a tender rump steak at Maxie’s, an excellent restaurant in Bulawayo, for less than five pounds, and on one recent visit I had a full English breakfast at the airport for the equivalent of 12 pence.

So it’s a lovely holiday destination – but would you really want to travel to that old tyrant’s killing fields just to save a few bob?

http://www.telegraph.co.uk/travel/2602931/Where-to-go-to-avoid-the-soaring-euro.html

American Airlines launched its Gogo in-flight wi-fi service this week on three transcontinental routes in the US. Wireless access is now available no Boeing 767-200 services between New York and San Francisco, New York and Los Angeles, and New York and Miami.

Gogo is provided by Aircell, the same system which will be used by Delta on its domestic fleet roll-out and Virgin America who plan to launch services shortly.

“We are pleased to provide our customers with the unprecedented ability to stay connected to their family, friends and business associates on the ground via the Internet while travelling at 30,000 feet above the United States,” said Dan Garton, American’s executive vice president – Marketing. “With today’s launch, American Airlines makes history as the first and only US airline to offer customers full in-flight Internet connectivity, demonstrating once again our industry leadership and focus on our customers.”

American will charge US$12.95 to access the service.

http://www.timesonline.co.uk/tol/travel/business/article4591787.ece

Resort chain, Club Med plans to expand its operations in the Asia Pacific region with the set up of a sales and marketing office in Mumbai by end 2008. As a strategy to upgrade and strengthen its resorts in the Asia Pacific region, Club Med is renovating to keep pace with competition and become more upmarket and upscale.

“To expand the Club Med business in the Asia Pacific region, we plan to set up a full-fledged office in Mumbai. Our objective is to have a sales and marketing office in India and increase awareness in the Indian market. We want to promote the Club Med brand, increase awareness, work in tandem with travel agents and educate them. Since people have a misconception that Club Med is a timeshare or club, we need to make people aware that it is a fully operational resort,” says Mumtaz Moiz, Business Development Manager - India and General Manager - Singapore. Hence, most Club Med resorts are owned, on lease or on management contract.

http://www.hospitalitybizindia.com/detailNews.aspx?aid=1923&sid=1

SIGNED up for a timeshare and now regretting it? A Teesside-based advice agency says it may not be too late to pull out.

Consumer Direct North East has received more than 1,800 timeshare related complaints in the first six months of this year - a 45% rise from the same period last year.

Many were from people who regretted signing up to timeshares during high pressure sales presentations both in the UK and abroad.

But under the Timeshare Act 1992, if you sign a timeshare agreement in the UK lasting three or more years, you have a 14 day ‘cooling off’ period to cancel the contract and any related credit agreement.

If you sign elsewhere in Europe, you have a minimum of ten days to change your mind. Cancellation must be made in writing and preferably sent by recorded delivery.

For some people timeshares can offer great convenience and guaranteed access to attractive properties in desirable locations.

But for others, they can be an expensive financial burden.

David Sayer, head of governance for Consumer Direct North East and Trading Standards Manager for Redcar and Cleveland Council, said: “If you are considering buying a timeshare, take your time to do some research, and if you attend a sales presentation, don’t be pressured into agreeing to a deal on the spot.

“Take the details away, read all the terms and conditions very carefully and consider all costs including transport, insurance, annual maintenance charges and the cost of finance.

“Some companies try to draw you in to sales presentations by suggesting that you’ve won a free holiday. Many give the impression that they are not selling timeshares, but don’t be fooled. If the contract meets the requirements you should have the right to cancel.”

Advice on resolving timeshare and other holiday-related complaints is available by calling Consumer Direct North East on 08454 04 05 06, visiting www.consumerdirect.gov.uk, or through the Timeshare Consumers Association at www.timeshare.org.uk

http://www.gazettelive.co.uk/news/teesside-news/2008/08/18/don-t-be-in-a-rush-to-sign-84229-21552396/

The school holidays are well upon us and have already been so rainy that your kids are probably beginning to get bored and may even be starting to drive you up the wall!

That’s why we’ve found ingenious and exciting ways for mums and dads to make the most of this year’s long break.

You can easily get your hands on a brilliant free summer holiday guide that’s jam-packed full of ideas and activities that are sure to keep your little ones amused day and night.

The affordable tips are broken down into two essential packs – one for 0-five year olds the other for six-10 year olds.

Whatever the weather, you’ll be sure to find something to do with a toddler or young child in these free downloadable guides.

There are endless indoor and outdoor activities, games, arts and crafts and fun recipes.
Some of the best suggestions in the guide for 0-five year olds include: holding your own family Olympics, making a giant Panda mask, making paper, going on a nature walk adventure, making pirate costumes and learning to draw animals.

In the guide for six-10 year olds some of the best tips are: how to transform your child into a knight in shining armour, inventive ways to recycle bottles, sprouting seeds and making your own barbecue.

To download the guides for kids who are struggling to find things to do during their summer break visit www.dk.com/summerfun

If these tips don’t prove enough for your energetic family then you’ll be glad to know that Mirror.co.uk will be giving away five sets of books worth more than £100 that feature more ideas on how to make the summer as much fun as possible.

For your chance to win all of the 15 books that have inspired the summer fun guides for your family click here

And if you’re still in need of more ways to have family fun this holiday Mirror.co.uk is running a day-by-day guide to events happening across the country, from hands-on events at museums and parks through to festivals, carnivals and parades.

Visit Mirror.co.uk/pizza-hut to have a look at the choice in your area and keep checking back in the days ahead to see regular updates on more ways to have a sensational Summer Of Value.

http://www.mirror.co.uk/life-style/kids-and-family/2008/08/18/ideas-to-keep-your-kids-happy-during-the-summer-holidays-115875-20703098/

N5R, an award winning real estate marketing and advertising consulting company, is very pleased to announce a venture with Goodman Real Estate, Daedalus Property Group and Jaca Constructores Asociados: The Grand Residences at Cabo Cortés by Royal Resorts. Located in East Cape (Cabo del Este), this beautiful Mexican property will provide 115 residences, with whole and fractional ownership options, becoming an exclusive, high-end destination providing a lush and refreshing escape for guests and owners.

For the official founders event, N5R designed The Grand Residences at Cabo Cortés new logo concept and sent out invitations to all Royal Resorts members. “Roman and his team at N5R have masses of relevant experience and plenty of fresh ideas combined with a confident and smooth delivery. We are pleased with the professional information that N5R have brought to the table,” said Roger Sherman, Sales and Marketing Manager for the Grand Residences by Royal Resorts.

N5R is currently marketing and selling over $1 billion of the finest residential real estate developments internationally for some of the best known developers in the world. Over the past decade N5R has been involved in the sales and marketing of over 100 successful project sellouts in 30 cities in 10 countries with a combined sales volume of over $4 billion and 10,000 closings.

For over a decade, in both strong and weak market conditions, N5R has applied a dynamic, aggressive and personalized approach to residential real estate projects using the Internet and technology as its competitive edge. N5R clients include leading developers such as Intrawest, Tridel, Centex, Hyatt, Hilton, Wyndham, Four Seasons, Ritz Carlton, Raffles, Fairmont, Ginn and Montecito Property Company.

The Grand Residences at Cabo Cortés will be the center piece of an almost untouched Mexican paradise. The resort village will provide homes, shopping, nature and aquatic interests for seasonal travelers, local residences and permanent transplants alike. The highly eco-friendly area will have an Equestrian center and world-class golf. This development will be a community of its own, a unique and modern development, where local flora, fauna and wildlife habitats will remain preserved.

