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E L L I O T T ' S TRAVEL NOTES
Travel news, opinion and analysis

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September 23, 2004

Court Curbs Branson Travel Club
Missouri Attorney General Jay Nixon won a temporary restraining order Wednesday against a business that sold travel club memberships for up to $7,000 to visit Branson. Nixon alleged Wilderness Point Services Unlimited, which operates as The Voyagers, has shown a pattern of misrepresentations, fraud and harassment of consumers. He also is seeking restitution for the 25 people who claim to have lost a total of at least $50,000 through the alleged misrepresentations of the business and its owners, Thomas W. Hopkins and Sharon D. Hopkins. The judge granted the temporary restraining order after determining that the Hopkinses may have violated Missouri consumer laws, Nixon said. AP | Posted 6:45 a.m.
• Branson Travel Clubs Accused of Scam (AP)
• Lowdown on Vacation Scams (Crimes of Persuasion)

You know what they say. If it looks too good to be true...

Hotels Check In To New Reality
That classic barometer of the economic cycle, the hotels sector, is checking in three and four-star profits again after a three year nightmare. But the actions of a number of the leading players in reducing their capital bases to make them less vulnerable to that cycle and wild-card cataclysms, such as the 11 September, 2001 terrorist acts shows that they have awoken clear-eyed. The caution is understandable. After the attacks on America three years ago, occupancy rates at major hotel groups on both sides of the Atlantic slumped 25 per cent and room rates fell 15 per cent. Scotsman | Posted 6:35 a.m.

Bad Summer For Airline Industry
The performance of the struggling US airline industry in August was far worse than analysts had expected, according to new figures that could spark another widening of loss estimates for the third quarter. Figures released after the market closed on Wednesday by the Air Transport Association showed revenue per available seat mile, a key metric showing how much revenue airlines derive per seat, was down 3.7 percent in August compared with a year ago. Analysts had been forecasting it either to be flat, or down just 1 per cent. One analyst said far more worrying was the sequential change from July to August, typically two of the strongest months in the airline industry. It fell about 5 per cent month on month. “That is the worst July to August fall in a decade,” he said. FT | Posted 6:35 a.m.

American Needs New Line of Credit - AMR Corp. disclosed Wednesday that it's in talks with banks to replace an $834 million credit line because its poor financial performance would violate terms of the deal. The parent of American Airlines Inc. also said in a filing with the U.S. Securities and Exchange Commission that August revenue fell short of expectations because of intense competition and hurricanes. Dallas Morning News | Posted 7 a.m.

US Airways Asks For Pay Relief - Bankrupt carrier US Airways asked its unions yesterday for emergency relief from the company's labor contracts, a move that would allow the airline to cut costs and preserve much-needed cash during a slow travel season. The interim relief, if granted, would also result in immediate pay cuts for most of US Airways' 28,000 employees, including 7,600 in the Pittsburgh area. Post-Gazette | Posted 7:05 a.m.

Crude Bomb Found on Virgin Plane - A crude incendiary device has been discovered on board a Virgin Blue Boeing 737 airliner at Sydney airport. The device was reported to be a cardboard roll stuffed with explosive and attached to a fireworks sparkler. BBC | Posted 7:10 a.m.

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• Off the Record ... It's been six months since you rented a van. But what's this? A $486 bill for a chipped windshield? And if you don't pay up right away, the car rental company is threatening to send your name to a collection agency. In a just-posted troubleshooter column, I help one traveler figure out what to do next. Posted 7:15 a.m. | Send us your comments.

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