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ARC Takes Action on CostsApril 7, 2008 By: George Dooley
The Airline Reporting Corporation (ARC) issued a statement Friday afternoon that it has revised its financial plans for 2008 and taken a number of actions including reducing its personnel by four percent. Airline owned ARC said the move was in response to the “rapidly changing economies of the air travel market.”
ARC President and CEO, David Collins said, “While these measures are difficult, we remain committed to delivering cost-effective services and innovative solutions to our customers. Recent results and carrier announcements on capacity changes require us to respond accordingly.” It offered no other explanation.
Airlines, travel agencies, corporate travel departments, railroads and other travel suppliers process $80 billion annually through ARC’s settlement system. Recent fee increases, which would increase travel agents’ share of ARC’s costs, have drawn the ire from ASTA and the agency community. Visit www.arccorp.com. (GD)