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	<title>NewsWires.ca: Daily Breaking News  &#187; Travel</title>
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		<title>Airlines Income is Up but Fees are Staying</title>
		<link>http://newswires.ca/airlines-income-is-up-but-fees-are-staying/43154/</link>
		<comments>http://newswires.ca/airlines-income-is-up-but-fees-are-staying/43154/#comments</comments>
		<pubDate>Tue, 27 Jul 2010 01:37:40 +0000</pubDate>
		<dc:creator>newswire</dc:creator>
				<category><![CDATA[Travel]]></category>

		<guid isPermaLink="false">http://newswires.ca/?p=154</guid>
		<description><![CDATA[Good times are finally back for the nation&#8217;s airlines. For travelers, that means it&#8217;s getting harder to find bargains. The summer travel season got off to a roaring start, fares are up, and money is rolling in from fees on things like checked baggage. The six biggest U.S. airlines earned about $1.3 billion in the [...]]]></description>
			<content:encoded><![CDATA[<p><a rel="attachment wp-att-155" href="http://newswires.ca/airlines-income-is-up-but-fees-are-staying/43154/continental-airlines/"><img class="alignleft size-medium wp-image-155" title="Continental Airlines" src="http://newswires.ca/wp-content/uploads/2010/07/airline-300x175.jpg" alt="" width="300" height="175" /></a>Good times are finally back for the nation&#8217;s airlines. For travelers,  that means it&#8217;s getting harder to find bargains.</p>
<p>The summer travel season got off to a roaring start,  fares are up, and money is rolling in from fees on things like checked  baggage.</p>
<p>The six biggest U.S. airlines earned about $1.3  billion in the second quarter, and more profits are expected for the  rest of the year. Even so, airlines are still woozy from the one-two  punch of record-high fuel prices followed by a recession. Those six big  carriers lost $22.7 billion in 2008 and 2009.</p>
<p>There were plenty of <a id="KonaLink0" href="http://news.yahoo.com/s/ap_travel/20100726/ap_tr_ge/us_travel_airlines_so_long_sales#" target="undefined"><span style="color: #366388;">fare sales</span></a> when the airlines were struggling to fill seats. Now those seats are in  demand, so deals are less common. And travelers are paying for &#8220;extras&#8221;  such as an aisle seat, checking bags and buying a ticket over the phone  — things that used to be part of the fare.</p>
<p>Here&#8217;s a look at what travelers can expect in the  months ahead:</p>
<p>FARES AND FEES</p>
<p>The airlines are hooked on fees after two years of  using them to overcome, first, high fuel prices and then slumping travel  demand. A new study shows that worldwide, carriers took in $13.5  billion from fees in 2009, a 43 percent jump in just one year.</p>
<p>&#8220;Fees are going to stick and they&#8217;re going to become  more pervasive,&#8221; says Jay Sorensen, a former airline executive who is  now president of consulting firm IdeaWorks, which did the study on fees.</p>
<p>United and American led the way on &#8220;ancillary  revenue,&#8221; including fees, at about $1.8 billion apiece last year,  according to IdeaWorks. <a id="KonaLink1" href="http://news.yahoo.com/s/ap_travel/20100726/ap_tr_ge/us_travel_airlines_so_long_sales#" target="undefined"><span style="color: #366388;">United Airlines</span></a> President John Tague calls  fees &#8220;an unequivocal success,&#8221; and suggests his airline could still  double the amount it&#8217;s bringing in with baggage fees.</p>
<p>Everyone is watching to see if travelers pay <a id="KonaLink2" href="http://news.yahoo.com/s/ap_travel/20100726/ap_tr_ge/us_travel_airlines_so_long_sales#" target="undefined"><span style="color: #366388;">Spirit Airlines</span></a>&#8216; fee of $45 for some  carry-on bags on flights starting Aug. 1. Most of the big airlines have  promised Sen. Charles Schumer, D-N.Y., they won&#8217;t follow Spirit&#8217;s lead.</p>
<p>Airlines have been able to boost ticket prices too. <a id="KonaLink3" href="http://news.yahoo.com/s/ap_travel/20100726/ap_tr_ge/us_travel_airlines_so_long_sales#" target="undefined"><span style="color: #366388;">Summer fares</span></a> are up an average of 18  percent, according to figures from a trade group for the big airlines.</p>
<p>Travel demand will taper off as fall approaches —  Continental Airlines is already seeing that. Still, airlines will try to  avoid slashing prices. <a id="KonaLink4" href="http://news.yahoo.com/s/ap_travel/20100726/ap_tr_ge/us_travel_airlines_so_long_sales#" target="undefined"><span style="color: #366388;">Rick Seaney</span></a>,  CEO of FareCompare.com, says the airlines are getting better at waving  sale prices in front of customers but selling most seats at higher  fares.</p>
<p>PACKED PLANES</p>
<p>Planes are stuffed like never before. Including  regional flights, Delta filled 88 percent of its seats in June,  Continental sold 87 percent, and American 86 percent — that&#8217;s about 2  percentage points higher than last summer.</p>
