Spanish government to inject €400m to tourism

Madrid, 28/11/08 - The Spanish government is to help the country's tourism industry deal with the effects of the global financial crisis by supplying a cash injection worth some €400 million, deputy prime minister Maria Teresa Fernandez announced, according to Travel Daily Journal.

The aid packet is intended to help modernise the tourism industry and make Spain a more attractive tourist destination, particularly through interest-free loans for small and medium enterprises in the tourism sector.

Tourism accounts for some 11 per cent of Spain's Gross National Product, and is an important pillar of the country’s economy. In the first 10 months of 2008 51.7 million tourists visited the country, according to the tourism ministry, 1.4 per cent less than the corresponding period in 2007. A two per cent fall for the whole of 2008 over the previous year is expected.

Air Malta launches voluntary redundancy scheme

Luqa, 25/11/08 - Air Malta has issued a voluntary redundancy scheme (VRS) for its employees.

“The issue of this second VRS should be viewed in the light of the current global financial situation”, says the flag carrier, “the fluctuations in the price of fuel which have caused severe turmoil in the operation of all airlines, the increasing costs and the resultant financial pressures being faced by the airline”.

The aim of this scheme is to “right-size” the airline’s human resources; retain the necessary skills and competences whilst maintaining the right number of employees according to the airline’s changing operational exigencies. This is being undertaken to ensure a sustainable future for the airline.

The VRS will be launched on 1 December and will remain available until 28 February 2009. The offer is open to those who have worked for Air Malta for at least seven years. Eligible employees will be able to choose between two schemes:

One hundred sixty employees have already left Air Malta under the voluntary redundancy scheme when it was first launched in 2006.

Hoteliers reluctant to be tax collectors

Sliema, 21/11/08 – We’ve heard it all before. Hoteliers complained about escalating operating costs and slimmer returns, the lack of official interest in the product and the need for more airline seats. This, in essence, was the gist of the Malta Hotels and Restaurants Association’s 50th AGM, held today at The Palace hotel.

Referring to the recently-announced tourist tax of 50 cents a night – which will be introduced on 1 January 2010 - association president Kevin de Cesare said hoteliers “think this is an ill-advised tax and the MHRA does not accept to become a tax collector on behalf of the government”.

If the government is adamant in implementing this tax, declared de Cesare, “then they have to find the ways of levying it themselves”.

Hoteliers, it seems, have overlooked the fact that they already are tax collectors. Added to every guest’s bill is value added tax.

Nevertheless, the MHRA feels that the “government will find it very difficult to implement this tax and will realise that it could very well be the proverbial last straw that broke the camel’s back”.

De Cesare, along with association secretary general Hugh Peralta, also spoke disapprovingly of the upwardly revised utility tariffs. Although some hotels “will actually save money” on their water and electricity bills, “others, especially the larger hotels, will have to pay quite hefty increases”, said de Cesare.

“What government was asking us to pay was approximately between 50 and 70 per cent more than what we currently pay, but we managed to trim this down to 20 per cent”, de Cesare explained, but emphasised that “we still do not agree with the government on these increases.

De Cesare also criticised the Malta Tourism Authority for not reacting fast enough to the downward trend in tourism, particularly in taking decisions about the opening of new airline routes.

"Bold decisions, especially on new routes, need to be taken now”, he said. “We are already late and in reality these decisions should have been taken earlier”.

Many hoteliers are now forecasting a 20 per cent drop in occupancy levels over winter “and some are predicting worse. Moreover, a number of tourist operators feel abandoned and believe the effort and support they received from the MTA is not as strong as it used to be. Air Malta, meanwhile, is aiming to carry more passengers this winter than ever before (see Air Malta aiming for record winter passenger loads).

On the perennial matter of product Malta, the MHRA president complained of the filth, noise pollution and general untidiness. He accused the government of being seemingly unable to address the issue of cleanliness.

Following de Cesare’s address, former MHRA president and current chief executive of the Malta Tourism Authority Josef Formosa Gauci, outlined the authority's marketing strategy for 2009 (see Recasting predictions by Parliamentary Secretary for Tourism Mario De Marco.)

The new MHRA council for 2008/2009, meantime, is composed of Kevin de Cesare as president, Winston J Zahra as senior vice president, Claire Zammit Xuereb as vice president and Joseph Attard as treasurer. The other members Alexander Bonello, Mario de Celis, Noel Debono, Julian Diacono, Alex Incorvaja, David Jaccarini, George Micallef and Tony Zahra.

October cruise traffic up

Valletta, 21/11/08 – In October 72,721 cruise liner passengers visited Malta, an increase of 14,535 over the same month in 2007, according to the National Statistics Office. Embarkations and landings in October stood at 1,290 and 1,461 persons respectively.

In the first 10 months of the year, meanwhile, cruise passenger traffic to Malta amounted to 496,283, an increase of 16.5 per cent over the same period last year. Passengers from EU countries accounted for 77.8 per cent of total traffic, the main markets being Spain, Italy, the United Kingdom and Germany. On the other hand, the American market remained substantial, representing 58.1 per cent of non-EU passengers.

The overall growth in cruise passenger traffic was underpinned by increases in the American, British and Spanish markets. At the same time, the cruise passenger scene was characterised by falls in the German and Italian markets, by 16,176 and 8,734 passengers respectively.

On a gender basis, male and female cruise passengers were at par. The largest proportion of passengers - 33.3 per cent - comprised persons aged between 40 and 59, followed by those in the 60 to 79 age bracket who accounted for 29.3 per cent of the total.

The average number of passengers per cruise liner, defined by the NSO as the number of cruise passengers divided by the number of cruise liner calls, increased to 1,322 passengers per vessel for the month of October. There were 55 cruise liner calls in October, bringing the total for the first 10 months of the year to 358 compared to 318 during the corresponding period last year

MIA traffic down six points in October

Luqa, 18/11/08 - Passenger movements in October at Malta International Airport decreased by 6.1 per cent when compared to the same month in 2007; with a total of 279,946 movements handled, this means that there were 18,319 fewer passenger movements on scheduled and non–scheduled flights.

Aircraft movements also decreased by 8.8 points for a total of 2,342. The seat capacity in October was also down 24,622 (-6.1 per cent) whilst the seat load factor also decreased, albeit marginally by 0.1 points. Cargo and mail handled at MIA during the month of October was 1,503 tonnes, a decrease of 8.4 per cent over last year.

The loss in passengers from the UK market was once again felt in October with a decrease of 21,716 movements (-17.8 per cent). MIA also experienced a downturn in the Italian and French markets, which resulted in a drop of 10.3 and 1.8 points respectively, whilst the German market maintained its ground and the Spanish market continued to grow with more than double the passengers passing through MIA when compared to October 2007.

In spite of the negative trend in October, the figures for the first 10 months of the year still show an increase of 162,865 passenger movements (+6.2 per cent), registering no change in aircraft movements which were equivalent to 23,861 on scheduled and non-scheduled traffic. The seat capacity rose by 3.2 points, whereas the seat load factor also improved to an average of 72.9 per cent. Cargo and Mail activity increased by 2.1 points during the period January to October with a total of 15,067 tonnes handled.

Passenger movements from the UK in these 10 months decreased by 31,518 (3.2 per cent) whilst those from Italy and Germany rose by 19,469 (4.8 per cent) and 57,530 (15.7 per cent) respectively. The other main markets – France and Spain have also grown considerably, registering increases of 10.4 per cent and 177 per cent respectively.

Air Malta aiming for record winter passenger loads

Luqa, 12/11/08 – “This winter we are aiming at a growth in passenger figures of 30,000”, says Brock Friesen, Air Malta’s chief officer commercial, “an increase of six per cent over last winter’s record season during which we had managed to increase passenger arrivals by 12 per cent over winter 06/07.

“Although this is an ambitious target, considering the global slowdown in economic activity, we are cautiously optimistic that we can achieve good passengers figures this season”, Friesen adds

With the introduction of the carrier’s winter schedule, that will run until 28 March, Air Malta will be operating direct flights to 30 destinations with more than 110 flights a week.

“This winter we are continuing to focus on our strategy of increasing frequencies to core markets. We are again concentrating on attracting individual travellers and have recently launched several marketing campaigns in the UK, France, Germany, Italy and the Benelux, without neglecting the traditional sources of business like tour operators, travel agents and conference organisers”, Friesen explains.