N5R has long been a pioneer in the real estate sales and marketing industry employing groundbreaking technology, methodology and innovative research to what they do. N5R is best known for helping a start up condo developer in Florida go from $4 million annually to over $1 billion annually within 24 months. Montecito has now sold over $2.5 billion in US condos. With over a dozen 1 day sell-outs and a world record of selling 367 condos in 90 minutes in Phoenix, Arizona.

http://www.timesharesdaily.com/index.php/20080808178/Latest/Largest-Timeshare-Company-In-Mexico-Launches-A-New-Brand-With-N5R.html

"Sit back, relax and enjoy your flight" never sounded so good. Starting this month, all first and business class customers who fly United's p.s.(R) service will experience a new level of comfort with the Westin Heavenly(R) Bed products and signature amenities. The partnership between Westin Hotels & Resorts and United Airlines marks the first time that hotel-branded bedding and amenities have taken to the sky on a U.S. airline. Last month, the companies also unveiled Westin Renewal Lounges inside Red Carpet Clubs in New York (JFK), Los Angeles and San Francisco.

United's first and business class p.s. service between New York and California now features custom oversized Heavenly blankets and pillows inspired by the Westin iconic Heavenly Bed. Travelers will also be treated to refreshing White Tea scented towelettes and mints, and custom video and music on United's personal media players. Through a partnership with award-winning video production company Blue Marvel, Westin Hotels has created signature video content featuring stunning, soothing nature scenes from across the world; meanwhile, music selections from the brand's customized playlists include songs featured in Westin lobbies worldwide.

To complete the sensory in-flight experience, United will serve a specialty cocktail inspired by the groundbreaking Westin SuperFoods program. A new cocktail will be unveiled each season, and all will be served on a brain-teaser coaster, giving United customers a chance to practice the Westin brand's expert-developed, whole-body approach to wellness. United passengers will also be able to browse the Westin brand's popular Heavenly(R) product line by taking advantage of in-seatback retail catalogs; those looking to take the Heavenly(R) Bed home can redeem a special free-robe offer available to United passengers only.

On the ground, Westin Renewal Lounges within United's Red Carpet Clubs give travelers a soothing hideaway for relaxing and renewing. As a result of the Westin partnership with Philips Lighting Company, for example, the San Francisco lounge is equipped with a revolutionary blue-light ActiViva lamp -- not yet available for purchase in the United States -- which provides phototherapy and directly affects the way people feel by making them more alert, awake and energized. Created by the Westin design team and outfitted with plush furniture, fabrics and the brand's nature-inspired color palette, each Renewal Lounge features a signature LED candle wall and artwork typical of the Westin soothing aesthetic. While much of the furniture found in the Westin Renewal Lounges mirrors the offerings at Westin properties, the company's designers also created two pieces of custom furniture specifically for the United lounges: an upholstered ottoman with a built-in table (for displaying custom botanicals or books) and a day bed for resting. The Westin signature White Tea scent is diffused throughout the Renewal Lounges, while LCD televisions play custom Blue Marvel videos that feature inspiring footage of the natural world.

Westin has also created an exclusive, non-alcoholic SuperFoods elixir to be served in the lounges, and will introduce a new elixir each season. As part of the Westin partnership with celebrated floral designer Jane Packer, sustainable botanical bento boxes display natural materials such as bun moss, snake grass, stones and orchids. In addition, SuperFoods snacks and books by Jane Packer and SuperFoodsRx founder Dr. Steven Pratt will be available in the Westin Renewal Lounges.

"We are delighted to bring the Westin Heavenly experience to travelers in-flight and on the ground in United Red Carpet Clubs," said Sue Brush, Senior Vice President of Westin Hotels & Resorts. "This unique partnership is one more way Westin is bringing meaningful, renewing experiences to the traveling public."
"When traveling across the country, our first and business class customers expect to feel relaxed and rewarded when they are at the airport and on the airplane," says Graham Atkinson, United Airlines' executive vice president and Chief Customer Officer. "Refreshing drinks, a calming environment and a Heavenly pillow and blanket will ensure United's customers are reinvigorated for wherever their travels may bring them."

The Westin-United partnership will also reach guests not taking flight -- Westin guests may receive 1,000 bonus Mileage Plus miles when they book at select Westin properties (a full list is available at http://www.westin.com/united).

This partnership joins a host of initiatives at both companies to improve the guest experience. Initiatives aimed at personal renewal recently introduced by Westin Hotels & Resorts include a SuperFoods menu, an in-room spa program that includes a custom-designed portable spa table inspired by the Heavenly Bed, and RunWESTIN: complimentary guided jogs led by hotel staff that combine sightseeing and fitness.

http://www.marketwatch.com/news/story/westin-hotels--resorts-united/story.aspx?guid=%7B14D7342F-CC45-4126-B8E3-48F2F766E965%7D&dist=hppr

The timeshare holiday rights of some 1.5 million European families will soon be better protected.

A draft EU directive, unanimously approved by the EU internal market committee on Monday, updates rules that are 14 years old so as to address consumer concerns and revitalise a business that is performing below potential.

Time share deals, which allow buyers to occupy holiday accommodation for specific periods in alternation with others, have won millions of takers worldwide since the 1970s. They are often sold as a cost-effective alternative to renting, hotels or a second residence. According to data from the Organization for Timeshare in Europe (OTE), in 2001 there were 1.452 million holiday centers in 25 European countries, 1.4 million families using this kind of accommodation and 200,000 Europeans employed in this sector, with sales totaling €2.3 billion per year.

Since 1994, an EU directive has helped to harmonize time-share rules across the EU, but litigation between operators and holidaymakers is still frequent, notably about conditions and quality of service. Furthermore, new holiday products and services, similar to time share but not covered by the directive, have emerged. These include new types of holiday clubs giving holidaymakers reductions in the cost of their stays if they take out a subscription. Some of these new contracts clearly circumvent consumer protection rules.

More deals covered by consumer protection rules

The revised draft directive, which supplements the general rules introduced by the recent directive on unfair commercial practices, will cover both time-share packages and new products that so far have escaped any legislation. Consumers will be better protected by rules that clearly state their rights, and will find it easier to go to court. Honest operators will no longer have to face unfair competition from fraudsters.

The text strengthens a series of existing harmonized provisions (right of withdrawal, choice of contract language, prohibition on deposits during the reflection period, pre-contractual information). Some consumer rights will be widened, e.g. MEPs would like to extend the withdrawal period to 21 days (compared with 10 days now and 14 proposed in the Commission draft).

MEPs did not back a proposal by rapporteur Toine Manders (ALDE, NL), who would have preferred a regulation (directly applicable throughout the EU), rather than a directive (which must be transposed into Member States' national laws), so as to achieve more thorough harmonization.

By contrast, they advocated a higher standard of consumer protection for long-term holiday deals (e.g. clubs), to be paid for in stages, than for traditional time-share contracts. But, not wishing to push this distinction too far, they rejected amendments that would have introduced more restrictive provisions (obligation to register agencies, national registers of service providers, mandatory civil liability insurance), leaving it to Member States to decide whether to supplement their laws in this area.

Clearer rules for holiday firms

The proposal aims to enhance consumer confidence and legal clarity, which are essential to the growth of this promising sector, via simplified EU-wide rules. Most time-share holidaymakers are from Germany or the UK, where most of the agencies are located, whereas most of the holiday centers are located in Spain, Italy, France and Portugal.

http://www.timesharesdaily.com/index.php/20080801171/Latest/Time-share-Holidays-Clearer-Rules-Soon-Throughout-the-EU.html

Thousands of passengers have been left stranded amid chaotic scenes at Brussels airport after a second day of industrial action by baggage handlers.

