The Ticket Newsletter

DELTA STRIKEWATCH: Stay tuned to this special AJC page for the latest on negotiations between Delta and its pilots. Current deadline for resolution is APRIL 15.

NEW YORK, March 17 (Reuters) - Major U.S. airlines raised fares on most domestic routes $10 round trip on Friday, matching a fare hike pushed through on Thursday by bankrupt carrier Delta Air Lines. (That's two fare hikes in one week, folks! --see below-- Ouch!)

FARES ON THE RISE. Last week Southwest Airlines announced that it would raise fares $2 to $10 across the board, blaming higher fuel costs and the expiration of many of their fuel hedges. Nearly all other airlines, including Delta and AirTran, immediately responded by matching the increase. Get ready, folks. Those too-good-to-be-true fares that we’ve all grown accustomed to are about to blow away. But don’t freak out—with low fare carriers calling the fare shots now, you can expect several more reasonable fare increases as peak spring and summer travel seasons get underway. (On routes where low fare carriers, DON’T compete, you can expect more old-timey price gouging in the part of the legacy carriers.) TIP: If you have plans for summer travel and see a reasonable fare, grab it now because it will undoubtedly increase. AirTran FARE SALE expires today, Weds, Mar 15

PAYING FOR THE EXIT ROW. In a move expected to be copied by other fee-happy, cash-starved airlines, Northwest Airlines announced this week that it is testing charging an extra $15 for those wanting to sit in roomier exit row seats, or those business-traveler preferred aisle seats near the front of the plane. (Elite level flyers –-including those at SkyTeam partner Delta-- can reserve and pay 36 hours prior to flight; non-elite get 24 hours.) Northwest expects to make an extra $27 million per year selling these seats at a premium. (I dunno about this one. At 6’1” your humble TICKET editor would most likely, but grudgingly, fork over the $15 for guaranteed exit row seat.) What about you? LET US KNOW what you think about paying extra for preferred coach seats, and we will post your comments in a future issue.

MAY I HELP YOU, MON?? According to the Houston Business Journal, Delta has contracted with a Jamaican off-shore telephone customer service company to provide it with phone support. Those reps, working out of Montego Bay, will, among other things, handle reservations in Jamaica for Delta customers in the United States. If the pilot program with Delta goes well, the company could land the customer service work for SkyMiles. (Maybe they will be easier to understand than the Indian or Philippino reps Delta now uses?)

ARBITERS OF ARBITRATION. Lordy, how long can they stretch this out? We are getting SO bored with all this. (Are you? Let us know) Anyway . . . Delta and its pilots have now moved to arbitration to help settle their differences. Delta wants $300 million or so from the pilots. The pilots are only willing to give back $100 million or so. We think both sides know what will happen if there is actually a strike (so-long Big D), but we still don’t think they will let it come to that. Let’s hope not, anyway. It’s hard to feel sorry for either side. It would be so nice if we could just move on . . . but these are dead serious issues. This fight is now officially as ugly, or uglier, than the fight between the machinists union and Eastern in 1991. And most of us remember what happened there . . . .

JUST HOW BAD IS IT? Pretty bad. Check out what the Cincinnati Enquirer says this week: “Delta is ‘tapped out’ and can't borrow any more money to cover its mounting losses, making deep pay and benefit cuts it is seeking from its pilots essential to its survival, the company's chief financial officer told an arbitration panel Tuesday. But the pilots shot back that the likely termination of their defined benefit pension plan should count for something . . . Delta, the United States' third-biggest airline, is currently in Chapter 11 and is weighing the future of its pension plans. The plans covering all categories of Delta workers are underfunded by nearly $11 billion. Termination of all the plans would represent the largest corporate pension plan default in U.S. history. The pilots union has said repeatedly it will strike if its contract is rejected. A walkout would put the nation's third-largest carrier out of business, Delta has said. ‘We are clearly in the worst shape and are the most fragile of anyone in the industry,’ Bastian told the panel.”