“In Europe we are aggressively promoting value for money travel opportunities during Malta’s lean months. We are yet again marketing The Malta Break Escape campaign, targeting short-break holidays. The campaigns which started in early September are yielding good results and currently bookings are at par with last year’s record growth”, adds Friesen.

Air Malta has also launched the winter 2008/9 edition of Flyaway Tours. The 48-page colour brochure is once again packed with “flexible vacations and travel opportunities at great prices”. Hotel rates start from, for example, €35 per person per night in London, €29 in Rome, €38 in Milan, €31 in Paris, €29 in Vienna and €30 in Berlin. Other destinations are also being offered.

This winter’s brochure also features the chance to book Portsmouth Football Club’s home matches in the English Premier League. With the deal between the soccer club and Air Malta, Flyaway Tours is selling match tickets, hotel accommodation and flights complete in one package.

British Airways launches remote check-in service

London, 11/11/08 - British Airways has launched a remote check-in service, allowing travellers to check-in for flights wherever they may be, via their mobile handsets. The service is quick, free and available in 11 languages - without any need to download accompanying software.

Logging on to www.ba.com/mobile using any mobile device with wireless connectivity, customers can access the BA timetable in real time, as well as select seats and check-in individuals, groups and families for departure or return flights.

Chris Carmichael of BA’s innovations team says, “we recognise that our customers have busy lifestyles, and by offering greater accessibility we hope to enhance their overall travel experience.”

SAS to operate twice-weekly Stockholm frequency

Mosta, 05/11/08 – Scandinavian Airline System (SAS) plans to start a twice-weekly frequency from Stockholm to Malta from the end of March.

Meantime, SAS's Norwegian division has announced it plans to discontinue its Oslo-Malta summer route next year, citing a slump in demand.

Mdina Experience gets a make over

Mdina, 24/10/08 - The old capital’s leading audio-visual show, the Mdina Experience, has just got a make over.

Screened in a 68-seat theatre - located in a mediaeval house that is an attraction in itself - in Mdina's Mesquita Square, the Experience tells the story of Malta's ancient capital from prehistory to the present.

A new movie that incorporates generous helpings of top-end computer graphics replaces the original show that used mostly still images to trace the history of Malta's former capital.

The new film, shot by Mdina Experience owner Peter Sant Manduca, is well produced and engrossing. This 30-minute mini epic features an excellent sound track and focuses on key events in the history of Mdina and, by definition, Malta.

Commentaries - using headphones - are available in Maltese, English, French, German, Italian, Dutch, Swedish, Spanish, Turkish, Russian and Japanese.

The Mdina Experience mark II will be officially launched shortly, meanwhile, this is both an educational and entertaining show and at €5 per person, it should feature on every visitvisitor's itinerary.

Meantime, the Mediaeval Times walk through, also owned by Sant Manduca and housed in Palazzo Costanzo on Mdina's Villegaignon Street, is also getting a mini facelift.

Mediaeval Times is a series of tableaux in glass fibre and plastic that recreate life in 14th and 15th century Mdina. Now, several of the life-size dioramas are being altered or changed to keep the p the 'time tunnel' experience fresh.

Air Malta to operating from new terminal at Paris Orly

Luqa, 24/10/08 - From Sunday, 26 October, Air Malta will be operating from Paris Orly West terminal. Check-in counters will be located in Hall 1.

This terminal change, from Orly South, means less connection time to Air Malta transit passengers, as there will no longer be the need to change terminals in Orly. All Air France domestic flights depart from this terminal.

KM business class passengers will have access to the Iberia Business Class Lounge in Hall 1.

ETOA warns members of contract law pitfalls

London, 23/10/08 - Tour operators and hoteliers could be falling foul of new European competition laws, according to legal experts, writes Bev Fearis in TravelMole.

The issue will be the subject of discussions at next month's European Tour Operators Association (ETOA) annual conference at the Copthorne Tara Hotel in London.

At the 6 November conference, Neil Baylis, an expert in European competition law from the law firm K&L Gates, will explain what is and what is not lawful.

“The most serious infringements relate to pricing,” he explained.

“In my professional experience many companies don't appreciate what constitutes price fixing, neither do they realise the extent of the law and the full consequences of transgressing”.

With increasing levels of sales being made through hotels' own websites and as much as 40 per cent of rooms are now sold directly, he will explore whether it is lawful for hotels to ask an operator not to publish a rate lower than their own.

Baylis will tell delegates whether such an agreement constitutes price fixing and, if so, what are the penalties.

ETOA executive director Tom Jenkins said: “The implications of these questions are profound. The answers could affect the way the hotel industry organises itself and the freedom intermediaries have to sell hotel accommodation at a discount.

“What I think many people fail to grasp is that, when the law is broken, both the hotel and the tour operator are deemed guilty”.

Penalties for anti competitive practices can be so stringent - up to 10 per cent of the offender's global turnover - that they could jeopardise the viability of the business.

Cruise traffic up 15% in 2008

Valletta, 21/10/08 - In September 76,812 cruise passengers arrived in Malta, an increase of 19.1 per cent over the same month last year, reports the National Statistics Office. Put another way, there were 12,339 more passengers than in September 2007.

Embarkations from and landings in Malta in September stood at 3,004 and 3,227 persons respectively.

Meanwhile, total cruise passenger traffic in the first nine months of 2008 amounted to 423,562, an increase of 15.2 per cent over the same period last year.

Visitors from EU countries accounted for 79 per cent of the total traffic, with the main markets being Spain, Italy and Germany.

On the other hand, the American market remained substantial, representing 58.6 per cent of non-EU passengers.

The overall growth in cruise passenger traffic was underpinned by increases in the American, British and Spanish markets. At the same time, the cruise passenger scene was characterised by falls in the German and Italian markets, respectively by 9,924 and 8,092 passengers.

CHI to operate two new properties in Hungary

Budapest, 17/10/08 - CHI Hotels and Resorts and Oak Valley KFT of Hungary, signed technical assistance and management agreements for the operation of a Corinthia Hotel and Corinthia Residences being developed as part of the Budapest Gate project in Bicske, a resort town 38 kilometres west of Budapest. The agreements were signed by CHI's vice president - development Paul Pisani and Oak Valley KFT managing director Arie Yom-Tov.

The two properties, to be named the Corinthia Budapest Gate Hotel and the Corinthia Budapest Gate Residences, are being developed on a resort area that stands on 280 hectares of land in Bicske.

The Budapest Gate Resort will comprise a 200 room five star hotel, 700 de luxe serviced apartment suites and villas, an 18-hole golf course designed by Christy O'Connor, a spa, outdoor sports activities, a 3,000 square metre conference facility featuring the largest ballroom in Hungary, breakout rooms and banqueting and exhibition spaces. A casino and an aqua park are also planned for the latter stages of the project, which is due to open in 2012.

UK traffic down 6% in September

Luqa, 17/10/08 - Passenger movements in September decreased by 1.2 per cent when compared to the same month in 2007, with a total of 337,730 movements handled, meaning that the shortfall was of 4,042 passenger movements on scheduled and non-scheduled flights at Malta International Airport (MIA).

Aircraft movements also decreased by 3.8 per cent for a total of 2,740. The seat capacity in September was down by 4,677 (-1.1 per cent) and the seat load factor also decreased, albeit marginally by 0.1 per cent to an average of 76.7 per cent. Cargo and mail handled at MIA in September was of 1,421 tonnes, a decrease of 7.2 per cent over last year.

The loss in passengers from the UK market was again felt during the month of September, with a decrease of 8,110 passenger movements (-6.4 per cent). MIA also experienced a downturn in figures from the Italian and French markets, less 2.9 per cent and 4.1 per cent respectively, but the German market maintained the same levels whilst the Spanish market continued to grow with almost double the passengers passing through the airport when compared to September 2007.

In spite of the negative trend last month, the figures for the first nine months of the year still show an increase of 180,849 passenger movements (+7.8 per cent) from January to September, and an increase of 217 aircraft movements (+1 per cent) on scheduled and non-scheduled traffic.

The seat capacity has increased by 4.3 per cent, whereas the seat load factor also improved to an average of 72.7 per cent. Cargo and mail activity increased by 3.4 per cent during the period January-September for a total of 13,563 tonnes handled.

Passenger movements from the UK during these nine months decreased by 9,802 (-1.1 per cent) whilst those from Germany increased by 18.3 per cent. The other main markets - Italy, France and Spain - registered an increase of 6.4 per cent, 11.6 per cent and 180 per cent respectively.

