DELTA AIRLINES has warned computer-reservation-system (CRS) operators to cut CRS distribution charges to air carriers or face losing the business to emerging alternative electronic and ticketing systems.
"Continued rate increases will only encourage Delta and other carriers to implement practices designed to minimise or eliminate the distribution of their product through CRS," says the US carrier. The latest round of increases has raised its CRS annual distribution costs to over $250 million, it adds.
Delta says that CRS operators have ignored its concern. Over the years, CRS vendors have taken advantage of the fact that airlines and other participants could do little to control CRS expenses.
"If we should be unsuccessful in our efforts to reduce our distribution costs through dialogue, we will have no choice but to minimise the distribution of Delta's product through CRS," Delta says.
Source: Flight International