EVER USED A PHONE IN FLIGHT? Here’s something interesting from the Wall Street Journal: “In the new study, researchers at Carnegie Mellon University rode 37 passenger flights on three airlines with a device that measured radio-frequency emissions from personal electronic devices, like cellphones, BlackBerries and laptop computers. The study found emissions from cellphones that could interfere with GPS systems. It also revealed that some fliers are already making phone calls in defiance of an industrywide ban: Indeed, one to four cell calls were surreptitiously made on each flight studied.” Okay, so we’ve left our blackberry on during a flight, but have never ventured to make a call. Have you? Let us know!

AIRFARES DOWN. EVERYTHING ELSE UP. According to the Business Travel Monitor released today by American Express Business Travel, the annual average fare paid for U.S. domestic airfares dropped to a six-year low at the close of 2005. Conversely, domestic and international hotel, as well as international air, and car rental prices reached new six-year highs.

THEY KEEP COMING. Here’s the latest in the barrage of registration required SkyMiles bonuses for those using SkyMiles credit cards. The deal: 20% bonus for all charges made between Mar 1 and April 30.

CUSHIER RIDE TO ASIA FROM ATL? SkyTeam partner Korean Air is introducing new First Class service on its daily nonstops between Atlanta and Seoul/Incheon beginning March 26. The new service will feature sleeper seats with 175 degree recline (not flat, but almost) and 83” pitch, and a 6.5” personal LCD video monitor. (Until now, KAL flights from ATL only offered business class and coach seats.) BETTER NEWS: Beginning September 2006, the airline will add new “cocoon” first class seats, plus premium business class seats as well as High Speed Internet (Connexion by Boeing), plus Audio/Video On Demand. (This will make KAL the preferred way to get to Asia from ATL, unless Delta comes up with major improvements to its Business Elite cabins for flights to Tokyo.)

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This new venue in a hotel at the super-uber-hot and anticipated Atlantic Station has a laidback and welcoming vibe with chaise lounges and a fireplace providing a warm greeting. We find men and women in suits lounging after work at the sleek bar, and a contingent of more casually dressed groups ready for a night out. Noshing on tasty, seasoned breadsticks with warm olive oil and pepper, we perused the menu of contemporary American fare. The wood oven pizzas and the salads really jumped out at us, but an adventurous mood led us to ask for appetizer recommendations. Wanna hear more? Then check out this month’s “Taste of The TICKET” and see what our fearless taste tester says about this hotspot in her latest dispatch from the Hotlanta food scene. See the TASTE OF THE TICKET

DELTA EXPANDS AT JFK: To take the spotlight off the fact that it will soon dump its well-liked (but apparently unprofitable), JFK-based SONG service, Delta announced today that it will add several new RJ non-stops to/from its JFK hub. While the new flights are nice, we think the best news (if it indeed happens) is that the carrier plans to invest $10 million in renovations to its tired, 46-year-old JFK terminal. (Have you seen the paint peeling from the ceiling on that 60's era exterior canopy that surrounds the one-time Pan Am terminal? Or waited in line in the dreary customs and immigration halls?) Delta says that refurbishments under way include replacing carpet, ceilings, paint, lighting and wall coverings in all public areas; refurbishing the Terminal 3 customs and immigrations entrance; refreshing facilities in Delta’s BusinessElite lounge and Crown Room Clubs; and restoring Terminal 2 facilities currently utilized by Song for Delta operations. The full refurbishment is expected to be complete by late 2006. (Remember when Delta had a buck and planned to raze the old Pan Am structure and spend a billion or so on a brand new facility? Those days are long gone . . .)