Air Malta rebrands MIA office, closes Valletta outlet

Luqa, 17/10/08 - Air Malta is finalising the rebranding of its sales office in the departures hall at Malta International Airport. The new, state-of-the-art office is expected to provide better facilities to customers and staff. The office will be opened at the beginning of November and will be remain open 24 hours a day, seven days a week.

Meanwhile, the airline closed its Valletta sales office as today. The reason for the closure “is attributed to the fact that the airline has seen a decrease of sales being done through this office”. More customers, says KM, now opt to buy tickets from the airline?s portal.

BA reduces fuel surcharge

Luqa, 17/10/09 - British Airways has decreased its the fuel surcharge on long-haul World Traveller (aka economy) and World Traveller Plus (upgraded economy) fares.

On long-haul flights of less than nine hours the fuel charge for World Traveller tickets has been reduced by €16 per sector and for World Traveller Plus the reduction is €6.50 per sector.

On flights of more than nine hours cuts for World Traveller tariffs are €17 per sector and €8 per sector for World Traveller Plus tickets.

Passengers flying on British Airways from Malta to, say, New York via London in World Traveller and World Traveller Plus, will now save a total of €32 on each return flight.

More Maltese travel in August

Valletta, 14/10/08 - In August an estimated 37,337 Malta residents travelled abroad, an increase of 4.2 per cent over the same month last year, according to the National Statistics Office. Of these, 31,386, travelled to EU destinations, the most popular being Italy and the United Kingdom.

Meantime, in the first eight months of the year, the number of Malta residents passengers departing by air and sea totalled 198,828, an increase of 5.7 per cent over the corresponding period last year. Of these, 85.6 per cent travelled to EU destinations; the most visited countries were Italy and the UK.

During this period, male travellers exceeded females, the former accounting for 57.1 per cent of the total.

The largest proportion of passengers - 45.0 per cent - were aged between 25 and 44, followed by those in the 45 to 64 age bracket, who accounted for 37.8 per cent of total travellers.

InterConti Malta adds new conference hall

St Julian's, 06/10/08 - The InterContinental Malta has added another venue, bumping up the number of conference and meeting rooms to 23. The latest addition, the former IMAX cinema and now known as the Auditorium, is a tiered theatre seating 296; it also has a large raised stage with a seven x 17 metre screen. The fully air-conditioned Auditorium has a digital projector that allows for presentations, digital images or moving clips to be shown on screen.

"The Auditorium will further consolidate the InterContinental Malta as one of the island's leading conference and meeting facility providers", says director of sales and marketing. Alex Incorvaja. "We are focusing on delivering a complete and varied service to our clients and this auditorium styled set-up will further enhance InterContinental Malta's one stop meeting solution", ha adds.

The five star property's conference space now totals 5,400 square metres, including the Eden Arena, which has a capacity of 1,700 seated in theatre style and the hotel's main ballroom which seats 770, also in theatre style with. A separate entrance for large groups, private check-in/reception desks and direct and easy access from the car park ensures the efficient set up of additional conference furniture and audio-visual equipment.

New energy tariffs will lead to hotel closures and unemployment, MHRA

Sliema, 03/10/08 - Following last Wednesday's presentation of the proposed new water and electricity tariffs by the government to a Malta Council for Economic and Social Development (MCESD) meeting, the Malta Hotels and Restaurants Association (MHRA) council is calling an extraordinary general meeting on Tuesday, 7 October, to discuss the stand hoteliers and restaurateurs will take regarding "these crippling new rates".

The "MHRA is very disappointed with the lack of consultation on this issue and surprised with the government's declared stance on the matter", says and association press release.

"The government always indicated that the system previously in place would be retained and never discussed the matter with the constituted bodies in order to try and find an acceptable way forward that does not have a very high social and economic consequence", says the MHRA.

"The options presented last Wednesday will be extremely damaging to the tourism industry and, furthermore, the MHRA cannot understand government's admission that no social and economic impact assessment was necessary in the light of the new tariffs being proposed".

The hoteliers' association says it is convinced that the proposed measure will increase operational costs threefold. "There will be a substantial increase in costs due to the increase in tariffs themselves, the increase in cost of materials purchased from local manufacturing firms that will also have their costs increased and the impact of upward pressures on wages".

Ultimately, the MHRA believes that such an upward pressure on costs at a time when the industry is bracing itself for a potential drop in demand, due to the international economic situation, is going to lead to very serious problems in the industry.

The MHRA predicts the loss of a high amount of jobs and closure of a number of hotels that simply will not be able to operate any more under this new tariff structure. The consequence on many small businesses, that also depend on hotels, will be very substantial. 

Traffic slowdown continues, as IATA calls for 'freedom from crazy taxation'

Hanoi, 01/10/08 - The International Air Transport Association (IATA) released international traffic data for August that confirmed a continuing downturn.

International passenger demand growth slowed to 1.3 per cent, following disappointing growth of 1.9 per cent in July. Passenger load factors fell to 79.2 per cent, a sharp drop-off from the 81 per cent recorded during the same period last year as capacity growth outpaced demand.

International freight traffic saw its third consecutive month of contraction with a 2.7 per cent decline following drops of 1.9 per cent in July and 0.8 per cent in June.

"Passenger traffic grew by 5.4 per cent in the first half of the year. That slowed to 1.9 per cent in July and 1.3 per cent in August. The contrast between the first half of the year and the last two months is stark", says Giovanni Bisignani, IATA's director general and CEO. "The slowdown has been so sudden that airlines can't adjust capacity quickly enough. While the drop in the oil price is welcome relief on the cost side, fuel remains 30 per cent higher than a year ago. And with traffic growth continuing to decline, the industry is still heading for a $5.2 billion loss this year".

Air freight has declined for the past three months, led by Asia Pacific carriers that posted a 6.5 per cent decline in July and a 6.8 per cent decline in August. "Airlines carry 35 per cent by value of the goods traded internationally. The three-month decline - led by weakness in Asia-Pacific markets - is a clear indication that global trade is slowing down. This shows that the impact of the financial crisis is broad geographically and will worsen before it gets better", says Bisignani.

Asia Pacific carriers reported a 3.1 per cent contraction, following a 0.5 per cent decline in July. Economic distortions surrounding the Olympics in China and a weakening Japanese economic outlook contributed to the decline. While some recovery in this weak performance is expected in coming months, clearly the region's economies are feeling the impact of the turmoil in the financial markets.

Middle Eastern carriers saw traffic growth drop to 4.3 per cent following 5.3 per cent in July and well below the 10.6 per cent growth recorded during the first 6 months of the year.

In contrast, international passenger traffic carried by North American airlines accelerated from 4.2 per cent growth in July to 5.2 per cent in August, in Latin America from 8.1 per cent to 11.9 per cent and in Europe from 1.3 per cent to 1.6 per cent.

August is usually the second strongest month of the year, but the 79.2 per cent load factor achieved was 1.8 per cent points lower than last year although scheduled capacity is planned to slow very sharply to the point where it barely grows by the end of the year.

"The industry crisis is deepening and no region is immune. Urgent measures are needed. From taxation to charges and operational efficiencies, all areas impacting the business must be examined for ways to reduce costs and drive efficiencies. It's a matter of survival", says Bisignani.

Bisignani noted significant progress in Brazil where a presidential approval for the removal of a fuel tax for international flights was published on 26 September. "After a two-year campaign, this is great news and the $411 million savings over the next four years could not be better timed. The challenge is for other governments to follow Brazil's example, conform with global standards and free the industry of crazy taxation. This is particularly true of India. Its carriers will post the largest losses outside of the US - $1.5 billion this year - and they are being crippled by enormous taxation on fuel, particularly in domestic markets", explains Bisignani.

KM launches mini-break winter offers

Luqa, 30/09/08 - Air Malta has launched 20 mini-break Flyaway Tours offers starting from €199 which include flight tickets, hotel accommodation and all taxes and charges. This offer is available for two and three night accommodation in Paris, Rome, Milan, Catania, Frankfurt, Munich, Vienna and to other destinations at a "slightly" higher price.

Commenting on this offer Brian Bartolo, Air Malta's general manager marketing and product said: "We have seen a marked increase in Maltese customers wishing to go abroad for a couple of days for business or leisure. These early-bird offers are valid for travel this winter, and we believe that with the level of customisation offered by Flyaway Tours our customers can benefit not only from value for money packages but also from the extensive selection of Flyaway Tours hotels available in various cities".