Most flights out of the airport have been cancelled, delayed or diverted as a result of the strike over pay and working conditions.

Passengers have been searching for bags amidst a heap of up to 20,000 pieces of luggage in the arrivals terminal.

Unions and management have so far failed to reach an agreement.

The Aviapartner and Flightcare staff began a surprise initial 24-hour walkout on Sunday evening which stretched past its deadline.

Negotiations with the airport management on Tuesday afternoon found no deal.

"Unions have rejected management's proposal so the strike will continue," Brussels airport spokesman Jan Van der Cruysse told the Reuters news agency.

He said a very limited number of flights, mainly long-distance, were taking off and those with severe delays.

http://news.bbc.co.uk/1/hi/world/europe/7556770.stm

Over 20 million people pass through the Palma de Mallorca Airport annually, with most staying for a brief period while waiting for their flights to depart. At first glance, a German woman known as Bettina could be one of those travellers, except she never checks in for a flight.

The 48-year-old woman has called the airport home for the last 10 years, and has kept a blanket, her white cat Mumu, a few book and her three suitcases close at hand. In the airport she’s referred to as “the woman with the cat,” but Bettina has become a fixture as enduring as the terminal itself.

Her story has similarities to that of the character in the movie called ‘The Terminal’ in which the Tom Hanks’ character lived in the terminal building at Paris’s Charles de Gaulle Airport for 18 years after losing all his travel documents.

Bettina will not reveal her full name, but says that she came to Mallorca from a small town in southern Germany, looking for a job and a new start in life after the end of a relationship and loss of her job back home.

In the beginning, she was able to find odd jobs, but her dream of relocating to the island turned sour. “Suddenly there was no work because they only give jobs to Spaniards,” she told a reporter for the Diario de Mallorca newspaper. “I wanted to work in Mallorca but I got stranded here.”

Having no job, money or place to live, she decided to try staying at the airport, where she now manages to get by with the help of friends and strangers. “One friend brings me something to eat twice a week. Sometimes people give me a bit of money as well, but I don’t ask anyone for anything.”

http://www.asap.co.uk/news/german-woman-lives-in-palma-airport-5633398.html

Ryanair has decided to cancel all customer flights that have been purchased through a practice known as “screen-scraping.”

An industry consumer watchdog group has said that it was “stunned” by the low-cost carrier’s move to not honour booking made through third-party, price-comparison websites.

The carrier has announced that it will permit the online purchase of tickets only through its own www.ryanair.com website.

Ryanair has already instituted legal action against two of the price comparison websites, Bravofly Ltd and V-tours, in order to prevent them from harvesting information on flights from the airline’s website.

The deputy chief executive of the carrier, Howard Millar, commented: “Ryanair is pursuing legal actions in a number of European countries to bring an end to this unlawful and anti-consumer activity.”

He added that customers were getting inaccurate information in some cases, and having to pay handling charges and higher fares in others.

“Ryanair will introduce new procedures to cancel all passenger bookings made through screenscraping websites. We believe this is a quicker and more effective way of discouraging this unlawful activity”.

Which? Holiday spokeswoman Rochelle Turner said: “We are stunned that Ryanair is treating its customers in this way.

She continued: “At a time when many people are struggling to afford holidays overseas airlines should be finding ways to make it easier for families to book and travel, not making it even harder.”

The company intends to refund the third-party websites for the cancellations, but is leaving it up to each price-comparison site to deal directly with customers who purchased the tickets.

A spokesperson for the Association of British Travel Agents commented that Ryanair’s move would actually penalize its own customers and hurt the carrier’s reputation.

http://www.asap.co.uk/news/ryanair-cancelling-bookings-made-on-other-websites-5633397.html

PRINCEVILLE — Illinois-based Quintus Resorts LLC sold its Hanalei Bay Resort management business to Celebrity Resorts of Orlando, Fla. yesterday.

Effectively immediately, Celebrity will manage the two associations of the 134-unit resort in Princeville and will operate a nightly room rental business. It will also take over Quintus’ timeshare sales and marketing business at Hanalei Bay Resort.

The acquisition comes nine months after 40 resort and restaurant workers were laid off when cash shortages left Quintus unable to pay for front desk and bell services.

Gary Grottke, president of Quintus, said it is anticipated that all management company employees will retain their current positions.

Grottke described the decision to sell as “difficult,” and cited two driving factors. “First, Celebrity Resorts has a greater capacity on Kaua‘i to supervise and to assist in advancing the resort. Second, Quintus needs to raise money for upcoming debt service payments and for initiatives on the Mainland.”

Quintus is also in the process of selling the onsite Bali Hai restaurant and Happy Talk Lounge, which it owned outright, to local restaurateur Jim Moffat, who has plans to invest $1.5 million in renovating both venues.

Once finalized, all food and beverage employees who were previously notified of the pending sale will be terminated.

Grottke expressed confidence in Celebrity Resorts’ commitment to the timeshare industry. The company has more than 16 resorts, including Celebrity Resorts Waikiki on O‘ahu.

“Celebrity Resorts also has the management and operating systems in place that should ensure a successful transition and future for Hanalei Bay Resort,” Grottke said.

Celebrity Resorts has developed and managed projects in the U.S. and Caribbean. It currently has 17 resorts in six states, conducts business in more than 30 states and provides vacation services for more than 80,000 families on an annual basis.

“We are thrilled to add Kaua‘i to our collection of destinations, and we look forward to welcoming the owners and employees of Hanalei Bay Resort into our family and introducing them to the services and benefits that we offer,” Jared Meyers, Celebrity’s president and chief executive, said.

http://www.kauaiworld.com/articles/2008/08/09/news/news02.txt

Owners of a place in the sun will feel the chill as carriers axe budget European routes in face of economic slowdown

Second-home owners with rural retreats in mainland Europe are to become the latest victims of the economic slowdown with airlines shutting down many of their budget European routes.

The financial crisis facing the airline industry means that thousands of cheap flights to Spain, Italy and the south of France are to be axed by British Airways, easyJet and other operators.

An analysis by the Official Airline Guide (OAG), used by the travel industry, shows that budget airlines will scrap almost 60 routes this winter. There will be 3,000 fewer flights than in the same period last year.

During the cheap flight boom that began in the late 1990s, hundreds of thousands of people bought properties in Europe, spurred by the prospect of a relaxed lifestyle and cheap and easy links to home. An estimated 425,000 Britons now have a second home overseas.

Some of the most favoured locations - southern France, Italy and Andalucia - will be among the most severely hit by the cuts. Given the worsening financial situation for airlines, prompted by rising fuel prices, many fear that flights will not be reinstated next summer, meaning longer journey times and a potential slump in the value of second homes.

According to the OAG, British Airways is at the forefront of the new cutbacks after announcing a 90% fall in profits earlier this month. It is abandoning two routes, Gatwick to Nice and London City Airport to Milan, from November to April, and cutting flights from Gatwick to Bordeaux by 30%. The service from Gatwick to Alicante has been halved compared with the same period last year, while flights to Toulouse and Bologna have also been reduced significantly.

Flybe is scrapping four routes and reducing eight others including services to Brest, Faro, Alicante and Malaga. EasyJet is reducing flights to France, Spain and Italy by about 20% over the same period, while Ryanair is reducing flights from Stansted by 14%.

Those who will be hit by the loss of flights include Lynne Mott and her husband William, a lecturer at Wolverhampton University, who own a holiday home in Touffailles, southeast of Bordeaux. Bmibaby, British Airways and easyJet are all slashing flights to Bordeaux this winter.