FEEDBACK: "Wow, so Delta's actually gonna paint and clean the old gal up? So what! I work 5 miles from the airport and I'm a 10 year + medallion member. I dread flying Delta to/from JFK. Have you ever tried to get your bags and then catch the AirTrain or have someone pick you up? This is the worst terminal for a major airline in the USA. It's a crime. I feel so strongly about this that I'm seriously considering that when flying out of JFK (Europe/California) forgoing my Delta miles and flying any other airline with a clean, modern easy to navigate terminal. It's an embarrassment to pickup clients from overseas at that godforsaken terminal!" --I Stoler

At least the increased service to/from JFK will make it easier for the people flying in for Delta's Bankruptcy hearings.....--J Kiger

TIPPING HOUSEKEEPERS . . .
It seems like we struck a nerve when it comes to the subject of tipping housekeepers. (An article on the subject appeared in the New York Times a couple weeks after our item ran here) Thanks for the many responses to our query and sorry we can’t share all of them here. But here are several:

PAID FOR SCHOOL. “Always!!! in all countries that I travel in...years ago, a housekeeper saw me leave a few dollars (per day of stay) on the desk and thanked me...she told me that this was how she had helped her daughter get through university. gives quite a perspective on what a few dollars can mean.”—B Cohen

TIP ON LAST DAY. “Thanks for pointing out this often overlooked courtesy. I tip either $1 or $2 per night of my stay depending on the caliber of the hotel. I do wait until I am checking out to leave the money.”—S Woelfel

TIP EACH MORNING. “Ms Manners says to leave it at the end of the stay, but I leave the tip every morning just in case there is a different housekeeper every day. We business travelers need to keep in mind that these folks are the ones that make sure our hotels are decent and clean and they are not very well paid for their efforts. I am sure, for them, every dollar helps.” --T Prance

“I always tip housekeepers. It’s not that much to me but I know it means a lot to them.”—J Carter

THEY DESERVE IT. I whole heartedly agree. The hotel housekeepers work very hard so our rooms will be perfect. Like a waitress, they deserve a good tip for their literally back breaking work. --H Steinkraus

WRITE THANKS. “It has always been appropriate to tip housekeepers, just as you do wait persons and bartenders. $2 a day is minimum in a business clas hotel, and it is nicer to leave it in an envelope, with a ‘thanks’ written on it, so there is no doubt that it is a tip, and not something forgotten. More per day is correct for the highest price hotels.” --N Cunningham

18 BEDS AND 16 COMMODES. “Remember to leave a tip daily (not at the end of a stay) as the housekeepers may rotate sections or be on a day off if you leave a tip at the end of the stay. Based on the cleanliness, and overall responsiveness (greeting in the hallway etc), I leave between $2 and $4 per day on the bed. Try making 16-18 beds a day and cleaning 16 commodes! Thanks for bring this opportunity to make someone’s day in the back of the house!” --K Pahkim, CHA

“Amen!!! This may be the difference in whether some child eats today or not.” --D Reineke

DUMB IDEA. “That is a dumb recommendation, Chris. Hotels have been gouging business travelers for years. A GM at the SF Palace told me his costs to deliver a room were $34 a day and that was about 8 years ago. Hotels overpay their salespeople and underpay their working staff. They should be taking care of their maids with some of the $150/night they charge business travelers on average in large cities.” –R Shellenberger

UNDER THE PILLOW. “Our babysitter used to clean rooms at the Ritz Carlton-Buckhead. She complained that crew that fills the minibars visits the room ahead of the cleaners and that these folks often snatch their tips. Her suggestion: place the tip under the pillow.” --Jim Kieffer

We also asked TICKET readers whether or not they have experienced crowding problems at Crown Rooms in light of all the new Delta partner airline members that are allowed access:

“Crowding???? I thought it was expected to stand in a Crown Room! Its a joke in ATL.” --J Flournoy

“Yes - this is not a perk anymore because I cannot find a seat in most lounges during common travel times.” --J Eddy

“Yes, the crown rooms in ATL are overcrowded. In the B concourse, you’re lucky to find a seat during peak times.” —R Davis