Prices for other destinations with hotel accommodation ranging from two to seven nights in London start from €226, Sofia from €252, Brussels from €208, Amsterdam from €233, Hamburg from €286, Berlin from €253, Düsseldorf from €236, Reggio from €219, Manchester from €243, Athens from €216, Istanbul from €259, Zurich from €310 and Budapest from €278.

As in all airline special deals, "offers are limited and are subject to availability", plus "certain conditions may apply". This special offer is valid throughout winter except for stays between 17 December and 8 January 2009. The special offers must be booked by the 31 October.

TUI's winter holidays seven per cent dearer

Mosta, 30/09/08 - In a pre-close trading statement yesterday, TUI Travel group said it was "pleased" with summer 2009 trading in the UK, the only key source market currently on sale for that season.

The total UK programme for summer 2009 is now 12 per cent sold, which is in line with last year, reports Travel and Hospitality Industry Digest.

Since its last update on 14 August, summer 2008 trading has continued to progress as anticipated. Its average S08 selling price in the UK is up 18 per cent, with customer numbers down 10 per cent and capacity down 13 per cent.

The group is entering the latest period with "significantly less stock left to sell", thanks to the capacity reduction and the "strong rate of sale". The total UK S08 programme is now 94 per cent sold, three points ahead of this time last year, meaning TUI Travel has been able to reduce the level of discounting.

For winter 2008/09 and summer 2009, capacity cuts coupled with failed competitors dropping out of the market mean that supply will be significantly lower in Europe, particularly in the UK.

For this winter, TUI is achieving seven per cent higher average selling prices for charter holidays, on capacity that is six per cent lower. The total UK programme is now 33 per cent sold.

In Europe, it is achieving average selling prices above the inflationary cost pressures for the season.

In the group's specialist and activity sectors, summer 2009 trading has been "encouraging" with sales up one per cent and five per cent respectively, while total transaction values in its online business are 36 per cent higher.

The group is now 78 per cent hedged on fuel, 84 per cent hedged on the euro and 76 per cent on US dollar requirements for the summer season, and says it is "well positioned to benefit from the recent falls in oil prices".

The statement added: "We remain encouraged by current trading and believe that the flexibility in our business model gives us the ability to manage successfully through a challenging economic period.

"Accordingly, we are confident that we can meet the board's expectations for the years ending 30 September 2008 and 30 September 2009".

TUI also confirmed that Thomas Cook Group had withdrawn from discussions with it and Lufthansa regarding a potential merger of their Condor, Germanwings and TUIfly airlines.

MIA upgrades taxiways

Luqa, 30/09/08 - Malta International Airport has just completed the reconstruction of taxiways Alpha and Bravo, which form a holding loop at the threshold of runway 31.

Runway 31 faces the predominant wind direction, namely north-westerly, and is MIA's main take-off and landing strip carrying approximately 60 per cent of all movements annually. It does not have a parallel taxiway and this requires aircraft to backtrack runway 31 before take-off. The Alpha and Bravo taxiway loop is consequently a significant complement to the principal runway's infrastructure.

It primarily provides air traffic controllers with the means to interface aircraft movements more efficiently by utilising short duration opportunities to taxi and hold aircraft close to the runway threshold between landings on the respective runway. This has a dramatic effect on reducing aircraft taxi times and hence aircraft fuel consumption. Its layout and location also provides a route for heavy aircraft turnouts before take-off that would otherwise be impossible on a 60-metre runway without significant wear or damage to the pavement surface.

Malta International Airport is highly susceptible to seasonal fluctuations that are typically characterised by peak aircraft operations alternating against periods of low aircraft movements. The situation places much higher demands on the ability of the aerodrome infrastructure to consistently and efficiently handles aircraft movements without capacity restrictions. This must also be taken in perspective of minimum construction standards required by the International Civil Aviation Organisation to assure the safety of aircraft movements during landing, take-off and taxiing.

The development of the aerodrome infrastructure is an essential element of MIA's growth strategy. Considering the construction lead times required, the significant costs involved and the potential for temporary disruption of operations during works, early planning was essential.

A comprehensive process was carried out to identify the most critical elements of the airfield's taxiway system which had the potential to restrict short term and future capacity, introducing delays or denying aircraft slot availability. Account was also taken of the increasing size of aircraft using the aerodrome for the transfer of passengers and cargo and to providing access to wide body aircraft seeking to use Lufthansa Technik's maintenance facilities.

Following its reconstruction, the Alpha and Bravo taxiway system now provides access to any size of aircraft including the massive Antonov AN-124 cargo transport, without restrictions. Its paved shoulder areas now eliminate any risk associated with debris ingestion by aircraft engines being manoeuvred over grass verges.

XL debacle leads to more agent bookings

London, 23/09/08 - Publicity over DIY breaks in the light of XL Holidays' demise has led to a rise in traditional booking methods, according to the trade, reports the Travel and Hospitality Industry Digest.

Travel Counsellors said it has seen an 11 per cent increase in sales since XL collapsed, while Thomson and First Choice parent TUI said holidaymakers are switching back to packages because they want security.

In an article in Saturday's Daily Telegraph, TUI claimed more than 24 million people took a package in the 12 months to June, compared to 22 million in the previous year, and predicted the trend will continue following the collapse of XL.

According to Travel Counsellors, instead of discouraging customers from booking travel arrangements, the XL collapse seems to have led to customers choosing to book with an agent where they know that their money is financially protected.

Travel Counsellors‚ total UK sales for the week since the collapse totalled £4.1 million compared to £3.7 million for the previous week.

This week, the remaining 38,000 XL customers still stranded abroad will fly home and CAA director of consumer protection, Richard Jackson, has praised other tour operators for their assistance.

Meanwhile the Association of Independent Tour Operators has called on the British government to ensure Air Passenger Duty is refunded to XL customers who had booked, but had not yet flown, when the carrier went bust.

Drop in August cruise liner passengers

Valletta, 22/09/08 - In August 76,646 cruise liner passengers disembarked in Malta, a decrease of 4.4 per cent, or 3,530 fewer people, over August 2007, reports the National Statistics Office.

Total cruise passenger traffic between January and August, meantime, amounted to 346,750, an increase of 14.4 per cent over the same period last year. Visitors from EU countries accounted for 79.1 per cent of total traffic, the main markets being Spain, Italy and Germany.

On the other hand, the American market remained substantial, representing 60.6 per cent of the non-EU passengers. The overall growth in cruise passenger traffic was underpinned by increases in the American, British and Spanish markets.

At the same time, the cruise passenger scene was characterised by falls in the German and Italian markets, respectively by 6,725 and 4,384 passengers.

On a gender basis, male passengers slightly exceeded female ones. The largest proportion of passengers - 33.8 per cent - were aged between 40 and 59, followed by those in the 60 to 79 age bracket who accounted for 26.3 per cent of the total.

There were 45 cruise liner calls in August, bringing the total for the first eight months of the year to 242 compared to 208 in the corresponding period last year.

Suncrest to close for winter

Qawra, 18/09/08 - The Suncrest Hotel will close on 1 December for maintenance and refurbishment, says general manager Mario Debattista. The four star property will reopen on 8 March 2009.

Scheduled is the replacement of soft furnishings, upgrading of the lobby area and general maintenance.

The hotel closed for 11 weeks at the end of 2006 for an "ambitious" refurbishment programme (see Suncrest closed for refurbishment).

During the previous closure a new chiller was installed on the roof along with the changing of all air conditioning piping in shafts.

XL passengers advised to stay on holiday, but none in Malta

London, 16/09/08 - Air Travel Organisers' Licensing-protected (ATOL) holidaymakers with the failed XL Leisure Group who are still abroad have been advised to continue their holidays as normal by the British Civil Aviation Authority (CAA).

The CAA estimated that there are around 30,000 customers who booked packages with XL, or XL-owned tour operators such as Travel City Direct and Kosmar, still on holidays in resorts throughout the Mediterranean, Caribbean and Florida. These ATOL-protected customers are "strongly advised" by the CAA not to fly home early or pay unnecessarily for new flights.

The initial phase of the repatriation operation following the collapse of XL is now coming to an end following an exceptionally busy weekend.

A weekly XL-operated charter flight from Newcastle to Malta, and vice versa, will now be serviced by Air Malta aircraft. KM will continue to operate this flight every Tuesday until the end of the planned charter series on 28 October. This means that there are no XL passengers stranded in Malta, says KM.