“I feel real frustration at the airlines,” said Lynne Mott.

Airlines blame the soaring cost of fuel and the slowdown in consumer spending. Many smaller carriers face bankruptcy if the harsh economic climate continues.

Losing regular flights to Britain can play havoc with the value of second homes. According to research by Savills, the estate agent, a low-cost airline near a second home could raise prices by as much as 37%.

John Taylor, an agent who helps clients to buy properties in Gascony, southwest France, said second-home owners near smaller airports were especially vulnerable. “If you have a home near the big centres like Toulouse you should be absolutely fine. You can still commute to London from there for less than it costs to do so from Somerset,” said Taylor.

Concerns are growing about the long-term sustainability of several budget airlines. Ryanair last week announced that it may face losses of €60m (£47m) in 2009, compared with a profit of €439m last year.

From tomorrow, Ryanair will accept only bookings made on its website. The airline will refund price comparison websites for cancelled flights but it will be up to individual sites to inform and refund customers who have booked through them.

Homeowners living in areas where flights have already been cut warned that the change had brought severe difficulties.

Jo Chipchase, a mother of two and a public relations executive from Brighton, owns a villa in Lanjaron, a spa town 25 miles from Granada in the foothills of the Sierra Nevada mountains. Her usual route from Gatwick to Granada with Monarch Airlines is among those that has already been cut.

“I just won’t be able to come and go so often,” said Chipchase, 36. “Granada airport was so good because it was close to my home here. Now I will have to go to Malaga’s airport, which can take us up to three hours and cost €80 to get to.”

Chipchase was so incensed by the decision to axe the route last November that she started a petition to reopen it. It has been signed by almost 1,000 British homeowners.

Airlines said it was normal practice to cut flights on underused routes. Flybe said: “Any airline would tell you that marginal routes are more difficult to manage and maintain.”

GROUNDED

Routes that face cutbacks between November this year and April next year:

Bmibaby Birmingham to Lisbon, Portugal Birmingham to Madrid, Spain Birmingham to Rome, Italy

British Airways City, London, to Milan, Italy Gatwick to Alicante, Spain Gatwick to Bologna, Italy Gatwick to Bordeaux Gatwick to Nice, France Gatwick to Toulouse, France

easyJet Bournemouth to Lyons, France Bristol to Pisa, Italy East Midlands to Rome, Italy Gatwick to Alicante, Spain Gatwick to Nice, France Liverpool to Malaga, Spain Luton to Barcelona, Spain Luton to Lisbon, Portugal Luton to Toulouse, France

Flybe Birmingham to Brest, France Exeter to Brest, France Exeter to Faro, Portugal Manchester to Brest, France Southampton to Alicante, Spain Southampton to Bergerac, France Southampton to Rennes, France

Thomsonfly Bournemouth to Alicante, Spain Cardiff to Barcelona, Spain Coventry to Barcelona, Spain Coventry to Valencia, Spain Gatwick to Lyons, France Manchester to Lisbon, Portugal

Source: the Official Airline Guide and Thomsonfly

http://www.timesonline.co.uk/tol/news/uk/article4493293.ece

THE holidays of several thousand people were disturbed yesterday when suspected Basque separatists planted three makeshift bombs in a busy Atlantic resort area by the French Pyrenees.

More than a thousand people were moved from two holiday villages near Bayonne before dawn, after an anonymous telephone warning to local rescue services that five bombs had been planted.

One device -- a tin of petrol strapped to a detonator -- was found at a resort of the Pierre et Vacances chain at the Basque village of Arcangues. The 600 residents included French citizens and other Europeans including Britons. All resumed their holiday by mid-morning.

Another device was placed outside the Arcangues tourism office and the third on the high-speed rail line near the Atlantic town of Ondres. The railway device was a small gas canister attached to a detonator that could have exploded, police said. Rail traffic was halted along the coast from Bordeaux going southwards, holding up passengers on 60 trains for up to two hours.

No bombs were found at the other sites -- a holiday village at Anglet, the celebrated casino in Biarritz and a hotel and restaurant run by the superchef Alain Ducasse in the Basque town of Biadarray.

http://www.independent.ie/world-news/europe/holidays-disrupted-by-bombs-in-pyrenees-1450738.html

Ten per cent of formal complaints submitted to the Malta Tourism Authority last year concerned the Serena Hotel in Xlendi - the vast majority filed by tourists claiming their credit card had been used without authorisation or that they were unwittingly charged for services.

When contacted, MTA Quality Assurance director Frank Farrugia told The Sunday Times: "The complaints were very similar to each other and all related to some form of alleged fraud or payments which they felt were unfair."

The complaints - around 50 in total - have been forwarded to the police's Economic Crimes Unit or the Consumer and Competition Division or both, Mr Farrugia explained. Serena's owner and manager, Joe Vella, strenuously denies any wrongdoing and maintains guests were aware of the charges he debited.

Several tourists recounted their experience to The Sunday Times, claiming Mr Vella charged them hundreds, in many cases thousands, of euros in various incidents dating back to 2003. Guests said they made formal reports to the police and the MTA but have not been refunded or compensated.

Their stories are almost identical: A cheap holiday is offered to them by an online bargain tour operator like Bonus Week Breaks or The Gift Company - on condition that they attend a two-hour promotional talk on timeshare.

Then, they claim, Mr Vella contacts them and offers them free transport from the airport to the hotel. On arrival, he asks guests to sign a registration form and to hand over a credit card for "security reasons", assuring them that no charges would be made.

After that, they allege, he charges their account without their permission. The tourists allege that when they complain, Mr Vella produces a document which had either been given to them when they checked in or at that particular moment. This states that guests have paid on a 'room only' basis and that it is "compulsory" to pay - on arrival - for breakfast, dinner and utility fees. This amounts to an additional €490 per person a week.

On the popular travel website tripadvisor.com, 28 of the 35 reviews about the hotel speak of exorbitant "added" charges and a hotel manager to "beware" of. The negative reviews began in 2004 but have continued to appear persistently throughout 2007 and this year.
Mr Vella has on several occasions been questioned by police but has never been charged with an offence related to the allegations - the reason being that the case relates more to unfair tactics than to fraud or other illegal behaviour.

Mr Vella, who is from Malta, was fined by the authorities in 2003, but over a different matter when he advertised his two-star hotel as a five-star property. He felt it was unfair that the high quality Serena has such a lowly classification.

When contacted, Mr Vella offered three different versions as to why the reviews were on the tripadvisor website: first, that they were written by a person who bears a grudge against him; second, that various Gozitan hotel and restaurant owners were behind them because they disliked him; and third, that there was a particular travel agency which had given rise to a misunderstanding.

"I challenge you to write something. I have all the documentation to prove my case. If you write something I will ruin you, in every way," Mr Vella said.

Many of the former guests contacted by The Sunday Times said they want to get their money back and put Mr Vella out of business. They indicated a willingness to travel to Malta to testify in court - though they admit that this could be an expensive and therefore counter-productive exercise.

Edward Humphrey, a British tourist who stayed at the hotel in June, said: "Mr Vella told us that we could not stay there if we do not supply a credit card, so we had to concede. Thankfully, a taxi driver warned us that Mr Vella had a reputation."

So Mr Humphrey went to an ATM immediately to withdraw enough cash for the rest of his holiday and cancelled his credit cards. When he contacted his bank at home, however, he was told that the Serena Hotel had already taken £1,600 from the account.