MEDALLION BOARDING ISSUES . . .“Delta may finally be getting it, that loyal frequent fliers are not pesky passengers, but a backbone of the airline. However, the arrogance continues when it comes to minor things for medallion members, like age-old promises of "priority/advance boarding". For more than year now, Delta changed it's early boarding for all medallion members after First Class. A medallion member now has the "privilege" of boarding in one of the first three zones, by golly. Which means that if you don't rate an upgrade and you didn't manage to get a seat forward, you get to board WITH THE REST OF THE PASSENGERS in your appropriate zone, as in ZONE THREE. That's not a serious hardship except for the fact that it tends to nullify FF status and it pisses off loyal customers once again. What does Delta gain by this silly change? Nothing. No boarding time is saved. But Delta does lose goodwill.” --D Coberly

SONG COMMENTS . . . (Regarding Delta’s recent deployment of its SONG fleet on Delta mainline route)NO FIRST. “You should be asking Delta how long this will go on. They said they are refitting the SONG 757's with a First section.....but there is no indication of when. I suspect many folks that booked First and needed the extra room to work or whatever are going to be pretty angry when they find out. The TV doesn't really make up for that, because it's only an hour flight” --BN

I LIKEY. Very impressive! I had a aircraft change from LGA to ATL ..supposed to be a 757 with First Class and coach and was substituted with a Song aircraft.At first, I was taken back with the colors but it actually was refreshing and soothing. It made me think of the 70's or those typical summer popsicle flavors of purple and lime. I was impressed with the trivia game which allows you to compete with fellow passengers. Seats were comfortable. I don't understand....all that I know is that those living in the Northeast love SONG..and it figures...something is liked and branded and now relinquished....oh well, it's not over until the Fat Lady Sings...—S Buchwald

UAL PRE-PAID ELITE STATUS . . . “I can see using the elite prepaid card if you are about to fly 75,000-100,000 miles in year when the previous year you did not reach elite status, but why would you do it the next year? If you spent $20,000 on tickets in 2006, for example, you would probably fly enough miles to be top elite the next year, so is this some kind of one-time deal?”--L Peterson

AIRTRAN AND DELTA SLAPFEST. AirTran press release: "Delta reported today that its on-time performance was better than AirTran Airways as reported by the U.S. Department of Transportation (DOT) for January 2006. AirTran will stipulate that Delta did in fact have a 2.7 percent better on-time performance in January 2006 than AirTran Airways in Atlanta (75.7 percent flights arriving within 14 minutes of schedule for Delta versus 73.7 percent for AirTran Airways), but in typical fashion they fail to include all relevant consumer statistics. "AirTran Airways would like to congratulate Delta on this accomplishment, but why stop there? Let's look at all consumer metrics reported by the DOT, including cancelled flights, lost bags, oversales and complaints," said Kevin Healy, AirTran Airways' vice president of planning. "Based on the most recent DOT report, Delta was 21 percent more likely to cancel your flight, 64 percent more likely to lose your bag, an astounding 1,440 percent more likely to bump you against your will and, I suppose, not surprisingly, Delta customers complain 93 percent more about their Delta flights and service than AirTran customers." AirTran release. Our take: That new fifth runway could not open fast enough. Only then will Atlantans get out from some of the worst on-time performance of any major airport in the country.

PILOTS VS. DELTA: THIS COULD GET UGLY. Delta and its pilots union failed to reach a new pay cut deal by Wednesday's self-imposed deadline, sending the dispute to an outside panel of arbitrators and setting up a showdown in coming weeks. The company says it needs a long-term deal to replace a temporary pact reached in December and give it cost relief for its Chapter 11 rebuilding effort. The union says Delta is asking for too much and that it may call a strike if arbitrators let the airline impose its terms. (Russell Grantham, AJC) Do You think Delta pilots will actually strike? Let us know! Related: Northwest pilots have authorized a strike in a bankruptcy judge allows the carrier to void its contract. However, few believe that a strike will result.