Air Malta had a three-year agreement with XL, initiated in 2005, and was planned to continue until October 2008. Air Malta operated a number of flights on behalf of XL from the UK to various destinations including the Canaries and Spanish Mediterranean resorts, the Greek islands, Cyprus, Red Sea Resorts, Turkey and to a number of skiing destinations. Air Malta has received payments with respect to all services flown on XL's behalf to date.

Throughout the rest of this week and next, meanwhile, holidaymakers will be brought back to the UK by the CAA as their holidays reach their conclusion.

The CAA reiterated that it is organising flights for XL customers protected under its ATOL scheme, but is also offering capacity to enable those passengers who had bought only a flight with XL Airways - and are therefore not ATOL-protected - to fly back to the UK at a reasonable price.

Richard Jackson, CAA director of consumer protection, said: "It is important holidaymakers understand that if they are ATOL-protected their holiday continues. If you are not due back until this weekend or next week do not try and get an early flight and certainly do not pay for a new flight home. The CAA will arrange to bring you home on the same day you were due home with XL".

The CAA confirmed that 29,610 customers have either returned to the UK or flights have been arranged for their return since the collapse of XL last Friday morning. Currently 126 flights have been arranged. UK airlines - BA, bmi British Midland, Monarch Airlines, First Choice Airways, Jet2.com, Astraeus and Virgin Atlantic - are providing aircraft to fly to 37 destinations around the world bringing passengers back to nine UK airports. Numerous airlines based overseas have also been used.

In addition, where it has not been possible to position appropriate aircraft to some small Greek islands ferries had been used to pick up passengers for transfer to Athens and flights home.

Thomas Cook, Thomson, First Choice and Virgin Holidays staff are providing essential support on the ground in resorts, with cooperation from other tour operators and the Federation of Tour Operators (FTO), which is helping to coordinate this operation.

The flights currently organised by the CAA are from Alicante, Malaga (Spain); Palma (Majorca); Athens, Corfu, Heraklion, Kalamata, Kavala, Kefalonia, Kos, Lefkas, Mykonos, Preveza, Rhodes, Samos, Santorini, Skiathos, Zante (Greece); Bodrum, Dalaman (Turkey); Cagliari (Sardinia); Faro (Portugal); Hurghada, (Egypt); Bridgetown (Barbados); Antigua, Grenada, St Kitts, St Lucia (Caribbean); Larnaca, Paphos (Cyprus); Orlando, Sanford (Florida); Arrecife (Lanzarote); Fuerteventura, Las Palmas, Tenerife (Canaries); Mahon (Minorca).

Arrival airports in the UK are Birmingham, Bristol, East Midlands, Gatwick, Glasgow, Heathrow, Leeds Bradford, Manchester and Newcastle.

MHRA president warns of hard months ahead

Floriana, 11/09/08 - The tourism industry continued to perform "reasonably well" in the second quarter of the year and registered further gains over the results of 2007. Tourist arrivals were up by 11.4 per cent in Q2 and 15 points up on a year-to-date basis, Malta Hotels and Restaurants Association (MHRA) president Kevin De Cesare told members during the presentation of the quarterly hotel survey - held at the Grand Hotel Excelsior.

Albeit at a slower pace than the increase in arrivals, the number of guest nights generated in Q2 continued to increase by 4.7 per cent, bringing the year-to-date increase up to 7.7 points.

The increases in both arrivals and guest nights generated have ranked the first six months of 2008 amongst the strongest winter/shoulder seasons in the past six years. These results were achieved against a backdrop of turbulent international conditions in the global tourism industry and clearly "do justice to the government's commitment to continue to increase the level of expenditure on tourism and to continue to support the development of increased capacity and new routes to Malta".

The increase in tourist arrivals and guest nights contributed to higher occupancy levels being achieved in both the three and four star categories. However, the increased volume registered in the five star category was less than the significant 21.3 per cent increase in bed stock availability and resulted in a drop in average occupancy for this class.

Notwithstanding a 1.6 per cent drop in total tourist expenditure - down to €262 million - for the quarter, the average achieved room rates (AARR) continued to improve in all three categories.

In five star properties the AARR rose from €100.77 in Q2 of 2007 to €110.80 in Q2 of this year. For four star hotels the increase was from €39.53 to €44.53. Three star properties showed the smallest AARR increase - from €20.02 last year to €32.17 this year.

The higher occupancy levels and achieved room rates registered by both the three star and four star hotels led to improved profitability levels being achieved. However, the lower occupancy levels in the five star category gave rise to a decline in the average achieved gross operating profit for this category.

Notwithstanding the positive results, De Cesare was quick to stress that it is "very important that stakeholders do not dwell solely on the positive aspects of the 'headline results' without giving equal prominence to the following negative trends identified by the MHRA and which should be a cause of concern to all stakeholders".

These includes a slowdown in the rate of growth in tourist arrivals and guest nights, as compared to previous periods; the continually shorter average length of stay which necessitates an even greater increase in tourist arrivals to maintain guest night generation growth; the apparently lower occupancy rates reported by most hotel categories for the key month of August and the increasingly negative sentiment and predictions for the winter months that lie ahead.

De Cesare stressed the importance of the government taking heed of the 'writing on the wall' and of committing increased resources to marketing and supporting further initiatives to increase flight capacity to the islands.

10 point drop in UK arrivals in August

Luqa, 11/09/08 - Passenger movements at Malta International Airport on scheduled and non-scheduled flights in August increased marginally when compared to the same month last year.

The total passenger movements last month rose by 2,324, a slight increase of 0.6 per cent for a total of 390,566, whilst aircraft movements decreased by 3.2 per cent for a total of 2,996. The seat capacity also decreased by 9,515 (1.9 per cent), but the seat load factor increased by two percentage points to an average of 80.8 per cent. Cargo and mail handled at MIA in August was of 1,361 tonnes, which is practically at the same levels as last year.

The negative trend from the UK market persisted in August with a decrease of over 10 per cent. However, this shortfall was balanced with increases from the German, Italian, Spanish and French markets. Passenger movements from and to the UK decreased by nearly 13,400, whilst traffic from Italy, Germany, France and Spain increased by 4.6 per cent, 1.1 per cent, 2.7 per cent and 70.8 per cent respectively for a total of 13,395 from these four markets. 

Figures for the first eight months of the year show an increase of 184,909 passenger movements (9.3 per cent) and an increase of 326 aircraft movements (1.8 per cent) on scheduled and non-scheduled traffic. The seat capacity increased by 5.2 per cent, whereas this year the seat load factor also improved to an average of 72.1 per cent.

Cargo and mail activity rose by 4.8 per cent during the period January to August for a total of 12,143 tonnes handled. 

Passenger movements from the UK decreased by 1693 (0.2 per cent) whilst those from Italy and France increased by 7.8 per cent and 14.5 per cent respectively between January and August 2008. The highest increases registered were from Germany 57,509 (21.4 per cent) and Spain 63,902 (203 per cent). 

Outbound travel grows six points over 2007

Valletta, 09/09/08 - In July an estimated 36,175 Malta residents left the islands by sea and air, according to the National Statistics Office, an increase of 3.5 per cent over July 2007. The majority, 31,041, travelled to EU destinations, with the most popular being Italy and the United Kingdom.

In the first seven months of the year, meanwhile, 161,491 residents travelled abroad - an increase of six per cent over the corresponding period last year. Of these, 86 per cent travelled to EU destinations.

During this period, male passengers outnumbered female ones, with the former accounting for 58.2 per cent of the total. The largest proportion of travellers - 46.9 per cent - were aged between 25 and 44, followed by those in the 45 to 64 age bracket, who accounted for 37.2 per cent of the total.

CHI to operate two properties on Red Sea

Floriana, 09/09/08 - CHI Hotels and Resorts have signed a long-term management agreement with Cyrene Tourism Investment Corporation of Egypt for the operation of two new upscale properties in the resort of Sharm el Shaikh.

Both hotels will form part of a major resort destination to be known as the Corinthia Beach Resort.

The Corinthia Hotel will be a five star property located on a beach front in Montazah, Sharm el Shaikh. The property will offer 220 de luxe suites and be fully supported with independent restaurants, a clubhouse and fully serviced beach operation and outdoor pool.

The Tiran Island Hotel will be a 600 room, four star hotel offering a broad selection of luxury hotel rooms, residential suites and self-catering suites ideal for family occupation. This four star operation will offer a wide range of restaurants, entertainment, bars, spa, outdoor pools and extensive conference and meeting facilities.