<p>&#8220;Leisure demand has been strong, and we expect it  will remain so throughout the remainder of the summer,&#8221; Continental CEO  Jeff Smisek told analysts.</p>
<p>Continental also hinted that demand is trailing off.  Advance bookings for the next six weeks are running behind the last  year&#8217;s pace.</p>
<p>Normally when airlines start making money after a  slump, they&#8217;re tempted to add new flights to snag returning travelers.  This time might be different. Sluggish bookings and concern about the  weak economic recovery will put pressure on airlines not to add flights  that might operate half-empty.</p>
<p>Shares of Delta Air Lines Inc. were punished last  week partly because the world&#8217;s biggest airline said it would increase  passenger-carrying capacity up to 3 percent next year. Too soon,  investors seemed to be saying. If the airlines add too many flights, it  will increase their costs and push fares down.</p>
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		<title>Toni Blair Lied Says Ex Mi5 Chief</title>
		<link>http://newswires.ca/toni-blair-lied-says-ex-mi5-chief/4331/</link>
		<comments>http://newswires.ca/toni-blair-lied-says-ex-mi5-chief/4331/#comments</comments>
		<pubDate>Wed, 21 Jul 2010 08:38:32 +0000</pubDate>
		<dc:creator>newswire</dc:creator>
				<category><![CDATA[Featured News]]></category>
		<category><![CDATA[Finance]]></category>
		<category><![CDATA[Travel]]></category>
		<category><![CDATA[World]]></category>

		<guid isPermaLink="false">http://newswires.ca/?p=31</guid>
		<description><![CDATA[Tony Blair&#8217;s evidence to the Chilcot Inquiry that toppling Saddam Hussein helped make Britain safe from terrorists was dramatically undermined by the former head of MI5 yesterday. Giving evidence to the same inquiry, Eliza Manningham-Buller revealed that there was such a surge of warnings of home-grown terrorist threats after the invasion of Iraq that MI5 [...]]]></description>
			<content:encoded><![CDATA[<p><a rel="attachment wp-att-32" href="http://newswires.ca/toni-blair-lied-says-ex-mi5-chief/4331/blair/"><img class="alignleft size-medium wp-image-32" title="blair" src="http://newswires.ca/wp-content/uploads/2010/07/blair-300x300.jpg" alt="" width="300" height="300" /></a>Tony Blair&#8217;s evidence to the Chilcot Inquiry that  toppling Saddam Hussein helped make Britain safe from terrorists was  dramatically undermined by the former head of MI5 yesterday.</p>
<p>Giving evidence to the same inquiry, Eliza  Manningham-Buller revealed that there was such a surge of warnings of  home-grown terrorist threats after the invasion of Iraq that MI5 asked  for – and got – a 100 per cent increase in its budget. Baroness  Manningham-Buller, who was director general of MI5 in 2002-07, told the  Chilcot panel that MI5 started receiving a &#8220;substantially&#8221; higher volume  of reports that young British Muslims being drawn to al-Qa&#8217;ida.</p>
<p>She told the inquiry: &#8220;Our involvement in Iraq  radicalised, for want of a better word, a whole generation of young  people – a few among a generation – who saw our involvement in Iraq and  Afghanistan as being an attack on Islam.&#8221;</p>
<p>She added: &#8220;Arguably we gave Osama bin Laden his  Iraqi jihad so that he was able to move into Iraq in a way that he was  not before.&#8221;</p>
<p>Her words are in stark contrast to  the claim that Mr Blair made in front of the same inquiry on 29 January.  The former prime minister told Sir John Chilcot: &#8220;If I am asked whether  I believe we are safer, more secure, that Iraq is better, that our own  security is better, with Saddam and his two sons out of office and out  of power, I believe indeed we are.</p>
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		<title>Friends remember festival stampede victim</title>
		<link>http://newswires.ca/friends-remember-festival-stampede-victim/4337/</link>
		<comments>http://newswires.ca/friends-remember-festival-stampede-victim/4337/#comments</comments>
		<pubDate>Fri, 16 Jul 2010 08:50:44 +0000</pubDate>
		<dc:creator>newswire</dc:creator>
				<category><![CDATA[Entertainment]]></category>
		<category><![CDATA[Travel]]></category>

		<guid isPermaLink="false">http://newswires.ca/?p=37</guid>
		<description><![CDATA[The employer of the young New South Wales woman who was killed in a stampede at a German music festival on the weekend has described her as outgoing and fun. Clancie Ridley, 27, was one of 19 people killed at the Love Parade festival in the city of Duisburg, in western Germany, after crowds panicked [...]]]></description>
			<content:encoded><![CDATA[<p><a rel="attachment wp-att-38" href="http://newswires.ca/friends-remember-festival-stampede-victim/4337/lovefest/"><img class="alignleft size-full wp-image-38" title="lovefest" src="http://newswires.ca/wp-content/uploads/2010/07/lovefest.jpg" alt="" width="285" height="190" /></a>The employer of the young New South Wales woman who was  killed in a stampede at a German music festival on the weekend has  described her as outgoing and fun.</p>