DELTA GETS DOT APPROVAL FOR AFRICA FLIGHTS. Feb. 28, 2006 – Delta has received the necessary U.S. government approvals to begin flights between the Atlanta and the burgeoning South African city of Johannesburg, with an intermediate stop in Dakar, Senegal, effective Dec. 4, 2006. Beginning today, customers can purchase tickets or redeem miles for these new flights at delta.com and through other ticketing channels. Delta will operate its new service to Africa with Boeing 777 aircraft featuring 50 Business Class and 218 Economy Class seats.

SONG PLANES COMING TO YOU? TICKET reader BN comments: "Delta has started the assigning of SONG aircraft for their regular 757's starting in May. I had two flights in May from ATL to TPA....and I bought the A First.....knowing how much they have been jockeying times and aircraft I keep a close eye on my reservations online. I think what annoys me is that they give NO advance warning of stuff like this. You just have to be sharp enough to catch it. If I had wanted to fly coach, I would have done the lowest fare available at the time of booking. Instead, they put you into Coach on a full Y fare." Upside: If you ARE in coach, you'll get seatback satellite TV, which we REALLY like. Been on a SONG plane lately? Let us know!

WINDY WEATHER. Have you noticed that those west-bound flights are taking longer than ever? It's not your imagination. It's the headwinds, which are clocking at record highs this winter. Flip side is that the flight home to Atlanta is a lot faster. Westbound flights hindered by headwinds have a groundspeed of 300-400 mph, whereas those with a strong tailwind fly at about 510 mph.

IS DELTA KILLING ITSELF BY TRYING TO KILL AIRTRAN? At a recent airline investment conference, AirTran CEO Joe Leonard said, "We much prefer a Delta trying to make money than one that really doesn't care about making money. If they return to profitability, that's fine. If they take their lower costs and say 'let's try to kill [AirTran],' which is what they've been trying to do for the last seven years, they'll lose hundreds of millions of dollars." As an example, Leonard said that three years ago, after AirTran announced twice-daily Atlanta-Los Angeles service, Delta responded by matching its fares. As a result, according to AirTran estimates, Delta turned a route that had been producing $30 million in annual profits to one that lost $80 million annually. (Ted Reed, TheStreet.com)

WHAT ELSE CAN THEY DO TO TICK US OFF? As you know, airlines currently advertise fares that initially omit some government taxes and fees, which is allowed, though the uniform nature of those charges makes shopping for fares fairly easy. But if the large airlines win their lobbying battle to loosen industry advertising regulations, the proposed changes would give them leeway to also advertise fares that do not include the entire amount that the airline would receive. For instance, an airline could advertise a fare and then add a fuel surcharge, increasing the overall cost of the ticket. That could make price comparison more difficult. "It looks like the airlines are going to get free rein to do whatever they want," said Henry H. Harteveldt, a travel analyst at Forrester Research. "Buying an airfare is confusing enough now. This could make it even more confusing." (Christopher Elliott, New York Times)

PAY MORE, GET MORE FROM UNITED. "We are judiciously taking money and investing it in the high-value customer and at the same time we are not spending any more than we have to on the low-value customer," Frederic F. Brace, United's chief financial officer, said last week in a speech to industry analysts sponsored by J. P. Morgan. He said United planned to cut in-flight service for "low-value customers who quite frankly don't value it and aren't willing to pay for it" while improving amenities in first class, business class and premium economy. Premium economy is a coach section with better seats and service and slightly higher fares. (Joe Sharkey, New York Times)

AIRTRAN SALE. AIRTRAN launched a sale today for travel to all its destinations. You can buy tickets thru March 9 for trips all the way through nearly the end of summer (Aug 23). Fares are cheapest if you fly on Tues, Weds or Sat. Samples fares: ATL-Seattle or San Francisco $129 each way. ATL-Chicago is $89 each way. (Advice: Book these low fares now as they will soon disappear as demand increases for summer trips.) Book at airtran.com

NEW FLIGHTS. Delta starts new nonstops between Atlanta and Calgary, Alberta and Bozeman, MT starting June 8 using Boeing 737’s. Continuing its expansion beyond its ATL hub, AirTran will offer nonstops between Charlotte and Chicago/Midway starting in June. Also, it will add nonstops from its focus city of Baltimore to both Detroit and Milwaukee.