Both hotels will be operated by CHI as the Corinthia Beach Resort, with a full range of differently priced products covering room only, bed and breakfast, half board, full board and fully inclusive rates.

Tripadvisor offers 'special deals' at Serena Beach

Mosta, 02/09/08 - The Hotel Serena Beach Club, also known as the Serena Beach Club and Spa, was chosen as Tripadvisor's "special deal" for the first week of September - barely a month after the owner of this two star property was charged and arraigned in court with trying to defraud a French couple who were going to stay at his hotel in Xlendi, Gozo.

It was also chosen as the week's special deal two days after a reviewer from Oxford warned on Tripadvisor "don't stay here". The writer alleges the Serena's owner took "over £1,200...without permission". He goes on to complain about the "dirty hotel", "thin sheets that didn't fit, so that you were sleeping on the bare unprotected mattress". However, he does say the pool "is the best part of the hotel, but you have to pay for mattresses. Where", he asks, "do you ever have to pay for a hotel mattress?"

The reviewer then says he lodged complaints with the tourist board and with the police, "but got nowhere".

Four days before, a writer from Sunderland complained of "another criminal act" on Tripadvisor. The owner of the Serena Beach, he writes, "is tarnishing the good name of the Maltese and Gozitans".

The writer from Sunderland was referring to Lynn Quick's story, dated 22 August, of how the "Hotel Serena had taken £ 4,120.73 out of my account, which was taken only two days into the holiday. The money had cleared my bank account on the 23rd July, which was deceitfully taken on the day we arrived without my knowledge (19th July)".

Quick says that when checking-in at the Serena Beach the owner "asked for my credit card details which I did not have, so I gave him my debit card, this was to pay for the transfer costs to and from the airport. At that point I did not see the figures he put into the card machine and he never gave me any receipt after I had input my pin number.

"I find this very disturbing and I am deeply upset over what has happened".

Quick writes that she and her family "had got on really well" with the owner of the Serena Beach and his staff. And "after having a wonderful holiday, or so we thought, getting back to reveal what had really happened has completely destroyed everything. To me, the money they have taken is years of hard work and not only I cannot believe how the hotel has abused my trust like this. This has left my account completely empty and we are now facing the possibility of taking out a loan to pay for the mortgage and all our household bills, which I am being hounded for at the moment".

Meantime, the special deal highlighted by Tripadvisor, and booked via Italy's Venere.com, is price tagged at €70 per night in a double superior, inclusive of taxes. Whether breakfast was included was not clear. However, when Island Travel Trader Online called the hotel and asked for a night's stay on 21 September, our reporter was quoted €40 inclusive of a full buffet breakfast.

The question of breakfast arises because, according to "Angry Traveller" of Darlington, the Serena owner wanted his credit card details on check-in to cover €800 for breakfasts for him, his wife and two children. A few day's earlier a similar thing happened to another Tripadvisor reviewer, who claims he was asked for his credit card to be charged "€140 each for breakfast, €10 non-refundable for the remote control and a further €195 each for utilities, ie use of the pool.

This reviewer, who calls himself Timbo4747, refused to hand over his credit card and was allegedly told by the owner of the Serena beach: "You don't want to pay, you don't stay".

Timbo4747 goes to say the hotel's owner "then ripped up the registration form and threw it away. We left to find other accommodation. From reading other reports on this site, I feel we got off lightly".

Air Malta slashes commission rates

Luqa, 01/09/08 - Air Malta will be reducing the commission rate its pays travel agents for the sale of tickets from four per cent to one per cent as from 1 October. At the same time, the airline will charge a service fee of €10 per ticket issued by its sales offices.

Meanwhile, tickets issued through KM's call centre will be subject to a €5 service charge. Moreover, Air Malta plans to charge "anyone calling its call centre". However, callers will be told "accordingly at the time of the call".

Ryanair claims top performer status

Dublin, 27/08/08 - Ryanair today published its inbound traffic numbers for Malta for the first six months of 2008, and says its passenger numbers grew by more than 100 per cent when compared with the corresponding period in 2007.

The Irish lows cost carrier says its January to June figures rose from 47,504 to 95,917 inbound passengers.

"This growth", claims the airline, "has meant that Ryanair, and not Air Malta, was the biggest contributor to growth in Maltese tourism during the period". (See Air Malta drives Malta's tourism growth.)

In a press release aimed at irritating Malta's flag carrier, Ryanair says that Air Malta was "erroneous" in claiming to be the biggest contributor with 57 per cent of the 77,000 additional passengers. "In reality in its calculation, Air Malta had failed to take into account that a number of airlines were flying fewer passengers than previously. Consequently, Ryanair's growth of 48,413 passengers, for the first half of 2008 over 2007, meant that it was the number one airline for growth in Malta in the first half of 2008".

Says Ryanair's deputy chief executive, Michael Cawley: "Ryanair's inbound traffic growth of in excess of 48,000 passengers in the first half of this year represents a record and puts it at the top of the list for growth in inbound tourism. As some airlines are obviously reducing passenger numbers, Ryanair's lowest fares guarantee is the key to increasing passenger traffic and tourism on to and off the island".

Sharp drop in June departures

Valletta, 11/08/08 - In June 23,329 Malta residents travelled abroad, a drop of 24 per cent over the same month last year. This decrease is partly attributed to the high number of visits to Italy for the beatification of Gorg Preca in June 2007.

In the first half of the year, meantime, the number of Malta-based passengers departing by air and sea totalled 125,316, an increase of 6.8 per cent over the corresponding period last year, the National Statistics Office reports. Of these, 86.0 per cent travelled to EU destinations; the most visited countries were Italy and the UK.

Between January and June, male travellers exceeded females, the former accounting for 59.7 per cent of the total. And the largest proportion of travellers - 47.9 per cent - were aged between 25 and 44, followed by those in the 45 to 64 age bracket, who accounted for 38.4 per cent.

Slight increase in July passenger movements at MIA

Luqa, 06/08/08 - Passenger movements on scheduled and non-scheduled flights at Malta International Airport (MIA) in July increased slightly when compared to the same month in 2007.

The total passenger movements last month rose by 1.3 per cent for a total of 370,873 movements whilst aircraft movements decreased by 3.2 per cent for a total of 2,965. The seat capacity also decreased, albeit slightly, by 4,034 (-0.8 per cent) but the seat load factor increased by 1.6 points to an average of 77.7 per cent. Cargo and mail handled at MIA in July was of 1,537 tonnes, a decrease of 3.5 per cent when compared to July 2007.

A further analysis of the trends of the main markets shows that MIA had a significant decrease from the UK market which was, however, compensated with increases from the German, Italian, Spanish and French markets. Passenger movements from and to the UK decreased by six per cent to 118,660, whilst traffic from Italy, Germany and France increased by 4.2 per cent, 3.1 points and three per cent respectively. Once again, the Spanish market was the highest achiever with an increase of 7,849 passenger movements. 

MIA, meantime, registered an increase of 182,694 passenger movements, or 11.5 per cent, from January to July this year, and an increase of 425 aircraft movements (+2.8 points) on its scheduled and non-scheduled traffic. The seat capacity increased by 6.6 per cent whereas the average seat load factor also improved from 67.4 per cent in 2007 to 70.5 per cent this year. Cargo and mail activity increased by 5.4 per cent during the period January to July 2008 for a total of 10,225 tonnes handled. 

Passenger movements from the three main markets - the UK, Italy and Germany - increased by 1.9, 8.6 and 26 per cent respectively between January and July, whilst the highest increases in percentage terms were from France (+18) and Spain (+298.5).

Air Malta launches online check-in

Luqa, 01/08/08 - Air Malta has made checking-in for flights easier with the launch of web check-in on its internet portal www.airmalta.com. Passengers travelling with or without baggage can easily check-in online and print boarding passes from their home or office.

With this new service Air Malta passengers can now save time at the airport and proceed through airport formalities smoothly and easily. By logging on to www.airmalta.com and clicking on the web check-in button between 23 and two hours before their flight's departure, passengers can not only have their bar-coded boarding pass printed but can also choose their seat on board the aircraft.

Air Malta is offering web check-in from Malta to EU countries and from London's Gatwick and Stansted, Birmingham, Zurich, Geneva, Vienna, Athens, Frankfurt, Düsseldorf and Berlin to Malta. More destinations will be introduced soon.