This happened on the third day of his two-week holiday, which consisted of going back and forth from the police station and the hotel.

Mr Vella told police who questioned him at the hotel that there had been a mistake and that Mr Humphrey would be refunded accordingly.

But one night Mr Humphrey and his wife came back to the hotel to find they were locked out of their room. Mr Vella told them that he wanted them out because they were "troublemakers". The 'troublemaking' included speaking to other guests about their experience and encouraging everyone to check their accounts.

"Everyone else who checked their accounts found that Mr Vella had taken a similar amount of money from them. Even a couple of pensioners!" he said.

However, Mr Vella said that Mr Humphrey had only paid the commission to the travel agent who booked the accommodation, and that he knew full well that on arrival he had to pay for food and hotel utilities. When asked to specify which travel agent he was referring to, the hotel manager said he could not remember the name.

The Serena Hotel is one of a handful of hotels around Malta and Gozo that is promoted in package deals by Internet-based bargain tour operators. Mr Vella claimed that these companies offered holidays based on flights and accommodation only, and tourists were told beforehand that they would have to pay for breakfast, dinner and hotel utilities.
However, their booking form, seen by The Sunday Times, states only that "all resorts require a small (returnable) inventory deposit and some resorts may require a small utility charge payable at reception on arrival".

No complaints have been filed in relation to the other hotels that form part of these package deals - although their reviews on tripadvisor.com are not always positive.
Mr Humphrey's account is similar to that of John Craig, who in 2003 alleged that Mr Vella debited €568 from his credit card without permission.

The matter went to court - though the hotel manager told The Sunday Times he could not recall the incident - and Mr Vella was acquitted because of insufficient evidence.
In another incident, Susan Spencer and Michael Rees, who stayed at the hotel during the first two weeks of July, returned home and discovered that Mr Vella had debited €3,000 from their account.

Mr Vella insists that he was owed the sum for breakfast and dinner during their two-week stay, together with the three other adults they were travelling with.
Mr Farrugia said that, to his knowledge, the type of complaint levelled against the Serena Hotel had not been made about any other establishment in Malta or Gozo.

He also confirmed that the number of complaints was excessive in relation to those received about other hotels, though he stressed that this did not necessarily mean they were genuine.

Mr Farrugia also explained that in many cases, sales are made by tour operators directly to the customer - so misrepresentation may be taking place at that stage. In fact, in some cases, tourists were compensated for their experience at the Serena Hotel by their tour operators.

Mr Farrugia told The Sunday Times that the police, the Consumer and Competition Division and the MTA were working hard at trying to verify the number of complaints they received in the past months about the hotel.

Yesterday, The Sunday Times received another letter on behalf of 20 tourists currently staying at the hotel.

"We have got together as a group and have registered a crime of credit card abuse with the police in Victoria... We intend to make as much fuss as possible. This man... shouldn't be getting away with this," the letter stated.

http://www.timesofmalta.com/articles/view/20080810/local/tourists-accuse-gozo-hotel-of-foul-play

THREE North Wales-based holiday companies involved in timeshare-style scams have been wound up in the High Court.

The action follows an investigation by the Companies Investigation Branch (CIB) of the Insolvency Service.

Investigators found that Key Select Holdings Ltd, Key Select Services Ltd and Key Select Promotions Ltd had traded as Key Select Club. They operated a scheme where customers – for a fee of between £3,000 and £9,000 – would receive each year a certain number of points which could be redeemed for holidays.

The companies’ registered office was at County Arcade, 24 Meliden Road, Prestatyn.
The investigation found that the scheme received £107,250 in joining fees from members.
But after just 12 months of trading the officers abandoned the companies without
providing the accommodation and holidays the members had been contracted for.

Key Select Club members were also misled on the following: into believing it was associated with a third party holiday provider; that the Key Select Club would operate until 2062; that 10% of the subscription fees would be deposited into an account which did not exist; and that upon ceasing to trade in March 2007 their membership would be transferred to another provider, although no such agreement had been made.

The CIB’s investigation was unable to establish how many members the Key Select Club had, although only 10 members successfully booked holidays and a further five members attempted to book holidays but were unsuccessful.

In addition, due to the abandonment of the companies and the absence of books and records the investigation was unable to account for the joining fees.

The companies also failed to comply with various requirements of the Companies Act 1985 and appeared to be insolvent

http://www.dailypost.co.uk/news/north-wales-news/2008/08/06/timeshare-scam-firms-in-north-wales-wound-up-55578-21473273/

You're paying more to travel, and not just for your plane ticket: Every pound counts as the number of carriers charging for all checked luggage racks up. So it stands to reason that the public might be wondering why the airlines don't charge passengers with significant overages of a more personal nature.

Southwest calls them "customers of size." Medical professionals would use the term "obese." Bloggers and message-board habitues use names that are a lot less polite.

Many people assume that obese people are getting a free ride. But are they? Nearly all airlines keep it very quiet, but many have policies—informal or formal—in place to make sure that passengers of size carry their own weight.

It's a tricky business. In some corners—Canada, for instance—it just got trickier. A winter ruling barred Canadian airlines from discriminating against "clinically obese" customers. Southwest was successfully sued by a passenger who was told she needed to purchase a second seat after she had already boarded—too late, the ruling found. An ample Air France passenger won a case after citing humiliation at the hands of staff who wrapped packing tape around him in public to prove that he was too obese to sit one seat, forcing him to purchase another.

Here's the funny part about those lawsuits: At the time, both Southwest and Air France had actual policies in place for dealing with overweight passengers. Southwest's policy has been around for years. It states that if staff determine that the passenger will not fit in one seat, the passenger must purchase a second, the cost of which will be reimbursed if the flight is not full.

Air France's policy was more loose, urging passengers who knew that not having an empty seat next to them would be a problem, to handle it on their own in advance. As of this writing, Air France passengers "with a high body mass" are warned that if they do not purchase an extra seat their own, they may not be allowed to board. In the end, both airlines were punished for being up front with their customers, even if the execution of the policy perhaps needed work. This is, after all, a terrifically sensitive matter.

Perhaps that is why the topic, with many airlines, tends to be something along the lines of That-Which-We-Don't-Speak-Of. Call up a major carrier like United Airlines and ask what rules they have in place for dealing with the situation, and you'll hear a pregnant pause, followed by a terse "we have no policy."

American is more forthcoming, but hastens to emphasize that in no does it way require passengers to purchase two seats. Spokesman Tim Wagner does say that passengers whose weight exceeds 250 pounds should know that there are "possible limitations that could result in American not being able to accommodate them." He also states that the airline urges passengers to "recognize ahead of time that they may need to purchase two seats." He also cites the FAA regulation that all airlines adhere to—if you can't snap the seatbelt (after the extension is added, that is) you can't fly.

JetBlue doesn't mind taking a more straightforward stance. Spokesperson Alison Eshelman says that their policy requires larger customers who need an additional seat for their own comfort to buy one in advance. If they do not, and the crew cannot accommodate them, they will be required to buy the seat in any case, with no refunds. (However, Eshelman notes correctly that JetBlue does offer its passengers a little more wiggle room with their larger-than-average seat width on board the airline's A320 aircraft.)

But what of the growing awareness among the traveling public that it costs the airline more to transport an obese passenger than a passenger of average weight?

Those hoping for any type of joy in that department should sit on their hands. Delta's Susan Elliott states clearly that the airline "has no plans to implement any policy that discriminates against any of our passengers." Translation: This is one hot potato ain't nobody going to touch.