<p>Clancie Ridley, 27, was one of 19 people killed at the Love Parade  festival in the city of Duisburg, in western Germany, after crowds  panicked in an access tunnel to the festival.</p>
<p>Austrek Tours spokesman Dean Choma says Ms Ridley worked for his  company for a number of years.</p>
<p>&#8220;[She was a] very well liked kind of girl, really outgoing,&#8221; he said.</p>
<p>&#8220;She worked with us in our party buses as a tour guide and as a  person who got the good photos of people having fun.&#8221;</p>
<p>Ms Ridley&#8217;s best friend Carla Perovich says she had been excited and  looking forward to the festival.</p>
<p>Ms Perovich says Ms Ridley was less than a week into a three-month  holiday.</p>
<p>&#8220;She texted me at Love Parade, she texted me just before she got  there,&#8221; Ms Perovich said.</p>
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		<title>Air Wifi: FREE</title>
		<link>http://newswires.ca/air-wifi-free/4378/</link>
		<comments>http://newswires.ca/air-wifi-free/4378/#comments</comments>
		<pubDate>Mon, 31 May 2010 09:44:27 +0000</pubDate>
		<dc:creator>newswire</dc:creator>
				<category><![CDATA[Travel]]></category>

		<guid isPermaLink="false">http://newswires.ca/?p=78</guid>
		<description><![CDATA[Travellers used to getting a free wireless Internet connection on land are not willing to pay for one at 30,000 feet (9,000 metres). Wireless Internet service on airlines has not caught on, mostly because of the price. Travelers already paying $25 to check a bag and $20 for a roomier seat do not want to [...]]]></description>
			<content:encoded><![CDATA[<p><a rel="attachment wp-att-79" href="http://newswires.ca/air-wifi-free/4378/plane/"><img class="alignleft size-medium wp-image-79" title="plane" src="http://newswires.ca/wp-content/uploads/2010/07/plane-300x300.jpg" alt="" width="300" height="300" /></a>Travellers used to getting a free wireless Internet connection on  land are not willing to pay for one at 30,000 feet (9,000 metres).</p>
<p>Wireless Internet service on airlines has not caught on, mostly  because of the price. Travelers already paying $25 to check a bag and  $20 for a roomier seat do not want to fork over $5 or more for Wi-Fi  unless it is a necessity. They&#8217;re saving their Web surfing for solid  ground, where &#8220;hot spots&#8221; offer the service without charge.</p>
<p>Airlines have offered promotions, including some free service, to  draw attention to their Wi-Fi. But experts say only about 10 per cent of  passengers on Web-enabled flights have taken advantage.</p>
<p>Airline technology consultant Michael Planey thinks Wi-Fi will be  free as early as mid-2011. But if airlines want to go that route, there  is a catch: They still have to compensate the service provider, such as  Aircell, whose Gogo Inflight Internet serves every major airline except  Southwest.</p>
<p>Planey thinks the airlines have a few options to cover the costs:</p>
<p>—Getting big companies like Google or Verizon to sponsor free  Internet service. Those providers would make money through  advertisements.</p>
<p>—Pay for some part of the service themselves, and then use it to cut  costs. For example, a flight attendant could use the inflight Wi-Fi to  connect with reservations at the terminal and make new arrangements for  passengers who missed a connecting flight.</p>
<p>—Airlines could arrange ways to get a commission when travellers buy  things online.</p>
<p>Planey predicts that discount carriers like JetBlue, AirTran and  Southwest will stop charging first, promoting free Wi-Fi to win  passengers away from bigger airlines.</p>
<p>The major airlines have equipped most of their planes with Wi-Fi and  promoted the service. Prices of $4.95 to $12.95 aren&#8217;t exactly  exorbitant, but passengers will not shell out money for something they  don&#8217;t see as a necessity after paying higher airfares than last year and  other fees, says Anne Banas, executive editor of SmartTravel.com.</p>
<p>Even business travellers, who tend to have more money and a stronger  desire to be constantly connected, do not seem to be latching on to  Wi-Fi service in big numbers. Banas thinks it is a problem with the  logistics of working on an airplane: there is not enough wiggle room  between the seats, or enough time in most cases between takeoff and  landing, when laptops and smart phones have to be turned off and stowed.</p>
<p>&#8220;If it were easy, or if it were free, people would be much more  likely to take advantage,&#8221; Banas said. &#8220;It&#8217;s just not there yet.&#8221;</p>
<p>For now, Banas thinks Wi-Fi on Amtrak, the U.S. passenger train  service, which has more space and no worries about tucking things away  for takeoff, is a better solution.</p>
<p>Amtrak has had Wi-Fi for about four months on its high-speed Acela  trains in the Northeast Corridor. It is free, and Amtrak said it will  stay that way.</p>
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