Passengers travelling with baggage can also make use of web check-in. On arrival at the airport the passenger must proceed to the drop-off web check-in counter and check in their luggage.

 "With web check-in Air Malta is continuing to invest and make use of innovative technology to enhance our customer's experience. We are not only simplifying the check-in process but also saving valuable time to our passengers", said Joe Cappello, Air Malta's chief executive. "Through this new online service we are continuing to enhance the features offered through our portal www.airmalta.com. Our portal has become very popular and has grown exponentially with over 20 per cent of our sales now being booked online."

Air Malta's portal has also started offering online insurance cover, bookings of hotel accommodation in Malta and abroad, bookings for major attractions happening worldwide and discounted purchase of excess baggage. These services are part of a corporate wide strategy to simplify the airline's business, reduce costs and offer better, efficient services to Air Malta customers.

Air Malta is putting on increased emphasis on the independent traveller who wants to book online and make his own travel arrangements.

"Air Malta's easy to use portal is a transparent method of purchase of several services that, unlike some airline websites, it does not resort to hidden charges or credit card fees. Air Malta is the only airline in Malta which is truly committed to its customers' needs".

KM drops Glasgow services

Luqa, 01/08/08 - As from this winter Air Malta will no longer operate directly to Glasgow, but will support the destination through a new code share agreement with bmi (British Midland Airways) that will increase frequencies from two flights a week to at least two flights a day. BMI will fly passengers from Glasgow to London for a KM connection to Malta. The code share agreement will also cover other UK regional airports offering daily connectivity to Malta via its London and European gateways.

Air Malta is confident that it will replicate the Scandinavia success, whereby through the Lufthansa code share it has carried more traffic from Scandinavia via Munich and Frankfurt than its own direct service. Today the airline offers three daily flights to the Scandinavian capitals via Munich and Frankfurt. Only network airlines such as Air Malta can continue to support offline destinations through cooperation agreements with network carriers. The airline has also just concluded a cooperation agreement with Turkish Airlines to exploit the Far East and Asian markets via the Istanbul hub.

CHI to operate Liverpool apartments under Ramada brand

Floriana, 01/08/08 - CHI Hotels and Resorts (formerly Corinthia Hotels International) signed a 20-year agreement with Vermont Developments of the UK to manage and operate 66 apartments at the third phase of Vermont's £100 million Liverpool waterfront scheme, Sefton Street: The Quarter, under the Ramada Plaza brand tier.

CHI Hotels, the joint venture partner of the Wyndham Hotel Group - owners of the Ramada brand - will operate the units as apartment-suites alongside the four star Ramada Plaza hotel already being built at the site. The units are located in The Tower element of the scheme, a graceful 22-storey glazed building.

The Vermont's scheme, located at the junction of Sefton Street and Parliament Street, has already established a reputation for defying the residential market slowdown - 83 per cent of the 187 first phase apartments have been sold.

Mark Connor, chief executive of Vermont Developments, said: "We are obviously delighted to have achieved another positive milestone for The Quarter. It is a tough market but we believe in the quality of our scheme. Given the challenging residential sales market, achieving an agreement to operate these units on a serviced basis is obviously welcome news and a testament to our vision for The Quarter, and also the confidence shared by our hotel operator."

"This latest deal with Vermont Developments helps solidify an already excellent business relationship between our two companies", commented CHI vice president - development Paul Pisani. "Together with the hotel rooms, the 66 additional serviced apartment-suites will increase our marketing options immensely. This entire project will no doubt also generate increased awareness of CHI in the UK as a leading hotel operator that already exclusively manages the luxury Corinthia Hotels brand worldwide and the Wyndham and Ramada brands in Europe, Africa and the Middle East".

Vacations Malta launches MICE solution

Sliema, 29/07/08 - It has been 10 years since Vacations Malta was set up as an incoming agency, handling FIT, some groups, but mostly leisure traffic from, principally, Switzerland, Austria, Germany and the Benelux plus "some from Italy and now Spain", says managing director Kenneth Baldacchino.

"Ten years on, and the company is still operating in much the same was as it did in 1998", explains the ever-cheerful Baldacchino. That does not mean Vacations Malta has remained static, far from it. "I naturally wanted the company to grow, but not to a degree that it became unwieldy. I wanted to keep it to a size that is manageable, so that I can manage it on my own".

And Baldacchino has certainly achieved that. Today, Vacations Malta is not a mega player but, nevertheless, an important one in the islands' tourism industry.

Now, he is ready to take it to the next level. Between 80 and 90 per cent of Vacations Malta's business is leisure travel, now Baldacchino wants to increase the MICE (meetings, incentives, conference and exhibitions) segment. "We do have MICE business, but it requires its own identity", he says.

Cue Event Solutions Malta. This is a new company that will concentrate on group and MICE travel, and will operate using Vacations Malta's infrastructure.

"I wanted a straightforward name that does not hide its link to Vacations Malta", explains Baldacchino, "yet a separate brand will facilitate sales and marketing in the MICE sector".

Even Solutions, based in the same Sliema offices as Vacations Malta, already has a major contract signed that will see some 2,000 people travelling to Malta next year. Baldacchino refuses to divulge details, except to say that this will be a group from Europe.

Cruise traffic up over 2007

Valletta, 29/07/08 - June cruise passenger traffic rose 21.4 per cent to 67,259, an increase of 11,852 over the same month last year. Fifty cruise liners called at the Grand Harbour in June, the national Statistics Officer reports.

Meantime, in the first six months of the year cruise passenger traffic amounted to 198,570, an increase of 20.5 per cent over the same period last year.

Excursionists from EU countries accounted for 78.9 per cent of the total traffic, the main markets being Italy, Spain and Germany. On the other hand, the US market remained substantial, representing 60.2 per cent of non-EU passengers.

The overall growth in cruise passenger traffic was underpinned by increases from the American, British and Spanish markets. At the same time, the cruise passenger scene was characterised by falls in German and French nationals - respectively by 8,854 and 2,378 passengers.

On a gender basis, males slightly exceeded female passengers. The largest proportion of passengers - 34.4 per cent - were aged between 60 and 79, followed by those in the 40 to 59 age group who accounted for 30.9 per cent of the total.

In the first six months of 2008 155 cruise liners called here, 20 more than in the same period of 2007.

IACA dismayed at increases in airport charges in Cyprus

Mosta, 25/07/08 - The International Air Carrier Association (IACA) expressed dismay at a further nine per cent increase in airport charges at Larnaca and Paphos in Cyprus for 2009, four per cent above the average yearly rate of inflation for Cyprus. This increase comes on top of an outrageous increase of 77 per cent in charges last year by Hermes, the management company for the two airports. Hermes announced the new increases in a letter to all airlines last week, Travel Daily News reports.

IACA, which represents 39 airlines serving the leisure industry and 30 per cent of the airline market share in Cyprus (50 per cent at Paphos airport), has repeatedly challenged the recent increases in airport charges warning that they are putting extreme pressure on leisure airlines serving the country and make Cyprus uncompetitive when compared with other Mediterranean leisure-based airports. Today Cyprus is already up to 150 per cent more expensive than other similar airports in the Mediterranean region and this additional increase will make this percentage even greater.

At a time when inbound tourism, especially from the UK, is declining, as well the effect of the strong euro and global credit crunch on the travelling public, IACA is surprised that Cypriot authorities are not taking more steps to attract more visitors to the country.

Luc Geens, Manager Ground Operations, IACA, commented: "These further increases send a wrong signal to airlines and their passengers that Cyprus is serious about encouraging tourism to Cyprus. Our airlines need more incentives to come to Cyprus not further charges. There is no justification for an increase in airport charges at a time when tourism is suffering and ground handling services at Larnaca and Paphos airports are more chaotic than ever.

"I'm disappointed that directly after our meeting with minister Nicolaides and minister Paschalides in early July, our members receive a further above-inflation increase in airport charges. I call upon both ministers and Hermes to reconsider the 2009 increases urgently".

Big brother to watch over Paceville

Msida, 22/07/08 - The Malta Tourism Authority has been monitoring tourism zones for the past five years through a specially-designated unit of its product development directorate. This unit makes certain that "mundane tasks of urban management are executed by the respective local councils and to ensure that the central government is providing the necessary support through extra human and financial resources".

To further improve its monitoring function it was felt that "the next step would be to invest in the installation of a CCTV network in those localities that may be considered tourism priority areas and that are considered to be at highest risk".