Here's a look at how a few different airlines deal with the "customer of size:"

Southwest: Passengers should plan on purchasing an extra seat or risk being asked to do so at the airport by staff. If the flight is not sold out, the passenger may claim a refund.
American: Passengers over 250 pounds should recognize that there may be limitations to the service that the airline can provide. However, it does not require that you purchase an extra seat automatically.

United: No policy whatsoever.

Midwest: Like Southwest, passengers are encouraged to know their needs in advance. If staff determine that two seats are required, the seat will be sold at the lowest possible fare, with a refund available if there is one or more open seats on the flight.
Air France: Passengers with "high body mass" may receive a 25 percent discount on an extra seat, knowing that if they choose to not buy the seat, they may risk not being able to fly.

JetBlue: You are required to buy a second seat, and there are no refunds.

Delta: The airline "works to accommodate" passengers with special needs. Upon request and availability, it will try to make sure the next seat is unoccupied. However, if the plane is full, you will most likely be asked to leave the flight and buy a second seat on the next available flight. (You can actually count on this being a fairly typical practice on most airlines.)

http://www.smartertravel.com/travel-advice/some-airlines-may-make-obese-passengers-buy-two-seats.html?id=2644439

Dealreporter is out with an interesting piece on Bluegreen (NYSE:BXG) saying Diamond Resorts may find financing an acquisition of Bluegreen, the Florida timeshare company, challenging, according to bankers following the situation. “This is a tough thing to finance,” said an industry banker, adding that his bank would not lend towards a possible deal between the two parties. It is the wrong time to finance a timeshare transaction, commented a second banker who was familiar with the companies involved and had previously been involved in lending for transactions in the industry.

On 21 July, Diamond Resorts signed a non-binding letter of intent [LOI] relating to the acquisition of Bluegreen for USD 15 a share, or approximately USD 500m. The agreement allows for Diamond Resorts to conduct “extensive” diligence until 15 September. In its 18 July letter to Bluegreen, Diamond Resorts said it was “confident that it will be able to raise the financing necessary to consummate the proposed transaction.”

A source close to the situation said Bluegreen had taken reasonable steps to satisfy itself “to some extent” that Diamond Resorts could finance the transaction. The source said Bluegreen had been given some insight into Diamond’s financing plans, but would not go into detail. The source acknowledged that financing market conditions were uncertain at present and decisions on both sides of the table could change during the due diligence process.

Yet, a third banker said the timeshare industry has been a steady performer in tough economic times as people have been unwilling to let go of the equity in their timeshare investments. However, he pointed out vacation ownership and residential sales at Starwood Hotels & Resorts Worldwide (HOT), one of Bluegreen’s major competitors, had dropped 28.4% in 2Q08 when compared to the same period in 2007.

The first banker speculated that because a LOI was signed rather than a definitive agreement, financing was probably the biggest question mark surrounding the deal. “I think that they are struggling on financing,” the banker said. Bluegreen is actually taking on the financing risk by allowing Diamond Resorts access to its books with no breakup fee, this banker said. Diamond Resorts had been given access to conduct diligence because it was a highly motivated buyer, and because of the attractive price being offered, the source close to the situation said.

Full Story http://seekingalpha.com/article/88963-bluegreen-can-diamond-finance-the-acquisition

With many of the services and amenities travelers once thought routine now accruing surcharges by the minute (if not disappearing altogether), travelers need to fend for themselves more than ever before. Between airlines dropping flights without warning and hotels sneaking unfair fees onto your final bill, it can feel like everyone else has their hand in your back pocket while you're looking the other way. But here at Traveler's Ed we have your back; here are my tips for fending for yourself from the time you start planning your trip until you get home.

1. Confirm your flights
On a recent connection through Las Vegas, traveler Lucy Sarks arrived at the gate to discover that her flight would not be flying and that she had been bumped to a later flight. Explanations were hard to come by, but Sarks later figured out that not only had the flight not flown, but the flight had been cut from the airline's schedule entirely — and her trip was the first one affected. Rather than try to contact a plane full of passengers, the airline chose instead to try to accommodate already-booked passengers on later flights without ever quite revealing why.

With airlines making unpublicized and even unannounced flight cuts all the time, it is easier and cheaper for the airline simply to deal with a few unhappy travelers and perhaps pay for a few nights at a hotel than it is to notify and rebook an entire flight. It is in their best interest to keep you in the dark, so you will want to check periodically in the days leading up to your trip to make sure your flight is still flying, let alone on time.

This problem will only get worse after Labor Day, when many airlines are quietly planning large-scale flight and route cuts. If you are already booked on a fall flight, watch your airline closely for cuts that might affect you.

2. Consider actual final pricing
With so many surcharges now in play, planning a trip is becoming more like spending time on a car lot; you think you're paying one price, but when they tally up the final cost, the numbers are a lot different (and always much higher). Many booking sites and processes seem to try to conceal many of these fees, making it harder to do true comparison shopping. And some of the costs don't even show up until you are actually at the airport, or the car rental desk, etc. As a result, you will want to collect as much information as possible so you can make an educated guess at the true final price with incomplete information at the time of booking. For example, if you purchase a roundtrip flight on an airline that charges $25 for each bag each way, you'll need to add $50 to any flight on that airline when booking flights.

3. Give yourself more time
Airlines are also cutting staff by the thousands; less staff equals fewer people to keep you moving through the airport, and thus longer lines, fewer people to help you with problems and slower progress through the airport. These cuts won't occur only at check-in and other front-line positions but also with baggage handlers and mechanics, resulting in more lost and delayed luggage, as well as increased mechanical delays when support staff can't keep up with maintenance and repair requirements.

We've all noticed it on the road; you actually need to obey the standard two-hour recommendation, which not so long ago was often safely fudged or even ignored. Ignore it now at your peril — and for peak travel at popular airports, you might want to allow yourself even more time.

4. Know luggage rules by airline
I reviewed the burst of surcharges on luggage and more in the past few weeks. Don't get caught opening your wallet wide at the airport when you follow your old routine of two checked bags plus a carry-on, only to find out that one or two of your three items will cost you $15 - $25.

Most folks know by now that the majority of airlines will charge $25 for a second checked bag; fewer realize that Northwest, United, US Airways and Spirit will charge you $15 for a first checked bag, each way. So anytime you are pricing out flights, you'll want to add the applicable baggage charges to the cost of any roundtrip flight on these airlines — or pack more efficiently to lighten your load.

5. Weigh your bags at home
Similarly, your checked bags could cost you if they are overweight; the difference between a 49-pound bag and a 51-pound bag could be $50, the most common fee for any bag weighing in excess of 50 pounds. It is worth noting that if you are traveling with a companion, and he has a 40-pound bag while you have a 52-pound bag, the airline does not average the two and let you pass; you'll still pay for the one overweight bag. If you take the time to weigh your bags before you leave, you can redistribute the contents such that you pay less or nothing at check-in.

As above, you will want to know the luggage rules; while most airlines charge $50 for any bag over 50 pounds, Delta charges $80 and Frontier charges $75; not all overweight bags lighten your wallet by the same amount.

6. Pack lighter, and let the hotel pick up the tab
Many essential travel items can be obtained free of charge in your hotel room or from the front desk — razors, tooth brush and toothpaste, hand soap, hair dryers and more. Instead of packing (and paying for) these items, simply request them at check-in. If you do end up having to purchase them at your destination, you'll find that prices at the CVS don't vary much nationwide.

11. Use the phone for research, not booking
While we're on the topic of phones, you won't want to book your flight on the phone any more (as I have recommended in the past); almost all the major airlines charge anywhere from $10 - $30 for this privilege. Researching flights on the phone without booking, however, won't cost you anything, so if you have questions about certain flights, feel free to call the airline and then book online to avoid the fee.