FIRST CLASS TO MEXICO CITY. Thanks to Clark Howard for pointing out this great deal: Aeromexico is offering first class trips between ATL and Mexico City for only $590 (incl tax), but you can’t book it online. You have to call. Here’s the deal:

SKYMILES FOR MORE THAN JUST MAGS. Delta’s SkyMiles program has been slow to offer members opportunities to redeem SkyMiles for more than free tickets and magazine subscriptions. But starting next month, Platinum members (only, unfortunately) will be able to turn some of those massive banks of SkyMiles into merchandise (i.e., household and travel-related items, including electronics, home and garden items, outdoor equipment, hotel stays and gift cards.) Our source within SkyMiles told us, “We anticipate that some customers will be very interested in the program who find travel less exciting (since they do a lot of it), while others will continue to redeem all of their miles on flights. Providing customers more choice in how to earn and burn their miles makes our program even more valuable. In terms of pricing of the merchandise and the mileage exchange, it will be equivalent and competitive with what other programs have out there for accrual/burn exchanges (e.g. Membership Rewards, Diners Club, Hotel Programs). Doors to the new Medallion Marketplace should open on or around March 9.

BUY YOUR WAY INTO ELITE. For the second year in a row, United is offering a unique pre-paid card plan (The United Elite Prepaid Travel Card) for those who might consider buying their way into Elite status. For those willing to give United $20,000 upfront, they’ll get automatic 1K status (similar to Delta Platinum). $10,000 for Premier Executive status, or $5000 for Premier status. Once you buy the card, you can use it like a debit card for United flights over the next year. No airline matched this program last year, so we don’t imagine something like this from Delta any time soon. But, what do you think about this idea? Would you be willing to front that much cash to a legacy airline to get into the ranks of elite? LET US KNOW what you think.

ATL LOOKING DIRTY? Airport GM Ben DeCosta has returned from a tour of some of those spotless Asian airports, as in Hong Kong or Seoul, and decided that ATL looks shabby in comparison. Problems include dirty or broken doors, filthy air vents, holes in walls, leaky urinals, dirty bathroom tiles, gate podiums that are taped together, trash sitting on top of trash cans, newspaper boxes that have never been cleaned, messy wires around electrical outlets, missing ceiling tiles and vandalized signs. To combat the mess, he’s launching a new program called Operation Clean Sweep to clean the place up and encourage users to be more conscientious of trash left behind. (Rachel Tobin Ramos, Atlanta Business Chronicle)

TOTALLY AWESOME VISUAL. Have you ever wondered what it would look like to see all the planes flying across the US? Using FAA flight data, developers of this page have posted unique, even haunting, and beautiful works of what look like satellite images of thousands of flight paths across the continent. Check it out here when you have a moment. (Thanks to USA Today’s Ben Mutzabaugh for pointing this one out to us.)

QUESTION: We are working on an article regarding privacy issues for business travelers. Have you ever felt like your privacy was in jeopardy on the road? Worried that that wi-fi connection might be spilling the beans about the confidential deal you are working on? Have you felt the prying eyes of seatmates as you work on your laptop on the plane? Someone listening in on a cell phone conversation at the airport? Worried about the confidential contents of your briefcase as it goes through security? Do you trust hotel safes? If you have any comments or experiences along these lines, we’d love to hear from you!

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