This pilot project focuses on St Julian's with particular emphasis on Paceville and addresses a series of issues about which a number of complaints have been made.

These cameras, apart from being a deterrent, provide round-the-clock surveillance and will help identify illicit behaviour and help the policed "to take remedial action".

In view of this, an agreement has been reached between the MTA, the KDM Group of Companies, the St Julian's local council and the police. The system will be installed and commissioned by the KDM Group and funded by the St Julian's council. The police will provide the necessary law enforcement back-up. The MTA is providing the initial capital funding and is in charge of co-ordinating the implementation of the scheme.

Five new cameras together with an existing one near the Hilton roundabout will provide comprehensive coverage of the entire Paceville area. The locations to come under surveillance will ensure extensive monitoring of pedestrian and vehicle movement.

The locations being considered are: St George's Bay, Dragonara Gate, Wilga Street corner with Paceville Avenue, St Rita's Steps, Paceville Square and Gort Street corner with San Gorg Street.

Rolls-Royce and BA launch alternative fuel trial

London, 22/07/08 - Rolls-Royce and British Airways have started a test programme to investigate the viability of alternative fuels for the aviation industry. The in-depth study will seek to identify practical alternatives to the current industry-standard fuel kerosene, with the potential to make real reductions to the carbon footprint of aircraft. The companies will initiate a joint tender process, inviting suppliers to offer alternative fuel samples for testing on a Rolls-Royce RB211 engine from a British Airways Boeing B-747. The tests will be carried out on an indoor engine test bed at the Rolls-Royce facility in Derby, UK.

Testing the engine in this controlled environment enables more accurate data to be gathered than would be possible on an actual flight because additional instrumentation can be used and performance and emissions will not be affected by other external factors.

Following the tender process, there will be a selection of up to four alternative fuels, which will undergo laboratory testing before delivery to Rolls-Royce in the coming year. Each company will be asked to supply up to 60,000 litres of their alternative fuel.

This will be followed by intensive trials, during which the aero-engine will be powered by the alternative fuels and its performance compared to running on conventional kerosene. In each case, the engine will be operated through its full range of power settings including idle, acceleration, take-off and cruise.

Testing is expected to be complete by the end of March 2009 after which the results will be analyzed and reported. Ric Parker, director of research and technology at Rolls-Royce, said: "The key criteria for the selection of the alternative fuels will be their suitability, sustainability and industrial capability.

"It is critical that the fuel can not only do the job required of it, but can also offer a CO2 benefit and be produced without a detrimental impact to food, land or water. There must also be clear evidence of the potential for mass production and global distribution of an alternative fuel to support the world's aviation industry".

Jonathon Counsell, head of environment at British Airways, said: "We are delighted to be leading this study with Rolls-Royce. British Airways was the first airline to set fuel efficiency targets, leading us to improve out fuel efficiency by 28 per cent since 1990. We are now well on our way to our target of a 30 per cent improvement by 2010. Recently, we announced a further 25 per cent improvement target on fuel efficiency by 2025 compared with 2005. Should the tests we are undertaking with Rolls-Royce be successful, the potential for bringing us closer to a greener fuel alternative that will help the aviation industry reduce its carbon footprint is enormous.

The results of the study will be made public. "So the whole industry, its customers and most importantly, the environment, can benefit"

Euro parliament passes transparency rules on air fares

Mosta, 12/07/08 - Earlier this month the European parliament adopted regulations on the publication of all inclusive air fares and on non-discriminatory access to air fares throughout the EU. ECTAA and GEBTA - the Guild of European Business Travel Agents - welcome the new legislation for transparency in the distribution of air tickets.

For years now, both ECTAA and GEBTA have been calling for effective legislation on inclusive air fares. The new regulations address this request by ensuring indication at all time of the final price of air tickets, including unavoidable and foreseeable taxes, fees, charges and surcharges.

The regulations also prohibit discrimination in access to fares based on the place of residence of the passenger or the place where the travel agent operates. This provision will help travel agents overcome the current restrictions in access to fares and to make their customers benefit from the best fares.

ECTAA and GEBTA are, however, in favour of abolishing further discriminations in access to fares, notably based on the distribution channel. European institutions have an opportunity to deal with this issue in the current revision of legislation on computerised reservation systems.

Finally, the regulations strengthen the monitoring of European airlines' finances. ECTAA and GEBTA strongly supported the initial position of the European parliament to establish a system to protect passengers in case of airline failure. However, this was not retained in the final text. ECTAA and GEBTA therefore call on the European commission to initiate specific legislation on this issue, which is becoming even more important with the rising fuel prices affecting airline costs.

Costa Crociere breaks own record

St Julian's, 12/07/08 - This is turning out to be another boom year for Italy's Costa Crociere, represented in Malta By SMS Travel and Tourism.

There have already been one million bookings for 2008, not only repeating the feat of 2007 but also bettering it. The Genoa-based company expects to end 2008 with six per cent more passengers than last year, in line with its increased capacity. Some 1.5 million passengers a year are forecast by 2010.

As regards Malta, Costa Crociere is by far the largest cruise company calling at the Grand Harbour, with nearly 100 calls this year. Costa Crociere has also chosen Malta as one of the few ports from where it embarks and disembarks passengers - on the Costa Concordia - to run weekly Malta/Malta cruises.

Iberia to own 45% of new Vueling

Mosta, 08/07/08 - In a statement to the Spanish stock exchange, low cost carrier Vueling said its board had approved a deal whereby it will absorb Clickair via a capital increase. Both carriers operate to Malta.

The merged entity will be headquartered in Barcelona, where both airlines are already based, and retain its listing on those stock markets where Vueling shares currently trade, that is Madrid, Barcelona, Bilbao and Valencia (see Vueling and Clickair in merger talks).

Iberia, which controls 20 per cent of unlisted Clickair's voting rights and about 80 per cent of its capital, will reportedly own 45 per cent of the new company. The other major shareholders will be Nefinsa and Inversiones Hemisferio. All three have agreed to remain investors for at least two years.

In a separate statement to regulators, Iberia said it was seeking an exemption from stock exchange rules that force any company acquiring more than 30 per cent of another to make an offer for its entire share capital.

The merger also requires clearance from competition authorities.

The new Vueling will have a fleet of 45 aircraft and a workforce of about 2,000, operate 300 flights a day on 112 routes and carry some 10.7 million passengers a year. It will be Spain's third biggest airline behind Iberia and Spanair.

Clickair boss, Alex Cruz, is expected to be named chief executive.

Ryanair axes Bremen, introduces Bari flights

Mosta, 01/07/08 - Ryanair will be operating a Bari-Malta frequency from 28 October. The service will operate on Tuesdays, Thursdays and Saturdays.

Meantime, as reported in Island Travel Trader Online in May, Ryanair has confirmed that it is axing its non-viable Bremen-Malta service this coming winter (see Ryanair to axe Bremen, cut frequencies). And although nothing has been officially mentioned about its intentions to reduce frequencies from London's Luton and Nykoping, Sweden, this coming winter, rumours persist that the Luton service will be reduced to five flights a week from the current seven. And the Nykoping service is also to be shaved from three to one a week.

Air Malta and Turkish Airlines sign code sharing agreement

Luqa, 01/07/08 - Air Malta and Turkish Airlines have signed an agreement by which Turkish Airlines code shares KM's twice weekly flights between Malta and Istanbul. The code sharing agreement paves the way for further cooperation between the two airlines.

The joint code allows Turkish Airlines to use its own flight numbers on services operated by Air Malta. Through this agreement both Air Malta and Turkish Airlines passengers can avail themselves of a broader choice of connections that will be developed via Istanbul to other destinations.

Said KM's chief officer commercial Brock Friesen: "This agreement gives both airlines' passengers full service treatment, seamless travel arrangements and enhanced network connections. We expect that this agreement will lead towards a more comprehensive agreement in the near future were Air Malta will further enhance its network connections beyond Istanbul through Turkish Airlines' extended route network in Asia, the Commonwealth of Independent States, the Far East and Middle East. Future developments are expected to include a restructured Air Malta schedule on the route and more Air Malta flights to the Turkish cultural and financial capital. Turkish Airlines, a Star Alliance member, have established themselves as a quality airline in the region and this falls perfectly into Air Malta's strategic plans to tap into the new emerging Asian, Far East and CIS markets. This code share will further assist the development of the already excellent business links between Malta and Turkey".