12. Clip coupons
With rising fuel costs driving up the expense of every component of travel, finding novel ways to save money is essential for many of us to be able to continue to travel at all. Finding specials and discounts on local attractions has been made extremely easy on the Web — simply type in the name of your destination and the word "coupons," and you'll find dozens of ways to save money. Give it a try; you will be surprised at how much dough you can save with this simple tactic that requires no travel agent, tour operator or travel pundit to pull off.

http://www.msnbc.msn.com/id/26011826/

It's the dawning of a new age, folks. In-flight Wi-Fi is slowly catching on with domestic airlines in the U.S. Now Delta is looking to capitalize on the popularity of in-flight Wi-Fi by outfitting its entire domestic fleet of aircrafts with Aircell's GoGo service.

GoGo will cost Delta flyers $9.95 on flights of three hours or less, and $12.95 for flights that are longer than three hours. Delta says it expects to begin to offer in-flight Wi-Fi early 2009.

American Airlines and Virgin America have been on-board for some time with in-flight Wi-Fi. Both have announced testing of Wi-Fi aboard its airliners for a limited number of flights. But Delta is making a big splash with an ambitious rollout of Wi-Fi to all its domestic fleet. This is big news coming from an airline that has been struggling lately.

According to Delta the first half of 2009 will see 133 of Delta's MD88/90 airplanes equipped with the service with another 200 Boeing 737, 757 and 767-300s to follow suit. Delta hopes to have more than 330 airplanes equipped to provide the Wi-Fi service by the end of 2009 making it the only major US airline to offer the service across its entire domestic fleet.

http://www.pcworld.com/businesscenter/article/149413/blog_delta_adds_wifi_to_entire_domestic_airline_fleet.html

If, while relaxing in the sun at your resort this summer, you're approached by someone with a flashing smile offering you a "winning scratch card" or a free holiday, then be on your guard: you could be about to fall into the timeshare or holiday club trap.

A recent undercover study by consumer body Which? found that scratch card touts in popular Mediterranean resorts – particularly in southern Spain and the Canary Islands – were luring British tourists into sales presentations with the promise of "star prizes". But to get these prizes, "winners" were having to sit through up to five hours of sales patter.

"Everyone likes to win a prize, but you may have to attend a lengthy presentation with a barrage of confusing information, where you are pressured into parting with thousands of pounds for something you might not even want – without the chance to think it over," warns Lorna Cowan from Which?

And this practice doesn't just happen overseas. You could also be targeted in the UK via a letter or someone cold-calling you at home to say you've won a "free luxury holiday".

So how do these timeshare and holiday club schemes work?

With a legitimate timeshare firm, you buy the right to stay in an apartment or villa for a set period each year. You will usually pay an initial charge, which could be several thousand pounds, plus some form of continuing membership or maintenance fee, which may be between £300 and £400 a year. Ownership rights are confirmed by a real estate register trustee and can be passed on or sold. But timeshare is quite inflexible as your use is usually booked in fixed blocks.

Timeshare holidays have attracted a lot of bad publicity over the years due to the tales of investors who got their fingers burnt. However, legislation is now in place to provide some protection. Under the EU Timeshare Directive, consumers have the right, for example, to obtain information in a prospectus or brochure before signing a contract, and must be given a "cooling off" period of at least 10 days after signing.

Holiday clubs, though, are not covered by these rules. Marketing themselves as the "flexible alternative" to timeshare, they differ in offering the chance to buy discounted holidays from a particular company – with a password to a website, say – instead of a tangible "bricks and mortar" product with ownership rights.

With a holiday club, people are persuaded to pay a joining fee that could range between £5,000 and £15,000, with the promise of cheap deals on hotel rooms and flights in the future. Yet the deals may be no cheaper than those available online or on the high street, and at the moment consumers do not get the same legal cancellation rights or protection if things go wrong.

In June last year, the European Commission announced plans to bring the law governing holiday clubs into line with that for timeshares – a move that was welcomed by consumer groups. Citizens Advice said the proposals would "stamp out some of the very worst abuses" and "close many of the loopholes in the law which have allowed rogue practices to flourish".

The rules, though, are not expected to come into force before 2010, so in the meantime consumers must be on their guard.

"Many people are very happy with timeshares," says Susan Marks, consumer affairs officer at Citizens Advice. "But we've all heard lots of horror stories."

She urges consumers to be wary of any prize or holiday that has to be collected at a presentation. "Don't claim it unless you want to undergo several hours of high-pressure selling."

If you are approached while on holiday, don't get into a taxi or bus provided by a sales rep; companies often choose locations well away from your hotel and out of town, making it more difficult to leave.

"Ignore suggestions that the special offer may not be available later on," adds Ms Marks. "And never make a payment upfront to clinch the deal on a timeshare. If the sales rep asks you to do so, they are acting illegally."

Always request written information about costs, including maintenance fees , as well as details on the companies involved and their responsibilities.

Take these documents away and read them before signing up; written information in your own language is a legal right.

"If you change you mind, act quickly," says Ms Marks. "Check the small print for information about a cooling-off period. If it's a timeshare deal, you may have time to cancel, but you may not have long."

Sandy Grey of the Timeshare Consumers Association says one of the biggest problems is knowing which product you are being sold. "It is difficult to identify whether it is timeshare or a holiday club, as reps tend not to use the word 'timeshare'," he explains. "Timeshare can range from excellent to awful but holiday clubs are generally bad news as on many occasions delivery doesn't match up with the promises made."

He adds, though, that a lot of local authorities are clamping down on touts – in the streets of Tenerife and Malta, for example – so fewer people are being caught out.

"Some credit card companies are also getting better at offering customers protection," he continues. "In some cases, they are helping people to get their money back."

For those people who are set on buying timeshare, he adds, it is better to wait until you return home – and then pick up a "resale" timeshare for a much lower price.

However, remember that there are alternatives. "A more flexible, upmarket timeshare is emerging called fractional ownership," says Melanie Bien from the broker Savills Private Finance. "This enables you to buy a share of a property which you can use for a period each year. But unlike timeshare, you actually co-own the property."

And as your cash goes into the bricks and mortar, you will benefit from any capital gain when the property is sold – though, of course, you will need the co-owners' agreement.

http://www.independent.co.uk/life-style/house-and-home/property/if-the-holiday-club-rep-drops-by-your-sunkissed-resort-be-on-your-guard-883613.html

Trying to save money on your next holiday? Why not swap homes like one family who traded three weeks in their UK flat in Tottenham for a condo in Hawaii
MILES Eady and Cara Rodway had a three-week honeymoon in Hawaii and it hardly cost them a penny. The couple knew they couldnt afford to stay in a hotel on the sun-kissed Pacific Ocean islands, so went for a house swap instead.

Cara, 26, says: "Miles and I are huge fans of the TV show Lost and thought it would be fun to visit all the set locations. And Hawaii looked like a great honeymoon destination really beautiful and exotic."

Student Cara posted her details on internet message boards last year, leaving plenty of time to make the swap arrangements before her marriage to Miles in April. She says: I got in touch with an elderly lady in Hawaii whose daughter Leinani has a two-bedroom condo on the island of Oahu. I began emailing Leinani and we built up an online friendship.

Condo (short for condominium) is simply the American name for freehold flats, and on April 1, as Cara and Miles flew to Hawaii, Leinani arrived in London to stay at their one- bedroom flat in Tottenham, North London, for two-and-a-half weeks.

