Less flexibility on canceled tickets may be coming By Barbara De Lollis, USA TODAY A loophole that saves companies money on canceled non-refundable airline tickets could shrink next year. Despite refund restrictions on lower-priced, non-refundable fares, many corporate travel departments and travel agencies have been getting around the rules by giving clients refunds when their plans change within the week. That's how long they've had to report voided tickets to Airline Reporting Corp. (ARC), an airline-owned company that processes all ticket sales not purchased directly from the airlines. Agents like the window, saying it gives their corporate clients flexibility at a time when major carriers are making it harder for them to use lower-priced fares. But as soon as spring, ARC wants to give agents 24 or 48 hours to report voids. The exact timing is still being discussed, says ARC spokesman Allan Muten. Despite concerns about reduced flexibility from the American Society of Travel Agents and others, Muten says it's unlikely the system will be left unchanged. ARC says faster reporting will help prevent fraudulent use of unpaid airline tickets. Muten says an "alarming number" of tickets are issued by travel agents but not paid for. This year, at least $30 million of $59 billion in tickets booked haven't been collected, he says. "We all understand why they need to do it, but it's still going to be a change for the business traveler," says Ross Senholzi, accounting director for Rosenbluth International and a member of ARC's advisory council. Rosenbluth, which handles travel for corporate clients, voids 2% to 3% of its tickets, 1,500 to 2,500 a week, Senholzi says, mostly for changed plans. "Many savvy business travelers made use of that function with their travel agency," Senholzi says. Kevin Mitchell, chairman of Business Travel Coalition (BTC), says members expect that a tighter deadline will: Increase administrative costs to report voids more frequently. Result in more penalty fees. If businesses can't cancel tickets, they will have to pay charges such as the $100 rebooking fee for changing a ticket. Mitchell says the average fare for a BTC sample group was $400, making the fee a 25% add-on. Drive more travelers into higher-priced, refundable fares, which give them more flexibility. *************************************************** The owner of Roger's Trinbago Site/TnTisland.com Roj (Roger James) : escape email mailto:ejames@escape.ca Trinbago site: www.tntisland.com Carib Brass Ctn site www.tntisland.com/caribbeanbrassconnection/ Steel Expressions www.mts.net/~ejames/se/ Site of the Week: www.tobagoweddings.com/ TnT Webdirectory: http://search.co.tt *********************************************************