Press Release

For Immediate Release
10 April 2008

ACTE SURVEY MEASURES PRELIMINARY FALLOUT OF AIRCRAFT MAINTENANCE GROUNDINGS

Alexandria, VA -- Preliminary survey results of U.S.-based business travel managers indicate that 62 percent of respondents are presently considering adding a stipulation to their airline agreements certifying that a carrier is in compliance with Federal Aviation Administration (FAA) air worthiness directives. According to a poll conducted by the Association of Corporate Travel Executives (ACTE), the purpose of this stipulation would be to assure travelers that there is no question regarding approved maintenance procedures, and to eliminate any duty of care contention.

“The FAA is now sending a strong message to the airlines, indicating that its directives cannot be subject to negotiation or interpretation,” said Susan Gurley, ACTE’s Executive Director. ”It is apparent that directives will now have to be followed to the letter. It will be interesting to see if the FAA can sustain this effort, and if its previous position regarding airlines as ‘customers’ will make the transition to one of oversight.” Gurley added that the fact a carrier is flying at all should be regarded as complying with FAA directives, and that the current stance of ACTE members indicates their confidence in federal oversight has been shaken.

Only three percent of survey respondents indicated travelers had indicated significant concerns about safety, while 59 percent had received some inquires from travelers, but were not regarded as significant enough to warrant cancellations. Thirty-eight percent indicated that had received no inquiries.

The survey indicates there have been recent cutbacks in travel, but not for safety reasons. Twenty percent of survey respondents indicated their cutbacks were directly related to economic reasons, while 80 percent stated that had not yet cut back on travel.

The overwhelming majority of ACTE members responding to the survey, 74 percent, described the recent flight cancellations due to maintenance issues as more of an inconvenience than a major cost issue. Twelve percent did cite the cancellations as a source of expense due to missed meeting and canceled events. Another 12 percent said they were unaffected.

Ninety percent of the survey’s respondents claim they are not considering switching carriers over the current maintenance crisis, but 10 percent say they are. There could be a direct correlation here to revenue lost through cancelled meetings or other events.

“It would appear as if the worst is over regarding the maintenance crisis,” said Gurley. “Business travelers can rest assured that U.S. carriers will now be among the most tightly inspected aircraft in the world.”

ABOUT ACTE:
The Association of Corporate Travel Executives (ACTE) represents the global business travel industry through its international advocacy efforts, executive level educational programs, and independent industry research. ACTE's membership consists of senior travel industry executives from 82 countries representing the €200 billion business travel industry. With the support of sponsors from every major segment of the business travel industry, ACTE develops and delivers educational programs in key business centers throughout the world. ACTE has offices in Africa, Asia-Pacific, Canada, Europe, Latin America, Middle East and the United States. For more information on ACTE, please go to www.acte.org.


For more information, contact:
Debbie Flynn
CEO
Brighter Group
The Pod, London's Vertical Gateway
Bridges Wharf, Battersea
London SW11 3BE England
T: 020 7326 9880
F: 020 7326 9890
E: [email protected]
W: www.brightergroup.com