While the newlyweds soaked up the sun on the other side of the world, she saw the sights of London.

Cara says: "The condo had a lovely balcony overlooking beautiful tropical gardens with ponds of koi carp. I found it much more relaxing than a hotel because we didnt have to dress up to go down to breakfast or worry about leaving the room because the maid was coming in. It was also lovely that Leinanis mum Evelyn was there to meet us and show us around the flat. It was so nice to see a friendly face at the end of a long journey.

"And it was so much cheaper than staying in a hotel. We must have saved ourselves at least s2,000, as we were there for nearly three weeks.

"In fact the whole honeymoon didnt really cost us much. On our wedding list we asked for vouchers at Trailfinders and the gifts covered the cost of our flights, which came to about s1,000 for two."

With the cash they saved Cara and theatre administrator Miles, 28, got the most out of their trip by taking a tour of TV locations for Lost (www.hummertourhawaii.com) visiting Waikiki Beach, Honolulu, and taking a helicopter ride to get a birds eye view of the spectacular scenery (www.makanikai.com).

There was an unexpected bonus they caught sight of one of the Lost stars. Cara says: "One day on Kailua beach, we saw Elizabeth Mitchell, who plays Juliet, out jogging. It was very exciting.

She adds: "Home swapping was a really affordable way of going somewhere glamorous and exciting for a fraction of the money we would have had to spend.

"I would definitely recommend it as a honeymoon idea for the cash-strapped its an excellent way to meet people and get a different view of your destination.

"And It also meant we didnt have to worry about our flat being burgled or our plants dying while we were away. Wed definitely house swap again."

HOW YOU CAN DO IT TOO

THERE are several companies in the UK and abroad offering the chance to swap properties, either for a holiday or for a longer period.

Some people planning to emigrate use home-swap organisations to see what it is really like living in the country before they take the plunge.

But most people use it as a chance to holiday in another part of the world without paying for costly accommodation which often means you can stay for longer. Many home- swappers say they find it more relaxing to stay in a house rather than a hotel.

And the accommodation is often of a much higher standard than a self-catering holiday apartment.

And you also have the added advantage of knowing your property isnt lying empty back at home.

Most home-swap websites will charge you a membership fee to advertise your home around the world, although some are free to register. Fees and services vary, so it is worth shopping around to see which suits you best (see the examples on the right as a starter).

Of course, you can arrange your own house swap, but in that case you must build up a good relationship with your swapper and be sure you can really trust them.
You dont want to come home to any nasty surprises...

USEFUL WEBSITES

www.homelink.org.uk has the biggest membership worldwide and will translate your details into 16 different languages. Annual membership s115.
www.homexchangevacation.com is free to register and charges only s16.95 for full membership a year.
www.holidayhomeswap.com is a site for people with holiday homes they want to swap like someone with a second home in Spain or on a Greek island swapping with someone with a chalet in the Alps. Theres free membership for the first year and afterwards its s25 per year.

http://www.mirror.co.uk/advice/holidays/adventure/families/2008/08/02/say-aloha-to-holidays-at-home-115875-20681459/

The headwinds that have slowed the Western airline industry have finally reached the Gulf.

Until now, Emirates airline’s dramatic growth had appeared to be unstoppable. As American, European and Asian airlines reported a long list of woes – losses, job cuts, fleet groundings and slower ticket sales – the Dubai carrier seemed to glide through the troubles with record profits and new plane orders.
But the fairy tale success story may get a hard dose of reality this year as Tim Clark, the president, has slashed his profit forecast due to the record-breaking rise in oil prices.

Emirates had expected to make US$1.5 billion (Dh5.5bn) in net profit, up from $1.36bn last year. Now, Mr Clark said he would be content to make several hundred million dollars, a drop of up to 75 per cent.

Lorne Riley, a spokesman for the International Air Transport Association (IATA), said fuel costs were now offsetting revenue growth among Middle East airlines, even as passenger demand had risen.
“The Middle East has the advantage of robust traffic growth and oil-based economies that have thrived, but at the same point the airlines have seen their operating costs go sky high because of the unprecedented hike in oil,” he said. “As a result, some airlines are already changing profits forecasts.”

Mr Clark said the airline was “totally exposed” when oil broke through the $100 barrier and then climbed up to its peak of $147 last month.
The revelation should silence critics who have long complained that Emirates received unfair support from its stakeholder, the Dubai Government.

The principal complaint from rivals, which has been so far unsubstantiated, is that the carrier receives cheap fuel from its owner.

Emirates has consistently denied it received any subsidy, and said it bought fuel from a variety of non-governmental sources in the UAE including Air BP, Shell, Chevron and Exxon. The forecast slump in profits may well finally put an end to the unfounded claims.
Emirates has some distinct advantages over its European rivals – no taxes, low labour costs, the absence of labour unions and cheaper landing fees at its base airport – but subsidised oil is unlikely to be one of them.

More importantly, the changed forecast reveals that Emirates is not immune to the ills that first infected US carriers and have slowly spread around the world.

More than two dozen airlines have gone bust this year, and Airbus and Boeing have begun to see their orders dwindle as customers defer, delay and in some cases cancel expansion plans.
JetBlue, the US budget carrier, has this year twice pushed back plans to buy more jets from Embraer of Brazil. Overall it has delayed deliveries of 31 aircraft, including orders from Airbus.

India’s biggest airline by market share, Jet Airways, had planned to receive two twin-aisle Boeing 777s in October, but now it is reportedly negotiating to defer the delivery date to next year.

In the past few years, one of the most important stories in aviation has been how Gulf carriers have begun to win over passengers that traditionally flew European and Asian carriers on long-haul, transcontinental flights.
In May, the IATA said European and Asian airlines had suffered some of their worst declines in ticket sales in five years.

In the same period, first-class ticket sales for flights between the Middle East and East Asia surged by 17.3 per cent.

The rising passenger numbers and bullish aircraft orders gave the Gulf carriers an air of invincibility amid the deteriorating environment around them.

But Emirates’s latest announcement appears to be a decisive acknowledgement that in the Middle East, record oil carries quite a sting, too.
Labour used to be the single highest cost for Emirates, with oil a relatively small piece of the overall pie.

Now fuel is a staggering 45 per cent of costs, forcing the carrier to rethink its operating model. Recently it raised its ticket prices by five to 10 per cent and moved to cut the overall weight of aircraft by ditching inflight magazines and possibly even footrests.

Only first-class passengers, which account for a significant proportion of revenues despite their small overall passenger numbers, have seen their amenities increase with features like the new showers on the Emirates A380.
Its younger rivals, Qatar Airways and Etihad, have also been hit. The Doha carrier had to shelve plans for a lavish, first-class-only service due to open by the end of this year, citing fuel costs.

Etihad, meanwhile, has acknowledged that its break-even target of 2010 could be compromised, because its fuel hedging contract is smaller next year, leaving it more exposed to current prices.

Ironically, though, Emirates could emerge even stronger than before. When European airlines eliminated their routes during the Gulf War, it kept its planes in the air.
Although Emirates took a hit with passenger numbers, it increased its market share, and when the market rebounded it held onto its gains.

The airline now sits on a formidable war chest of some $4bn in cash reserves, and Mr Clark vows to once again keep its aircraft in the air despite the challenging environment, even if it means compromising profits.

This tactic may work out quite well.

As the airline takes delivery of the quieter, fuel-efficient A380, customers that once flew with European carriers may decide to make the switch permanent.

http://www.thenational.ae/article/20080802/BUSINESS/51233338/-1/NEWS